Loading...
HomeMy WebLinkAboutAgenda Packet 2000/12/12 CITY COUNCIL AGENDA December 12, 2000 6:00 p.m. Council Chambers Public Services Building 276 Fourth Avenue, Chula Vista CHY OF CHULA VISYA City Council City Manager Patty Davis David D. Rowlands, Jr. John S. Moot City Attorney Stephen C. Padilla John M. Kaheny Mary Salas City Clerk Shirley A. Horton, Mayor Susan Bigelow VVVVVVVVVV The City Council meets regularly on the first calendar Tuesday at 4:00 p.m. and on the second, third and fourth calendar Tuesdays at 6:00 p.m. Regular meetings may be viewed at 7:00 p.m. on Wednesdays on Cox Cable Channel 24 or Chula Vista Cable Channel 47 VVVVVVVVVVV U~Ulare under penally of perjury that I am J nployed by the City of Chula Vista In the Office of the City Clerk and that I polted thl, document on the bulletin bqfr~ ~rding to Brown Act requiremenll. ~ II/./EI> AGEND.tlated 1.yJ/~Slgned . ---, I December 12, 2000 CALL TO ORDER ROLL CALL: Councilmembers Davis, Padilla, Rindone, Salas, and Mayor Horton. SPECIAL ORDERS OF THE DAY · PRESENTATION BY SDG&E REQUESTING SUPPORT OF THE SDG&E/SEMPRA ENERGY V ALLEY RAINBOW INTERCONNECT PROJECT CONSENT CALENDAR (Items I through 7) The Council will enact the staff recommendations regarding the following items listed under the Consent Calendar by one motion, without discussion, unless a Councilmember, a member of the public, or City staff requests that an item be removed for discussion. If you wish to speak on one of these items, please fill out a "Request to Speak" form (available in the lobby) and submit it to the City Clerk prior to the meeting. Items pulled from the Consent Calendar will be discussed after Action Items. Items pulled by the public will be the first items of business. I. WRITTEN COMMUNICATIONS A. Letter from the City Attorney stating that, to the best of his knowledge from observance of actions taken in Closed Session on December 5, 2000, there were no actions taken which are required under the Brown Act to be reported. Staff recommendation: The letter be received and filed. B. Memorandum from the Assistant to the Mayor and Council advising of the verbal resignation of Ms. Virginia Moore from the Housing Advisory Commission. Staff recommendation: The resignation be accepted with regret and the City Clerk be directed to post the vacancy in conformance with Maddy Act requirements. C. Letter from Ray Rubio of Rubio Racing requesting support for a Grand Prix auto race in Chula Vista in 2001. Staff recommendation: The letter be referred to staff to work with the applicant to process the request. D. Letter from James M. Pennington, 38 Vista Way, transmitting petition from neighboring residents requesting the removal of beehives located north of Vista Way, west ofI-805, and south of Highway 54. Staff recommendation: The letter be referred to Police Department staff to continue working with Mr. Pennington to bring resolution to the issue. Page I - Council Agenda 12/12/00 2. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA INCREASING THE ANNUAL SALARY FOR THE MAYOR AND COUNCILMEMBERS BY 3.4% FOR FISCAL YEAR 1999/2000 AND BY 4.7% FOR FISCAL YEAR 2000/2001 IN ACCORDANCE WITH CHARTER SECTION 304(C) AND APPROPRIATING $8,973 FROM THE GENERAL FUND AVAILABLE BALANCE TO FUND THE INCREASE Section 304(c) of the City's Charter permits an annual increase in salary for the Mayor based on the local Consumer Price Index (CPI) for that year. Section 302 of the Charter sets the annual salary for Councilmembers at 40% of the Mayor's salary. Based on the CPI for Fiscal Years 1999/2000 and 2000/2001, it is appropriate to increase the aforementioned salaries by 3.4% and 4.7%, respectively. The Charter was amended by passage of a proposition at the March 7, 2000 election to provide a different salary formula, to become effective December 2, 2002. Until that time, the above formula remains in effect. (Director of Human Resources) Staff recommendation: Council adopt the resolution. 3. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAiVING THE CONSULTANT SELECTION PROCESS AND AUTHORIZING THE CITY ATTORNEY TO EXECUTE A RETENTION AGREEMENT WITH LINDA BARTZ, ESQ., FOR LEGAL SERVICES TO BE PERFORMED UNDER THE SUPERVISION OF THE CITY ATTORNEY In the past, the City has utilized the services of Ms. Bartz on an hourly basis to assist the staff on legal matters on an overflow basis and in specialized areas of law pertaining to condemnation issues. Due to the need for specialized services involving condemnation issues, it is necessary to authorize the City Attorney to execute a retention agreement with Ms. Bartz. (City Attorney) Staff recommendation: Council adopt the resolution. 4. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING CITY COUNCIL POLICY NO. 574-01 TO ALLOW THE DIRECTOR OF PUBLIC WORKS TO APPROVE iNDIVIDUAL PUBLIC WORKS CONTRACT CHANGE ORDERS UP TO $50,000 AND CUMULATiVE CONTRACT CHANGE ORDERS UP TO AN AGGREGATE AMOUNT BASED UPON THE ORIGINAL CONTRACT AMOUNT On January 16, 1973, by Resolution No. 6716, Council approved Council Policy No. 574-01 regarding change orders for work performed under City contract. Said policy was amended by Resolution No. 12507 on June 3, 1986 to increase the maximum individual change order amount that could be approved by staff from $1,000 to $5,000 for the Director of Public Works and $10,000 for the City Manager. Council Policy No. 574-01 currently requires that Council approve all change orders in excess of $10,000. (Director of Public Works) Staff recommendation: Council adopt the resolution. Page 2 - Council Agenda 12/12/00 5. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDiNG THE FISCAL YEAR 2000/01 PUBLIC WORKS DEPARTMENT BUDGET BY APPROPRIATiNG $119,301 FROM THE UNAPPROPRIATED BALANCE OF THE GENERAL FUND TO REFLECT ACTUAL WATER UTILITY REQUIREMENTS FOR THE PARK MAINTENANCE SECTION (4/STHS VOTE REQUIRED) The Park Maintenance Section's water utility expenditures in Fiscal Year 1999/2000 exceeded the approved allocation. A combination of savings and encumbered funds from various Public Works Divisions' accounts were used to balance the Park Maintenance Section's budget for Fiscal Year 1999/2000. (Director of Public Works) Staffrecommendation: Council adopt the resolution. 6. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE CITY'S FORMAL BIDDING PROCESS AS IMPRACTICABLE, APPROViNG AN AMENDMENT TO AN AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND ESGIL CORPORATION TO iNCLUDE BUILDING INSPECTION SERVICES, AUTHORIZING THE MAYOR TO EXECUTE SAID CONTRACT AMENDMENT, AND iNCREASiNG THE ANNUAL EXPENDITURE LIMIT FOR SAID CONTRACT FROM $100,000 TO $180,000 On June 2, 1998, Council adopted Resolution No. 19022, approving a three-year agreement with Esgil Corporation for plan check engineering services at $100,000 per year. Staff is requesting expanding services to include building inspection and increasing expenditures to $180,000, as appropriated in the Fiscal Year 2000/2001 budget. (Director of Planning and Building) Staff recommendation: Council adopt the resolution. 7. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE 2001 LEGISLATIVE PROGRAM AND LEGISLATIVE WORK PROGRAM The Legislative Program represents the Council's position on items likely to be acted upon by the State Legislature, Congress, or administrative agencies. By adopting a Legislative Program at the beginning of each two-year legislative session and amending it at mid-term, the City can take a proactive role in sponsoring, supporting, or opposing bills related to the City's various legislative priorities. (Intergovernmental Affairs Coordinator) Staff recommendation: Council adopt the resolution. ORAL COMMUNICATIONS Persons speaking during Oral Communications may address the Council on any subject matter within the Council's jurisdiction that is not listed as an item on the agenda. State law generally prohibits the Council from taking action on any issue not included on the agenda, but, if appropriate, the Council may schedule the topic for future discussion or refer the matter to staff Comments are limited to three minutes. Page 3 - Council Agenda 12/12/00 PUBLIC HEARINGS The following items have been advertised and/or posted as public hearings as required by law. If you wish to speak on any item, please fill out a "Request to Speak"form (available in the lobby) and submit it to the City Clerk prior to the meeting. 8. CONSIDERATION OF ADOPTION OF RESOLUTIONS MAK1NG CERTAIN DETERMINATIONS AND AUTHORIZING THE SUBMITTAL OF THE LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS OF CERTAIN TERRITORY PROPOSED TO BE ANNEXED TO COMMUNITY FACILITIES DISTRICT NO. 97-1 (OPEN SPACE MAINTENANCE DISTRICT OTAY RANCH, SPA ONE, VILLAGES 1 & 5) AND COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT) AND iMPROVEMENT AREA "A" THERETO On November 7, 2000 Council approved resolutions adopting an annexation map showing the boundaries of the annexed territory and declaring its intent to authorize the annexation of certain parcels. The resolutions reflect the required annexation proceedings for Community Facilities Districts Nos. 97-1 and 97-2. The Council also set a public heating for December 12, 2000 to hear any protest to the proposed annexations. The qualified property owners have requested legal counsel and staff to prepare documents for their signature to shorten the time to conduct a special election. The City Clerk has set an election date of December 19, 2000 for the qualified property owners to vote on the proposed annexations and the levying of the special tax per the adopted Rate and Method of Apportionment. The Otay Ranch Company has submitted a letter dated September 5, 2000 requesting the City to conduct annexation proceedings for an area commonly known as Parcel 35A (17.06 acres) into Community Facilities District No. 97-1. In addition, the company requested annexation proceedings for the three out-parcels within Village One West, the San Diego waterline easement within Village One West and Village One, as well as Parcel 35A into Community Facilities District No. 97-2. The public hearing continues the formal process to annex certain parcels into the two districts. (Director of Public Works) Staff recommendation: Council adopt the following resolutions: A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTiNG AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 97-1 (OPEN SPACE MAiNTENANCE DISTRICT - OTAY RANCH, SPA ONE, VILLAGES 1 & 5), MAKING CERTAIN DETERMiNATIONS AND AUTHORIZING THE SUBMITTAL OF THE LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS OF CERTAIN TERRITORY PROPOSED TO BE ANNEXED TO COMMUNITY FACILITIES DISTRICT 97-1 (OPEN SPACE MAINTENANCE DISTRICT - OTAY RANCH, SPA ONE, VILLAGES 1 & 5) Page 4 - Council Agenda 12/12/00 B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT), MAKING CERTAIN DETERMINATIONS AND AUTHORIZING THE SUBMITTAL OF THE LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS OF CERTAIN TERRITORY PROPOSED TO BE ANNEXED TO COMMUNITY FACILITIES DISTRICT 97-2 (PRESERVE MAINTENANCE DISTRICT) AND IMPROVEMENT AREA "A" THERETO 9. CONSIDERATION OF ACCEPTANCE AND USE OF FISCAL YEAR 2000/01 COPS FUNDING PER THE CITIZENS OPTION FOR PUBLIC SAFETY FOR LOCAL LAW ENFORCEMENT SERVICES The Fiscal Year 2000/01 state budget was adopted appropriating $378,174 to the City's Police Department. State money is allocated to the Department for purposes stipulated by the Citizen's Option for Public Safety (COPS) Program. The Department proposes to use the fund to meet patrol staffing and training needs, pay for one Sergeant and vehicle added during the Fiscal Year 2000/01 budget process, contingent upon grant funding, and local cash match requirements of two federal grants, COPS MORE 2000 and the Local Law Enforcement Block Grant. (Chief of Police) Staff recommendation: Council adopt the following resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING $378,174 FROM STATE COPS FOR LOCAL LAW ENFORCEMENT; AMENDING THE FISCAL YEAR 2000/01 BUDGET TO APPROPRIATE $22,213 FOR THE LOCAL LAW ENFORCEMENT BLOCK GRANT (LLEBG) LOCAL MATCH AND $81,087 FOR THE COPS MORE 2000 LOCAL MATCH REQUIREMENT AND $93,847 FOR ONE SERGEANT AND VEHICLE ADDED DURING THE FISCAL YEAR 2000/01 BUDGET PROCESS CONTINGENT UPON GRANT FUNDING AND AUTHORIZING STAFF TO DESIGNATE THE REMAINING FUNDS ($181,017) FOR PATROL STAFFING AND TRAINING NEEDS AND AUTHORIZING THE CHiEF OF POLICE TO UTILIZE (REPROGRAM) SAVINGS RESULTING FROM THE EQUIPMENT PROCUREMENT PROCESS FOR ADDITIONAL UNSPECIFIED OFFICER SAFETY EQUIPMENT AND SUPPLIES 10. CONSIDERATION OF ACCEPTANCE AND APPROPRIATION OF LOCAL LAW ENFORCEMENT BLOCK GRANT FUNDS The Police Department recently received notice of a Local Law Enforcement Block Grant award in the amount of $222,127 from the Bureau of Justice Assistance. The funds were allocated based on a three-year average of Part 1 Violent Crimes, which are murder and non-negligent manslaughters, forcible rape, robbery, and aggravated assaults as reported bythe FBI. (Chief of Police) Staff recommendation: Council adopt the following resolution: Page 5 - Council Agenda 12/12/00 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING $222,127 FROM THE 2000 LOCAL LAW ENFORCEMENT BLOCK GRANT AND AMENDING THE FISCAL YEAR 2000/01 POLICE BUDGET AND APPROPRIATING $178,727 FOR POLICE TECHNOLOGY AND EQUIPMENT AND $33,400 FOR COMMUNITY OUTREACH PROGRAMS AND MATERIALS AND $10,000 TO SUPPORT THE SOUTH BAY DRUG COURT AND AUTHORIZING THE CHIEF OF POLICE TO UTILIZE (REPROGRAM) SAVINGS RESULTING FROM THE COMPETITIVE PROCUREMENT PROCESS FOR ADDITIONAL UNSPECIFIED OFFICER SAFETY EQUIPMENT AND SUPPLIES (4/5THS VOTE REQUIRED) ACTION ITEMS The items listed in this section of the agenda are expected to elicit substantial discussion and deliberation by the Council, staff, or members of the public. The Council will consider the items individually, and staff recommendations may, in certain cases, be presented in the alternative. If you wish to speak on any item, please fill out a "Request to Speak" form (available in the lobby) and submit it to the City Clerk prior to the meeting. 11. CONSIDERATION OF ACCEPTANCE AND APPROPRIATION OF A PORTION OF COPS MORE 2000 AWARD TO HIRE A COMMUNITY SERVICE OFFICER The COPS Making Officer Redeployment Effective (MORE) 2000 Program is one of several grants developed by the U.S. Department of Justice under the 1994 Crime Act to increase the deployment of police officers to community policing via the hiring of civilian personnel. COPS MORE awards are very competitive, and the City is one of a few agencies to receive a COPS MORE 2000 award. The award of $243,255 may be used to hire civilian personnel, which will allow existing officers to spend additional time in the community. Staff is recommending the acceptance of $29,371 of the COPS MORE award at this time. Acceptance of the remaining funds is contingent on the mitigation of the impact of on-going costs to the general fund and the completion of staffing formulas in Patrol and Investigations. (Chief of Police) Staff recommendation: Council adopt the following resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING $29,371 OF THE COPS MORE 2000 AWARD FOR THE HIR1NG OF A CIVILIAN POSITION THAT WILL RESULT IN REDEPLOYMENT OF SWORN STAFF AND AMENDING THE FISCAL YEAR 2000/01 BUDGET TO ADD ONE COMMUNITY SERVICE OFFICER, AND APPROPRIATING $19,581 FOR SALARIES AND BENEFITS AND DIRECTING STAFF TO BUDGET THE REMAINING FUNDS AS STIPULATED BY THE GRANT IN SUBSEQUENT YEARS (4/5THS VOTE REQUIRED) Page 6 - Council Agenda 12/12/00 12. CONSIDERATION OF ACCEPTANCE AND APPROPRIATION OF $160,252 FROM THE STATE OF CALIFORNIA ADVANCED TECHNOLOGY PROGRAM FOR COMPUTER HARDWARE AND SOFTWARE FOR THE POLICE DEPARTMENT As part of this year's state Citizens Options for Public Safety (COPS) funding, the Governor approved a budget trailer bill that designated specific funds for technology grants to local law enforcement. The City has been allocated $160,252 that will be used for technology advances within the Police Department. (Chief of Police) Staffrecommcndation: Council adopt the following resolution: RESOLUTION ACCEPTING AND APPROPRIATING $160,252 FROM THE STATE OF CALIFORNIA ADVANCED TECHNOLOGY PROGRAM FOR THE PURPOSES OF UPGRADING MOBILE DATA COMPUTERS ($134,252), PURCHASING NEW DISPATCH COMPUTERS ($16,000), AND COMPUTER-AIDED DISPATCH (CAD) REPORTING SOFTWARE ($10,000) (4/STHS VOTE REQUIRED) 13. CONSIDERATION OF ELECTION CHALLENGE REQUEST BY COUNCIL CANDIDATE MIKE DIAZ (CONTINUED FROM THE MEETING OF DECEMBER 5, 2000) On November 29, 2000, Council candidate Mike Diaz filed a request to challenge the results of the November 7, 2000 election for Council Seat//3. He alleged that Council candidate Jerry Rindone was not eligible to run for the Council seat under City of Chula Vista Charter Section 300D. On December 5, 2000, the Council referred the matter to the City Attorney for an analysis and recommendation. (City Attorney/City Clerk) Staff recommendation: Council adopt the recommendation of the City Attorney as set forth in his Memorandum of Law dated December 7, 2000. 14. CONSIDERATION OF APPROPRIATION OF $1,242,511.31 FROM THE STATE OF CALIFORNIA TRAFFIC CONGESTION RELIEF ALLOCATION FUNDS TO THREE NEW CAPITAL IMPROVEMENT PROJECTS The City has received a lump sum funding allocation in the amount of $1,242,511.31 from Assembly Bill 2928, Traffic Relief Congestion Allocation. The funds cannot be commingled with other funds, for auditing purposes, and must be spent on projects that are located within the public fight-of-way and do not increase traffic capacity. Projects must also be completed by June 30, 2002. City staff has identified three new maintenance capital improvement projects that can be completed within the required timeframe. (Director of Public Works) Staff recommendation: Council adopt the following resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROPRIATING $1,242,511.31 IN UNANTICIPATED REVENUE FROM THE STATE OF CALIFORNIA AB-2928 "TRAFFIC CONGESTION RELIEF ALLOCATION" FUNDS TO THREE NEW CAPITAL IMPROVEMENT PROJECTS (4/STHS VOTE REQUIRED) Page 7 - Council Agenda 12/12/00 15. CONSIDERATION OF AMENDMENT TO THE MEMORANDUM OF UNDERSTANDING (MOU) WITH THE CHULA VISTA POLICE OFFICERS' ASSOCIATION EXTENDING THE MOU FOR TWO YEARS AND PROVIDING ADDITIONAL COMPENSATION AND BENEFITS The current Police Officers' Association (POA) Memorandum of Understanding (MOU) expires on June 30, 2003. The POA and City reopened the MOU to discuss compensation and retirement benefits. The City's willingness to reopen the MOU was market-driven, as the salaries of POA-represented classifications had dropped below the County average over the first two and a half years of the current five-year MOU. The MOU amendments proposed have been ratified by an overwhelming majority of the POA membership at a general membership meeting on December 5th. The amendments extend the term of the MOU two years, increase wages to make pay competitive with other County agencies, and provide significant retirement enhancements towards the end of the contract. It is believed this combination of pay and benefit increases will improve morale, enhance Chula Vista's ability to recruit during these competitive times, and aid in retention of more experienced staff. (City Manager) Staff recommendation: Council adopt the following resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROViNG AN AMENDMENT TO THE MEMORANDUM OF UNDERSTANDING (MOU) WITH THE CHULA VISTA POLICE OFFICERS' ASSOCIATION EXTENDING THE MOU FOR TWO YEARS AND PROVIDING ADDITIONAL COMPENSATION AND BENEFITS AND AMENDING THE FISCAL YEAR 2001 BUDGET APPROPRIATING $352,398 FROM THE UNAPPROPRIATED BALANCE OF THE GENERAL FUND 16. CONSIDERATION OF IMPLEMENTION OF A TWO-YEAR BUDGET BEGINNING IN FISCAL YEAR 2001/2002 Multi-year budgeting is increasingly popular among cities and counties throughout the country as it improves fiscal planning, retains the fiscal control inherent in one-year budgeting and reduces redundant workload. Staff is recommending that the City's operating budget for Fiscal Year 2001/2002 be a biennial budget. (Deputy City Manager Powell/Director of Budget and Analysis) Staff recommendation: Council adopt the following resolution. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA DIRECTING STAFF TO BRING FORWARD A TWO-YEAR BUDGET FOR COUNCIL CONSIDERATION FOR THE TWO-YEAR PERIOD BEGINNING IN FISCAL YEAR 2001/2002 Page 8 - Council Agenda 12/12/00 OTHER BUSINESS 17. CITY MANAGER'S REPORTS 18. MAYOR'S REPORTS 19. COUNCIL COMMENTS CLOSED SESSION 20. CONFERENCE WITH REAL PROPERTY NEGOTIATOR PURSUANT TO GOVERNMENT CODE SECTION 54956.8 Property: The Chula Vista Municipal Golf Course on Bonita Road and seven adjacent acres Negotiating Parties: City of Chula Vista (Chris Salomone/Sid Morris) and American Golf Under Negotiation: Purchase price/lease rate and other terms and conditions for possible disposition of City-owned property and/or lease buy-out or restructure ADJOURNMENT to the Regular Meeting of December 19, 2000, at 6:00 p.m. in the Council Chambers. Page 9 - Council Agenda 12/12/00 CHULA VISTA MEMORANDUM December 7, 2000 TO: The Honorable Mayor and City Council From: David D. Rowiands, Jr., City Manager~.~¥~ ~%~' Subject: Council Meeting of December 12, 2000 This will transmit the agenda and related materials for the regular City Council meeting of Tuesday, December 12, 2000. Comments regarding the Written Communications are as follows: 2A. Letter from the City Attorney stating that, to the best of his knowledge from observance of actions taken in Closed Session on December 5, 2000, there were no actions taken which are required under the 13rown Act to be reported. IT IS RECOMMENDED THAT THE LETTER BE RECEIVED AND FILED. 213. Memorandum from the Assistant to the Mayor and Council advising of the verbal resignation of Ms. Virginia Moore from the Housing Advisory Commission. IT IS RECOMMENDED THAT THE RESIGNATION BE ACCEPTED WITH REGRET AND THE CITY CLERK BE DIRECTED TO POST THE VACANCY IN CONFORMANCE WITH MADDY ACT REQUIREMENTS. 2C. Letter from Ray Rubio of Rubio Racing requesting support for a Gran Prix auto race in Chula Vista in 2001. IT IS RECOMMENDED THAT THE LETTER BE REFFERED TO STAFF TO WORK WITH THE APPLICANT TO PROCESS THE REQUEST. 2D. Letter from James M. Pennington, 38 Vista Way, transmitting petition from neighboring residents requesting the removal of beehives located north of Vista Way, west of 1-805, and south of Highway 54. iT IS RECOMMENDED THAT COUNCIL DIRECT THE POLICE DEPARTMENT STAFF TO CONTINUE WORKING WITH MR. PENNINGTON TO BRING RESOLUTION TO THE ISSUE. ODR:yg CI'IY OF CHUIA VISTA OFFICE OF THE CITY ATTORNEY Date: December 6, 2000 To: The Honorable Mayor and City Council From: John M. Kaheny, City Attorne~/~ Re: Report Regarding Actions Taken in Closed Session for the Meeting of 12/5/00 The City Council of the City of Chula Vista met in Closed Session on 12/5/00 to discuss: · CONFERENCE WITH LEGAL COD-NSEL REGARDING SIGNIFICANT EXPOSURE TO LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9(B): Claim No. 00-14-027 · CONFERENCE WITH LEGAL COUNSEL REGARDING EXISTING LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9(A): City of Chula Vista v. Barnhart Construction, et al (SDSC No. GIS3859) · CONFERENCE WITH LEGAL COUNSEL REGARDING INITIATION OF LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9(C): One Case (Project No. 970101) · CONFERENCE WITH LABOR NEGOTIATOR PURSUANT TO GOVERNMENT CODE SECTION 54957.6: City Negotiator: City Manager Employee organizations: Chula Vista Police Officers Assn. The City Attorney hereby reports to the best of his knowledge from observance of actions taken in the Closed Session in which the City Attorney participated, that there were no reportable actions which are required under the Brown Act to be reported. JMK:lgk tA 276 FOURTH AVENUE · CHULA VIS~ · CALIFORNIA 91910 o (619) 691-5037 o MX (619) 409-5823 RECEIVED '00 DEC-! ~1:38 Memo CITY CLERIC'S OFFICE To: Susan Bigelow, City Clerk From: Armando Buelna, Assistant to the Mayor and Council cc: Juan Arroyo, Housing Manager Date.-12/1/2000 Re: Resignation from the Housing Advisory Commission This is to advise you that Ms. Virginia Moore has verbally resigned from the Housing Advisory Commission. Commission Moore has been unable to attend the Housing Advisory Commission meetings. Please place this matter on the next available agenda so the City Council may accept her resignation. ab DEC 07 '00 1Z:O~ FROM: T-39Z P OZ/OZ F-t7? December Heritable Mayor 5hirlm/HorTon otld City I;auncil af £hula Vista 276 Fourth Aven~e Chula Vista, CA 9t910 V~A FAC~$]:MZLE ONLY: b~ar Mayor Norton: Please accept our introduction to you and the City Council to Ruble ~acing, producers of the recent. ~;ucce_e~ul Grand Prix auto race at the old Naval Training Center (NT¢) just I~st month. Due ta the NT¢ re~lewlapment construction, we have undertaken the process of locating o new, more permanent race site far October/November ZOO! and beyond. Accordingly. We look forward to providing you and the Council a short presentation on our relocation effort at the December [2 Council meeting. Concurrence far us ta ga far. ord, by your City Council and Manager's Staff. ix considered germane to our decision to seek relocation af the race to South I~y. and to farm those partnerships required to stage warld-cla~s auto racin9 in the region. Az you know, the site selection is cor~ldere.~ absolutely critical to the success of en event such as this. The gain, of course, for Chula Vi~a and the region is significantl Thus. this prec-~ of teamwork will certainly result in the croatia,lq of an event, which will be viewed on television nationally and internatio~ally, and which will draw large numbers of people from all over the world, and especially thc s~uthwe~t United States. to (:hula Vista. The community prestige and economic bene~ite prorn~sc to s~gnificantly heighten awareness of your thriving community. I~ubia Racing 701 B Street, Suite 150, San Diego. CA 92101 * Tel. (619) 233-3278 * Fax: (619) 2'~9.~;277 Written Communications December 6, 2000 TO: Honorable Mayor and City Council VIA: David D. Rowlands, Jr., City ~anager ~ ~','~ FROM: Rick Emerson, Police Chief-~ SUBJECT: Bee Hives 00 Block Vista Way This is in response to the Written Communication dated November 10, 2000 submitted by James M. Pennington and neighboring residents. Our Animal Control Manager has leamed that several apiaries are being kept in an open field near the southwest section of Freeway 1-805 and 1-54. These apiaries have been kept there for many years. Recently the Animal Control Division has received complaints from concerned citizens living in the area of Vista Way which is a street located on the rim above the area where the bees are kept. These neighbors report that the bees have increased considerably in numbers and they have since experienced problems with bees getting into their homes and causing problems in the neighborhood. At present it appears that the bees are being housed legally in the area. The County Health Dept and Vector Control have informed us that they do not have any laws prohibiting the maintenance or possession of the bees .nor do they have any information that would help us remove the bee's from the area where they are kept. There are three parcels that have been identified, however to date we have been unable to contact an owner to talk to them about the problem. We intend to advise the owner of the problem and seek a solution that will be acceptable to all parties. Staff recommends that Council direct the Police Department to continue working with James M. Pennington of 38 Vista Way to bring a resolution to this issue. E:\My Docurments~AI 13's\Council Communication Bees.doc RECEIVED ~ DEli-5 P1:12 CITY OF CHULAVl.,,,-~'~ Chda Vista City Co~acil CITY CLERK'S 0FFI{;[ Novem~ T0, 2000 Dear Council: This petition was circulated by James and Mafalda Pennington, 38 Vista Way, Chula Vista, CA 91910. We only contacted people on Vista Way most heavily affected by the problem. In reality, everyone bordering the valley is affected by the bees., Over the years the bee population has increased dramatically and the problem has increased along with them. Our home, especially the rear which faees the valley is covered with yellow spots. I have given up trying to keep ser~ens and windows clean. If we leave our autos outside for a short time they are covered with yellow spots. The bees have also become more aggre&sive as their numbers grow. This summer we had to leave our pool area on three occasions dtm to bees swarmIng around us and our two year old granddaughter. Our neigh~rs have related similar incidents. My wife is allergic to bee stings so she is very apprehensive when outside. We desperatly seek relief fi~om this growing problem. Sincerely, Y Chula Vista, CA 91910 (619)422-5335 NOV 10 2SC'0 COUNCIL OFFICES CHULA VISTA. CA TO: THE CHULA VISTA CITY COUNCIL SUBJECT: BEE HIVES LOCATED NORTH OF VIST A WAY, WEST OF 1-805, AND SOUTH OF HIGHWAY 54. WE THE RESIDENTS AFFECTED BY THE BEE HIVES REQUEST THEIR REMOVAL DUE TO THE FOLLOwiNG PROBLEMS: 1. CONTINUOUS DROPPING OF YELLOW DROPLETS ON OUR HOMES, AUTOS AND ANYTHING LEFT OUTSIDE UNCOVERED. 2. AN INCREASED PRESENCE OF BEES SEEKING WATER RESULTING IN A HEAVY PRESENCE OF BEES AROUND OUR HOMES, POOLS, YARDS AND ANY AREA WHERE WATER MAYBE PRESENT. NAME ADDRESS DATE - - } -clio 'JIm?J /- r::zl.../ 2000 r.- .;li'. Dc.) .f: ,;zs-. tJ~ ~ r?? in T LX-ex) - '0' r ~P-o u 5 I :J-( - :;J7Ju - ~ :-'T" z-.\'- ';0' cJ / d Q ....., . a~ L,y~ c /(.~~-J.~ (!~~& f)A,.tJ/I)~, ~,~ro~ ~~~~ LI ~ 1'D- 3 I ~. "f ka"z> ~;;2? ~ f ~~ etd TO: THE CHULA VISTA CITY COUNCIL SUBJECT: BEE HIvEs LOCATED NORTH OF VISTA WAY, WEST OF I-80S, AND SOurH OF HIGHWAY 54. WE THE RESIDEl'/TS AFFECTED BY THE BEE HIVES REQUEST THEIR REMOVAL DUE TO THE FOLLOWING PROBLEMS: 1. CONTINUOUS DROPPING OF YELLOW DROPLETS ON OUR HOMES, AurOS AND ANYTHING LEFT OurSIDE UNCOVERED. 2. AN INCREASED PRESENCE OF BEES SEEKING WATER RESULTING IN A HEAVY PRESENCE OF BEES AROUND OUR HOMES, POOLS, YARDS AND ANY AREA WHERE WATER MAYBE PRESENT. NAME ADDRESS DATE JQ\ Q.'\\rn , 10/.0-9/00 I /0/) 3'/00 'Db.,lao , / 101* ,~h_'i/~ I /'6k'7 /~ , . ~k2~ ~/J_~;I~ ( ~~~~ \\~>-." -SOA-~,- tbvr~ , G-k A? adZ-d 1i)---31-~tJi) ~~ (00 10/<1/(10 . I /0 /JI/OO / / I 'u - Lf COUNCIL AGENDA STATEMENT ITEM 2- MEETING DATE December 12, 2000 ITEM TITLE: Resolution Increasing the Annual Salary for the Mayor and Council members by 3.4% for FY99/00 and by 4.7% for FY00/01 in Accordance With the Charter Section 304 (c); Appropriating $8,973 from the General Fund available balance to fund the increases. SUBMITTED BY: Director of Human Resources/~ ~ REVIEWED BY: City Manager (4/51h Vote: Yes X No ) SUMMARY: Section 304 (c) of the City of Chula Vista Charter, permits an annual increase of the salary for the Mayor based on the local CPI for that year. Section 302 of the Charter sets the annual salary for Council members at 40% of the Mayor's salary. Based on the CPI for fiscal years 1999/00 and 2000/01, it is appropriate to increase the aforementioned salaries by 3.4% and 4.7%, respectively; and appropriating $8,973 from the General Fund available balance. This Charter Section was amended in March, 2000 to provide a different salary formula effective December 2, 2002. Until that time the aforementioned formula remains in effect. RECOMMENDATION: Council approve the resolution adjusting the salary for the Mayor and Council members consistent with the CPI for FY00 and FY0I; and make necessary adjustments to the Budget. BOARD/COMMISSION RECOMMENDATION: N/A DISCUSSION: The Charter of the City of Chula Vista permits an annual salary increase for members of the Council based on the local CPI for that year. Section 304 (c) Compensation addresses salary for the Mayor: "The salary provided herein may be annually increased beyond said amount by a resolution of the City Council in an amount not to exceed the All Urban Consumers/All Items Component of the San Diego Metropolitan Area U (Broader Base) Consumer Price Index, or beyond said increased amount, by a vote of the people." Section 302 Compensation for Council members states: "The four Council members shall receive, as compensation for their services, forty percent (40%) of the salary of the Mayor." The recommended increases are consistent with both provisions of the Charter and are less than the salary increases for the same periods for the majority of employees. FISCAL IMPACT: The Budgetary Impact in FY01 will be $8,973 related to the 3.4% and 4.7% CPI adjustments in FY00 and FY01, respectively. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA INCREASING THE AIFNUAL SALARY FOR THE MAYOR AND COUNCILMEMBERS BY 3.4% FOR FY 99/00 Ai~D BY 4.7% FOR FY 00/01 IN ACCORDANCE WITH CHARTER SECTION 304(c) AND APPROPRIATING $8,973 FROM THE GENERAL FUND AVAILD~BLE BALANCE TO FUND THE INCREASE WHEREAS, Section 304 (c) of the city of Chula Vista Charter permits an annual increase of the salary for the Mayor based on the local Consumer Price Index for that year which will remain in effect until December 2, 2002; and WHEREAS, Section 302 of the Charter sets the annual salary for Councilmembers at 40% of the Mayor's salary; and WHEREAS, based on the CPI for fiscal years 1999/00 and 2000/01, it is appropriate to increase the Mayor's salary by 3.4% and 4.7%, respectively. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby increase the annual salary of the Mayor by 3.4% for FY 99/00 and by 4.7% for FY 00/01 in accordance with Charter Section 304 (c). BE IT FURTHER RESOLVED that the salary for Councilmembers is set at 40% of that of Mayor. BE IT FURTHER RESOLVED that $8,973 is hereby appropriated from the General Fund available balance to fund the increase. Presented by Approved as to form by Candy Emerson, Director of J~hn M. Kaheny Human Resources City Attorney H\home\attorney~reso~Mayor's salary COUNCIL AGENDA STATEMENT Item: ~ Meeting Date: 12/12/00 ITEM TITLE: Resolution Waiving the Consultant Selection Process and Authorizing the City Attorney to Execute B Retention Agreement with Linda Bartz, Esq., for Legal Services to be Performed Under the Supervision of the City Attorney SUBMITTED BY: City Attorneyf~ (4/5ths Vote: Yes __ No X In the past, the City has utilized the services of Ms. Bartz on an hourly basis to assist the staff on legal matters on an overflow basis and in specialized areas of law pertaining to condemnation issues. Due to the need for specialized legal services involving condemnation issues, it is necessary to authorize the City Attorney to execute a retention agreement with Ms. Bartz. RECOMMENDATION: Waive the consultant selection process and approve the resolution authorizing the City Attorney to execute a retention agreement with Linda Bartz, Esq. BOARDS/COMMISSIONS RECOMMENDATION: Not Applicable. DISCUSSION: After selection through a competitive bidding process, Linda Bartz has assisted the office of the City Attorney on an hourly basis on highly specialized legal matters involving condemnation issues and on a variety of legal issues at times when overflow assistance was needed. Ms. Bartz' existing contract is due to expire on December 31, 2000. Due to Ms. Bartz' previous selection through a competitive process, her current ongoing involvement in a number of cases, and her excellent past performance, it is recommended that Council waive the selection process. Ms. Bartz is a specialist in the area of condemnation law and has extensive experience in general municipal law and litigation. Ms. Bartz' experience in condemnation law is currently necessary to assist the office of the City Attorney in the matter of Salt Creek and Wolf Canyon Sewer. Page 2, Item= Meeting Date= 12/12/00 Due to the amount of work facing the City on a number of issues over the next two years, this agreement is for a two year period of January 1, 2001 through December 31, 2002. Ms. Bartz' compensation is not anticipated to exceed $75,000.00 during this period. Ms. Bartz' fee for legal services in extremely competitive at $125 $150 per hour. It is also anticipated that the need for her legal services will continue throughout the completion of the condemnation for Salt Creek Sewer and other potential projects. FISCAL IMPACT: None. Funding for Ms. Bartz and other specialized legal services were provided in the City Attorney's budget for overflow and fees for legal services in the project budgets. No additional appropriations are required. H: \Home \At t orney\LBart z 3-2 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE CONSULTANT SELECTION PROCESS AND AUTHORIZING THE CITY ATTORNEY TO EXECUTE A RETENTION AGREEMENT WITH LINDA BARTZ, ESQ., FOR LEGAL SERVICES TO BE PERFORMED UNDER THE SUPERVISION OF THE CITY ATTORNEY WHEREAS, after selection through a competitive bidding process, Linda Bartz has assisted the office of the City Attorney on an hourly basis on highly specialized legal matters involving condemnation issues and a variety of legal issues at times when overflow assistance was needed; and WHEREAS, Ms. Bartz' existing contract is due to expire on December 31, 2000; and WHEREAS, due to Ms. Bartz' previous selection through a competitive process, her current ongoing involvement in a number of cases, and her excellent past performance, it is recommended that Council waive the selection process. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby waive the Consultant Selection Process and authorize the City Attorney to execute a Retention Agreement not to exceed $75,000 with Linda Bartz, Esq., for legal services to be performed under the supervision of the City Attorney. Presented and Approved as to form by [H:/HOME~ATTORNEY/RESO/Linda BarLz (December 5, 2000 (2:51pm)] AGREEMENT FOR LEGAL SERVICES THIS AGREEMENT is entered into effective January 1, 2001, by and between the City of Chula vista, (hereinafter "the CITY") and Linda D. Bartz (hereinafter "ATTORNEY") doing business as Linda Bartz & Associates. RECITALS The following recitals are a substantive part of this Agreement: WHEREAS, the CITY has periodically required the assistance of outside counsel on highly specialized legal maters involving condemnation issues and overflow matters; and WHEREAS, ATTORNEY is a specialist in the area of condemnation law and has extensive experience in condemnation law; WHEREAS, ATTORNEY represents she is qualified by virtue of her experience, training, education and expertise to accomplish the services necessary under this Agreement. AGREEMENT THE PARTIES MUTUALLY AGREE AS FOLLOWS: 1. Term of Aqreement. This Agreement shall cover services rendered from the above- referenced effective date of this Agreement until December 31, 2002. 2. Services to be Provided. The services to be performed by ATTORNEY shall consist of any and all tasks reasonably required to advise, assist and fully represent the CITY in all legal matters presented to ATTORNEY and on any matters in litigation, wherein ATTORNEY is consulted by, or appears on behalf of, the CITY. ATTORNEY'S services shall include, but are not limited to, any and all reasonably required legal representation on behalf of the CITY. 3. Compensation - ATTORNEY shall be compensated as follows: 3.1 Amount. The CITY shall compensate ATTORNEY for services rendered at the following hourly rate of $125.00 per hour except on matters identified as developer deposit account funded matters for which ATTORNEY services shall be rendered at $150.00 per hour and paralegal hourly rate of $85.00 per hour. Such hourly compensation shall be the sole and total remuneration for services rendered pursuant to this Agreement. Said compensation shall not exceed $75,000.00 during the term of this Agreement. 