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HomeMy WebLinkAboutAgenda Packet 042809 rurr , ; rr- ia �l ,s'i r `� r. 1978 CITY OF ATASCADERO CITY COUNCIL AGENDA Tuesday, April 28, 2009 City Hall Council Chambers 6907 EI Camino Real, Atascadero, California City Council Closed Session 5 00 P M City Council Regular Session 6 00 P M CLOSED SESSION 5 00 P M 1 PUBLIC COMMENT— CLOSED SESSION 2. CALL TO ORDER a. Conference with Labor Negotiators(Govt. Code Sec 54957 6) Agency designated representatives Wade McKinney, City Manager; Jim Lewis, Assistant City Manager Employee Organizations Service Employees International Union, Local 620, Atascadero Police Association, Mid-Management/Professional Employees, Atascadero Firefighters Bargaining Unit; Non-Represented Professional and Management Workers and Confidential Employees 3 ADJOURN 1 CLOSED SESSION REPORT REGULAR SESSION 6 00 P M PLEDGE OF ALLEGIANCE Mayor Pro Tem Fonzi ROLL CALL Mayor Beraud Mayor Pro Tem Fonzi Council Member Clay Council Member Kelley Council Member O'Malley APPROVAL OF AGENDA. Roll Call A. CONSENT CALENDAR. (All items on the consent calendar are considered to be routine and non-controversial by City staff and will be approved by one motion if no member of the Council or public wishes to comment or ask questions If comment or discussion is desired by anyone, the item will be removed from the consent calendar and will be considered in the listed sequence with an opportunity for any member of the public to address the Council concerning the item before action is taken DRAFT MINUTES Council meeting draft minutes are listed on the Consent Calendar for approval of the minutes Should anyone wish to request an amendment to draft minutes, the item will be removed from the Consent Calendar and their suggestion will be considered by the City Council If anyone desires to express their opinion concerning issues included in draft minutes, they should share their opinion during the Community Forum portion of the meeting ) 1 City Council Meeting Draft Minutes — March 10, 2009 ■ Recommendation. Council approve the City Council Meeting Draft Minutes of March 10, 2009 [City Clerk] 2. City Council Special Meeting Draft Minutes — March 12, 2009 ■ Recommendation Council approve the City Council Special Meeting Draft Minutes of March 12, 2009 [City Clerk] 3 Approval of City Council Strategic Planning Goals ■ Fiscal Impact: There is no fiscal impact to the approval of these strategic planning goals and consent to the related action plans Funding for implementation of the action plans will be included in the proposed 2009- 2011 Budget which will be brought before the Council in June ■ Recommendation. Council approve strategic planning goals and consent to related action plans [City Manager] 2 4. Weed Refuse/Abatement Program ■ Fiscal Impact: The City recovers costs for administering this program through the 150% administrative fee, which is placed on the San Luis NOW Obispo County Special Tax Assessment for the fiscal year 2009-2010 Tax Roll ■ Recommendation. City Council adopt the draft Resolution, declaring vegetative growth and/or refuse a public nuisance, commencing proceedings for the abatement of said nuisances, and placing all abatement fees on the San Luis Obispo County Special Tax Assessment for the fiscal year 2009-2010 Tax Roll [Fire] 5. George C. Beatie Skate Park Lease Agreement with Kevin Campion DBA Paradise Coalition ■ Fiscal Impact: The basic agreement is similar to the previous agreement with Austin Miller and Mobley's The City will pay the premium for Mr Campion's Liability Insurance, not to exceed $3,200 annually The rent will be one dollar per year The City will take a percentage of class and skate camp activity conducted at the Skate Park. Contractor will provide an annual split of 40% of contracted classes revenue for the Skate and BMX Camps held at the Skate Park. The amount of operating funds saved annually, by the City not operating the Skate Park directly, is approximately $10,300 in City staff time ■ Recommendation. Council approve the partnership and authorize the City Manager to execute the Lease Agreement between the City of Atascadero and Kevin Campion, DBA Paradise Coalition, allowing Mr Campion to take over operation of the George Beatie Skate Park from Austin Miller, DBA Mobley's Boardshop [Community Services] 6. _City Inspection Services ■ Fiscal Impact: Funds used to pay for inspection services will be taken from previously allocated Capital Improvement project funds and Public Works Department Contract Services funds ■ Recommendation. Council authorize the City Manager to enter into ongoing contracts for contract inspection services with firms on the "Inspection Services Qualified Firm List." [Public Works] 7 San Andres Avenue Sidewalk Project Award City Bid No. 2009-005 ■ Fiscal Impact: $93,158 48 of Community Development Block Grant funds ■ Recommendations. Council 1 Reject bids submitted by R.W Scott Construction and G Sosa Construction as non-responsive, and, 2 Authorize the City Manager to execute a contract with Kirk Construction in the amount of $93,158 48 for construction of the San Andres Avenue Sidewalk Project; and, 3 Authorize the Director of Public Works to file a Notice of Completion with the County Recorder upon satisfactory completion of the project. [Public Works] 'err 3 UPDATES FROM THE CITY MANAGER. (The City Manager will give an oral report on any current issues of concern to the City Council ) COMMUNITY FORUM (This portion of the meeting is reserved for persons wanting to address the Council on any matter not on this agenda and over which the Council has jurisdiction Speakers are limited to three minutes Please state your name for the record before making your presentation The Council may take action to direct the staff to place a matter of business on a future agenda A maximum of 30 minutes will be allowed for Community Forum, unless changed by the Council ) B PUBLIC HEARINGS None C MANAGEMENT REPORTS 1 Budget Plan 2009-2011 ■ Fiscal Impact: The budget that is adopted by Council in June will be the fiscal model to carry the City through the next two-year cycle ■ Recommendations. 1 Council find it has become necessary to abolish positions of employment and authorize the City Manager to proceed with necessary staff layoffs 2 Council receive and file budget update [Administrative Services] 2. Ballot Measure for Elected Mayor and Discussion of Mayor and Council Member Compensation ■ Fiscal Impact: The cost to add a ballot measure to the November 2010 ballot is approximately $2,000 00 ■ Recommendation. Council authorize the City Clerk to include in the Resolutions for the General Municipal Election of November 2, 2010, the placement of a ballot measure asking the voters if they desire to elect a Mayor, and if so, do they want the Mayor to serve a 2 or 4-year term [City Clerk] 3 Renewal of Contract with AGP Video and Modifications to Existing Internet Services ■ Fiscal Impact: Favorable negotiations regarding the new contract are expected to produce an annual savings of$4,000 If the Council wishes to reduce the budget further, implementation of staffs recommendation to discontinue streaming and/or archiving could result in a savings of $9,000, while discontinuing broadcasting of the Planning Commission meetings could further result in an additional $12,650 annual savings ■ Recommendations. Council 1 Authorize the City Manager to enter into a contract with AGP Video of Morro Bay to provide broadcasting and channel management services for the City's cable channel, and, 2 Discontinue streaming and/or archiving meetings via the Internet; and, 3 Discontinue broadcasting of Planning Commission meetings [City Manager] 4 COUNCIL ANNOUNCEMENTS AND REPORTS (On their own initiative, Council Members may make a brief announcement or a brief report on their own activities Council Members may ask a question for clarification, make a referral to staff or take action to have staff place a matter of business on a future agenda The Council may take action on items listed on the Agenda ) D COMMITTEE REPORTS (The following represent standing committees Informative status reports will be given, as felt necessary) Mayor Beraud 1 City/ Schools Committee 2 County Mayors Round Table 3 Finance Committee 4 Homeless Services Governing Board 5 Integrated Waste Management Authority (IWMA) Mayor Pro Tem Fonzi 1 Air Pollution Control District 2 Finance Committee Council Member Clay 1 City/ Schools Committee Council Member Kelley 1 Atascadero State Hospital Advisory Committee 2 Atascadero Youth Task Force Council Member O'Malley 1 Economic Vitality Corporation, Board of Directors (EVC) 2 League of California Cities — Council Liaison and CITIPAC Board Member 3 SLO Council of Governments, Vice President (SLOCOG) 4 SLO Regional Transit Authority, Vice President (SLORTA) 5 Central Coast Regional Water Quality Control Board, Member (RWQCB) E INDIVIDUAL DETERMINATION AND / OR ACTION 1 City Council 2 City Clerk 3 City Treasurer 4 City Attorney 5 City Manager F ADJOURNMENT 5 Please note: Should anyone challenge any proposed development entitlement listed on this Agenda in court, that person may be limited to raising those issues addressed at the public hearing described in this notice or in written correspondence delivered to the City Council at or prior to this public hearing Correspondence submitted at this public hearing will be distributed to the Council and available for review in the City Clerk's office. I Marcia McClure Torgerson C M C , City Clerk of the City of Atascadero declare under the penalty of perjury that the foregoing agenda for the April 28 2009 Regular Session of the Atascadero City Council was posted on April 21 2009 at the Atascadero City Hall 6907 EI Camino Real, Atascadero CA 93422 and was available for public review in the Customer Service Center at that location Signed this 21 st day of April 2009 at Atascadero, California Marcia McClure Torgerson C M C City IeFk City of Atascadero 6 City of Atascadero WELCOME TO THE ATASCADERO CITY COUNCIL MEETING Afhe City Council meets in regular session on the second and fourth Tuesday of each month at 6.00 p.m unless there is a Community Redevelopment Agency meeting commencing at 6*00 p.m in which event the Council meeting will commence immediately following the conclusion of the Community Redevelopment Agency meeting. Council meetings will be held at the City Hall Council Chambers 6907 EI Camino Real Atascadero Matters are considered by the Council in the order of the printed Agenda. Copies of the staff reports or other documentation relating to each item of business referred to on the Agenda are on file in the office of the City Clerk and are available for public inspection during City Hall business hours at the Front Counter of City Hall, 6907 EI Camino Real Atascadero, and on our website www.atascadero.org. An agenda packet is also available for public review at the Atascadero Library, 6850 Morro Road Contracts, Resolutions and Ordinances will be allocated a number once they are approved by the City Council The minutes of this meeting will reflect these numbers All documents submitted by the public during Council meetings that are either read into the record or referred to in their statement will be noted in the minutes and available for review in the City Clerk's office Council meetings are video taped and audio recorded, and may be reviewed by the public Copies of meeting recordings are available for a fee Contact the City Clerk for more information (470-3400) In compliance with the Americans with Disabilities Act, if you need special assistance to participate in a City meeting or other services offered by this City please contact the City Manager's Office or the City Clerk's Office, both at (805) 470-3400 Notification at least 48 hours prior to the meeting or time when services are needed will assist the City staff in assuring that reasonable arrangements can be made to provide accessibility to the meeting or service TO SPEAK ON SUBJECTS NOT LISTED ON THE AGENDA Under Agenda item, 'COMMUNITY FORUM" the Mayor will call for anyone from the audience having business with the Council to approach the lectern and be recognized 1 Give your name for the record (not required) 2. State the nature of your business *4W 3 All comments are limited to 3 minutes 4 All comments should be made to the Mayor and Council 5 No person shall be permitted to make slanderous, profane or negative personal remarks concerning any other individual, absent or present This is the time items not on the Agenda may be brought to the Councils attention. A maximum of 30 minutes will be allowed for Community Forum (unless changed by the Council) TO SPEAK ON AGENDA ITEMS (from Title 2, Chapter 1 of the Atascadero Municipal Code) Members of the audience may speak on any item on the agenda. The Mayor will identify the subject, staff will give their report, and the Council will ask questions of staff The Mayor will announce when the public comment period is open and will request anyone interested to address the Council regarding the matter being considered to step up to the