Loading...
2013/06/18THE ANAHEIM CITY COUNCIL SPECIAL MEETING OF JUNE 18, 2013, THE ADJOURNED REGULAR MEETING OF JUNE 11, 2013 HELD ON JUNE 18, 2013 AND THE REGULAR MEETING OF JUNE 18, 2013 The special meeting of June 18, 2013 was called to order at 1:30 P.M. in the chambers of Anaheim City Hall located at 200 Anaheim Boulevard. The meeting notice, agenda and related materials were duly posted on June 14, 2013. PRESENT: Mayor Tom Tait and Council Members: Jordan Brandman, Lucille Kring and Kris Murray. ABSENT: Mayor Pro Tern Eastman STAFF PRESENT: interim City Manager Marcie Edwards, Interim City Attorney Michael Houston and City Clerk Linda Andal. ADDITIONS /DELETIONS TO CLOSED SESSION: None PUBLIC COMMENTS ON CLOSED SESSION ITEMS: None At 1:31 P.M., City Council recessed to closed session for consideration of the following items, with Mayor Tait declaring a conflict on Item No. 1 and did not participate in closed session for Item No. 1: CLOSED SESSION (SPECIAL MEETING): 1. CONFERENCE WITH REAL PROPERTY NEGOTIATORS (Subdivision 54956.8 of the Government Code) Property: 2000 East Gene Autry Way, Anaheim, CA (Angels Stadium of Anaheim) Agency Negotiator: Tom Morton Negotiating Parties: Angels Baseball, LP, City of Anaheim Under Negotiation: Price and Terms of Payment Regarding Lease (Mayor Tait declared a conflict and did not participate in closed session item #1) 2. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION (Subdivision (d)(1) of Section 54956.9 of the California Government Code) Name of Case: Robert Rosen v. City of Anaheim, City of Garden Grove, et al., OCSC Case No. 30 -2012 00572253 3. CONFERENCE WITH LEGAL COUNSEL EXISTING LITIGATION (Subdivision (d)(1) of Section 54956.9 of the California Government Code) Name of Case: Kelley Kimm v. Atkinson /City of Anaheim et al., Orange County Superior Court Case No. 30- 2011 - 00532963 4. CONFERENCE WITH LEGAL COUNSEL EXISTING LITIGATION (Subdivision (d)(1) of Section 54956.9 of the California Government Code) Name of Case: In re Thermo No. 1 BE = 01, LLC jointly administered with In re Raser Technologies, Inc. U.S. District Court for the District of Delaware, Case Nos. 11 -11339 (KJC) and 11 -11315 (KJC) City Council Minutes of June 18, 2013 Page 2 of 36 5. CONFERENCE WITH LABOR NEGOTIATORS /PUBLIC EMPLOYMENT (Government Code Section 54957.6) Designated Representative: Ralph Andersen & Associates Position: City Attorney 6. PUBLIC EMPLOYEE APPOINTMENT (Subdivision (b)(1) of Section 54957 of the California Government Code) Title: City Attorney At 2:10 P.M., the City Council returned from closed session, Mayor Tait adjourned the Special Meeting of July 11, 2013. ADJOURNED REGULAR_ MEETING OF JULY 11, 2013 HELD ON JUNE 18,2013: At 2:10 P.M., Mayor Tait called to order the adjourned regular meeting of June 11, 2013 held on June 18, 2013 in the Chambers of Anaheim City Hall. The meeting notice, agenda and related materials were duly posted on June 14, 2013. PRESENT: Mayor Tom Tait and Council Members: Jordan Brandman, Lucille Kring and Kris Murray. ABSENT: Mayor Pro Tem Eastman STAFF PRESENT: Interim City Manager Marcie Edwards, Interim City Attorney Michael Houston and City Clerk Linda Andal. Marcie Edwards, Interim City Manager, introduced the hearing, remarking it had been continued from June 11 with council receiving an overview of the City's fiscal budget followed by presentations from the largest city departments; i.e. Police, Fire, and Public Utilities. She introduced Natalie Meeks, Public Works Director, to begin the remaining departmental presentations prior to adoption of the FY 2013/14 Budget later in the agenda. PUBLIC WORKS DEPARTMENT Natalie Meeks, Public Works Director, reported the department's proposed budget was approximately $328 million, containing funding for six divisions and 236 full -time employees and 14.8 part -time equivalents. Capital Improvements reflected the largest component of the budget, at $221.1 million which included $132 million for ARTIC project now under construction. PERFORMANCE INDICATORS: She noted performance indicators developed were meaningful to residents, businesses and visitors, with staff consistently meeting goals in each category. The department improved its Recycle Anaheim program including a commitment from Republic Services to dedicate over 1,000 hours annually to public education and outreach, teaching children the importance of recycling and waste diversion and participating in several outreach events such as the Children's Art festival, Cinco de Mayo, 4 th of July, and Trash Artists Challenge. Another successful outreach event for PW Recycle program occurred in April at Western and Katella High Schools and she added, the department also partnered with Republic Services to sponsor the 5 th annual compost give -away. Due to demand, she added, two separate giveaways were now held each year to close the loop in recycling by returning collected yard waste to the residents in the form of free compost materials. City Council Minutes of June 18, 2013 Page 3 of 36 CURRENT YEAR ACHIEVEMENTS This year marked the conclusion of two highly anticipated projects, Gene Autry Way and the Convention Center Grand Plaza. To continue efforts to leverage transportation funds, Ms. Meeks indicated $5 million in grants for various projects, such as Brookhurst Street Widening, improvements on Sunkist Street, Knott Avenue, Broadway and Anaheim Boulevard, along with state and federal funds for State Routes to School projects had been received. Additionally, the department made progress in the development of major transit initiatives and last November, began construction of ARTIC, a multi -year project that would offer new and expanded transportation services and development, scheduled for a 2014 completion date. The alternatives analysis for the Anaheim Rapid Connection or ARC was completed with city council choosing the street car as the locally preferred alternative and in coordination with OCTA and FTA, the New Starts federal funding would be pursued for this project. The Department also purchased 13 big bellied solar powered trash compactor units and four kiosk recycling units designed to promote greater public awareness to reduce, reuse and recycle solid waste generated in the city. Public Works was responsible for the maintenance of 5.7 million square feet of right -of -way landscape, and this year, she stated, had renovated almost 42,000 square feet including the Weir Canyon Median Landscape Renovation project. She noted the Department was also responsible for 55,000 street trees, with 10,000 pruned citywide this year, 9,000 pruned for power line clearance and from CalGrant funding, 600 new trees were also planted. Other accomplishments were the pavement rehabilitation of more than 5.7 million square feet equivalent to about 260 neighborhood blocks, the Guinida Lane speed bump project that addressed neighborhood speeding concerns, and 12.5 miles of sidewalks were repaired to improve neighborhoods. She reported Anaheim's fleet ranked 20` out of 38,000 eligible fleets nationwide and 1,900 applicants; awarded by the 100 Best Fleets of North America. She pointed out several major projects at city facilities included the rehabilitation of the HVAC system at Police Headquarters along with roof replacement at various locations, using a newer roofing process that resulted in 66 percent cost savings and improved insulation. Also, in collaboration with the Community Services Department, Public Works completed the park /sidewalk rehabilitation at Palm Lane, Maxwell, and Manzanita Parks. FY 2013/14 HIGHLIGHTS Ms. Meeks announced the department would begin construction this month to widen Brookhurst Street, a project that was awarded $3.4 million in addition to $13 million to improve the flow of traffic on Ball Road and Katella Avenue. Plans to begin construction at the Tustin /La Palma intersection were scheduled for later this month, an $8 million traffic flow improvement project for this area. In addition, construction would continue with federal grant funding for the Anaheim Canyon Metrolink station providing new sidewalks to improve pedestrian access and construction was on track and scheduled to be completed by late 2014 for the ARTIC project. She noted the department would be procuring services in support of the management and day -to -day function of the ARTIC facility this coming year. Anaheim Rapid Connect (ARC) milestones for the coming year included pursuing state and federal environmental clearance as well as developing funding applications with the next steps for ARC to include engineering, final design, and construction of the system with an opening date in year 2018. She noted that next year the department would continue to focus time and resources toward pavement preservation and rehabilitation to include six million square feet of pavement rehabilitation in 13 neighborhoods throughout the city. She added the street tree maintenance program would continue efforts to systematically prune trees on a predesigned grid with over 10,000 trees scheduled for pruning. In addition, the department would deploy new technology for facility crews promoting a faster and more efficient response to service requests and the Canyon Nature Center would see the Center's amphitheater deck replaced. City Council Minutes of June 18, 2013 Page 4 of 36 Lastly, the modernization of the city fleet would continue with the planned replacement of 84 vehicles next year, and through multiple grant resources and Public Utilities, the CNG fueling station would be upgraded to address the growing number of CNG fleet vehicles. SUPPLEMENTAL FUNDING Supplemental funding requests were as follows: • Sidewalk and curb repair — she noted the department received 1,500 sidewalk complaints from the community last year and in response made temporary repairs such as ramping and grinding. The department desired to make permanent repairs for 500 locations with an allocation of $300,000; and • Park Improvements — Ms. Meeks informed Public Works and Community Services selected Chaparral, Modjeska, and Sage Parks for improvements next year, including replacement of drinking fountains, benches and tables, repair of gazebos, sidewalks and curbs, repaving and restriping parking lots, and improving ADA accessibility. These improvements Ms. Meeks added, would coincide with Community Services capital projects with the goal of delivering complete park improvements for the community; • Pearson Park Pool — Public Works requested funding to complete the refurbishment of Anaheim's only public pool with a summer swimming program serving over 1,700 children and adults and last year, nearly 2,000 swimmers took advantage of public swim hours; • Brookhurst Community Center — the department requested funding to replace the floor, a large assembly area original to the building and long overdue for replacement to address lifting caused by moisture under the floor; • Traffic Calming Measures — the department requested $50,000 to install traffic calming measures in 18 neighborhoods that requested assistance (i.e. Pearson Park, Cottontail Lane, Wilken Way near Ponderosa Park, and the Katella High School neighborhood); and La Palma Stadium Bleachers — The bleachers were in need of maintenance and repainting to maintain the safety and usability of this facility, a community asset, Ms. Meeks explained, that attracted a wide variety of events. She ended her presentation remarking Public Works services directly impacted the quality of life in Anaheim's communities as recognized by these supplemental funding requests. Council Member Kring supported the supplemental funding requests as money well spent for Anaheim's neighborhoods. Council Member Murray appreciated the emphasis on neighborhood improvements dispersed evenly throughout the city. She was supportive of the next generation of transportation planning, remarking it was essential to keep up with the anticipated 20 million population growth in California anticipated over the next 30 years. She also supported requests for supplemental funding, remarking the specifics of those improvements be identified on the city's website for the community to recognize where those neighborhood improvements were located. Council Member Brandman suggested, as this budget went forward, that staff reassess the La Palma Park expansion plan that had been considered in the 1990's which included a city stadium. He felt the time was appropriate considering that the largest user of that facility, the Anaheim Union High School District, was considering a school bond. PLANNING DEPARTMENT Director Sheri Vander Dussen stated the department consisted of four divisions providing all City Council Minutes of June 18, 2013 Page 5 of 36 development services for private property including community preservation (code enforcement and business licensing) with a budget for FY 2013/14 slightly over $18 million, 71 full -time positions and the equal of 21 full -time positions through part-time staff. PERFORMANCE INDICATORS This year, she remarked, code enforcement staff responded to nearly 23,000 code violations and was on target to achieve compliance in 95 percent of those cases without having to impose citations. The response time for graffiti removal dramatically improved this year, not quite to the desired standard, however, she stated, staff anticipated meeting that desired performance in the coming fiscal year. Ms. Vander Dussen indicated plan check applications equaled that of last year although the cases were more complex and larger than the last couple of years with staff completing 95 percent of those applications within specified time frames and virtually all of the 35,000 building inspections conducted this year were on time. CURRENT YEAR ACHIEVEMENTS She noted development activity was starting to pick up with revenues to process cases that required Planning Commission review almost doubling the past year, and plan check revenues up 40 percent over the current year. Currently there were eight hotels in various stages of development in the resort, including Marriott and Hyatt products. She reported that Anaheim Apartment Community, a division of the Irvine Company, recently submitted grading plans for the first apartment complex to be started in the Platinum Triangle since the downturn. In addition, she pointed out, Panatonni Construction submitted plans for eight new industrial buildings including about 850,000 square feet at the Anaheim Concourse project in the Canyon area. These companies, she emphasized, were investing in Anaheim, creating additional jobs and providing new housing choices. Services to customers were improved, and in response to recommendations from the Mayor's Regulatory Relief Task Force, Ms. Vander Dussen reported council adopted an ordinance this year that eliminated the need for conditional use permits for 16 land use categories, also reducing the need for parking variances and streamlining the regulatory permit process. A Customer Bill of