3.2 Billing. ATTORNEY agrees to provide detailed invoicing of all billing for services at a minimum of every three months. The invoice shall include the amount, billing rate and basis for calculation of all fees and costs. All billing for work performed under this Agreement shall be sent to the following: John Kaheny City Attorney City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 (619) 691-5037 3.3 Reimbursements for Expenses. ATTORNEY shall keep accurate records of all costs, travel and expenses. These records shall be made available to the CITY upon reasonable request. The CITY will reimburse actual, reasonable and necessary out of pocket expenses incurred by ATTORNEY in performing any services under this Agreement as follows: a. Parking Fees at the actual amount charged to ATTORNEY. b. Travel/Mileage at the rate allowed by the Internal Revenue Service. Any 'travel fees incurred outside of San Diego County must be authorized and approved in advance by the CITY. c. Consultants hired by ATTORNEY at the actual amount charged to ATTORNEY. d. ATTORNEY may seek reimbursement for any actual, reasonable and necessary expenses incurred on items not identified above with the prior authorization and approval by the CITY. e. In-house photocopies at .10 cents per page; and outside photocopies, postage, messenger and word processing at actual charges incurred. To obtain reimbursement, ATTORNEY shall submit a summary of expenses, along with all supporting receipts. 4. Insurance. 4.1 Professional Errors and Omissions Insurance. ATTORNEY shall obtain and maintain in full force and effect at all times Professional Errors and Omissions Liability Insurance in a reasonable amount acceptable to the City Attorney. ATTORNEY agrees to immediately notify the CITY in the event that the limits shall fall below the acceptable coverage or if the insurance policies are allowed to lapse and substitute insurance is, or is not, obtained. 4.2 Workers Compensation Insurance. ATTORNEY shall obtain and maintain, if applicable, workers compensation insurance in accordance with section 3700 of the California Labor Code. 5. City Aqent. John M. Kaheny, City Attorney, for the purposes of this Agreement, is the Agent for the CITY. Whenever authorization or approval is required, ATTORNEY understands that the City Attorney has the authority to provide the authorization or approval. 6. Independent Contractor. ATTORNEY and anyone employed by ATTORNEY are not and shall not be, deemed employees of the CITY. ATTORNEY is solely responsible for the payment of employment taxes, workers compensation taxes, and any other taxes for employees. 7. Conflict of Interest. ATTORNEY represents that she presently has no material financial interest other than that which may be held by the general public and shall not acquire any interest, direct or indirect, in any contract or decision made on behalf of the CITY which may be affected by the services to be performed by ATTORNEY under this Agreement. In addition to the proscriptions regarding conflicts of interest imposed on ATTORNEY by the Business and Professions Code and by California Rules of Professional Conduct, ATTORNEY represents that ATTORNEY shall not represent clients before any board, commission, committee or agency of the CITY or represent any client with interests adverse to the CITY. Furthermore, ATTORNEY shall at all times avoid conflicts of interest or the appearance of a conflict of interest in performance of this Agreement. ATTORNEY shall immediately notify the City Attorney of any circumstances, or change of circumstances, that may provide for the potential for a conflict of interest, or actual conflict of interest. 8. Non Liability of Officials/Employees of the CITY. NO official or employee of the CITY shall be personally liable for any default or liability under this Agreement. 9. Compliance with Law. ATTORNEY shall comply with all applicable laws, ordinances, codes and regulations of the Federal, State and local governments. In addition, ATTORNEY agrees to abide by all ethical and moral standards as represented by the Rules of Professional Conduct as applied to the California State Bar. 10. Work Product. All documents, or other information developed or received, by ATTORNEY shall be the property of the CITY. ATTORNEY shall provide the CITY with copies of items upon reasonable demand or upon termination of this Agreement. 11. Notices. All notice shall be personally delivered or mailed, via first class mail, to the below listed address. In addition, such addresses shall be used for delivery for service of process. ATTORNEY agrees to notify the CITY within ten (10) days of the date of any change of address and agrees to keep an updated address with the applicable courts on any matters that ATTORNEY is representing the CITY. a. Address of ATTORNEY is as follows: Linda D. Bartz, Esq. Linda Bartz & Associates 1010 Second Avenue, Ste. 1010 San Diego, CA 92101 (619) 237-5137 b. Address of CITY is as follows: John M. Kaheny, Esq. City Attorney 276 Fourth Avenue Chula Vista, CA 91910 (619) 691-5037 12. Default/Termination of Aqreement. CITY and ATTORNEY shall have the right to terminate this Agreement without cause by giving thirty (30) days written notice. 13. Limitations Upon Assiqnment/Subcontractinq. ATTORNEY agrees that no portion of her performance or services rendered under this Agreement shall be assigned by ATTORNEY or subcontracted to any other without prior written authorization and 5 approval of the CITY. CITY hereby acknowledges and consents to subcontract work by Dennis Shields, Nancy Jones, David Axtmann and William Polk who are Of Counsel to ATTORNEY as supervised by ATTORNEY. 14. Non-Discrimination. ATTORNEY covenants there shall be no discrimination based upon race, color, creed, reiigion, sex, marital status, age, handicap, national origin, or ancestry, in any activity pursuant to this Agreement. 15. Time of Essence. Time is of the essence in the performance of this Agreement. 16. Entire Aqreement. This Agreement represents the Parties' final and mutual understanding. This Agreement supersedes any previous Agreements, oral or written. 17. Modification. This Agreement shall not be modified or replaced except by another signed, written Agreement, properly executed by the parties. 18. Waiver. The waiver of any breach or any provision of this Agreement does not waive any other breach of that term, or any other term, in this Agreement. 19. Partial Invalidity. If any part of this Agreement is found for any reason to be unenforceable, all other parts nonetheless shall remain in force. 20. Governinq Law. This Agreement shall be interpreted and construed in accordance with the laws of the State of California. 6 21. Interpretation. This Agreement shall be interpreted as though prepared by both parties. 22. Survival. Ail obligations arising prior to the termination of this Agreement and all provisions of this Agreement allocating responsibility or liability between the CITY and ATTORNEY survive the termination of this Agreement. 23. Attorneys' fees. If a party brings an action, including an action for declaratory relief, to enforce or to interpret the provisions of this Agreement, the prevailing party is entitled to reasonable attorneys' fees and costs in addition to any other relief to which the party may be entitled. Such fees may be set by the court in the same action or in a separate action brought for that purpose. (NEXT PAGE IS SIGNATURE PAGE) 7 Dec-05-O0 03: I~P Linda Bartz & A~$ociatQs 619 237 5110 P 02 IN wITNESS WHeReOF, thege parties have mxecuted this Agreement on the day ama year shown hereinabove. CITY OF C~ VISTA LINDA B~TZ & ASSOCIATRS B( .' Llndu Bart~ ~hirley Horton Mayor ~... ATTEST: By: City Clerk Approved as to Form: John M. Kaheny City AStorney 3 COUNCIL AGENDA STATEMENT Item L~ Meeting Date 12/12/00 ITEM TITLE: Resolution Amending City Council Policy No. 574-01 to allow the Director of Public Works to approve individual Public Works contract change orders up to $50,000 and cumulative contract change orders up to an aggregate amount based upon the original contract amount SUBMITTED BY: Director of Public Works ~ 1 ~l~O~V (4/5ths Vote: Yes No X ) REVIEWED BY: City Manager fa -- On January 16, 1973, by Resolution No. 6716, City Council approved City Council Policy No. 574-0l regarding change orders for work performed under City contract. Said policy was amended by Council Resolution No. 12507 on June 3, 1986 to increase the maximum individual change order amount that could be approved by staff from $1,000 to $5,000 for the Director of Public Works and $10,000 for the City Manager. Council Policy 574-01 currently requires that all change orders in excess of $10,000 be approved by the City Council. The proposed resolution will modify Council Policy No. 574-01 to allow the Director of Public Works to approve individual contract change orders up to $50,000 and cumulative contract change orders up to an aggregate amount based upon the original contract amount. RECOMMENDATION: That Council approve the Resolution Amending City Council Policy No. 574-01 to allow the Director of Public Works to approve individual Public Works contract change orders up to $50,000 and cumulative contract change orders up to an aggregate amount of: Original Contract Range Maximum Aggregate Increase in Change Orders Up to $I00,000 10% of the original contract amount $100,000 to $1,000,000 $10,000 plus 7 % of the original contract amount over $100,000 More than $1,000,000 $73,000 plus 5 % of the original contract amount over $1,000,000 BOARDS/COMMISSIONS RECOMMENDATION: Not Applicable. DISCUSSION: The purpose of a change order is to provide for circumstances in the field which were unknown or unanticipated during the design stage of a project and must be addressed during construction to assure t he proper completion of contract work per City standards. There are two reasons why the final contract cost on any kind of project, especially a Public Works project, will be different than the contract amount awarded by the City Council. The first reason is that there will be change orders for unknown and unanticipated conditions that increase or decrease project cost. The second reason is that most Public Works projects use unit prices (e.g., square footage, lineal footage, tonnage, cubic yardage, etc.) for pavement materials, concrete, pipe, fencing, earthwork, etc. The final cost for each item is based upon quantities measured in the field and may be higher or lower than the originally estimated quantities. Page 2, Item Meeting Date 12/12/00 The purpose of the Change Order Policy is to keep public contracts under proper control, with a high degree of accountability. All change orders are reviewed by at least three to four people in the Public Works Departtnent before being forwarded to the Director of Public Works for approval. This assures that change orders are appropriate and necessary to complete the contract work. Staff contacted a number of other agencies to determine the current common practice regarding change orders. Only the agencies listed below responded. Agency Dollar Amount Threshold Approval Required CITY OF SAN DIEGO Up to $60,000 on non-bid items and $100,000 on bid Deputy Director items Director Between $60,000 and $100,000 on non-bid items Director/City Manager Between $100,000 and $200,000 on any item City Council Above $200,000 on any item COUNTY OF SAN DIEGO Individual change orders: Up to $150,000 Director Aggregate change orders: 1. Contracts up to $250,000:$25,000 Director 2. Contracts over $250,000:$25,000 + 5 % of contract Director amount over $250,000 All others Board of Supervisors CITY OF CARLSBAD Up to contingency amount established at time of contract Director award by City Council CITY OF ESCONDIDO 10% of original contract up to $10,000 aggregate amount City Engineer All others City Council CITY OF OCEANSIDE Individual change orders: Up to $10,000 Director Aggregate change orders: Up to I0% of original contract Director All others City Council CITY OF POWAY All Change Orders City Manager CITY OF FRESNO Up to 5 % of the original contract Director Between 5 and 10% of the original contract City Manager Above 10% of the original contract City Council CITY OF IRVINE Up to the total contingency amount (10%) Project Manager Above the contingency amount City Council As can be seen by the above, the practices regarding change order approvals are varied, but in the majority of cases approval authority is substantially greater than $10,000. The recommended policy revisions will give staff the necessary authority to prevent construction delays and will streamline the change order process while providing a "check and balance" system that caps the cumulative amount of change orders. It should be noted that the proposed individual contract change order authorization amount of $50,000 is consistent with the City Purchasing Agent's authority to issue contracts for services up to $50,000. If this resolution is approved, Policy No. 574-01 would be amended as shown in Attachment 1. FISCAL IMPACT: There will be a net decrease in staff Capital Improvement Program project contract administration costs associated with streamlining the change order procedures. Attachment 1: Proposed Revisions to City Council Policy No. 574-01 KPA/kpa 12/7/00 i0:01:42 AM [H:\HOME\ENGINEER\AGENDA\POLICY574-01.113.DOC] ATTACHMENT 1 PROPOSED REVISIONS TO CITY COUNCIL POLICY NO. 574-01 BACKGROUND During the course of work on many City public works projects, it becomes apparent that certain changes must be made in the contract to obtain the finished product in its desired form. PURPOSE Since most of these changes are of a minor nature which do not change the scope of the project or affect the public health, safety, or welfare, delegating limited authority to approve change orders would result in significantly expediting these public works projects. POLICY The Director of Public Works is hereby delegated limited authority to approve change orders for work being done under City public works contracts, as follows: 1. All change orders, except for those change orders exceeding or causing the exceedence of the amounts specified herein, shall be processed and approved by the Director of Public Works in accordance with the applicable project specifications. 2. No ~k,~,-;ndividual change order shall increase or decrease the original contract amount by more than $50,000. $ 5,000 D~rectnr of-%h!ie Works Appreva! 43. The aggregate amount of all change order ............ ~, ............................................ d rar.,~al..... t~t]c.e, shall not increase the contract amount by more than the ...... specified below: $!00,009 tc $!,000,000 5% Original Contract Range Maximum Aggregate Increase in Change Orders Up to $100,000 10% of the original contract amount $100,000 to $1,000,000 $10,000 plus 7% of the original contract amount over $100,000 More than $1,000,000 $73,000 plus 5% of the original contract amount over $1,000,000 ATTACHMENT 1 PROPOSED REVISIONS TO CITY COUNCIL POLICY NO. 574-01 The Director shall also be authorized to increase the time allowed for contract completion in associatiqn with any change order granted under this policy. 5~_. All change orders involving changes in the scope of project, increases of contract amounts greater than outlined above, increases ~'' *~ ~n ..... a ~e ......la.~q~, ing th ................ r ....... , or aspects concern e public health, safety, or welfare, shall be submitted to the City Council for consideration. In those cases where the City Manager and Director of Public Works determine that the public health and safety are involved or a substantial claim could be submitted by the contractor for delays, the City Manager may exceed the above amounts provided for both individual change orders or the aggregate amount of change orders. The change order shall be submitted to the Council at the next regular Council meeting for ratification. H:\HOME\ENGINEER\AGENDA\POLICY574-01.113 .doc -2- RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING CITY POLICY NO. 574-01 TO ALLOW THE DIRECTOR OF PUBLIC WORKS TO APPROVE INDIVIDUAL PUBLIC WORKS CONTRACT CHANGE ORDERS UP TO $50,000 AND CUMULATIVE CONTRACT CHAi~GE ORDERS UP TO AN AGGREGATE AMOUNT BASED UPON THE ORIGINAL CONTRACT AMOUNT WHEREAS, on January 16,, 1973, by Resolution No. 6716, City Council approved Council Policy No. 574-01 regarding change orders for wor~ performed under City contract; and WHEREAS, said policy was amended by Council Resolution No. 12507 on June 3, 1986 to increase the maximum individual change order amount that could be approved by staff from $1,000 to $5,000 for the Director of Public Works and $10,000 for the City Manager; and WHEREAS, Council Policy 574-01 currently requires that all change orders in excess of $10,000 be approved by the City Council; and WHEREAS, this proposed change will modify Council Policv No. 574-01 to allow the Director of Public Works to approv~ individual Public Works contract change orders up to $50,000 and cumulative contract change orders up to an aggregate amount based upon the original contract amount NOW, THEREFORE, BE IT RESOLVED the City Council of the city of Chula Vista does hereby amend City CounciI Policy No.,574- 01 to allow the Director of' Public WorKs to approve Individual Public Works contract change orders up to $50,000 and cumulative contract change orders up to an aggregate amount of: Original Contract Range Maximum Aggregate Increase in Change Orders Up to $100,000 10% of the original contract amount $100,000 to $1,000,000 $10,000 plus 7% of the original contract amount over $100,000 More than $1,000,000 $73,000 plus 5% of the original contract amount over $1,000,000 Presented by Approved as to form by John P. Lippitt City~ttorney ~ John ~4/ Kaheny Director of Public Works [H:/H OM ELA~TOR N EY/RESO/Policy 574- 01 Amendment (December 7, 2000 (B 20am)] COUNCIL AGENDA STATEMENT Item ~ Meeting Date: 12/12/00 ITEM TITLE: Resolution Amending the FY 2000/01 Public Works Department budget by appropriating $119,301 from the unappropriated balance of the General Fund to reflect actual water utility requirements for the Park Maintenance Section. REVIEWED BY: City Manager (~ (4/5th Vote: Yes X No ) The Park Maintenance's section water utility expenditures in FY 1999/00 exceeded the approved allocation. A combination of savings and encumbered funds from various Public Works Divisions accounts were used to balance the Park Maintenance section's budget for FY 1999/00. RECOMMENDATION: That Council amend the FY 00/01 Public Works Department budget by appropriating $119,301 from the unappropriated balance nfthe General Fund to reflect actual water utility requirements for the Park Maintenance Section. BOARD/COMMISSION RECOMMENDATION: Not Applicable DISCUSSION: The Park Maintenance section's Water Utility Account Expenses in FY 1999/00, exceeded the approved allocation by approximately $149,676. There are two major factors that conaibuted to the over expenditure. These were primarily the result of: 1) very low annual rainfall and 2) new landscaped areas. First, the annual rainfall in the San Diego County region was 50% less than normal in FY 1999/00. The Park Maintenance Section's water utility budget is predicated on deactivating irrigation systems in mid-October and reactivating them in mid-April of the following year. The lack of rain and the unseasonable warm weather required that the Park Maintenance section continue to irrigate parks and landscaped areas until late November of 1999 and then had to resume irrigation in early March of 2000 to protect the landscape areas. As mentioned in the Park Staffing study, the section has slowly resumed irrigating to the base levels in place prior to major irrigation service cuts necessitated by the economic downttu'n of the 1990's. A review of the park utility usage in FY 1999/00 revealed the follow/rig parks had substantial increases over the previous year: 5-/ Page 2, Item __ Meeting Date: 12/12/00 PARK WATER UNITS COST 1. SDG&E Park West 1,041 $2,196 2. SDG&E Park East 1,339 2,825 3. Greg Rogers Park 1,716 4,177 4. Loma Verde Park 1,265 2,669 5. Los Ninos Park 1,245 2,651 6. Orange Ave. Park 1,170 2,503 7, CV Community Park 1,496 3,542 8, Discovery Park 2,881 5,995 9. Terra Nova Park 2,352 2,771 10. Rohr Park 6,452 13,613 Total $42,942 The first six parks (1-6) on the above list are areas in which major irrigation reductions were initiated to obtain the necessary budget cuts in the mid-1990's. These parks were selected for irrigation reduction because of their low public usage. The irrigation increases have restored these parks to the pre-cut levels. The increases for the other three parks (7-10) are due to the heavy demands placed on these parks by picnickers and youth sport organizations because these areas are used extensively on a year around basis. Finally, the Park Maintenance Section assumed two new parks and several landscaped medians over the past two years without requesting an additional appropriation to provide the irrigation needs for these areas. Explorer Park was turned over in July of 1998 and Voyager Park in April of 1999. The Department intended to address the water irrigation for the new parks and areas in the Park Staffing Report sent to Council in April of 2000. When staff was preparing the report, the Park Ma'mtenance Section's budget appeared to have adequate savings to absorb the increase water usage. As a result, funding for the new parks and landscaped medians was overlooked. The following is a summary of new parks and landscaped medians assumed over the past two years: Park/Landscape Areas Cost 1. Voyager Park $31,071 2. Explorer Park 13,624 3. Landscaped Medians 2,606 Total $47,301 FISCAL 1MPACT: This action will appropriate $119,301 from General fund reserves to Public Works to pay for increased water usage due to added parks and landscaped areas. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE FY 2000/01 PUBLIC WORKS DEPARTMENT BUDGET BY APPROPRIATING $119,301 FROM THE UNAPPROPRIATED BALANCE OF THE GENERAL FUND TO REFLECT ACTUAL WATER UTILITY REQUIREMENTS FOR THE PARK MAINTENANCE SECTION WHEREAS, the Park Maintenance section's Water Utility Account Expenses in FY 1999/00 exceeded the approved allocation by approximately $149,676 due to very low annual rainfall and new landscaped areas; and WHEREAS, a combination of savings and encumbered funds from various Public Works Divisions accounts were used to balance the Park Maintenance section's budget for FY 1999/00; and WHEREAS, it is now necessary to appropriate $119,301 to reflect actual water utility requirements for the Park Maintenance Section. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby amend the FY 2000/01 Public Works Department budget by appropriating $119,301 from the unappropriated balance of the General Fund to reflect actual water utility requirements for the Park Maintenance Section. Presented by Approved as to form by John P. Lippitt J, M. Kaheny ~ Director of Public Works ~y ~to~rney [H:/HOME~,ATTORN EY\RESO\ Park Maintenance appropria[ion (December 7, 2000 (8:25am)] 3 COUNCIL AGENDA STATEMENT Item: Meeting Date: 12/12/00 ITEM TITLE: Resolution of the City Council of the City of Chula Vista waiving the City's formal bidding process as impracticable, approving an amendment to an agreement between the City of Chula Vista and Esgil Corporation to include building inspection services, authorizing thc Mayor to execute said contract amendment, and increasing the annual expenditure limit for said contract from $100,000 to $180,000. SUBMITTED BY: Director of Planning and Building~,L/~,,4 ~ REVIEWED BY: City Manager I)? (4/Sths Vote: Yes No X ) On June 2, 1998, City Council approved Resolution No. 19022 approving the three year agreement between Esgil Corporation, 9320 Chesapeake Drive, San Diego, and the City to provide plan check engineering services for the Department of Building and Housing (now the Department of Planning and Building) on an as-needed basis. To this date, Esgil Corporation has provided excellent service to both the City and its customers. At this point in time the Department's Building Inspection Section is experiencing not only an unprecedented increase in requests for inspection but also an unprecedented increase in complexity of buildings being constructed in this City. Without additional help within the coming months, City staff will be hard-pressed to provide next day inspections, the minimum level of customer service the public expects. The present contract with Esgil Corporation includes a provision for providing the City with additional services, including contract inspection services. This amendment would increase the scope of work of the original agreement by adding inspection services. Staff has negotiated favorable rates with Esgil to provide these additional services. RECOMMENDATION: That the City Council adopt the Resolution waiving the City's formal bidding process as impracticable, approving an amendment to an agreement between the City of Chula Vista and Esgil Corporation to include building inspection services, authorizing the Mayor to execute said contract amendment, and increasing the annual expenditure limit for said contract from $100,000 to $180,000. BOARDS/COMMISSIONS RECOMMENDATION: N/A DISCUSSION: Background During the mid- to late- 1990's, the City of Chula Vista experienced a significant increase in building construction. For the most part, this construction was comprised of wood frame single- family dwellings. Commercial/industrial buildings and multi-family buildings were a very small Page 2, Item No.: Meeting Date: 12/12/00 part of the building construction mix. Since September of 1999, however, this mix has changed significantly. Far more large buildings are being built in the City of Chula Vista. Many more are on the drawing board. Projects such as Leviton, Gateway and B.F. Goodrich will present us with inspection challenges we have rarely experienced. Also planned are the City Corporation Yard project, the new police station, the City Hall remodel, two medical buildings, and several large condominium/apartment complexes. Each of these commercial buildings has its unique design features, in contrast with wood frame dwellings, which normally have many common design features. Construction of concrete, masonry and steel is far more complicated and time-consuming to inspect than the customary wood frame, and results in more inspections per permit. We do not recommend hiring additional staff to deal with this challenge. In this labor market, experienced building inspectors are extremely hard to attract, even to Chula Vista. Inspectors with experience in large projects have been virtually impossible to fred. In addition, this trend towards larger projects may be only temporary. For these reasons we recommend contracting some of our inspection work to a private consultant. Consultant Services Selection Process In July 1998, a City Selection Committee appointed by the City Manager recommended award of a three-year plan check services contract to Esgil Corporation, based on a competitive bid process that included six vendors. At the time, Esgil offered inspection services, which, heretofore, have not been used by the City. Because several upcoming projects have ambitious time frames, staff recommends using Esgil Corporation, a firm that has the experience to deal with major projects and a firm with which we presently contract for plan review services. Their contract includes a provision allowing them to provide inspection services. The Esgil contract will expire in June of 2001, prior to which we intend to solicit new requests for proposal to provide engineering services from a number of consultants, in accordance with City policy. Pursuant to Chnla Vista Municipal Code Section 2.56.070, staff believes that competitive bidding is impracticable, and recommends waiving the normal consultant selection process for the following reasons: a. Esgil Corporation has provided satisfactory plan check services for the same commercial projects for which we seek inspection services, and their knowledge and familiarity with the projects will help ensure a quality project. b. Soliciting competitive bids for these inspection services would necessitate the interim reassignment of City building inspectors from residential projects, creating a backlog in residential inspections, our greatest volume of activity. c. Staff will soon be soliciting bids for a future plan check and inspection services contract Page 3, Item No.: Meeting Date: 12/12/00 to begin July 2001, and this amendment would provide for an uninterrupted customer service transition. d. Cost estimates by Esgil have been reviewed and are found to be reasonable. The consultant represents that they are experienced and staffed in a manner such that they can prepare and deliver the required services to the City within the necessary time frames. Deparanent of Planning and Building staff have negotiated the details of this agreement in accordance with procedures set forth in Section 2.56.110 of the Chula Vista Municipal Code. FISCAL IMPACT: All costs for building inspection services, whether performed by City staff or by a City consultant, are borne by the applicant in the form of permit fees. The permit fee provides sufficient revenue to recover both the cost of the inspection service provided by the consultant and the Department's overhead costs. There is no additional cost to the public as a result of having the construction projects inspected by the consultant. The Department would determine at the time the permit is issued which projects would be given to the consultant to inspect based on the complexity of the project and workload backlog at the time. The contractually approved expenses for plan check services for this fiscal year is $I00,000, of which approximately $25,000 has already been expended. An additional $80,000 in annual expenditure limit with Esgil Corporation is requested for fiscal year 2000-01. Since the City Council previously approved this appropriation with the fiscal year 2000-01 budget adoption, there is no fiscal impact. We recommend that these funds also be used to pay for the contract building inspection services. Attachments 1. Amendment to the Agreement between the City of Chala Vista and Esgil Corporation, a California Corporation. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE CITY'S FORMAL BIDDING PROCESS AS IMPRACTICABLE, APPROVING AN AMENDMENT TO AN AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND ESGIL CORPORATION TO INCLUDE BUILDING INSPECTION SERVICES, AUTHORIZING THE MAYOR TO EXECUTE SAID CONTRACT AMENDMENT, AND INCREASING THE ANNUAL EXPENDITURE LIMIT FOR SAID CONTRACT FROM $100,000 TO $180,000. WHEREAS, on June 2, 1998, City Council approved Resolution No. 19022 approving an agreement between the Esgil Corporation and the City to provide plan check engineering services for the Department of Building and Housing on an as-needed basis; and WHEREAS, the previous resolution also established a maximum expenditure of $100,000 for these services during fiscal year 2000-01; and WHEREAS, due to a higher than anticipated increase in complex construction activity, the Department of Planning and Building is requesting this limit be raised by $80,000 in order to cover existing financial commitments and to address a continuing need for these services through the remainder of the current fiscal year; and WHEREAS, a contract amendment to include inspection services is necessary to provide contract expertise for complex construction activity; and WHEREAS, City staff recommends waiving the City's formal bidding process as impracticable for the following reasons: a. Esgil Corporation has provided satisfactory plan check services for the same commercial projects for which City seeks inspection services, and their knowledge and familiarity with the projects will help ensure a quality project. b. Soliciting competitive bids for these inspection services would necessitate the interim reassignment of City building inspectors from residential projects, creating a backlog in residential inspections, City's greatest volume of activity. c. Staff will soon be soliciting bids for a future plan check and inspection services contract to begin July 2001, and this amendment would provide for an uninterrupted customer service transition. d. Cost estimates by Esgil have been reviewed and are found to be reasonable; and WHEREAS, the additional cost of these services is fully recovered through Building permit and plan review fees. NOW, THEREFORE, BE IT RESQLVED that the City Council of the City of Chula Vista does hereby waive the City's formal bidding process as impracticable. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista does hereby approve increasing the annual expenditure limit between Esgil Corporation and the City of Chula Vista to provide plan check engineering services for fiscal year 2000-01 from $100,000 to $180,000. BE iT FURTHER RESOLVED that the City Council of the City of Chula Vista does hereby approve an amendment to the scope of services from Esgil Corporation to include inspection services, and authorizes the Mayor to execute said contract amendment. Presented by Approved as to form by Robert Leiter John~. Kaheny ~) Planning and Building Director Ci~Attomey H:\Shared\Planning\EsgiIReso2.doc FIRST AMENDMENT TO the Agreement betWeen the City of Chula Vista and Esgil Corporation, a California Corporation Recitals This First Amendment is entered into effective as of December ,2000 by and between the City of Chula Vista ("City") Esgil Corporation, a California Corporation ("Consultant"), with reference to the following facts: WHEREAS, City and Consultant previously entered into an agreement on June 2, 1998 whereby Consultant was to provide building plan review services; and WHEREAS, City needs further assistance from Consultant in providing building inspection services on many of the complex commercial and multi-family projects they currently plan check; and WHEREAS, the parties negotiated a new Scope of Work; and WHEREAS, the parties now desire to amend the Agreement to exp~nd the Scope of Work required of Consultant to provide building inspection services. NOW, THEREFORE, in consideration of the recitals and the mutual obligation of thc parties set forth herein, City and Consultant agree as follows: 1) Exhibit A, Section 7 of the original Agreement, entitled General Duties, thc first sentence is hereby amended to state: CONSULTANT shall provide professional services for the review of proposed building plans and performance of the related building inspections, as requested by the City, for conformance to regulations contained in the state mandated building, plumbing, mechanical and electrical codes, as those are amended by thc CITY; 2) Exhibit A, Section 8A of the original Agreement, entitled Scope of Work and Schedule, Detailed Scope of Work, is hereby amended to add the following paragraphs: 7. Provide next-workday inspections of all requested inspections and reinspections for compliance with the State of California mandated Uniform Building Code, Uniform Plumbing Code, Uniform Mechanical Code, National Electrical Code, Disabled Access Regulations and Energy Conservation Regulations as these regulations have been adopted and amended by the City of Chula Vista. 8. Coordinate all inspection and reinspection requests. 9. Coordinate with the Building Official on all discretionary decisions or requests for alternate materials or types of construction. 10. Coordinate with the Building Official on all certificates of occupancy to be sure that all applicable City regulatory agencies have approved the project. Plan Check and Inspection Services Amendment to Exhibit A to Esgil Agreement Page l of 4 December 5, 2000 11. Maintain all inspection records for all assigned projects, to be turned over to the City within one week of project completion. Records include all Correction Notices and all documentation related to Design Changes. 3) Exhibit A, Section 8C of the original Agreement, entitled Dates or Time Limits for Delivery of Deliverables, is hereby amended to delete the following paragraph: II. Buildings four or more smiles in height or of unusual complexity SERVICE GOAL: As agreed by the CITY'S Director of Building and Housing 4) Exhibit A, Section 8C of the original Agreement, entitled Dates or Time Limits for Delivery of Deliverables, is hereby, amended to add the following paragraphs: II. Buildings four or more stories in height or of unusual complexity SERVICE GOAL: As agreed by the CITY'S Building Official III. Buildings of any size SERVICE GOAL: Provide next-workday inspections of all requested inspections, and maintain all inspection records for delivery to CITY within five (5) working days of final inspection, or as requested by CITY 5) Exhibit A, Section 8D oF the original Agreement, entitled Contractor Performance Documentation, is hereby amended to add the following paragraphs: CONSULTANT shall note on the project inspection record card: 1. The date of each inspection by type, and the dispensation of each inspection; 2. The initials of the inspector performing the inspection; CONSULTANT shall provide the City with written correction notices for all denied inspections within three (3) working days of the related inspection. 6) Exhibit A, Section 8E of the original Agreement, entitled Final Decision Authority, is hereby amended to read: The CITY's Building Official shall have final decision authority over the results of the plan checks and building inspections by CONSULTANT and all work performed by CONSULTANT shall be to the satisfaction of the CITY's Building Official. 7) Exhibit A, Section 10 of the original Agreement, entitled Materials Required to be Supplied by City to Consultant, is hereby amended to add the following paragraph: Plan Check and Inspection Services Amendment to Exhibit A to Esgil Agreement Page 2 of 4 December 5, 2000 G. CITY shall provide City of Chula Vista correction notices and Building Inspection record cards for use by CONSULTANT building inspectors on CITY business. 