A D O P T E D
MINUTES OF THE REGULAR MEETING
OF THE
MONROVIA CITY COUNCIL
HELD TUESDAY, FEBRUARY 6, 1996, 7:30 P.M.
CONVENE: The Regular Meeting of the Monrovia City Council of
Tuesday, February 6, 1996, was convened at 7:30 P.M. in the
Council Chambers by Mayor Robert T. Bartlett.
INVOCATION: The Invocation was led by Pastor Steve Summerell,
Vineyard Christian Fellowship Church.
PLEDGE OF ALLEGIANCE: The Pledge of Allegiance was led by
Councilmember Tom Adams.
ROLL CALL: In attendance were Councilmembers Adams, Blakely,
McCarville, Mayor Pro Tem Wilcox, and Mayor Bartlett.
PRESENTATIONS:
1. Introduction of Utility Division Manager, David Fike: Public
Works Director Robert Bammes introduced newly hired Utility
Division Manager David Fike. Mayor Bartlett welcomed Mr. Fike to
the City of Monrovia family.
STUDENT GOVERNMENT REPRESENTATIVE REPORT: Ms. Ricci Rivera
reported on school activities.
A. CONSENT CALENDAR: Mrs. McCarville requested that Consent
Calendar Item *I-4, Legislative Consent Calendar, be removed from
the Consent Calendar for further discussion.
It was moved by Ms. Blakely, seconded by Mrs. McCarville, to
approve Consent Calendar Agenda Items *B, *F-1, *I-2,*J-2, and
*K.
Roll Call: Ayes: Councilmembers Adams, Blakely, McCarville,
Mayor Pro Tem Wilcox, and Mayor Bartlett
Motion carried: 5-0
*B. MINUTES: Minutes of the Regular Meetings of January 2, 1996
and January 16, 1996 were approved by order of the Consent
Calendar.
I. ADMINISTRATIVE REPORTS (taken out of order):
I-4. Legislative Consent Calendar
The Legislative Consent Calendar contained three pieces of
pending legislation which were summarized by Staff involving
building occupancy levels, concealed weapons permits and the
allocation of Proposition 172, Sales Tax Revenue, and their
impact on Monrovia suggesting City positions on each bill.
The summary included Staff's recommendation to oppose proposed
legislation regarding concealed weapons permits. Police Chief
Joseph Santoro reviewed police positions statewide in opposing
the legislation.
After discussion, it was moved by Ms. Blakely, seconded by Mrs.
Wilcox, to oppose legislation relating to permits for concealed
weapons as recommended, as well as approving the remaining
legislation highlighted in the Legislative Consent Calendar.
Roll Call: Ayes: Councilmembers Adams, Blakely, McCarville,
Mayor Pro Tem Wilcox, and Mayor Bartlett
Motion carried: 5-0
Staff will generate the appropriate letters of support and
opposition for the pending legislation.
C. ORAL COMMUNICATIONS
1. Exceptions to Comments Expressed During Oral Communications:
Tom O'Connell, 303 S. Madison, rebutted statements made by Gail
Montgomery who had expressed her various views during Oral
Communications at the January 16, 1996 City Council Meeting.
D. PUBLIC HEARINGS:
1. Amendment of Title 5 of the Monrovia Municipal Code; Renewal
of Cable Franchise Agreement; Introduction and First Reading of
Ordinance No. 96-01; Opened and Continued from January 16, 1996
Meeting
Assistant Community Services Director April Soash reviewed the
Staff Report.
Staff recommended the renewal of the City's Cable Franchise
Agreement with Citizens Century Cable Television Venture. The
matter had been opened and continued to January 23, 1996, but was
subsequently cancelled, and continued to February 6, 1996.
The current cable franchise ordinance will expire on March 1,
1998. Citizens Century purchased the franchise rights to
Monrovia in April 1994. Since that time, the City and Century
discussed rebuilding the cable infrastructure in Monrovia in
return for a renewal of the Franchise Agreement.
The City stands to benefit from increased channel capacity and
system reliability. Citizens Century will invest $3.8 million to
rebuild the current system with fiber optics in order to better
compete for cable subscribers. The system rebuild will be
completed over a two-year period ending January 31, 1998. To
amortize the cost of this complete rebuild, Citizens Century
requests a ten-year renewal of the Franchise Agreement.
The rebuild will expand the channel capacity from 35 to 78
channels. Fiber construction will ensure fewer maintenance
problems and less downtime. The new system will allow an
emergency audio override capability for emergency broadcast.