Rights now identified clear customer service standards while the Business Assistance Program simplified the building permit process for business customers by having one staff member coordinate every task from submittal to occupancy. She noted over 250 permit applications had taken place since this program began last March garnering a positive response from the business community. Making the transition to Anaheim for businesses easy, she indicated council approved updates to the Anaheim Resort Specific Plan which allowed even larger scale development to proceed with no environmental review and no public hearing, thereby reducing the time and cost to develop resort uses. In addition, the first draft of the Canyon Specific Plan was recently completed, community workshops scheduled in the summer and revisions to the Canyon Specific Plan intended to make it easier for businesses to grow and evolve. Regarding community preservation, staff was working with owners of 271 properties with Mills Act contracts to insure historic buildings were properly maintained. The first year of partnership with the Anaheim Chamber of Commerce to implement the Enterprise Zone was completed, and since February more than 3,000 hiring credit vouchers were issued to Anaheim businesses under this program. She noted that at one time there were 143 medical marijuana dispensaries operating in Anaheim and today all but a few had closed noting that staff continued to work with the City Attorney's Office and the Police Department to insure there were no dispensaries operating in violation of the city's ban. On the graffiti front, Ms. Vander Dussen reported, the vendor was effective in anticipating spikes in graffiti and was meeting targets for removal most City Council Minutes of June 18, 2013 Page 6 of 36 of the time, adding that because of their proactive efforts, the amount of graffiti removed was up by more than 300 percent this year. She remarked residents had been frustrated with the numbers of shopping carts abandoned in their neighborhoods, and by working with stores to implement containment plans, those cart numbers dropped 70 percent. Another neighborhood impact was recurring garage sales, which was addressed through an ordinance limiting garage sales, resulting in a decrease in the numbers of temporary signs throughout the city and reductions in these recurring sales as residents became more familiar with the new rules. In response to requests from the public, the department provided more business options on line providing that applicants could complete a block wall application either on their computer, their mobile device or in the department's front lobby. A new property information application was offered that allowed business owners and real estate brokers to easily find available commercial properties for purchase or lease on line, as well as demographics, consumer market information, and zoning standards. In addition, she remarked, staff created a guide to assist business owners through the process of opening their business in Anaheim and during the coming year, expansion of these online services would be offered for other types of online applications, building inspection requests and results, contractor's business license applications and property infill applications. The plan, she explained, was to eliminate all paper permit applications and have customers use the new E- Permit application system reducing transaction times and waits, and providing for a more efficient use of staff. FY 2013/14 HIGHLIGHTS Ms. Vander Dussen indicated the update of the Housing Element was underway and thanks to a wide range of public outreach efforts, extensive feedback had been collected which would help with the planning for the city's housing needs, available for draft review this fall. During this update, she remarked, the city identified about 165 sites with Residential General Plan designations but developed with non - residential uses, pointing out staff was now in the process of applying the Housing Opportunity Overlay Zone to these sites to allow for development of these sites without rezoning. Additionally, in the coming year, Ms. Vander Dussen stated, one of the most important functions of her department was to continue to build relationships with neighborhood groups allowing for a more effective solutions in addressing residents' concerns. Council Member Murray discussed code enforcement reductions with Ms. Vander Dussen responding there had been a twenty percent reduction in staff since 2006. Ms. Murray added part of going forward would require strategic planning, however, she hoped to be able to discuss blight eradication with council and staff within the next few months. Council Member Kring supported the graffiti removal effort, remarking the city's vendor was performing well, but saddened at the huge amounts of money that must be spent for this program. Council Member Brandman asked for more specifics regarding graffiti removal with Ms. Vander Dussen responding that some of the graffiti mitigation had been effective with respect to applying artificial ivy on some of the targets that had been hit routinely. In addition, there was a test program, where students from Fairmont School painted pictures of vines on one wall to see if it helped reduce the incidence of graffiti along the railroad track. Mayor Tait was supportive of the concierge program and in general about the culture of the department in celebrating success and helping entrepreneurs reach their targets. COMMUNITY DEVELOPMENT DEPARTMENT City Council Minutes of June 18, 2013 Page 7 of 36 John Woodhead, Community Development Director, announced his department received very little general fund revenue, was supported by federal and state grants and loans, capital and cash assets, as well as its share of redevelopment property tax trust funds to assist in the development of Anaheim's economic future and to promote a better quality of life for residents. The proposed expenditures for 2013/14 reflected $138.6 million and included 68 full -time employees. It accounted for the elimination of about 10 full -time and 2 part -time positions in the Section 8 program by January due to a structural budget deficit created by federal sequestration, explaining those employees were offered an accelerated separation program, the same program offered to those whose positions were eliminated due to the state mandated dissolution of redevelopment agencies. He added projected expenditures were lower than previous years due largely to the State's Department of Finance's denial of about $15 million enforceable obligations related to the Avon Dakota neighborhood revitalization project. Mr. Woodhead added that a lawsuit had been filed which sought to have those enforceable obligations reinstated and if the city prevailed, expenditures in FY 13/14 would again equal those of FY 11/12. Projections were also lowered, he added, somewhat due to the elimination of the CDBG RIP program and unspent Westgate remuneration expenditures. PERFORMANCE INDICATORS He reported expenditures were distributed among seven core programs with nearly 60 percent associated with providing housing assistance and employment services. In addition, nearly half of the department's expenditures would be funded out of the redevelopment property tax trust fund. Mr. Woodhead noted that debt expenses continued to maximize available funding for the Section 8 Housing Choice Voucher program to ensure the required 95 percent or greater lease upgrade; and staff expected to have at least 80 percent of Anaheim Jobs clients employed given the continued improvement in the overall job market. He further stated, the department would attempt to use 100 percent of the former redevelopment agency's tax increments and the retirement of its debt and satisfaction of its enforceable obligations during the next fiscal year. DISSOLUTION OF ANAHEIM REDEVELOPMENT AGENCY Mr. Woodhead remarked impacts from dissolving the Redevelopment Agency remained unchanged from last year; i.e., the loss of $47 million annually and $1.3 billion over time. He noted it was clear now that the Department of Finance chose to arbitrarily deny enforceable obligations of former agencies as set forth in their semi - annual recognized obligation payments schedules and while staff navigated the first two ROPS, Anaheim joined the majority of former redevelopment agencies statewide having items on its third and fourth ROPs denied with litigation commencing to rectify that disregard of the law. The Housing Agency now served as the successor for housing assets and obligations of the former redevelopment agency, and the department, he added, received approval of the housing asset transfer list. This approval, Mr. Woodhead explained, showed the city successfully transferred 33 acres of land with a book value of almost $39 million, a loan portfolio of $15 million along with other assets now totaling $22 million to the Housing Authority which would allow Anaheim to continue housing development activities in the future. The result of this transfer was that the city removed the state's threat to withhold state and property tax from the city and received its finding of completion, which permitted the development of a property management plan for those properties not already transferred to the Housing Authority. That plan, he further explained, would enable the City to bypass last year's directive to dispose of 83 acres of land with a book value of $60 million, and instead, be able to dispose of and manage property in a more orderly manner and to accommodate the reasons for which those properties were originally acquired. While the department hoped to get oversight board approval of the plan this summer and immediately submit it to the Department of Finance for City Council Minutes of June 18, 2013 Page 8 of 36 review and approval, he emphasized, only the approval of the semi - annual ROPS for the future remained allowing the department to go forward with several important projects. FY 2013/14 HIGHLIGHTS Mr. Woodhead provided that Westgate, a project that had continued during the dissolution process, was a proposed 25 acre commercial development located at Lincoln and Beach and included installation of a state -of- the -art gas extraction system and is ready for development. He pointed out Zellman Anaheim LLC was still committed to the development of the site. Staff was also negotiating with The Festival Group regarding a seven acre commercial development at Anaheim and Ball Road with Mr. Woodhead remarking, the developer had tied up adjoining parcels and actively marketed the project in Las Vegas at the most recent global convention for the shopping center industry. In downtown Anaheim, The Lab continued work on Center Street Promenade in the Packing District, promoting new energy into the downtown retail spaces, investing in storefront facades and tenant improvements which populated Center Street with Gypsy Den, Home Economics, Bar Beer, Heart and Soul, Healthy Junk, as well as other offerings at the Good Food Court. At the Packing District, Mr. Woodhead reported Umami Burger joined Anaheim Brewery in the Packard Building with restoration work at the Packing House now completed and tenant improvements underway. The Packing House would open to the public this fall while Farmer's Park was slated to open the end of June 2013. HOUSING PROJECTS Mr. Woodhead emphasized the department remained committed to continuing its legacy of housing development and on the west side, the Housing Authority continued to implement the city's general plan objective of replacing overbuilt commercial square footage with residential development. The crossings at Cherry Orchard, a 45 unit family project located mid -block on Lincoln Avenue represented replacement of a sixth blighted motel in the area with a productive use, to be completed this summer and added to the current inventory of 9,000 units currently subject to annual physical inspections and ongoing household monitoring by the Housing Authority. This year, he added, the Housing Authority facilitated the issuance of tax exempt bonds related to the development of Anton Monaco, a 230 unit affordable housing project under construction on the former Target site on Lincoln Avenue. Continuing priorities of acquisition and rehabilitation of Anaheim's existing housing stock continued; the rehabilitation of eight units in the Park Circle neighborhood, Mariposa Village, was completed with this model project providing affordable housing for special needs residents and to serve as a catalyst for additional public and private improvements in the neighborhood. In addition, Community Services Department was currently designing a pocket park in that area and several property owners recently refurbished some of the neighborhood residential units. Avon Dakota neighborhood was still a focus of the department's efforts, with construction completed last year of Vintage Crossing, a 92 -unit affordable housing project south of Colony Park and immediately adjacent to Avon Dakota. This year the first phase of the Avon Dakota neighborhood revitalization recently rebranded as the Arbors at Vintage Crossing commenced and work was underway to substantially remodel 16 units. Later this summer, he pointed out a portion of Dakota Street would be closed and improved with a play yard area for children. While staff worked on the acquisition of additional properties for future development, Mr. Woodhead emphasized the pace at which later phases of revitalization occurred would depend on the outcome of the litigation with the Department of Finance. The development of the Colony Park neighborhood, a Brookfield development, continued and upon completion, the neighborhood would consist of 670 homes. He noted phases 1, 2 and 3 were completed and phase 4 was under construction. Brookfield also commenced work on its latest housing development in downtown Anaheim, two non - contiguous parcels on Anaheim Boulevard with the first development to take place across from Farmer's Park, a 60 -unit development with a City Council Minutes of June 18, 2013 Page 9 of 36 community area, lap pool and rooftop patio. The second development site was further south on Anaheim Boulevard and would feature 40 units in a more intimate courtyard setting. Mr. Woodhead stated that Community Development also provided several vital services to Anaheim residents. The down payment assistance program used various federal and state funding resources and assisted 110 families in Colony Park. Last year, he added, the Section 8 vouchers provided access to safe, quality affordable rental housing to almost 17,000 people throughout the community with 30,000 families on the waiting list. He stated the March 1, 2013 across the board federal budget cuts (sequestration) cancelled approximately $85 million in federal appropriations to all federal agencies impacting local government with programs such as CDBG, ESG, and HOME with Section 8 