8) Exhibit A, Section 11 of the original Agreement, entitled Compensation, is hereby amended to add the following paragraphs: E. Fee for performing the inspection services is 75% of the Building Permit Fee in Table 1-A of the 1998 California Building Code (attached) and 75% of the City plumbing, mechanical, and electrical permit fees. Fees will be billed monthly as follows: After inspection of under building utilities and foundations 25% After inspection of fl-aming, rough electrical, rough plumbing, Rough mechanical 35% After final inspection of all building elements 15% 9) Exhibit A, Section 12 of the original Agreement, entitled Contract Administrators, the first paragraph is hereby amended to read: City: Brad Remp, Building Official/Assistant Director of Planning and Building, Public Services Building, 276 Fourth Av., Chula Vista, CA 91910, (619) 691-5007 E-Mail: bremp~ci.chula-vista.ca, us (C:\Word\Word~Esgil K Amendment.doc) Plan Check and Inspection Services Amendment to Exhibit A to Esgil Agreement Page 3 of 4 December 5, 2000 SIGNATURE PAGE TO FIRST AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND ESGIL CORPORATION, A CALIFORNIA CORPORATION. City of Chula Vista Esgil Corporation By. By Shirley Horton, Mayor Richard James Esgate, President Date Date ATTEST: Susan Bigelow, City Clerk Approved in form by: John M. Kaheny, City Attorney Plan Check and Inspection Services Amendment to Exhibit A to Esgil Agreement Page 4 of 4 December 5, 2000 COUNCIL AGENDA STATEMENT Item '7 Meeting Date 12/12/00 ITEM TITLE: Resolution Adopting the 2001 Legislative Program and Legislative Work Progr ~am. SUBMITTED BY: Legislative COmmittee Colleen M. Kelly, Intergovermnental Affairs Coordinator0/~ REVIEWED BY: City Manager ~ ~L~ (4/Sths Vote: Yes No X ) The Legislative Program represents the City Council's position on items likely to be acted upon by the State Legislature, Congress, or administrative agencies. By adopting a Legislative Program at the beginning of each two-year legislative session and amending it at mid-term, Chula Vista can take a proactive role in sponsoring, supporting, or opposing bills related to the City's various legislative priorities. RECOMMENDATION: That the City Council approve the resolution adopting the 2001 Legislative Program and Legislative Work Program. BOARD/COMMISSION RECOMMENDATION: This report from the Legislative Committee reflects their comments as well as input from the department directors. A copy of this draft was sent to Council as an Information Item 1 I/9/00-- no Council comments were received as of 12/5/00. DISCUSSION: Background The purpose of the Legislative Program (as instituted by Council Policy 300~01 in 1987) is to identify and adopt position statements regarding a variety of issues which reflect the policy and direction of the Council. This action sets guidelines that permit staff to make timely responses consistent with Council's desires to sponsor, support or oppose bills during the legislative session. By taking action on a comprehensive program at the start and midpoint of the legislative and congressional sessions, the City is able to work with our local elected representatives to introduce needed legislation as well as position itself proaetively on a wide range of issues. Presented in this report is an updated 2001 Legislative Program and a Work Program to guide staff and our legislative consultant throughout the coming legislative session. 7-/ Page 2, Item Meeting Date 12/12/00 Legislative Program In general, the Legislative Program lays out the City's positions in the following subject areas: A. Bayfront/Redevelopment B. Fiscal Support/Home Rule C. General Government D. Housing and Community Development E. Economic Development F. Land Use Planning G. Environmental Protection H. Public Employer/Employee Relations I. Public Liability J. Public Safety K. Public Works/Transportation L. Recreation M. Library The program is administered by the Legislative Committee. Items included in this document are generally non-controversial, and include: · Supporting additional state or federal funding for local government and/or Chula Vista programs · Opposing unfunded mandates · Protecting City planning and land use authority · Recommending reforms in various state and federal programs Via unanimous adoption of the program by the City Council, related bills can be acted upon directly by the Legislative Committee, so that the City's position can be communicated to legislators in the quickest, most effective way. Notification of positions taken and copies of any letters sent are then forwarded to the City Council for information. In addition, through the efforts of the League of California Cities, professional organizations to which various city staff belong, or as a result of research by the City's lobbyist, legislative proposals may be brought to the attention of the Legislative Committee which are not covered by the Legislative Program. These items are brought to the City Council for review and direction. Proposed Changes for 2001 The proposed amendments address issues raised during the 1999-2000 Legislative session, new City Council priorities, and new priorities in Sacramento and Washington. The remainder of the program is carried over from the 2000 Legislative Program, as adopted by Council 11/30/99. In most cases, the City's priority issues for 2001 (e.g. capping or reversing property tax takeaways, opposing binding arbitration efforts, obtaining funds for the Chula Vista Nature Center, protecting Page 3, Item Meeting Date 12/12/00 Federal CDBG allocations) are already included in the Legislative Program and thus do not require any amendments. A complete list of amendments is shown in Exhibit A, with additions denoted by underline and deletions by strikeout. Major amendments as proposed are listed below: Supporting efforts to: Facilitate the recommissioning, redesign or relocation of the SDG&E South Bay power plant and assist with the redevelopment of this bayfront property. · Ensure that, should the South Bay power plant be dismantled, the City/Agency receives in- lieu revenues to replace those monies lost as a result of plant relocation. · Limit Coastal Commission authority over land use decisions outside the Coastal Zone. With an up-to-date Legislative Program, staff is better able to communicate the City's interests to Congress and to the State Legislature. Most importantly, we will be able to communicate that message to our State and Federal representatives and work with them to introduce or advance legislation effecting Chula Vista's priority issues. The State Legislature convened for one day (12/4/00) to announce new committee chairs and allow for the early introduction ora select few pieces of legislation. None of these were reviewed as of the writing of this agenda statement; however, the Legislature will take no action on any proposals until after the first of the year. Sacramento's deadline to introduce new bills for 2001 is February 23rd. Since this window of opportunity is a short one, Council is encouraged to share at this time any additional issues or interests they have in pursuing changes in state law. Legislative Work Program In an effort to maximize the City's resources and impact at the Statd level, the attached vyork program (Exhibit "B") has been developed to guide staff and our legislative consultant. This document is the result of discussions with City departments and the Redevelopment Agency staff, as well as input from Councilmembers. It serves several purposes: a) as a work plan for staff and the legislative consultant; b) as a means of narrowing the scope of the legislative efforts to specific issues of concern to Chula Vista; and, c) as a valuable tool for setting the City's agenda and evaluating our lobbying endeavors in the state legislative process. 'The proposed work program is divided by category and priority. Included is a description of each request and recommended follow-up action. The priority assigned to projects is based on the following criteria: · Urgency (i.e. significant cost or need) · Timing/political climate in Sacramento and Washington · Feasibility Page 4, Item Meeting Date 12/12/00 As an example, maintaining or increasing current revenue allocations from the State is rated a Priority 1 because of the amount of money being lost each year to such programs as the Educational Revenue Augmentation Fund (ERAF takeaways) and the fact that these losses have reduced the City's ability to maintain the levels of service it provides to the residents of this community. Lower priority items range from those having a significant fiscal impact but lesser political viability (e.g. sales tax reallocation; Priority 2), to projects with low direct fiscal impact to the City (e.g. increase the percentage of post-consumer packaging requirements; Priority 3). Updates of the work program will accompany staffs Legislative Program Quarterly Status Reports to keep Council informed of progress toward these goals. FISCAL IMPACT: Amendment of the Legislative Program and Work Program for 2001 does not result in any direct cost to the City. There are fiscal impacts, however, associated with this program; specifically the City's contract with a legislative advocate in Sacramento (Advocation, Inc.), which is capped at $79,000 per year. In addition, success in achieving the goals of this program can lead to significant fiscal impacts. As was noted in the recently-approved contract with Advocation, these fiscal impacts can be difficult to estimate. The City's legislative efforts have, however, yielded substantial, concrete cost results. These, too, were presented to the Council at the meeting of 11/14/00 at which time the Council approved the contract with Advocation, Inc. and included such items as $12 million in State funds and $22 million in Federal funds for the construction of the veterans home in Chula Vista, $4 million in State supplemental subventions for the Redevelopment Agency, and $750,000 for alternative fuel programs in Chula Vista. Finally, as we look to Chula Vista's goals for 2001, the City will continue to focus on the following key issues: .... · Improved protection for local government revenues such as the Vehicle License Fee, including a possible constitutional amendment to prevent future State raids on city fimds Allocation of State Park, Library and Water Bonds to support Chula Vista projects such as the new library for Otay Ranch Protecting cities' authority to license or lease use of property within a municipality's jurisdiction by telecommunication companies, utilities or cable companies · Addressing the impacts of electronic commerce on sales tax revenues · Reversal of the current State take-away of local property tax revenue into Educational Revenue Augmentation Funds Attachments: 1. Exhibit A: Proposed 2001 Legislative Program 2. Exhibit B: Proposed 2001 Work Program c:\...\2000\agenda statements\01 legprg. 113 7-¥ DRAFF 2001 CHULA VISTA LEGISLATIVE PROGRAM A. Bayfront - Redevelopment. 1. Support efforts to: a. Provide funding for urban waterfront restoration projects and the enhancement of the waterfront within the southern San Diego Bay. b. Provide funding for the Chula Vista Nature Center. c. Facilitate the di~m,mllbtg r~ommi~it~nin~ tor~a~i~a~a c~r tolneafinn of the SDG&E South Bay Power Plant and assist with the redevelopment of this bayfront property. d. Coordinate Federal Coast Zone Management Act, Environmental ProtectSon Agency (EPA) regulations and State Coastal Zone Act, in an effort to eliminate duplicate efforts. 2. Oppose efforts to: a. Reduce the number of San Diego Unified Port District Commissioners and/or require commissioners to be elected members of the city council that they represent. B. Economic Development. 1. Support efforts to: a. Enhance California's overall business climate ~i~h pa~,l~ om?hn~ic ,~n b. E~dtmtcu qtvangfh~n o~i~,~g business atlzaction and retention p~,~,g~,~ c. Provide fundh~g, p~ugl~mmmhc ~uppmt or uflt~ ,~ubtattce to Chula Vbta duv~lupme~t i. C~o~a Trade ~d Co~erce Agen~ fi. C~unda Dui~t~e Adju*btun[ Makl&~g G~ml[ progr~t C~un~ h&~ku~turu Bm& mtd job Cluafiun htve~tent Fm~d iv. U.S. Deponent of Co~erce, Econo~c Development A~a~on (EDA) v. U.S. Hous~g ~d Urb~ Development (~) ~nmm,,ni~r Do~,~l~p~,f vi. Export ~tce, defe~oe cultvul~iun, tedutulugy ~m~fe~, bu~hte** h~cubator~, job ~tg md uflle~ ecunondc development prug~an~ fm wlddt Otula V~ bu~hte~e~ wuuM quu~y mM ~ucmu ~udt fmdhlg fm Ch~ V~ pxojecb m~d/or e. Create now ox eidlmme ~ge[ed b~Mess ass~mce pro~ (such ~ s~te Enterpr~e Zolte~ or federd Empowuxmun[ Zone) wi~ e~bffi~ criteria ~ which ~lai ~uuld htciude Chu~ V~ ..... M f. Create or e~ce pro,ams wtfich support h~[eHta~o~ml cross-border commerce ~-A g. ~crease ~e flexibffi~ of ~e use of ~D Commm¢ DeveBpment Block Grant ~ds · ey relate to general ~ono~c development proj~B ~d pro~m. h. h,cse,t~c t'iexib~ii[y of the Amond California redevelopment laws ~ Htey re~ ~ gener~ ~unuudc develupment prugx~ htdu~g e/fuz~ to ~11~ a~n~oq f~ ex,nd ~e ~e of redevelopment proj~t ~e~. i. Con~ue aufltul~afi~lt for ~e Co~m~ Re~v~ent Act ~d ad~fim~ leg~h~on to nr~t~t ~on~han landor acco~bffi~ fox lender~ ~ rehte~ to sm~ b~ses developm~t pro~m. C. En~o~ent~ ~otecfion. 1. Support effor~ to a. Req~e ~ enviro~ ~pact report (E~) for ~ge projec~/u~W mergers. b. Ob~ ~g for wefl~ ~d fip~ habi~t acq~i~on ~d res~rafion, for acq~i~on of l~d n~ded for mffifi-species habi~t come~afion plug, for acq~ifion, development ~d m~te~ce of open space, ~een~l~, byers, s~em ~d ~, qfl lnng c. F~d plmg ~d ~d acqu~ifion for Na~ral Co~m~ Co~e~afion pl~. d. Ob~ ~d~g for a comprehe~ive envkomen~ m~agement p~g effort for S~ Diego Bay. e. Pro~bi~g ~e ~g of new le~es for off ~d g~ development m s~t~o~ed co~ waters off S~ Diego Co~. f. Encourage ~e ~on of water an3 onnr~, CO~O~g ~eS in noir ~d e~g residences ~d b~esses. g. Obta~ ~d~g for water come~afion ~ ~clude ~e coercion of recla~ed wa~r d~ibufion sysco, ~d ~re ~d kfigafion sys~m renova~on ~d re~ofit. Encourage post-commer r~cled product use ~ m~ac~r~g, residen~ ~d b~ess app~cafio~ ~ough ~cenfives, educaaom, promoho~, etc. i. E~e long-arm a~men~ ~at pro,de re~c~g ~cenfives ~d/or profi~ble m~ke~ for a broader r~ge of produc~ ~ are c~mnfly re~cled. R~uke "d~posal wang" labe~g on household hazardous ma~ri~, w~ch reduce ~e use of toxk mater,S, ~d w~ch promote nontoxk ~tema~ves to present mater~. k. R~e mum content smd~ds for use of re~cled materi~ ~ m~ac~g processes. 1. Provide ~d~g for envkomen~ en~r~e ~cenfives, sp~ffica~y Re~c~g Marke~ Development Zones (~DZ). 2 m. (2vnt~m~ ~uthudz~tlon fm Expand the bottle bill legislation, ~m_h ~ kB 1467, Ch. ............ idhtg tare la ~tamre.s m ~:~o ~tu ~r~ 1173, Cit. 624, Statu£e.~ of 1995, latov ~ ~yutut~t~ to wldch upu. ate ~-mbMdu ~ucyc~tg progr~. ~d e~ p~hc ~d g~s proc~s~g or h~g f~s. NO~: S~ support ~d~ ~ hw helps mbsi~ ~e O~'s ~bside ~g pro~ Adffi~o~ boffie desi~hom ~d depo~ wo~d ~e r~ve~ of ~bles ~d ~t ~ cost r~ove~ or ~b~de co~on. H~g ~ m ~sed ~ ~c~ ra~ ~ c~s ~d ~ do not pro,de ~ ~c~ve ~r co~s ~ r~de. None of ~ ~ f~ sup~rt 1~ ~bside. n. Exp~d rite horde b~ m u~u~ ~e nmber of advice ~pos~ f~ ~ a m~ket-~ven m~er ~ pro,de r~c~g ~cen~ves ~d ~g for ofltut ma{~, ~ucb ~ ~quor mtd fi ~t j~cu botfl~ mtd ho~hold h~do~ w~. o. Enact a s~te~de 1~ b~ on desi~a~d r~chbles. ~ wo~d m~age developm~t of new f~ capad~ ~d s~mg~m/smb~ long-~ ~ke~.) p. Reau~o~e ~e Feder~ Water Reso~c~ Act, ~clu~g prov~iom to r~e re~b~sement ~t ~d pro,de re~b~sement for com~c~on exp~ffi~es. ~O~: Wi~ a rev~d re~sem~t ~t, Ch~ Vg~ co~d ~ e~ble ~r up to ~ ad~o~ ~ ~ for ~er ~provemm~ ~ong ~e Tele~aph ~yon C~k fl~d consol ~el.) q. Mo~ ~e Cle~ Water Act to ~ve ~e Ci~ of S~ Diego ~ exemp~on ~om c~rent "mass e~sion reduc~on" requkemen~. r. L~t envkomen~ ~figafion requkemen~ for com~cfion ~d mm~n~ce of ~age facffihes ~ urb~ ~e~ especiaRy ~ develo~d neighborhoods in ~a,rnr nf ~,eh,ral and S. Grm~t local agencies au~ori~ to ~e appe~ wi~ ~e S~te Water QuaB~ Consol Board (SWQCB) conce~g acfiom by a Re~onal Wa~r Qua~ ConSol Board (RW~B). t. Advice ~e ~e of low-e~sion ~d zero-e~sion ve~cles ~ough market ~cenfives, credit, rebates, pubic/priva~ par~ers~ps ~d o~er movafive solufiom. u. Create ~cenfives for renewable power generation ~d d~ibufion. v. Crea~ ~cenfives for ener~fficient bufld~g pro,ms. w. Develop ~d apply a s~dard~ed state/national de~fion of "~eenpower" x. Requke "~u~ ~ labe~g" wi~ respect to ~em~ power generators m~d providers. y. Improve ~e coord~afion of S~te, Federal ~d loc~ agency responses to ~ qua~ consol, ener~ ~d envko~en~l prot~fion z. Provide S~te or Feder~ ~g to core,ct facffifies to cap,re ~d ~eat ~e flow of raw sewage enter~g S~ Diego &om Tijum~a. aa. Enco~age development of envkomen~y sold t~qu~ for ~ea~g haz~dous w~te to reduce i~ vol~e ~d e~te ~y toxici~ ~out ~g on home ~e au~o~ over ~e dec,ion of whe~er (or when) to ~plement such tec~ques. bb. Provide ~dfl~g &om S~te, Federal or ou~ide sources to s~dy ~e wa~r qu~/toxic po~ufion ~ S~ Diego Bay. 3 cc. Encourage development of water resource facilities and make improvements to the delta without imposing unfunded mandates on local governments. dd. Provide financial assistance at the Federal level to construct new and upgrade existing secondary treatment facilities in San Diego County. ee. Improve the efficiency of environmental regulations and enforcement actions of such agencies as: Department of the Interior, Corps of Engineers, Department of Commerce, National Oceanic and Atmospheric Administration and Environmental Protection Agency. ff. Provide for streamlined environmental permitting processes for pubhc works projects that are included within an adopted multiple species conservation plan that is in conformance with the State's Natural Community Conservation Program. 2. Oppose efforts to: a. Site ~ new 1,u,dlili itt ilte ~uih Bay (expansion of Otay landfill makes this moot point) b. Nullify or weaken the current climate change treaty (Kyoto Protocol) that requires the United States to reduce its greenhouse gas emissions by 7% from 1990 levels by 2010. D. Fiscal Support - Home Rule. 1. Support efforts that: a. Permit retention and control by local govemments of a greater portion of revenue generated by Federal, State, and local taxes, fees and fines (e.g. vehicle code fines). b. Require the Federal government and State to reimburse local governments for all mandated costs or regulatory actions or that allow cities to cease performance of unfunded mandates. c. Retain maximum flexibility in the administration of Article XIUB, XIIIC and XII1D of the state constitution (X/I/B: the Gann Initiative--local expenditures are limited by population growth and CPI factors; XIIIC & D: Proposition 218). d. Expand local autonomy or the home rule authority to govern municipal affairs. e. Enhance the quality of urban life by funding the creation, improvement, or expansion of parks, libraries, community services and infrastructure, such as roads, flood control, etc. f. Provide state/federal funding for construction or renovation of public buildings such as comnmnity centers, libraries, civic center, etc. g. Expand the sales tax base to include mail order sales/home shopping sources, intemet~ based commerce. h. Provide that ciiles and school districts can issue general obligation debt with a majority vote instead of the current 2/3-vote requirement. i. Ensure that, upon sa~ cli~mantll,g of the South Bay power plant, the City/Redevelopment asueD ~ttd, upoLt di~mmtilh,g of ilte p~ttt[, [he City/Agency receives in-lieu revenues to replace any monies lost as a result of plant relocation. j. Provide for fiscal reform in the form of greater reliability, certainty, and equitability of state funding for local governments. 4 k. Reallocate sales and property taxes to the benefit of local governments. 1. Permit government agencies to pass through, to the consumer, the bank fees associated with credit card transactions. Note: the City would be better able to offer the convenience of credit card usage to area/residents, businesses if local government were not prohibited from passing these bank costs to the consumer m. Protect local governments' ability to fund capital improvement projects through tax-exempt bonds. n. Increase the Industrial Development Bond cap. 2. Oppose efforts to: a. Restrict the use of, or reallocate, city revenues such as Transportation Development Act funds, Transient Occupancy Tax revenues, and Business License Tax revenues. b. Exempt residential users from the Utility Users' Tax. c. Reallocate fines and forfeitures to the detriment of cities. d. Repeal Gas Tax exemption for local agencies. e. Reallocate sales and property tax revenue to the detriment of cities. f. Limit cities' authority to enact or impose mobilehome or residential rent control. g. Limit cities' authority to: enact and assess fees to recover the furl cost of providing user- specific services; recover the full costs of assessment district maintenance: li,-onco nv loa~o h. InfrInge on home rule authority to act on local budget and fiscal matters or other mtmicipal affairs, or to impose unfunded mandates onto local government. i. Overhaul the California Public Records Act in a way that would: restrict cities' control of the means of access to information assets (e.g. computer databases, proprietary software), limit cost recovery for providing such access, or violate the privacy of the parties from whom the data was collected. j. Limit: imposition of franchise fees, taxes, or other compensation for use of public right-of- way; local rate regulation; operational oversight; or right-of-way controls on cable television operators and other telecommunications providers and utilities. k. Preclude cities from collecting Utility User's Tax (UUT) revenue on celltdar or digital telephone use when negotiating UUT agreements. E. General Government. 1. Support efforts to: a. Subject the State Legislature to the same requirements for public meetings, advance agenda, etc. as currently imposed on cities through the Brown Act. 5 b. Eliminate the State's reqtffrement that mandates Project Committee and/or Boards & Commissions members to complete a fbtmt~_ial d.~lu~t~e ' ' tatement. c. Limit to 1% the amount of administra6ve costs the Board of Equalization may charge to administer local sales taxes such as San Diego's half-cent sales taxes for transportation and justice facility construction. d. Facilitate increases in Open Space District assessments by an amount not to exceed the Consumer Price Index (CPI) or higher if increased costs are beyond the control of local governments (e.g. imposed by water districts). e. Select Chula Vista as the site of a new University of California or other four-year institution, as well as efforts to facilitate such an eventual designation. f. Provide funding for Chula Vista SMARTCommtmity program, alternative fuels programs, and other technology-based projects. g. Fund school facility construction programs without increasing the fiscal burden of local government. h. Clarify the authority of school districts to impose facilities fees established by Ch. 887, Statutes of 1986 (AB2926). i. Return Chula Vista to a central position in the 40th Senate District and 79th Assembly District, respectively. 2. Oppose efforts to: a. Mandate district elections in all cities and/or school districts. b. Impose border crossing fees on the U.S./Mexico international border. c. Impose greater restrictions on local government through amendment of the Brown Act. d. Divide cities among multiple Congressional, State or Supervisorial districts. F. Housing & Community Development 1. Support efforts to: a. Exclude redevelopment agencies from competitive bidding statutes and fair market value restrictions for resale of public properties to permit joint development of public facilities by private developers upon findings of public benefit. b. Extend the following three Federal Low-Income Housing Programs: i. Mortgage Credit Certificate Program for low/moderate income home buyers; ii. Tax Credits for low income housing programs; and, iii. Continue funding for HUD HOME and HOPE Programs. c. Change Federal banking regulations to exempt banks from having to count financing or Letters of Credit for low income housing in their risk capital limit calculations. d. Provide additional or enhanced state/federal or other assistance to first-lime homebuyers, including efforts to increase funding for the City's Mortgage Credit Certificate program. e. Support principles for housing element reform legislation as reconunended by the SANDAG Housing Element Advisory Committee and approved by the SANDAG Board. f. Prevent the loss of affordable housing units through federal funding for acquisition of at- risk units by non-profit agencies; end special section 8 subsidies for affected low-income tenents. e. Encourage the use of alternative dispute resolution measures as opposed to costly a_nd time consuming litigation in condominium and townhouse construction defect challenges. Note: the proliferation of lawsuits over at!eged cor~struction defects has led to a nearly complete withdrawal from condomiuittm/towrthouse construction by the development industry throughout California. These attached homes are a critical element in the first-time home buyer market f. Develop Federal end State participation and finencial support for programs to provide adequate housing for the elderly, hendicapped and low-income persons throughout the community. g. Maintain and create tax incentives for private revitalization of existJ.ng commercial, industrial and housing resources where such assistance benefits the City. 2. Oppose efforts to: a. Grant the State or Federal government approval or veto authority in the implementation of local redevelopment and rehabilitation projects. b. Prohibit eny state agency from making subventions, finencing, insu~rance or eny other kind of assistance, available to any city or county that has in effect any rent control measure. G. Land Use Planning. 1. Support efforts which: a. Strengthen local government's powers mad capacity to prepare, adopt and implement fiscal plans and programs for orderly growth, development, beautification, and conservation of their planning areas. b. Are consistent with the doctrine of "home rule" end the local exercise of police powers, through the planning and zoning processes, over local lend use. c. Expand the land use, conservation, end growth menagement policies of municipalities to the unincorporated territories within their spheres of influence. d. Broaden local government's power to require developers end subdividers to l~rovide the on- site end off-site facilities and infrastructttre needed by their projects. e. Maximize the authority of the City to exercise local control over general plen decisions. f. Require special districts and school districts, including community colleges, to adopt facility master plans which are consistent with City end County general plans and growth management programs, end to adopt five year capital improvement programs and finencing plans which are consistent with their facility master plans. Oppose efforts to: a, Abridge local government's ability to effectively plan, or regulate local land use inclnding: amendments to the laws governing the local agency formation commission (LAFCO); legislation which would financially overburden local governments in their efforts to amend plam~ing pohcy, regulate land use through removal of incompatible developments, -) -// redevelop bhghted areas, or annex territories which are within a city's spheres of Lrffluence. b. Site airports that would adversely impact the Chula Vista area. H. Library. 1. Support efforts to: a. Provide continued augmented or full fimding for the: California Public Library Fund (PLF), Libra~ of California and California Library Services Act (CLSA), including Transaction Based Reimbursements, literacy programs and library services for all age groups. b. Provide for continued and/or augmented funding of the Federal Library Services and Technology Act. c. Fund library construction and/or renovation. d. Provide programs at both the State and Federal level that guarantee for libraries the largest possible discount in rates for telecommunication services, internal connections and access to the Internet. e. Preserve existing provisions that exempt libraries from having to act as censors of literature or information. I. Parks and Recreation. 1. Support efforts to: a. Provide state/federal funding for such City programs as those supporting: the arts, child care, after school programs, gang prevention and diversion, and drug prevention and intervention in a community-based recreation setting. b. Provide funds for construction of new parks as well as renovation of deteriorating park and recreation facilities. J. Public Employer-Employee Relations. 1. Support effort~ to: a. Protect the rights of cities to establish conditions of employment, including hours, wages, employee benefits, the meet and confer process, appeal procedures, and management rights. b. Reform California Workers' Compensation Program to reduce public costs and tighten restrictions. c. Amend the Fair Labor Standards Act to ensure that executive, administrative and professional employees stol qualify as exempt. 2. Oppose efforts to: a. Impose restrictions on the scope and authority of charter cities to control their own health plans or retirement systems. 8 b. Mandate the inclusion of local government employees in the Social Security System and/or Medicare. c. Increase workers' compensation benefits without also making needed reforms. d. Mandate changes, impose limitations, and/or other benefit plans, wages, hours, or working conditions that are properly determined through the meet and confer process. e. Mandate binding arbitration in public employee disputes. f. Reduce local control over public employee disputes and impose regulations of an outside agency (such as PERS). g. Prohibit employers from testing employees or employment applicants for illegal substances. K. Public Liability. 1. Support efforts to: a. Change the legal principal of "joint and several liability" to protect the City against "deep pocket" liability. b. Reinforce public entity design and discretionary act immunity. c. Prohibit recovery by a plaintiff for injury where those injuries were caused as a result of avoiding a police pursuit. d. Minimize governmental financial exposure to frivolous lawsuits and improve liability protection for governmental agencies and their personnel. e. Expand the existing list of "hazardous activities" so that public entities and public employers are not liable for injuries to any individual(s) who participate in these activities (e.g. skateboarding, rollerblading). 2. Oppose efforls to: a. Further erode government immunity. b. Force the City to accept risks it would not normally accept in the ordinary course of business (e.g. mandating acceptance of below-grade or low-grade sureties on performance bonds or labor and materials bonds). c. Repeal Proposition 213 (1996) that prevents uninsured motorists from collecting damages, other than property damages, through litigation. Note: Trial Lawyers Assoc. hopes to repeal this measure protecting cities, among others, from undue liability. L. Public Safety. 1. Support efforts to: a. Strengthen present State and Federal laws that give local governments the power to further restrict or regulate prostitution. b. Increase penalties for the manufacture or sale for profit of dangerous drugs. c. Prohibit the sale and brandishing of replica or facsimile firearms. d. Toughen drm~k driving laws, penalties or enhancements. 9 e. Strengthen the City's ability to regulate public displays of material that is harmful to minors. f. Legalize alternative methOds of police enforcement activities. g. Provide greater authority for police or other local agencies to control graffiti, curfews, juvenile crime and alcoholic beverage control. h. Provide funding for local police staffing, programs or equipmenl~ i. Develop a uniform. "junk gun" ban that does not restrict the type of weaponry used by off- duty law enforcement officers. j. Protect local governments' ability to establish/determine the level of Emergency Medical Service (EMS) provided within their own boundaries. k. Provide reimbursement to local government for "first responder" costs associated with pre- hospital treatments such as those provided by local fire department personnel. 1. Increase municipal funding for the removal of abandoned vehicles. 2. Oppose efforts to: a. Preempt local public safety ordinances. b. Reduce State/Federal ftmding for public safety programs. c. Reduce or impair the authority of local agencies to control graffiti, curfews, juvenile crime and other public safety issues. d. Change/remove date, and/or shift to the employer, the burden of proof related to all illness presumptions. M. Public Works/Transportation. 1. Support efforts to: a. Provide funding which would complete missing freeway links; esp. SR-125 and 1-905. NOTE: Consh'uction of the Sweetwater segment of SR-125 has begun. It is in the City's interests to ensure that complefon of the project remain a high priority for the State. b. Fund local transportation projects, ineh~ding cc~ngoc~i~n mitigation moag~rou that ap?y tO c. Reduce municipal costs associated with CalTrans projects. d. Allow local agencies flexibility in compliance with the Americans with Disabilities Act to provide the greatest benefit to the local disabled population, rather than conm~itting scarce resources to achievement of 2% maximum sidewalk and driveway slopes. e. Revise speed limit laws to allow for radar enforcement of residential street speed limits (e.g. at levels below the 85th percentile as determined by a traffic study). f. Require CalTrans to allow cities an exemption from CalTrans' public work project requirements if CalTrans is not meeting those same requirements. NOTE: This recommendation is consislent with Council policy to oppose unfunded mandates. g. Amend PUC regulatio~s to prohibit utilities from locating cables directly into concrete sidewalks and require said cables to be placed 24"-36" below sidewalk surfaces. (NOTE: Engineering slaff reports a growing problem in finding telephone cables embedded in the concrete sidewalks. Sidewalk reconstruction becomes virtually impossible without damaging the cable lines.) h. Exempt all city vehicles ~,~d t,~,~i~ d~i,,or~ from the Biennial Inspection of Tern~nals program requirements for "drivers hours of service" during emergencies, similar to the exemption granted to gas and electric companies. (NOTE: This program was intended to regulate the t~nes which commercial truck drivers spend on the road, but h,~ no exemptions for city vehicles other than those operated by the Fire Departmea~t. It unnecessarily restricts c~ty public works vehicles and hampers local governments' ability to respond to emergency situations such as flooding or earthquake damages.) i. Increase the priority given to public works facility funding from State and Federal sources to projects (including but not limited to roads, bridges and light-rail transit facilities) that are linked to implemental~on of "smart growth" policies (e.g. jobs/housing balance, transit oriented development, etc.) j. Allow cities to collect fees for use of the public right of way from currently exempt users such as telecommunications companies. 2. Oppose Efforts to: a. Further restrict development in, pact fees for roads, bridges, and public facilities levied against developers of property. b. Further restrict fees and assessments levied against individuals or entities receiving a special benefit. N. Redevelopment. 1. Support efforts to: a. Amend the State Community Development law to allow a jurisdiction to combine tax increment from all projects for use in a specific project. b. Extend the life of redevelopment project areas, as well as the time during which debt may be incurred or issued in those project areas. c. Facilitate the formation of Business Improvement Districts and extend the life of those districts. d. Increase funding/incentives to redevelop brown field projects e. Adjust Redevelopment Agency members pay (more than $30 per meeting, up to 4 times per 2. Oppose efforts to: a. Discontinue State supplemental subvention for redevelopment agencies. b. Further control or restrict the use of tax increments in redevelopment projects. cL..~2000\memos\O 1 legprg.dfl 7 -/ff '7-? 