03/11/2014 0 CITY OF GRAND TERRACE
rtgnuTee A� CITY COUNCIL
MINUTES • MARCH 11, 2014
Council Chambers Regular Meeting 6:00 PM
Grand Terrace Civic Center• 22795 Barton Road
CALL TO ORDER
Convene City Council and City Council as the Successor Agency to the Community Redevelopment
Agency
Invocation- Pastor Andy McRae,Azure Hills Seventh-Day Adventist Church
Pledge of Allegiance-Council Member McNaboe
Attendee Name'" Title Status � Arrived
Walt Stanckiewitz Mayor Present
Darcy McNaboe ---; Council Member ; Present
Jackie Mitchell Council Member Present '.
Sylvia Robles Council Member Present
Kenneth J. Henderson Interim City Manager - _ _ Present - --_-
Emily Wong — ! Interim Assistant City Manager Present 1
Steve Elam_ _ Finance Department Present
Cynthia Fortune i Finance Director Present
_ _.-- _._---_-_-- --
Sandra Molina - Interim Community Development Director ! Present
_:- Robert Khuu ' Deputy City Attorney Present _
Mari Montes - _i_-Y -' Secretary - - ---- - - ^- _ -_�. Present - --T-
Donny Mahoney San-Bernardino County Sheriffs Department ' Present
1. ITEMS TO DELETE - ITEM 8.A
At the request of the San Bernardino Associated Governments (SANBAG), Interim City Manager Ken
Henderson recommended Item 8.A be continued to the next Regular City Council Meeting date of
Tuesday, March 25, 2014 at 6:OOPM.
2. SPECIAL PRESENTATIONS - NONE
3. CONSENT CALENDAR
Consent Calendar items A, B, and C were approved unanimously.
RESULT: APPROVED [UNANIMOUS]
MOVER: Darcy McNaboe, Council Member
SECONDER_: Jackie Mitchell, Council Member
AYES: Walt Stanckiewitz, Darcy McNaboe, Jackie Mitchell, Sylvia Robles
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A. Waive Full Reading of Full Ordinances on Agenda
B. Approval of Minutes-Regular Meeting-02/25/2014
ff C. Approval of Check Register No. 03-11-2014
City of Grand Terrace Page 1 , AMENDED
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✓( Minutes Grand Terrace City Council March 11, 2014
4. PUBLIC COMMENT
Denis Kidd, Grand Terrace, spoke regarding the success of this year's Blue Mountain Walk, and
specifically thanked the San Bernardino County Sheriffs Department, the Citizen's Patrol, the San
Bernardino County Fire Department, Matt and Vic from the City of Grand Terrace, Earl Fraser, the Lion's
Club, the Boy Scouts of America, Azure Hills Seventh-Day Adventist Church and JoAnn Johnson.
Arnold San Miguel, Southern California Association of Governments (SCAG), announced an invitation to
join SCAG at its Annual Meeting on May 1-2, 2014 to be held in Indian Wells, CA. Mr. San Miguel also
announced nominations are currently being accepted for the Sustainability Award that will be issued at
the Annual Meeting in May. The deadline for submission of nominees for the award is March 21, 2014.
5. COUNCIL REPORTS
Council Member Jackie Mitchell noted her attendance at this year's Blue Mountain Walk, and conveyed
her satisfaction with the attendance and support received from the community during the event. She
gave a personal thanks to Denis Kidd, and all of the volunteers who assisted with success of the walk.
Council Member Sylvia Robles announced that she is running for the State Senate, District 20, in the
upcoming elections as noted in previous press releases.
Council Member Darcy McNaboe indicated her thanks to Denis Kidd for the job he did with this year's
Blue Mountain Walk, and its outstanding turnout. Council Member McNaboe also reminded residents to
be on the lookout for mailers inserted in Riverside Highland Water Company bills that provide an Annual
_ Report of consumption, and tips on how to conserve water during the period of drought currently being
experienced in the region.
Mayor Walt Stanckiewitz reported the receipt of an email from Paula Beauchamp at SANBAG, noting the
successful completion of the environmental phase of the 1-215 Barton Road Interchange project by the
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Project Development Team. The Mayor indicated this marks the official move into the design phase of
the project as it remains on schedule for phase completion in early to mid-2016.