lectern If you wish to speak for, against or comment in any way- 1 You must approach the lectern and be recognized by the Mayor 2 Give your name (not required) 3 Make your statement 4 All comments should be made to the Mayor and Council 5 No person shall be permitted to make slanderous profane or negative personal remarks concerning any other individual absent or present 6 All comments limited to 3 minutes If you wish to use a computer presentation to support your comments, you must notify the City Clerk's office at least 24 hours prior to the meeting Digital presentations brought to the meeting on a USB drive or CD is preferred Access to hook up your laptop to the City's projector can also be provided You are required to submit to the City Clerk a printed copy of your presentation for the record Please check in with the City Clerk before the meeting begins to announce your presence and turn in the printed copy he Mayor will announce when the public comment period is closed, and thereafter no further public comments will be heard by the Council 7 ITEM NUMBER. A-1 DATE. 04/28/09 ran r• F.. r. r CITY OF ATASCADERO CITY COUNCIL DRAFT MINUTES Tuesday, March 10, 2009 City Hall Council Chambers 6907 EI Camino Real, Atascadero, California REGULAR SESSION 6 02 P.M Mayor Beraud called the meeting to order at 6 00 p m and Mayor Pro Tem Fonzi led the Pledge of Allegiance ROLL CALL. Present: Council Members O'Malley, Clay, Kelley, Mayor Pro Tem Fonzi, and Mayor Beraud Absent: None Others Present: City Clerk / Assistant to the City Manager Marcia McClure Torgerson and Deputy City Clerk Susanne Anshen Staff Present: City Manager Wade McKinney, Assistant City Manager Jim Lewis, Community Development Director Warren Frace, interim Public Works Director Geoff English, Deputy Public Works Director David Athey, and City Attorney Brian Pierik APPROVAL OF AGENDA. MOTION By Mayor Pro Tem Fonzi and seconded by Council Member Kelley to approve the agenda. Motion passed 5.0 by a roll-call vote. Draft CC Minutes 3/10/09 Page 1 of 10 9 ITEM NUMBER. A- 1 DATE. 04/28/09 A. CONSENT CALENDAR. 1 August 2008 Accounts Payable and Payroll ■ Fiscal Impact: $3,662,549 47 ■ Recommendation. Council approve certified City accounts payable, payroll and payroll vendor checks for August 2008 [Administrative Services] 2. September 2008 Accounts Payable and Payroll ■ Fiscal Impact: $2,275,557 85 ■ Recommendation. Council approve certified City accounts payable, payroll and payroll vendor checks for September 2008 [Administrative Services] 3 October 2008 Accounts Payable and Payroll ■ Fiscal Impact: $2,122,960 88 ■ Recommendation. Council approve certified City accounts payable, payroll and payroll vendor checks for October 2008 [Administrative Services] 4 November 2008 Accounts Payable and Payroll ■ Fiscal Impact: $2,429,045 53 ■ Recommendation. Council approve certified City accounts payable, payroll and payroll vendor checks for November 2008 [Administrative Services] 5. December 2008 Accounts Payable and Payroll ■ Fiscal Impact: $2,499,077 34 ■ Recommendation. Council approve certified City accounts payable, payroll and payroll vendor checks for December 2008 [Administrative Services] 6 Temporary Road Closure — Calvary Chapel of Atascadero ■ Fiscal Impact: None $190 00 for the installation of Road Closed signs by Public Works Staff The road closure costs will be paid by the applicant. ■ Recommendation. Council adopt the Draft Resolution establishing a temporary tow-away zone and authorizing the closure of Palma Avenue from East Mall to West Mall from 4.00 p m Saturday, April 11, 2009 through 3.00 p m Sunday, April 12, 2009 for events in the Sunken Gardens by Calvary Chapel of Atascadero [Public Works] 7 Temporary Road Closure — Sunken Gardens Yard Sale ■ Fiscal Impact: $190 00 per event for the installation of Road Closed signs by Public Works Staff Draft CC Minutes 3/10/09 Page 2 of 10 10 ITEM NUMBER. A- 1 DATE. 04/28/09 ■ Recommendation. Council adopt the Draft Resolution establishing a ,%W temporary tow-away zone and authorizing the closure of Palma Avenue from West Mall to East Mall on Saturday, April 18, 2009, from 5 00 a.m to 4 00 p m for the annual Sunken Gardens Yard Sale [Public Works] 8 EI Verano Avenue Overlay Proiect Award — City Bid No. 2009-002 ■ Fiscal Impact: $113,710 93 to be paid out of Proposition 42 "Traffic Relief Congestion Funds " ■ Recommendations. Council 1 Authorize the City Manager to execute a contract with Michael Frederick Paving, Inc , in the amount of$113,710 93 for construction of the El Verano Avenue Overlay Project; and, 2 Authorize the Public Works Director to intermittently close portions of EI Verano Avenue during the construction period, and, 3 Authorize the Director of Public Works to file a Notice of Completion with the County Recorder upon satisfactory completion of the project. [Public Works] MOTION By Mayor Pro Tem Fonzi and seconded by Council Member Clay to approve the Consent Calendar (Item A- 6, Resolution No 2009-010, Item No A-7, Resolution No 2009-011, and Item No A-8, Contract No 2009-002.) Motion passed 5.0 by a roll-call vote. Mayor Beraud offered the City's condolences to the tenants and owner of the North County Christian Thrift Store for the loss they experienced in the fire this week. COMMUNITY FORUM Pastor Steve Shively, Calvary Chapel, one of the tenants displaced by the fire, thanked police and fire staff and offered a prayer Ann Ketcherside, Business Friends, spoke about their recent meeting and the donations provided by local businesses Steve Martin, Atascadero Main Street, thanked the police and fire department for protecting the downtown and expressed regret for the loss of the historic building He announced special events for the summer and the live Internet radio on their website Jack Porter, President of the Atascadero Chamber, announced their after-hours mixer for March 19th at 5 30 p m hosted by the Atascadero Youth Task Force at the high school gym Jim Shannon stated that now a great time for our community to come together to help those impacted by the recent fire and expressed his hope to leave the negativity behind Draft CC Minutes 3/10/09 Page 3 of 10 11 ITEM NUMBER. A- 1 DATE. 04/28/09 David Broadwater thanked police and fire for preventing further damage downtown He said the decision to have the meeting on the Rotunda Building televised was a good Nftol decision He stated it was not appropriate for city staff to attend the recent retreat when there are tight budgetary cuts being made and when staff is being furloughed and asked to take pay cuts Mayor Beraud closed the Community Forum period City Manager Wade McKinney stated the City has not asked any staff to retire, give up salary, or eliminate positions He said the City has asked for ideas from staff on cost- cutting ideas Mr McKinney explained the management team's strategic planning workshop in Carmel Valley was important for staff to promote leadership, education, and action plans for the Council's goals They have attended this workshop every year, the last several years in Carmel Valley They are able to keep the cost to a minimum by staying at an older lodge with no extra frills, car pooling, and even preparing some of their own meals The Council expressed their support of the workshop's value to the City City Manager Wade McKinney stated there will be a future presentation on the recent fire and relocation efforts, and Redevelopment Agency staff are working with the displaced tenants to assist in their re-location B PUBLIC HEARINGS None C MANAGEMENT REPORTS 1 Chamber of Commerce Building / City Property (6550 EI Camino Real) ■ Fiscal Impact: The total impact to the City would be the reduction in the revenue from the property lease, from $1,000 to $1 00 annually, and ultimately the cost for demolition of the building ■ Recommendations. Council 1 Authorize the City Manager to terminate the Land Lease Agreement with the Chamber of Commerce of the property at 6550 EI Camino Real, and, 2 Authorize the City Manager to execute a Land Lease Agreement with Atascadero Main Street for the property at 6550 EI Camino Real for $1 00 annually [City Manager] City Manager Wade McKinney gave the staff report and answered questions of the City Council PUBLIC COMMENT Draft CC Minutes 3/10/09 Page 4 of 10 12 ITEM NUMBER. A- 1 DATE. 04/28/09 Jack Porter, Chamber of Commerce, stated his board is not interested in being the w landlord They have met with the Main Street board and the Chamber wants to get out of the lease with the City and allow Main Street to get into the building Steve Martin, Main Street, stated the staff recommendation is acceptable to Main Street. Moving into this building will positively impact their ability to stage events in the downtown Sandy Jack stated he does not see any problem as the City owns the land and ought to own the building Mayor Beraud closed the Public Comment period MOTION By Council Member Clay and seconded by Council Member O'Malley to put this item on the Redevelopment Agency Agenda to purchase the building at 6550 El Camino Real, to lease -the building to the Atascadero Main Street program for one dollar ($1 00) a year, and to put this item on the fast track for completion Motion passed 5.0 by a roll-call vote. 2. Atascadero Local Economic Stimulus and Infrastructure Investment Program ■ Fiscal Impact: The funds for all but two of the projects listed above were previously allocated in the Fiscal Year 2007-2009 Budget by the City Council ■ Recommendation. Council endorse the Atascadero Local Economic Stimulus and Infrastructure Investment Program [City Manager] Assistant City Manager Jim Lewis gave the staff report and answered questions of the Council, along with Interim Public Works Director Geoff English and City Attorney Brian Pierik. PUBLIC COMMENT Joan O'Keefe asked what makes a "smart" project and if the sewer project was self- capitalizing meaning no City funds are used She also asked what would mark the beginning of these projects Ann Ketcherside stated $6 million does not sound like the City is tightening their belts and she would like to meet with staff to go over these items as some streets are not in as much need as others She would like to see local business get some funding David Broadwater stated he is pleased with the project and hopes the press release is on the Internet. Draft CC Minutes 3/10/09 Page 5 of 10 13 ITEM NUMBER. A- 1 DATE. 04/28/09 Steve Martin, Atascadero Main Street, stated government is most effective at the local level, and this is a prime example of government affecting real world problems Mayor Beraud closed the Public Comment period. Assistant City Manager Jim Lewis stated the "moment" a project is started would be as soon as it gets out to the contractors He stated he believes these are all smart projects that make sense to the community These funds are restricted capital, such as gas taxes, which are capital funds for capital purposes MOTION By Council Member O'Malley and seconded by Mayor Pro Tem Fonzi to endorse the Atascadero Local Economic Stimulus and Infrastructure Investment Program Motion passed 5.0 on a roll-call vote. 3 Discussion of Mayor and Mayor Pro Tem Selection ■ Fiscal Impact: The repeal of Resolution No 2006-084 has no fiscal impact. Ballot measure election costs are contingent upon which option is selected by the Council ■ Recommendations Council 1 Adopt Draft Resolution A, consistent with Council direction at the January, 2009, Strategic Planning Workshop, repealing Resolution No 2006-084, which provided a method for the selection of Mayor and Mayor Pro Tem, and, 2 Give the City Clerk direction concerning a ballot measure Does the City Council want to submit a ballot measure establishing a directly elected Mayor position to the voters? And if yes, when? [City Manager] City Clerk / Assistant to the City Manager Marcia McClure Torgerson gave the staff report. Ms Torgerson and City Attorney Brian Pierik answered questions of the City Council PUBLIC COMMENT Joan O'Keefe expressed her support for the Mayor rotation process Heather Moreno stated she supported an elected Mayor, however, there could be several people running for Mayor and none having a majority of the votes Len Colamarino stated his support for the elected mayor because it provides something akin to an executive officer in our municipal government, and spoke of possible responsibilities of the Mayor's office Draft CC Minutes 3/10/09 Page 6 of 10 14 ITEM NUMBER. A- 1 DATE 04/28/09 Bruce Bevans said he can see arguments on both sides, however, does not see the ,, need to repeal Resolution 2006-084 until we have an elected mayor Ron Walters stated we should retain Resolution 2006-084 until we decide to elect a Mayor He asked if a group brought its own initiative forward, would they be required to have that initiative with the same restrictions of a two-year and four-year term options Sandy Jack stated he believes the only way to shape a common vision that the majority will buy into is to have a Mayor elected by the majority of the people He recommended rescinding the current resolution returning to the Government Code provisions David