7 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF C~IULA VISTA ADOPTING THE 2001 LEGISLATIVE PROGP~iM ~ LEGISLATIVE WORK PROGPJIM WHEREAS, Council Policy 300-01, dated January 1987, provides for the adoption of a City Legislative Program; and WHEREAS, the Legislative Program represents the City Council's position on items likely to be acted upon by the State Legislature, Congress, or administrative agencies; and, WHEREAS, by adopting a Legislative Program at the beginning of each two-year legislative session and amending it at mid-term, Chula Vista can take a proactive role in sponsoring, supporting, or opposing bills related to the City's various legislative priorities; and WHEREAS, an updated 2001 Legislative Program and Work Program to guide staff and our legislative consultant throughout the remainder of 2000/2001 session are recommended for adoption by the Legislative Committee. NOW, THEREFORE, BE IT RESOLVED that the city Council of the City of Chula Vista does hereby adopt the 2001 Legislative Program in the form set forth in Exhibit "A". BE IT FURTHER RESOLVED that the City Council does hereby adopt the 2001 Legislative Work Program in the form set forth in Exhibit "B". BE IT FURTHER RESOLVED that staff and the Legislative Committee are hereby authorized to implement these programs. Presented by Approved as to form by David D. Rowlands ~ ~ City Manager ~ ~toK~hn~e~y 7 -Zz COUNCIL AGENDA STATEMENT Item Meeting Date 12/12/00 ITEM TITLE: Public hearings regarding the declaration by the City Council of its intention to: (A) making certain determinations and authorizing the submittal of the levy of special taxes to the qualified electors of certain territory proposed to be annexed to Community Facilities District No. 97- 1 (Open Space Maintenance District [Otay Ranch - SPA One, Villages 1 & 5]), and' (B) making certain determinations and authorizing the submittal of the levy of special taxes to the qualified electors of certain territory proposed to be annexed to Community Facilities District No. 97- 2 (Preserve Maintenance District), and Improvement Area "A", thereto A. Resolution of the City Council of the City of Chula Vista, California acting as the legislative body of Community Facilities District No. 97-1 (Open Space Maintenance District [Otay Ranch - Spa One, Villages 1 & 5]), making certain determinations and authorizing the submittal of the levy of special taxes to the qualified electors of certain territory proposed to be annexed to Community Facilities District No. 97- 1 (Open Space Maintenance District [Otay Ranch - SPA One, Villages 1 &5]) 13. Resolution of the City Council of the City of Chula Vista, California, acting as the legislative body of Community Facilities District No. 97-2 (Preserve Maintenance District), making certain determinations and authorizing the submittal of the levy of special taxes to the qualified electors of certain territory proposed to be annexed to Community Facilities District No. 97~2 (Preserve Maintenance District), and Improvement Area "A", thereto SUBMITTED BY: Director of Public Works REVIEWED BY: City Manager (4/5tbs Vote: Yes No X ) On November 7, 2000, Council approved resolutions adopting an annexation map showing the boundaries of the annexed territory and declaring its intent to authorize the annexation of certain parcels. These resolutions reflect the required annexation proceedings for the Community Facilities Districts Nos. 97-1 and 97-2. The City Council also set a public hearing for December 12, 2000 to hear any protest to the proposed annexations. This public hearing has been published in an adjudicated newspaper of general circulation at least seven days prior to these actions tonight. The qualified property owners have requested legal counsel and MMS to prepare documents for their signature to shorten the time to conduct a special election. (Consent and Waiver form) The City Clerk has set an election date of December 19, 2000 for the qualified property owners to vote on the proposed annexations and the levying of the special tax per the adopted Rate and Method of Apportionment. Page 2, Item Meeting Date: 12/12/00 The Otay Ranch Company has submitted a letter dated September 5, 2000, (Exhibit A) requesting the City to conduct annexation proceedings for an area commonly known as Parcel 35A (17.06 acres) into Community Facilities District No. 97-1. In addition, Otay Ranch Company requested annexation proceedings for the three out-parcels within Village One West, the San Diego Waterline easement within Village One West and Village One, as well as Parcel 35A into Community Facilities District No. 97-2 (CFD No. 97-2). (Refer to Exhibits B and C - Recorded Annexation Maps) Tonight's public heating will continue the formal processing to annex certain parcels into CFD No. 97-1 and CFD No. 97-2. RECOMWIENDATION: That Council: 1. Open the hearing, take public testimony, close the public heating; 2. Approve the resolution acting as the legislative body of Community Facilities District No. 97-1 (Open Space Maintenance District [Otay Ranch - SPA One, Villages 1 & 5]), making certain determinations and authorizing the submittal of the levy to special taxes to certain territory proposed to be annexed to Community Facilities District No. 97-1; 3. Approve the resolution acting as the legislative body of Community Facilities District No. 97-2 (Preserve Maintenance District), making certain determinations and authorizing the submittal of the levy to special taxes to certain territory proposed to be annexed to Community Facilities District No. 97-2 and Improvement Area "A" BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: In May/June of 1998, the City Council undertook proceedings to form and did form Community Facilities District No.'s 97-1 and 97-2. The purpose of CFD No. 97-1 is to provide a long term funding program for the operation and maintenance of the public landscaping improvements within the Otay Ranch SPA One. The purpose of CFD No. 97-2 is to provide a long-term management program for the Preserve Area's sensitive habitats, cultural and biological resources. The requested annexations will add certain parcels into both CFD No. 97-1 and CFD No. 97-2. The annexation parcels under consideration tonight are remnant pieces of property not controlled by the master builders at the time of the formation of the districts. Since the formation of CFD 97-1 and 97-2, these remnant properties have been purchased and are incorporated into the overall land use planning of the Villages One, Five and One West. Subsequently, The Otay Ranch Company (ORC) has been revising their Tentative Maps for these annexation areas. One such remnant piece is Parcel 35A a long slender piece of property running between McMillin Property and Otay Ranch Company from Otay Lakes Road south to R-28. This property has been mapped by Otay Ranch Company (ORC) to be incorporated into Village Five Phase 2 - Residential Areas R-25, R-26A, R-26B, R~27 and R-28, as well as the dedication of a Page 3, Item Meeting Date: 12/12/00 linear open space/trail segment and a neighborhood park. As of November 1, 2000, Parcel 35A is now owned by the merchant builder - DR Horton. On October 4, 2000 the City received a letter (Exhibit D) from ORC providing additional breakdown by the Residential Areas for the additional units proposed to be constructed within Parcel 35A. Based on the adopted Special Tax Report, the budget and per unit allocations the additional 62 single family units will generate sufficient tax revenues to offset the anticipated maintenance costs related to the annexation of Parcel 35A. As explained in Exhibit D the anticipated revenues from annexation area Parcel 35A is anticipated to be $45,207/year while the estimated maintenance cost for this area is $10,500/year. Parcel 35A merchant developers and future residential homeowners will be subject to the provisions of the adopted Rate and Method of Apportionments prepared for both CFD No.'s 97- 1 and 97-2. (Refer to Exhibits E and F) The application of the Rate and Method of Apportionment will implemented by the "Special Tax Report" prepared for both districts. The throe out-parcels within Village One West have been purchased and are incorporated into the revised Tentative Map primarily as residential or multi-family uses with very little open space acreage. The proposed residential units within these annexation parcels will be added to the overall budget for each CFD. Based upon the adopted "Special Tax Report" and the Rate and Method of Apportionment the proposed residential units will provide additional revenues for the operations and maintenance of these districts. The San Diego waterline will only be relocated within Olympic Parkway and Paseo Ranchero and an easement south and parallel to Telegraph Canyon Road. The easement within Village One West will revert back into urban uses such as single family and multi family residential, as well as other minor open space areas. The San Diego waterline relocation south of Olympic Parkway will be determined at a later date in the planning process. Combined with Parcel 35A and the San Diego waterline easement the developers and future msidentiaI homeowners will be subject to the provisions of the adopted Rate and Method of Al~portionment and the payment of the annual special tax levy prepared for both CFD Nos. 97-1 and 97-2. Staff, the legal counsel, and the special tax consultant have reviewed the proposed methodology, allocation of additional residential units, square footage calculations, and consider these annexations ready for Council approval. Public Hearing and Resolutions There are two resolutions on today's agenda, which, if adopted, will accomplish the following: The RESOLUTION OF THE CITY COUNCIL OF CITY OF CHULA VISTA acting as the legislative body and making certain determinations and authorizing the submittal of the levy of special taxes to certain territory proposed to be annexed to Community Facilities District No. 97- 1 (Open Space Maintenance District [Otay Ranch - SPA One, Villages 1 & 5]) Page 4, Item Meeting Date: 12/12/00 The RESOLUTION OF THE CITY COUNCIL OF CITY OF CHULA VISTA acting as the legislative body and making certain determinations and~ authorizing the submittal of the levy of special taxes to certain territory proposed to be annexed to Community Facilities District No. 97- 2 (Preserve Maintenance District) and Improvement Area "A". Notice All property owners within the district have been notified of the public hearing by published notice in the Star News. Future Actions Prior to January 9, 2001, the City Clerk shall provide a ballot package to each qualified voter(s) within each of the annexation areas within Community Facilities Districts No. 97-1 and 97-2. The City Clerk has set December 19, 2000 at 1:00 pm to hold the election and verify the signatures to authorize the annexations and the levy of special taxes. The election results and completion of the annexations for CFD Nos. 97-1 and 97-2 are scheduled for the City Council meeting of January 9 at 4:00 pm. Fiscal Impact All costs related to these annexation proceedings for CFD No.'s 97-1 and 97-2 are being borne by the developers and the on-going administration and maintenance will be funded entirely by each district. Exhibits: A. September 5, 2000 - Annexation request letter B. CFD No. 97-1 Recorded Annexation Map C. CFD No. 97-2 Recorded Annexation Map D. October 4, 2000 - Parcel 35A: Background letter E. Rate and Method of Apportionment - CFD No. 97-1 F. Rate and Method of Apportionment - CFD No. 97-2 H:\HOM E\ENG [NEERXAGENDA\CAS for CFD 97- I &2( 12-12-00).doc 11/29/00 4:08:16 PM September 5, 2000 xH~ ot.~¥ ~a~c~ COfie^NV Mr. John Lippitt Director of Public Works CITY OF CHULA VISTA 276 Fourth Avenue Chula Vista, CA 91910 RE: Parcel 35A Dear John: Parcel 35A is a 17.06-acre parcel located within Otay Ranch Village Five, between ttie eastern edge of McMillin's Lomas Verdes project and Otay Project L.P.'s Village Fi','e ownership. This property was not included in the boundaries of the CFDs in place ov~ the balance of Village Five. We are currently negotiating to purchase this property and develop it in conjunction with the second phase of Village Five. Please initiate the process to annex this parcel into City of Chnia Vista CFD No. 9%1 (Open Space Maintenance), City of Chula Vista CFD Ne. 97-2 (Preserve Maintenance) and City of Chula Vista CFD No. 99-1 (Olympic Paflo~'ay Capital Improvements). We understand that these actions cannot be completed until we acquire Parcel 35A. However, we would like to have the documents prepared in order to complete tiffs process in a timely manner. If you have any questions, please don't hesitate to contact me. Sincerely, THE,OTAY RANCH COMPANY Ranie L. Hunter Vice President cc: Greg Matson, MMS / ~10TAY RANCH'II October 4, 2000 THE OTAY SANCH COMPANY Mr. Lombardo DeTrinidad CITY OF CHULA VISTA 276 Fourth Avenue . - Chula Vista, CA 91910 RE: Parcel 35A Annexation to CFD No. 97-1 Dear Lombardo: The following information is provided in response to questions raised at.our September 28, 2000 meeting regarding the annexation of Parcel 35A into CFD No. 97-1. The foliowing table provides unit/sf information for the lots w~thin Parcel 35A. The unit information is based on the recently approved Village Five~ Phase 2A Substantial. Confonnity map. The table projects tax revenue based on the 2000-01 maxLmum tax rate for CFD No. 97-1. Neighborhood Units Lot Size Avg. SF Total SF 97-1 R-25 16 70xl 10 3350 53,600 16,063.92 R-26A 5 60x110 3138 15,690 4,702.22 R-26B 8 55x100 2637 21,096 6,322.47 R-27 15 50x85 2036 30,540 9,152.84 R-28 18 46x75 1662 29,916 8,965.83 TOTAL 62 150,842 $ 45,207.35 The following information reflects approximate cost figures and does not reflect reserves, 18% staff costs, cost increases since 1998 and other incidental costs. This estimate is intended to demonstrate that there will be sufficient tax revenues ($45,207.35) to off-set any additional costs to maintain facilities and landscaping associated with the annexation of Parcel 35A. The following additional expenses will be incurred upon annexation of Parcel 35A: Zone B 1.63 acres of open space slopes Water costs $2,687.87 Maintenance 7,025.00 Subtotal 9,713.17t Costs are based on the budget prepared during CFD No. 97-1 formation. Page Two October 4, 2000 Zone A Telegraph Canyon Channel 265.742 Telegraph Canyon Basin 490.323 Subtotal $756.06 TOTAL ESTIMATED COSTS $10~469.23 I have also attached a copy of the San Diego County Assessor's Map for parcel number 643-01-010. This map indicates that Parcel 35A does not ex~end into the Otay Lakes Road right-of-way. If you have any questions or need additional information, please don't hesitate to contact me. It is very important that we meet the schedule discussed at our September 28th meeting, with Council approval anticipated either December 9th or January 9m. Please let me know if there have been any changes to this schedule. Sincerely, TH]~ OTAY RANCH COMPANY Ranie L. Hunter Vice President Attachments cc: Greg Mattson, MMS See attached spread sheet prepared in 1998 during CiD No. 97-1 formation. See attached spread sheet prepared in 1998 during CFD no. 97-1 formation. Resolution 19106 Rags 5 EXHIBIT A RATE AND METHOD OF APPORTIONMENT ANNUAL TAX A Special Tax shall be levied annually on ]and within Community Facilities District No. 97-1 (Open Space Maintenance District) of the City ,of Chula Vista (the D'striot'), and collected according to the Special Tax Liability determined by the City of Chute Vista (the "City") through the application of the following procedures. All of the proper~y within the District, unless otherwise exempted by law or the express provisions of the rate and method of apportionment expressed below, shall be taxed to the extent and in the manner provided below. All Parcels within the District ar-: assigned to Special Tax Area A. In addition. certain Parcels are also assigned to Special Tax Area B based upon their location. A map of the Special Tax Areas is included as Exhibit B. The Tax which shall be levied upon each Parcel shall be the aggregate sum of the Special Tax for each Special Tax Area within which the Parcel is located. All Special Taxes applicable to Parcels shalI be collected in the same manner and at the same time as ordinary ad valorem orooerty taxes, and the So .... I Taxes so levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes. DEFINITIONS Acre or Acreage means the area of a Parcel as shown on the latest maps of the Assessor of the County of San Diego, or, if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other recorded document crsating or describing the Parcel. If the preceding maps are not available, the area shall be determined by the City Engineer. Administrative Expenses means the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the Special Taxes) including the fees and expanses of its counsel. Any fees of the County related to the District or the collection of Special Taxes, an allocable share of the salaries of City staff directly related thereto, any amounts paid by the City from its general fund with respect to the District, and expenses incurred by the City in undertaking actions to foreclose on properties for which the payment of Special Taxes is delinouent and all other costs and expenses of the City related to the District. Building Square Foot or Square Footage means the square ~oo,age as shown on the Parcel's building permit(s), excluding garaoes or other stru,.tur s not used as living space. 0 ~ Resolution 19106 Page 6 City means the City of Chula Vista. Developed Parcel means Taxable Property for which a foundation building permit or other form of building permit has been issued as of March 1 of the preceding Fiscal Year. E)istrict means the Open Space Maintenance District - SPA.One (Villages 1 & 5) of the Community Facilities District No. 97~1 of the City of Chula Vista. Facilities means those improvements defined in Part II of the Special Tax Report dated July 1, 1998 for Community Facilities District No. 97-1 of the City of Chula Vista. Fiscal Year means the period star~ing on July 1 and ending the following June 30. I~la×imum Special Tax means the maximum special tax that can be levied withi,n CFD No. 97-1 by the City Council in any Fiscal Year for each Parcel of -axabie Property. Non-Residential Uses shall include all Developed Parcels which are not zoned for Residential Uses including commercial, industrial, and community public facility (CPF) uses. Operating Fund means a fund that shall be maintained for each Special 7-ax Area within the Distrid for any Fiscal Year to pay for the actual costs of ma~ntena,%~, repair, and replacement of the Facilities and the Administrative Expenses. Operating Fund Balance means the amount of funds ~n the Operating Fund at the end of the preceding Fiscal Year. Operating Fund Requirement means for any Fiscal Year an amount for each Special Tax Area equal to the budgeted, costs of the ma!ntenance,, rePair and replacement of the Facilities Which have been accepted and maintained by the District o~- are reasonably expected to be.accepted and maintained.by the District during the current Fiscal Year plus the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. Parcel means any San Diego County AssessoCs Parcel or portion thereof that is within the boundaries of the District designated on a map of the San Diego Resolution 19106 Page 7 ; '"') County Assessor and wtsich ha~ been assigned a discrete idsntifyin~ number * the equalized tax rolls of the County. Reserve Fund means a fund that shall be maintained for each Special Tax Area to provide necessary ~sh flow for operations and maintenance for the first six months of each Fiscal Year, working capital to cover maintenance and repair cost overruns and delinquencies that may arise in connection with the collection of Special T~xes. and a reasonable buffer against large variations in annual special tax amounts. Reserve Fund Balance means the amount of funds in the Reserve Fund at the end of the preceding Fiscal Year. Reserve Fund Requirement means the required balance in the Reserve Fund equal,to up to 100% of the Operating Fund Requfrement. Residential Uses shall include th~se residential uses as permitted in the City zoning ordinance. Special Tax means the special tax or special taxes actually levied within CFD No. 97-1. Special Tax Area means one of the two specific areas comprising specific Parcels as shown in Exhibit B of the Special Tax Report dated July 1, 1998 for Community Facilities District No. 97-1 of the City of Chula Vista. Special Tax Liability for any Fiscal Year is an amount determined for each Special Tax Area suflqcisnt to pay the costs of the District, including: (i) the amount required to be deposited into the Operating Fund to meet the Operating Fund Requirement, less the Operating Fund Balance, and (ii) the total amount required to be deposited into the Reserve Fund if any, to meet the Reserve Fund Requirement, less the Reserve Fund Balance. Taxable Property is all real property or Parcels within the boundaries of the District which are not exempt from the Special Tax pursuant to law, or which are not classff'ied or assigned to the Exempt Category as defined herein. Cateoories of SPecial Taxes Residential Category: The residential category includes each Developed Parcel within the District which is zoned for Residential Uses by the City ("Residential Category"). Resolution 19106 Page 8 · The Maximum Special Tax that may bi levied within Speci, al Tax Area A for Fiscal Year 1998/99 on each Developed Parcel assigned to the Residentiai Category shall be $0.0844 per Building Square Foot. · The Maximum Special Tax that may be levied within Special Tax Area B for the Fiscal Year 1998/1999 on each Developed Parcel assigned to the Residential Category shall be $0.1977 per Building Square Foot. Said Maximum Special Tax Rates shall be increased or decreased each Fiscal . Year thereafter by a factor which shall be the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth Quarter Per Capita Pers¢nal Income as contained in the Governor's budget p,~blished every January. Non-Residential Category The nor:..<esidentia[ category includes all Developed Parcels in the District which are not zoned by the City for Residential Uses ("Non-Residential Category"). · The Maximum Special Tax that may be levied within Special Tax Area A for the Fiscal Year 1998/99 on each Developed Parcel assigned to the Non- Residential Category shall be $1,143 per Acre (said amount to be levied pro rata for any portion of an Acre). · The Maximum Special Tax that may be levied within Special Tax Area B for the Fiscal Year 1998/99 on each Developed Parcel assigned to the Non- Residential Category shall be $2,538 per Acre (said amount to be levied pro rata for any portion of an Acre). Said Maximum Special Tax rates shall be increased or decreased each Fiscal Year thereafter by a factor which shall be the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth QuaFler Per Capita Personal Income as contained in the Governor's budget published every January. Exempt Category The'exempt category includes each property owned by, conveyed or irrevocably offered for dedication to a public agency, land which is in the public right-of-way, unmanned utility easements which make utilization for other than the purpose Resolution 19~106 Page 9 set forth in the easemef~t impractical, c~mm~n areas, private streets end parks. and open space lots ("Exempt Category"). Vacant Land Category The vacant land category includes each ParceI of Taxable Property assigned to the Distri~ not subject to a Special Tax under any other category described above ("Vacant Lasd Category"). The Maximum Special Tax which may be levied on each Parcel within the Vacant Land Category for Fiscal Year 1998/99 shall be the rates set forth in Table 1 belpw (said amount to be levied pro rata for any portion of an Acre). Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which shall be the lesser of the annual percentage change in tho'.January to January San Diego Metropplitan Area Ail Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget published every January. TABLE 1 Vacant Land Category Maximum Special Tax Rate per Acre Maximum Special Tax Area Special Tax Rate Special Tax Area A $1,293/Acre Special Tax Area B $2,870/Acre Assionment to Cateoories of Special Taxes On or about July 1 of each year (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll) the City shall assign each Parcel within the District to the Residential Category, Non-Residential - Category, Exempt Category, or Vacant Land Category. Parcels subject to levy shall be determined based upon the records of the San Diego County Assessor. Levv and'Apportionment of Special Taxes The City shall determine the Special Tax Liability of each Special Tax Area in each Fiscal Year on or about every July 1 (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll). Special Taxes shall then be levi~gd on each Parcel assigned to the Residential Category, Resolution 19106 Page 10 Non-Residential Category, and Vacant Land Category within each Special Tax Area in the following order of priority: Step 1: Determine the maximum revenue which could be generated in each Special Tax Area by multiplying the total Building Square Footage of ail Developed Parcels assigned to the Residential Category in each Special Tax Area by the Maximum Special Tax per Building Square Foot and adding to that the maximum Special Tax revenue which could be generated by multiplying the total Acreage of all Developed Parce!s assigned to the Non-Residential Category in each Special Tax Area by the Maximum Special Tax per Acre. Step 2: If the total Special Tax revenue as calculated in Step 1 for the Special Tax Area is grea. ter than the Special Tax Liability of such Special Tax Area, reduce the Special Tax for each Parcel proportionately so that the Special Tax levy for the Fiscal Year is equal to the Special Tax Liability for the Fiscal Year. Step 3: if the total Special Tax revenue as calculated in Step i is less than the Special Tax Liability of such Special Tax Area, a Special Tax shall be levied upon each Parcel assigned to the Vacant Land Category. The Special Tax for the Vacant Land Category shall be calculated as the lessor of!' (i) The Special Tax Liability for each Special Tax Area, less the total of funds generated for all Parcels within that Special Tax Area under Step 1 above, divided by the total Acres for all Parcels assigned to the "Vacant Land Category' within that Special Tax Area. OR, (ii) the Maximum Special Tax rate for Parceis within that Special Tax Area... However, in the event it is .determined that 'the SPecial Tax Liability. for Special Tax Area A includes delinquent Special Taxes from PascAls in the Vacant Land Category from the prior Fiscal Year, the City, shall determine the amount of such delinquent Special Taxes that arose from such Parcels and identify the owner(s). The amount'of delinquent Special Taxes, if any, that arose from each owner shall first be divided by the total Acres owned by such owner(s), and collected from the respective owner with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from Parcels in Resolution 19106 Rage 11 the Vacant Land Category according to the procedu,'e set fmdh in the preceding paragraph. Step 4: The total Special Tax for each Parcel shall be the sum of the Special Taxes for each Special Tax Area in which a Parcel is located. Resolution 19106 Page 12 Resolution 19110 Page 5 · t) EXHIBIT A RATE AND METHOD OF APPORTIONMENT ANNUAL TAX A Special Tax shall be levied annualty on each Parcel of land within the Preserve Maintenance District, Community Facilities District No. 97-2 of the City of Chute Vista (the "District"), and collected according to the Special Tax Liability determined by the City of Chula Vista (the ~City") through the appIication of the following procedures. All of the property within the District, unless otherwise exempted by law or the express provisions of the rate and method of appodionment expressed below, shall be taxed to the extent an~. in the manner provided bolow. Ali Parce!s within the District are included within ~"~ = ~ ' ~, n=r Improv~m=n, Area A OF lmorovement. Area B. A map of the lmorovement, areas is included au_ ~xn~o~' B. Alt bp~c~al Taxes =ppi~=ol= to Parce!s be collected in the same manner and at the same time as ordinary ad valorem property taxes, and Special Taxes so levied will be subject to the same penalties and procedures, sate and lien priority in case of delinquency as is provided for ad valorem taxes. DEFINITIONS Acre or Acreage means the area of a Parcel as shown on the I=L~ maps of the Assessor of the County of San Diego, or if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other recorded document creating or describing the P~r~=I.~ ,'-- If the preceding maps are not available, the area shall be determined by the City ~ngineer. Administrative Expenses means the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the special taxes) including the fees and expenses of its counsel, any fees of the County related to the District or the collection of special taxes, an allocable share of the salaries of City staff directly related thereto and a proportionate amount of the City's general administrative overhead related thereto, any amounts paid by the City from its general fund with respect to the District, and all other costs and expenses of the City related to the District. ' Building Square Foot or Square Footage means the square footage as shown on a Parcel's building permit, excluding garages or other structures not used as living space. City means the City of Chula Vista. ~ .. ~ ¢ Resolution 19110 Page 6 Developed Parcel means Taxable Property for which a..foundation building3 permit other form of building permit has been issued as of March 1 of the preceding Fiscal Year. District means the Preserve Maintenance District Community Facilities D .... ~. No. 97-2 of the City of Chula Vista. Final Map means a recorded Tract Map or Parcel Map. Fiscal Year means the period startihg on July 1 and ending the following June 30. Improvement Area means one of the two specific areas as shown in Exhibit B. tex t,,,t can be levied within each Ma×imum Special Tax m. eans the maximum special - Improvement Area within CFD No. 97-2 by the City Council in any Fiscal Year for ea:h Parcel of Taxable Prope~y. Non-Residential Parcels shall include each Parcel within the District which is zoned for other than Residential Uses by the City. Non-Residential Uses shall include all Developed P_r~=,s which ara not zoned for Residential Uses including commercial, industrial, and Community Public Facilities (CPF). Operating Fund means a fund that shall be maintained for each Improvement Ara=- within the Distrid for any Fiscal Year to pay for Resource Monitoring and/or Preserve Operations and Maintenance activities and Administrative Expenses. Operating Fund Balance means the amount oT Tunas ~n the Ooeratin¢ Fund for Improvement Area at the end of the preceding Fiscal Year. Operating Fund Requirement means for any Fiscal Year an amount for each Improvement Area equal to the Resource Monitoring Fund Requirement and the Preserve Operations and Maintenance Fund Requirement for the current Fiscal Year in which Special Taxes are levied. Parcel means any San Diego County Assessor's Parcel or portion thereof that is within the boundaries of the District designated on a map of the San Diego County Assessor and which has been assigned a discrete identifying number on the equalized tax roils of the County. Preserve Operations and Maintenance means those activities defined in Part II A. of the Special Tax Report dated July 1, 1998 for Community Facilities District No. 97-2 of the City of Chula Vista. ~ ,*'t ~ Resolution 19110 · Page 7 Preserve Operations and Maintenance Fund Requirement means for. any ms:al Year an amount equal to the budgeted costs ~or Preserve Operations and lvlaintenanza plus a pro-rata share of the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. ' Residential Parcels shall include each Parcel within the District which is zoned for Residential Uses by the City. Residential Uses shall include those residential uses as permitted in t~City zoning ordinance. Reserve Fund means a fund that shall be maintained for each Imorovement Area to orovide n .... ~a~ cash flow for the first six months of each Fiscal Year wo!'king caoital to cover monitoring, maintenance and repair cost overruns and delinquencies that may arise in connexion with the collection of Special Taxes and a reasonable buffer against large variations in annual special tax amounts. Reserve Fund Balance means the amount of funds in the Reserve Fund at the end of the pr_,,_am=, ~s..=l Year· · ! Reserve Fund Requirement means an amount equal to up to 100% of the Operating Fund Requirement for any Fiscal Year. Resource Monitoring Program means those activities defined in PeA 11 B. of the Special Tax Report dated July 1, 1998 for Community Facilities District No. ~[-_ of the City oT Chu,a Resource Monitoring Fund Requirement means for any Fiscal Yea{ an amount for each Improvement Area equal to the Improvement Area's fair share of the budgeted costs of the Resource Monitoring Program plus a pro rata share of the budgeted Administrativa Expenses of the District for the current Fiscal Year in which Special Taxes are levied. An Improvement Area's '~fair share" shall be b~sad upon the Improvement Araa's percentage of the total acreage within the Otay .Ranch General Development Plan Planning Area for which a Resource lvlonitoring Program funding · mechanism has been established. Special Tax means the special tax or special taxes actually levied within CFD No. 97-2 each Fiscal Year. Special Tax Liability for any Fiscal Year is an amount sufficient to pay the costs of an .~ Improvement Ama within the District equal to: (i) the Resource Monitoring Fund .... ) Requirement, and Preserve Operations and Maintenance Fund Requfirement, less the Operating Fund Balance, and (ii) the Reserve Fund Requirement; le~s the Reserve Fund BaIance. Resolution 19110 Page 8 Tn× Categories are those Categories l, II and Ill described in the body hereof. Tn×able Property is all real property or Parcels within the boundaries of the District which are not exempt from the Special Tax pursuant to the law or which are not classified or assigned to the Exempt Category as defined herein. Ceteoodes of SDecial Taxes Category i Category I includes each Developed Parcel within the District. (Category [) The Maximum Special Tax for Resource Monitoring, and Preserve Operations and Maintenance that may be levied for Fiscal Year 1998/99 on each Developed Parcel shall be at the rates set f6rth in Table 1 below. For Residential Parcels the Special Tax shaIl be levied based upon Building Square Footage and for Non-Residential Parceis shall be levied based on Acreage. The Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is the lesser of the annual percentage change in the January to January San Diego Metropolitan Area Ail Urban Consumer Price index (Alt Items) or the annual percentage change in the estimated California Fou~h Qua~er Per Capita Personal Income as contained in the Governor's budget pubiishad every January. TABLE 1 Maximum Special Tax Category l Resource Operation & Monitoring Maintenance Residential Parcels $0.0049 per sq. ff. S0.0078 per sq. ft. iNon-Residential Parcels S80.96 per Acre 5128.53 per Acre Category I1 Category 11 includes each Parcel of Taxable Property within the District for which Final Map has been recorded, but which is not classified as a Developed Parcet (Category Ii). The Maximum Special Tax for Resource Monitoring, and Preserve Operations and Maintenance that may be levied for Fiscal Year 1998/99 on each Parcel In Cat~gory I[ shall be as shown in Table 2 below (said amount to be levied pro rata for any portion of an Acre)· Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is the lesser of the annual percentage change in the ':..~ January to January San Diego Metropolitan A~ea All Urban Consumer Price index (All Items) or the annual percentage change in the estimated California Fourth Quader Per Resolution 191 i0 Page 9 --~ DUQQ'=[ DUDIISiqe~ ~ ar Capita Personal Income as Contained in the Governor's ' '_~' . " ~v_.y January. TABLE 2 Maximum Special Tax Category 11 Resource Operation & Monitoring Maintenance " $80.95 per Acre S128.53 per Acre Category I11 Category 11I includes each Parcel of Taxabie Property within the District not subject to a Special Tax bnder any other category ("Category Ill"). The Maximum Special Tax which may be levied for Fiscal Year 1998/99 on Taxable Property within Category II1 shall be as shown in Teble 3 below (said amount to be levied pro rata for any portion of an Acre). Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All UFoan Consumer Price Index (Alt Items) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the GovemoFs budget published every January. TABLE 3 Maximum Special Tax Category Ill Resource Operation & Monitoring Maintenance S51.21 per Acre. 581.30 per Acre · Exempt Category The Exempt Category includes each property owned, conveyed or irrevocably offered for dedication to a public agency, or land which is in the public right-of-way, unmanned utility easements which make utilization for other than the purpose set forth in the easement impractical, common areas, private streets and parks, and open space lots ("Exempt Category"). Assk]nment to Cateoories of Soecial Tax On or about July I of each year, (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll), the City shatl assign each Parcel within the District to. Category I, Category Il, Category III or the Exempt Category. Resolution 19110 Page 10 Parcels "=~ SUDJ~,.,t to levy shall be determined based upon the records of the San Diego County Assessor. Low and Aooortionment of Soeciat Taxes The City shall determine the Special Tax Liability for each Improvement Area in each Fiscal Year on or about every July. 1. Special Taxes shall then be levied on each Parcel classified as the Category l, Category I1, or Category Ill in the following order of priority: lmmrovement Area A Step 1: Determine the revenue which could be generated by Parcels assigned to Category I by multiplying the Building Square Footage for Parcels classified as Residential Parde!s by the Maximum Speciat Tax per Building Square Foot for Resource Monitoring, and Preserve Operations and Maintenance for Parceis and adding to that the maximum revenue which could be generated by multiplying the total acres for Parcels ctassffqed as Non-Residential Parcels by the Maximum Special Tax per Acre for Resource Monitoring and Prese,~ve Operations and Maintenance. Step 2: If the total revenue as calculated in Step 1 is greater than the estimated Special Tax Liability for Improvement Area A, reduce the Special Tax for each Parcel proportionately so that the Special Tax levy for the Fiscal Year is equal to the Special Tax Liability for the Fiscal Y-:er. Step 3: If the total revenue as caiculated in Step 1 is tess than the Special Tax Liabiiity for Improvement Area A, a Special Tax shall be levied upon each Parco! within Improvement Area A, classified as Category [I. The Special Tax for Parcels assigned to Category Il shall be calculated as the lessor of: (i) The Special Tax Liability for Improvement Area A as determined by the City, less the total revenue generated for ail Parcels under Step 1 above, divided by the total Acres for all Parcels within Improvement Area A assigned to Category OR' (ii) the Maximum Special Tax rate for Parcels assigned to Category II Step 4: If the total revenue as calculated in Step 1 and 3 is less than the Special Tax '~" Liability, for Improvement Area A, a Special Tax shall be levied upon each ' ~'' Parcel within Improvement Area A classified as Category II1. The Special Tax for Parcels assi~:ned to Cateoo~z ill shall be calculated as the lessor of: Resolution 19110 Page 11 9 (i) The Special Tax Liability for Improvement Area A as determined by the City, less the total revenue generated for all Parce!s under Step i and 3 aoove, divided by ~h= to,al A~.r~. rot all Parceis within improvement Are~ A assigned to Category 111, OR (ii) the Maximum Special Tax rate for Parce!s assioned to C¢~_gory III and within Improvement Area A. · . However, in the event it is determined that the Sp~..,¢l Tax Liabiiity rot improvement Area A includes delinquent Special Taxes from Parceis in Category Ill from the prior Oellnouen~ taxes ~' ~* Fiscal Year, the City shall determine the amount of ' ' . * ~n.