6. PUBLIC HEARINGS - NONE
7. UNFINISHED BUSINESS
A. Mid-Year Budget Review for Fiscal Year 2013-14
Cynthia Fortune, Finance Director and Steve Elam, Project Manager, presented the Mid-Year Budget
Review staff report, including information regarding the General Fund, Wastewater Fund and the
Childcare Fund. Staff also presented information regarding recommended budget appropriations,
recommended reserves and FY 2014/2015 Budget Guidelines.
Council Member Darcy McNaboe indicated that the provided report was well stated, and easy to follow.
Also, she asked questions regarding the review of the ROPS payments previously received by the County
Auditor Controller's office and the schedule for receipt of ROPS 13-14B.
Finance Director Cynthia Fortune responded that the results of the review should be received prior to the
end of the current fiscal year, as any adjustments to the amount will be submitted during the upcoming
fiscal year.
Council Member McNaboe's also asked about the 2014-2015 and 2017-2018 projections from the Five-
Year Budget Plan and Project Manager Steve Elam confirmed that the cuts had not been reflected and
will be noted in next year's budget.
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Minutes Grand Terrace City Council March 11, 2014
Council Member Sylvia Robles relayed a conversation she had with County Auditor-Controller/Treasurer
Tax Collector, Larry Walker, regarding the enforceable obligations of the former Redevelopment Agency.
Council Member Robles and Mr. Walker agreed that the City was following the best course of action by
reconciling the process and providing the clarity necessary to ensure the accuracy and transparency of
the ROPS distribution process.
Council Member Robles voiced her concern for the 2015-2016 and 2017-2018 projected budget deficits
considering the Five-Year Budget Plan does not currently address the anticipated transition from a
contract City Manager and contract Assistant City Manager.
Council Member Jackie Mitchell reiterated two of the questions posed by Council Member McNaboe
regarding which of the ROPS payments were targeted for possible negative adjustments, and when will
the updates to the Five-Year Budget Plan be issued?
Finance Director Cynthia Fortune informed Council that all 3 ROPS payments received were listed on the
correspondence from the County Auditor-Controller's office while Project Manager Steve Elam confirmed
that the updates to the Five-Year Budget Plan would be made as part of the FY 2014/2015 budget
process.
Additionally, Council Member Robles wanted to discuss the Childcare Center. The request was echoed
by Council Member Mitchell who requested a consensus to discuss the Childcare Center as a standalone
agenda item at a future meeting of the City Council. Consensus was granted. Council Member Robles
asked if the City was paying for CalPERS for employees of the Childcare Center. Finance Director,
Cynthia Fortune, answered that the City pays for CalPERS for full-time employees of the Childcare
Center. [Amended 03/31/2014]
Mayor Walt Stanckiewitz asked a question regarding the repayment of the Loan to General Fund item
listed on page 18 of the agenda packet. Project Manager, Steve Elam, responded by indicating the
payment was structured as an advanced payment, which will afford the opportunity to forego the annual
payment If necessary.
Mayor Stanckiewitz voiced his concern regarding the continued validity of the statement noted in the
Fiscal Year 2014-2015 proposed budget guidelines, indicating that there would be no change to the
staffing levels nor a change in service levels.
Project Manager Elam explained Staff would be preparing a base budget based upon the adopted
guidelines and that any increases to the base budget would be by policy action of the Council.
Mayor Stanckiewitz addressed Lieutenant Donny Mahoney regarding the status of the new license plate
recognition software. Lieutenant Donny Mahoney confirmed that the software is being implemented at no
cost to the City.
Mid-Year Budget Review Items 2 and 3 were approved unanimously.
RESULT: APPROVED [UNANIMOUS]
MOVER: Darcy McNaboe, Council Member
SECONDER: Sylvia Robles, Council Member
AYES: Walt Stanckiewitz, Darcy McNaboe, Jackie Mitchell, Sylvia Robles
8. NEW BUSINESS
A. Selection of Design Alternatives for Washington Street Interchange/Mt. Vernon Avenue Improvement
Project
Item &A was continued until the City Council meeting of March 25, 2014.
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Minutes Grand Terrace City Council March 11, 2014
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p RESULT: CONTINUED [UNANIMOUS] Next: 3/25/2014 6:00 PM
MOVER: Darcy McNaboe,Council Member
SECONDER: Jackie Mitchell, Council Member
AYES: Walt Stanckiewitz, Darcy McNaboe, Jackie Mitchell, Sylvia Robles
B. Wastewater Agreements Between the City of Grand Terrace and the City of Colton
Andy Turner of Lagerlof, Senecal, Gosney & Kruse LLP presented the staff report regarding the
Settlement Agreement and Release, Sewer Services Agreement, and the Lease Agreement. Mr. Turner
indicated approval of the agreements would resolve ongoing monetary disputes, staff deficiency concerns
as they relate to maintenance, and will result in a one time payment of$400,000 from the City of Colton to
the City of Grand Terrace. Mr. Turner also indicated the City would be receiving a $300,000 annual lease
payment from Colton.