Broadwater stated he is aware there are advantages of an elected Mayor, but he is against $35,000 spent on a special election in June of 2010, and favors $2,000 in November 2010 election He stated he does not see a need to rescind the existing Resolution Mayor Beraud closed the Public Comment period The City Council held a discussion on the purpose for the change to an elected Mayor, the fiscal impact for such an election process, and the timing for repealing Resolution No 2006-084 providing for rotation of the office of Mayor MOTION By Council Member O'Malley and seconded by Council Member Clay to Adopt Draft Resolution A, consistent with Council direction at the January, 2009, Strategic Planning Workshop, repealing Resolution No 2006-084, which provided a method for the selection of Mayor and Mayor Pro Tem (Resolution No 2009-012) Mayor B6raud expressed her concern that repealing Resolution A would be premature and a person does not need to be in the majority to do a good job representing the community The City Council Members held discussion on the process available for selecting the Mayor Council Member Clay called for the motion Motion passed 4.1 by a roll-call vote. (Mayor Beraud opposed.) City Clerk / Assistant to the City Manager Marcia McClure Torgerson and City Attorney Brian Pierik answered questions of the City Council members as to the second staff recommendation to provide the City Clerk with direction toward establishing a ballot measure for the office of Mayor as an elected office MOTION By Council Member Clay and seconded by Council Member O'Malley to go forward with a ballot measure to elect a City Mayor and directing the City Clerk to bring Draft CC Minutes 3/10/09 Page 7 of 10 15 ITEM NUMBER. A- 1 DATE 04/28/09 back at a future meeting details as to the process and issues necessary to accomplish this motion. Motion passed 5.0 on a roll-call vote. Ms Torgerson asked the Council for specific direction The Council asked her to bring back election date options, how timing of the initiation of a ballot measure would have on future elections, an explanation of primaries, and options on how to manage vacancies that could occur on the Council as a result of existing Council Members running for Mayor Mayor Beraud recessed the meeting at 8 27 p.m Mayor Beraud reconvened at 8 42 p.m. 4 Update of Status of State Mandated Storm Water, Wastewater and Onsite Wastewater Treatment System Regulations ■ Fiscal Impact: This is an update only Each issue has its own financial impact associated with its implementation ■ Recommendation. Council receive this update on storm and wastewater issues facing the City [Public Works] Deputy Director of Public Works David Athey gave the staff report and answered questions of the City Council , PUBLIC COMMENT None There was a consensus of the City Council members to receive this update on the Storm Wastewater issues facing the City COUNCIL ANNOUNCEMENTS AND REPORTS Council Member Clay commended the Planning Commission for approving the Tractor Supply Store, as the City needs to move quickly on business opportunities for Atascadero Council Member Kelley suggested we send a personalized letter to each business expressing interest in locating in Atascadero, conveying they are a Council of action and are here to help City Manager Wade McKinney said this is possible and staff could return to the Council with a draft. Mayor Pro Tem Fonzi suggested a change to the agenda format adding a section before Community Forum where staff could provide an update report about the City's business update on economic development or fire department activity Draft CC Minutes 3/10/09 Page 8 of 10 16 ITEM NUMBER. A- 1 DATE. 04/28/09 There was a consensus of the City Council to alter the Council Agenda to provide for a City Business Update section prior to the Community Forum Mayor Beraud spoke of her interest in the Mayors' Climate Protection Agreement and would like to sign the document and begin working on an ordinance for the reduction of plastic water bottles and Styrofoam used by the City The Council Members held a brief discussion on the issue City Attorney Brian Pierik stated if there is to be more discussion on this issue, it needs to be limited to whether or not the Council wants to put this on a future Council Agenda. There was no consensus reached among the Council D COMMITTEE REPORTS Council Member Kelley 1 Attended the Youth Task Force meeting at the High School and they will sponsor the Chamber Mixer and he hoped the Council Members would attend Council Member Clay 1 The VFW will welcome home a veteran from the Iraq War and would like to have Council Members present. Mayor Pro Tem Fonzi suggested the information be provided to the Council Members by an email from staff Council Member O'Malley 1 The EVC is going ahead with few presentations and will have staff provide the Council with the information as they are not open to the public 2 The League of California Cities, tri-counties region, will hold an event on May 1, 2009, in Goleta which is a major fundraiser Mayor Pro Tem Fonzi 1 Representative Sam Blakeslee will be at the Veterans Memorial on Friday, March 13 at 12 noon with the Marine Corps Honor Guard E INDIVIDUAL DETERMINATION AND / OR ACTION City Manager • Kick-off for the Stimulus Package tomorrow, March 11, at 4 p m at City Hall • March 12, 6 p m at City Hall, there will be a special City Council meeting to review the Rotunda Building • March 25, 2009, in the Council Chambers, at 12 30 to 1 30 p m will be a follow- up of the Council's Strategic Planning workshop • March 31, 2009, at 1 p m for the Mayor and Mayor Pro Tem there is a meeting among the Chair and Vice Chairs of the Planning Commission, Parks and Recreation Commission, and the staff responsible for those Commissions Draft CC Minutes 3/10/09 Page 9 of 10 17 ITEM NUMBER. A- 1 DATE 04/28/09 • March 31, 2009, at 6 p m at City Hall there will be a training session for the City Council, Planning Commission and Parks and Recreation Commission Assistant City Manager • Updated the City Council on the Colony Square development reporting the loan has been approved by Mission Community Bank, which is in active negotiation with bank partners He said documentation and underwriting will begin in a few weeks and anticipates returning to the City Council with a report in four to six weeks F ADJOURNMENT 9 15 p m MINUTES PREPARED BY Susanne Anshen, Deputy City Clerk Draft CC Minutes 3/10/09 Page 10 of 10 18 ITEM NUMBER. A-2 DATE. 04/28/09 SPECIAL MEETING ATASCADERO CITY COUNCIL Thursday, March 12, 2009, 6 00 p m Historic City Hall Study Session DRAFT MINUTES Mayor Beraud called the meeting to order at 6.01 p m. ROLL CALL. Present: Council Members O'Malley, Clay, Kelley, Mayor Pro Tem Fonzi, and Mayor Beraud Absent: None Others Present: City Clerk / Assistant to the City Manager Marcia McClure Torgerson Staff Present: City Manager Wade McKinney, Community Development Director Warren Frace, and Administrative Services Director Rachelle Rickard INTRODUCTIONS City Manager Wade McKinney gave a summary of the steps that have been taken by staff concerning the historic City Hall since the 2003 earthquake He introduced Administrative Services Director Rachelle Rickard and explained that she is the lead staff member handling the City's negotiations with FEMA. Ms. Rickard introduced the City's historic architectural consultant Stephanie Kingsnorth of Pfeiffer Partners Architects, and the City's FEMA consultant Richard Kinne, of James Lee Witt &Associates. Draft CC Special Meeting Minutes 3/12/09 Page 1 of 3 19 ITEM NUMBER. A-2 DATE. 04/28/09 STUDY SESSION — HISTORIC CITY HALL. Ms Kingsnorth gave a history of what happened to the building during the earthquake and the subsequent damage She also explained what FEMA has agreed to pay for, and what they have denied PUBLIC COMMENT Bruce Bevins, asked how much the City is paying for consultants on this issue Joan O'Keefe, asked what the City has paid for Pfeiffer Partners. Eric Greening, asked how dangerous is the building for workers. He also asked if the Transit Center adjacent to the historic City Hall will be moved to accommodate the proposed staging area for the restoration. Mike Zappas, asked if HVAC alternatives have been considered Len Colamarino, asked if the presented timeline is the best case scenario or worst case scenario Katrin Colamarino, asked what is the cost of the appeal Mayor Beraud closed the PUBLIC COMMENT period Mr Kinne, a former FEMA representative, explained historic preservation costs, and the financial impact of changing the use of the building He also explained the City's options for the building PUBLIC COMMENT Len Colamarino, asked several questions including asking for clarification on the alternate use limitation and how long do we have to use it as a City Hall before a change can be made Joan O'Keefe, stated she agrees with the recommendations of the consultants, restore the building She also asked for clarification of the FEMA reimbursement for temporary occupancy, and the status of the Printery Jim Wilkins, agreed that the building should be restored Lon Allan, agreed that the building should be restored He stated that if the restoration is completed by 2013, it will be ready for the City's 100th anniversary Greg Ravatt, said that he is pleased with the reports and he encouraged Council to move ahead Draft CC Special Meeting Minutes 3/12/09 Page 2 of 3 20 ITEM NUMBER. A- 2 DATE. 04/28/09 ,,; Lee Swam, asked if there is any chance of FEMA losing their funding Barbie Butz, Main Street Board, said that she is pleased and encouraged the Council to proceed with the restoration Bruce Bevins, thanked the Council for holding this Study Session, and encouraged the Council to proceed with the restoration Mayor Beraud closed the PUBLIC COMMENT period Staff and Consultants answered questions of the Council The Council Members made closing comments, and there was unanimous support from the Council for restoration of the historic City Hall ADJOURNMENT Mayor Beraud adjourned the meeting at 9.08 p m MINUTES PREPARED BY low Marcia McClure Torgerson, C M C City Clerk/Assistant to the City Manager Draft CC Special Meeting Minutes 3/12/09 Page 3 of 3 21 ITEM NUMBER. A-3 DATE. 04/28/09 r,r: r yep / Atascadero City Council Staff Report - City Manager's Office Approval of City Council Strategic Planning Goals RECOMMENDATION Council approve strategic planning goals and consent to related action plans DISCUSSION At the strategic planning meeting of January 28-29, 2009, the City Council adopted five major goals. The goals were revisited and refined to three major goals at a special Council Meeting on March 25, 2009 This report outlines each of these major goals and the action plans prepared by staff outlining how each goal will be addressed The three goals are to 1 Grow the City's Economy and Pursue Economic Development 2 Enhance Public Safety 3 Stabilize the City's Finances Grow the City's Economy and Pursue Economic Development The City of Atascadero will grow the City's economy by expanding its commercial tax base by retaining existing businesses, attracting new business, encouraging tourism, improving the permitting process, and actively promoting the community Specifically actions will include • Atascadero Local Stimulus Program o Move local road projects that can be accomplished by local contractors forward quickly o Keep building permits active through the dormant permit extension program o Invest in key visitor serving improvements at the Lake Park/ Zoo o Implement downtown Streetscape Phase 2 enhancing the downtown corridor and preparing it for future retail growth 23 ITEM NUMBER. A- 3 DATE. 04/28/09 o Provide downtown affordable housing loans to make mixed-use projects immediately more attractive • Retain and promote existing businesses o Conduct a series of roundtables with business owners and leaders regarding the City's options to become more business friendly o Coordinate and provide a "small business success seminar" in conjunction with the EVC and Chamber of Commerce o Implement a downtown fagade program that assists businesses in drawing in customers o Promote and encourage more downtown events o Create a marketing program for the community that highlights Atascadero's successes and market strengths o Expand use of business press releases • Attract new businesses to the community o Develop a marketing packet designed to attract new businesses o Continually review property inventory of available commercial property and utilize information to place new businesses o Expedite Del Rio Specific Plan (Walmart/ Annex) o Explore incentives for development in the downtown and/or for commercial sites in the City o Conduct an "Open for Business" marketing campaign aimed at recruiting other businesses in the county o Review signage regulations (appearance, business visibility, enforcement, banners) o Assist development of Colony Square and related businesses o Connect with potential investors and current landowners regarding potential commercial projects in the community o New business web portal • Encourage tourism development o