~L arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided by the total Category III Acres owned by such owner(s) and collected from the applicabie owner(s) with the remaining portion of the Special -i'ax Liability not re~ated to deiinquent Special Taxes to be collected from ali Parceis in Category Iii according to the procedure set forth in the preceding paragraph. Improvement Area B Step 1: Deter-mine the revenue which could be o..n~r_~d by Parceis assioned to improvement Area B for Resource Monitoring by multiplying the total Acres for Parcels. assigned to Category Ill by the Maximum Special Tax for Category Step 2: If the total revenue as calculated in Step i is greater than the Special Tax Liability for Improvement Are-= B, reduce the Special Tax for each Parcel proportionately so that the Special Tax levy for the Fiscal Year is equal to the So~_l Tax Liability for Improvement Area B for the Fiscal Year. Howe. var, in the event it is determined that the Special Tax Li_ability for Improvement Area B includes delinquent Special Taxes from Parcels in Category III from the prior Fiscal Year, the City shall determine the amount of delinquent taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided by the total Category 111 Acres ovmed by such owner(s) and collected from the applicable owner(s) with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from all Parcels in Category 111 according to the procedure set forth in the Step 1 and Step 2 above. Resolution 1 91 1 0 Page 1 2 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 97-1 (OPEN SPACE MAINTENANCE DISTRICT [OTAY RANCH - SPA ONE, VILLAGES 1 & 5]), MAKING CERTAIN DETERMINATIONS AND AUTHORIZING THE SUBMITTAL OF THE LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS OF CERTAIN TERRITORY PROPOSED TO BE ANNEXED TO COMMUNITY FACILITIES DISTRICT NO. 97-1 (OPEN SPACE MAINTENANCE DISTRICT [OTAY RANCH - SPA ONE, VILLAGES 1 & 5]) WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council"), has previously declared its intention and held and conducted proceedings relating to the annexation of territory to an existing community facilities district pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982", being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California, and specifically Article 3.5 thereof(the "Act") and the City of Chula Vista Community Facilities District Ordinance enacted pursuant to the powers reserved by the City of Chula Vista under Sections 3, 5 and 7 of Article XI of the Constitution of the State of California (the "Ordinance") (the Act and the Ordinance may be referred to collectively as the "Community Facilities District Law"). The existing Community Facilities District has been designated as COMMUNITY FACILITIES DISTRICT NO. 97-1 (OPEN SPACE MAINTENANCE DISTRICT [OTAY RANCH - SPA ONE, VILLAGES 1 & 5]) (the "District"); and, WHEREAS, notice of a public hearing relating to the annexation of territory to the District, the extent of the territory to be ammxed (the "Annexation Area"), the furnishing of certain public services and all other related matters has been given; and, WHEREAS, it has now been determined that written protests have not been received by 50% or more of the registered voters residing either within the Annexation Area or the District and/or property owners representing more than one-half (1/2) or more o f the area of land within the Annexed Area or within District; and, WHEREAS, inasmuch as there have been less than twelve (12) persons registered to vote within the Annexation Area for each of the 90 preceding days, this legislative body desires to submit the levy of the required special tax to the landowners of the Annexation Area, said landowners being the qualified electors as authorized by law. NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: SECTION l. RECITALS The above recitals are all true and correct. SECTION 2. DETERMINATIONS It is determined by this City Council that: A. all proceedings prior hereto were valid and taken in conformity with the requirements of law, and specifically the provisions of the Community Facilities District Law, and this finding is made pursuant to the provisions and authorization of Section 53325. l of the Government Code of the State of Califomia; B. the annexation to the District as proposed conforms with the City of Chula Vista Statement of Goals and Policies Regarding the Establishment of Community Facilities Districts; C. less than twelve (12) registered voters have resided within the Annexation Area for each of the ninety (90) days preceding the close of the public hearing and, consequently, the qualified electors shall be the landowners of the Annexation Area and each landowner who is the owner of record as of the close of the public hearing, or the authorized representative thereof, shall have one vote for each acre or portion of an acre of land that she or he owns within the Annexation Area; D. the time limit specified by the Community Facilities District Law for conducting an election to submit the levy of the special taxes to the qualified electors of the Annexation Area and the requirements for impartial analysis and ballot arguments have been waived with the unanimous consent of the qualified electors of the Annexation Area; E. the City Clerk, acting as the election official, has consented to conducting any required election on a date which is less than 125 days following the adoption of any resolution annexing the Annexation Area to the District; and F. the public services proposed to be financed from the proceeds of special taxes to be levied within the Annexation Area are necessary to meet increased demands placed upon the City as a result of development and/or rehabilitation occurring in the Annexation Area. SECTION 3. BOUNDARIES OF ANNEXED AREA The boundaries and parcels of land in the Annexation Area and on which special taxes are proposed to be levied in order to pay the costs and expenses for the public services described in Section 5 below are generally described as follows: All that property and territory proposed to be annexed to the District, as said property is shown on a map as previously approved by this legislative body, said map entitled "Annexation Map No. 1 To Community Facilities District No. 97-1 (Open Space Maintenance District [Otay Ranch - Spa One, Villages 1 & 5]), City Of Chula Vista, County Of San Diego, State Of California" (the "Annexation Map"), a copy of which is on file in the Office of the City Clerk and shall remain open for public inspection. SECTION 5. DESCRIPTION OF SERVICES The services that are authorized to be financed from the proceeds of special taxes levied within the District are certain services which are in addition to those services required for the territory within District and will not be replacing services already available. A general description of the services authorized to be financed by the levy of special taxes within the District is as follows: 2 The maintenance and servicing of public facilities including irrigation, cultivation, installation and replacement of plant material, tree trimming and necessary supplies, personnel, utility and equipment costs; contract services where applicable; maintenance and servicing o fparks, parkway landscaping and medians, drainage facilities, pedestrian bridges and open space slopes, trails and walls. The District shall finance all direct, administrative and incidental annual costs and expenses necessary to provide such monitoring, maintenance, operation and management of such property. The same types of services which are authorized to be financed by the District from the proceeds of special taxes levied within the District are the types of services proposed to be financed from the special taxes proposed to be levied within the Annexation Area. If and to the extent possible such services shall be provided in common with District and the Annexation Area. SECTION 6. SPECIAL TAX Except where funds are otherwise available and subject to the approval of the qualified electors of the Annexation Area, a special tax sufficient to pay for such services required for the Annexation Area, secured by recordation of a continuing lien against all non-exempt real property in the Annexation Area will be levied annually within the boundaries of the Annexation Area. For particulars as to the rate and method of apportionment of the proposed special tax, reference is made to the attached and incorporated Exhibit "A" which sets forth in sufficient detail the method of apportionment to allow each landowner or resident within the Annexation Area to clearly estimate the maximum amount of the special tax that such person will have to pay. The special taxes shall be collected in the same manner as ad valorem property taxes and shall be subject to the same penalties, procedure, sale and lien priority in any case of delinquency, as applicable for ad valorem taxes; however, as applicable, this City Council may, by resolution, establish and adopt an alternate or supplemental procedure as necessary. Any special taxes that may not be collected on the County tax roll shall be collected through a direct billing procedure by the Treasurer of the City of Chula Vista, acting for and on behalf of the District. SECTION 7. ELECTION The proposition related to the levy of the special tax shall be submitted to the qualified electors of the Annexation Area, said electors being the landowners, with each landowner having one (1) vote for each acre or portion thereof of land which he or she owns within said annexed ten'itory. The special election shall be held on the 19th DAY OF DECEMBER, 2000, and said election shall be a special election to be conducted by the City Clerk (hereinafter "Election Official"). If the proposition for the levy of the special tax receives the approval of more than two-thirds (2/3) of the votes cast on the proposition, the special tax may be levied as provided for in this Resolution and the City Council may determine that the Annexation Area is added to and part of the District. SECTION 8. BALLOT The ballot proposal to be submitted to the qualified voters at the election shall generally be as follows: PROPOSITION A CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 97-1 (OPEN SPACE MAINTENANCE DISTRICT [OTAY RANCH - SPA ONE, VILLAGES I & 5]) AUTHORIZATION FOR SPECIAL TAX LEVY Shall Community Facilities District No. 97-1 (Open Space Maintenance District [Otay Ranch - Spa One, Villages 1 & 5]) of the City of Chula Vista be authorized to levy special taxes within the territory shown on "Annexation Map No. 1 To Community Facilities District No. 97-1 (Open Space Maintenance District [Otay Ranch - Spa One, Villages 1 & 5]), City Of Chula Vista, County Of San Diego, State Of California" (the "Annexation Map") pursuant to the rate and method of apportionment of special taxes (the "Special Tax Forn~ula") set forth in Resolution No. to finance authorized services and administrative expenses and to fund and replenish a reserve fund, all as provided for in the Special Tax Formula? SECTION 9. VOTE The appropriate mark placed in the voting square after the word "YES" shall be counted in favor of the adoption of the proposition, and the appropriate mark placed in the voting square after the word "NO' in the manner as authorized, shall be counted against the adoption of said proposition. SECTION 10. ELECTION PROCEDURE The Election Official is hereby authorized to take any and all steps necessary for the holding of said election. Said Election Official shall perform and render all services and proceedings incidental to and connected with the conduct of said election, and said services shall include, but not be limited to the following: A. Prepare and furnish to the election officers necessary election supplies for the conduct of the election. B. Cause to be printed the requisite number of official ballots, tally sheets and other necessary forms. C. Furnish and address official ballots for the qualified electors of the Annexation Area. D. Cause the official ballots to be mailed and/or delivered, as required by law. E. Receive the returns of the election. F. Sort and assemble the election material and supplies in preparation for the canvassing of the returns. G. Canvass the returns of the election. 4 FI. Furnish a tabulation of the number of votes given in the election. I. Make all arrangements and take the necessary steps to pay all costs of the election incurred as a result of services performed for the District and pay costs and expenses of all election officials. J. Conduct and handle all other matters relating to the proceedings and conduct of the election in the manner and form as required by law. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt ~o~'~ ~ Director of Public Works H:~SHARED\ENGINEER\RESOS & ATTACH\Res Making Declarations CFD 97-1, 12-12-00.doc 5 Resolution 19106 Page 5 ") EXHIBIT A RATE AND METHOD OF APPORTIONMENT ANNUAL TAX A Special Tax shall be levied annually on land within Community Facilities District No. 97-1 (Open Space Maintenance District) of the City of Chula Vista (the "District"), and bollected according to the Special Tax Liability determined by the City of Chula Vista (the "City") through the application of the followin_3 procedures. All of the property within the District, unless otherwise exempted by law or the express provisions of the rate and method of aoportionment ~xpr..~s~.. b~lov~, shall be taxed to the extent and in the manner provided below. Alt Parcels within the Distrid are assigned to Special Tax Area A. In addition, certain Parcels are also assigned to Special Tax Area B based upon their location. A map of the Special Tax Areas is included as Exhibit B. The Special Tax which shall be levied upon each Parcel shall be the aggregate sum of the Special 'Tax for each Special Tax Area within which the Parcel is located. All Special Taxes applicable to Parcels shall be collected in the same manner and at the same time as ordinary ad valorem prope,'iy taxes, an:: the Special Taxes so levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes. DEFINITIONS Acre or Acreage means the area of a Parcel as shown on the latest maps of the Assessor of the County of San Diego, or, if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other recorded document creating or describing the Parcel. If the preceding maps are not available, the area shall be determined by the City Engineer. Administrative Expenses means the direct and indirect expenses incurred by th~ City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the Special Taxes) including the fees and expenses of its counsel. Any fees of the County. related to the District or the collection of Special Taxes, an allocable share of the salaries of City staff directly related thereto, any amounts paid by the City from its general fund with respect to the District, and expenses incurred by the City in undertaking actions to foreclose on properties for which the payment of Special Taxes is delinquent, and all other costs and expenses of the City related to the District. Building Square Foot or Square Footage means the square footage as shown on the Parcel's building permit(s), excluding garages or other structures not used as living space. Resolution 19106 Page 6 City means the City of Chula Vista. Developed Parcel means Taxable Property for which a foundation building permit or other form of building permit has been issued as of March 1 of the preceding Fiscal Year. District means the Open Space Maintenance District - SPA.One (Villages 1 &'5) of the Community Faciiities District No. 97-1 of the City of Chula Vista. Facilities means those improvements defined in Pad II of the Special Tax Repod dated July 1, 1998 for Community Facilities District No. 97-1 of the City of Chula Vista. Fiscal Year means the 8eriod starting on July 1 and ending the following June 30. Maximum Special Tax means the maximum special tax that can be levied within CFD No. 97-i by the City Council in any Fiscal Year for each Parcel of Taxabie Property. Non-Residential Uses shall include all Developed Parcels which are not zoned for Residential Uses including commercial, industrial, and community public facility (CPF) uses. Operating Fund means a fund that shall be maintained for each Special Tax Area within the Distri~ for any Fiscal Year to pay for the actual costs of matntenan,._, repair, and replacement of the Facilities, and the Administrative Expenses. Operating Fund Balance means the amount of funds in the Operating Fund at the end of the preceding Fiscal Year. Operating Fund Requirement means for any Fiscal Year an amount for each Special Tax Area equal to the budgeted, costs of the ma!ntenance,' repair and replacement of the Facilities Which have been accepted and maintained by the District c¢ are reasonably expected to be .accepted and maintained.by the District during, the current Fiscal Year plus the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. Parcel means any San Diego County Assessor's Parcel or portion thereof that is ..~ within the boundaries of the District designated on a map of the San Diego Resolution 19106 Page 7 ~ -') County Assessor and w~ich ha~ been assigned a dissrete identifying number on " the equalized tax rolls of'the County. Reserve Fund means a fund that shall be maintained for each Special Tax Area to provide necessary cash flaw for operations and maintenance for the first six months of each Fiscal 'Year, working capital to cover maintenance and repair cost overruns and delinquencies that may arise in connection with the collection of Special T~xes and a reasonable buffer against large variations in annual special tax amounts. Reserve Fund Balance means the amount of funds in the Reserve Fund at the end of the preceding Fiscal Year. Reserve Fund Requirement means the required balance in the Reserve Fund equal4o up to 100% of the Operating Fund Requirement. Residential Uses shall include those residential uses as permitted in the City zoning ordinance, Special Tax means the special tax or special taxes actually levied within CFD No. 97-1. Special Tax Area means one of the two specific areas comprising specific Parcels as shown in Exhibit B of the Special Tax Repod dated July 1, 1998 for Community Facilities District No. 97-1 of the City of Chula Vista. Special Tax Liability for any Fiscal Year is an amount determined for each Special Tax Area sufficient to pay the costs of the District, including: (i) the amount required to be deposited into the Operating Fund to meet the Operating Fund Requirement, less the Operating Fund Balance, and (ii) the total amount required to be deposited into the Reserve Fund if any, to meet the Reserve Fund Requirement, less the Reserve Fund Balance. Taxable Property is all real property or Parcels within the boundaries of the District which are not exempt from the Special Tax pursuant to law, or which are not classified or assigned to the Exempt Category as defined herein. Cateaories of Special Taxes Residential Category: The residential category includes each Developed Parcel within the District which is zoned for Residential Uses by the City ("Residential Category"). R~solution 19106 ' Page 8 · The Maximum Special Tax that may bg~ levied within. Special Tax Area A for Fiscal Year 1998/99 on each Developed Parcel assigned io the Residential Category shall be $0.08 .z~4 per Building Square Foot. · The Maximum Special Tax that may be levied within Special -Fax Area B for the Fiscal Year 1998/1999 on each Developed Parcel assigned to the Residential Category shall be $0.1977 per Building Square Foot. Said Maximum Special Tax Rates shall be increased or decreesed each Fiscal Year thereafter by a factor which shall be the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (Ail Items) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget p, ublished every January. Non-Residential Category The non-residential category includes alt Developed Parcels i'n the District which are not zoned by the City for Residential Uses ("Non-Residential Category"). · The Maximum Special Tax that may be levied within Special 'Fax Area A for the Fiscal Year 1998/99 on each Developed Parcel assigned to the Non- Residential Category shall be $1,I43 per Acre (said amount to be levied pro rata for any portion of an Acre). · The Maximum Special Tax that may be levied within Special Tax Area B for the Fiscal Year 1998/99 on each Developed Parcel assigned to the Non- Residential Category shall be $2.538 per Acre (said amount to be levied pro rata for any portion of an Acre). Said Maximum Special Tax rates shall be increased or decreased each Fiscal Year thereafter by a factor which shall be the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget published every January. Exempt Category The'exempt category includes each property owned by, conveyed or irrevocably offered for dedication to a public agency, land which is in the public right-of-way, unmanned utility easements which make utilization for other than the purpose Resolution 19106 Page 9 set forlh in the easemefit impractical, c~mmen areas, private streets and parks. and open space lots ("Exempt Category"). Vacant Land Category The vacant land category includes each Parcel of Taxable Propa,dy assigned to the District not subject to a Special Tax under any other category described above ("Vasant Land Category"). ¢ ~' ~ar,.~l within the The Maximum Special Tax which may be levied on ~a~h Vacant Land Category for Fiscal Year 1998/99 shall be the rates set forth in Table 1 below (said amount to be levied pro rata for any portion of an Acre). Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which shall be the lesser of the annual percentage change in the"January to January San Diego Metropolitan Area All Urban Consumer Price Index (Ali Items) or the annual percentage change in the estimated California Foudh Quarter Per Capita Personal Income es contained in the Governor's budget published every January. TABLE 1 Vacant Land Category Maximum Special Tax Rate per Acre Maximum Special Tax Area Special Tax Rate Special Tax Area A $1,2,93/Acre Special Tax Area B $2,870/Acre Assignment to Cateoories of Soecial Taxes On or about July 1 of eacl~ year (but in any event in sLrfficient time to include the levy of the Special Taxes on the County's secured tax roll) the City shall assign each Parcel within the District to the Residential Category, Non-Residential Category, Exempt Category, or Vacant Land Category. Parcels subject to levy shall be determined based upon th? !-~cords of the San Diego County Assessor. Levv and'Aooortionment of Special Taxes The City shall determin~ the Special Tax Liability of each Special Tax Area in each Fiscal Year on or about every July 1 (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll). Special Taxes shall then be levi6d on each Parcel assigned to the Residential Category, Resolution 19106 Page 10 Non-Residential Category, and Vacant Land Category within each Special Tax Area in the following order of priority: Step 1: Determine the maximum revenue which could be generated in each Special Tax Area by multiplying the total Building Square Footage of all Developed Parcels assigned to the Residential Category in each Special Tax Area by the Maximum Special Tax per Building Square Foot and adding to that the maxi(~um Special Tax revenue which could be generated by multiplying the total Acreage of all Developed Parcels assigned to the Non-Residential Category in each Special Tax Area by th-: Maximum Special Tax l~er Acre. Step 2: If the total Special Tax revenue as calculated in Step 1 for the Special Tax Area is gre~,ter than the Special Tax Liability of such Special Tax Area, reduce the Special Tax for each Parcel proportionately so that the Special Tax levy for the Fiscal Year is equal to the Special Tax Liability for the Fiscal Year. Step 3: If the total Special Tax revenue as calculated in Step i is less than the Special Tax Liability of such Special Tax Area, a Special Tax shall be levied upon each Parcel assigned to the Vacant Land Category. The Special Tax for the Vacant Land Category shall be calculated as the lessor of!' (i) The Special Tax Liability for each Special Tax Area, tess the total of funds generated for all Parcels within that Special Tax Area under Step 1 above, divided by the total Acres for all Parcels assigned to the "Vacant Land Category" within that Special Tax Area. OR, (ii) the Maximum Special Tax rate for Parcels within that Special Tax Area... However, in the event it is determined that 'the Special Tax Liability for SpeciaI Tax Area A includes delinquent Special Taxes Eom Parcels in the Vacant Land Category from the prior Fiscal' Year, the City,.shall determine the amount of such delinquent Special Taxes that arose from such Parcels and identify the owner(s). The amount'of delinquent Special Taxes, if any, that arose from each owner shall first be divided by the total Acres owned by such owner(s), and collected from the respective owner with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from Parcels in Resolution 1 ~ 109 Page 11 the Vacant Land Category according to the procedure set forth in the preceding paragraph. Step 4: 'Fha total Special Tax for each Parcel shall be the sum of the Special Taxes for each Special Tax Area in which a Parcel is located. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT), MAKING CERTAiN DETERMINATIONS AND AUTHORIZiNG THE SUBMITTAL OF THE LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS OF CERTAIN TERRITORY PROPOSED TO BE ANNEXED TO COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT) AND IMPROVEMENT AREA "A" THERETO WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA. CALIFORNIA (the "City Council"), has previously declared its intention and held and conducted proceedings mlating to the annexation of territory to an existing community facilities district and an improvement area thereof pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982", being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California, and specifically Article 3.5 thereof (the "Act") and the City of Chula Vista Community Facilities District Ordinance enacted pursuant to the powers reserved by the City of Chula Vista under Sections 3, 5 and 7 of Article XI of the Constitution of the State of California (the "Ordinance") (the Act and the Ordinance may be referred to collectively as the "Community Facilities District Law"). The existing Community Facilities District has been designated as COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT) (the "District") and the improvement area has been designated as IMPROVEMENT AREA "A" ("Improvement Area 'A'"); and, WHEREAS, notice of a public hearing relating to the annexation of territory to the District and Improvement Area "A", the extent of the territory to be annexed (the "Annexation Area"), the furnishing of certain public services and all other related matters has been given; and, WHEREAS, it has now been determined that written protests have not been received by 50% or more of the registered voters residing either within the Annexation Area or the District and/or property owners representing more than one-half(l/2) or more of the area of land within the Annexed Area or within District; and, WHEREAS, inasmuch as there have been less than twelve (12) persons registered to vote within the Annexation Area for each of the 90 preceding days, this legislative body desires to submit the levy of the required special tax to the landowners of the Annexation Area, said landowners being the qualified electors as authorized by law. NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: SECTION l. RECITALS The above recitals are ali true and correct. SECTION 2. DETERMiNATIONS It is determined by this City Council that: 1 A. all proceedings prior hereto were valid and taken in conformity with the requirements of law, and specifically the provisions of the Community Facilities District Law, and this finding is made pursuant to the provisions and authorization of Section 53325.1 of the Government Code of the State of California; B. the annexation to the District and Improvement Area "A" as proposed conforms with the City of Chula Vista Statement of Goals and Policies Regarding the Establishment of Community Facilities Districts; C. less than twelve (12) registered voters have resided within the Annexation Area for each of the ninety (90) days preceding the close of the public hearing and, consequently, the qualified electors shall be the landowners of the Annexation Area and each landowner who is the owner of record as of the close of the public hearing, or the authorized representative thereof, shall have one vote for each acre or portion of an acre of land that she or he owns within the Annexation Area; D. the time limit specified by the Community Facilities District Law for conducting an election to submit the levy of the special taxes to the qualified electors of the Annexation Area and the requirements for impartial analysis and ballot arguments have been ~vaived with the unanimous consent of the qualified electors of the Annexation Area; E. the City Clerk, acting as the election official, has consented to conducting any required election on a date which is less than 125 days following the adoption of any resolution annexing the Annexation Area to the District; and F. the public services proposed to be financed from the proceeds of special taxes to be levied within the Annexation Area are necessary to meet increased demands placed upon the City as a result of development and/or rehabilitation occurring in the Am~exation Area. SECTION 3. BOUNDARIES OF ANNEXED AREA The boundaries and parcels of land in the Annexation Area and on which special taxes are proposed to be levied in order to pay the costs and expenses for the public services described in Section 4 below are generally described as follows: All that property and territory proposed to be annexed to the District and Improvement Area "A" thereof, as said property is shown on a map as previously approved by this legislative body, said map entitled "Annexation Map No. 1 To Community Facilities District No. 97-2 (Preserve Maintenance District), City Of Chula Vista, County Of San Diego, State Of California" (the "Annexation Map"), a copy of which is on file in the Office of the City Clerk and shall remain open for public inspection. SECTION 4. DESCRIPTION OF SERVICES The services that are authorized to be financed froln the proceeds of special taxes levied within Improvement Area "A" of the District are certain services which are in addition to those services required for the territory within Improvement Area "A" and will not be replacing services already available. A general description of the services authorized to be financed by Improvement Area "A" is as follows: The monitoring, maintenance, operation and management of public property in which the City has a property interest and which conforms to the requirements of the Ordinance or private property within the Otay Ranch Preserve which is required by the Preserve Owner/Manager to be maintained as open space or for habitat maintenance or both. Such property may be located outside the boundaries of the District and outside the jurisdictional boundaries of the City of Chula Vista. Such services shall not include the maintenance, operation and/or management of any property owned, maintained, operated and/or managed by the federal and/or state government as open space, habitat maintenance and/or for any other purpose. The District shall finance all direct, administrative and incidental annual costs and expenses necessary to provide such monitoring, maintenance, operation and management of such property. The same types of services which are authorized to be financed by the District from the proceeds of special taxes levied within Improvement Area "A" are the types of services proposed to be financed from the special taxes proposed to be levied within the Annexation Area. If and to the extent possible such services shall be provided in common with Improvement Area "A' and the Annexation Area. SECTION 5. SPECIAL TAX Except where funds are otherwise available and subject to the approval of the quali fled electors of the Annexation Area, a special tax sufficient to pay for such services required for the Annexation Area, secured by recordation of a continuing lien against all non-exempt real property in the Annexation Area will be levied annually within the boundaries of the Annexation Area. For particulars as to the rate and method of apportionment of the proposed special tax, reference is made to the attached and incorporated Exhibit "A" which sets forth in sufficient detail the method of apportionment to allow each landowner or resident within the Annexation Area to clearly estimate the maximum amount of the special tax that such person will have to pay. The special taxes shall be collected in the same manner as ad valorem property taxes and shall be subject to the same penalties, procedure, sale and lien priority in any case of delinquency, as applicable for ad valorem taxes; however, as applicable, this City Council may, by resolution, establish and adopt an alternate or supplemental procedure as necessary. Any special taxes that may not be collected on the County tax roll shall be collected through a direct billing procedure by the Treasurer of the City of Chula Vista, acting for and on behalf of the District. SECTION 6. ELECTION The proposition related to the levy of the special tax shall be submitted to the qualified electors of the Annexation Area, said electors being the landowners, with each landowner having one (1) vote for each acre or portion thereof of land which he or she owns within said annexed territory. The special election shall be held on the 19th DAY OF DECEMBER, 2000, and said election 3 shall be a special election to be conducted by the City Clerk (hereinafter "Election Official"). If the proposition for the levy of the special tax receives the approval of.mom than two-thirds (2/3) of the votes cast on the proposition, the special tax may be levied as provided for in this Resolution and the City Council may determine that the Annexation Area is added to and part of the District and Improvement Area "A." SECTION 7. BALLOT The ballot proposal to be submitted to the qualified voters at the election shall generally be as follows: PROPOSITION A CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 97-2, IMPROVEMENT AREA "A" AUTHORIZATION FOR SPECIAL TAX LEVY Shall Community Facilities District No. 97-2 (Preserve Maintenance District) of the City of Chula Vista be authorized to levy special taxes within the territory shown on "Annexation Map No. 1 To Community Facilities District No. 97-2 (Preserve Maintenance District), City Of Chula Vista, County Of San Diego, State Of California" (the "Annexation Map") pursuant to the rate and method of apportionment of special taxes (the "Special Tax Formula") set forth in Resolution No. to finance authorized services and administrative expenses and to fund and replenish a reserve fund, all as provided for in the Special Tax Formula? SECTION 9. VOTE The appropriate mark placed in the voting square after the word "YES" shall be counted in favor of the adoption of.the proposition, and the appropriate mark placed in the voting square after the word "NO" in the manner as authorized, shall be counted against the adoption of said proposition. SECTION 10. ELECTION PROCEDURE The Election Official is hereby authorized to take any and all steps necessary for the holding of said election. Said Election Official shall perform and render ail services and proceedings incidental to and connected with the conduct of said election, and said services shall include, but not be limited to the following: A. Prepare and furnish to the election officers necessary election supplies for the conduct of the election. B. Cause to be printed the requisite number of official ballots, tally sheets and other necessary forms. C. Furnish and address official ballots for the qualified electors of the Annexation Area. D. Cause the official ballots to be mailed and/or delivered, as required by law. 4 E. Receive the returns of the election. F. Sort and assemble the election material and supplies in preparation for the canvassing of the returns. G. Canvass the returns of the election. H. Furnish a tabulation of the number of votes given in the election. I. Make all arrangements and take the necessary steps to pay all costs of the election incurred as a result of services performed for the District and pay costs and expenses of all election officials. J. Conduct and handle all other matters relating to the proceedings and conduct of the election in the manner and form as required by law. PREPARED BY: APPROVED AS TO FORM BY: Director of Public Works H:\SHAREDXENGINEER\RESOS & ATTACH\Res Making Declarations CFD 97-2~ t2-12-00.doc 5 Resolution 19110 Page 5 EXHIBIT A RATE AND METHOD OF APPORTIONMENT ANNUAL TAX A Special Tax shall be levied annually on each Parcel of land within the Preserve Maintenance District, Community Facilities District No. 97-2 of the City of Chute Vista (the "District"), and collected according to the Special Tax Liability determined by the City cf Chula Vista (the "City") through the application of the following procedures. All of the property within the District, unless otherwise exempted by law or the express provisions of the rate and method of apportionment expressed below, shall be taxed to the extent and in the manner provided beloW. All Parcels within the District are included within either Improvement Area A or Improvement Area B. A map of the Improvement areas is included as Exhibit B. Ail Special Taxes ~ppl~=ol= to Parcels be collected in ~ne same manner and at the same time as ordinary ad valorem property taxes, and S~,=..,_l Taxes sa levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes. DEFINITIONS Acre or Acreage means the area of a Parcel as shown on the latest maps of the Assessor of the County of San Diego, or if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other r_.ora~d document creatino or describing the Parcel. If the preceding maps are not available, the area shall be determined by the City Engineer. Administrative Expenses means the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the special taxes) including the fees and expenses of its counsel, any fees of the County related to the District or the collection of special taxes, an allocable share of the salaries of City staff directly related thereto and a proportionate amount of the City's general administrative overhead related thereto, any amounts paid by the City from its general fund with respect to the District, and all other costs and expenses of the City related to the District. Building Square Foot or Square Footage means the square footage as shown on a Parcel's building permit, excluding garages or other structures not used as living space. City means the City of Chula Vista.~';~ Resolution 19110 Page 6 Developed Parcel means Taxable Propeffy for which a.~oundation building permi! o: other form of building permit has been issued as of March 1 of the preceding Fiscal Year. District means the Preserve Maintenance District Community Facilities District No. 97-2 of the City of Chula Vista. Final Map means a recorded Tract Map or Parcel Map. " Fiscal Year means the period startihg on Juiy 1 and ending the foliowin2 June 30. Improvement Area means one of the two specific areas as shown in Exhibit B. Maximum Special Tax ~neans the maximum special tax that can be levied within each Improvement Area within CFD No. 9%2 by the City Councii in any Fiscal Year for each Parcel of Taxable Property. Non-Residential Parcels shall include each Parce! within the District which is zoned for other than Residential Uses by the City. Non-Residential Uses shall include all Developed Parcels which ara not zoned for Residential Uses including commercial, industrial, and Community Public Facilities (C?F). Operating Fund means a fund that shall be maintained for. each-Improvement Area within the District for any Fiscal Ya~-r to pay for Resource Monitoring and/or Preserve Operations and Maintenance activities and Administrative Expenses. Operating Fund Balance means the amount of funds in the Operating Fund for each Improvement Area at the end of the preceding Fiscal Year. Operating Fund Requirement means for any FiscaI Year an amount for each Improvement Area equal to the Resource Monitoring Fund Requirement and the Preserve Operations and Maintenance Fund Requirement for the current Fiscal Year in which Special Taxes are levied. Parcel means any San Diego County Assessor's Parcel or portion thereof that is within the boundaries of the District designated on a map of the San Diego County Assessor and which has been assigned a discrete identifying number on the equalized tax rolls of the County. Preserve Operations and Maintenance means those activities defined in Pad I1 A. of the Special Tax Repod dated July 1, 1998 for Community Facilities District No. 9%2 of the City of Chula Vista. ~,'~, ~ -? Resolution 19110 Page _.) Preserve Operations and Maintenance Fund Requirement msans for any Fiszal' Year an amount equal to the budgeted costs ~or Pr~s_,v= Operations and Ivlaintenan:e plus a pre-rata share of the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. Residential Parcels shall include each Parcel within the District which is zoned for Residential Uses by the City. Residential Uses sha[I in:luds those residential us=-:__ es permitted in "Ln=- City zonino ordinance. Reserve Fund means a fund that shall be maintained for each Improvement Area to provide necessary cash flow for the first six months of each Fiscal Year, working capital to cover mon~oring, maintenance and repair cost overruns and delinquencies that may arise in connexion with the collection of Special Taxes and a reasonable buffer against large variations in annual special tax amounts. Reserve Fund Balance means the amount of funds in the Reserve Fund at the end of the preceding Fiscal Year. Reserve Fund Requirement means an ~mount equal to up to 100% of the Operating Fund Requirement for any, i=cal Ye=r. Resource Monitoring Program msans those activities defined in Part Il B. of the Special Tax Repo~ dated July 1, 1998 for Community Facilities District No. 97-2 of the City of Chu,~ V,s,=. Resource Monitoring Fund Requirement means for any Fiscal Year an amount for each Improvement Area equal to the Improvement Arsa's fair share of the budgeted costs of the Resource Monitoring Program plus a pro rata share of the budgeted Administrativs Expenses of the District for "= ~n~ current Fiscal Year in which Special Taxes are levied· An Imorovement Area's '~air sh.re shall be based upon the Improvement Area's percentags of the total acreage within the Otay Ranch General Development Plan Planning Area for which a Resource lvlonitoring Program funding · mechanism has been established. Special Tax means the special tax or special taxes actually levied within CFD No. 97-2 each Fiscal Year. Special Tax Liability for any Fiscal Year is an amount sufficient to pay the costs of an . Improvement Area within the District equal to: (i) the Resource Monitoring Fund · .) Requirement, and Preserve Operations and Maintenance Fund Requirement, less the Operating Fund Balance, and (ii) the Reserve Fund Requirement, less the Reserve Fund Balance. Resolution 19'110 Page 8 To× Categories are those Categories 1, II and III described in the body hereof. T~-×able Properly is ail real proper~y or Parcels within the boundaries of the District vchish are not exempt from the Special Tax pursuant to the law or which are classified or assigned to the Exempt Category as defined herein. Cateoories of SPecial Taxes Category l Category 1 includes each Developed Parcel within the District. (Category [) The Maximum Special Tax for Resource Monitoring, and Preserve Operations and Maintenance that may be levied for Fiscal Year 1998/99 on each Developed Parcel shall be at the rates set fSrth in Table 1 below. For Residential Parcels the Special Tax shall be levied based upon Buitding Square Footage and for Non-Residential P¢rc=.