Citizens Century will also provide and maintain an institutional
network to seven City facilities to network the City's computers.
The cable operator will be committed to providing broad
categories of programming and periodically surveying subscribers
to determine programming needs, interests and customer
satisfaction. The new cable will pass through 100% of the
residential dwelling units in Monrovia. However, as homes are
developed on the hillside, owners may be called upon to share in
the construction costs based on a standard industry formula.
Service will be provided for the commercial areas of the 100 to
700 blocks of W. Huntington Drive, and from the 100 to 1000
blocks of S. Myrtle Avenue. The City reserves the right to
undertake rate regulation if it is ever again allowed under
federal law.
The Agreement calls for two periodic evaluation and
re-negotiation sessions in the fifth and eighth year, when the
City and the cable operator would sit down to assess services,
programming and virtually any other topic deemed relevant and
potentially negotiate modifications to the Agreement and
ordinance. The City will continue to receive logs of complaints
and disposition thereof, and Century must maintain an acceptable
level of subscriber satisfaction.
Century agrees to continue to provide ample financial and service
support to public access television in Monrovia. Staff found that
Citizens Century's request for a ten-year renewal to expire March
1, 2008, was a benefit to the City by maintaining the current
franchise language, franchise fees and securing a rebuild of
Monrovia's cable system. The rebuild will upgrade the system to
a level comparable to surrounding communities.
Public Hearing Opened and Closed: Mayor Bartlett opened and
closed the Public Hearing as there was no one who wished to speak
for or against the matter.
After discussion, it was moved by Ms. Blakely, seconded by Mrs.
Wilcox, to approve a ten-year renewal of the Franchise Agreement
with Citizens Century Cable Television Venture to expire March 1,
2008.
Roll Call: Ayes: Councilmembers Adams, Blakely, McCarville,
Mayor Pro Tem Wilcox, and Mayor Bartlett
Motion carried: 5-0
It was moved by Ms Blakely, seconded by Mr. McCarville, to
introduce and read by title only Ordinance No. 96-01. As there
were no objections, City Attorney Bagneris read as follows:
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF MONROVIA,
CALIFORNIA, RENEWING THE CABLE TELEVISION FRANCHISE HELD BY
CITIZENS CENTURY CABLE TELEVISION VENTURE AND APPROVING A RENEWAL
AGREEMENT.
2. Community Development Block Grant (CDBG) Program, 22nd Year;
Fiscal Year 1996-97, Resolution No. 96-01
Housing Rehabilitation Coordinator Daniel McConnell reviewed the
Staff Report.
Staff recommended Council approval of the projected uses of the
FY96-97 Community Development Block Grant. Preliminary estimates
from the County of Monrovia's 22nd year allocation is
$522,396.00, slightly less than last year. In addition, the
Community Development Commission estimated that the City of
Monrovia had $287,816.00 in unallocated funds from previous
years' programs. These funds were a combination of unspent funds
from previous years and program income from the sale of the
Canyon Cottages land purchased with CDBG dollars. These funds
brought the overall budget amount for Fiscal Year 1996-97 to
$810,212.00.
The City had to submit its preliminary summary of projected use
of these funds by February 8, 1996. The purpose of this report
and hearing was to provide a chance for public comment on the
projected uses as follows:
Code Enforcement, $144,861.00 - This program funds the two-person
Code Enforcement Staff to eliminate substandard housing
conditions and ensure conformance with zoning, building, property
maintenance codes, and the State and County Health Codes.
Rehabilitation Program, $171,530.00 - This project is directed at
the elimination of substandard and deteriorated housing by
providing assistance to low- and moderate-income families through
home repair grants in cooperation with the very successful
Handyworker Program.
Neighborhood Recreation Program, $93,000.00 - The Neighborhood
Recreation Program works in cooperation with the Boys & Girls
Club of Monrovia, and provides organized sports and recreation
opportunities and citizenship programs to benefit at-risk youths
from low- and moderate-income households.
Drug Abuse Resistance Education (DARE), $33,000.00 - DARE is an
effective tool to reduce and prevent drug abuse in our community.
Remedial Sidewalk Project, $30,000.00 - The project provides safe
pedestrian passage to individuals who live in low- and
moderate-income neighborhoods.
Library Renovation Project, $287,816.00 - This program will use
previous years' CDBG funds coupled with monies from other sources
to accomplish a library modernization and renovation. The
purpose of the renovation is to expand the structure and provide
upgrades to the electrical, mechanical, plumbing and information
systems within the building.