Complete and implement the tourism study o Promote development of hotels on designated sites o Implementation of local way-finding sign program to provide better direction to visitors o Tourist Friendly zoning on Morro Road o Move forward with the Stadium Park Master Plan as funding becomes available o Boutique events code update to allow for these centers • Make the development process friendlier o Provide more permits available over the counter o Fast-track commercial projects o Update / simplify zoning ordinance uses and requirements o Streamline the Business License process to make it easier o Consolidate Community Development / Public Works Inspection 24 ITEM NUMBER. A-3 DATE. 04/28/09 o Expanded Permit Counter Hours 1%W o Improve communications with customers o Revise forms and applications for development to make them easier to understand and more clearly communicate requirements o Reduce plan check timelines by 50% o Develop community outreach programs to assist customers in working through new state regulations • Be proactive in growing the City's economy o Complete and enact the ADE Economic Development Strategy o Develop an "Office of Economic Development" that coordinates all economic development activities o Embrace a staff culture committed to growing business o Develop an inventory of and a strategy to move dormant development projects forward o Leverage redevelopment assets to spur additional investment Enhance Public Safety Public safety remains an important priority and the Police and Fire Departments will continue to make significant progress on making Atascadero safer Specific actions will include • Maintain and Invest in the Necessary Tools for Response o Deploy AED equipment where appropriate o Establish vision and plan for future equipment needs • Continue Training to ensure staff is prepared to respond o Establish vision and plan for future training needs o Move towards Performance Based Training to better measure impact of training on staff o Define and maintain cutting edge standards o Seek out and obtain grants to purchase modern training equipment and develop a training facility o Develop methods to ensure all personnel receives the necessary training appropriate to their position • Deploy special enforcement swiftly and efficiently in areas where there is community concern o Enhance patrols to the Sunken Garden, particularly after school o Dispatch enforcement to known areas where illegal narcotics abuse and sales are taking place o Target alcohol abuse and illegal sales to minors o Respond quickly to property crimes (Vandalism, theft, graffiti) o Monitor and respond aggressively to gang activity VAW o Determine resources necessary to combat criminal behavior o Maintain presence at Atascadero public schools 25 ITEM NUMBER. A-3 DATE 04/28/09 o Continue to educate the public and foster awareness and cooperation • Investigate Alternatives for Service Delivery and Opportunities for Revenue o Review whether or not a contracted tow service and City-owned impound yard would be revenue generating o Municipalize the City's vehicle code o Continue to participate in Automatic & Mutual Aid o Closely monitor weight or quantity of fire engine response to Atascadero from neighboring agencies, wildland response from county, and use of the ladder truck. o Strengthen our relationship with the SLO County Regional Hazardous Materials Team o Continue to develop and refine the North County Technical Rescue Team • Technology o Improve record management function by building a link between computer aided dispatch (CAD) & Fire Department records management system (FDM) software o Improve the function of mobile data computers o Solicit financial partners to collocate with and collocate within our radio vaults o Research the benefits of a consolidated dispatch center o Harden critical communications systems in preparation for disasters o Implement Citizen's Service Portal via the City website to allow greater interactivity between the Police Department and the public • Disaster/Emergency Preparedness o Continue to conduct Citywide Training annually o Attend the Emergency Management Institute-spring or fall of 2010 o Update the City's Emergency Plan o Install Emergency evacuation signage for west Atascadero o Complete emergency evacuation plan for the rest of the City o Implement a Local Business Emergency Plan program • Continue to maintain morale and retain existing staff o Establish vision and plan for future staffing needs o Continue to further support volunteerism, reserve and/or seasonal staffing programs o Develop a succession plan o Communicate regularly and openly with staff Stabilize the City's Finances A sound fiscal condition is critical to the City's mission of fostering an outstanding quality of life By utilizing the following steps, the organization can be well positioned to maintain services and assets necessary for a high quality of life Specific actions include 26 ITEM NUMBER. A- 3 DATE 04/28/09 Enhance the revenue base o Encourage economic development o Protect commercial and industrial property o Implement the Local Stimulus Plan o Continue rehabilitation of the downtown o Streamline building permit process o Continue to improve programs to enhance and retain existing businesses o Continue the assessment for operating costs in new development o Encourage entrepreneurial efforts by City staff o Audit current revenues including Business Licenses o Investigate a parcel or sales tax increase to provide general City benefit or tied to specific services o Look to maximize revenues by utilizing grants from other agencies to the fullest extent possible o Charge fees for services that reflect the true cost of providing such services and to fully review fee schedules on a regular basis o Charge all enterprise funds their fair share of the cost of City support services • Manage infrastructure and reserves consistent with the City's Financial Strategy o Effectively use reserves as a short-term solution to close the gap in down cycles Atoll o Reduce use of reserves as a budgeting tool as the City moves into an up cycle o Analyze fund balance in Central Coast Cities Workers' Compensation account o Investigate the potential to suspend the annual funding of long-term assets such as roads and buildings o Continue to fund reserves for technology and vehicles as feasible o Provide routine maintenance where possible to extend the lives of assets and avoid increasing the deferred maintenance backlog o Look for opportunities and strategies to reduce the current backlog of deferred maintenance projects • Reduce expenditures o Aggressively pursue expense reductions o Review department operations and implement budget reductions o Explore Voluntary Furlough and Early Retirement Incentive Program o Identify capital expenditures that can be delayed o Implement additional internal operating efficiencies wherever possible o Look for service level reductions in areas where there will be minimal impacts to citizens, thus reducing operating costs o Chill hiring on vacant positions o Continue the policy of no new or expanded programs 27 ITEM NUMBER. A- 3 DATE 04/28/09 • Strategize and Communicate o Adopt a fiscally sound two-year budget with use of reserves as necessary o Carry out Council Strategic Plan o Devise and follow a budget plan o Project revenues and expenditures three years out past budget for long- term planning o Meet with Departments frequently to discuss budgets o Provide weekly budget email to employees and Council o Hold weekly budget meetings with staff, management, and organized labor representatives o Provide updates at Council meetings as new information becomes available o Continue information flow with Council, public, staff and media regarding City's fiscal situation • Look for Opportunities o Apply for Federal Stimulus Funding o Investigate program reimbursements o Facilitate emergency preparedness as grant funding becomes available o Coordinate with community to ready for emergency response o Seize opportunities that save the City money or generate revenue o Partner with other agencies where possible to gain efficiencies Other Projects At the last strategic planning meeting, the Council recognized that significant progress was already being made towards establishing an elected mayor and implementing the Mayor's Climate Protection Agreement. As a result of the work already completed, these items were dropped as future work plan items Next Steps If approved this evening, these goals will be reflected in the 2009-2011 budget. The goals will be brought back to the Council every quarter for review of progress FISCAL IMPACT There is no fiscal impact to the approval of these strategic planning goals and consent to the related action plans The Council goals and related action plans, however, are a critical part of the budget process Funding for implementation of the action plans will be included in the proposed 2009-2011 Budget which will be brought before the Council in June 28 ITEM NUMBER. A-4 DATE. 04/28/09 "'r r� d ■ 1918 � 187 Atascadero City Council Staff Report -- Fire Department Weed/Refuse Abatement Program RECOMMENDATION City Council adopt the draft Resolution, declaring vegetative growth and/or refuse a public nuisance, commencing proceedings for the abatement of said nuisances, and placing all abatement fees on the San Luis Obispo County Special Tax Assessment for the fiscal year 2009-2010 Tax Roll DISCUSSION The Municipal Code, Section 6-13 03, addresses the abatement of vegetative growth and/or refuse, which constitute a hazard Adoption of the proposed Resolution is the first step in this annual program, which requires City Council action The Fire Department conducted its initial inspection during the month of April There are approximately 11,088 parcels within the City The list of parcels identified to have vegetative growth and/or refuse, which are or may become a public nuisance, is available for review in the Office of the City Clerk and the Atascadero City Fire Department. FISCAL IMPACT The City recovers costs for administering this program through the 150% administrative fee, which is placed on the San Luis Obispo County Special Tax Assessment for the fiscal year 2009-2010 Tax Roll ATTACHMENTS Draft Resolution declaring vegetative growth and/or refuse a public nuisance Vegetative Growth Notice Vegetative Growth / Refuse Notice 29 DRAFT RESOLUTION RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ATASCADERO, CALIFORNIA, DECLARING VEGETATIVE GROWTH AND/OR REFUSE A PUBLIC NUISANCE WHEREAS,the City of Atascadero Fire Department is commencing proceedings for the abatement of said nuisances, and WHEREAS, abatement fees will be placed on the San Luis Obispo County Special Tax Assessment for the Fiscal Year 2009-2010 tax roll, NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Atascadero SECTION 1. That vegetative growth and/or refuse are a public nuisance and hereby declare to be such for the reasons that vegetative growth may attain such a large growth as to become a fire menace and/or drainage restriction, when mature, and said refuse may become a public nuisance, thereby creating a hazard to public health. The City Council of the City of Atascadero finds and declares that vegetative growth and/or refuse on specified parcels of property are seasonal and recurrent nuisances Such seasonal and recurrent nuisances shall be abated in accordance with the provisions of City and State laws. No further hearings need to be held, and it shall be sufficient to mail a notice to the owner of the property as their address appears upon the current assessment roll. SECTION 2. A description of the parcel of lots of private property upon which, or in front of which, said nuisances exist, according to the official Assessment Map of said City of Atascadero, shall be posted annually in the office of the City Clerk and referred to as Exhibit A (Vegetative Growth) SECTION 3. The City Clerk or designee is hereby ordered and directed to mail written notices of the proposed abatement to all persons owning property described in accordance with Section 6-13 08 of the Atascadero Municipal Code SECTION 4. Pursuant to Section 6-13 10 of the Atascadero Municipal Code, the City Council shall hear and consider all objections or protests to the required removal of said vegetative growth and/or refuse. The City Clerk shall post a copy of the public hearing notice in accordance with the Ralph M. Brown Act. SECTION 5. Pursuant to Section 6-13 17 of the Atascadero Municipal Code, if the owner does not abate the hazard, it will be abated by the city contractor The cost of the abatement plus a 150% administrative fee and county fee will be assessed upon the county property tax bill, and constitute a lien upon such land until paid. 30 Draft Resolution Page Two On motion by Council Member and seconded by Council Member the foregoing Resolution is hereby adopted in its entirety on the following roll call vote AYES NOES ABSENT ADOPTED CITY OF ATASCADERO B y. Ellen Beraud, Mayor ATTEST Marcia McClure Torgerson, C.M.C., City Clerk Aftw APPROVED AS TO FORM Brian Pierik, City Attorney