~- shall be levied based on Acreage. The Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is the I__s~r of the annual percentage change in the January to January San Diego IVletropolitan Area All Urban Consumer Price Index (Ail items) or the annual percentage change in the estimated California Fourth Quarter Per C~p[,= Personal Income as contained in the Governor's budget published every January. TABLE 1 M~×irnurn Special Ta~, Category I Resource Operation & Monitoring Maintenance Residential Parcels S0.0049 per sq. ft. S0.0078 per sq, ft. Non-Residential Parcels $~0.96 per Acre S128.53 per Acre Category II Category II includes each Parcel of Taxable Property within the District for which a Final Map has been recorded, but which is not classified as a Developed Parcel (Category II). The Maximum Special Tax for Resource Monitoring. and Preserve Operations and Maintenance that may be levied for Fiscal Year 1998/99 on each Parcel In Cat~ggory II shall be as shown in Table 2 below (said amount to be levied pro rata for any portion of an Acre). Said Maximum Special Tax shall be increased or decreased each Fiscal ','.'.., Year thereafter by a factor which is the lesser of the annual percentage change in the '-..* January to January San Diego Metropolitan A~'ea All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth Quarter Per Resolution 191 i0 Page 9 '-") Capita Personal Income as Contained in the Governor's ' '~' ' -.- ouoo=, oubiished avery January. ' ' TABLE 2 i Maximum Special Tax Category II Resource Operation & Monitoring Maintenance " S80.95 per Acre 5128.53 per Acre Category Iit Category III includes each Parcel of Taxable Property within the D =,n,., n3~ SUBJ_.., ~o a Special T~ bnder any other category ("Category I1["). ~ ~ ' ~gB,~., on Taxable 'Fne Maximum Special Tax which may be I=vi=d tot Fiscal Year ' Property within Category 11I shall be as shown in Table 3 below (said amount to be levied pro rata for any portion of an Acre). Said Ivlaximum Special Tax shall be m~r__svd or decreased each Fiscal Year thereafter by a factor which is the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price index (All items) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget published every January. TABLE 3 Maximum Special Ta× Category Ill Resource Operation & Monitoring Maintenance S51.21 per Acre. $81.30 per Acre Exempt Category The Exempt Category includes each property owned, conveyed or irrevocably offered for dedication to a public agency, or land which is in the public right-of-way, unmanned utility easements which make utilization for other than the purpose set forth in the easement impractical, common areas, private streets and parks, and open space lots ("Exempt Category"). Assionment to Cateoories of Soecial Tax On or about July 1 of each year, (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll), the City shall assign each Parcel within the District to. Category I, Category Il, Category III or the Exempt Category. Resolution 19110 Page 10 Parcels subject to levy shall be determined based upon the records of the San Diego County Assessor. Law and Aooodionment of Soecial Taxes The City shall determine the Special Tax Liability for each improvement Area in each Fiscal Year on or about every July. 1. Spedai Taxes shall then be levied on each Parcel classified as the Category I, Category il, or Category Iii in the following order of priority: Immrovement Area A Step 1: Determine the revenue which could be generated by Parcels assigned to Category I by m. ultiplying the Building Square Footage for Parcels classified as Residential Paresis by the Maximum Special Tax per Building Square Foot for Resource Monitoring, and Preserve Operations and Maintenance for Parce!s and adding to that the maximum revenue which could be generated by multiplying the total acres for Parcels classified as Non-Residential Parca!s by the Maximum Spatial Tax per Acre for Resource Monitoring and Preserve Operations and Maintenance. Step 2: If the total revenue as calculated in Step 1 is greater than the estimated Special Tax Liability for Improvement Area A, reduce the Special Tax for each Parcel proporiionately so that th-: Special Tax levy for the Fiscal Year is equal to the Special Tax Liability for the Fiscal Year. Step 3: If the total revenue as calculated in Step 1 is less than the Special Tax Liabiiity for Improvement Area A, a Special Tax shall be levied upon each Parce! within Improvement Area A, classified as Category II. The Special Tax for Parcels assigned to Category Il shall be calculated as the lessor of: (i) The Special Tax Liability for Improvement Area A as determined by the City, less the total revenue generated for all Parcels under Step 1 above, divided by the total Acres for all Parce!s within Improvement Area A assigned to Category II, OR' (ii) the Maximum Special Tax rate for Parcels assigned to Category II Step 4: If the total revenue as calculated in Step 1 and 3 is less than the Special Tax Liability, for Improvement Area A, a Special Tax shall be levied upon each Parcel within Improvement Area A classified as Category Ill. The Special Tax for Parcels assianed to Cateoorv Ill shall be calculated as the lessor of: Resolution 19110 Page 11 (i) The Special Tax Liability for Improvement Area A as determined by t.he City, less the total revenue generated for all Parcels under Step I and 3 above, divided by the total Acres for all Parcels within improvement Area A assigned to Category OR (ii) the Maximum Special Tax rate for Parcels assigned to Category 111 and within Improvement Area A. .. However, in the event it is determined that the Special Tax Liability for Improvement Area A includes delinquent Special Taxes from Parcels in Category I11 from the prior Fiscal Year, the City shall determine the amount of delinquent taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided by the total Category III Acres owned by such owner(s) and collected from the applicable owner(s) with the remaining portion of the Special Tax Liability not related to deiinquent Special Taxes to be collected from all Parcels in Category Ill according to the procedure set fo~h in the preceding paragraph. Immrovement Area tB S~ep 1: Determine the revenue which could be generated by Parcels assigned to Improvement Area B for Resource Monitoring by multiplying the total Acres for Parcels.assigned to Category III by the Maximum Special Tax f~r Category II1. Step 2: If the total revenue as calculated in Step i is oreater than the Special Tax Liability for Improvement Area B, reduce the Special Tax for each Parcel proportionately so that the Special Tax levy for the Fiscal Year is equal to the Special Tax Liability for Improvement Area B for the Fiscal Year. Howe_var, in the event it is determined that the Special Tax Liability for Improvement Area B includes delinquent Special Taxes from Parcels in Category 111 from the prior Fiscal Year, the City shall determine the amount of delinquent taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided by the total Category II1 Acres owfled by such owner(s) and collected from the applicable owner(s) with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from all Parcels in Category 111 according to the procedure set forth in the Step 1 and Step 2 above. Resolution 19110 Page 1 2 COUNCIL AGENDA STATEMENT Item No dS~ Meeting Date 12112/00 ITEM TITLE: PUBLIC HEARING: TO NOTICE THE USE OF FY 00/01 COPS FUNDING PER THE CITIZENS OPTION FOR PUBLIC SAFETY FOR LOCAL LAW ENFORCEMENT SERVICES RESOLUTION ACCEPTING $378,174 FROM STATE COPS FOR LOCAL LAW ENFORCEMENT AND AMENDING THE FY 00/01 BUDGET TO APPROPRIATE $22,213 FOR THE LOCAL LAW ENFORCEMENT BLOCK GRANT (LLEBG) LOCAL MATCH AND $81,087 FOR THE COPS MORE 2000 LOCAL MATCH REQUIREMENT AND $93,847 FOR ONE SERGEANT AND VEHICLE ADDED DURING THE FY 00-01 BUDGET PROCESS CONTINGENT UPON GRANT FUNDING AND AUTHORIZING STAFF TO DESIGNATE THE REMAINING FUNDS ($181,027) FOR PATROL STAFFING AND TRAiNiNG NEEDS AND AUTHORIZING THE CHIEF OF POLICE TO UTILIZE (REPROGRAM) SAVINGS RESULTING FROM THE EQUIPMENT PROCUREMENT PROCESS FOR ADDITIONAL UNSPECIFIED OFFICER SAFETY EQUIPMENT AND SUPPLIES. SUBMITTED BY: Chief of Polic~-~ REVIEWED BY: City Manager~~' (4/5ths Vote: Yes X No__.) The FY 00/01 State Budget was adopted appropriating $378,174 to the City of Chula Vista Police Department. State money is allocated to the Police Department for purposes stipulated by the Citizen's Option for Public Safety (COPS) Program. The Police Department proposes to use the funds to meet Patrol staffing and training needs, pay for one Sergeant and vehicle added during the FY 00/01 budget process contingent upon grant funding and local cash match requirements of two federal grants COPS MORE 2000 and the Local Law Enforcement Block Grant. Page 2, Item J Meeting Date 12/12/00 RECOMMENDATION: 1. That the Council hold a public hearing to notice the use of COPS funding to pay for police services; and, 2. That the Council adopt the Resolution accepting $378,174 from the State Budget for Patrol staffing and training needs to be determined; $22,213 for the Local Law Enfomement Block Grant (LLEBG) local match and $81,087 for the COPS MORE 2000 local match requirement; and, 3. That the Council authorize the Chief of Police to reprogram savings resulting from the equipment procurement process for additional officer safety equipment and resources. BOARDS/COMMISSIONS RECOMMENDATIONS: The State appropriation requires a Regional Oversight Committees' approval of the funds prior to disbursement. In accordance, an Oversight Committee was established in San Diego County. The Committee recommends approval of the State Local Law Enforcement funds as proposed. The San Diego County Oversight Committee is comprised of the following: Municipal Police Chief Richard P. Emerson County Sheriff William B. Kolender District Attorney Paul Pfingst County Administrative Officer Walter Ekard City Manager Michael T. Uberuaga BACKGROUND: During FY 96/97 the State appropriated funds for local law enforcement services per AB 3229, Chapter 134, Statutes of 1996. In accordance with this legislation, the State has appropriated funds annually to local law enforcement agencies since FY 96/97. The City of Chula Vista's proportionate share of these funds for FY 2000 is $378,174. These funds are to be deposited in the City's Supplemental Law Enforcement Fund (SLESF) and used for law enforcement personnel and equipment needs as prescribed by the original legislation (AB 3229). Use of these funds must supplement and not supplant. These funds have a twenty-five percent (25%) in kind contribution requirement. In kind funds will be staff time associated with procurement, automation, hiring and training of new personnel. The allocation of future funds is subject to annual state budget deliberations. Page 3, Item~ Meeting Date 12/12/00 DISCUSSION: The Police Department recommends that the City Council accept the State allocation and approve use of the funds for personnel and equipment costs related to the expansion of police services as stipulated by the Citizens' Option for Public Safety (COPS) Program. The Department proposes to use the funds to facilitate the creation of patrol teams which will enable the Department to continue to service a growing community. Patrol Staffing Study - Staff is in the process of updating the Patrol Staffing Study and anticipates having preliminary numbers by mid-December of this year. In concert, staff is also pursuing COPS funding for additional officers to mitigate costs to the General Fund. The Patrol Staffing model is also part of an existing review of Patrol deployment and training needs. A committee has been working to develop an acceptable deployment schedule which meets call for service demands, allows for training and spreads existing experience levels more evenly. However, a significant amount of data gathering and analysis is still in process. While it is anticipated that there will be additional sworn positions recommended as the result of this process, it is premature to speculate as to the number of positions or the cost of this proposal. All participants have agreed on an implementation date of July 2001; with work continuing on schedule. Project completion is anticipated by 'March, 2001. This will allow ample time for review of the recommendations and development of resources to implement the proposal, Upon completion staff will retum to Council for approval. Patrol Sergeant - During the FY 00/01 budget, a Sergeant position was approved contingent upon State COPS funding. The addition of the patrol Sergeant was necessary to address span of control issues within the Department. A total of $93,847 is proposed to be used to pay for the salary and benefits of the sergeant and associated vehicle. Both the expenditure and revenue have been budgeted, thus do not require Council action. Local Match Requirements - Staff rs recommendi'ng meeting Local Match requirements of the COPS More 2000 Grant ($81,087) and Local Law Enforcement Block Grants ($22,213). This will minimize the impact to the general fund. FISCAL IMPACT: Acceptance of the State COPS funding would make $378,174 available for local law enforcement needs. These funds are proposed to be used for Page 4, Item Meeting Date 12/12/00 implementation of Patrol teams and to address Patrol staffing and training needs, pay for one Sergeant and vehicle added during the FY 00/01 budget process contingent upon grant funding and Local Match requirements of two federal grants COPS MORE 2000 and the Local Law Enfomement Block Grant. The first year's cost of the Sergeant will be paid for from the State COPS funds. Subsequent years will be paid for by the General Fund. The Local Match allocations are one-time expenditures and result in no impact to the General Fund. The ongoing cost for Patrol staffing and training needs is unknown at this time. Staff is in the process of developing a proposal for council consideration. State COPS funds have a 25% in kind contribution requirement. The in kind contribution will be staff time associated with automation, hiring and training of new personnel. Consistent with grant requirements, the funds ara recommended to be used to supplement local law enfomement and not supplant. H:Shared/AlvinaA113/$378,174COPS NEW 2000 GRANT PROGRAM SEIUSS GPS $30,000 $50,000 PATROL STAFFING/TEAMS LLEBG &TRAINING $181,027 $222,127 STATE COPS $378,174 PATROL SGT. VEHICLE $93,847 POSITIONS PENDING FURTHER EV,N..UATION \ COPSMORE 200~ CALIFORNIA ~ TECHNOLOGY PRO( $Cl~,~i~OUT~RS $160,252 MDC UPGRADE $134,252 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING $378,174 FROM STATE COPS FOR LOCAL LAW ENFORCEMENT AND AMENDING THE FY 00101 BUDGET TO APPROPRIATE $22,213 FOR THE LOCAL LAW ENFORCEMENT BLOCK GRANT (LLEBG) LOCAL MATCH AND $81,087 FOR THE COPS MORE 2000 LOCAL MATCH REQUIREMENT AND $93,847 FOR ONE SERGEANT AND VEHICLE ADDED DURING THE FY 00101 BUDGET PROCESS CONTINGENT UPON GRANT FUNDING AND AUTHORIZING STAFF TO DESIGNATE THE REMAINING FUNDS ($181,017) FOR PATROL STAFFING AND TRAINING NEEDS AND AUTHORIZING THE CHIEF OF POLICE TO UTILIZE (REPROGRAM) SAVINGS RESULTING FROM THE EQUIPMENT PROCUREMENT PROCESS FOR ADDITIONAL UNSPECIFIED OFFICER SAFETY EQUIPMENT AND SUPPLIES. WHEREAS, the FY 00/01 State Budget was adopted appropriating $378,174 to the City of Chula Vista Police Department; and, WHEREAS, said bill allocates state money to the Police Department for purposes stipulated by the Citizens' Option for Public Safety (COPS) Program; and, WHEREAS, the City Council held a public hearing on December 12, 2000 to notice use of COPS funding to pay for police services; and, WHEREAS, $181,017 will be used to pay for Patrol staffing and training needs, $93,847 for one Sergeant and vehicle added during the FY 00/01 budget process contingent upon grant funding, $22,213 to meet the LLEBG requirement and $81,087 to meet the COPS MORE 2000 local cash Match requirements. WHEREAS, if savings result from competitive procurement for the 2000 State COPS, it is recommended that the Chief of Police be authorized to utilize savings for additional unspecified officer safety equipment and supplies. NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Chula Vista does hereby accept $378,174 from State COPS funds for local law enforcement to implement Patrol teams. Presented by: Approved as to form by: R~chard P. Emerson John M. Kah~ny Police Chief City Attorney COUNCIL AGENDA STATEMENT Item No J'O Meeting Date 12-12-00 ITEM TITLE: PUBLIC HEARING: TO NOTICE ACCEPTANCE AND APPROPRIATION OF LOCAL LAW ENFORCEMENT BLOCK GRANT FUNDS. RESOLUTION ACCEPTING $222,127 FROM THE 2000 LOCAL LAW ENFORCEMENT BLOCK GRANT AND AMENDING THE FY 00-01 POLICE BUDGET AND APPROPRIATING $178,727 FOR POLICE TECHNOLOGY AND EQUIPMENT $33,400 FOR COMMUNITY OUTREACH PROGRAMS AND MATERIALS AND $10,000 TO SUPPORT THE SOUTH BAY DRUG COURT AND AUTHORIZING THE CHIEF OF POLICE TO UTILIZE (REPROGRAM) SAVINGS RESULTING FROM THE COMPETITIVE PROCUREMENT PROCESS FOR ADDITIONAL UNSPECIFIED OFFICER SAFETY EQUIPMENT AND SUPPLIES. SUBMITTED BY: Chief of Polic~[-.~ REVIEWED BY: City Manager ~ (4/5ths Vote: Yes X No ) The Police Department has recently received notice of a Local Law Enforcement Block Grant (LLEBG) award in the amount of $222,127 from the Bureau of Justice Assistance (BJA). These funds were allocated to the Police Department based on a three-year average of Part I Violent Crimes. Part I Violent Crimes are murder and non-negligent manslaughters, forcible rape, robbery, and aggravated assaults as reported by the FBI. Acceptance and appropriation of these funds requires a public hearing per stipulations of the Local Law Enforcement Block Grant. RECOMMENDATION That the City Council accept the $222,127 in Local Law Enforcement Block Grant funds and amend the FY 00-01 Police budget as follows: 1. Appropriate $178,727 from the Local Law Enforcement Block Grant funds for police technology and equipment. Page 2, Item Meeting Date 12112100 2. Appropriate $33,400 for community outreach pregrams and materials. 3. Appropriate $10,000 from the Local Law Enforcement Block Grant to support the South Bay Drug Court. BOARDS/COMMISSIONS RECOMMENDATIONS The Local Law Enforcement Block Grant requires a local Advisory Board approval of the use of funds prior to disbursement. A local Advisory Board consisting of the specific composition required by the grant was set up to review the grant application. The local Advisory Board recommends approval of the Local Law Enforcement Block Grant disbursements as proposed. The local Advisory Board is comprised of listed representatives from the following agencies: Local Law Enforcement Agency Richard P. Emerson Prosecutor's Office Dave Greenberg Court System Judge Jesus Rodriguez School System Dennis Doyle Non Profit Agency Pam Smith BACKGROUND The Fiscal Year 1997 Appropriation Act Public Law 104-208 provides for funding under the Local Law Enforcement Block Grant program, established within the Bureau of Justice Assistance (BJA), to local law enforcement agencies. The City of Chula Vista is eligible to receive an award of $222,127 under this program. Funding may be used in seven purpose areas, which address a wide variety of activities from increasing personnel and equipment resources for law enforcement to developing and supporting programs to enhance effective criminal justice processes. The program's goal is to provide local jurisdictions with opportunities to reduce crime and improve public safety through the implementation of diverse strategy, hiring, training of additional local law enforcement officers, payment of overtime, procurement of equipment and establishment of support for drug courts. GRANTS REQUIREMENTS The $222,127 grant allocation has a 10% ($22,213) local match requirement. The one-time local match requirement of 10% has been paid for from the State COPS Program. The funds will be used to pay for the implementation of Patrol teams. The LLEBG funds must supplement and not supplant. The funds must be used to reduce crime and improve public safety through activities such as Page 3, Item Meeting Date 12/12/00 hidng, training, and employment of new local law enfomement officers and support staff as well as procuring equipment, and technological advances directly associated with local law enforcement, DISCUSSION The Police Department and advisory board recommend use of the funds for the implementation of the following projects: technology improvements, community outreach, equipment as well as providing support to the South Bay Drug Court. The following is a summary of the proposed expenditures: Technology - $128,727 Staff is recommending using LLEBG funds to n~ake technological improvements throughout the Department that will enable the Department to effectively employ technology to better service our community. The continued development of a technology infrastructure to support the Department's growth will increase employee productivity and ensure timely information to enable investigators to be effective problem solvers. To this end the Department is proposing the purchase of ~.he Special Investigative Unit Support System (SlUSS), at a cost of $30,000, for use as the central intelligence database for the Department. The implementation of a comprehensive intelligence database will allow the Special Operations Unit to synthesize various types of information related to a case, such as suspects, vehicles, and locations, into a single cohesive picture that will assist investigators in developing leads during an active investigation. Information will only need to be entered once, with linkages being automatically created to allow analysis using multiple elements, such as suspects, locations, or businesses. These linkages will make it feasible to enter narrowly focused pieces of information, such as a suspicious vehicle consistently parked near a known drug house, that have not yet been firmly connected to a particular suspect or address. The linkages will allow analysis of intelligence across case boundaries. The system will also "hook" into existing databases, such as the Department's "Epic" booking database and the in-house narcotics complaint system, which will automatically integrate information as it is entered. Staff is recommending $50,000 be used for the purchase of a global positioning system (GPS). The Department is evaluating different GPS receivers to show real time location of public safety vehicles. This system will include Communication Center and in-car mapping to enable Officers and Dispatchers to rapidly find any location in the City. A test program is being studied in the Sergeants Ford Expedition. In last year's budget Council approved funds to automate Investigations, to date three units have been equipped with computers. However a need still remains to Page 4, Item Meeting Date 12/12/00 purchase computers for the Narcotics Enforcement Team for four Agents assigned to this division at a cost Of $16,000. The addition of computers to these units will enhance the ability of these positions to function more effectively. Staff recommends allocating $32,727 for the purchase of a police work management program to help integrate Department databases and computer systems into a cohesive work unit. The work management program will also help the Department capture workload indicators, which are collected by several units in a variety of manually kept reports. The integration of these systems will increase the efficiency of current technology and develop a bridge to future technology. Staff is in the process of evaluating various software programs to meet this need; a specific system has not been identified. Equipment- $50,000 The Department is proposing using $30,000 in LLEBG funds for the purchase of less than lethal equipment. The use of less than lethal equipment will enhance Officers' ability to effectively and safely deal with an individual that is a serious danger to themselves or another person that cannot be controlled, or is perceived too dangerous to control a subject with the use of verbal commands, open hand techniques, or an authorized control hold. In addition less than lethal technologies allow officers to subdue individuals, control crowds, and apprehend suspects with minimal risk to suspects and bystanders. Staff is also recommending the designation of $20,000 for the purchase of Officer safety equipment like body armor, helmets, and batons. Community Outreach - $33,400 In the recent Resident Opinion Survey the need to improve community relations was identified. As a result the Department has established a Community Outreach Unit consisting of the Community Outreach Coordinator (graffiti), the Crime-Free Multi Housing Coordinator, a Community Outreach Officer, and Uniform Volunteer Patrols to serve as the pro-active function of Patrol. Staff is recommending the use of $8,000 of LLEBG funds to support this program and funds will be used for promotional materials, graffiti abatement efforts, community satisfaction surveys, as well as crime prevention programs and presentations. The Department is also continuing with the successful "Every 15 Minutes Program" in an effort to reach and educate high school students on driving safety. In FY 99 - 00 funding for the program was provided through the Office of Traffic Safety. As this is a highly competitive grant the Department would like to ensure that there is available funding for the "Every 15 Minutes Program". If funding from OTS does become available, the Department will be able to expand this program to include an additional school. Staff is recommending $10,000 be allocated for this purpose. Page 5, Item Meeting Date 12/12/00 In an effort to further increase contact with the community the Department is proposing to use $15,400 in LLEBG funds for the purchase of bicycles, uniforms and related equipment for the School Resource Officer Unit. The use of bicycles would afford Officers the opportunity to interact with students on a more personal, non-threatening basis. Bicycles also provide the necessary mobility and better access to an entire campus and therefore, the student body. Several departments have reported success in utilizing bicycles in and around school campus and surrounding streets and parks. The Cities of San Diego and National City have reported positive reactions and results using bicycles at their school campuses. Bicycles would be outfitted as police bikes and would meet State standards and regulations for stopping individuals, including a red light and siren. In addition Officers would be 3rovided with safety equipment and training. Drug Court - $10,000 Staff is recommending the appropriation of $10,000 for the purpose of supporting the South Bay Drug Court. This program provides intense follow-up monitoring and assistance to those who qualify for other than standard incarceration. The program exists throughout the County and has now been implemented in the South Bay. Monies would be used for those arrestees from our City who qualify for this highly structured pmgram. FISCAL IMPACT: It is anticipated that all LLEBG funds will be expended on one-time pumhases in the current fiscal year. A one-time allocation of $10,000 will be used to support the South Bay Drug Court. The one-time local match requirement of 10% ($22,213) has been paid for from the State COPS 2000 grant. There is no net impact to the General Fund. 10 -.:' NEW 2000 GRANT PROGRAM SEIUSS GPS $30,000 $50,000 PATROL STAFFING/TEAMS & TRAINING 200( $181,027 $222,127 STATE COPS $378,174 PATROL SGT. VEHICLE $93,847 POSITIONS PENDING FURTHER EVALUATION $213,883 COPSMORE 200~ CALIFORNIA ADVANCED ~ ~ TECHNOLOGY PRO~ COMPUTERS $160,252 $16,000 MDC UPGRADE $134,252 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING $222,127 FROM THE 2000 LOCAL LAW ENFORCEMENT BLOCK GRANT AND AMENDING THE FY 2000-01 POLICE BUDGET AND APPROPRIATING $178,727 FOR POLICE TECHNOLOGY AND EQUIPMENT AND $33,400 FOR COMMUNITY OUTREACH PROGRAMS AND MATERIALS AND $10,000 TO SUPPORT THE SOUTH BAY DRUG COURT AND AUTHORIZING THE CHIEF OF POLICE TO UTILIZE (REPROGRAM) SAVINGS RESULTING FROM THE COMPETITIVE PROCUREMENT PROCESS FOR ADDITIONAL UNSPECIFIED OFFICER SAFETY EQUIPMENT AND SUPPLIES. WHEREAS, the Fiscal Year 2000-01 federal budget appropriates $222,127 to the City of Chula Vista Police Department from the Local Law Enforcement Block Grant fund; and, WHEREAS, these funds were appropriated based on a three-year average Part I violent crimes for purposes stipulated by the Local Law Enforcement Block Grant program; and, WHEREAS, the City Council held a public hearing on December 12, 2000 to notice use of the LLEBG funding in the amount of $178,727 for police technology and equipment, $33,400 for community outreach programs and materials and $10,000 to support the South Bay Drug Court; and, WHEREAS, the Fiscal Year 2000-01 Police budget will be amended to add $212,127 for equipment; and $10,000 for the South Bay Drug Court. WHEREAS, the $22,213 (10%)local cash match requirement has been met from the State COPS 2000; and, WHEREAS, if savings result from the competitive procurement process, the Chief of Police will be authorized to utilize savings for additional unspecified officer safety equipment and supplies. _ NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby accept $222,127 for local law enforcement from the Bureau of Justice Local Law Enforcement Grant program. Presented by: Approved as to form by: Richard P. Emerson John M. Kaheny (~ Police Chief City Attorney COUNCIL AGENDA STATEMENT Item No It Meeting Date 12112100 ITEM TITLE: RESOLUTION ACCEPTING $29,371 OF THE COPS MORE 2000 AWARD FOR THE HIRING OF A CIVILIAN POSITION THAT WILL RESULT IN REDEPLOYMENT OF SWORN STAFF AND AMENDING THE FY 00/01 BUDGET TO ADD ONE COMMUNITY SERVICE OFFICER, AND APPROPRIATING $19,581 FOR SALARIES AND BENEFITS AND DIRECTING STAFF TO BUDGET THE REMAINING FUNDS AS STIPULATED BY THE GRANT IN SUBSEQUENT YEARS SUBMITTED BY: Chief of Police~ REVIEWED BY: City Manager -3 ~ (4/5ths Vote: Yes X No ) The COPS Making Officer Redeployment Effective (MORE) 2000 program is one of several grants developed by the U.S. Department of Justice under the 1994 Crime Act to increase the deployment of police officers to community policing via the hiring of civilian personnel. COPS MORE awards are very competitive. The City of Chula Vista is one of a very few agencies to receive a COPS MORE 2000 award. The award of $243,255 may be used to hire civilian personnel, which will allow existing officers to spend additional time in the community. Staff is recommending the acceptance of $29,371 of the COPS MORE award, at this time. Acceptance of the remaining funds is contingent on the mitigation of the impact of ongoing costs to the general fund and completion of staffing formulas in Patrol and Investigations. RECOMMENDATION: That the City Council accepts $29,371 from the COPS MORE 2000 award and appropriate $19,581 for the hiring of one Community Service Officer. BOARDS/COMMISSIONS RECOMMENDATIONS: N/A Page 2, Item Meeting Date 12/12/00 BACKGROUND COPS MORE 2000 is one of several grant programs developed by the U.S. Department of Justice under the 1994 Crime Act to increase the deployment of community policing officers to America's streets. This program is designed to expand the time available for community policing by current law enfomement officers via the hiring of support personnel. The grant allows law enfomement agencies to redeploy officers so that more of their time is spent on community policing activities instead of paperwork. All state and local law enforcement agencies are eligible for grants under COPS MORE. The application process is very competitive and the City of Chula Vista has been fortunate to receive one of a very few number of awards. Grant Requirements COPS MORE grants cover up to 75% of the total cost of civilian salaries for one year; the grant has a local cash match requirement of 25%. This requirement has been met by the State COPS program. The grant maybe renewed for two additional years. The grant stipulates that COPS MORE funds must not be used to replace funds that agencies otherwise would have devoted to the hiring of civilian personnel. In other words, any use of COPS MORE 2000 funds must be in addition to, and not in lieu of, previous funding commitments for law enforcement. In addition, each agency is required to have a retention plan on file with the COPS office, which would allow for continuing the proposed activity after the COPS MORE grant has ended. DISCUSSION Staff is recommending the addition of only the Second Hand Dealers/Licensing CSO at this time. Acceptance of the remaining funds is contingent on the mitigation of the impact of ongoing costs to the general fund and completion of staffing formulas in Patrol and Investigations. Community Service Officer- Second Hand Dealers/Licensing Staff is recommending the addition of a Community Service Officer to automate and manage the clerical and administrative processes and files associated with secondhand dealer slips and police-regulated business licenses. The City of Chula Vista has 20 secondhand dealers generating approximately 500 pawn slip transactions per month. Currently copies of each slip are sent to the Property Crimes Unit daily and are reviewed by Detectives looking for stolen property that may have been pawned. This process currently is done entirely by hand; no part of it is automated. Because the pawn slips are not entered into a database and then analyzed, Detectives spend many hours looking and searching through the Page 3, Item Meeting Date 12/12/00 pawn slips. This outdated procedure will be rectified by the addition of the Community Service Officer. Redeployment will permit Property Crimes Detectives to refocus their efforts on analyzing crime series and working in particular with neighborhood residents to solve residential burglary series. Detectives will also be able to work more closely with businesses, developing more effective approaches to violent crime. The addition of a CSO will allow for a centralized, coordinated effort in dealing with second hand dealers and licensing; they will be responsible for receiving, reviewing and processing applications and fees for licenses of police-regulated businesses. The CSO will ensure that applications are complete and notarized, take applicant fingerprints, fill out and submit Background Check Requests to ClSS for local background checks, forward them to the California DOJ and the CVPD licensing agent for review when supplemental background checks as required. They will also be responsible for inputting license information into the automated Police-regulated License system, creating a hardcopy file to be maintained within the Unit, inputting data into the Automated Regional Justice Information System (ARJIS), and filing pawn slips. In addition, the CSO will also coordinate with the California DOJ and local secondhand dealers for the implementation of electronic transaction reporting required by the newly passed section 21628 of the Business and Professions Code. The total COPS MORE award is $243,255. The following positions have been awarded: Grant Award One Community Service Officer (CSO) for Second Hand Dealers/Licensing Two Part-time Investigators for Unsolved Homicides Two Office Assistants to support Patrol Lieutenants Two Office Assistants to support Patrol Sergeants Two Child Abuse/Elder Abuse Referral CSO's Staff is currently reviewing, these positions in the context of Patrol and Investigations staffing studies. FISCAL IMPACT: Acceptance of the COPS MORE funding provides .available for the hiring of civilian personnel, which will allow for the redeployment of existing law enforcement officers. The COPS MORE Grants provide 75% of the total cost of civilian salaries and benefits. Agencies may request renewal grants for civilian hiring for up to two additional years. The Grant stipulates that agencies must provide a 25% local cash match. This requirement has been met by the State COPS Program. The following is a summary of the costs associated with the hiring of the additional CSO: Page 4, Item Meeting Date 12/12/00 EXPENDITURES Personnel $19,581 $ 39,162 $ 39,162 $ 39,162 Total Expenditures $19,581 $ 39,162 $ 39,162 $ 39,162 REVENUES COPS MORE $14,688 $14,684 $ $ Second Year Supplement $ - $14,688 $14,684 $ State Cops (local match) $ 4,893 $ 4,897 $ i $ General Fund $ $ 4,893 $ 24,478 $ 39,162 Total Revenues $19,581 $ 39,162 $ 39,162 $ 39,162 NET GENERAL FUND $ $ 4,893 $24,478 $39,162 COST NEW 2000 GRANT PROGRAM SEIUSS GPS $30,000 $50,000 PATROL STAFFING/TEAMS LLEBG &TRAINING $181,027 $222,127 STATE COPS $378,174 PATROL SGT. VEHICLE $93,847 POSITIONS PENDING FURTHER EVALUATION $213,883 COPSMORE 2000 $243,255 CALIFORNIA ADVANCED TECHNOLOGY COMPL~ERS $160,252 $16,000 MDC UPGRADE $134,252 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING $29,371 OF THE COPS MORE 2000 AWARD FOR THE HIRING OF A CIVILIAN POSITION THAT WILL RESULT IN REDEPLOYMENT OF SWORN STAFF AND AMENDING THE FY 00101 BUDGET TO ADD ONE COMMUNITY SERVICE OFFICER, AND APPROPRIATING $19,581 FOR SALARIES AND BENEFITS AND DIRECTING STAFF TO BUDGET THE REMAINING FUNDS AS STIPULATED BY THE GRANT IN SUBSEQUENT YEARS WHEREAS, the COPS MORE grant program awarded $243,255 to the City of Chula Vista Police Department; and, WHEREAS, this award is based on a competitive process to be used to hire civilian personnel; and, WHEREAS, the $81,086 required cash match has been met by the State COPS 2000 Program; and, WHEREAS, the Department was awarded funding for two part-time Investigators, three Community Service Officers, and four Administrative Office Assistants; and, WHEREAS, the Department is accepting and appropriating funds for one Community Service Officer position; and, WHEREAS, acceptance of the remaining funds is contingent on the mitigation of the impact of ongoing costs to the General Fund and completion of Patrol and Investigative staffing formulas; and, WHEREAS, the Fiscal Year 2000-01 Police budget will be amended to add $19,581 for salaries and benefits; WHEREAS, staff is directed to budget the remaining funds as stipulated by the grant in subsequent years. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby accept $29,371 for salary and benefits of one Community Service Officer from the COPS MORE grant program. Presented by: Approved as to form by: John M K~heny Police Chief City Attorney /f 7 COUNCIL AGENDA STATEMENT Item No [~.- Meeting Date 12/12/00 ITEM TITLE: .Resolution - Accepting and Appropriating $160,252 from the State California Advanced Technology Program for the Purposes of Upgrading Mobile Data Computers ($134,252), Purchasing New Dispatch Computers ($16,000) and Computer Aided Dispatch (CAD) Reporting Software ($10,000). SUBMITTED BY: Chief of Polic REVIEWED BY: City'~lanager ~F~~ (4/5ths Vote: Yes.,,,XX No ) As part of this Year's stat~ COPS funding, the Governor approved a budget trailer bill which designated sl~ecific funds for technology grants to local law enforcement. The City Df Chu a Vista has been allocated $160,252, which will be used for technology advances within the Department. RECOMMENDATION: ~ That the City Council accept and appropriate $160,252 from the State California Advanced Technology Program for purposes of upgrading Mobile Data Computers ($134,252),..~urdhasing New Dispatch Computers ($16,000) and Computer Aided Dispatch (CAD) reporting Software ($10,000). BOARDS/COMMISSIONS RECOMMENDATIONS: N/A DISCUSSION: The State COPS funding allocation included specific funding for local law enforcement technology. Each local law enforcement agency was guaranteed a threshold of $100,000 minimum. The City of Chula Vista has received an allocation of $160,252, ~h[ch will be used for the following purposes: · Purchase of eight new dispatch computers ($16,000) and sixteen Mobile Data Computers ($134,252), which will add mapping capabilities in the field. The use of the MDC's will aid in handling call volume and deploying officers more Page 2, Item Meeting Date 12/12/00 ... expediently. Futura raplacement of the MDC'S and dispatch computers will be built into the Management Information System's raplacement program. · Computer Aided Dispatch (CAD) reporting software ($10,000), which will enhance the Department's reporting capability. CAD racords are useful resoumes for any department interested in improving its management decision making. These records generally include detailed data on all officer activities and are used to evaluate the deployment strategies, determine the number of officers needed to meet call for service demands and meet growth management thresholds. The Department is recommending the allocation of $10,000 to help improve staffs ability to analyze CAD records. These funds will enable the Department to convert the CAD data into user-friendly format that would permit customized analysis. With this new capability, staff will be able to generate regular reports for patrol management and customize specialized reports for other needs of the organization. FISCAL IMPACT: The $160,252 California Advanced Technology Program allocation is proposed to be used for the purchase of patrol MDC's and eight dispatch computers in addition to purchase of CAD reporting software. Future replacement of the MDC's and dispatch computers will be built into the Management Information System's replacement program. There ara no additional costs anticipated from the purchase of CAD reporting softwara. NEW 2000 GRANT PROGRAM SEIUSS GPS $30,000 $5O,OOO PATROL STAFFING/TEAMS & TRAINING $181,027 $222,127 STATE COPS $378,174 PATROL SGT. VEHICLE $93,847 POSmONS PENDING FURTHER EVALUATION / \ COPSMORE 200 CALIFORNIA ADVANCED ~ ~ ~ECHNOLOGY PRO~ COMPUTERS $160,252 $16,000 MDC UPGRADE $134,252 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING AND APPROPRIATING $160,252 FROM THE STATE OF CALIFORNIA ADVANCED TECHNOLOGY PROGRAM FOR THE PURPOSES OF UPGRADING MOBILE DATA COMPUTERS ($134,252), PURCHASING NEW DISPATCH COMPUTERS ($16,000) AND COMPUTER AIDED DISPATCH (CAD) REPORTING SOFTWARE ($10,00o) - WHEREAS, the City of Chula Vista has received State Califomia Advanced Technology funding for technology advances in the Department; and, WHEREAS, the funds will be accepted and appropriated for the pumhase of Mobile Data Computers ($134,252), purchase of new dispatch computers ($16,000) and Computer Aided Dispatch (CAD) reporting software ($10,000); and, NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Chula Vista does hereby accept and appropriate $160,252 from the State California Advanced Technology Program for technology purchases. Presented by: Approved as to form by: Richard P. Emerson John M. Kaheny 0 Chief of Police City Attorney COUNCIL AGENDA STATEMENT Item No. Meeting Date 12/12/00 ITEM TITLE: ELECTION CHALLENGE REQUEST BY COUNCIL CANDIDATE M~E DIAZ (Continued fi.om December 5, 2000) SUBMITTED BY: Susan Bigelow, CMC/AAE, City Clerk John Kaheny, City Attorney ~ SUMMARY: On November 29, 2000, Council candidate Mike Diaz filed a request to challenge the results of the November 7, 2000 election for Council Seat #3. He alleged that Council candidate Jerry Rindone was not eligible to run for the Council seat under City of Chula Vista Charter Section 300D. On December 5, 2000, the Council referred the matter to the City Attorney for an analysis and recommendation. RECOMMENDATION: Council adopt the recommendation of the City Attorney as set forth in his Memorandum of Law of December 7, 2000. DISCUSSION: Municipal Code Section 2.50.100 authorizes any elector o£the City to challenge the results o£a City election. Municipal Code Section 2.50.110 requires that such challenge be filed with the City Clerk in writing within thirty days after such election. The challenge must be accompanied by sworn statements in the £orm of an affidavit setting forth the facts upon which the contestant bases his challenge. The City Clerk must place the challenge on the Council agenda at the next regular or adjourned Council meeting. This was done for the Council meeting of December 5, 2000. The City Council, after hearing testimony from Mr. Diaz and Mr. Rindone's attorney, referred the matter to the City Attorney for an analysis and recommendation. The City Attorney will provide the City Council with a Memorandum of Law addressing the issues prior to the Council meeting. CI'IY OF CHUIA VISI'A OFFICE OF THE CITY ATTORNEY MEMORANDUM OF LAW DATE: December 7, 2000 TO: The Honorable Mayor and Council FROM: John M. Kaheny, City Attorney SUBJECT: Election Challenge of Michael Diaz BACKGROUND On October 10, 2000, Mr. Michael Diaz, at the time a candidate for city Council, addressed the City Council, under public comment, and expressed his concerns that Mr. Jerry Rindone, a rival candidate, was disqualified from running for Council office because he began his campaign preparations prior to December 8, 1999. Mr. Diaz's position was that Section 300.D of the Charter of the City of Chula Vista ("Charter") prohibited a former two term councilmember from seeking nomination and election to the Council until one year had lapsed from the end of the councilmember's second term. (December 8, 1998). The matter was referred to the City Attorney. In a Memorandum of Law, dated October 16, 2000, the City Attorney informed the Council that the only procedure available to Mr. Diaz before the City Council would be to file an election challenge pursuant~ to Section 2.50.100 of the Municipal Code. On November 30, 2000 Mr. Diaz filed an election challenge, in proper affidavit form, with the city Clerk. The City Clerk, in accordance with the provisions of the Municipal Code, placed the challenge on the next regularly scheduled City Council meeting. At the City Council meeting of December 5, 2000, the Council received the election challenge of Mr. Michael Diaz. After hearing testimony from both Mr. Diaz and Mr. Donald Worley, Esq., representing Mr. Rindone, and receiving a letter brief 276 FOURTH AVENUE · CHULA VIS~ · CALIFORNIA 91910 · (619) 691-5037 · FAX (619) 409-5823 The Honorable Mayor and Council Dece~aber 7, 2000 Page 2 from Mr. Worley, the City Council referred the matter to the City Attorney for a legal analysis of the issue as presented by Mr. Diaz. The City Attorney was directed to return to the Council on December 12, 2000 with a legal analysis and a recommendation. This Memorandum of Law is in response to the direction of Council. kNALYSIS Based on the testimony, there is little dispute of fact. Mr. Diaz presented four exhibits in support of his argument that Mr. Rindone began seeking nomination prior to December 8, 1999. Mr. Rindone's actual term should have ended on December 1, 1998, the first Tuesday of December, in accordance with Charter Section 300 .C, but because the Council did not meet on December 1, 1999 (due to the day upon which Thanksgiving had fallen) , the swearing in ceremony did not occur until December 8, 1998. The documents provided consisted of: 1. Exhibit B California Form 502 Campaign Bank Account statement indicating that the account was opened on November 4, 1999. 2. Exhibit C California Form 460 Schedule A Monetary Contribution Received indicating the receipt of three campaign contributions between October 30, 1999 and November 26, 1999. 3. Exhibit D California Form 501 Candidate Intention statement of Jerry Rindone, executed on November 4, 1999. 4. Exhibit E Affidavit of Nominee signed by Mr~ Rindone on December 9, 1999. Mr. Worley did not register any objection to the facts set forth in the exhibits except that he expressed his position that the documents do not show that Mr. Rindone solicited any of the contributions he received prior to December 8, 1999 . CITY OF CHULA VISTA The Honorable Mayor and Council December 7, 2000 Page 3 Mr. Diaz's affidavit in support of his challenge states in part: "At the City Council meeting of October 10, 2000, I addressed the City Council on the issue of Council candidate Jerry Rindone being eligible to run for election to Council in November of 2000. At that time I requested Council to disqualify Mr. Rindone from running for the office and presented facts and several exhibits on behalf of that request. My request was based, in part, on the provisions of Section 300.D of the Charter of the City of Chula Vista. That section states in part: 'No person...may again seek nomination and election to said offices of Council or mayor respectfully until a period of one (1) year from the termination of the second term for Councilmember or mayor has elapsed...' Mr. Rindone's second term ended on December 8, 1998. This would make him eligible to seek nomination and election only after December 8, 1999 Mr. Rindone also accepted two additional contributions on November 26, 1999, again, clearly prior to being eligible to run for the office." Mr. Diaz reiterated his concerns in oral testimony before the Council on December 5, 2000. Mr. Worley made a brief presentation to the Council and restated the points set forth in the letter brief that he submitted to the Council for consideration. Mr. Worley's opposition to Mr. Diaz's challenge can be summarized as follows: 1. Mr. Diaz has the burden to prove that his interpretation of the Charter is correct. CITY OF CHULA VISTA The Honorable Mayor and Council December 7, 2000 Page 4 2. Any ambiguities are to be resolved in favor of eligibility to office. 3. The purpose of Charter Section 300.D is to provide a break in service for two years under normal circumstances and for one year in case of special circumstances. 4. If the Charter language refers to pre-election activities, then to "seek nomination and election" means filing nomination papers with the City Clerk and 'accepting the nomination. 5. The Charter must be interpreted reasonably to allow sufficient time for a candidate to prepare for election to the next regularly available council seat. 6. Mr. Diaz has waived his right to challenge Mr. Rindone's candidacy by failing to challenge Mr. Rindone's candidacy in the March primary election. Mr. Diaz and Mr. Rindone, through his attorney, have offered the Council various means of interpreting the term "seek nomination and election to said offices of Council and Mayor respectively until a period of one (1) year from the termination of the second term for Councilmember or mayor has lapsed". In interpreting this language, it is necessary to keep in mind what the voters intended and not reach an unreasonable result. Schweisinqer v. Jones 68 Cal App 4th 1320 (1998). The term "seek nomination and election" is not defined in either the Charter or the Municipal Code. However the term "nominated" was used in Duncan v. Burke 234 Cal App 171 (1965) to refer to the formal filing of nomination papers. The same term is used ia California Election Code Section 8100 et. seq. to refer to the primary contest. California Election Code Section 13 states that a person cannot be considered a legally qualified candidate until the person files a declaration of candidacy. The law also is clear that eligibility for office is determined at the time of election. Samuels v. Hite 35 Cal 2d 115 (1950), Election Code Section 16100(b) . CITY OF CHULA VISTA The Honorable Mayor and Council December 7, 2000 Page 5 It can be argued that the purpose of adopting term limits is to deny the power of incumbency to a candidate and to therefore level the field for all otherwise qualified candidates in an election. The minutes of the Charter Review Commission on January 19, 1973 reflect this view in that at least one member believed that the purpose of this section was to preclude a two-term councilmember from using the term '~incumbent" on the ballot (see Attachment 1) . It is also interesting to note that this provision does not prohibit the appointment of a termed out councilmember to a council vacancy during the one-year period. In light of the applicable law, it appears that it is reasonable to interpret the section as prohibiting a termed out councilmember from running in a special election that occurs within one year of leaving office, especially a special election called when the termed out councilmember is still in office. Such an interpretation would also comport with the City's Campaign Contribution Ordinance that was adopted pursuant to Charter Section 904. Municipal Code Section 2.52. 050 specifically permits the raising of campaign contributions eleven months prior to an election. The contributions received by Mr. Rindone fell well within this time limit. It would not seem fair for the Council to interpret this Charter section in such a way as to punish Mr. Rindone for complying with a Charter mandated Municipal Code provision, previously adopted by the Council. For the above reasons, it appears that the law would favor Mr. Rindone ' s interpretation of Charter Section 300 .D. However, in order to resolve this matter, the C~ouncil need not resolve that issue at this time. The matter of Mr. Diaz' s challenge to Mr. Rindone' s qualification for office can be resolved by Mr. Diaz's own affidavit. Mr. Diaz's affidavit alleges that Mr. Rindone was not eligible to campaign in November 1999, but in the same affidavit, Mr. Diaz admits that Mr. Rindone was eligible to seek nomination and re-election for office on December 9, 1999, when he filed his nomination .papers. In CITY OF CHULA VISTA The Honorable Mayor and Council December 7, 2000 Page 6 other words, any defect in Mr. Rindone's qualification to run for office was cured by the passage of time prior to his filing nomination papers, prior to the primary election and almost one year prior to his date of election. Therefore, Mr. Diaz's own affidavit does not allege facts that support a challenge to Mr. Rindone's current eligibility to hold office. Under these circumstances the Council should reject Mr. Diaz's affidavit as insufficient to support a challenge and take no further action in this regard. As indicated in my October 16, 2000 Memorandum of Law, this action by the Council will not preclude Mr. Diaz from seeking a remedy in Superior Court if he so desires. CONCLUSION Based on the affidavit submitted to the City Council, by Mr. Diaz in this matter, the Council should reject said affidavit for failure to state facts upon which a challenge may be made and take no further action in this matter. JMK: lgk Att. H: \home,at torney\ let ter\Diaz MOL1 cc: City Manager City Clerk Michael Diaz Donald Worley, Esq. CITY OF CHULA VISTA ATTACHMENT 1 MINUTES OF THE CHARTER REVIEN CO~fiqITYEE qEETING . ' Held Friday, January '19~'.I973 ~.!~f~; ...... Co~eil Cm,£~rence Roo,, 6:00 p.m. 5~MBEk5 P~SE~: ~. ,~.' ,- - Chai~an John'K~ngston, Dpv~d Easscb~um, Steven ~ '""~" "~ Nell Haas th:~ ~h~ d~t~ o~ April 1974 ~nd four y~rs b~ ballo:, primary, mond~d wording of: "No p~raon ~h~ll h~ eligiblo Thoro wa~ discussion on adding wording that if tho Mayor or Councilmen should c~aso to b~ a r~sident ho o~ they shall no longer bo eligiblo ST~PH~SON WOP&EY GAR~Tr SCHWArtZ G~ ~ & PRAn~ LAWYERS DANIEL A. FR~DLANDF~ 401 "B ~ STREET, SUITE 2400 T~aose December 7, 2000 VIA FACSIMILE AND U.S. MAIL Mayor and City Council City of Chula Vista 1~-03-0o ^o9:5z: 276 Fourth Avenue Chula Vista, CA 91910 Re: Interpretation of Charter Section 300D Honorable Mayor and Members of the City Council: For the benefit of all of us, including your City Attomey who is to prepare further legal opinions for you, the City Clerk has researched her files for evidence of the intent of the drafters of Charter section 300D. Her diligent efforts uncovered the ballot argument and the Minutes of the Charter Review Committee meeting of January 19, 1973, copies of which I enclose. It is important to note that neither the ballot description for "Proposition B" nor the argument for the proposition mentions in any way the one-year prohibition on "seeking" nomination and election. The focus of the ballot argument is solely on limiting a Councilperson and the Mayor to two consecutive terms. The Minutes of the Charter Review Committee indicate that, contrary to the original idea, the Committee deemed it was not necessary for a person to remain out of office for four years, so the Committee removed that provision from the draft Charter change. Also, the Minutes indicate that "It]he Committee's intent is to have a two term office holder to lose the term 'incumbent' on the ballot." This latter comment is the only possible reference to the one- year rule. This research into the history of the 1973 Charter amendment reinforces our basic argument that the Charter anticipated that a person could mn for the next available Council term, beginning approximately two years after his or her last and second term ended, without violating the Charter. The research also indicates that the central purpose of the one-year rule was to prevent a former Councilperson from nmning as an "incumbent." STEPHENSON WORLEY GARRATT SCHWARTZ GARFIELD & PRAIRIE, LLP Mayor and City Council City of Chula Vista December 7, 2000 Page 2 Mr. Rindone had the necessary two-year break in service and did not nm as an "incumbent." He hhs met the spirit and intent of the 1973 Charter change now embodied in section 300D. Thank you for your continued courtesy and attention to this matter. / DonaldR. Worley ' ~~ DRW:mam cc: ~fohn Kaheny, City Attorney Dave Rowlands, City Manager Councilman Jerry Rindone PROPOSITION B (THIS PROPOSITION'~iL~.~EAR ON THE ~ THE FOLLOWINB FOR~I) PROPOSITION B: An amendment to the Charter of the City el Chu[a Vista, amending Adicle I~l, Section 300 thereof adding thereto a pro ..... vision ~imiting the membe~ of the City ~unci~ to ~o consecutive terms. ARGUMENT ~OR PROPOSITION B h~r .many years, them has been a trend in the Unite6 States ollice of elected olflcials' based u~oa the desire to i~uTe gTeater padicip~oa by ail citizens in the demonratic pro~ss and the ~liaination et po~ible entTenchmeflt el pubEc officials which may lea~ to co'rupt pra~ices. It is evident ~at the limitatioR Qf the te~m et Pres~ae~t o( the U~iLed States, the highest niece of our land, has in no ~y been 6e~fimenta& ke the effectiveness of government. A ~imilur restriction upon the ~ayor and Councilmen in the City of Chela Vista should also pTedu~e beneficial ~ther than detrimental effec~ since ne man shQ~l~ b~ c~ns[dered inexpendable. Tim Cha~er Review CemmiLte~ and the City Council hs~e strongly endorse~ the two term limit imposed b~ this smendmenL Yo~r Y~S ~ete is urged ~fl Lbo interests of good government. CI~ COUNCIL OF ~hS~ Thomas O~ nmos D. H~miiLofl, Jr., Mayor CHARTER R~IEW /s/ John Eiflgst~n John Kingston, Chairman ~RGU~ENT A~INST PROPOSITION B Ho argument affainst this propostion was filed in the 0Rice of the City Cler~ PROPOSITION C (THIS PROPOSITIOR WILL APPEAR ON' THE BALLOT IN THE FOLLOWING FORM) PRGPOSITION C: An amendment to the Charter o! the City el Chnia YES ~ Vista, amending Article Ill, Section 301 deleling the requirement e( two (2) years as a qualified elector of. the City for eligibility in hold :,tike as a member nf the City Council, NO ARGUMEHT FOR PROPOSITIOH C The present Charter requires that no person is eligible to hold office unless he shell have been .a resident of the City e( Chub Vista for two yQars priar to his election. The courts have held that any period of time in excess of 30 days as a residency requirement is invalid since it ser~es ne cl)mpelling public interest. The Charter Review Cummittee and the City Cnunci) therefore recommend h,nt all references to specified residency time requirements be eliminated and that the only quaff(i. cation (er office be that n person is both a r~sident of the State ef California and an elector at (he time ef his e(ectioo, which factors wouid be determined by state taw and he subject to the guide ~MBEkS P~SE~:', ~'~'~b~;~'"~(~?';;~?f': , ;Chai~an John,Kingston, D~v~d Kass~b~om Sreven primary, .,?.-'. ~ho Mffyor or Co~c~lmem should 'i-I' ',\ ~'''-l';;'!: '~\'-j~~''r.~':j~'~''.(~'!Y'~1~~~~'(~~~.''.'''';'.~':'', ;:",,: ':.' :<';'J;"jl/. ::t;', "" :':' I.\~l~. :',"i. .1.' ,'.......:' , . ':'. o~ .',Y,viF, "I;';';IS;\t1*~:!;~lli'!:~)~;:U:/~(~i;~',!Vi:i,'!,'i";',X,":';\~:,.' .', . '\' "I'~"," . ~:,:.{,,',HINUTd,'OI!';l'!tH ~~~RT!lR: REVIEW'COMMlTIEE"MEETIN~ . :. , J. ,:::: ~,:," ":.:.~::t'j ::~:'(':::';'" :.~':~t~t~; ll';Y1~~3~l~~t:r;~~~'",}x~:~'::::?;/{(';~; \i.'.::'i:::::i ....'t~~;::-~..l~.: ,;,;'t/J.,: ~,.I>,:.I~,,<:., ,': :.'r, '. .', ,. . Held 'Friday~.,'jnnuaiY:"lS'Z';i:'19,73:~{:li.~fl'i'Wi:<;!iii}I :;':1:,;/,';':-: Coundl;CoHlul'ence RIJuu, ~.6 :00 p.m'. , ..' ":" ;.,: _ .....' :': '1:;:., -,~;'.; ;....,~ ;t.~!::),~.,i::: 'l:;l.{if~'t-:,~f.'~~. ,f~~:"~.".,.: i .:: ),~ ~':' ':f-J:l .:~. :",,:.",;.:"';,j .....:' 1 ,~ : !:,;.', '; ~ ',,,- :;' ~ ....'-:' :' - :-', , , '. " ,', ....; ; ".:",,; ,:l'I\II~'r..I,'rt'f1'I~~,~,!,;;,,".;.,:\I'" ,'.~, :-,\",~,,), , \,1 I' " \ ~ , MEMllEI\:) PRESENT: , """":ii;~W:I(,1~1.,,,;!:~,;I\:'.,,.., .;Chairman' John; Kingston. Drvid Kassebaum, Steven ..',..,' ,.:,{~lt 'iFj~,,:!~:,~;'~\r},?;"1~,~;~,pavke (,Lois:.Richards.: Ada' Thompson, Ken Weimer, ,-':' :,,:!I:;}A~1~.j;~\~i!,i.:\;1;'i:"li;;.1X;,~~il: lIaas,:'. (,i':';:;,;,,:': :'!{;,',:: . .' . '., .' I,' "I, "11'~" ".' '1 "'j,, ...\~'. '!;t,lj1r~,.I\~~,~~'li, I'~, ~ ;.1 ,,,.; . '.11':' ' . II ,~'I~,'hjil"""~7 .:.I'!r'/i,l,...:",; 'f.'."!!N" .,:.!'~"'( ,I, I 't:, '01', .\' I . "E"BERS ABSENT' ' ' " .,~ ,..... " /... '~ one'....' -, " ' , I'j \'1 ' . '~. . " ",~\,:,'t":,,,~, II..:~J",,'~"~'I '.:",\~""",I',.',"",., . 'I ' , \ 'I ' \.I~ \"" -1,1' .' t ' I \, , ',', ' , , . 11". ';'11 '. It:''~, :," ';~' :,', ;:" /;.","'(;'1,',1, '},.!, , I~j !I: " ",I, .11,," "" . ,1,1 I. .,. ,.',;,' ':'::1:,;"",,:/ :':,;' Mayor..Thomas...llamilton, Jr., City Attorney .' " :. .:..t{\'i";'::;i":,';~~:i:"-~:;:i~~,,,~t:};;j:~1:):.'.":,::.~'}'I'::;..;';:,";;, '., I.,. . " '",'1:. :,.....,.".." ;;,.;, ".1',; Ch~irmlin:'KingBton 1 called tha meeting to order "'. _ ~','" ~ ' " >'^. '. ~, ' , " -- . '- -< " .:,' . . :':".',\:,::',.:,';;;',""',':'>';. ':'i':":',nt ',,6 :.10,p .m"I'.,in:,the\. Council Conferenca Room, . """::",\'V.',,",,,/,,';','. ; ,'i/", ", :, Civic' Center:, '" 276',Pourth',Avonuo, Chula Vist a, . 'i ,)/:",",'i/.;;,:../,: 'ii",,",;",and'nsked:',that ',tho"members take a fewn,inutes ",','''''''''''''1'''''''''/''\'''' d" ' h'i (J 10 1973 ~. :'~~',\~;,//,;,::{\(,. ;i;'j.;,i:'"'\.;,:~,;;'i,t~, to' roa : ovcr,,:.t c ;_,~ nuto a, nnuBry I , , " "~;"Ii ',1'.:: '.: ':""~,,'; :,J/~':'::,':i.:,;rl., 6: 00,: p;m: 'meeting';'ill.ndJanuary 15,.1. 973) . and , ",'"',':;::::,r::"',,".:,','\',,,V::,',tho 'City Attornoy' s' rocommendations . (dated ,;;IP;',~i;ti""''''';''':;;I;.'':'JlInUary '19,"1973J;:which wero just handed out. . -I I, r "11''';''''' '\."'/ ' ". " .' ",'l,~'I"',I"".,~,,;,;I~'IIfI ,"",J"(",,,/',I /,.\:' ",':' " ",t.I!lrllf'''~'''J::",1",:'',.'\i;;I!:'~I':II~./~~~,l;;I'~::'fr:.'''\l,tl'., I .):. SECTION 300 _" NumberJ.ni,~jfifii:;li~k::\:i(::;"::0{,'1h'of~":\.i'h'i;'a" ~i5cu~:si;m of tha City Attorney's Council Seats and 'l.,imitllt1cn'i.r'..',j,,";/(' :;propoaod .Charter amondment (dated January 19, of Terms " ';;";'i~';':';\'i!,i>; :,',:':::;""~;;f:J','i;;; 1973),' of~,thi a" acction, " Tho committeo a~kod r' II < . t" ~ . 'I \,'" ~i', I 'II . \ It' i ' , ';;', .,;..\'h'i~""""'jJ1,\" '"that 'tho, dntc ,of',Apr 1" 1974 and four yoars be .. I". ,l:f. :\:':f~h"I:~":/'.'.~,~::~i.:.::,~:"i Xromovod '.from ;thii ','proposal, Tho 1 imi tlltion , ,~,I'~ ~ ' JII \ ' I (' ' , "',,", ::, \~ \"Ii'. "".i.,,;> :, of: torma" to: two ,'cbnaocuti ve torms is to tako .'1 "\1.', '1''',111'''' .11' ff i' 'i ' , k i 'I '\"'\I~"-,,,~:,,;,':~~oI1'i' 1',10 oct; mmoa ntolY, Mr. Pav a. mcnt on a por~ :;i\"~,,,,,,,':":,''',.i':'''' .aon doea'not'have to be out of office for four , " ","~}':I~': ,~;.,i:" " '" ,yollrB,;beforo ,he can', run 'for office IIgain, The .', :/, L':4'1,..>."I!~;:"I :. !'committce's: intent is to have II two-torm offiCI I " ';1 ,\ '11" \' , :'''" -,,',', ,', '...if'," ,,'I',holdel' to loso tho,term "incumbent" on .tho . ,'.'., ,.~I,:,~,,\~""'I",'I~';""'b 1 ,.,.... -'. . }1',': ,J~',.',,':;',ij.,.I,'~I: ;.';.;'. a lot.I'!',,,.. ",:,.' ,~\,~'1:.',~;,~;<;" ( : I.";.." I:' ; ", ';"".: ~/ ;. :.~. :', " , ':,: -.:,,"~': i .' ." . ~:;<> ' .:::.:", :..:', ','::!,;;;::~;..ii,i,';:,"".,:,,:, '.:,':':!' Mrs ~;>Thompaon quostioned the timing of a runof ..~.,ir~/i;'\':::-':'ir..:r.",'" I',:"/,olecticn"J,n July," City Attorney Lindborg stat "',1.,.;','1,1,.1:;,:--:."., ". ,:,.tho Sute 1l1ection Code calls .for not la~5 tha ,::',\i,l::;"":;::"':':':"': ,,::"'i:',',,60/nnd no, moro "than 75 days prior to an elect 1 ,"'i~"\!::?,t":",,,,,;, is :requirod ,to Iset 'an o~action or mnttcn for ".,1,/',,',,:;, :,,;., "', ,;:,,'.lle..,uid he would investlgnto tho p05~ibility 0 "'.'.'::, ,':~,,\.,' :',,::j1consolidllting II ,runoffelaction with tho Juno ".".,', .'," ,p:i'imary;:.,,' """ "'.-' ',,","_ ,,', , I. .'\" ,',," I ,.:,' . .:~ '.. ALSO PRESENT: CALL TO ORDBR' Runoff eloction "'I' '. I" 'i' ,,,<.,.',,'.j,~i(c:: ". ' ", .>:~ ~. ,/,' '.;. \~ ." " SECTION 301 - Blig~bility' ,'In' clarification of "eloctor," City Attorney Lindberg'snid tho State dotermines who i~ qualified ns an elector. . , Itwaa moved by Mrs. Thomp~on und secondod by Mr,' PaVkn to accopt the City Attorney's recom mended wording of: "No ponCIn shatt be oUgi to hold offico as a member of tho City Counei unless he is a rosident of tho City of Chuln Vista and at tho ~ime of his election or oppo ment, .. 4UCllificd eloctor .of the City or of territory annexed theroto," insten~ of the co mittee's previously adopted mot'un on thi~ section. ~lotion to IIccept w,lrding " , ~ wording that If ceaso to be a no longer be eligible on ,the Mayor or Council men . resident': he or.thay shall 'to, hold,'office. . " Mr :K~~s~baum called unanimouslY carried. for the question, which "" . :i. : '_.. ':,<;/,:;~ "'I ".,..,.".,'.......,..1,;""",.'.'...'.1',/..... I, ".,.1", ' , " ' .:., -::~.':,:~"y;.{\,> : . ...~...,.,".~-,"-"".~,.'-.~. ..~. ..-,-.-. ~-_.._,.. _.~......",.. __,..,...,.~~'.~~....~".,....~.....,.."'",...,~......",,.,',._~,."..,,'..., COUNCIL AGENDA STATEMENT Item ]L~ Meeting Date 12/12/00 ITEM TITLE: Resolution Appropriating $1,242,511.31 in unanticipated revenue from the State of California, AB-2928 "Traffic Congestion Relief Allocation" funds to three new CIP projects./ SUBMITTED BY: Director of Public Work 'l ~l City Manager ~ ~ REVIEWED BY: (4/5ths Vote: Yes X No ) The City of Chula Vista has recently received a lump sum funding allocation in the amount of $1,242,511.31 from Assembly Bill 2928 (AB2928) Traffic Relief Congestion Allocation. The funds cannot be commingled with other funds, for auditing purposes, and must be spent on projects which are located within the public right-of-way and do not increase traffic capacity. Projects must also be completed by June 30, 2002. City staff has identified three new maintenance CIP projects that can be completed within this timeframe. RECOMMENDATION: That the City Council appropriate unanticipated revenues in the amount of $1,242,511.31 from the State of California AB-2928 for the purpose of funding three new CIP projects for FY00/0! and allow for future drainage project funding. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: On October 13, 2000, cities statewide were issued a check by the State Controller, to allocate the cities share of the $400 million provided by Assembly Bill 2928 (AB-2928). AB-2928 provides approximately $6.8 billion over the next six years for both capital and preservation transportation projects, of which $5.4 billion is dedicated to implement approximately 150 capital projects from the Governor's Traffic Congestion Relief Plan. In addition, the bill provides approximately $1 billion directly to cities and counties for preservation, maintenance and rehabilitation of the local street and road system. In FY 2000-01, the bill allocates $400 million one-time to be split between cities and counties for maintenance and rehabilitation projects. The City of Chula Vista's share of Assembly Bill 2928 "Traffic Congestion Relief Allocation" funding for FY00/01 was $1,242,511.31. These monies must be used only for street and highway pavement maintenance, rehabilitation and reconstruction of necessary associated facilities such as drainage and traffic control devices. Rehabilitation or reconstruction may include widening to bring the roadway width to the desirable minimum pavement width consistent with accepted design standards for local streets and roads, but does not include widening for increasing the traffic capacity of a street or road. AB-2928 contains a "use or lose it" provision, which requires that the monies be expended by June 30th of the following fiscal year in which it was received. Thus, this $1,242,511.31 in funding must be expended by June 30, 2002. Should a jurisdiction fail to meet these tests, the monies must be returned to the State Controller and redistributed to compliant Page 2, Item Meeting Date 12/12/00 jurisdictions. Over the subsequent five years, FY01/02 through FY05/06, funding is anticipated to be approximately $100 million annually tO be split 50% to cities ($310,000 to City of Chula Vista) and 50% to counties. Proposed Projects and Project Cost Estimates In early November, City Public Works staff met to discuss the projects that would be funded by AB- 2928. The projects to be submitted were to be projects that have historically been difficult to fund in the past and projects that could be completed by the deadline of June 30, 2002. City staff discussed the use criteria and agreed that local street (residential) roadway resurfacing and Corrugated Metal Pipe (CMP) replacement, many of which are within roadways, have historically been deficient in funding. There are more projects than available funding for these two infrastructure facilities and therefore staff proposed the following three projects. The projects were: PROJECT AMOI. rNT 1. Bonita Road Resurfacing and CMP Rehabilitation/Removal - from $556,000 Willow Street to East of Otay Lakes Road 2. CMP Rehabilitation/Removal at Various Locations, City-wide $436,500 3. Local Streets Pavement Resurfacing $250,000 TOTAL $1,242,500 Project 1 - Bonita Road from Willow Street to East of Otay Lakes Road resurfacing and CMP rehabilitation/removal (ST-981). This project involves the resurfacing of the pavement and replacing the traffic signal loop- detector wiring with video detection cameras for east/west Bonita Road traffic. Video detection is being recommended on major streets since one camera can do the work of approximately 24 loop detectors with less likelihood of malfunctioning and less maintenance effort. Typically when a street is resurfaced, the pavement area along the gutter is removed by grinding and the loop detector wiring is cut, rendering the traffic signal loops inoperable. This section of Bonita Road also includes the rehabilitation/removal of an existing 464 lineal feet of CMP drainage pipe on the east side and south of Willow Street (see Exhibit 1) from the south curb line of Bonita Road north to the south Willow Street bridge embankment. The estimated cost for this project is $556,000 and includes an estimated $36,000 in traffic signal video detection cameras and $100,000 for the CMP drainage pipe work. Project 2 - CMP Rehabilitation/Removal, within City streets (DR-155). This project involves the repairs or removal of drainage pipes within the public right-of-way that have deteriorated to the point where failure of these pipes would create a failure on the roadway and/or sidewalk above it. The project will also involve the relining or replacement of numerous corrugated metal pipes generally found within the roadway in southwestern Chula Vista. This project is a corrective/preventative measure that will cost less to implement than reacting to CMP collapses. If CMP failure, within the public right-of-way, would occur during inclement weather, the pipe failure would create flooding and damage to Page 3, Item Meeting Date 12/12/00 the adjacent area and impact the roadway and sidewalk area impeding vehicular and pedestrian access as well as increasing emergency vehicle response times (see Exhibit 2). The estimated AB-2928 funds to be appropriated for replacement/repairing/relining of CMP storm drains within streets is $1,986,500. Approximately $436,500 will be expended on this project in the first year (see Exhibit 3) and the remainder (approximately $310,000 annually) will be spread out during the remaining five years of the program. Project 3 - Local Streets Pavement Resurfacing, City-wide (STL-274). This project will involve the rehabilitation of the existing residential street pavements. Only local residential streets, 36 feet or narrower in width, that need "slurry" or "Flex" sealing will be included in this project. This project is necessary to cost effectively extend the pavement life of these streets to further avoid deterioration of the pavement and consequently the base material. Failure to do so will result in an accelerated rate of deterioration and ultimately require full reconstruction of the pavement. Public Works Operations has developed a list of residential streets that will need this type of work. This list was developed since funding for these types of streets have been difficult to obtain recently. As proposed, 25 % of local residential City streets needing some form of pavement rehabilitation will be accomplished. With the award of this contract early next year, staff will be including a list of the local streets to be resurfaced. The estimated cost for this project is $250,000. Project cost estimates include preliminary engineering, construction engineering, and construction. Future Projects to be funded by AB-2928 Since there has been difficulty providing sufficient funding for the replacement of the CMP drainage pipe, staff is also recommending that an annual CIP project for CMP rehabilitation/replacement within the street right-of-way area be funded with AB-2928. This year's CIP includes project DR- 152 (see Exhibit 4) that was funded with CDBG ($222,702) and Sewer Facility Replacement Loan ($300,000) funds. With this new short-term funding source available, staff can make significant progress in the rehabilitation/replacement of the CMP storm drain system citywide. CDBG funds could then be used for other purposes in those areas whereby other CIP projects are urgently needed. FISCAL IMPACT: Acceptance of AB-2928 funds provides for $1,242,511.31 in FY00/01 and an estimated $310,000 for each of the following five subsequent Fiscal Years (FY01/02 through FY05/06) for a total allocation to the City of Chula Vista of approximately $2,792,500 for this six- year' period. There is no fiscal impact to the General Fund. Attachments: Area Plats CIP DR-152 Detail Sheet File No.: 0740-75-KY026 H: \HOME\ENGINEER\AGEN DA\AB2928 .FXR.DOC 0 0 0 ~ 0 0 0 0 0 0 0 ~ 0 0 0 ~ 0 0 ~ 0~ ~~d~~ ~d ~ i > Z ~ ~ mC ~ ~ o ~ o ~ ~ ~ o ~ 0~ > RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROPRIATING $1,242,511.31 IN UNANTICIPATED REVENUE FROM THE STATE OF CALIFORNIA, AB-2928 ~TRAFFIC CONGESTION RELIEF ALLOCATION" FUNDS TO THREE NEW CIP PROJECTS WHEREAS, the City of Chula Vista has recently received a lump sum funding allocation in the amount of $1,242,511.31 from Assembly Bill 2928 (AB2928) Traffic Congestion Relief Allocation; and WHEREAS, the funds cannot be commingled with other funds, for auditing purposes, and must be spent on projects which are located within the public right-of-way and do not increase traffic capacity; and WHEREAS, projects must also be completed by June 30, 2002; and WHEREAS, City staff has identified three new maintenance CIP projects that can be completed within this timeframe. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby appropriate $1,242,511.31 in unanticipated revenue from the State of California, AB-2928 "Traffic Congestion Relief Allocation" funds for the purpose of funding the following three new CIP Projects for FY00/01 and allow for future drainage project funding: Project 1 Bonita Road from Willow Street to East of Otay Lakes Road resurfacing and CMP rehabilitation/ removal. Project 2 CMP Rehabilitation/Removal, within City streets. Project 3 Local Streets pavement Resurfacing, city- wide. Presented by Approved as to form by John P. Lippitt Jo~ M. Kahen~ Director of Public Works City Attorney COUNCILAGENDASTATEMENT ITEM /.