HomeMy WebLinkAbout07-21-2004 City Council MinutesMINUTES
SARATOGA CITY COUNCIL
JiJLY 21, 2004
The City Council of the City of Saratoga held a Joint Session with the Saratoga Chamber
of Commerce in the Administrative Conference Room, 13777 Fruitvale Avenue, at 5:30
p.m.
The following members of the Chamber Board were present: President Glynis
Wineinger, Vice President Gordon Duncan, Treasurer Monica Bailey, Secretary Jim
Huber, and Executive Director Kristen Davis.
President Wineinger noted that the Chamber was present this evening to continue to
enhance their relationship with the City. President Wineinger noted that a
CounciUChamber AdHoc Committee has been working together for the past year to
enhance communications and develop better teamwork. President Wineinger requested
that continued efforts be focused on the following:
• Revitalization of the Business District in the City of Saratoga
o Amend the sign ordinance
o Amend the hours of operations
• Business Directory -need funds to distribute the directory to every resident
A discussion took place in regards to the $5,000 the City did not provide the Chamber
this year for distribution of the Chamber Directory.
Vice Mayor King pointed out that the City had to make many cuts during the past two
years and fully funding the Chamber would not have been appropriate. Also, Vice Mayor
King pointed out that it would have been hard to fund the directory when only Chamber
members were listed in it.
Executive Director Davis noted that the business community requested that the Directory
be mailed to every resident. Executive Director Davis stated that the directory is valuable
to the City because several pages are dedicated for community information at no charge
to the City. Executive Director Davis stated that the directory is not just an advertising
tool.
A Discussion took place in regards to the recent Montalvo Shuttle Program.
Councilmember Kline introduced the Village AdHoc's Draft Village Development Plan.
Councilmember Kline explained the goals and objectives, the overview of the
Development Plan, Village promotion, Village design & enhancements, and Village
economic restructuring. Councilmember Kline pointed out that the Development Plan
would only work if the City formed a Redevelopment Agency.
Councilmember Kline noted that the Development Plan would start out in the Village and
over time spread to all if the other business districts in the City.
President Wineinger pointed out that some businesses were leaving the Gateway due to
design issues with the Master Plan. President Wineinger suggested that the City seek out
businesses that would increase sales tax revenue.
Councilmember Kline noted responded that staff was working on all areas of Saratoga to
bring in new businesses.
Mayor Waltonsmith thanked the Chamber for attending tonight's Joint Session.
The City Council met in Closed Session in the Administrative Conference Room, 13777
Fruitvale Avenue, at 6:30 p.m.
Conference With Legal Counsel -Existing Litigation (Gov't Code Section 54956.9(c): (1
case) -Thompson Pacific Construction v. City of Saratoga (Santa Claza County Superior
Court Action No. 104 CV021639)
Conference With Labor Negotiators (Gov't Code 54957.6):
Agency designated representatives: Lorie Tinfow, Assistant City Manager &
Tom Sullivan, Community Development Director
Employee organization: Non SEA Members
Public Employee Performance Evaluation (Gov't Code 54957)
Title: City Attorney
MAYOR'S REPORT ON CLOSED SESSION - 7:00 p.m.
Mayor Waltonsmith reported there was Council discussion but no action was taken.
Mayor Waltonsmith called the Regular City Council meeting to order at 7:00 p.m. and
lead the Pledge of Allegiance.
ROLL CALL
PRESENT: Councilmembers Stan Bogosian, Norman Kline,
Vice Mayor Kathleen King, Mayor Ann Waltonsmith
ABSENT: Councilmember Nick Streit
ALSO PRESENT: Dave Anderson, City Manager
Lorie Tinfow, Assistant City Manager
Richard Taylor, City Attorney
Cathleen Boyer, City Clerk
Ann Sullivan, Secretary to the City Manager
Pete Kolf, Administrative Services Director
John Cherbone, Public Works Director
REPORT OF CITY CLERK ON POSTING OF AGENDA FOR JULY 21.2004
Cathleen Boyer, City Clerk, reported that pursuant to Govermnent Code Section 54954.2,
the agenda for the meeting of July 21, 2004 was properly posted on July 15, 2004.
City Council Minutes 2 July 21, 2004
COMMUNICATIONS FORM COMMISSIONS & PUBLIC
ORAL COMMUNICATIONS
The following person requested to speak at tonight's meeting:
Ray Davies noted that he was a Los Gatos resident. Mr. Davies stated that he was
present this evening to discuss to issues. Mr. Davies told the Council about an incident
that happened at the Town's July 4`h celebration involving Mayor Steve Glickman. Mr.
Davies stated that Mayor Glickman, failed to read the names of the local men and women
serving overseas. Mr. Davies presented the Council copies of the Los Gatos Weekly and
pointed out that the editorial discussed the incident. Mr. Davies stated that the second
issue he wanted to discuss were his concerns regarding safety on Highway 9. Mr. Davies
stated that he has attending several meetings in regards to this issue and recently
reviewed the VTA's timeline for the project. Mr. Davies stated that the timeline only
mentioned the stripping project but failed to mention the pedestrian crossing.