Administration, $50,005.00 - This allocation funds administration
of the seven CDBG programs. These seven CDBG programs are crucial
to the City's overall neighborhood improvement strategy.
Public Hearing Opened: Mayor Bartlett opened the Public Hearing.
Those in favor: David Bower, 304 N. Mountain Avenue Those
opposed: None
Public Hearing Closed: Mayor Bartlett closed the Public Hearing
as there was no one else who wished to speak for or against the
matter.
After discussion, it was moved by Mrs. Wilcox, seconded by Ms.
Blakely, to adopt Resolution No. 96-01.
Roll Call: Ayes: Councilmembers Adams, Blakely, McCarville,
Mayor Pro Tem Wilcox, and Mayor Bartlett
Motion carried: 5-0
CONVENE MONROVIA REDEVELOPMENT AGENCY MEETING: The Regular
Meeting of the Monrovia Redevelopment Agency Board of Directors
of February 6, 1996 was convened by Chairman Robert T. Bartlett
at 8:30 P.M. without recessing the City Council Meeting.
Roll Call: In attendance were Board Members Adams, Blakely,
McCarville, Vice Chairman Wilcox, and Chairman Bartlett
A. CONSENT CALENDAR: It was moved by Ms. Blakely, seconded by
Mrs. Wilcox, to approve the Consent Calendar consisting of Agenda
Item *B.
Roll Call: Ayes: Board Members Adams, Blakely, McCarville, Vice
Chairman Wilcox, and Chairman Bartlett
Motion carried: 5-0
*B. MINUTES: The Minutes of the Regular Meetings of January 2,
January 16, 1996, and Closed Session of January 23, 1996 were
approved by order of the Consent Calendar.
MRA-1: Public Hearing; Disposition and Development Agreement,
Krikorian Premiere Theatres, Inc., 408-410 S. Myrtle Avenue; To
be Re-Noticed at a Future Date
Mayor Bartlett announced that the Public Hearing on the
Disposition and Development Agreement between the Redevelopment
Agency and Krikorian Premiere Theatres, Inc. for the development
of a multi-screen movie complex in the in Old Town was pulled.
Staff and the Developer required additional time to review site
planning and further discussions on the Disposition and
Development Agreement. The Agency will re-advertise and provide
public notice prior to the consideration of the DDA and the
Public Hearing.
MRA-2: 1995-96 MRA Mid-Year Financial Report
Administrative Services Director Kenneth Nordhoff reviewed the
Staff Report.
Each January, the Finance Department conducts a six month review
of the Redevelopment Agency's financial activities. The MRA
review is done in conjunction with the City's mid-year financial
analysis.
The Agency faces greater fiscal challenges than the City.
Declines in assessed valuation for properties contained in the
project area have been significant over the last two years.
These valuation reductions are the result of many property owners
appealing commercial, industrial or R & D parcel taxation with
the County Assessor's office. Not only have the current tax
increment projections been hurt, but refunds to taxpayers for
prior years' claims have negatively impacted tax revenue
forecasts. In both 1993-94 and 1994-95, the Agency has paid in
excess of $200,00.00 in property tax refunds. For the first six
months of 1995-96, an additional $116,000.00 has been rebated.
This trend is likely to continue for at least the next two years
since the backlog of taxpayer appeals held by the Assessor is
substantial.
The net impact on tax increment revenues is a negative
$539,249.00 adjustment. By incorporating the tax declines, it is
expected that the Debt Service Fund will need a $350,000.00
transfer from the Capital Projects Reserve in order to keep the
Debt Service in balance by year end. Expected payments to MUSD
and Citrus College have been trimmed by $65,691.00 and $11,466.00
respectively.
Over the next few months staff will be exploring options to put
the Agency into a better long term financial position. These may
include debt restructuring, administrative cost review and
alternative ways of generating consistent new revenues to the
Agency.
Despite aggressive efforts to market various Agency parcels, no
land sales have occurred to date, with the exception of the
Domenico's site at 236 W. Huntington. As originally adopted, the
Capital Projects Fund assumed sales of two sites: Huntington at
Fifth and Huntington at Primrose. Since neither is expected to
occur by June, land sales and related expenditures have been
removed from this budget. The Fund overall is in a positive
financial position. However, much like in several previous years,
it remains land rich and cash poor.
The Low/Moderate Housing Fund continues to be a strength for the
Agency. Even so, tax revenues are projected to fall $134,810.
Overall, the Housing Fund remains strong. The changes to the
1995-96 budget, as proposed, modestly change the anticipated
year-end financial condition of the Agency. The items discussed
above represent changes needed in the Budget to provide better
matching of current year estimates with year-end anticipated
results.