taking the biggest hit. As a result of these cuts, the Section 8 program would most likely experience a major decrease in funding meaning that for Anaheim, 500 fewer families would receive help in FY 2013/14. It was hoped that some of that downsizing would come through natural attrition as families left the program and were not replaced. He added that the Housing Authority was working with HUD to identify cost saving measures in order to prevent the displacement of current assisted families wherever possible. On the administrative side, he remarked a loss of about $1.8 million was projected for the next fiscal year and as a result the Housing Authority could not support the current staffing level and would be eliminating 10 positions by January 2014 to close the current budget structural deficit in the administrative budget. Other services offered included Anaheim Jobs which partnered with the Chamber of Commerce and the Anaheim Workforce investment Board to offer a 2012 Anaheim OC Job Fair, with 7,000 job seekers connecting with 190 employers. The 2013 event was scheduled for June 19 at the Convention Center, with the expectation that over 200 employers would be there to offer over 3,175 jobs. Last year, he added, Anaheim Jobs also assisted an additional 6,000 job seekers and more than 350 businesses by providing employment and job training assistance during the year. Mr. Woodhead ended his presentation remarking the development community thrived in Anaheim's progressive environment and the city was positioned to maximize resources to continue to focus on safe, inviting neighborhoods and sustainable prosperous economic development in the city. The impacts of sequestration were discussed with Mr. Woodhead remarking there appeared to be no break in the impasse between the democrats and republicans on this issue. Council Member Murray remarked the state did not net their anticipated revenues and she would like to see the city work on an advocacy program to reinstate redevelopment agencies and allow the continuation of the work that had been done before the takeaway. COMMUNITY SERVICES DEPARTMENT Terry Lowe, Community Services Director, reported the proposed budget was just under $43 million with total revenues projected to be over $3.2 million with a General Fund draw of $22 million. PERFORMANCE INDICATORS Mr. Lowe announced library services were in great demand even with the reduction in service hours over the past few years and recreation contract class cost recovery was now at 100 percent offering a varied menu of self- improvement programs and City Council Minutes of June 18, 2013 Page 10 of 36 enhanced learning at no direct expense to the taxpayers. He indicated relationships with individual neighborhoods citywide continued to expand through mentoring and supporting grassroots leadership in an effort to maintain safe, clean, and attractive neighborhoods. CURRENT YEAR ACHIEVEMENTS The design process was completed for the Anaheim Outdoor Connectivity Plan, along with a new park near Paul Revere School in the Guinida Lane neighborhood to create play space in a dense urban area with neighboring residents actively participating in the design of this new park. In addition, based on use patterns and public input, Anaheim Coves would receive a second entrance, with a third in the planning stages, using left over grant funds from the original project. These amenities, he emphasized, improved the access to the Coves for neighbors living within walking distance. The Palm Lane playground was replaced, he added, another project with active neighborhood involvement during the planning stages, from both children and their parents. A third Kaboom! Project grant brought a new playground to Schweitzer Park in West Anaheim thanks to funding from the Disneyland Resort and hundreds of community volunteers who worked together to build this facility in one day and the Dad Miller Clubhouse was recently renovated, already experiencing an increase in business. Improving the quality of life in neighborhoods was a primary function of this department, through the support of youths and linking families in crisis with resources, through the Human Resources Division. Project SAY (Support Anaheim Youth) developed youth leaders, promoted safe schools and neighborhoods, and offered alternatives to gangs, vandalism and substance abuse. In addition, Mr. Lowe noted comprehensive recreation programs provided a large menu of events, classes, programs and services for residents of all ages and abilities. Another important role for the department was to strengthen the non - profit community and parent -based volunteer organizations that worked to promote healthy living and recreation for tens of thousands through organized sports leagues for children and adults. He added the Department also scheduled athletic facilities on many school campuses brokering additional space for the benefit of residents and further collaborative efforts supported community and youth centers throughout the city, with staff managing space for hundreds of non - profit organizations offering valuable services to residents, and in most cases, at no cost. Linking the community with the arts and family - related activities was another way the Department built community and stable families in the city. Additional services, he continued, ensured the safety of school and park facilities through the Park Ranger Program resulting in hundreds of thousands of annual public contacts. Mr. Lowe reported a close working relationship with the Police Department kept the system safe and free of anti - social behaviors. Senior programs kept older residents active, healthy and engaged in their community and in addition, seniors in need were linked to many types of available services at community centers and through the senior meals on wheels program. Neighborhood services linked residents to each other and to their government, playing an active role in the "Hi Neighbor" program. He further added that a long and productive partnership with the faith -based community resulted in more opportunities for all, increased volunteerism and an informed community. By listening to comments by residents and working with all city departments and the four district teams, resources were deployed where they did the most good. In addition active involvement in neighborhood council meetings developed leadership, self- sufficiency and insured that issues impacting neighborhoods were addressed and resolved. In the area of park systems, Mr. Lowe remarked that through the efforts and professionalism of staff, the parks were safe, clean and well- maintained. The urban forest continued to expand in City Council Minutes of June 18, 2013 Page 11 of 36 size each year and the Community Garden program has proved to be a success for all involved. Libraries had never been busier with over 1.3 million visits resulting in the distribution of over 1.6 million books, CDs and DVDs and the bookmobile still served the neediest neighborhoods. The Ponderosa Park school library was a full - service facility within walking distance of Haster /Orangewood neighborhood offering well- attended computer classes to serve this community. He emphasized all libraries were active, vital community gathering places and also served as a safe haven for hundreds of after - school children. As the economy continued to improve, Mr. Lowe stated revenues from golf courses were rebounding in addition to hosting tournaments and providing affordable rates for residents and seniors. She shared the Division supported local high school golf teams and students from the Tiger Woods Learning Center. Community Services has a long history of successful efforts to develop alternative funding sources and each year creative partnerships attracted many thousands of dollars to Anaheim to enhance aging facilities and provide opportunities for volunteers to give back to their community. Although the city operated the historic Pearson Park Amphitheater since 1927, he noted the quality of the summer schedule and other art related programs were enhanced by the generous support of Anaheim's business community. In Library Services, the support of individual volunteers, service clubs and other donors augmented city staff and library collections for the benefit of the entire community. Volunteers throughout the department, he added, enabled staff to reach out to serve residents more effectively and Anaheim's top students representing the National Honor Society, tutored youth at the local library branches, not just with school work but by setting an example of commitment to their peers and giving back to the community. FY 2013/14 HIGHLIGHTS Mr. Lowe pointed out that for over 20 years Project SAY and city staff worked on school campuses with the most challenged youths in the city acting as a lifeline and working closely with parents and school administrators to keep kids in school and focused. Also, struggling families and people with special needs continued to be served by these partnerships which allowed city resources to reach further into the community. Neighborhood livability was strengthened by commitment of community leaders from every region of the city and since 1984, the all- volunteer Anaheim Community Foundation attracted millions of dollars to Anaheim in support of the arts, community events, and people in need. Additionally, a partnership with the Disneyland Resort this year resulted in the independent academic study of the state of school aged children in Anaheim, identifying programs that were available while finding gaps and barriers to serving the needs of this segment of the population. Mr. Lowe stressed that recognizing the needs of the community's children and the constraints of the current economy, staff looked at how to use existing resources to address the Anaheim Community Foundation report while encouraging partners to do the same. He believed relationships could be further strengthened between the city and collaborative service providers by reestablishing the Anaheim Human Services Network and a new partnership with Youth Leadership America to bring additional resources to Anaheim's Youth Advisory Council. Given existing relationships and presence on high school and junior high school campuses, Project Say, he remarked, appeared to be in the best position to address the staggering teen pregnancy rate, identified in the Initiative which doubled the county average. Other initiatives could be addressed through the development of facilities and new programming, and Mira Loma Park, the Family Resource Center and Paul Revere Park could bring vital services to families in these two challenged and isolated regions of the city. A new Boys and Girls Club at Manzanita Park City Council Minutes of June 18, 2013 Page 12 of 36 would further strengthen a needy neighborhood and help this organization in their work with Anaheim's kids. In the next fiscal year, he reported, the Department would: 1) complete the development of the Anaheim Outdoors Connectivity Plan, 2) complete design on improvements of the Olive Hills Tennis Center, Sage Park and the Ponderosa Park and Family Resource Center Master Plan; complete design work for the first two dog parks, one in the central part of the city and the other in Anaheim Hills, 3) seek grants for the extension of Anaheim Coves into the adjacent Five Coves area of the Santa Ana River, 4) begin construction on two parks, 5) replace the roof on the Woelke - Stoeffel house as part of preservation efforts and in the coming year the Mother Colony House and the Woelke Stoeffel house would be evaluated for inclusion on the National Registry of Historic Places. He added that working with telecommunication companies to improve data coverage for residents while generating revenue for the maintenance and implementation of parks would be a high priority in the coming year as was the continuing reinvestment in golf operations. The department was also committed to aiding the YMCA in the development of a flagship facility adjacent to Ross Park on the former Home Oil Company site while developing a historical interpretive exhibit on that site that would presence the memory of a business vital to the agricultural history of Anaheim. In addition, a number of projects would be proposed for council's consideration as funding became available, i.e., the full restoration of operating hours for gymnasiums, community centers and family resource centers as well as additional hours for library branches and expanding the mobile recreation unit program. Lastly, the proposed Homeless Prevention Pilot Project would enable the department to address impacts of this population on parks and library systems while concentrating available resources on local Anaheim individuals and families who find themselves on the street. Council Member Murray was appreciative of the collaborative efforts used especially during the recession to continue programs which added to the quality of life to the community. She recommended the computer pilot program be continued and possibly expanded to other libraries where that need might be helpful, possibly as part of the mid -year budget discussion. She suggested reinvesting in older parks, especially in the Platinum Triangle as development occurred and brought in revenues restricted to that area and to front load the funding for construction even though design had not yet been done. Council Member Kring requested details on the homeless prevention program with Mr. Lowe remarking that there were several parks in the city heavily impacted by the homeless and staff had worked diligently to try and identify what the barriers were for those seeking shelter. He found that the potential for losing their belongings prevented the homeless from leaving parks, even temporarily for food or other services. His staff found a number of cities that had been successful in establishing relationships with the homeless, linking them with services. He highlighted one program that had been successful was a service where the homeless could check in their personal property. A six month pilot program would be proposed where the homeless could store their belongings on a temporary basis to allow them to make use of other services available to them. He believed consistent outreach and contact should reduce the number of homeless in the parks and as part of this program, the restrooms would be lighted and cleaned so the nearby businesses would not be impacted. Council Member Kring remarked she would be supporting homeless efforts, adding the challenge that some of them had pets, another barrier to consider. City Council Minutes of June 18, 2013 Page 13 of 36 Council Member Brandman supported park improvements, remarking Anaheim's largest park was originally envisioned with a city stadium and soccer fields. He wanted to get back to that original vision, especially in light of the school district consideration of a school bond in the near future. Mr. Lowe