COMMUNICATIONS FROM COMMISSIONS
Glynis Wineinger, President of the Saratoga Chamber of Commerce, thanked the City
Council for the opportunity to meet with them prior to the City Council meeting.
President Wineinger noted that their intent is to continue to communicate with the City
and to work towards some common goals that would affect all businesses in the City.
President Wineinger noted that the Chamber feels that the City understands the concerns
of the business and they look forward to working together to enhance all the business
districts in the City.
In regards to "Celebrate Saratoga", President Wineinger announced that it would be held
on September 18`h from 5:30 p.m.-10:30p.m. President Wineinger stated that they are
still looking for volunteers to help with this event.
President Wineinger announced that the Chamber started two new projects for 2004 - a
networking group and Witchy Walk-A- Bout (October 31, 2004).
President Wineinger stated that for more information regarding Chamber events visit
their website at www saratogachamber.orQ.
WRITTEN COMMUNICATIONS
None
COUNCIL DIRECTION TO STAFF
None
City Council Minutes 3 July 21, 2004
ANNOUNCEMENTS
Mayor Waltonsmith announced the following information:
• Tonight's meeting was being dedicated in memory of Andrew Bedard, a third
grader who attended Saratoga Elementary School. Andrew unexpectedly passed
away approximately 2 weeks ago.
• Four vacancies were available on the Library Commission to fill expired terms.
Applications and information regarding these vacancies are available on the
City `s website at www.sarato~a.ca.us or by contacting the City Clerk's Office.
Deadline to file is September 9, 2004.
• Town Hall meeting hosted by Senator McPherson at the Senior Center on July 23,
2004 from 6:00 p.m.- 8:00 p.m.
CEREMONIAL ITEMS
None
SPECIAL PRESENTATIONS
None
CONSENT CALENDAR
lA. REVIEW OF CHECK REGISTER
STAFF RECOMMENDATION:
Approve check register.
KIN/KLINE MOVED TO APPROVE CHECK REGISTER. MOTION PASSED
4-0-1 WITH STREIT ABSENT.
1B. ACCEPTANCE QUITCLAIM OF REAL PROPERTY FROM SANTA
CLARA VALLEY WATER DISTRICT TO THE CITY OF SARATOGA
STAFF RECOMMENDATION:
Adopt Resolution accepting Quitclaim of Real Property from Santa Clara Valley
Water District to the City of Saratoga.
TITLE OF RESOLUTION: 04-056
K1NG/KLINE MOVED TO ADOPT RESOLUTION ACCEPTING
OUITCLAIM OF REAL PROPERTY FROM SANTA CLARA VALLEY
WATER DISTRICT TO THE CITY OF SARATOGA. MOTION PASSED 4-
0-1 WITH STREIT ABSENT.
City Council Minutes 4 July 21, 2004
1C. BUILDING SITE APPROVAL FOR ONE LOT LOCATED AT 22122 MT.
EDEN ROAD -OWNER: HORVATH
STAFF RECOMMENDATION:
Move to adopt resolution No. BSA-02-062 granting the building site approval of
application No.BSA-02-062 for one lot located at 22122 Mt. Eden Road.
TITLE OF RESOLUTION: BSA-02-062
KING/KLINE MOVED TO ADOPT RESOLUTION NO. BSA-02-062
GRANTING THE BUILDING SITE APPROVAL OF APPLICATION
NO.BSA-02-062 FOR ONE LOT LOCATED AT 22122 MT. EDEN ROAD.
MOTION PASSED 4-0-1 WITH STREIT ABSENT.
1D. KEVIN MORAN PARK IMPROVEMENT PROJECT -CONSULTANT
SELECTION
STAFF RECOMMENDATION:
Select MPA Design as the consultant; Authorize City Manager to enter into a
Professional Service Agreement in the amount of $40,750.00; Adopt resolution
amending FY 04-04 Budget.
TITLE OF RESOLUTION: 04-057
KING/KLINE MOVED TO SELECT MPA DESIGN AS THE
CONSULTANT• AUTHORIZE CITY MANAGER TO ENTER INTO A
PROFESSIONAL SERVICE AGREEMENT IN THE AMOUNT OF
$40 750 00• ADOPT RESOLUTION AMENDING FY 04-04 BUDGET.
MOTION PASSED 4-0-1 WITH STREIT ABSENT.
lE. REQUEST TO CHANGE ARTS COMMISSION MEETING TIME
STAFF RECOMMENDATION:
Adopt resolution approving the change in meeting time.
TITLE OF RESOLUTION: 04-058
KING/KLINE MOVED TO ADOPT RESOLUTION APPROVING THE
CHANGE IN MEETING TIME. MOTION PASSED 4-0-1 WITH STREIT
ABSENT.
1F. PROPERTY TAX LEVY TO SERVICE THE DEBT ON THE LIBRARY
BOND
STAFF RECOMMENDATION:
Adopt resolution approving the increase in property taxes.