After discussion, it was moved by Mrs. Wilcox, seconded by Ms.
Blakely, to receive and file the 1995-96 Redevelopment Agency
Mid-year Financial Report and direct Staff to implement the
budget balancing actions contained herein.
Roll Call: Ayes: Board Members Adams, Blakely, McCarville, Vice
Chairman Wilcox and Chairman Bartlett
Motion carried: 5-0
MRA-3: Joint Exercise of Powers Agreement; Establishment of
Monrovia Financing Authority; Resolution 4-96; and Amendment of
Agency Bylaws, Resolution No. 5-96
Administrative Services Director Kenneth Nordhoff reviewed the
Staff Report.
The Finance Department continually seeks ways to reduce expenses
related to both Agency and City operations. Significant cost
savings can be achieved through refinancing long-term
obligations--specifically bonds, loans and notes. All bond issues
of the Agency have either been refinanced or defeased since 1992.
The only remaining significant obligation, which offers both
annual and long-term savings, is the State Department of Waters
Resources (DWR) Loan.
The DWR Loan is an obligation of the City and more specifically
the Water Fund. Current market conditions present very attractive
rates, which translate to substantial savings to the Water Fund.
The original DWR Loan was completed in 1982 under the Safe
Drinking Water Bond Law of 1976. It was used to construct the
water system improvements in the Norumbega area of the City.
Presently, general obligation bonds or revenue bonds such as the
DWR Loan cannot be initiated without conducting a municipal bond
election. However, an alternative to a bond election is the
creation of a Financing Authority under the 1985 Marks-Roos Local
Bond Pooling Act. Creation of an Authority requires a Joint
Powers Agreement (JPA) between two public entities. For
Monrovia, the JPA would involve the City and Redevelopment
Agency. The primary purpose of the Monrovia Financing Authority
(MFA) is to provide a financing vehicle to be used in carrying
out capital project and infrastructure maintenance programs.
Resolution No. 4-96 represents the Agency's action steps
necessary to establish the Monrovia Financing Authority. Creation
of the MFA is necessary to completing the DWR installment sale
refinancing proposed as part of this evening's meeting.
Administrative Report I-5 outlines the City's steps in this
process, including adopting a similar resolution to create the
Financing Authority. Creation of the MFA provides several
benefits to both the City and Agency including:
Savings in debt issuance costs
Savings of over $19,000.00 annually and in excess of
$300,000.00 over the remaining life of the Water Loan
Competitive interest rates
The final component of the Agency's involvement in the DWR loan
refinancing process is the amendment of its existing Bylaws. By
law, the officers of the MFA must be officers of either public
agency central to the Authority creation.
In accordance with the existing Bylaws, the Treasurer of the City
serves as the Treasurer of the Agency. Cash deposits and check
signing are the Treasurer's daily duties. However, all cash
investing, auditing, financial reporting, budgeting and general
accounting of the Agency falls under the responsibility of the
Administrative Services Director. By creating the Monrovia
Financing Authority, similar budgeting, auditing and accounting
responsibilities would need to be carried out by the
Administrative Services Director.
Staff recommended amending the Agency Bylaws to reflect the
Administrative Services Director as the Treasurer of the Agency.
This would allow the new Bylaws of the MFA to also reflect the
Administrative Services Director as the primary financial
oversight to both entities. Resolution No. 5-96 codifies the
change from City Treasurer to Administrative Services Director.
Adoption of this resolution allows for a similar arrangement in
the daily fiscal management of the new Monrovia Financing
Authority.
It was moved by Ms. Blakely, seconded by Mrs. Wilcox, to adopt
Resolution No. 4-96, approving a Joint Exercise of Powers
Agreement between the City of Monrovia and the Agency.
Roll Call: Ayes: Board Members Adams, Blakely, McCarville, Vice
Chairman Wilcox and Chairman Bartlett
Motion carried: 5-0
It was moved by Ms. Blakely, seconded by Mrs. McCarville, to
adopt Resolution No. 5-96, approving the Monrovia Redevelopment
Agency's Bylaws as revised.
ADJOURN MONROVIA REDEVELOPMENT AGENCY MEETING: The Monrovia
Redevelopment Agency Board Meeting was adjourned at 8:57 P.M. and
the City Council Meeting continued.
F. COMMUNICATIONS AND PETITIONS:
*1. Denial of Liability Claim; Susan A. Ross v. City of
Monrovia; Claim of Damage by Monrovia Transit Bus
The claim filed by Susan A. Ross was denied by order of the
Consent Calendar.