~ MEETING DATE 12/12/00 ITEM TITLE: Resolution approving an amendment to the Memorandum of Understanding (MOU) with the Chula Vista Police Officer's Association extending the MOU for two years and providing additional compensation and benefits and amending the FY01 budget appropriating $352,398 from the unappropriated balance of the General Fund. SUBMITTED BY: City Manager~ (4/5ths Vote: Yes X_ No_ ) The current Police Officer's Association (PEA) Memorandum of Understanding (MOU) expires on June 30, 2003. The PeA and City reopened the MOU to discuss compensation and retirement benefits. The City's willingness to reopen the MOU was market driven, as the salaries of PeA-represented classifications had dropped below the County average over the first two and a half years of the current five-year MOU. The proposed amendments to the MOU were ratified by an overwhelming majority of the PeA membership at a general membership meeting on December 5, 2000. These amendments extend the term of the MOU by two years, increase wages to make pay competitive with other law enforcement agencies in the county, and provide significant retirement enhancements in 2003 and 2004. The City believes that these increases in pay and benefits will improve morale, enable the City to recruit more effectively during these competitive times, and aid in retention of more experienced staff. RECOMMENDATION: That Council adopt the Resolution approving an amendment to the MOU with the PeA and amending the FY01 budget accordingly. BOARDICOMMISSlON RECOMMENDATION: N/A DISCUSSION: Background Chula Vista Peace Officer pay ranks eighth among ten county agencies at a time when police forces are expanding countywide due to a robust economy and ever increasing grant availability. Even with the 5% increase scheduled for January 2001, Chula Vista peace officers' salaries will likely be 1 ¼ % below the County average. At the same time Chula Vista miscellaneous employees recently received equity pay raises to place them at or above Countywide pay averages. The combination of these events has negatively affected morale and as well impacted recruitment and retention. In addition, the POA was interested in reopening the existing contract that runs through FY03 to discuss enhanced retirement benefits, specifically 3% at 50, which recently became available. Operational Benefits of Amending and Extending POA Contract Agencies throughout the State have had increasing difficulties recruiting and retaining sworn police personnel. This has happened for a number of reasons including the expansion of many police fomes due to the strong economy, grant availability and population growth. Chula Vista has felt the effects of this shortage as well. In the three year period of 1995-1997 Chula Vista lost an average of 8.33 sworn permanent staff annually, in the last three years this was up to 14; an increase of 68%. Correspondingly, there was a 27.3% increase in the number of new annual hires over this same period, from 14.67 annually during 1995-97 to 18.67 annually from 1998-2000. The loss of experienced staff combined with increased vacancies and new hires results in more difficult working conditions. The fewer remaining experienced staff have a larger burden to carry in addition to providing training to the newer officers. This increased workload, combined with one of the lower salaries in the County, negatively impacts morale and if not addressed could increase the City's retention problems. Failure to retain experienced personnel results in duplicative training costs and reduces effectiveness and efficiency. The City's voluntary extension of this contract in which the City makes a long-term commitment to competitively compensate its police professionals should enable the City to recruit and retain experienced personnel more effectively during these competitive times. Summary of Proposed Contract Compared to Current Contract The current MOU expires June 30, 2003. This resolution would extend the MOU two years, for a June 30, 2005 expiration. There are three distinct components of the proposed MOU amendment: 1) Market-driven wage increases scheduled for January 2001 and wage increases each subsequent January to make POA's compensation comparable with other agencies and other City employees; 2) Enhancements in retirement benefits later in the contract 3) Initiation of shift differentials for patrol staff assigned to shifts other than day watch. Equity Wa.qe Adjustments This MOU amendment increases the wages of peace officers by 9%, agents and sergeants by 11% and lieutenants by 13% in January 2001, as compared to the 5% wage increase for these positions called for in the current MOU. This change is equity driven. Police is currently the only group in the City whose pay lags behind the average of other County agencies. Fire classifications are currently paid competitively compared to other County agencies. Most general employees and engineers received significant equity wage increases recently, to ensure Chula Vista's wages were competitive, thus improving morale and assisting in recruitment and retention. The wage increases proposed in this contract amendment are designed to bring Chula Vista's wages up to a reasonable level up front. Wage increases in future years of 5% (7% for agents) in FY02, 5% in FY03 and 4% in FY05 and FY06, are designed to maintain Chula Vista police salaries at a competitive level and recognize the quality work provided by the Police Department of the second largest police department in the County. The proposed contract also eliminates surveys of other agencies being the basis of future increases and replaces these with fixed percentage increases. Retirement Benefit Enhancements The proposed contract amendment gives two important retirement benefits in the last two years of the contract, 3% at 50 in year four and employer paid member contributions in year five. These benefits are placed towards the end of the contract with the aim of being competitive countywide and encouraging retention of experienced staff. Enhanced retirement benefits are being offered by an increasing number of law enforcement agencies since they have become available. Providing these benefits will enable the City and POA to reach a long- term agreement while delaying the cost of these benefits for several years. Shift Differentials The proposed contract amendment also phases in shift differentials for patrol personnel assigned to graveyard and swing shift during year two and three of the contract. Shift differentials are relatively common in police departments and target additional compensation to those patrol personnel who are not assigned to day shift. The initiation of a shift differential program is an important step in recognizing patrol officers. Due to the importance of this benefit to patrol staff morale and the overall expense of the other items in the contract, the costs for this benefit will be offset by equivalent reductions in the Police operating budget. The Table on the next page summarizes the specific differences between the current MOU and the proposed MOU as amended. TABLE: MOU Extension: Description of Differences FISCAL CURRENT PROPOSED CONTRACT YEAR CONTRACT FY01 5% wages to all in Jan.9% wages for officers in Jan. 11% wages for agents & sgts. in Jan. 13% wages for Its. in Jan. FY02 5% estimated wages 7% wages for agents & 5% for all others in based on survey in Jan. Jan. $1/hr graveyard shift differential in Jan. FY03 5% estimated wages 5% wages for all in Jan. based on survey in Reopen for health benefit discussion Jan. $0.50/hr swing shift differential in Jan. FY04 No contract 4% wages to all in Jan. 3% at 50 retirement benefit effective in July FY05 No contract 4% wages to all in Jan. EPMC retirement benefit effective in July FISCAL IMPACT: There is no contract for comparison for FY2003-04 and FY2004-05. If it is assumed that 5% increases would have been granted for both years following the expiration of the existing MOU, the proposed amendment has a cumulative incremental cost of $6.1 million. This cost will be funded by General Fund discretionary revenues; incurred by fiscal year as follows: FY01 $352,398 FY02 $912,824 FY03 $1,056,824 FY04 $1,847,989 FY05 $1,987,650 Based on current projections, the General Fund may not have sufficient operating revenues to fund these additional costs beyond the first year, while also maintaining current service levels in all other areas and addressing the added debt service cost for financing a new police facility, which could lead to budget recommendations for decreases in service levels or temporary decreases in reserve levels. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AMENDMENT TO THE MEMOR3kNDUM OF UNDERSTANDING (MOU) WITH THE CHULA VISTA POLICE OFFICER'S ASSOCIATION EXTENDING THE MOU FOR TWO YEARS AND PROVIDING ADDITIONAL COMPENSATION AND BENEFITS AND AMENDING THE FY01 BUDGET AND APPROPRIATING $352,398 FROM THE UNAPPROPRIATED BALANCE OF THE GENERAL FUND WHEREAS, the current MOU between the Chula Vista Police Officer's Association (POA) and the City of Chula Vista expires on June 30, 2003; and WHEREAS, the POA and City reopened the MOU to discuss compensation and retirement benefits; and WHEREAS, the City's willingness to reopen the MOU was market-driven, as the salaries of POA-represented classifica- tions had dropped below the county average over the first two and one half years of the current five-year MOU; and WHEREAS, the proposed amendments to the MOU were ratified by a majority of the POA membership on December 5, 2000; and WHEREAS, these amendments extend the term of the MOU by two years, increase wages to make pay competitive with other county law enforcement agencies, and provide significant retirement enhancements towards the end of the contract; and WHEREAS, it is believed this combination of pay and benefit increases will enable Chula Vista to recruit more effectively during these competitive times and aid in the retention of more experienced peace officers. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve an amendment to the Memorandum of Understanding with the Chula Vista Police Officer's Association by extending the MOU by two years and providing additional compensation and benefits as set forth in Exhibit "A", attached hereto and incorporated herein by reference as if set forth in full. BE IT FURTHER RESOLVED that the FY01 budget is hereby amended by appropriating $352,398 from the unappropriated balance of the General Fund. Presented by Approved as to form by John M D~'v~id D. Row/ands Jr. City Manager City Attorney IH \H OM E~TTORN EY\RES~POA MOU (December 8, 2000 (11:1SAM)} 2.01 WAGES I. Base wages for represented employees shall be as set forth as described on Attachment A. A wage increase of 2% shall be effective beginning the first day of the first full pay period after January 1, 2000. Increase wages of Sergeants by 2% to reduce the spread in wages between the Sergeant and superior officers beginning with the first full pay period after July 1, 2000. J. Coum: ..... ~e,~n .... /5-7 A wage increase of 9% for Officers, 11% for Agents and Sergeants, and 13% for Lieutenants, shall be effective beginning the first daf of the first full pay period after January 1, 2001. A wage increase of 5% for Officers, 7% for Agents, and 5% for Sergeants and Lieutenants, shall be effective beginning the first day of the first full pay period after January 1, 2002. A wage increase of 5% for Officers, Agents, Sergeants, and Lieutenants shall be effective beginning the first day of the first full pay period after January 1, 2003. A wage increase of 4% for Officers, Agents, Sergeants, and Lieutenants shall be effective beginning the first day of the first full pay period after January 1, 2004. A wage increase of 4% for Officers, Agents, Sergeants, and Lieutenants shall be effective beginning the first day of the first full pay period after January 1, 2005. II. All other payroll and wage changes shall be made effective at the beginning of the regular pay period closest to the date of change. III. Distribution of paychecks shall be done only on regular paydays except in an emergency, when employees may receive their check on a day other than a regular payday if a memo is directed from the Chief of Police to the Finance Officer justifying the request. IV. All employees covered by this agreement may receive a maximum of two weeks earned vacation pay in advance. Vacation pay in advance will be made on a regular payday provided the employee notifies the Finance Department at least three (3) working days prior to the payday on which payment is desired. V. Step Advance - Each employee shall be required to complete the following specified number of months of continuous paid service at each step of the salary schedule prior to advancing to the next step of the schedule. Step increases may be delayed by the Chief of Police in cases of sub-standard performance. Only permanent status employees may appeal that decision through the Civil Service Commission. In cases of exceptional performance, an employee may be granted an early step increase or double step increase based on the recommendation by the Chief of Police and the approval of the Director of Human Resources, City Manager or his/her designee and Civil Service Commission. Required months of service for each step shall be: Months Step 6 months in A 6 months in B 12 months in C 12 months in D Thereafter in E 2.09 DIFFERENTIAL PAY I. Standby - Employees shall receive $75 compensation for each full bi-weekly period during which they are assigned standby duties or a prorated amount if the standby period is less than two (2) weeks. Standby duty is defined as that period of time, in addition to the employee's normal work week assignment, during which said employee must remain at all times where he/she can be contacted by telephone or pager, ready for callback to perform essential service within one (1) hour o£ notification. Effective the first full pay period after July 1, 2002, this compensation shall be increased to $150. Any callbacks that occur while an employee is on standby duty shall not reduce the amount of standby pay the employee would have earned had there not been a callback. Any overtime or callback pay shall thus be in addition to the standby compensation. In terms o£ FLSA, the parties agree that standby time shall not be counted as hours worked. II. Motorcycle Pay - Employees who are assigned to Motorcycle Duty shall receive $85.00 per month. Ill. Dog Handlers - Employees who are designated Dog Handlers will receive $85.00 per month. IV. Field Training Officers - Peace Officers and Police Agents who are designated Field Training Officers (FTO's) for the purpose of training Peace Officers will receive $0.80 per hour additional compensation when they are actually engaged as FTO's. Police Agents shall not be considered FTOs or receive FTO compensation for time spent training other Police Agents. Effective August 14, 1998, this compensation shall be increased to $1.00 per hour. VI. Effective with the first full pay period after January 1, 2002, each Officer, Agent, Sergeant, and Lieutenant regularly assigned to work the first watch (graveyard) shift shall receive $80 a pay period. (For example, a person regularly scheduled on first watch who is temporarily assigned to another watch will receive the pay but a person who is regularly scheduled on another watch and temporarily assigned to first watch will not receive the pay.) VII. Effective with the first full pay period after January 1, 2003, each Officer, Agent, Sergeant, and Lieutenant regularly assigned to work the third or fourth watch (swing) shift shall receive $40 a pay period. (For example, a person regularly scheduled on third or fourth watch who is temporarily assigned to another watch will receive the pay but a person who is regularly scheduled on another watch and temporarily assigned to third or fourth watch will not receive the pay.) 2.10 HEALTH AND WELFARE I. Flexible Benefit Plan A. Allotments. Effective January 1, 1999, POA represented employees shall receive an allotment per calendar year to purchase benefits as allowed by Section 125 of the 1RS Code. The amount of an employee=s allotment shall include their health allowance, which will be based on their declared number of dependents, plus $375. The amounts for January 1, 1999-December 31, 1999 are as follows: Health + Flex = Allotment Allowance Employee Only $1,728 + $375 = $2,103 Employee + One Dependent $3,456 + $375 = $3,831 Employee + Two or More Dependents $4,872 + $375 = $5,247 B. Relative Buying Power. To maintain employee's relative buying power to purchase health benefits from their flexible benefit plan, the health allowance portion of their allotment shall be adjusted (up or down) by 50% of the increase or decrease, respectively, in the monthly rate of the Kaiser 4253-01 Health Plan. This adjustment shall be made effective January 1 each year. C. Mandatory Flexible Benefits. Each employee must select health insurance coverage for their own health protection. A represented employee who is married to another City of Chula Vista employee may elect to obtain their required City health insurance coverage as a dependent under the spouse=s primary health insurance plan. 1. The health insurance options available are: a. Kaiser (01) b. PacifiCare Indemnity c. PacifiCare EPO d. PacifiCare HMO e. Coverage as a dependent under City Employee Spouse=s Plan Any changes to the plans offered will be reviewed and approved by the City=s Benefits Advisory Committee. 2. The parties agree to meet and confer during the term of this agreement for the purpose of addressing the conversion of hospital and medical benefits to PERS sponsored programs. To be effective, implementation offERS Health@ must be on a City-wide basis unless otherwise agreed to by the parties. D. Optional Flexible Benefits. Any monies remaining in an employee=s flexible benefit allotment afmr the mandatory health elections may be used for the .~purchase~ of the following options: 1. Dependent Health Insurance -premiums required for coverage of you dependent(s) under your primary City health policy. Premiums for non-City sponsored plans are prohibited under IRS , 106. 2. Cash Payment (taxable)-Cash elections will have taxes withheld at the following rates: 28% Federal; 6% State; and 1.45% Medicare for employees hired after April 1, 1986. 3. Dental/Medical/Vision (D/M/V) Reimbursements -Monies may be set aside for reimbursement of eligible dental/medical/vision expenses (as determined by the effective IRS regulations) not otherwise covered by insurance. 4. Dependent/Child Care Reimbursements -Monies may be set aside for reimbursement of dependent/child care expenses incurred to allow you and your spouse to work. 5. Employee Group Dental - Premiums for you and your dependent--s participation in a City sponsored Group Plan. Each of these available options are described in more detail in the Flexible Benefits Plan Summary for the Plan Year and in the respective plan documents or insurance contracts which are incorporated here by reference. E. Health and Dental Premium Payroll Deductions Treated as Pre-Tax Any costs of the health and/or dental plan premiums elected by an employee which exceed their annual allotment (health allowance +$375) shall be paid by the affected employee through payroll deductions on a pre-tax basis. II. Additional Benefits A. Flexible Spending Accounts (FSAs) The City offers two Flexible Spending Account (FSA) options under Sections 125, 105, 129 and 213 of the Internal Revenue Service Code. These programs allow employees to set aside funds via pre-tax payroll deductions for the purpose of reimbursing themselves for eligible dental, medical, and vision (health) and/or dependent/child care expenses. If the City does not meet IRS regulations or if the IRS regulations change for any reason this benefit may be amended or discontinued in accordance with these changes. Prior to the commencement of the FSA plan year (January 1 through December 31), during open enrollment; immediately following commencement of employment (no more than 30 days); or, within 30 days of a change in family status, as defined by the IRS, employees may set aside the following amounts for the following purposes: 1. Health FSA Employees may set aside a maximum of $2,500 per plan year to pay for eligible dental, medical or vision expenses. Salary reductions accrue bi-weekly (except for months with three pay periods where only two deductions will be taken) during the plan year and reimbursements will be made on a schedule to be determined by the City. This is a reimbursement program. Participating employees must submit documentation of incurred expenses on the appropriate forms in order to receive reimbursement. Salary reductions not spent by the end of the plan year, by law, are forfeited to the City. 2. Dependent/Child Care FSA Employees may set aside a maximum of $5,000 per plan year to pay for eligible dependent/child care expenses. In no event can total pre-tax dollars set aside from all sources (flex plan, pay roll deductions, a spouse=s payroll deductions) for dependent/child care exceed $5,000 per calendar year. Salary reductions will accrue bi- weekly (except for months with three pay period where only two deductions will be taken) during the plan year and reimbursements will be made on a schedule to be determined by the City. Dependent/Child care expenses must qualify under all IRS regulations. This is a reimbursement program. Participating employees must submit documentation of incurred expenses on appropriate forms. Salary reductions not spent by the end of the plan year, by law, are forfeited to the City. 3. FSA Administration The City reserves the right to contract with a Third Party Administrator (TPA) for the administration of both FSAs. The City will pay the start-up costs associated with third party administration. Participating employees will pay monthly, per employee, or per transaction administration fees, if any. III. Life Insurance The City agrees to contribute the amount necessary to provide each employee with $10,000 group term life insurance. Represented employees may apply for and purchase up to the lesser of four (4) times their salary to a maximum of $550,000 supplemental group term life insurance in $10,000 increments through the City's group insurance plan, with said employees paying thc additional cost through payroll deductions. (See Section 2.10 regarding payment for health and life insurance during an unpaid Leave of Absence of more than one month.) IV. Long Term Disability (LTD) Thc City agrees (to thc extent allowed by law) to develop a payment structure to have LTD premiums paid from an employce=s net pay. V. The City and thc Association agree to reopen and discuss health contributions and health benefit programs for classifications represented by thc Association in January of the ,/car 2003. 2.11 RETIREMENT I. The City will provide the 2% at 50 retirement plan for classifications represented by the Association as provided for under thc Public Employees Retirement System. Retirement benefits shall be based on thc single highest year as provided under thc Public Employees Retirement System. The retirement benefits shall further include the "widows and survivors benefit" known officially as the Post Retirement Survivors Benefit Act (PRSA) and the Third Level of the 1959 Survivors Benefit will be provided. This section will be in effect until June-30, 2003. On July 1, 2003, the City will provide the 3% at 50 retirement plan for classifications represented by the Association as provided for under the Public Employees Retirement System. Retirement benefits shall be based on the single highest year as provided under the Public Employees Retirement System. The retirement benefits shall further include the "widows and survivors benefit" known officially as the Post Retirement Survivors Benefit Act (PRSA) and the Third Level of the 1959 Survivors Benefit will be provided. II. The City will provide represented employees with the option of purchasing MILITARY SERVICE CREDIT AS PUBLIC SERVICE under PERS Section 20930.3. As provided in Section 20930.3, eligible employees who decide to exercise the option to purchase up to four years of prior military service credit would pay the amount calculated by PERS for both the employer's and the employee's contribution. III. Effective July 1, 2004, the City will provide Employer Paid Member Contributions Converted to Payrate. 5.01 TERM AND EFFECT OF THIS MEMORANDUM OF UNDERSTANDING ....... ~ ~,., ~,s~,~, !, 2003. I. This Memorandum of Understanding shall remain in full force and effect from July 1, 1998 through June 30, 2005 (the date closest to July 1 that is the end of a pay period) and it is tmderstood and agreed that the terms and conditions, wages, and all provisions of this Memorandum of Understanding shall continue in effect until a new Memorandum of Understanding is negotiated and subsequently ratified by the Association and the City Council. Said terms and conditions as outlined in this Memorandum of Understanding shall remain in effect from July 1, 1998 until the first pay period in July 2005, unless one of the parties notifies the other in writing no later than February 1, 2005, of its desire to modify or terminate the agreement and provides written proposals for such modifications no later than February 28, 2005. City agrees that if said written proposals are received from the Association by February 28, 2005, that the City will be prepared to commence negotiations on those proposals by March 1, 2005. For the City: For the Association: David D. Rowlands, Jr. ~ Freak Magq~, President City Manager Police Officer's Association COUNCIL AGENDA STATEMENT ITEM MEETING DATE 12112100 ITEM TITLE: Resolution __ directing staff to bring forward a two-year budget for Council consideration for the two-year period beginning in FY01-02. SUBMITTED BY: Deputy City Manager Powell~ (~4/5ths Vote: Yes No X ) Director of Budget and Analysis REVIEWED BY: City Manager ~K~, ~ SUMMARY: Multi-year budgeting is increasingly popular among cities and counties throughout the country as it improves fiscal planning, retains the fiscal control inherent in one-year budgeting and reduces redundant workload. Staff is recommending that the City's operating budget for FY01-02 be a biennial budget. RECOMMENDATION: That Council adopt the Resolution directing staff to bring forward a two-year budget for Council consideration for the two-year period beginning July 1, 2001. BOARD/COMMISSION RECOMMENDATION: N/A DISCUSSION: What is Biennial BudRetin,q Quite simply, biennial budgeting is the process of developing annual operating revenue and expenditure estimates for two years at a time. The reason such a process is possible is that, in most cases, the information about a local government's programs and activities changes little from year to year. Decisions, in most instances, are made incrementally. Expenditures and revenues generally are predictable over a two-year timeframe. Because a local government (for most intents and purposes) is a permanent entity created to provide indefinite service to the people, budget-related decisions need to be based on long-term assumptions. Cities use the budgeting process to link what they want to accomplish for the community with the resources necessary to do so. Since very few goals and objectives fit neatly into one-year increments a two-year approach would enable the City to better-set meaningful objectives and realistic timeframes for completing these targets. 16-I Many jurisdictions in California are using two-year budgets. Most of these jurisdictions adopt the two-year budget and appropriate monies for the current year only. The City of Chula Vista Charter requires the Council to appropriate money annually. By appropriating monies for only one year at a time, the tighter fiscal control of a one-year budget is retained. If for some reason, major changes affecting revenues or costs occur during the first year, there is the safeguard of being able to amend the second year spending plan prior to any monies being appropriated. This combination of a two-year budget with single year appropriations is what is being recommended for Chula Vista. Moving to a two-year budget will reinforce the City's commitment to long-term fiscal health by looking beyond a one-year time horizon when evaluating the City's ability to fund operating programs. A longer time horizon is more important than ever given anticipated increases in debt service and operating costs for new facilities, long-term salary and benefit commitments contained in labor agreements, and anticipated operational increases necessitated by population growth. Benefits of Biennial Budgets The three major benefits cited by agencies that utilize a two-year budget are: ~ Forces more reliance on long-term planning to meet fiscal needs ~ Saves Council and staff time which can be redirected towards other important priorities ~ More fully integrates goal setting, citizen expectations and satisfaction, long term planning and performance and outcome measurement with each other and resource allocation More Focus on Planninq The City of Scottsdale, Arizona, which converted to a biennial budget six years ago, found that the biennial budget process changed staff perception of budgeting from a short-term number crunching episode to a planning activity to match financial resources to achieve program goals. The two-year budget compelled staff to think and plan strategically, determining the long-range impacts and related consequences of decisions and aim to ensure community sustainability through the ability to fund decisions over time without jeopardizing the fiscal health of the community. Bill Statler, the Director of Finance of the City of San Luis Obispo believes that taking the multi-year approach is even more important in difficult years than in the good ones. In the case of San Luis Obispo he believes it assists the City in making realistic - though tough- decisions about what they can reasonably afford to do in the long run, and eliminates most one- time fixes and "smoke and mirror" approaches to balancing the budget. A longer budgeting time horizon, fomes staff to really think towards the future with regards to revenue estimates as well as what resources are required to meet goals and objectives. It also provides a more realistic time frame to hold people accountable for the achievement of goals and objectives. Biennial budgeting assists in creating a forward thinking culture throughout the organization, making planning for the long run more automatic from the top to the bottom. This will encourage employees to begin to volunteer what they know about future events that may affect municipal services. Thus also increasing participation in the budget process. Increases Available Staff Time for Other Important Projects Budget processes that are truly biennial reduce the overall workload for departments and budget staff. While it is true that staff involved in budgeting will probably have to work a little harder when putting together the two-year document - the second year, if done right, should be a smooth, streamlined and less time consuming process. There are a lot of time-consumptive repetitive tasks associated with putting together a budget. With a two-year budget significant staff time savings occur during the second year. Predictably, this timesaving can foster better morale and free up time in the off years for other non-budget related projects. Areas where more effort could be expended include: performance and outcome measurement and conducting fiscal analyses to ensure future revenue streams are sufficient to meet the community's long- term service and infrastructure maintenance needs. In the City of Scottsdale, more than 14,000 hours of staff time were saved in budget preparation during the second year of the two-year budget cycle. Staff used these savings to improve upon program performance measures and to conduct comparative analysis studies (benchmarking). It should be noted, for the benefits to be attained, the second year of a two-year budget must be regarded as a de facto appropriation. Otherwise, the budget process could result in more work annually for all those involved. Key Differences Between Biennial and Annual Bud.qetin.q Places more reliance on accurate long-term revenue estimates. Projecting revenues is probably the most problematic financial aspect of putting a two-year budget into place, mainly because as time goes by, more and more unexpected events occur (e.g., recessions, inflation, natural disasters, changes in state laws, or the relocation/arrival of a major employer). To remedy this situation the City must give serious attention to the development of accurate projections. For instance, compiling historical trends over several years, evaluating one revenue source against another known factor, and being conservative in the estimates are the best techniques for forecasting revenues accurately. Also, the maintenance of an adequate uncommitted reserve fund is needed to buffer against any unforeseen events and help guarantee the City remains fiscally healthy. Finally, a two-year budget reduces the reliance on overly optimistic revenue projections just so the budget will balance. Requires departments to more carefully analyze the long-term fiscal impacts of approving capital projects, labor contracts, grants and new programs or service levels. Moving to a biennial budget combined with preparation of longer-term expenditure and revenue projections provides a better fiscal "big picture", thereby enabling policy makers to see more cleady the ongoing impacts of decisions and how these decisions may reduce the ability to fund other priorities. For example, most capital outlays, or deferments for that matter, have repercussions on a city's operating budget in subsequent years. Regardless of their magnitude, though, many don't have an impact on a city's operating budget in the first year. By it's nature, a two-year budget has a better chance of highlighting these operating expenses as well as the short-run savings. For instance, the overall cost of maintenance on a stretch of roadway deferred from one year to the next will become obvious when reduced costs in one year result in significantly higher costs in the second year. Another area where longer-term projections are useful is in evaluating grants. Two-year budgets help alleviate the reliance on short-term grants in that they promote a longer-term view of where the funding for a program is going to originate from. Applying for some short-term grants may not be the best course of action since the revenues necessary to continue a program begun or improvements made might not be available a few years down the road. In addition, the multi-year time frame a two-year budget provides can assist a department by giving it more time to find alternative, possibly superior funding sources to pay for planned service offerings. In a similar vein, biennial budgeting will ensure that medium-term fiscal impacts are provided for in all mid-year budget amendments proposed during the first year of the two-year budget. This means that even if an ongoing expenditure can be covered with savings or one-time revenue in the first year, it is still necessary to specify funding for year two and identify a revenue soume. With a one year budget, the impacts of adding a staff position or other services or compensation are often minimized as resources to pay for these enhancements are often less in the first year than for subsequent years. Further compounding the problem, is the fact that one-time revenues or expenditure savings are frequently available to cover the costs in the current year but not future years. Although the ongoing fiscal impact is always identified in the agenda statements, the difficult job of locating the resources to pay for the enhancement is often postponed until the following budget year. Therefore, by requiring the resources for the second year to be identified (since the second year of the two year budget must be amended), the true cost of the enhancement becomes clearer - showing the impact it will have on reserves as well as other programs or services. Requires the development of more sophisticated automated budgeting systems and procedures. In order to successfully complete a biennial budget both the automated systems and the budget procedures must be more sophisticated. Fortunately, the new fiscal system allows staff to successfully budget for two years. Budget models are being developed that enable staff to automate revenue projections and inflate expenditures appropriately over time based on increases in salary, benefits, and other relevant factors. Extensive effort and staff time will be needed to assist departments with the process while revising the system to accommodate the two-year budget. What's Next? With a two-year budget it is more important than ever to have a clear sense of the Council's goals and priorities prior to setting the guidelines for resoume allocation. Therefore, it is recommended that the first major step in the budget process be a Council workshop in January or February. This workshop will provide Council the opportunity to review recommended financial policies for preparation of the two-year budget as well as to provide staff with a clear sense of overall City priorities so that specific budget instructions can be developed. Prior to this time, staff will be working with departments to develop the actual systems for preparation of the two-year budget, preparing the revenue estimates for all funds, and reviewing goals, objectives and work measures. The budget schedule is proposed as follows: January/ Council goal setting and approval of general budget policies February Preparation of revenue estimates Review of goals, objectives and work measures February-May Departmental budget preparation and City Manager review May/June Council Hearings for Budget Adoption June Council Adoption of Biennial Budget for Fiscal Years 02-03 Council Adoption of FY02 Appropriations Once the first biennial budget is complete, staff intends to use the "off" budget year to work more extensively on integrating the City's plans and goals with performance measures. City staff also plans on exploring the possibility of utilizing citizen surveys to enhance performance measurement as well as moving more towards outcome measurement prior to the second biennial budget. FISCAL IMPACT: There is no quantifiable fiscal impact from moving to a biennial budget. However it is anticipated that significant staff time savings will occur in the off budget years which can be used for important projects and studies. In addition, moving to a longer budgetary time horizon should improve the information available for making decisions regarding resource allocation. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA DIRECTING STAFF TO BRING FORWARD A TWO-YEAR BUDGET FOR COUNCIL CONSIDERATION FOR THE TWO-YEAR PERIOD BEGINNING IN FY01-02 WHEREAS, biennial budgeting is the process of developing annual operating revenue and expenditure estimates for two years at a time; and WHEREAS, multi-year budgeting is increasingly popular among cities and counties throughout the country as it improves fiscal planning, retains the fiscal control inherent in one-year budgeting and reduces redundant workload; and WHEREAS, staff is recommending that the City's operating budget for FY01-02 be a biennial budget with single year appropriations as mandated by the City Charter. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby direct staff to bring forward a two-year budget with single year appropriations for Council consideration for the two-year period beginning July 1, 2001. Presented by Approved as to form by Robert Powell ~~ Deputy City Manager //~ity Attorney~ ~// [H:\H OM E~TTORN EY\RESO\ biennial budget (December 4, 2000 (4: 5pm)] /¥ -'7