TITLE OF RESOLUTION: 04-059
Mayor Waltonsmith noted that Interim Finance Director Kolf requested that item
1F be removed from the Consent Calendar.
CiTy Council Minu[es S July 21, 2004
Interim Finance Director Kolf explained that at the time the staff report was
prepared he had not yet received the assessed valuation of City from the County
Assessors Office and consequently could not recommend the specific tax levy on
the librazy general obligation bonds. Interim Finance Director Kolf noted that the
County recently contacted him and he was able to calculate the tax levy, which is
reflected in the amended resolution. The recommend rate of the property tax level
is 1.484 cents per $100 per assessed valuation.
KLINE/KING MOVED TO ADOPT RESOLUTION APPROVING THE
INCREASE IN PROPERTY TAXES AS AMENDED. MOTION PASSED 4-
0-1 WITH STREIT ABSENT.
PUBLIC HEARINGS
2. 2004 HAZARDOUS VEGETATION MANAGEMENT PROGRAM -
ASSESSMENT REPORT
STAFF RECOMMENDATION:
Open public hearing; close public hearing; adopt resolution
TITLE OF RESOLUTION: 04-060
Cathleen Boyer, City Clerk, presented staff report.
City Clerk Boyer explained that under State and local laws, local governments
routinely abate the seasonal fire hazards of hazazdous vegetation and/or
combustible debris on undeveloped property. For the County and several cities,
including Sazatoga, this abatement program is administered by the County Fire
Marshal's office. In many cases, property owners find it convenient to have the
district take care of vegetation or debris removal and to pay through a property tax
lien.
City Clerk Boyer explained that the City Council approved 135 parcels for
inclusion in the program at the start of the season, and all were inspected at least
once, and most several times during the season. A total of 32 parcels were abated
by the County's contractor, which amounts to 74% voluntary compliance. This
past yeaz, the County performed abatement on parcels on the attached list in
Saratoga. Tax liens and assessments on the owners of these parcels totaled
$63,051.16. In order to recover this cost, it is necessary for the Council to adopt a
resolution confirming the assessments and directing the County Auditor to enter
and collect the assessments on the property tax bill.
City Clerk Boyer noted that Debbie Craver from the County Fire Marshall's Office
was present this evening to answer any questions that the Council may have.
Vice Mayor King stated that that the last two years the Council asked the County
to sent two notices to property owners. Vice Mayor King asked if the County
was complying with this request.
City Council Minutes 6 July 21, 2004
Debbie Craver, Program Coordinator/County Fire Marshall's Office, responded
that in addition to the packet that is sent out in December and the two additional
cards, the County also sent a 15-day reminder notice that was sent out two weeks
before the abatement was scheduled.
Mayor Waltonsmith opened the public hearing and invited public comments.
Kim Foster noted that she was the owner of parcel #513-13-140 and was present
this evening to request that the City Council waive the administrative fee of
$1,345.00. Ms. Foster noted that she has lived at this property since 1997 and has
always complied in a timely manner. Ms. Foster stated she did not receive the
packet in December and furthermore when she received the postcard from the
County it was postmarked May 28`h, which only gave her less than two weeks to
comply. Ms. Foster noted that she contacted a local contractor, Matt Novacovich,
to cut the weeds before the deadline. Ms. Foster noted that Mr. Novacovich never
completed the job. Ms. Foster stated that this was the first time she was not in
compliance.
Mayor Waltonsmith closed the public hearing.
Vice Mayor King asked if the City grants the fee waiver, who would pay the
administrative fee.
Coordinator Craver responded that the fee would not be recovered. Coordinator
Craver noted that this particular property was abated two months after the
compliance deadline.
Councilmember Kline noted that there is a procedure place, which has worked
well in the past. Councilmember Kline noted that if the fee were waived for one
person then more people would expect the same. Councilmember Kline stated that
he does not support waiving the administrative fee.
City Manager Anderson stated that when this problem happened two years ago,
Council instituted the extra noticing to help property owners mitigate abatement
before the County did it for them.
KLINE/KING MOVED TO ADOPT RESOLUTION CONFIRMING
REPORT AND ASSESSMENT OF BRUSH ABATEMENT CHARGES.
MOTION PASSED 4-0-1 WITH STREIT ABSENT.
OLD BUSINESS
3. COMER DEBRIS SEDIMENTATION REMOVAL PROJECT UPDATE
STAFF RECOMMENDATION:
Accept report and provide direction to the Santa Clara Valley Water District
regarding the Comer Bridge Sedimentation Removal Project.
John Cherbone, Public Works Director, presented staff report.
Ciry Council Minutes 7 July 21, 2004
Director Cherbone noted that on July 20t" the Council toured the site along with
the Santa Claza Valley Water District and several neighbors. Director Cherbone
noted that Beau Goldie from the District was present this evening to further
explain the project.
Beau Goldie, Santa Clara Valley Water District/Assistant Operating Officer,
presented that background of the project and explained the sediment removal plan.