Ms. Ross claimed that on October 1, 1995, while she was stopped
at a stop sign, her car was rear-ended by a Monrovia Transit bus.
Dootson Enterprises, Inc. operates Monrovia Transit on behalf of
the City. The City is covered as an additional insured on
Dootson's insurance policy.
Staff recommended the City Council deny this claim for $3,500 in
damages. Ms. Ross will be notified to contact Dootson
Enterprises, Inc. regarding her claim.
G. REPORTS OF CITY COUNCILMEMBERS AND SUBCOMMITTEES:
1. Councilmember McCarville:
(a) Food Bank: She thanked volunteers for all their
hard work towards this worthy project.
(b) Library Renovation: She thanked the City Council for its
support of this project.
2. Councilmember Blakely:
(a) San Gabriel Valley Council of Governments: She announced
the new officers of the Board of Directors.
(b) Transportation Committee: She reported that the
Transportation Committee was watching very closely to
make sure that the San Gabriel Valley received its fair
share of funds, which it had not in past years.
3. Councilmember Adams: Councilmember Adams had no report.
4. Mayor Pro Tem Wilcox:
(a) All-City Community Fair: The Fair is scheduled for April
20, 1996. It will begin with a Pancake Breakfast at 8:00
A.M. hosted by the Gem City Kiwanis. She invited all to
participate.
(b) "For the Love of Youth": She thanked everyone for making
the Boys & Girls Club of Monrovia's annual event a great
success.
5. Mayor Bartlett:
(a) Campaign '96: He announced that he and 10 other Mayors
are on the National League of Cities Campaign '96
Committee, and they will strive to have candidates focus
on issues for cities.
(b) MTA Board: He announced that Ms. La Pisto-Kirby will
serve as an alternate on the MTA's Board of Directors in
the absence of Chairman John Fasana.
I. ADMINISTRATIVE REPORTS:
1. 1995-96 Mid-Year Financial Report
Administrative Services Director Kenneth Nordhoff reviewed the
Staff Report.
Each year the Finance Department completes a comprehensive review
of the City's financial condition at six month intervals. At a
Study Session on January 23, 1996, the City Council discussed a
number of minor course corrections to maintain a balance of
revenues and expenditures in the 1995-97 Budget. Council
recommendations made at the Study Session were incorporated into
this report.
Overall, revenues appeared to be tracking on course as initially
forecast last June. Property taxes and sales tax projections were
adjusted slightly downward while certain fees are exceeding
expectations. The one-time defeasance of the mortgage revenue
bonds netted $61,220.00 in proceeds. Expenditures were also
tracking on course and projected to be within budget by year-end.
The Total Operating Budget is being adjusted by $1,514.00.00.
One-hundred and fifty thousand dollars was added to the transfer
to the Capital Improvement Fund to bring the second Fire Station
closer in alignment with anticipated costs. Also, the $61,220.00
of bond proceeds mentioned above are held for future mainframe or
personal computer needs. The General Fund, including the
proposed budget changes was projected to be positive by
$29,906.00 at the end of the fiscal year. The anticipated
operating contingency is 11.5% of total revised appropriations.
The Street Maintenance Fund was solid this year and included
$30,000.00 appropriation for permanent cul-de-sacs on Monrovista.
The Transit Fund was modified to earmark funds for the eventual
replacement of five Dial-a-Ride vans.
In the Capital Improvement Fund, $175,000.00 from the Trust for
Public Land Sale and a like sum of public facility
expansion/renovation dollars will be earmarked for the Library
Renovation and Expansion Project. These funds, with the unspent
Community Development Block Grant funds, are eligible to be
reappropriated by the City Council when a committee reviewing
Library needs brings back recommendations to the City Council
this June.
The Enterprise Funds, such as water, sewer, street sweeping,
storm drain, and waste impacts were all within budget.
It was moved by Ms. Blakely, seconded by Mr. Adams, to receive
and file the 1995-96 Mid-Year Financial Report and direct staff
to implement the budget balancing actions contained herein.
Roll Call: Ayes: Councilmembers Adams, Blakely, McCarville, Mayor
Pro Tem Wilcox, and Mayor Bartlett
Motion carried: 5-0
*2. Set for Public Hearing on February 20, 1996; Hearing of
Protests, Declaration List, Resolution No. 96-05; Los Angeles
County Weed Abatement Program
The Hearing of Protests, Declaration List and Resolution No.
96-05 was approved by order of the Consent Calendar.