responded he would welcome the opportunity to do that. Mr. Lowe remarked improvements to Maxwell Park were also under consideration. Because of the unique agreement with SCE, each of the properties along the SCE corridor, once leases expired, could grant the city a 15 foot wide easement through the property in order to link up with an existing trail across Maxwell Park. He noted that area was close to Gayle Junior High School with great athletic resources and space and being able to develop a trail to connect two facilities in West Anaheim would allow kids to ride bicycles to school and then onto the trail. In addition, the Edison easement offered wasted space that the city could make better use of and staff was involved in conversations regarding that use. He also mentioned there had been a spike in refugees coming into Anaheim and a need for a community center space to serve that population. Mr. Lowe remarked the Brookhurst Community Center might have potential to add onto the building and create more space. Council Member Brandman suggested the Dad Miler Golf Course fence be replaced with Mr. Lowe remarking it was scheduled for the 2014/15 fiscal year. Mayor Tait was appreciative of the homeless program, offering solutions in a creative way. He added he believed more park rehabilitation was needed rather than reinvesting $6 million in the tennis center and would discuss that during the council budget hearing. Mayor Pro Tern Eastman joined the meeting at 3:24 P.M. and at 3:31 P.M., Mayor Tait adjourned the regular adjourned meeting of June 11, 2013 held on June 18, 2013. ANAHEIM CITY COUNCIL REGULAR MEETING OF JUNE 18, 2013 Mayor Tait called to order the regular meeting of June 18, 2013 at 3:31 P.M. in the Chambers of Anaheim City Hall. The meeting notice, agenda and related materials were duly posted on June 14, 2013. PRESENT: Mayor Tom Tait and Council Members: Jordan Brandman, Gail Eastman, Lucille Kring and Kris Murray. STAFF PRESENT: Interim City Manager Marcie Edwards, Interim City Attorney Michael Houston and City Clerk Linda Andal. CONVENTION, SPORTS & ENTERTAINMENT Tom Morton, Executive Director, announced the operation budget for FY 2013/14 was over $59 million and included the Visitor & Convention Bureau's Tourism Improvement District funding. With the inclusion of capital improvements, the departmental budget totaled over $60 million, with 84 full -time positions and 239 full -time equivalent part-time employees. CONVENTION CENTER The Anaheim Way was the philosophy used at this facility with Mr. Morton explaining above each time clock throughout the center, the phrase "treat everyone as you would like to be treated — the Anaheim Way" was memorialized. CURRENT YEAR ACHIEVEMENTS: He remarked the ACC adopted Mrs. Montgomery's kindergarten class at Ponderosa Elementary school this year and prior to the start of each school year staff raised funds to purchase educational games and school supplies and continued to volunteer as guest readers throughout the year. In July, the ACC was honored by City Council Minutes of June 18, 2013 Page 14 of 36 being named the recipient of 2012 Venue Excellence award for convention centers presented by the International Association of Venue Manager's, an organization recognized as the worldwide leaders in venue management. PERFORMANCE INDICATORS For the current fiscal year, an occupancy rate of 57 percent was projected for the four main exhibit halls, with 37 citywide events and 63 total Visitors & Convention Bureau (VCB) bookings. For FY 2013/14, VCB projected 31 citywide events with 55 total bookings anticipating occupancy rates of 60 percent. The current year ended with an attendance of over 1.1 million, up 6.4 percent, 259 total events with 477 total event days. Mr. Morton added that staff projected to end the current fiscal year with an operating loss excluding capital and debt service, of approximately $161,000 versus a budgeted loss of almost $3 million. That $161,000 loss, he remarked, appeared to be a break even number. He added CS &E was able to achieve this result using the "spend as we earn philosophy" and maximizing revenue opportunities. He added there were few convention centers in the country, less than ten that were able to break even on their operations. Total bookings at the facility increased from the prior year and in addition to large annual events such as NAMM, Natural Products, Medical Design and the California Dental Association conference, the Center also hosted a variety of other events including trade shows and conventions such as the Produce Marketing Association's Fresh Summit, the National Recreation & Parks Association, the American Academy of Audiology, Citrix Synergy and the American Association of Equine Practitioners. DECA and Vex Robotics returned, two educational events comprised of high school students that represented future leaders in business and science. Consumer shows and sporting events held during the year included the Southern California Golf Show, the USA National Fencing Championships, Wondercon, Anaheim Bolts Indoor Soccer, the Mecum Auto Auction, and the annual Orange County Auto Show. He noted the Convention Center was also chosen as the national debut site for UBM /Canon's Business for Better event, a conference designed to assist non - profit organizations by introducing them to leading corporations. Similar conferences, he explained, had been held in Brazil and London and Anaheim was proud to be the location where corporate social responsibility and local organizations could connect. Mr. Morton remarked that in January 2013, the ACC dedicated the opening of the Grand Plaza, a 100,000 square foot pedestrian plaza that included a 45 foot lighted entry monument, more than 80,000 square feet of colored concrete and pavers, 153 palm trees, 60 citrus trees, and 3 signature water features. He added that in its first six months of operation, numerous receptions and concerts were hosted. Another full slate of events was anticipated for the next fiscal year with three large consumer shows returning ( Wondercon, D23 and BlizzCon) and in addition, the Mecum Auto Auction would return for its second year, after generating $14 million in sales over the three days in the previous year. The Helicopter Association International conference would return to Anaheim after a few years absence and would occupy the entire facility and Ellucian Live, an educational conference and first time booking would bring over 8,500 attendees. In addition, Siggraph, a computer graphics conference would return, along with Vex Robotics, Vidcon, Educause, Citrix Synergy, Best Buy, Hyundai Motors and Oncology Nurses CAPITAL IMPROVEMENTS For the next fiscal year and with council approval, Mr. Morton indicated staff looked forward to selecting a design /build team for the seventh expansion of the ACC to add an additional 200,000 square feet of flexible meeting space that would allow the Center to stay competitive in the market place, grow with large annual events, and attract City Council Minutes of June 18, 2013 Page 15 of 36 conventions not able to be currently accommodated due to lack of meeting space. Lastly, he reported the CarPark structure would be replaced. ANGEL STADIUM Angel's baseball celebrated their 11 consecutive year with over three million tickets sold with total attendance for 2012 of just over $3 million, below the budgeted forecast of $3.4 million. During off season, Mr. Morton pointed out Angel's Baseball completed upgrades to the stadium, including relocation of the media press box to club level and the opening for the new Oakley merchandise store. The department anticipated the Angels to once again exceed $3 million in attendance for the coming fiscal year. HONDA CENTER In FY 2012/13, more than 120 events, over 40 concerts and shows produced an attendance of 1.5 million. Fans enjoyed concerts by Rolling Stones, Fleetwood Mac, and Andrea Bocelli and sporting events such as Big West Basketball, the NCAA and the Lakers. The NHL lockout, Mr. Morton explained, resulted in a shortened season with 48 games for Anaheim Ducks (24 at home) and a strong regular season with 30 wins finishing third in the lead and advancing to the playoffs as the Western Conference's second seed. For the next fiscal year, Honda Center would celebrate its 20 anniversary projecting a 20 percent increase in events and concerts forecasting an attendance of 1.7 million. The Anaheim Ducks were looking forward to building on the regular season's success this past year to make a run for the Stanley Cup and with 14 games sold out during 2012, he anticipated early season ticket renewal numbers pointed to a stronger crowd for this fall. Anaheim Arena Management would celebrate the opening and dedication of the Grand Terrace, the most extensive upgrade to the Honda Center since its opening in 1993, with 12,000 square feet, 80 feet of bar space, unique dining options and a partnership with Wolfgang Puck to open a 220 seat full service restaurant to serve fans prior to events. Mr. Morton noted this upgrade also included a new and expanded team store offering a greater selection of Duck's merchandise. THE CITY NATIONAL GROVE OF ANAHEIM Mr. Morton reported this event hosted quality concerts in 2012, with 72 live performances, 207 total events and over 150,000 attendees. Performances included Kenny Loggins, Mike Tyson, Chris Isaak, the B52's along with newcomers Jesse Cook and Fresh Beat Band. In May the venue hosted four live performances of Prince growing more than $940,000 in revenues, easily the venue's top moneymaking event. Once again, he remarked, the Grove was ranked 35 in the world's top 100 club venues for ticket sales by Pollstar magazine and ranked third in the world for venues under 2,000 capacity by Venues Today. Looking ahead, Mr. Morton remarked, bookings continued to show improvement leading to an increased projection of 80 live performances, 230 events and attendance of just under 160,000. Favorites such as Kenny G, Adam Ant, Michael Bolton, the Wiggles, Jim Gaff igan and Ted Nugent were scheduled to perform. CITY ATTORNEY'S OFFICE Interim City Attorney, Michael Houston reported the approximately $6.4 million budget for the department was split between civil, criminal and legal administration. As part of the proposed budget the department was requesting to add one deputy city attorney for the Orange County Family Justice Center, specifically to provide staffing to the Center that was reduced in past years and was necessary to support city policies involved in reducing drug and gang problems. The requested personnel was also necessary to support the city's goals of effecting and reducing domestic violence, elder abuse, child abuse and neglect, sex crimes and family violence working with law enforcement to address these with a positive impact on the community. He added the City Attorney's Office also requested to add additional personnel City Council Minutes of June 18, 2013 Page 16 of 36 specializing in municipal utility and water issues to be fully funded by Public Utilities, not the general fund. PERFORMANCE INDICATORS In the past fiscal year a number of performance measures for the department were established with one of those objectives being to handle as many litigation matters as possible with in -house city attorney staff. He pointed out private law firms were only retained to represent the city in limited cases, where the resources or expertise to handle the case were not available or a potential conflict existed. He noted that real savings to the city by using in -house staff reflected a cost savings by as much as $224 an hour, including the burden, over outside counsel. He projected using in -house staff for up to 92 percent of litigation matters for the coming fiscal year. CURRENT YEAR ACHIEVEMENTS FY 2013 achievements were highlighted: 1) The City Attorney's Office played an integral part in development of the ARTIC construction contract including all aspects of the contract/award process. In addition, staff would assist in the procurement of the Operation and Management and outdoor advertising sponsorship sales for this major addition to the city. 2) Continuous provision of legal support in connection with Anaheim Rapid Connect (ARC) took place with staff involved in negotiating contract for environmental work and preliminary engineering activities. 3) Regarding civil litigation, in a collaborative cross departmental effort, the City Attorney's Office successfully closed down 143 medical marijuana dispensaries of which 30 closures were the result of litigation efforts. 4) Regarding prosecution division, Mr. Houston reported in 2012, this division brought 9,256 cases to trial, of those, 680 were domestic violence cases prosecuted through the Family Justice Center. He stated this was a unique service that distinguished Anaheim from other Orange County cities and had real positive impact on the community. 5) Mr. Houston explained that the Code Enforcement prosecutor worked to improve the city and its communities by resolving serious property related code enforcement and public safety issues. Mr. Houston stated the prosecutor's goal was to obtain voluntary compliance on the front end and to only proceed to prosecution when property defects were not remedied despite fines, civil citations, and informal attempts at resolution. During the first three quarters of last fiscal year, he indicated 59 properties were forwarded to the code enforcement prosecutor and of those, the vast majority were resolved voluntarily. During that same time period, he remarked, 30 criminal citations for infractions had been filed by the prosecutor while 41 cases were resolved through office conferencing. 