Mr. Goldie noted that the project was scheduled to start on August 2, 2004 and
would take approximately 10 days. Mr. Goldie pointed out that sediment removal
projects were planned for the Wildcat Creek @ Fruitvale and Wildcat Creek @
Portos. Mr. Goldie stated that three bank repair projects were planned for Saratoga
Creek upstream @ 4`" Street, Saratoga Creek @ Walnut, and Saratoga Creek
downstream @ Walnut.
Mayor Waltonsmith thanked Mr. Goldie for his presentation.
Bob Wallace noted that he lived downstream of the Comer Debris Basin. Mr.
Wallace stated that he had no particular objection to the project but feels it is only
a temporary solution. Mr. Wallace stated that a permanent solution would be to
remove the bridge.
Responding to Mr. Wallace's comments, Mr. Goldie explained that the removal of
the bridge is scheduled in District's CIl' for 2014. Mr. Goldie stated that the
project could become a part of the Miller/Wardell Project if the study shows that
the removal of the bridge would help mitigate problems at Miller/Wazdell.
Mayor Waltonsmith thanked everyone for attending tonight's meeting.
4. VTA OPERATOR'S FACILITY -AWARD OF CONSTRUCTION
CONTRACT
STAFF RECOMMENDATION:
Adopt resolution amending the annual budget of the City of Saratoga for FY2004-
OS to provide financing for the VTA Operator's Facility; Adopt resolution to
declare George Bianchi Construction, Inc. to be the lowest responsible bidder on
the project; to award a construction contract for VTA Operator's Facility to
George Bianchi Construction, Inc. in the amount of $221,148 and authorize the
City Manager to execute the same; and to authorize staff to execute change orders
to the construction contract, and for other miscellaneous work associated with the
project up to $15,026.
TITLE OF RESOLUTION: 04-061 & 062
John Cherbone, Public Works Director, presented staff report.
Director Cherbone presented the background of the project. Director Cherbone
explained that in a mutual effort to relocate the facility, the City of Sazatoga and
the Valley Transportation Authority entered into a Cooperative Agreement in
December 2002. Per the agreement, the City was to provide project management
and VTA was to pay all associated costs for the project up to $225,000. Of the
overall VTA project of $225,000 the Council approved $18,826 for architectural
City Council Minutes $ July 21, 2004
and engineering design services performed by Bill Gould Design. Director
Cherbone stated that $206,174 remained in the budget for construction.
Director Cherbone pointed out that the project went to bid in December 2003 and
all bids were considerably over the budget limit with the lowest bid of $325,000.
Director Cherbone noted that staff reviewed the design and modification were
made to lower the construction costs. Staff met with the lowest bidder and
renegotiated a revised proposal. Based on the changes the proposal was lowered
to $227,377, which included a change order in the amount of $6,229. In order to
close the final budget gap, it was necessary to approach VTA for additional
funding. The Mayor and City Manager met with representatives of VTA at a
recent Mayors and Managers meeting to discuss the need for additional funding.
Based on the discussion VTA agreed to provide additional funds in the amount of
$30,000 to complete the project.
Director Cherbone noted that staff was recommending that George Bianchi
Construction Inc. be the lowest bidder on the project and award the construction
contract to this firm in the amount of $221,148.
Robert Lee thanked the City Council and VTA for supporting the project. Mr. Lee
commended Director Cherbone for his diligence and dedication to the project.
Bret England stated that this project has been going in on for the past 2-% years.
Mr. England thanked Director Cherbone for his diligence and hard work.
KING/KLINE MOVED TO ADOPT RESOLUTIONS TO AMEND THE
ANNUAL BUDGET OF THE CITY OF SARATOGA FOR FY2004-OS TO
PROVIDE FINANCING FOR THE VTA OPERATOR'S FACILITY
DECLARE GEORGE BIANCHI CONSTRUCTION, INC. TO BE THE
LOWEST RESPONSIBLE BIDDER ON THE PROJECT; AWARD A
CONSTRUCTION CONTRACT FOR VTA OPERATOR'S FACILITY TO
GEORGE BIANCHI CONSTRUCTION, INC. IN THE AMOUNT OF
$221 148 AND AUTHORIZE THE CITY MANAGER TO EXECUTE THE
SAME• AND TO AUTHORIZE STAFF TO EXECUTE CHANGE ORDERS
TO THE CONSTRUCTION CONTRACT, AND FOR OTHER
MISCELLANEOUS WORK ASSOCIATED WITH THE PROJECT UP TO
$15,026. MOTION PASSED 4-0-1 WITH STREIT ABSENT.
5. DESIGN SERVICES FOR BLANEY PLAZA IMPROVEMENTS -PHASE I
STAFF RECOMMENDATION:
Approve professional services proposal from Greg Ing and Associates in the
amount of $9,500 for development of design plans for Blaney Plaza; Authorize
staff to execute Professional Services Agreement with Greg Ing and Associates;
Authorize staff to expend up to $7,500 for surveying and miscellaneous costs
associated with the project.
John Cherbone, Public Works Director, presented staff report.