err` 31 Draft Resolution Page Three EXHIBIT "A" ON FILE IN THE OFFICE OF THE CITY CLERK 32 Draft Resolution Page Four - EXHIBIT "B" ON FILE IN THE OFFICE OF THE CITY CLERK 33 .a+ City of Atascadero s p Fire Department i �-� NOTICE Dear Atascadero Property Owner- Weed Abatement season has arrived and parcel inspections were performed throughout the City during the first two weeks of April The City's Municipal Code, Section 6-13 08, requires this notification, which enables the Fire Department to abate dry noxious weeds in an effort to make our neighborhoods safer in the event of a fire. THE DEADLINE FOR COMPLIANCE IS JUNE 1, 2009 PLEASE DISREGARD THIS NOTICE IF YOU HAVE CUT YOUR WEEDS WE THANK YOU FOR YOUR ASSISTANCE IN MAKING THE CITY OF ATASCADERO SAFER DURING THE FIRE SEASON NOTICE TO REMOVE VEGETATIVE GROWTH (NOXIOUS WEEDS) AND/OR REFUSE Notice is hereby given that on the 28nd day of April 2009, the City Council passed a resolution declaring that vegetative growth (noxious weeds) and refuse constitute a fire hazard, and health and safety hazard, which must be abated by the cutt>ng of said noxious weeds, and removal of said health and safety hazard. If the owner does not comply by June 1, 2009, 1t will be abated by the city, and the cost of the abatement will be billed to the property owner directly, or assessed upon the county property tax bill, and will constitute a lien upon such land until paid. The City recovers costs for administering this program through a 150% administrative fee. Reference is hereby made to the Resolution for further particulars and Municipal Code Sections 6-13 01 through 6-13 17 A copy of said Resolution is on file in the Office of the City Clerk. All property owners having any objections to the proposed removal of the health hazard are hereby notified to attend a meeting of the City Council of the City of Atascadero to be held on May 12,2009 at 7:00 p.m. when their objections will be heard and given due consideration. Dated. This 29h day of April, 2009 /s/Kurt W Stone Fire Chief `taws City of Atascadero, California 6005 LEWIS AVENUE—ATASCADERO, CA 93422—(805) 461-5070—FAX (805)466-2907 Questions regarding weed abatement may be directed to 805-461 5070 or by writing to: City of Atascadero Fire Department,Attn:Fire Marshal,6005 Lewis Avenue,Atascadero CA 93422 35 The deadline for weed/refuse abatement compliance is June 1, 2009 On June 1, 2009 the City's contractor begins the abatement process for parcels that are not in compliance The contractor's fees, as well as applicable City and County fees/fines are assessed on the County's tax roll The Fire Chief has established the following requirements CLEARANCE REQUIREMENTS OF VEGETATIVE GROWTH (NOXIOUS WEEDS) Fa) Maximum height of 4 inches, b) Located within 100 feet of any building or structure, or to the property line, whichever is nearer; c) Located within 50 feet from the edge of any improved roadway, d) Located within 50 feet from each property line, e) Located within 10 feet on each side of driveways EXEMPTIONS a) Animal pastures and agricultural fields growing hay or grains. The interior portion of fenced pastures where the quantity of livestock significantly reduces the vegetative growth, therefore bringing the parcel into compliance. Agricultural fields must be cut at harvest time. Uncut hay and grain is subject to abatement. b) Habitat for endangered or threatened species or any species that is a candidate for listing as an endangered or threatened species by the State of California or Federal Government. c) Land kept in a predominantly natural state as habitat for wildlife,plant, or animal communities. d) Open space lands that are environmentally sensitive parklands. e) Other lands having scenic values. Abatement requirements shall remain in effect in waterways where flood preparation measures and emergency flood control mitigation is necessary 1) This exemption applies whether the land or water are held in fee title or any lesser interest. This exemption applies to any public agency, and private entity that has dedicated the land or water areas to one or more of those purposes or uses or any combination of public agencies and private entities making that decision. 2) This section shall not be construed to prohibit the use of properly authorized prescribed burning to improve the biological function of land or to assist in the restoration of desired vegetation. 3) In the event that any lands adjacent to land or water areas, as described above, are improved such that they are subject to this chapter, the obligation to comply with Section 6-13 04 shall be with the person owning, leasing, controlling, operating, or maintaining the occupied dwelling or occupied structure on the improved lands All maintenance, activities, and other fire prevention measures required by Section 6-13 04 shall be required only for the improved land, and water areas as described above. Questions regarding weed abatement may be directed to 805-470-3300 or by writing to City of Atascadero, Fire Department, Fire Marshal, 6005 Lewis Ave., Atascadero, CA 93422. 36 City of Atascadero 19$ t e Fire Department NOTICE Dear Atascadero Property Owner- Weed Abatement season has arrived and parcel inspections were performed throughout the City during the first two weeks of April. The City's Municipal Code, Section 6-13 08 requires this notification, which enables the Fire Department to abate dry noxious weeds in an effort to make our neighborhoods safer in the event of a fire. THE DEADLINE FOR COMPLIANCE IS JUNE 1, 2009 PLEASE DISREGARD THIS NOTICE IF YOU HAVE CUT YOUR WEEDS WE THANK YOU FOR YOUR ASSISTANCE IN MAKING THE CITY OF ATASCADERO SAFER DURING THE FIRE SEASON NOTICE TO REMOVE VEGETATIVE GROWTH(NOXIOUS WEEDS) Notice is hereby given that on the 28,d day of April 2009, the City Council passed a resolution declaring that vegetative growth (noxious weeds) constitutes a fire hazard, which must be abated by the cutting of said vegetative growth (noxious weeds) If the owner does not abate the hazard, it will be abated by the City, and the cost of the abatement will be billed to the property owner directly, or assessed upon the county property tax bill, and will constitute a lien upon such land until paid. The City recovers costs for administering this program through a 150% administrative fee Reference is hereby made to the Resolution for further particulars and Municipal Code Sections 6-13 01 through 6-13 17 A copy of said Resolution is on file in the Office of the City Clerk. All property owners having any objections to the proposed removal of the health hazard are hereby notified to attend a meeting of the City Council of the City of Atascadero to be held on May 12,2009 at 7:00 p.m. when their objections will be heard and given due consideration. Dated. This 29th day of April, 2009 /s/Kurt W Stone Fire Chief City of Atascadero, California 6005 LEWIS AVENUE—ATASCADERO, CA 93422—(805) 461-5070—FAX(805)466-2907 37 The deadline for weed/refuse abatement compliance is June 1, 2009 On June 1, 2009, the City's contractor begins the abatement process for parcels that are not in compliance. The contractor's fees, as well as applicable City and County fees/fines are assessed on the County's tax roll The Fire Chief has established the following requirements CLEARANCE REQUIREMENTS OF VEGETATIVE GROWTH (NOXIOUS WEEDS) a) Maximum height of 4 inches, b) Located within 100 feet of any building or structure, or to the property line, whichever is nearer; c) Located within 50 feet from the edge of any improved roadway, d) Located within 50 feet from each property line, e) Located within 10 feet on each side of driveways. EXEMPTIONS a) Animal pastures and agricultural fields growing hay or grains. The interior portion of fenced pastures where the quantity of livestock significantly reduces the vegetative growth, therefore bringing the parcel into compliance. Agricultural fields must be cut at harvest time. Uncut hay and grain is subject to abatement. b) Habitat for endangered or threatened species or any species that is a candidate for listing as an endangered or threatened species by the State of California or Federal Government. c) Land kept in a predominantly natural state as habitat for wildlife, plant, or animal communities d) Open space lands that are environmentally sensitive parklands e) Other lands having scenic values. Abatement requirements shall remain in effect in waterways where flood preparation measures and emergency flood control mitigation is necessary 1) This exemption applies whether the land or water are held in fee title or any lesser interest. This exemption applies to any public agency, and private entity that has dedicated the land or water areas to one or more of those purposes or uses, or any combination of public agencies and private entities making that decision. 2) This section shall not be construed to prohibit the use of properly authorized prescribed burning to improve the biological function of land or to assist in the restoration of desired vegetation. 3) In the event that any lands adjacent to land or water areas, as described above, are improved such that they are subject to this chapter, the obligation to comply with Section 6-13 04 shall be with the person owning, leasing, controlling, operating, or maintaining the occupied dwelling or occupied structure on the improved lands All maintenance, activities, and other fire prevention measures required by Section 6-13 04 shall be required only for the improved land, and water areas as described above. Questions regarding weed abatement may be directed to 805-461-5070 or by writing to City of Atascadero Fire Department, Fire Marshal, 6005 Lewis Ave., Atascadero, CA 93422. 38 ITEM NUMBER. A-5 DATE. 04/28/09 1918 � 1 79 9 Atascadero City Council Staff Report — Community Services Department George Beatie Skate Park Lease Agreement with Kevin Campion DBA Paradise Coalition RECOMMENDATION Council approve the partnership and authorize the City Manager to execute the Lease Agreement between the City of Atascadero and Kevin Campion, DBA Paradise Coalition, allowing Mr Campion to take over operation of the George Beatie Skate Park from Austin Miller, DBA Mobley's Boardshop DISCUSSION Since November of 2008, Kevin Campion, Austin Miller, Dayn Mansfield and their business, Mobley's Boardshop, (formerly Esteem Boardshop), have partnered with the City of Atascadero to improve and operate the Skate Park. As a result, the George Beatie Skate Park is considered one of the finest in California, and the only indoor skate park between Santa Barbara and San Francisco Since operating in partnership with the City under a concession agreement, Mobley's team has invested over $180,000 into improving and operating the Skate Park. This partnership has benefitted the citizens and, in particular, the youth of Atascadero greatly The operation of the Skate Park by a private company has benefitted the City by saving tax dollars that would otherwise be spent if the facility were operated by the City City staff has enjoyed an excellent working relationship with Mr Miller and Mr Mansfield, as well an associate of theirs, Mr Kevin Campion Mobley's has sponsored many other programs and activities in the City including programs for the Charles Paddock Zoo and other public recreation events and activities Due to the success of the partnership in the operation of the Skate Park, staff and Mobley's have been working towards having Kevin Campion, of Paradise Coalition, take over all operations of the Skate Park. The attached agreement with Kevin Campion, Paradise Coalition, enables the City to turn over the day to day operation of the Skate Park under agreeable terms and conditions from Mobley's Boardshop to Kevin Campion, Paradise Coalition The public-private partnership saves the City 39 ITEM NUMBER. A-5 DATE. 04/28/09 considerable resources annually The three-year agreement allows for two additional one-year extensions The Lease Agreement defines the obligations of the respective roles, and what the City must provide to enable Kevin Campion, Paradise Coalition, to perform these functions Some of the areas covered by the agreement include clarification of the authority for public operating hours, skate park programs, revenues, operations and plans, improvements of City property and use of City facilities The Community Services Director administers the proposed agreement. Some of responsibilities of Kevin Campion, Paradise Coalition included in the agreement are highlighted as follows • The base "rent" for the premises shall be $1 00 per year • Term of the agreement shall be three years with two additional one-year extensions • No creation of liability for the City, Contractor shall indemnify the City and carry liability insurance, with the City assisting to pay the premium • The Contractor shall supply all utilities • Improvement plans shall be coordinated with the City and subject to City approval • The facility will be managed to include free public use admission • Contractor facility staff will be hired and supervised by Paradise Coalition Some of the City's obligations under the