6) Regarding Training, Mr. Houston remarked the goal of his office was to provide training and educational programs citywide, offering subjects such as design immunity, dangerous condition of public property, preparing for depositions in litigation, retention of documents and e- discovery, the public records act and other general municipal matters. CITY CLERK'S OFFICE City Clerk Linda Andal reported the FY 2013/14 budget was about $1.1 million and funded three core functions, records, elections and passport services. Seven full -time employees and one part-time staffed the department. Given that records continued to be the source the public used to access the government's business, Ms. Andal stated the City Clerk's office continued to provide exceptional service by creating avenues that allowed the public to fully participate in the governmental process and facilitated access through advanced technology. City Council Minutes of June 18, 2013 Page 17 of 36 PERFORMANCE INDICATORS For Public Records Request, a benchmark of completing requests within three business days was set, and although the department was slightly under target for FY 2013, she anticipated exceeding goals for FY 2013 at 91 percent. The second indicator was the continued automation of city records, with staff often exceeding goals having digitized over 85,000 pages of records which provided greater online access to public records, reducing staff time in research, and creating information locally available to all city departments. CURRENT YEAR ACHIEVEMENTS Ms. Andal stated over 1,700 passports were processed, an increase of 30 percent from last year. The department also passed the State's thorough on- site audit with high marks, which included review of passport records, observation of customer handling and testing knowledge of federal passport rules and regulations. In the area of official records, she noted staff responded to over 600 public records requests with 91 percent of those fulfilled within three business days, 800 contracts were also processed that included oversight of citywide insurance compliance and over 650 conflict of interest statements were reviewed and filed, with 92 percent of the filers using the e- filing system. In addition, an extensive review of the City's Conflict of Interest Code was conducted and approved by Council November 2012. Ms. Andal remarked the Clerk's office now accepted credit cards for all departmental business and started converting microfilm into an electronic data management system to allow for automated key word search ability versus catalog surfing. She noted when this project was completed; over 1.5 million pages of records would be archived. In addition, a master citywide records retention schedule was completed and set for council approval this evening, and would result in consistent records management for all departments in compliance with various laws and regulations. An informational brochure outlining details of the conduct of city council meetings and how citizens could participate was now available. Additionally, in keeping with streamlining of the public comments process, speaker cards were implemented and the simultaneous interpretation through the use of headsets was available and successfully used during council meetings. Because of the public's heavy use of mobile devices, Ms. Andal indicated an iPad app was launched that provided council and staff with a paperless agenda option, allowing users to seamlessly review council agendas and supporting documents from any location as well as taking personal notes, highlighting sections, and emailing documents. She noted this function already reduced time and costs associated with the printing of large agenda packets. She added the department continued efforts to make information available and easily accessible through all mediums and with the assistance of the IT team, created and would be launching the City Clerk's Bookshelf by the end of this fiscal year, a mobile friendly device that would post all City Clerk resources on one easy to find page. ELECTIONS For FY 2012, Ms. Andal reported the November general municipal election saw 14 individuals pulling nomination papers, resulting in nine candidates filing for two council member seats. This division also conducted an on -site special secret ballot election for representation of the Property and Evidence Technician, Part-Time Unit, which passed. FY 2013114 HIGHLIGHTS The City Clerk's office would explore making the online municipal code more interactive by linking code sections to actual city ordinances, thereby reducing research hours by allowing users to access both the code and ordinance from one website versus using two completely different systems. An expanded records management program would be offered with training to complement and enhance the program and additionally, staff would work with other departments to develop citywide guidelines, conduct on -site records reviews and implement a program, "Lighten the Load," aimed at streamlining records destruction annually per city's retention schedules. Additional highlights included extensive City Council Minutes of June 18, 2013 Page 18 of 36 community outreach and partnership with the county, city stakeholders, organizations and neighborhoods as the department developed a strategic plan to educate voters, encourage registration, volunteerism and ultimately voter turnout. Translation services on the webpage would be increased to all languages required by the Department of Justice and although the department offered the option to e -file Form 700 and Campaign Statements at no cost to the filer, she noted the FPPC recently approved Regulation 18756 and the Legislature approved AB2452 which now allowed the Clerk to accept a -filed statements and not require a wet signature, if certain criteria were met. With that regulation and assembly bill, the department would explore certifying a system to accept a -filed statements and reduce the cost of staff time as well as the e- filer's time. Council Member Brandman was appreciative of the department's implementation of Spanish translation services, remarking it appeared to be in demand at each meeting with the remaining members of Council providing their support and complements to the department. CITY TREASURER'S OFFICE Hank Stern, City Treasurer, reported there were two divisions in the Treasurer's Office, Cash Management which dealt with banking services, i) investment of funds and debt administration, and ii) collection and deposits for the receipt of all revenues and /or payments made by the city. The budget for FY 2013/14 reflected a total of $3,362,438 with 12 full -time staff and a .5 part- time equivalent. PERFORMANCE INDICATORS Total investment returns, interest income received, and credit rating for the city were the performance indicators measured. Going forward, Mr. Stern stated, interest income estimates had been revised from $4.5 million to $4.9 million for the current year and the department was looking at holding rates at one percent or slightly over for the next year with earnings of $3.6 million for the next fiscal year. That figure, he added, was based on two assumptions; i.e. that the average portfolio would be at least $385 million and rates would continue to stay at historic lows as the Feds tried to stimulate the economy. Any changes would be provided to council as the year progressed. In addition, he noted, the credit rating of AAf by Standard & Poor's indicated the city was reviewed monthly by an independent nationally rated agency and that funds were safely secured in an efficient investment program. CURRENT YEAR ACHIEVEMENTS A chart detailing the investment performance was provided, with a line reflecting what the city had earned and another line that showed the interpolated yield that by definition was matched to the weighted average maturity of the portfolio. To date, he explained, earnings reflected $4.9 million with a market rate earning of $938,561. He added safety was fully maintained, and provided for full liquidity for all expenditures. In the cash management area, he reported the department provided full banking services to the city, performed treasury and accounting services for the Orange County Hazardous Materials Emergency Response Authority, Metro City Fire Authority, and the Supplemental Law Enforcement Services fund. Achievements in that area saw the replacement and upgrading of equipment at a savings of $50,000 through efforts of the Treasury Administrator, and several departments now offered credit card and cash card wedge readers for receipt of their funds and payments, an item on the agenda for council approval this evening. He added the Treasurer's Office also tried to incorporate industry best practices as fraud protection measures to insure no check was altered. City Council Minutes of June 18, 2013 Page 19 of 36 FY 2013114 HIGHLIGHTS Mr. Stern stated the department would continue to provide safety and liquidity in these volatile times, assist with Public Utilities implementation of the CIS project and continue to provide cash management advice and services to all departments. Mayor Tait commented that the market would have returned only $900,000 on Anaheim's investments this year with Mr. Stern responding if investments would continue to be invested at current market rates and balance the portfolio by constantly reinvesting at market levels, it would have run less than $1 million. On a cumulative basis, he emphasized, the Treasurer's Office earned about $33 million over market in the last 5.5 years. CITY COUNCIL Paul Emery, Assistant City Manager, detailed the City Council budget, remarking expenses reflected $950,000 consistent with the appropriation made in the current budget, consisted of four council members and one mayor and two full -time office administration staff and four part- time council assistants, as well as one that served on a contractual basis. CITY ADMINISTRATION Mr. Emery stated the City Administration budget reflected $5.1 million with 20 full -time employees, nine in the City Manager's Office, seven in the Audit Division and four in External Affairs Division. PERFORMANCE INDICATORS These measurements included Anaheim Anytime usage, 311 Call Center activity, timely response to Anaheim Anytime requests and customer satisfaction related to Anaheim Anytime. He noted Anaheim Anytime online usage and the 311 Call Center continued to receive a great deal of use from residents, reflecting a decrease of Anaheim Anytime graffiti complaints due to the new graffiti contractor that was hired last year. The vendor continued to perform well and neighborhoods were seeing a noticeable improvement in response times. CURRENT YEAR ACHIEVMENTS Mr. Emery reported City Council initiatives were implemented, including the Citizen Advisory Committee on Elections and Community Involvement, the development and opening of three new community gardens in the city and a 4 th garden anticipated for central Anaheim. He noted the Volunteer Match website was new, allowing residents to easily search and be matched with volunteer opportunities, the Anaheim Job Fair was scheduled for June 19 the annual Health Fair was scheduled for July and the Charter Review Committee was underway. He announced the Anaheim Magazine won two awards this past year, the Communicator Award for Excellence and an Award of Distinction in Government. Referencing the Audit Division, Mr. Emery remarked over 100 audits were completed, providing revenue streams and ensure compliance. FY 2013114 HIGHLIGHTS Mr. Emory remarked staff was looking forward to the next fiscal year continuing to be proactive and champions of innovation, to lead citywide communication efforts, and to champion citywide initiatives. Additionally, the Audit Division would continue to help businesses and enable them to property report taxes. FINANCE DEPARTMENT City Council Minutes of June 18, 2013 Page 20 of 36 Debbie Moreno, Finance Director provided detail on this department's budget, remarking the vast majority of staff (32.75) worked in the Budget, Accounting and Purchasing functions and was supported by $8 million of the proposed $61 million budget. The remainder of the budget was for citywide Information Services, primarily handled by HP and the service payment on the Resort Improvement Bonds, as well as debt for the city's Community Facilities Districts. PERFORMANCE INDICATORS Ms. Moreno remarked Finance worked collaboratively with both internal and external partners to ensure responsive, value -added services were provided consistent with City Council policy direction. The FY 2013/14 proposed reserves were a percentage of expenditures reflecting 8.2% and consistent with the 7 -10% minimum reserve requirement set by Council. Revenue forecasting accuracy was within the 1 % range and the City's bonded debt to assessed property value was relatively low by comparative standards CURRENT YEAR ACHIEVEMENTS Ms. Moreno reported the Finance department worked in the background each day procuring goods and services and then paying tens of thousands of invoices for those goods and services, making nearly 100,000 payroll disbursements, and maintaining the City's 40 square mile data network on a 24/7 basis. Several budget processes were streamlined and automated to reduce paperwork and promote efficiency, the Employee Self- Service or ESS timesheet was rolled out as a pilot program to several departments, and five new accounting standards issued by the Governmental Accounting Standards Board or GASB were implemented in FY 2012/13. Some of the more visible accomplishments in the Information Services area included installation of intrusion detection software, which monitored access to the network and eliminated known threats before a problem occurred and helped anaheim.net to be operational 99.9% of the time last year. HD video conferencing was installed which allowed departments to communicate in person from remote locations, with Ms. Moreno pointing out library services has been using this solution for their monthly staff meetings from their various locations throughout the city. Additionally, Information Services received the Award for Excellence in IT from the Municipal Information Systems Association of California for the 8 1h consecutive year. In Budget and Accounting, Ms. Moreno explained, the department received a clean -audit opinion with no findings or comments from external auditors for the Comprehensive Annual Financial Report or CAFR for FY 2011/12. They also received the Government Finance Officers Association, or GFOA, Award for Excellence in Financial Reporting for the FY 2011/12 CAFR, the 37 consecutive year achieving this prestigious award. In Purchasing, she noted, the department held the 3 d annual reverse trade show and was able to convert 100% of bids and RFPs to electronic format. Mayor Tait inquired where reserves were located in this budget with Ms. Moreno remarking with this budget and proposed service enhancements, the General Fund reserve level would be about 8.2 percent. Mayor Tait believed the GFOA recommendation was a 16 percent reserve with Ms. Moreno responding while there was an 8 percent reserve in the general fund; it was closer to the 16 percent level because other long -term liabilities, such as self- insurance and compensated absences which had money set aside for those purposes. That $20 million, she explained, could be used in case of catastrophic circumstances emphasizing that most other jurisdictions did not provide funding for those liabilities. Mayor Tait asked if Ms. Moreno was comfortable with 8 percent in general fund reserves; she responded that at this point, she was comfortable funding reserves at that level. City Council Minutes of June 18, 2013 Page 21 of 36 HUMAN RESOURCES Kandice Sherwood, Deputy Human Resources Director remarked the Human Resources operating budget of $80.6 million would fund all programs with a staffing of 37 full -time employees. The department was also responsible for overseeing non - operating expenditures out of two Internal Services funds, the employee benefits fund and the insurance fund. These two funds, she pointed out, accumulated funding from the burden applied to all city funds for personnel costs and from