City Council Minutes 9 July 21, 2004
Director Cherbone explained the background of the project. Director Cherbone
stated that at the July 7`h City Council meeting, Council directed staff to schedule a
site visit at Blaney Plaza to discuss the level of work desired to be performed. The
level of design work and associated cost would be dependent on the level of
improvements made to the plaza. Director Cherbone explained the options as
follows:
1) Improve Blaney Plaza per the approved Master Plan and approve design
contract. This option would implement the Blaney Plaza Master Plan both
in design and construction.
2) Improve Blaney plaza at a level per City Council direction and approve
design contract. This option would complete the design plans per the
Master Plan, but would only implement the plans at a level per Council
direction.
3) Improve Blaney Plaza at a level per City Council direction and approve
design contract per option 1. This would implement design plans and
improvements to Blaney Plaza at a level per Council direction.
Director Cherbone noted that dependent on Council direction, design plans and
construction documents would be developed for the second phase of
improvements to Blaney Plaza. Director Cherbone noted that the work would
commence sometime in the late summer with the goal of completing the wok prior
to the annual Holiday Tree Lighting event in November.
Councilmember Kline stated that he would support spending $12,000 to finish the
design, but does not want the construction phase to begin until after the State's
budget is passed and the City is more financially stable.
Vice Mayor King stated that she would really like to see the Plaza completed
before the holiday season. Vice Mayor King stated she supports spending
$12,000 to complete the design work.
Councilmember Bogosian noted that he would like to get the safety issues
Addressed at the Plaza. Councilmember Bogosian noted that he doesn't feel
comfortable spending $12,000 on a consultant, he would rather see $12,000 spend
on fixing safety issues.
Director Cherbone responded that in order to mitigate the safety improvements the
correct way it would take more than $12,000, but staff could make temporary
repairs until the City can start the construction phase of the project.
Councilmember Kline noted that he supports short-term safety solutions.
Mayor Waltonsmith noted that she supports finishing the design work and
mitigating the safety hazards.
Director Cherbone noted that he would schedule a walk through with his staff to
determine what they can do in house.
Councilmember Bogosian asked what would be the downside in not awarding
the design contract this evening.
City Council Minutes 10 July 21, 2004
Director Cherbone responded that if the design contract is not awarded there
would be a possibility that in a year from now the cost may be higher.
Councilmember Bogosian noted for the record that he would not be supporting the
design contract but fully supports any action to fix safety issues in Blaney Plaza.
K1NG/KLINE MOVED TO APPROVE PROFESSIONAL SERVICES
PROPOSAL FROM GREG ING AND ASSOCIATES NOT TO EXCEED
$12 000• DIRECT STAFF TO FIX ALL SAFETY ISSUES IN THE PLAZA
INCLUDING THE SIDEWALK AVOIDING ANY DAMAGE TO THE
TREES. MOTION PASSED 3-1-1 WITH STREIT ABSENT AND BOGOSIAN
OPPOSING.
RE-EVALUATION OF COMMISSION RECOGNITION EVENT
STAFF RECOMMENDATION:
Accept report and direct staff accordingly.
Ann Sullivan, Secretary to the City Manager, presented staff report.
Secretary Sullivan explained that at the Apri121, 2004 meeting Council directed
staff to continue with the traditional dinner at the Saratoga Country Club.
Secretary Sullivan explained that due to recent budget constraints for FY 04-OS
Council may want to reconsider its original direction. Secretary Sullivan stated
that an alternative to the formal sit-down dinner at the county club might be an
event held at the Civic Center, either in the City Hall Court Yard or the
Community Center. Secretary Sullivan stated that this alternative could be catered
for approximately $5,000.
Consensus of the City Council to cut costs of the Annual Commission Recognition
Event to $5,000 and direct staff to contact Hakone Gardens for an alternative
location.
Jeff Swartz, West Valley Board of Trustee, suggested that staff contact the Food
service program at the College. Mr. Swartz stated that the program provides
catering services and might help cut the costs of the event.
NEW BUSINESS
7. REPORT ON UTILITY USER TAX ORDINANCE AND ADVISORY
BALLOT MEASURE REGARDING USE OF UTILITY USER TAX
REVENUES
STAFF RECOMMENDATION:
Accept report and provide direction to staff regarding text of ordinance and
advisory measure for formal consideration by Council on August 4, 2004.
Richard Taylor, City Attorney, presented staff report.
Ciry Council Minutes 11 July 21, 2004
City Attorney Taylor explained that at its meeting of July 7, 2004 the City Council
received the report of the Revenue Review Committee and directed staff to prepare
the necessary documentation to submit a utility user tax and companion advisory
measure for voter consideration at the November election. City Attorney Taylor
noted that a draft tax ordinance and a draft advisory measure were included in the
staff report. City Attomey Taylor stated that a public hearing has been noticed for
the meeting of August 4, 2004 to formally consider placing the tax and advisory
measure on the ballot.