Mayor Walt Stanckiewitz recognized the importance of the agreement by requesting Interim City Manager
Ken Henderson to relay a sewer issue that resulted after the recent rain storm and Mr. Henderson
responded accordingly. Mayor Stanckiewitz believes it will be a mutually beneficial resolution for cities.
Council Member Sylvia Robles reiterated the necessity for the prompt approval of the agreement
considering the possible inconveniences incurred by residents.
Council Member Jackie Mitchell addressed the time table for implementing the terms of the agreement.
Interim City Manager Ken Henderson indicated an anticipated implementation in Fiscal Year 2014-2015
C` with the assumption of a successful Proposition 218 process.
Council Member Darcy McNaboe verified a payment of $1,200,000 would be made from the City's
Wastewater reserve fund according to the Settlement Agreement and asked questions regarding how the
amount was to be utilized. At Andy Turner provided a breakdown of how the payment will be
utilized in an account established specifically for Grand Terrace.
Council Member McNaboe asked also about the effect on the General Fund if the Proposition 218 protest
vote prevailed. Attorney Andy Turner confirmed that the rate increases would be paid from the General
Fund should the residents successfully protest the establishment of new sewer rates.
Council Member Jackie Mitchell requested confirmation of rate increases and Council Member McNaboe
asked whether or not the City of Colton would have the authority to increase rates for the residents of the
City of Grand Terrace. Attorney Andy Turner indicated the rates for both cities will be the same; however,
the five year projections by the City of Colton show increases of approximately two percent(2%) over that
period of time.
Council Member Sylvia Robles requested a brief overview of Proposition 218. Attorney Andy Turner
provided an explanation.
RESULT: APPROVED [UNANIMOUS]
MOVER: Jackie Mitchell, Council Member
SECONDER: Sylvia Robles, Council Member
AYES: Walt Stanckiewitz, Darcy McNaboe,Jackie Mitchell, Sylvia Robles
9. CLOSED SESSION
{ CONFERENCE WITH REAL PROPERTY NEGOTIATORS, pursuant to Section 54956.8 of the Government
Code.
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Minutes Grand Terrace City Council March 11, 2014
Property: Grand Terrace Senior Citizens/Community Services Center - located at 22140 Barton Road,
Grand Terrace, Ca 92324.
Agency negotiator: Kenneth J. Henderson, Interim City Manager
Negotiating parties: Grand Terrace Lions Club
Under negotiation: Terms of Lease Payment
CONFERENCE WITH LEGAL COUNSEL-ANTICIPATED LITIGATION
Significant exposure to litigation pursuant to paragraph (2) of subdivision (d) of Section 54956.9:
One Potential Case - California Reform Sex Offender Laws (CA RSOL)
City is in receipt of a written threat of Litigation, as described in Section 54956.9 (e)(3) of the
Government Code, dated 1/20/2014 from CA RSOL
With regard to the item relating to the sex offender ordinance on the closed session agenda, the City
received a demand from CA Reform Sex Offender Law to repeal Chapter 9.32 of the Grand Terrace
Municipal Code which relates to Sex Offender Residency or they would bring legal action against the City.
This demand is based on a recent appellate court decision that held that such local laws are pre-empted
by State Law. That Appellate Court decision is currently on appeal to the California Supreme Court. The
Council gave direction to respond to the letter indicating that rather than repeal the Chapter, the City will
suspend enforcement of the Chapter until the California Supreme Court makes a ruling on the matter.
This action was approved by the Council unanimously.
With regard to the item relating to the Lion's Club lease on the closed session agenda, the City Council
was provided with a report on this matter by the City Negotiator and legal counsel. The Council provided
its negotiator with.direction. No final action was taken. Councilmember Darcy McNaboe recused herself
and did not participate in closed session on this matter due to her and her husband's membership in the
Grand Terrace Lions Club.
ADJOURN
A. The Next Regular City Council Meeting will be held on Tuesday, March 25, 2014 at 6:00 PM.
Mayor of"the City of Grand Terrace City Clerk of the City of Grand Terrace
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