employee paid contributions as the funds were used to pay for all the city's health and welfare programs such as pensions, medical insurance, and workers compensation. The total for the operating and non - operating expenditures reflected $161 million. PERFORMANCE INDICATORS Ms. Sherwood remarked while many indicators were used to gauge performance, two were included in the budget document, the level of volunteer employee turnover and how effective the training and development programs were in improving the organizational performance. CURRENT YEAR ACHIEVEMENTS The current year achievements were as follows: 1) six successor MOU's were successfully negotiated, 2) the department was awarded the Golden Hub of Innovation, 3) introduced an HR E- bulletin, 4) implemented all current mandates under the Affordable Care Act, 5) administered a highly participating wellness program, 6) conducted 125 recruitments, 7) executed PEPRA and multi- tiered pension plans, 8) achieved 99 percent accuracy on 3300 personnel transactions, 9) facilitated strategic planning for the Police Department, specifically for the Chief's Advisory Board and the Family Justice Center; and collaborated with Public Works in their strategic plan, 9) conducted over 725 training and development hours, 10) the disability injury rate was the third lowest in the city's history and 50 percent below comparable cities, and 11) achieved the second lowest workers compensation claims cost per employees of all medium and large cities in the nation. FY 2013/14 HIGHLIGHTS For the next year, Ms. Sherwood remarked, the department planned to promote a quality workforce by enhancing selection testing methods, conducting a citywide management meeting, employee recognition event, and collaborating with the Fire Department to develop a fire leadership academy. Staff would also continue to provide customized training in high demand areas across the city and would conduct a classification /compensation study of multiple classifications and develop additional feedback tools to enhance services. Additionally, she reported, strategies were being implemented to meet cost demand and health care reform mandates to improve health claims experience and secure competitive insurance rates. In addition, staff would be negotiating agreements with IBEW and AMEA as well as conducting an evaluation of post - employment benefits and OPEB evaluation and would be increasing technology to streamline work to become more efficient. PUBLIC COMMENTS ON FISCAL YEAR 2013114 BUDGET: Mayor Tait opened the public hearing for comments. Cecil Jordan Corcoran discussed the federal budget along with his personal budget challenges and the status of his bible outline. Theresa spoke of the needs of some members of her community. She asked for the city's assistance in addressing some of their concerns. Mayor Tait asked the city manager to review City Council Minutes of June 18, 2013 Page 22 of 36 how services were made available to the public, possibly making information on the city's website user - friendly and more understandable for those seeking assistance. Brian Chuchua thanked staff for an informative budget presentation, expressing appreciation of their efforts at addressing community needs. William Fitzgerald, Anaheim Home, found little to support in the proposed budget and much to oppose. He suggested an admissions tax for Disneyland tickets to bring in revenues to the city in place of other alternatives. The Fiscal Year 2012114 Budget Public Hearing was continued to Item No. 24 on the agenda. ADDITIONS /DELETIONS TO CLOSED SESSION: None PUBLIC COMMENTS ON CLOSED SESSION ITEMS: None At 4:41 P.M., Mayor Tait recess to closed session for the following items. CLOSED SESSION (REGULAR MEETING): 1. CONFERENCE WITH LABOR NEGOTIATIORS /PUBLIC EMPLOYMENT (Government Code Section 54957.6) Designated Representative: Ralph Andersen & Associates Position: City Attorney 2. PUBLIC EMPLOYEE APPOINTMENT (Subdivision (b)(1) of Section 54957 of the California Government Code) Title: City Attorney At 5:30 P.M., council returned from closed session for the remainder of the agenda. INVOCATION: Mayor Pro Tern Eastman FLAG SALUTE: Council Member Kris Murray ADDITIONS /DELETIONS TO THE AGENDA The City Clerk remarked a declaration to be presented at a later date would be added to the agenda, recognizing the Orange County Water District on their 80 Anniversary. Staff also requested the second resolution regarding Item No. 24 -J, a new schedule of fees, charges and rates for building, construction, planning technology system, and NPDES permits, services and activities be continued to July 23. Council Member Murray requested Item 24 -H, a resolution regarding revising fees for services rendered by the Anaheim Fire Department be removed at this time. With the consent of Council, the declaration of recognition was added to the agenda, the stated resolution re: Item 24 -J was continued to the July 23 meeting and Item 24 -H was removed from the agenda. PUBLIC COMMENTS (all items, except public hearing): James Robert Reade discussed his personal interactions with gang members near Little People's Park and Lemon Street and his use of an iPad to document activities. City Council Minutes of June 18, 2013 Page 23 of 36 William Fitzgerald, Anaheim Home, voiced his opinion on a number of subjects and individuals alleging improprieties and other irregularities. As a point of personal privilege, Mayor Pro Tern Eastman addressed Mr. Fitzgerald's remarks regarding Disney gifts. Council Member Kring also responded to Mr. Fitzgerald's uncivil comments, stating she had never been a puppet for Disney and received no gifts. Cecil Jordan Corcoran, Outreach Homeless Ministries, discussed his calling to serve the ministry. Brian Chuchua stated he felt the Citizens Advisory Committee on Elections were scolded for not requesting certain information, remarking the process was flawed and council took advantage of that committee. Council Member Murray responded an open dialogue on the data allowed for questions as to how the recommendations were achieved which resulted in additional feedback from the communities which helped council to form the recommendation that was approved. Treisa Lellery discussed the needs of her neighbors related to clothing, school supplies and increased utility bills, suggesting the city direct its revenue towards bigger issues to help those in need rather than parks and other proposed investments. William Hackbarth, resident, complained that the Anaheim Police Department helicopters had increased their presence in his community in the early morning hours, stating he felt this was an overuse of helicopters and was causing sleep deprivation on a regular basis. Mayor Tait suggested Mr. Hackbarth speak to the Interim Chief of Police regarding his concerns. Ryda, Orange County Refugee Forum, thanked council for supporting World Refugee Day, and highlighting the speakers and participants during this celebration of refugee accomplishments. Theresa Smith inquired who was following up with the police oversight committee, with Mayor Tait remarking that subject would be addressed later in the evening. Joanne Sosa objected to the $6.4 million earmarked for tennis court rehabilitation urging the council to consider much needed renovations to Little People's Park. German Santos objected to a visit from Anaheim Internal Affairs Division, stating they had been provided with no background on his personal situation and were inappropriately used in this situation. CONSENT CALENDAR: Mayor Tait declared a potential conflict on Item Nos. 10 and 12 as his firm had worked for the Orange County Water District and the County of Orange. He also pulled Item No. 14 for further discussion. Mr. Houston, Interim City Attorney, for the record declared a conflict on Item No. 13, an amendment to the contract with Cummins & White where he was a partner. Mayor Pro Tern waved reading in full of all ordinances and resolutions and to adopt the balance of the consent calendar as presented in accordance with reports, certifications and recommendations furnished each city council member and as listed on the consent calendar, seconded Council Member Kring. Roll Call Vote: Ayes — 5: (Mayor Tait and Council Members: Brandman, Eastman, Kring and Murray). Noes — 0. Motion Carried. 8105 1. Receive and file the Budget, Investment and Technology Commission recommendation dated June 12, 2013. City Council Minutes of June 18, 2013 Page 24 of 36 D117 2. Approve the Investment Portfolio Report for May 2013. 3. Waive the sealed bid requirement of Council Policy 4.0 and authorize the Purchasing Agent to issue a purchase order to System Innovators, in the amount of $63,972 (plus D180 tax), for a cash management system for the Community Services Department, Library Division, and authorize the Purchasing Agent to execute all licensing and other documents necessary to implement the system. D180 4. Authorize the Purchasing Agent to issue purchase orders, in an amount not to exceed $4,321,760 (plus applicable taxes), for fleet vehicle purchases for fiscal year 2013/14. 5. Accept the bid of Doubletree Systems, Inc., in the amount of $874,600.00 (plus tax), and AGR -7687 approve and authorize the Purchasing Agent to execute the Agreement and all related documents necessary to supply a substation transformer for the Public Utilities Department, all in accordance with Bid # 7894. 6. Award the contract to the lowest responsible bidder, Hillcrest Contracting, Inc., in the AGR -7688 amount of $1,036,983.70, for Option A of the Euclid Widening from Westmont Drive to Crescent Avenue, reject all bids for Option B, and authorize the Finance Director to execute the Escrow Agreement pertaining to contract retentions. 7. Approve the Acquisition and Funding Agreement with Platinum Gateway Development Company, LP, in the acquisition payment amount of $919,755, for properties located at AGR- 5230.A.1 905 -917 East Katella Avenue for a public road and public utility easement for the for the Katella Avenue Improvement 1A project (State College Boulevard to Lewis Street) (R/W ACQ2011- 00407). 8. Approve an agreement with Eric W. Gruver, Ph.D., in an amount not to exceed $100,000, for professional psychological evaluations for final candidates for employment AGR -7689 in various positions in the Police and Fire Departments, as well as other psychological services as requested. 9. Approve an agreement with Savanna Elementary School District to continue providing AGR- 5576.E Park Ranger patrols of school facilities. 10. Approve a Lease Agreement with Orange County Water District (OCWD) that grants the OCWD the right to enter a portion of property owned by the City at the Anaheim Regional Transportation Intermodal Center to install, construct, reconstruct, redevelop, inspect, operate, maintain, and improve a new injection well and authorize the City AGR -7690 Manager to execute any related documents and take the necessary actions to implement and administer the agreement. Mayor Tait abstained on this item reflecting a potential conflict of interest. Roll Cal/ Vote: 4 -0 -1 (Mayor Tait recorded a conflict; Ayes: Council Members Eastman, Murray, Brandman and Kring; Abstain: Mayor Tait) Motion to approve carried. 11. Approve a Joint Participation Agreement with the City of Buena Park, in a project share AGR -7691 amount not to exceed $30,000, for the La Palma Avenue Rehabilitation Project (Beach Boulevard to the East City Limit). City Council Minutes of June 18, 2013 Page 25 of 36 12. Approve the Notice of Intent with the County of Orange for animal care and shelter AGR- 458.E.0.5 services for the period of July 1, 2013 through June 30, 2014. Mayor Tait abstained on this item reflecting a potential conflict of interest. Roll Call Vote: 4 -0 -1 (Mayor Tait recorded a conflict, Ayes: Council Members Eastman, Murray, Brandman and Kring; Abstain: Mayor Tait) Motion to approve carried. 13. Approve the Second Amendment to Agreement with Cummins & White for Interim City AGR - 7483.2 Attorney Services. Interim City Attorney Michael Houston disclosed for the record that he was a partner in the firm of Cummins & White. 15. RESOLUTION NO. 2013 -085 A RESOLUTION OF THE CITY COUNCIL OF P124 THE CITY OF ANAHEIM accepting certain deeds conveying to the City of Anaheim certain real properties or interests therein (City Deed No. 11562). Authorize the Mayor to execute the Quitclaim Deed with the Orange County Sanitation District and authorize the City Clerk to cause said Deed to be recorded in the Office of the County Recorder. 16. RESOLUTION NO. 2013 -086 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM concerning the status of the Circulation Element of the General R100 Plan for the City of Anaheim. 17. RESOLUTION NO. 2013 -087 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting a Memorandum of Understanding establishing terms D154.5 and conditions of employment for employees in classifications represented by the International Brotherhood of Electrical Workers, Local 47. 18. RESOLUTION NO. 2013 -088 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting a Memorandum of Understanding establishing terms and conditions of employment for employees in classifications assigned to the Part Time D154.5 Customer Service Employees represented by the International Brotherhood Electrical Workers, Local 47. 19. RESOLUTION NO. 2013 -089 A RESOLUTION OF THE CITY COUNCIL OF R100 THE CITY OF ANAHEIM approving the Citywide and Department Records Retention Schedule. 20. ORDINANCE NO. 6278 (ADOPTION) AN ORDINANCE OF THE CITY OF ANAHEIM amending the zoning map referred to in Title 18 of the Anaheim Municipal Code relating to zoning (Reclassification No. 2013- 00252) (DEV2013- 00143) (2726 c2so West Lincoln Avenue; Rezone to RM- 4- Multiple Family Residential; Introduced at Council meeting of June 11, 2013, Item No. 12). D114 21. Approve minutes of the Council meetings of May 14, 2013. City Council Minutes of June 18, 2013 Page 26 of 36 END OF CONSENT CALENDAR: 14. Approve the First Amendment to Agreement with Michael Gennaco, Stephen Connolly, Cynthia Hernandez, Diana Teran and Erica Briodo (OIR Group), increasing the not -to- AGR 5192.A.1 exceed contract amount to $85,000 and extending the scope of attorney services. Mayor Tait remarked this item related to the contract with the Office of Independent Review and he would support approval. Addressing the subject of a police oversight committee, he encouraged the city to move forward with a recommendation. Interim City Manager, Marcie Edwards remarked one of the items staff had been waiting for was a report from the OIR that would contain recommendations that would ultimately be released publicly; the report was expected to be produced a month to six weeks from now. Mayor Tait moved to approve Item No. 15, seconded by Council Member Murray. Roll Call Vote: Ayes — 5: (Mayor Tait and Council Members: Brandman, Eastman, Kring and Murray.) Noes — 0. Motion Carried. 