City Attorney Taylor reviewed the recommendations made by the Revenue
Review Committee:
• The tax would be a 5% tax on utility usage in the City
• The tax would not take effect unless approved by a majority of voters
voting at the next City election
• The tax would sunset after 10 years
• The tax would be a "general tax," meaning that it would not be earmarked
for any specific purpose
City Attorney Taylor pointed out that because the tax would not be restricted by
the terms of the measure, Council also requested that staff prepare an advisory
measure to allow voters to clarify their preferences as to how tax revenues would
be used. The advisory measure states that revenues should be used for a series of
capital improvement projects.
City Attorney Taylor explained the exemptions stating the ordinance exempts
electricity and gas users from the tax on those utilities if the user is eligible for the
California Alternate Rates for Energy (CARE) program established by state law.
The ordinance also allows the City Council to establish other exemptions by
resolution. The CARE exemption is included in the ordinance because it is a
defined exemption standard that can be administered using information already in
the possession of the service supplier (PG&E).
City Attorney Taylor noted that staff is not aware of comparable programs for
other utilities and none of the ordinances reviewed from other cities included
exemptions for other utilities based on programs comparable to CARE. Some
cities include in the tax ordinance exemptions based on the user's income. These
exemptions are then administered by the City, which determines a user's eligibility
and then provides the exemption determination to the utility.
City Attorney Taylor explained "Partial Payments" stating that the draft ordinance
provides that if a user makes a partial payment to the utility provider, the provider
must remit to the City the City's pro-rata share of that payment. The PG&E draft
provides that partial payments shall be applied first to the bill issued by the
provider and that only after that bill is paid in full shall payments be applied to the
user tax.
City Council Minutes 12 July 21, 2004
In regards to wireless services, City Attomey Taylor explained that the tax would
apply to wireless telephone service as well as traditional phone service. City
Attorney Taylor explained that Federal law directs the manner in which wireless
service maybe taxed. The rules are designed such that the tax must be applied to
telecommunication services in a uniform, non-discriminatory manner, so as to
avoid discriminatory taxation of its residents and to avoid creating an unfair
competitive advantage to certain companies or industry sectors.
City Attorney Taylor noted that a voluntary statewide organization of UUT public
agencies has been formed to help promote uniformity in the application and
collection of WT in California. City Attorney Taylor explained that three
recommendation from the "WT Task Force" in regards to how wireless service
be taxed:
A. Tax applies, regardless of where the call originates or terminates, and
regardless of whether or not the call is included in a package or is billed as
a separately listed call.
B. Tax does not apply to separately listed calls (calls not within a package)
that do not originate or terminate within the city. If the origination or
termination cannot be determined, the tax does not apply.
C. Tax does not apply to any call-related charges, including charges for
packages that include airtime. The tax does apply to the non-call portion of
the package.
City Attorney Taylor noted that the draft ordinance has been structured to use
option A. City Attorney Taylor noted that this option was the option used by the
majority of the cities whose ordinances were reviewed.
City Attorney Taylor noted that because the tax would be a general tax, the
decision to submit the tax to the voters must be approved "by atwo-thirds vote of
all members" of the City Council. City Attorney Taylor explained that at least four
"yes" votes are required to place the measure on the ballot. City Attorney Taylor
continued to explain that although a general tax requires supermajority Council
approval to be placed on the ballot, it requires approval by only a simple majority
of the voters to be adopted. City Attorney Taylor stated that all general taxes must
be considered by the voters at a regular election for members of the City Council.
In conclusion, City Attorney Taylor noted that in order to place the measure on the
November 2, 2004 ballot, the Council must act no later than August 6, 2004.
City Attorney Taylor explained the Advisory Measure and noted that the measure
would be placed on the ballot with the WT to provide guidance to the City
Council as to the manner in which revenues generated should be spent. City
Attorney Taylor noted that the measure lists and describes the following priorities:
• Maintaining Streets and Filling Potholes
• Repair Aging Curbs and Gutters
• Replace Aging Storm Drains
• Sidewalk Improvements and Repairs
• Building Bridges
City Council Minutes 13 July 21, 2004
In regards to wireless services, City Attorney Taylor explained that the tax would
apply to wireless telephone service as well as traditional phone service. City
Attorney Taylor explained that Federal law directs the manner in which wireless
service may be taxed. The rules are designed such that the tax must be applied to
telecommunication services in a uniform, non-discriminatory manner, so as to
avoid discriminatory taxation of its residents and to avoid creating an unfair
competitive advantage to certain companies or industry sectors.
City Attorney Taylor noted that a voluntary statewide organization of UUT public
agencies has been formed to help promote uniformity in the application and
collection of WT in California. City Attorney Taylor explained that three
recommendation from the "WT Task Force" in regazds to how wireless service
be taxed:
A. Tax applies, regardless of where the call originates or terminates, and
regardless of whether or not the call is included in a package or is billed as
a sepazately listed call.
B. Tax does not apply to separately listed calls (calls not within a package)
that do not originate or terminate within the city. If the origination or
termination cannot be determined, the tax does not apply.
C. Tax does not apply to any call-related charges, including chazges for
packages that include airtime. The tax does apply to the non-call portion of
the package.