agreement include • The City will provide exterior landscape maintenance and building infrastructure capital improvements • The City will pay for up to $300 per month of the electrical bill, telephone, alarm service and trash pick up • The City will pay the premium for Mr Campion's liability insurance policy, not to exceed $3,200 per year This option was reviewed and acceptable to the City's carrier, CJPIA. • The City is responsible for capital improvements for the building's infrastructure (electrical, plumbing, roofing, etc ) In conclusion, the proposed agreement represents the furtherance of the cooperative relationship between the Kevin Campion, Paradise Coalition and the City of Atascadero The agreement lays the framework for improvements in the working relationship of the parties, and will offer benefits to the residents of Atascadero FISCAL IMPACT The basic agreement is similar to the previous agreement with Austin Miller and Mobley's The City will pay the premium for Mr Campion's Liability Insurance, not to exceed $3,200 annually The rent will be one dollar per year 40 ITEM NUMBER. A-5 DATE. 04128/09 The City will take a percentage of class and skate camp activity conducted at the Skate Park. Contractor will provide an annual split of 40% of contracted classes revenue for the Skate and BMX Camps held at the Skate Park. The amount of operating funds saved annually, by the City not operating the Skate Park directly, is approximately $10,300 in City staff time ALTERNATIVES The City may continue the relationship with Kevin Campion, Paradise Coalition "as is " ATTACHMENT Lease Agreement 41 1. BASIC LEASE PROVISIONS 11 Date And Parties. This Lease ("Lease') is dated, for reference purposes only 1 and is between CITY OF ATASCADERO ("City") and PARADISE COALITION INC. ("Tenant") upon the provisions and conditions contained in this Lease Tenant is a California corporation, with principal offices at P O Box 2090 Atascadero,California. City is a municipal corporation, organized under the laws of the State of California, with principal offices at 6907 El Camino Real,Atascadero California. 1.2 Capacity Of City As Landlord. Except where clearly and expressly provided otherwise in this Lease, the capacity of the City of Atascadero in this Lease shall be as a landlord only and any obligations or restrictions imposed by this Lease on City shall be limited to that capacity and shall not relate to or otherwise affect any activity of the City of Atascadero in its governmental capacity including, but not limited to, enacting laws, inspecting structures, reviewing and issuing permits, and all other legislative, administrative,or enforcement functions of the City of Atascadero pursuant to federal,state,or local law 1.3 Execution Date. The phrase `Execution Date" shall mean the date the City Clerk of Atascadero attests this Lease, except in the event that Tenant executes this Lease after such attestation, in which case the date of such execution by Tenant shall be the Execution Date. 2. PROPERTY 2.1 Property City leases to Tenant and Tenant leases from City that certain portion of real property located in the City of Atascadero California, comprising approximately 9,800 gross square feet, indicated on the Site Plan attached to this Lease as Exhibit A,and incorporated herein by this reference("Property"). 2.2 Property Ownership. City warrants that City is the owner of the Property and is legally authorized to lease the Property described in Section 2.1 2.3 Reservations. This Lease and the Property delivered hereby are and shall be at all times subject to the following: 2.3 1 Utility Rights-of Way Rights-of-way for sewers, pipelines, conduits and for telephone, telegraph, light, heat and power lines as may from time to time be determined to be necessary by City including the right to enter upon, above,below or through the surface to construct,maintain, replace, repair, enlarge or otherwise utilize the Property for such purpose, without compensation or abatement of rent, provided the surface shall be restored as much as possible to the condition previously existing. 2.3.2 Prior Exceptions. All prior exceptions, reservations, grants, easements, leases, or licenses of any kind whatsoever as the same appear of record in the office of the Recorder of San Luis Obispo County California, or in the official records of the City of Atascadero or any of its various departments. 2.3.3 Inspection. Tenant has inspected the Property in contemplation of occupying it for the uses permitted hereunder and agrees that: 2.34 Suitability The Property, including any improvements existing thereon covered by this Lease, is suitable for Tenant s intended uses. No officer or employee of City has made any representation or warranty with respect to the Property, including improvements, if any, existing thereon,unless the nature and extent of such representation or warranty is described in writing and attached hereto as an addendum. 2.3.5 Additions and Improvements at Tenant's Expense. Any modification, improvement, or addition to the Property and any equipment installation required by the Fire Department, or any Page 1 of 8 Created on 3/4/2009 10:5700 AM 42 other local, regional, state or federal agency including ADA improvements, in connection with Tenant's operations shall be constructed or installed at Tenant's sole expense. 3. USE 3 1 Use. Tenant may use the Property for the maintenance and operation of a skate/ bicycle park. Tenant shall provide free public access and use of the facility during days and times approved by the City Tennant may apply fees at other times for use of the facility for skating activities and events held at the premises not conflicting with free public use hours. Tennant shall not use or occupy the Property in violation of law or for any purpose which is in violation of any zoning or other land use regulation and shall discontinue any use of the Property which is declared by any governmental authority to be a violation of law Tenant, at its sole cost and expense, shall comply with any directive of any governmental authority which shall impose any duty upon Citv or Tenant with respect to the Property or the use or occupation thereof, which arises due to the nature of Tenant s use or occupancy of the Property Tenant shall not commit, or suffer to be committed, any waste or nuisance in its occupancy of the Property Tennant shall maintain the George C. $eatie Skate Park name for the facility All tenant improvements shall be subject to City prior approval and inspection for compliance with applicable fire,building and safety codes. 4. TERM 41 Term. The term of this Lease ("Term') shall be three (3) years, commencing on April 1 2009 and terminating on April, 2012, unless terminated earlier as hereinafter provided. City grants to the Tenant the option to extend this Lease for two (2)one(1) year periods, following the above ending date at a rental rate to be agreed upon by the parties at the time Tenant exercises the option. Tenant must notify City of its intent to exercise the extension no later than 30 days before the expiration date or before the expiration of any extension period. Should the parties fail to reach agreement on the rental rate to be paid during any such extension prior to the expiration date or the expiration of any extension, this Lease shall terminate as of the expiration date or the expiration of any extension. OW 4.2 Holdover If Tenant remains in possession of all or any part of the Property after the expiration of the Term hereof, with the express or implied consent of City such tenancy shall be from month to month only and not a renewal hereof or an extension for any further term, and in such case, monthly rent and other monetary sums due hereunder shall be payable in the amount and at the time specified in this Lease. Such month to month tenancy shall be subject to every other provision, covenant and agreement contained herein. Acceptance by City of rent after such expiration or earlier termination shall not constitute a holdover hereunder or result in a renewal. The foregoing provisions of this Section 4.2 are in addition to and do not affect the right of re-entry or any rights of City hereunder or as otherwise provided by law or in equity and in no way shall affect any right which City may otherwise have to recover damages from Tenant for loss or liability incurred by City resulting from such failure by Tenant to surrender the Property Nothing contained in this Section 4.2 shall be construed as consent by City to any holding over by Tenant, and City expressly reserves the right to require Tenant to surrender possession of the Property to City as provided in this Lease upon the expiration or other termination of this Lease. 4.3 Early Termination.. In addition to City's right to terminate this Lease for default, should the Premises cease to be used for the purposes stated in Section 3 1 or (in the absence of an assignment) should the Tenant cease to operate or exist, or should the operations conducted not be in accordance with the statutes of the United States, State of California, the County of San Luis Obispo or the City of Atascadero upon not less than sixty(60)days notice,City may terminate this Lease. 44 Surrender Of Property The voluntary or other surrender of this Lease by Tenant, or a mutual cancellation thereof, shall not work a merger and shall, at the option of City operate as an assignment to it of any or all subleases or subtenancies. No act or thing done by City or any agent or employee of City during the Term shall be deemed to constitute an acceptance by City of a surrender of the Property unless such intent is specifically acknowledged in a writing signed by City Upon the expiration or termination of err this Lease, Tenant shall peaceably surrender the Property and all alterations and improvements thereto in Page 2 of 8 Created on 3/4/2009 10:5700 AM 43 good order repair and condition, reasonable wear and tear and damage by fire, earthquake, act of God or the elements alone excepted, and free of debris. 5. BASE RENT 5 1 Base Rent Amount. For the Term of this Lease, the Base Rent amount shall be one dollar per year 6. ALTERATIONS 6.1 Alterations. Any alteration which is made to the Property by Tenant shall be at its own cost and expense and the construction shall in accordance with plans and specifications approved prior to such alteration by the City's Director of Planning/Community Development. City may deny permission for any alteration without stating any cause, unless such alteration is required by a governmental authority having jurisdiction therefore,in which case permission shall not be unreasonably withheld. 6.2 Mechanic's And Materialmen's Liens. Tenant shall keep the Property free from any liens arising out of work performed, materials furnished, or obligations incurred by Tenant and shall indemnify hold harmless and defend City from any liens and encumbrances arising out of any work performed or materials furnished by or at the direction of Tenant. In the event that Tenant shall not, within thirty (30) calendar days following the imposition of any such lien, cause such lien to be released of record by payment or posting of a proper bond, City shall have in addition to all other remedies provided herein and by law the right,but no obligation to cause, upon five(5)business days prior written notice to Tenant, the same to be released by such means as it shall deem proper, including payment in satisfaction of the claim giving rise to such lien. All such sums paid by City and all expenses incurred by it in connection therewith, including costs and attorneys fees,shall be paid by Tenant as additional rent to City on demand. 6.3 Claims/Nonresponsibility And Work Commencement Notices. Nothing contained in this Lease shall constitute any consent or request by City express or implied, for the performance of any labor or services or the furnishing of any materials or other property with respect to the Property and/or any or all improvements thereon or any part thereof,or as giving Tenant any right,power, or authority to contract for or permit the performance of any labor or services or the furnishing of any materials or other property in such fashion as would permit the making of any claim against City City shall have the right at all times to post and keep posted on the Property any notices permitted or required by law or which City shall deem proper for the protection of City and the Property and any other party having an interest therein, from mechanics and materialmen s liens, and Tenant shall give to City at least ten (10) business days prior written notice of the expected date of commencement of and work relating to alterations or additions to the Property 6 4 No Creation Of Liability Nothing contained herein shall be construed or deemed to create any obligation or liability including without limitation liability as a guarantor or surety on the part of City with respect to the Property or any other improvements constructed from time to time on the Property or any plans or specifications, construction contracts, financing or other matter instrument or document of any nature whatsoever relating to such improvements. City is not and shall at no time be liable to any creditor of Tenant or any other persons occupying any part of the Property or the improvements thereon as a sublessee, licensee or otherwise or to any claimant against the estate or property of Tenant or such other occupants for any of their debts, losses, contracts or other obligations. The relationship between City and Tenant is solely that of landlord and tenant and is not and shall not be deemed a partnership or joint venture. 