8105 22. Appoint a member to the Charter Review Committee and provide general direction to staff on the goals /topics. Paul Emery, Assistant City Manager, reported a resolution had been adopted in May, 2013 to establish the charter review committee as well as identify a means by which committee members were appointed. The process was for each member of the council to make one appointment, and the committee in turn would select the last two members to the committee. Mr. Emery remarked council would also have an opportunity to provide specific areas of concern or emphasis for the charter review assessment. Council then made the following appointments: Mayor Tait Appointment: Appointment: Tom Dunn Mayor Pro Tern Eastman Appointment: Appointment: Keith Olesen Council Member Murray Appointment: Appointment: Craig Farrow Council Member Brandman Appointment: Appointment: Curt Pringle Council Member Kring Appointment: Appointment: Amanda Edinger Council Member Brandman provided direction on the goals /topics he had in mind for the Charter Review Committee: 1) review the general governance in addition to the line -by- review of the charter, specifically Council administration responsibilities; 2) review term limits; 3) review and standardize Boards and Commission membership and goals. Council Member Brandman City Council Minutes of June 18, 2013 Page 27 of 36 further requested the matter of districts remain with the City Council with Council Member Kring stating she wished for districts to remain a topic of possible discussion of the charter review committee. Because this review was so important to how the city was governed, Mayor Tait requested the initial resolution return to Council for amendment to designate the Charter Review Committee as 700 filers. Mr. Houston added that Council Member Brandman's request to limit the Charter Review Committee's jurisdiction on districts required an amendment to the initial resolution. 8105 23. Consider appointments /re- appointments to city Boards and Commissions where those terms expire June 30, 2013. All scheduled vacancies will be for a term of four years, expiring June 30, 2017, except the Sister City Commission appointments where terms are for three years, ending June 30, 2016. Mayor Pro Tern Eastman moved to reappoint all eligible incumbents who expressed an interest in a second term, seconded by Council Member Brandman. Roll Call Vote: Ayes — 5: (Mayor Tait and Council Members Brandman, Eastman, Kring and Murray.) Noes — 0. Motion Carried. Mayor Pro Tern Eastman inquired if vacancies on the boards and commissions could be continued to the following meeting indicating that end of year business including budget workshops and hearings was was difficult to find time to evaluate applications. The City Clerk responded the vacancies could be continued to the next meeting with the incumbents remaining in those positions until an appointment had been made. Budget, investment and Technology Commission: Appointment: (vacancy of Kevin Baker) [Re] Appointment: Helen Garner (Incumbent, Helen Garner) Appointment: (vacancy of Ajay Khetani) Community Center Authority: Appointment: (vacancy of Diane Quezada - Singer) Community Services Board: [Re] Appointment: Robert Baeza (incumbent, Robert Baeza) [Re] Appointment: Kandee Beas (Incumbent, Kandee Beas) Cultural and Heritage Commission: Appointment: (vacancy of Erin Benedict) Appointment: (vacancy of Alone Larsen) City Council Minutes of June 18, 2013 Page 28 of 36 Housing and Community Development Commission: Appointment: (Central District; vacancy of Steve Rosco) Appointment: (At- Large; vacancy of Donald Yvaska) Library Board: [Re] Appointment: Stadn Oftelie (Incumbent, Stan Oftelie) Appointment: (vacancy of Lana Petrullo) Park and Recreation Commission: Appointment: (vacancy of Richard Crawford) Appointment: (vacancy of Dhiru (Dave) Vadodaria) Planning Commission: [Re]Appointment: Paul Bostwick (Incumbent, Paul Bostwick) Appointment: (vacancy of Stephen Faessel) Public Utilities Board: Appointment: (vacancy of Pat Carroll) [Re]Appointment: John Machiaverna (Incumbent, John Machiaverna) Appointment: (vacancy of Charles Peltzer) Sister City Commission: Appointment: (term ending June 30, 2016) (vacancy of Cynthia Coad) [Re] Appointment: James Dinwiddie, II (term ending June 30, 2016) (Incumbent, James Dinwiddie, II) [Re] Appointment: Ann Gallugher (term ending June 30, 2016) (Incumbent, Ann Gallugher) [Re] Appointment: Laurie Leonard (term ending June 30, 2016) (Incumbent, Laurie Leonard) [Re] Appointment: John D. Nguyen (term ending June 30, 2016) (Incumbent, John D. Nguyen) City Council Minutes of June 18, 2013 Page 29 of 36 PUBLIC HEARING: D106 24. Continued public hearing on the fiscal year 2013/14 budget, budget appropriations limits for the City and its Community Facilities Districts, and changes in various fee schedules. The City Clerk announced for the record, regarding Resolution L referencing waste and sanitation fees, 123,952 notices were mailed out, 36 written protests were received and did not constitute a majority, therefore Council was permitted to act on this resolution. Finance Director Debbie Moreno recapped the city's proposed budget, stating the $1.6 billion budget, comprised of a number of sources of funding; some that could be used for any purpose such as local taxes and others such as utility fees and state and federal grants which could only be used for specific purposes and were classified as restricted. Over 70 percent of the city's budget or $1.1 billion was considered restricted while $454 million or less than 30 percent was unrestricted. The Enterprise Funds made up the largest component of the budget at $661 million or 43 percent and included the water and electric utilities, solid waste and sanitation, golf courses and the conventions, sports and entertainment venues (Anaheim Convention Center, Angel Stadium of Anaheim, and the City National Grove). The proposed budget for the Enterprise Funds was the same as FY 12/13 adopted budget. The General Fund was the next largest component of the total budget and included the vast majority of discretionary funds. The base proposed budget for the general fund was $242 million or 16 percent of the overall budget. internal Service Funds of $197.5 million represented centralized services to the different funds and departments of the city and included employee benefits and insurances, fleet and facility maintenance and replacement, and information and community services. The proposed budget was an increase of about 5 percent largely due to the increasing retirement and health care costs. She emphasized internal Services were duplicates of expenses already included in the other funds referred to as the doubling effect of Internal Services Funds. Special Revenue Funds of $184.5 million were primarily funded by other governmental agencies for restricted programs such as the Housing Authority, Community Development Block Grant, Gas Tax and Roads and Workforce Development. The proposed budget was a decrease of 7.2 percent from the adopted 12/13 budget due to the completion of the Gene Autry Way project. The capital project funds of $172.5 million were primarily funded by other governmental agencies for restricted such as ARTIC. This budget is an increase of 60 percent from the adopted 12/13 budget due to the timing of the expenditures for ARTIC. The rest of the funds, fiduciary, debt service and other general purpose funds represent six percent of the total budget. In the general fund, positive revenues led to a surplus of $4.8 million for the proposed FY 13/14. Keeping in mind the impact of cost increases on the longer horizon, staff was able to recommend on -going service enhancements of $3.4 million. In addition, it was recommended the utilization of the remaining surplus of $1.4 million plus $3.9 million from the current year for a total of one time purchases or projects totaling $5.3 million. She advised the Executive team prioritized a list of service enhancements that would provide the greatest benefit to the community. Staff recommended: enhancements for the police department of $2.9 million on an on -going basis to fund 13 sworn personnel; ongoing enhancements for the Fire Department of $245,000 to adjust staffing levels and return one engine company to service; $180,000 was recommended to the city attorney's office to fund an additional prosecutor at the OC Family City Council Minutes of June 18, 2013 Page 30 of 36 Justice Center; one time service enhancements in the area of public safety included $1.5 million for the Fire Department to fund training for newly hired firefighters, signal preemption at critical intersections and the purchase of a new fire engine and related equipment. Further recommendations included approval of $380,000 for the Police Department for the GRIP, improvement of the computer forensics lab and a replacement voice logger for dispatch, and $45,000 for Human Resources to support its standard recruitments for public safety. One time service enhancements of neighborhood improvements included $1.4 million in community services for mobile recreation program, additional hours at library and community centers, installing air conditioning at the West Anaheim Youth Center Gymnasium, a pilot homeless prevention program, and other community improvements. Just over $1 million was proposed for Public Works for park and community center improvements including refurbishment of Pearson Park Pool, bleacher repairs at La Palma Park, and replacement of the aging flooring at Brookhurst Community Center. Also, in conjunction with developer funded projects at Sage, Modjeska, and Chaparral Parks, staff proposed repairing and rehabilitating other areas such as parking lots, gazebos, and drinking fountains for more complete park rehabilitation. Also included are curb, gutter, sidewalk repairs and traffic calming. In the Planning Department $500,000 was proposed for graffiti abatement education and a residential home improvement holiday. Finally an additional $30,000 in administration would expand the Military Banner and Hi Neighbor Program. Other one -time recommendations included $250,000 in the City Clerk's Office for possible special election costs and $225,000 in the City Attorney's Office for outside legal expenses. In addition, the annual appropriation limits for FY 2013/14 for the city and each of the five community facilities districts was before Council for approval. Ms. Moreno reported the expenditures in the proposed budget continued to be substantially below the expenditure limits established by the state constitution. In the area of fees and charges, the City Clerk's Office proposed small increases of copy charges and changes in fee schedules to provide greater consistency for electronic documents. Increased rates for exhibit hall rentals, parking, personnel, technical services and facility equipment were proposed by the Convention, Sports & Entertainment Department. The rate adjustments were part of an effort to develop fair and equitable charges consistent with other comparable facilities. The Community Services Department proposed increases for green fees at Dan Miller and Anaheim Hills golf courses with a decrease in senior rates at Anaheim Hills on Fridays. Recreation was proposing two increases for costs associated with the Oaks Summer Day Camp and Camp Venture, a 10 percent military veteran discount and a change in the ways fees were collected for the adult soccer program. Finally, the library division proposed a new fee structure for facility rentals at Founder's Park. The Fire Department proposed fees were continued to the meeting of July 23r the Planning Department proposed increases for business licenses and processing fees and increases to inspection and plan check fees, were continued to July 23r and finally Public Works is increasing fees in impact fees in solid waste and collection and disposal and wastewater and storm drain maintenance programs primarily to cover contractual increases. Mayor Tait opened the public hearing for comment. Kerry Condon, Anaheim Police Association, thanked council for the additional police officers in the proposed budget and making police and public safety a priority. He provided statistics on gang activities, remarking there were 47 gangs in the city, 30 gang homicides occurred over the last six years with 700 gang - related aggravated assaults, over 16,000 gang- related calls for City Council Minutes of June 18, 2013 Page 31 of 36 police services and the second most violent city in Orange County. Given the on -going crisis of crime and violence from gangs and parolees, he requested an additional 10 officers be hired, with five permanently assigned to the gang detail in an effort to fight back against crime and violence. William Fitzgerald, Anaheim Home, objected to funding for the Anaheim Tennis Center and addressed the need for more officers. Council Member Kring, as a point of personal privilege, responded to Mr. Fitzgerald's comments about her Wine Bar that had opened in July of 2008 in GardenWalk and because of the economy, closed in 2011, a business venture completely funded by Council Member Kring and her husband. Brian Chuchua opposed a $6.4 million upgrade of the tennis center, citing the need for more police officers and asking a number of questions related to the tennis center. Joanne Sosa remarked the city had so much money to spend and it fell short of needs the community, opposing the tennis center renovation and other expenditures. An unidentified speaker felt council did not care for the community and its children and did provide answers to questions asked. She spoke to the disenfranchisement her community suffered and the challenges for low income families. An unidentified speaker addressed the recommendations developed by the Citizen Advisory Committee on Elections, remarking they had spent time and effort in coming up with a final recommendation to council, and it had not been accepted. She objected to wasting the taxpayer's money on a process that was ultimately rejected. An unidentified individual speaking to the 36 protest letters received out of 100,000 possible responses regarding waste and sanitation fee increases, believed they warranted a verbalized response as to why the fees were opposed. With no other comments offered, Mayor Tait closed the hearing. Linda Andal, City Clerk, remarked for council to be prohibited from acting on fees, a majority of voters (close to 62,000) out of the 100,000+ mailings would have had to respond. Mr. Houston addressing Council Member Brandman's request for details on the supplemental budget request of $182,000 to fund one deputy city attorney, remarked the attorney would be added to the Orange County Family Justice Center, to provide staffing that had been reduced in past years due to budgetary constraints and was needed to support city policies involving reducing drug, gang, and hazardous health and safety problems and issues. Council Member Brandman confirmed that