City Attorney Taylor noted that the draft ordinance has been structured to use
option A. City Attorney Taylor noted that this option was the option used by the
majority of the cities whose ordinances were reviewed.
City Attorney Taylor noted that because the tax would be a general tax, the
decision to submit the tax to the voters must be approved "by atwo-thirds vote of
all members" of the City Council. City Attorney Taylor explained that at least four
"yes" votes are required to place the measure on the ballot. City Attorney Taylor
continued to explain that although a general tax requires supermajority Council
approval to be placed on the ballot, it requires approval by only a simple majority
of the voters to be adopted. City Attorney Taylor stated that all general taxes must
be considered by the voters at a regular election for members of the City Council.
In conclusion, City Attorney Taylor noted that in order to place the measure on the
November 2, 2004 ballot, the Council must act no later than August 6, 2004.
City Attorney Taylor explained the Advisory Measure and noted that the measure
would be placed on the ballot with the IJUT to provide guidance to the City
Council as to the manner in which revenues generated should be spent. City
Attorney Taylor noted that the measure lists and describes the following priorities:
• Maintaining Streets and Filling Potholes
• Repair Aging Curbs and Gutters
• Replace Aging Storm Drains
• Sidewalk Improvements and Repairs
• Building Bridges
City Council Minutes 13 July 21, 2004
• Landscaped Medians
• Civic Center Improvements
• City Hall Improvements
• Civic Theater Improvements
• Community Center Improvements
• North Campus Improvements
City Attorney Taylor stated that this list was based on the list of projects reviewed
by the Revenue Review Committee. The City Council may wish to change the
items on this list or change the level of detail provided regarding the various
priorities.
In addition, City Attorney Taylor noted that the measure suggests fiscal
responsibility policies that should be used by the City in managing the funds. City
Attorney Taylor explained the policies:
The City should aggressively pursue other regional, state and federal funds
to leverage local funds so that the infrastmcture and facilities projects
described above can be delivered more quickly and to allow the City to
build additional infrastructure and facilities improvements that are needed
to serve the residents of Saratoga.
No funds derived from utility user tax revenues should be used for staff
salaries and administration. 100% of the funds should be reserved for
project delivery.
An oversight committee made up of City of Saratoga residents should
monitor the uses to which Utility User Tax proceeds are spent and report
annually to the City Council and to the community.
City Attorney Taylor explained that the first two policies were based on principles
embodied in the Countywide advisory measure approved by Santa Clara County
voters in connection with a proposed sales tax increase in 1996. The third is
modeled on the oversight committee established in connection with the library
bond measure.
If the UUT passes along with the Advisory Measure, Vice Mayor King asked if the
citizens could request another advisory measure to change the way the revenue is
directed.
City Attorney Taylor responded that only the City Council could place another
advisory measure on the ballot.
Councilmember Kline noted that he doesn't support the draft advisory measure
because it is too detailed.
Councilmember Kline requested that the City Attomey be directed to draft a
general statement on the advisory measure leaving out specific projects.
Councilmember Bogosian noted that he disagreed with Councilmember Kline.
Councilmember Bogosian stated that the more honest and specific the advisory
measure is, the better.
City Council Minutes ]4 July 21, 2004
Richard Allen, Chair/Finance Commission, explained that the Finance
Commission spent several recent meetings reviewing the city budget and stated to
Council that they believe the budget isunder-Funded. Chair Allen stated that the
Finance Commission recommended structural changes at that time. Chair Allen
stated that on Monday July 19`h the Finance Commission reviewed the Revenue
Review Committee's recommendation for a citywide Utility Users Tax. The
Commission also discussed infrastructure maintenance data presented by staff.
Chair Allen stated that the Commission's review was limited to the information
presented and their knowledge of the city budget.
Chair Allen stated that after considerable debate the Finance Commission
concluded that the RRC's focus on infrastructure, which was their charter, was too
limiting when citywide funding alternatives were being considered. Chair Allen
stated that the Finance Commission believes that a broader set of budget issues
need to be solved.
Chair Allen stated that the Finance Commission recommends that the Council
have more latitude on the use of the proposed funds. Chair Allen stated that the
Finance Commission's recommendation is against a companion advisory measure
that would restrict the Council's ability to meet the needs of the community for the
short and intermediate term.
Chair Allen read the Finance Commission's motion which was passed
unanimously:
"In order to provide an intermediate term solution to the city's budget
shortfall and infrastructure deterioration, we recommend:
• A Utility Users Tax
• A 10-year duration
• A 5% tax on Phone, Cable, Water, and PG&E
• A general use tax giving the Council latitude to:
o Fund Infrastructure Maintenance
o Support operations-specifically to selectively restore cuts in service
levels
o Rebuild reserves
o Accommodate future cost increases
o Solve other needs deemed critical by the Council
Further, the Finance Commission will continue to advise the Council on
appropriate use of funds."
Councilmember Kline thanked the Finance Commission for their review of the
RRC's report. Councilmember Kline stated that he supports the Finance
Commission's recommendations.