7 CONDITION OF PROPERTY Page 3 of 8 Created on 3/4/2009 10:5700 AM 44 7 1 Tenant's Acceptance Of Property Tenant hereby accepts the Property in its as is" condition existing as of the Execution Date subject to all applicable zoning, municipal, county state, and other governmental laws, ordinances and regulations governing and regulating the use of the Property, and any easements, covenants, restrictions or other matters of record, and accepts this Lease subject thereto and to all matters disclosed thereby and by any exhibits attached hereto 7.2 Restoration and Surrender of Property Tenant shall not be obligated to return the Property to the state in which the Property existed prior to the execution of this lease. Tenant shall, upon expiration or earlier termination of this Lease, surrender the Property and offer to dedicate any and all improvements made to the Property to the ownership of the City without cost or expense to the City 8. MAINTENANCE AND REPAIRS 8 1 Maintenance and Repair Tenant at its cost shall maintain the Property and all Leasehold Improvements in good condition and repair and free from weeds, debris and rubbish. The City shall be responsible for exterior capital improvements. 9 UTILITIES AND SERVICES 9 1 Utilities. Tenant acknowledges that City has not made any representation to Tenant regarding the availability of all communications utilities to the Property and that Tenant is relying solely on its own knowledge and investigations regarding the availability of such utilities to the Property City shall pay the appropriate suppliers for all water gas,alarm service and telephone,used by Tenant on the Property during the Term. The City shall pay a maximum of $300 per month for electrical service for the building. Monthly billing amounts above $300 will be added together and billed to Tenant annually in June of each year 9.2 Services. Tenant shall make all arrangements for and pay for services furnished to or used by it in the ordinary course of its use of the Property including, without limitation, trash collection, janitorial service,hazardous materials disposal,and pest extermination.The City shall provide security alarm service, telephone and all utilities, including electrical service, subject to the limitations described in Section 9 1 The City will be responsible for the building infrastructure and major capital building repairs, such as roofing,plumbing,etc 10 TAXES 101 Possessory Interest Tax. No fee interest in real property is hereby conveyed; however by the execution of this Lease and accepting the benefits thereof, a property interest known as `possessory interest"may be created and such property interest will be subject to property taxation. Tenant,as the party to whom the possessory interest is vested, shall be responsible for the payment of all property taxes levied upon such interest. Tenant acknowledges that the notice required under California Revenue and Taxation Code Section 107 6 has been provided. 10.2 Personal Property Taxes. Tenant shall pay or cause to be paid, before delinquency any and all taxes levied or assessed and which become payable during the term hereof upon all Tenant's Leasehold Improvements,equipment,furniture,fixtures and personal property located in or upon the Property 11. INSURANCE AND INDEMNIFICATION 11 1 Indemnity The City shall pay the Tenant's annual liability insurance premium, not to exceed $3,200 00 annually Tenant shall at all times relieve, indemnify, protect and save harmless City and any and all of its elected and appointed officials, officers, agents and employees from any and all claims and demands, actions, proceedings, losses, liens, costs and judgments of any kind and nature whatsoever for death of or injury to persons or damage to property including property owned by or under the care and custody of City and for civil fines and penalties,that may arise from or be caused directly or indirectly bv- Page 4 of 8 Created on 3/4/2009 10:57.00 AM 45 11 1 1 Any dangerous,hazardous, unsafe or defective condition of, in or on the Property of any nature whatsoever which may exist by reason of any act, omission, neglect, or any use or occupation of the *00 Property by Tenant, its officers,agents,employees,sublessees,licensees or invitees 11 1.2 Any operation conducted upon or any use or occupation of the Property by Tenant, its officers, agents, employees, sublessees, licensees or invitees under or pursuant to the provisions of this Lease or otherwise, 11 1.3 Any act,omission or negligence of Tenant, its officers, agents, employees, sublessees,licensees or invitees, regardless of whether any act, omission or negligence of City its officers, agents or employees contributed thereto or 11 14 Any failure of Tenant, its officers, agents or employees to comply with any of the provisions or conditions of this Lease or any applicable federal, state,regional, or municipal law ordinance,rule or regulation. 11.2 Liability Insurance Tenant. Tenant shall, at Tenant's sole cost and expense, procure and maintain in force during the Term and as may be necessary thereafter to satisfy Tenant s obligations under this Lease, including, but not limited to the defense, indemnity and hold harmless provisions hereof, maintain(a)if required by law Worker's Compensation Insurance in amounts and as otherwise required by law with a waiver of subrogation as to City and (b) comprehensive general liability covering all its operations on or related to the Property in an amount not less than one million dollars ($1,000,000 00) combined single limit, and should automobiles be used during the term of this Lease (c) automotive liability in an amount not less than one million dollars ($1,000,000 00) which policies shall provide coverage to City as additional insured to the same extent as the named insured but only as respects the operations of Tenant. All such insurance policies shall be procured and maintained through an insurance broker and company acceptable to City (which acceptance shall not be unreasonably withheld) and, shall provide for at least thirty (30) days prior written notice to City of cancellation, termination, or material change, and shall contain standard cross-liability endorsements allowing City to recover under the policies notwithstanding that it is an additional insured. Certified copies of such insurance policies or certificates of insurance and copies of endorsements evidencing that such insurance is in effect shall at all times be supplied to City Tenant shall immediately notify City of any lapse, termination, cancellation or material change, actual or contemplated, of such policies. Without limiting other provisions of this Lease, such policies shall be sufficient to insure the defense, indemnity and hold harmless provisions of this Lease. Insurance requirements shall be subject to reasonable revision by City in the event Tenant's activities change to such an extent as to make additional protection necessary For purposes of this Section 12.2, `operations of Tenant" shall include, but not be limited to the acts or omissions of Tenant and Tenant s contractors,agents,employees,guests or invitees. 11.3 Adiustment Of Insurance Levels City reserves the right at any time during the Term of this Lease to change the amounts and types of insurance required hereunder upon giving Tenant three (3) months prior written notice. 12. DEFAULT BY TENANT 12.1 Default By Tenant. The occurrence of any one or more of the following events shall constitute an Event of Default hereunder by Tenant: 12.1 1 Abandonment. The abandonment of the Property by Tenant, as defined in California Civil Code section 1951.3 However any notice of belief of abandonment shall be served not less than thirty(30)calendar days prior to the termination date set forth in such notice. Tenant may at its sole option and upon written notice to City allow the Property or any portion thereof, to become or remain vacant without such vacancy constituting an abandonment, subject to compliance with reasonable requests of City related to the security of the Property Page 5 of 8 Created on 3/4/2009 10:57.00 AM 46 12 1.2 Material Breach Of Lease Provisions. The failure by Tenant to observe or perform any of the covenants or provisions of this Lease to be performed by Tenant, where such failure %W shall continue for a period of ten (10) calendar days after written notice thereof from City to Tenant specifying the nature of such failure or such longer period as is reasonably necessary to remedy such default,provided that Tenant shall continuously and diligently pursue such remedy at all times until such default is cured. All notices to be delivered hereunder are in addition to and not in lieu of, the notice requirements of California Code of Civil Procedure section 1161 12.2 City's Remedies. If an Event of Default by Tenant has occurred, then City may at any time thereafter with ten(10)calendar days written notice or demand and without limiting City in the exercise of any right or remedy at law or in equity which City may have by reason of such default, including, without limitation, the remedies provided by California Civil Code Sections 1951.2, 1951 4 [lessor may continue lease in effect after lessee s breach and abandonment and recover rent as it becomes due, if lessee has right to sublet or assign, subject only to reasonable limitations] and 1951.5 12.3 City's Cumulative Rights; No Waiver Of Default. Except where otherwise provided, all rights, options and remedies of City contained in this Lease shall be construed and held to be cumulative, and no one of them shall be exclusive of the other and City shall have the right to pursue anv one or all of such remedies or any other remedy or relief which may be provided by law or in equity, whether or not stated in this Lease. No waiver of any default by Tenant hereunder shall be implied from any acceptance by City of any rent or other payments due hereunder or any omission by City to take any action on account of such default if such default persists or is repeated, and no express waiver shall affect any default other than as specified in said waiver The consent or approval of City to any act by Tenant requiring City s consent or approval shall not be deemed to waive or render unnecessary City s consent or approval to any subsequent similar acts by Tenant. 13. ASSIGNMENT AND SUBLEASE 13 1 Assignment Or Sublease. This Lease may not be assigned, encumbered or subleased unless the assignment, encumbrance or sublease shall be to an approved assignee or delegee of the contract pursuant to which the parties have entered into this Lease in which case Tenant may assign, encumber or sublease this Lease upon receipt of City's consent, which shall not be unreasonably withheld or delayed beyond thirty(30)days after receipt of Tenant's request. As a part of its reasonable consent, City may require that each assignee, subtenant, or other transferee agree to an amendment of this Lease imposing any other reasonable provisions and conditions that City may request. Any assignment, encumbrance or sublease without City s prior written consent shall be void and of no force and effect. 13.2 Continued Obligation Of Tenant. Consent by City to any assignment or subletting by Tenant shall not relieve Tenant of any obligation to be performed by Tenant under this Lease, whether occurring before or after such consent, assignment or subletting. The consent by City to any assignment or subletting shall not relieve Tenant from the obligation to obtain City s express written consent to any other assignment or subletting. The acceptance of rent by City from any other person shall not be deemed to be a waiver by City of any provision of this Lease or to be a consent to any assignment, subletting or other transfer Consent to one assignment, subletting or other transfer shall not be deemed to constitute consent to any subsequent assignment,subletting or other transfer 14. NOTICES 141 Notices. All notices and demands which may or are to be required or permitted to be given by either party to the other hereunder shall be in writing. All notices and demands shall be personally delivered (including by means of professional messenger service), sent by United States registered or certified mail, postage prepaid, return receipt requested, or transmitted by telecopier (e.g. Fax), in which case the receiving party shall immediately confirm receipt of such notice. All notices are effective upon receipt. For the purposes of such notices, the addresses for the parties are set forth in Section 14.2 below Either party may from time to time designate another person or place in a notice. Page 6 of 8 Created on 3/4/2009 10:57.00 AM 47 14.2 Notices Where Sent. All notices given under this Lease which are mailed shall be addressed to the respective parties as follows To City• with a copy of anv notice to City of Atascadero Office of the City Attorney c/o City Manager Brian A.Pierik 6907 El Camino Real 2310 E.Ponderosa Drive Suite 25 Atascadero California 93422 Camarillo California 93010 To Tenant: Kevin Campion 9005 Via Tortuga Atascadero CA 93422 Phone: 805-550-5562 15. MISCELLANEOUS PROVISIONS 151 Binding Effect. The covenants and conditions herein contained, subject to the provisions as to assignment, apply to and bind the heirs, successors, executors, administrators and assigns of the parties hereto 15.2 Captions. The titles or captions of all Articles, Sections, or Paragraphs are for convenience and reference only are not intended to define or limit the scope of any provisions of this Lease, and shall have no effect on the interpretation of any provision of this Lease. 