Each year the Los Angeles County Department of Agricultural
Commissioner, Weights and Measures Office identifies properties
which have been found to contain weeds, brush and/or rubbish
constituting an existing or potential hazard to the health and
safety of adjacent property owners.
Upon Council's setting the date of the Property Owners' Protests,
identified property owners will receive an Annual Weed Abatement
Notice requiring them to maintain their parcels in a fire-safe
condition throughout the year. If this does not occur, the
County will abate the nuisances and recover its costs from the
property owners.
Staff recommended Council approval of Resolution No. 96-05,
accepting the Declaration List and setting February 20, 1996 at
7:30 p.m., as the date and time for the Hearing of Protests.
3. Fire Station No. 2; Architectural Services; Rescind Award of
Contract with BCER; Award Contract to Dave Szaney & Associates,
$40,300.00
Public Works Director Robert Bammes reviewed the Staff Report.
On August 2, 1994 the Council awarded the contract for
architectural services to G.E. Busse in the amount of $37,500.00
for the preparation of plans, specifications, cost estimates, and
bidding services for the remodel and expansion of an existing
building into Fire Station No. 2. Mr. Busse completed the
Schematic Design Phase and substantially completed the Design
Development Phase. However, he advised the City recently that he
can no longer continue to provide the architectural service due
to health reasons.
Since then, the Council awarded a contract to BCER Architects to
complete the contract that G.E. Busse began. However, on January
16, 1996, BCER presented a letter request to increase its fee
from $38,200.00 to $67,967.00, an unacceptable request.
Staff met with Mr. Dave Szaney to review the project scope of
work and contract documents. Mr. Szaney indicated that he is
interested in the project and will perform the necessary
architectural services for the same fee as submitted in his
proposal-- $40,300.00. Dave Szaney & Associates have
successfully completed projects for private and public agencies
in Monrovia. The firm has also completed the remodeling of Fire
Station No. 46 in Simi Valley, Fire Station No. 34 in Thousand
Oaks and Fire Station No. 42 in Moorpark. Mr. Szaney is also the
Architect of Record for the existing structure at the project
site of Fire Station No. 2 in Monrovia.
The preparation of the plans and specifications for bidding will
take approximately 90 calendar days. The bidding process and
Award of Contract will require approximately 60 calendar days,
which would allow the start of construction in July and
completion by December 1996 of this year.
Mr. Szaney executed the contract indicating a commitment to
perform the services at the fixed fee of $40,300.00 Staff feels
that Mr. Szaney has the experience and expertise necessary to
complete the work.
It was moved by Mr. Adams, seconded by Ms. Blakely, to rescind
the Award of Contract to BCER in the amount of $38,200.00, and
award a Contract for architectural services to Dave Szaney &
Associates in the amount of $40,300.00 for the preparation of
plans, specifications, cost estimates, bidding, and construction
services.
Roll Call: Ayes: Councilmembers Adams, Blakely, McCarville,
Mayor Pro Tem Wilcox, and Mayor Bartlett
Motion carried: 5-0
4. Legislative Consent Calendar (taken out of order; see Page
No. 1):
This matter was removed from the Consent Calendar, taken into
consideration out of order as noted above, and adopted following
the adoption of the remaining items on the Consent Calendar.
5. Joint Exercise of Powers Agreement; Establishment of Monrovia
Financing Authority, Resolution No. 96-08; Authorization of
Execution and Delivery of Installment Sale Agreement in
Connection with Prepayment of Loan with the State of California,
Department of Water Resources, Resolution No. 96-09
Administrative Services Director Kenneth Nordhoff reviewed the
Staff Report.
Staff Report MRA-3 above discussed the needs and process for
establishing the Monrovia Financing Authority. Resolution 96-08
authorizes the City, as a public entity, to create the Monrovia
Financing Authority (MFA). The Authority will be used as a
vehicle to replace the existing State water loan with a new
installment agreement initiated through Sanwa General Equipment
Leasing. The water loan is presently an obligation of the City
and more specifically, the Water Fund. The focus of this report
will be on the requirements and components of the refinancing
transaction with Sanwa Leasing.
The original $1.5 million Department of Water Resources Loan was
completed in 1982 to construct water system improvements in the
Norumbega area of the City. The original 8.5% interest rate was
reduced to 8.1%.
As of this writing, the outstanding portion of the Water Loan is
$1,270,529,43. Annual payments of $143,075.00 are scheduled over
the next 16 years to fully retire the debt. The current
borrowing climate is favorable, particularly since the Federal
Reserve has reduced interest rates.