during the process of asking for supplemental funding, this was a cross - departmental support for this program to the extent that others offered to cut their budgets in order to fund this program. Mayor Pro Tern Eastman remarked the Family Justice Center primarily addressed low income families and the services offered were free; she was strongly supporting of this request and viewed this as one of the methods council supported the underserved communities. Council Member Murray offered her perspective on the budget, how the impacts of the recession impacted city reserves and through prudent spending and innovative solutions from City Council Minutes of June 18, 2013 Page 32 of 36 departments, a less robust level of service was maintained to finally being able to restore some of those services this coming fiscal year. She felt it would be helpful to make available the powerpoint presentation for Community Services Department on line to highlight those investments citywide reaching areas that were struggling the most. She also emphasized the need for a mid -year budget review should revenues exceed expectations and use it as an opportunity for further investment. She addressed the Platinum Triangle parks, Ponderosa, Juarez, and Boysen, emphasizing park fees resulted from development in the Triangle could only be used for those parks or to purchase new land in the Triangle and it was her focus to invest in those assets and programs as planned when additional funding was received. Council Member Murray requested Director Terry Lowe repeat his budget presentation for the community to hear and recognize those investments being made to the communities of Anaheim. Terry Lowe, Community Services Director, repeated his previous budget presentation (refer to Department Budget Presentations, Community Services for presentation). The following are additional comments during Mr. Lowe's second presentation. Council Member Murray requested Mr. Lowe reiterate an earlier comment that funding could be reprogrammed for Ponderosa Park to make sure that the construction and design funding were consolidated in the same fiscal year, with Mr. Lowe responding there was adequate funding from Platinum Triangle development fees to begin that process in July and council could expect to have a contract for the design for the master plan and construction drawings. He added the environmental clearance would be part of that process with construction to take place in the summer of 2015 and a year to build. Council Member Murray requested details on Boysen Park and the Tennis Center, specifically what it offered to the community. Mr. Lowe remarked that $3 million was contractually obligated for renovations to the historic Wagner house, new sidewalks, resurfacing of courts which were open to the community. Landscaping, hardscaping and lighting would also be completed, in addition to environmental studies due to the close proximity to homes. The home itself, he remarked needed extensive renovations and the locker rooms and public restrooms would be removed from the structure, and placed outside the facility. He added that the department was actively looking for additional land and expected $5.2 million in fees to add to the current funding level. As far as the $6.4 million figure identified, those dollars, he explained, had been determined 2.5 years ago and was to enhance the facility to increase its revenue potential. That project had been unanimously approved by a former City Council with significant input process from focus groups representing the sports community as well as the historic community that was concerned about the disposition of the Wagner home. He noted the direction given was to fully develop this facility to allow for more permanent seating to host larger tournaments as well as developing a special event area for weddings and other events. He added additional parking would go along with that expansion to make sure neighborhoods were not impacted. He further pointed out that this was the second step in a longer -term complete renovation of the entire park. Discussion on plans for the future ensued, i.e. Juarez Park, Mira Loma Park, and Family Resource Center, with Mr. Lowe remarking the department had been planning since 2006/07 identifying resources and determining the needs of neighborhoods citywide. He added the department's intention was to provide to council a total build -out plan of the Platinum Triangle pointing out it seemed prudent not to go forward until there was a clear idea about what revenues would be before planning expenditures. He added the mid -year budget review was an appropriate time to consider future plans. Discussion continued on the operation of the tennis center and its value to the community with Ms. Murray requesting the demographics of that City Council Minutes of June 18, 2013 Page 33 of 36 community, the pattern of usage, and programs available, all to be placed on the city's website to ensure there was no confusion about this asset and its contribution to the community. Council Member Eastman stated she had on -going inquiries regarding Little People's Park and the need for renovation. Mr. Lowe responded that would be a relatively easy project, and staff had met with community representatives and believed their requests could be accommodated. He added a community center had also been requested for that site, but he would not recommend it because the lot size could not accommodate it, adding that the community was understanding when the rationale was explained. He noted that funding would come from general park development revenues, separate from the Platinum Triangle funding. Council Member Kring recommended the church in the Iglesias neighborhood could be used as a community center as church members were reaching out to the community. Mayor Tait did not support the tennis center and park improvements as fulfilling the vision of park mitigation for the Platinum Triangle, and preferred the funds be used for the purchase of open land and these revenues held until land could be purchased. Mayor Tait queried why this project was being considered at this time with Mr. Lowe responding, developer monies were required to be spent within five years of receiving it, and if funds were appropriated for a project, it stopped the clock from ticking. Mayor Tait inquired whether the removal of this project needed council approval to stay in the budget, with Mr. Lowe replying it had not been highlighted in his presentation at this time, although there was a contractual obligation for the first $3 million to restore the Wagner house and basic infrastructure for the tennis operator. City Manager Marcie Edwards remarked that this specific item had been removed from the budget for the upcoming year as she wanted to schedule a workshop on Platinum Triangle revenues to answer questions incrementally as opposed to the middle of the budget year. With that said, no further action on this item was offered. Council Member Murray remarked as the workshop was prepared, she would like to see a review of the extensive community outreach done before this contract was entered into and the new operator put in place before council considered removing projects that had been planned for some time. She also asked for an assessment of this project, its total value, as well as a discussion with nonprofits about whether funding generated at parks to offset costs to low income children in the neighborhoods was a good use of funding. She felt all residents, especially those with limited economic options, should have access to the breadth of services the city provided. Council Member Murray moved to approve the fiscal year 2013/14 budget, budget appropriations limits for the City and its Community Facilities Districts, changes in various fee schedules and to re- allocate funding from the Home Improvement Holiday to the Fire Department's budget, in the amount of, $300,000 to send six (6) firefighters to paramedic training. Item No. 24 -H was removed from the agenda and Item No. 24 -J (2nd resolution) continued to July 23, 2013. Mayor Pro Tern Eastman seconded that motion. Roll Call Vote: Ayes — 5: (Mayor Tait and Council Members: Brandman, Eastman, Kring and Murray.) Noes — 0. Motion Carried by adoption of the following 18 resolutions A. RESOLUTION NO. 2013 -090 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting the fiscal year 2013/14 budget; and City Council Minutes of June 18, 2013 Page 34 of 36 B. RESOLUTION NO. 2013 -091 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting the annual appropriations limit for the fiscal year 2013/14, and RESOLUTION NO. 2013 -092 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting the Community Facilities District No. 1989 -1 (Sycamore Canyon) annual appropriations limit for the fiscal year 2013/14, and RESOLUTION NO. 2013 -093 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting the Community Facilities District No. 1989 -2 (The Highlands) annual appropriations limit for the fiscal year 2013/14, and RESOLUTION NO. 2013 -094 A RESOLUTION OF THE CITY COUNCIL OF THE CITY ANAHEIM adopting the Community Facilities District No. 1989 -3 (The Summit) annual appropriations limit for the fiscal year 2013/14, and RESOLUTION NO. 2013 -095 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting the Community Facilities District No. 06 -2 (Stadium Lofts) annual appropriations limit for the fiscal year 2013/14, and RESOLUTION NO. 2013 -096 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting the Community Facilities District No. 08 -1 (Platinum Triangle) annual appropriations limit for the fiscal year 2013/14, and C. RESOLUTION NO. 2013 -097 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending the schedule of rates, fees and charges for rental of space, parking and for certain labor, equipment and services at the Anaheim Convention Center, and D. RESOLUTION NO. 2013 -098 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM establishing fees to be charged for Community Services Department programs and services commencing on September 1, 2013, and E. RESOLUTION NO. 2013 -099 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM establishing fees to be charged for rental fees for Founders' Park, and F. RESOLUTION NO. 2013 -100 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending the green fees and cart rental fees to be charged at the Dad Miller Golf Course and the Anaheim Hills Golf Course, and G. RESOLUTION NO. 2013 -101 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM revising fees for services rendered by the City Clerk's Department, and H. RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM revising fees for services rendered by the Anaheim Fire Department and establishing the effective date of fees and rescinding Resolution 2012 -088. Item 23 -H was removed from the agenda. No action taken. RESOLUTION NO. 2013 -102 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM relating to fees and penalties in connection with implementing the Unified Hazardous Waste and Hazardous Material Management Regulatory Program Act and rescinding Resolution 2012 -089, and City Council Minutes of June 18, 2013 Page 35 of 36 J. RESOLUTION NO. 2013 -103 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting certain fees in connection with processing business license applications under Title 3 of the Anaheim Municipal Code, and RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting a new schedule of fees, charges and rates for building, construction, planning technology system, and National Pollutant Discharge Elimination System (NPDES) permits, services and activities, and K. RESOLUTION NO. 2013 -104 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending the fee schedule for the Public Works Department of the City of Anaheim, and L. RESOLUTION NO. 2013 -105 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting a revised schedule of sanitation fees and charges for wastewater and solid waste and rescinding Resolution No. 2012 -078. Report on Closed Session Actions: Interim City Manager Marcie Edwards reported the City Council selected Michael Houston to fill the position of City Attorney subject to the parties reaching an agreement on the terms of the employment contract (Approved Vote: 5 -0) Council Communications: Council Member Brandman reported he attended the scholarship dinner presented by the Anaheim Police Officers Honorary Association, with 20 students receiving a scholarship for continuing education and highlighted the upcoming Health Fair on June 30 at Magnolia High School. Council Member Murray spoke about the upcoming OC Job Fair /Expo on June 19 and announced four concerts to be held at Ronald Reagan Park beginning July 18 She congratulated Mark Cyprien on his promotion to Captain and highlighted several neighborhood improvement projects in the Virginia, Marita, La Perla and Greenleaf neighborhoods. She further spoke of World of Refugee Day on June 22 "d , encouraging the community to attend and supported Council Member Brandman's request earlier to partner with Access California to create a community center available to families and refugees. In addition, she requested staff post all budget information on the city's website. Council Member Kring spoke of her attendance at the Iglesias Church community event whose mission was to provide food and clothing to those in need. She announced the scheduled 4 th of July Parade with a myriad of events planned throughout the day. Mayor Pro Tem Eastman shared her husband had knee surgery and therefore her late arrival to the budget hearings, adding that she had met with staff members prior to the hearing and had a good understanding of the budget. She announced the upcoming Health Fair on June 30 tH volunteer work scheduled on June 22 nd for the Wigwam Garden on June 22, and requested Proposal 1 return to Council on July 2 for another discussion and possibly placement on the ballot. Mayor Pro Tern Eastman felt there had not been enough time to consider all the options and wanted to make sure the city was positioned correctly with the judge regarding the lawsuit and a possible continuance. Discussion was then held regarding possible options, with Mayor City Council Minutes of June 18, 2013 Page 36 of 36 Pro Tern Eastman requesting Proposal 1 of the Citizens Advisory Committee Final Report be placed on the July 2 nd agenda for further discussion. Mayor Tait reported his upcoming attendance at a meeting with mayors from the ten largest cities in the state to discuss priorities for upcoming fiscal year. He indicated he would attend the US Conference of Mayors to find out best practices and ideas that other cities were doing to improve their cities and shared the highlights of his attendance at the Benito Juarez Elementary School graduation ceremony. Adjournment: At 8:35 P.M., with no further business to conduct, the council meeting of June 18, 2013 was adjourned. P pe ully sub mitted, Aj"Otp Andal, CMC City Clerk