John Feinster, President/SASCC, stated that because they are a nonprofit group
they cannot take a stand on political issues, but can offer the support of the
members who have come forward. Mr. Feinster stated that many members have
stated that they support the City's efforts to generate additional funds.
City Council Minutes 15 July 21, 2004
Vice Mayor King noted that she supports a detailed advisory measure.
Councilmember Bogosian stated that he does not support the proposed tJUT as it
has been presented this evening.
Mayor Waltonsmith thanked the Finance Commission and the RRC for their hard
work and recommendations to the City Council. Mayor Waltonsmith noted that
she concurred with Councilmember Kline that the advisory measure should be a
general statement.
Councilmember Kline added that he would not support the advisory measure as
presented this evening.
City Attorney Taylor stated that he would draft a more general advisory measure
for Council review for August 4, 2004.
Norman Siegler, Finance Commissioner, noted that City employees have not had a
merit increase in two years. Commissioner Siegler stated that if the Council does
not recognize this, the City would not have quality employees to implement
programs that maybe funded if the WT passes. Commissioner Siegler stated that
the Council must consider future needs of the City. Commissioner Siegler noted
that the FY 04-OS Budget was balanced only in name because many programs
were cut short.
Councilmember Kline noted that the City has financial problems that affect the
entire operation of the City not just the streets. Councilmember Kline noted that
his concern with the advisory measure is that it will tie the hands of future City
Council members who may not agree with the list of projects listed in the proposed
advisory measure. Councilmember Kline noted that if the City Council supports
placing an advisory measure on the ballot, it should be general - to be used for
streets and infrastructure. Councilmember Kline noted that his preference would
not to have an advisory measure at all.
Councilmember Bogosian noted that at the last meeting he indicated that he would
like to see a specific tax on the ballot that would be limited to infrastructure.
Councilmember Bogosian stated that he would not be supporting the WT or the
advisory measure.
Vice Mayor King noted that she supports a detailed advisory measure.
Mayor Waltonsmith noted that she supports 5% UUT and a general advisory
measure.
Council direction to the City Attorney to draft a second general version of the
advisory measure and return to Council on August 4, 2004 with both versions.
Mayor Waltonsmith declared a 10-minute break at 9:00 p.m.
Mayor Waltonsmith reconvened the meeting at 9:10 p.m.
City Council Minutes 16 July 21, 2004
REPORT ON EMERGENCY PREPAREDNESS COMMITTEE
STAFF RECOMMENDATION:
Accept report.
Lorie Tinfow, Assistant City Manager, presented staff report.
Assistant City Manager Tinfow explained that as part of the discussion of the New
Standardized Emergency Management System (BEMs) Multihazard Functional
Plan adopted by Council on March 17, 2004, Council directed staff to convene a
meeting of the emergency preparedness stakeholders as the "Disaster Council".
Assistant City Manager Tinfow stated that on July 12, 2004 the Disaster Council
met and held a very successful meeting. Assistant City Manager Tinfow noted
that further research indicated the need to change the groups' name since the
"Disaster Council" refers to the City Council in times of emergency. The group
agreed to call itself the "Emergency Preparedness Committee".
Assistant City Manager Tinfow explained that the group would meet annually to
confirm that the City maintains its compliance with both State and Federal
emergency management requirements.
Mayor Waltonsmith thanked Assistant City Manager Tinfow for her report.
9. DESIGNATION OF VOTING DELEGATE FOR 2004 LEAGUE OF
CALIFORNIA CITIES ANNUAL CONFERENCE
STAFF RECOMMENDATION:
Select voting delegate for 2004 Annual Conference.
Mayor Waltonsmith stated that the League of California Cities was requesting the
City designate a voting delegate for the Annual League Conference to beheld in
Long Beach on September 17-19, 2004.
Councilmember Kline noted that he was the City's representative to the League
and volunteered to attend the conference.
KINGBOGOSIAN MOVED TO APPOINT COUNCILMEMBER KLINE AS
THE VOTING DELEGATE AND CITY MANAGER ANDERSON AS THE
ALTERNATE. MOTION PASSED 4-0-1 WITH STREIT ABSENT.
AGENCY ASSIGNMENTS
Mayor Waltonsmith reported the following information:
Saratoga Historic Foundation -recently attend the annual membership party at Garrod
Ranch.
Sister City Liaison -preparing for the Muko, Japan exchange students visit to Saratoga in
September.
Ciry Council Minutes 17 July 21, 2004
Vice Mayor King reported the following info information:
SASCC Liaison -working on their agreement with the City.
Councilmember Bogosian had no reportable information.
Councilmember Kline had no reportable information.
CITY COUNCIL ITEMS
Vice Mayor King announced that Senator McPherson would be hosting a Community
Forum on July 23, 2994 in the Senior Center.
OTHER
None
CITY MANAGER'S REPORT
None
ADJOURNMENT
There being ~o further business, Mayor Waltonsmith adjourned the meeting at 9:30 p.m.
City
City Council Minutes 18 July 21, 2004