A Joint Powers Authority must be approved by the City and Agency
and the Financing Authority created in order that the City
Council can consider adoption of Resolution No. 96-09. The MFA
will have title to the water system and improvements. The MFA
will agree to purchase the improvements through an installment
sale agreement with City. Funds for the purchase shall come from
Sanwa. The Authority will assign its vested rights, under the
agreement, to Sanwa General Equipment Leasing in an amount
sufficient to repay the outstanding water loan in full.
This refinancing will save the City's Water Fund over $19,000.00
per year in debt service costs beginning this fiscal year. This
will hold down the total cost of water service in future years.
After discussion, it was moved by Mrs. Wilcox, seconded by Ms.
Blakely, to adopt Resolution No. 96-08, approving a Joint
Exercise of Powers Agreement between the City of Monrovia and the
Monrovia Redevelopment Agency.
Roll Call: Ayes: Councilmembers Adams, Blakely, McCarville,
Mayor Pro Tem Wilcox, and Mayor Bartlett
Motion carried: 5-0
It was moved by Mrs. Wilcox, seconded by Ms. Blakely, to adopt
Resolution No. 96-09, authorizing the execution and delivery of
an installment sale agreement in connection with the prepayment
of a loan contract with the State of California, Department of
Water Resources.
Roll Call: Ayes: Councilmembers Adams, Blakely, McCarville,
Mayor Pro Tem Wilcox, and Mayor Bartlett
Motion carried: 5-0
J. RESOLUTIONS & ORDINANCES:
1. Amendment of Title 17 (Zoning) Monrovia Municipal Code
Relating to Outdoor Dining in Historic Downtown Commercial Zone
and City-wide; Second Reading and Adoption; Ordinance No. 95-14
This is the second reading and final adoption of Ordinance No.
95-14 amending the Monrovia Municipal Code relating to outdoor
dining in the Historic Downtown Commercial District and
City-wide.
It was moved by Ms. Blakely, seconded by Mr. Adams, to read by
title only Ordinance No. 95-14. As there were no objections,
City Attorney Bagneris read as follows:
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF MONROVIA,
CALIFORNIA, AMENDING TITLE 17 (ZONING) OF THE MONROVIA MUNICIPAL
CODE PERTAINING TO OUTDOOR DINING IN CONJUNCTION WITH A FOOD
BUSINESS.
It was moved by Ms. Blakely, seconded by Mr. Adams, to adopt
Ordinance No. 95-14.
Roll Call: Ayes: Councilmembers Adams, Blakely, McCarville,
Mayor Pro Tem Wilcox, and Mayor Bartlett
Motion carried: 5-0
*2. Support of United States Food and Drug Administrations Plan
to Reduce Smoking Among Children through Regulation of Tobacco
Products, Resolution No. 96-10
Resolution No. 96-10 was approved by order of the Consent
Calendar.
The Food and Drug Administration (FDA) has proposed a plan to
reduce smoking among youth by 50%. The proposal builds on
previous actions taken by Congress, states and local communities
to ban television advertising of tobacco products and to prohibit
the sale or use of tobacco by children. It is supported by the
American Lung Association, American Heart Association, American
Cancer Society, and the American Medical Association. The
proposal includes:
Banning cigarette vending machines and eliminating mail-order
sales, free samples and self-service displays.
Banning outdoor advertising of tobacco products within 1,000 feet
of schools and playgrounds and permitting only the use of black
and white text for all other outdoor advertising.
Prohibiting the sale or give-away of product merchandise bearing
cigarette or smokeless tobacco product brand names or logos.
Requiring the tobacco industry to fund a $150 million public
education campaign to prevent kids from smoking.
The proposal does not mandate any programs or costs to state or
local jurisdictions. The FDA requests a show of support from
local communities via City Council resolution. Many neighboring
cities have adopted the resolution of support.
Staff recommended adopting Resolution No. 96-10 supporting the
United States Food and Drug Administration plan to reduce smoking
among children through regulation of tobacco products.
*K. PAYROLL AND VOUCHERS: Payroll No. 2 in the net amount of
$289,614.69 and Voucher Numbers 51578 through 51919
non-sequentially in the amount of $634,526.10 was approved by
order of the Consent Calendar.
L. SCHEDULED MEETINGS: The next Regular Meeting of the Monrovia
City Council is scheduled for Tuesday, February 20, 1996, 7:30
P.M., Council Chambers, 415 South Ivy Avenue, Monrovia,
California.
CONVENE MONROVIA FINANCING AUTHORITY MEETING: The first Meeting
of the Monrovia Financing Authority was convened by President
Robert T. Bartlett at on Tuesday, February 6, 1996 at 9:20 P.M.
without recessing the City Council Meeting.
ROLL CALL: In attendance were Authority Commissioners Adams,
Blakely, McCarville, Vice-President Wilcox, and President
Bartlett
A. CONSENT CALENDAR: None
*B. MINUTES: None
MFA-1: Bylaws of the Authority; Resolution No. A96-01; and
Authorization of Execution and Delivery of Installment Sale
Agreement in Connection with the Prepayment of a Loan Contract
with the State of California, Department of Water Resources;
Resolution No. A96-02
Administrative Services Director Kenneth Nordhoff reviewed the
Staff Report.
Staff reports MRA-3 and I-5 included adoption of resolutions
which create the Monrovia Financing Authority (MFA). These
actions were necessary in order to complete the State Department
of Water Resources Loan refinancing. The Authority is an
integral part of this debt restructuring. Prior to taking
action, the Authority must first adopt bylaws, which empower this
entity to conduct business. The Bylaws of the Authority
establish the City Council as the governing body, which shall be
known as the Authority Commission. The Officers of Authority are
proposed to be as follows:
President: Current Mayor of the City of Monrovia
Vice President: Current Mayor Pro Tem of the City of
Monrovia
Secretary: Current City Clerk of the City of Monrovia
Treasurer: Current Treasurer of the Monrovia
Redevelopment Agency
Chief Administrative Officer: Current City Manager of
the City of Monrovia
As was explained in the MRA-3 Staff Report, the Agency's Bylaws
were amended to better reflect the duties of the Treasurer and
Administrative Services Director. The majority of the duties
outlined fall into the responsibility of the Finance Department.
The Bylaws, as proposed, reflect the anticipated fiscal
operations and management of the MFA. Creation of the MFA
requires at least one annual meeting. Separate Minutes and
documentation of MFA actions will be tracked by the Commission's
Secretary. Accounting, budgeting and auditing requirements are
expected to be minimal.
Resolution No. A96-02 is the complementary approval to the DWR
refinancing actions taken by the City. The execution and
delivery of the installment sale refinancing is authorized upon
approval of this resolution. The Sanwa Leasing Assignment
Agreement will assign vesting title in the installment sale from
the MFA to Sanwa in exchange for sufficient funds to retire the
existing Water Loan. This is the final document needed to
complete the entire refunding transaction.
It was moved by Mrs. Wilcox, seconded by Mr. Adams, to adopt
Resolution No. A96-01, establishing the Bylaws of the Monrovia
Financing Authority.
Roll Call: Ayes: Commissioners Adams, Blakely, McCarville, Vice
President Wilcox, and President Bartlett
Motion carried: 5-0
It was moved by Mrs. Wilcox, seconded by Ms. Blakely, to adopt
Resolution No. A96-02, authorizing the execution and delivery of
an installment sales agreement in connection with the prepayment
of a loan contract with the State of California, Department of
Water Resources.
Roll Call: Ayes: Commissioners Adams, Blakely, McCarville, Vice
President Wilcox, and President Bartlett
Motion carried: 5-0
ADJOURN MONROVIA FINANCING AUTHORITY MEETING: The Meeting was
adjourned at 9:25 P.M. and the City Council Meeting continued.
ACKNOWLEDGMENTS: Mayor Bartlett thanked Fire Chief Ernest
Mitchell for an excellent job of Master of Ceremonies at the Boys
& Girls Club "For the Love of Youth" annual dinner on February 3,
1996.
HALF-WAY HOUSES: Mayor Bartlett requested that Staff advise the
City Council as to the number of half-way houses were in Monrovia
and where they were located. Assistant City Manager Donald Hopper
noted that if there were five or less people, a permit was not
needed as the half-way houses were considered to be in the same
category as board and care facilities. Mayor Bartlett expressed
concern that there was no local review process, and he suggested
that Assemblyman Margett or Senator Mountjoy be approached to
carry legislation allowing local government to regulate half-way
houses. City Manager Gould stated that he would take up the issue
with Assemblyman Margett.
N. ADJOURNMENT: It was moved by Ms. Blakely, seconded by Mrs.
McCarville, to adjourn. As there were no objections, the Meeting
was adjourned at 9:30 P.M.
APPROVED:
_________________________________
Robert T. Bartlett, Mayor
ATTEST:
________________________________
Linda B. Proctor, City Clerk
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