'wMf' 15.3 Conflict Of Laws. This Lease shall be governed by and construed pursuant to the laws of the State of California. 154 Covenants And Agreements. The failure of City or Tenant to insist in any instance on the strict keeping, observance or performance of any covenant or agreement contained in the Lease, or the exercise of any election contained in the Lease shall not be construed as a waiver or relinquishment for the future keeping,observance or performance of such covenant or agreement,but the same shall continue and remain in full force and effect. 15.5 Exhibits - Incorporation In Lease. All exhibits referred to are attached to this Lease and incorporated by reference. 156 Partial Invalidity If any provision or condition contained in this Lease shall, to any extent, be invalid or unenforceable, the remainder of this Lease, or the application of such provision or condition to persons or circumstances other than those with respect to which it is invalid or unenforceable, shall not be affected thereby and each and every other provision and condition of this Lease shall be valid and enforceable to the fullest extent possible permitted by law 157 Waiver The waiver by City of any breach of any provision, covenant or condition shall not be deemed a waiver of such provision, covenant or condition, or any subsequent breach of the same, or any other provision,covenant or condition of this Lease. 15 8 Sole and Entire Agreement: This Lease constitutes the sole and entire agreement between the parties with respect to the subject matter hereof. This Lease correctly sets forth the obligations of the parties hereto to each other as of the date of this Lease. All agreements or representations respecting the subject matter of this Lease not expressly set forth or referred to in this Lease are null and void. Page 7 of 8 Created on 3/4/2009 10:57.00 AM 48 IN WITNESS WHEREOF CITY OF ATASCADERO a municipal corporation, acting by and through its City Manager Landlord herein,and Kevin Campion have caused this Lease to be executed as of the date of the last signatory hereto The last signatory shall cause such date to be entered in the space provided in Section 1 1 of this Lease if that space is blank, although such date shall be deemed to be the date of this Lease in any case. APPROVED AS TO FORM. TENANT City Attorney Paradise Coalition,Inc. By- By Kevin Campion Brian A.Pierik,City Attorney DATE. DATE, LANDLORD- CITY OF ATASCADERO a municipal corporation,acting by and through its City Manager By- Wade G McKinney City Manager DATE. ATTEST Marcia McClure Torgerson,C.M.C. City Clerk By DATE. Vow Page 8 of 8 Created on 3/4/2009 10:57.00 AM 49 50 ITEM NUMBER. A- 6 DATE. 04/28/09 n is ; A�SCADF�tt1/ ;. Atascadero City Council Staff Report — Public Works Department City Inspection Services RECOMMENDATION Council authorize the City Manager to enter into ongoing contracts for contract inspection services with firms on the "Inspection Services Qualified Firm List." DISCUSSION The City uses contract inspectors to inspect the construction on some capital projects and private developments when City staff can not complete the work. The City has multiple capital improvement projects (CIP's) planned in the near future using previously allocated funding sources that are dedicated specifically to various projects Staff utilizes City employees wherever possible to provide CIP inspection services, however these services often require specialized knowledge and training In addition, the need for CiP inspection services is usually sporadically scheduled and temporary in nature, limiting the opportunities for the use of City employees Staff requests the ability to create a list of qualified firms that offer inspection services Contracting for inspection services, from an established list, is allowed in Section V of the City Purchasing Policy as an ongoing professional service This allows the City to hire inspectors as needed In March of 2009, staff solicited proposals from qualified firms for the purpose of establishing a list to provide inspection services for the Public Works Department on an as needed basis Proposals were received from fourteen (14) firms for inspection services. The proposals were reviewed for qualifications, previous experience, references and cost. The fourteen firms were all found qualified for inspection services and staff is recommending that they all be placed on the list. FiSCAL IMPACT Funds used to pay for inspection services will be taken from previously allocated Capital Improvement project funds and Public Works Department Contract Services funds 51 ITEM NUMBER. A-6 DATE. 04/28/09 ATTACHMENT Attachment "A" - Qualified Inspection Firm List 52 ITEM NUMBER. A- 6 DATE. 04/28/09 1%01 Attachment "A" CITY OF ATASCADERO INSPECTION SERVICES - QUALIFIED FIRMS LIST April 2009 Firm Meets Minimum Qualifications Pavement Engineering Yes Wallace Group Yes MNS Engineers Yes North Coast Engineering Yes Cannon Associates Yes EDA Design Professionals Yes Tarts Iia Engineering Yes Hayer Consultants Yes Hoffman Associates Yes Rick Engineering Yes Bethel Engineering Yes Penfield and Smith Yes Ground Up Design and Yes Construction Management Joseph Chouinard, PE Yes 53 ,Milo 1.991� ITEM NUMBER. A- i DATE. 4/28109 lolls CA] A tascadero City Council Staff Report - Public Works Department San Andres Avenue Sidewalk Project Award City Bid No 2009-005 RECOMMENDATIONS Council 1 Reject bids submitted by R.W Scott Construction and G Sosa Construction as non-responsive, and, 2 Authorize the City Manager to execute a contract with Kirk Construction in the amount of $93,158 48 for construction of the San Andres Avenue Sidewalk Project; and, 3 Authorize the Director of Public Works to file a Notice of Completion with the County Recorder upon satisfactory completion of the project. DISCUSSION Background The City Council has previously authorized, the use of Community Development Block Grant (CDBG) Funds for various Barrier Removal projects throughout Atascadero Projects that remove barrier to wheelchair accessibility, including sidewalk installation are permitted uses for CDBG funds The San Andres Avenue Sidewalk Project involves the installation of pedestrian facilities on the east side of San Andres Avenue from Navajo Avenue to Atascadero High school driveway across from San Marcos Road Analysis The San Andres Avenue Sidewalk Project was advertised from March 12, 2009 through Thursday, April 9, 2009 A total of nine (9) bids were received for this project. The bids were reviewed for accuracy and compliance with the City of Atascadero bidding requirements. 55 The use of Federal Housing and Urban Development (HUD) funding requires submission of specific statements, affidavits and certifications and requires the solicitation of Minority Business Enterprises and Women-Owned Business Enterprises (MBEANBE) as sub-contractors The bids found to be non-responsive did not meet these requirements Kirk Construction is the lowest responsive bidder at $93,158 48 Conclusion. Staff recommends that the City Council authorize the City Manager to execute a contract with Kirk Construction in the amount of $93,158 48 for construction of the San Andres Avenue Sidewalk Project. FISCAL IMPACT EXPENDITURES Design @ 15% 13,974 00 Construction 93,158 48 Inspection /Testing / Construction Administration @ 10% 9,30000 Contingency 20% 18,632 00 Total Estimated Expenditure $135,06448 REVENUE Community Development Block Grant CDBG Funds $135,06448 Total Allocated Revenue $ 135,064 48 ALTERNATIVES 1 Do not award the contract and cancel the project 2 Direct staff to redesign and re-bid the project. ATTACHMENT Bid Summary 56 City of Ataseadero ITEM NUMBER. A-7 Attachment Office Ce o the City Clerk DATE 4/2812009 BID SUMMARY TO Public Works FROM. Marcia Torgerson, City Clerk BID NO 2009-005 OPENED- Thursday April 9,2009 @ 4.00 pm PROJECT San Andres Avenue Barrier Avenue 9 nine Bids were received and opened today, as follows Total Bid Price Name of Bidder (sorted low to high) 1 R.W SCOTT CONSTRUCTION $ 77 228.00 2 G.SOSA CONSTRUCTION $ 82 180.00 °% 3 KIRK CONSTRUCTION $ 93,158.48 4 BRINAR CONSTRUCTION $ 93 998.00 5 J MADONNA CONSTRUCTION $ 101,420.00 6 MGE UNDERGROUND $ 103 459.00 7 GRANITE CONSTRUCTION $ 105882.00 8 WYSONG CONSTRUCTION $ 107 909.54 9 R. BURKE CORPORATION $ 114 346.00 57 58 ITEM C-1 DATE. 04/28/09 rrdln r g r r7 X8+0/ low Atascadero City Council Staff Report — Administrative Services Department 2009-2011 Budget Update RECOMMENDATIONS Council 1 Find it has become necessary to abolish positions of employment and authorize the City Manager to proceed with necessary staff layoffs 2. Receive and file budget update REPORT-IN-BRIEF The effects of the severe decline in the worldwide economy are devastating Local, State, and National agencies are all experiencing unparalleled reductions in revenues. The situation is so bad that some economists are even calling this era the worst economic crisis since the Great Depression Unfortunately, Atascadero has not been spared City staff has been working in this challenging climate to develop the 2009-2011 budget. Developing an effective budget that will maintain essential City services during these strained economic times is a difficult task. Through the helpful efforts of Council, Commissions, citizens, and the entire City staff, the management team has been able to compile enough information to form a tight but smart budget plan The City has been able to maintain stability Financial Strategy through the last decade because of the Council's effective ongoing commitment to a sound fiscal strategy The concept of this plan is to provide for downswings in revenues by putting money aside in good times and then using some of that money during cyclical periods of economic slowdowns. This policy generally allows for stable operations and continuity in service to the community, and ensures long-term financial sustainability to the organization Expenses -- Revenues 59 ITEM C - 1 DATE. 04/28/09 That strategic policy has performed well over the Financial Strategy years as intended, building up an impressive $11 million in General Fund Reserves as of 2006- v 2007 However, the drop in the economy has Y been much sharper and deeper than the policy ocould reasonable accommodate While the City has been judicious with its expenditure growth over the years, the drop in revenues has been just too drastic to be made up in reserves alone Years Serious operational and staffing cuts must now Expenses —' Revenues be made in order to maintain fiscal sustainability The core missions of the organization will be the top priorities DISCUSSION Revenues The City's General Fund is feeling a decline in almost every revenue source Total General Fund revenues had been growing consistently almost every year since 1993 They are now moving in the opposite direction Fiscal year 2006-2007 was thought to be just one step closer to stable revenues based in Atascadero's affordable home and commercial properties, economic development, and infrastructure improvements Unfortunately, fiscal year 2006-2007 instead became the peak revenue year Revenues began to decrease the following year and still continue their downward spiral Staff is projecting a double-digit (13%) decrease in 2009- , 2010 revenues as compared to the peak year of 2006-2007 This, in combination with an average of 3% per year increase in the cost of doing business, leaves the City 22%worse off in just three years The news is bad and keeps getting worse Last May, the Mid-Cycle Budget Report detailed the decline in revenues and changes to expenditures that were apparent at that time Unfortunately, as the economy continues to struggle, so do the revenues, causing ongoing erosion of revenue base General Fund Revenues for 2009-2010 are anticipated to be $16 5 million. Although economists are continually revising their estimates, at this point, it appears that the City won't see any significant improvements until fiscal year 2012-2013 Critical to the appreciation of this discussion is the understanding that Atascadero is unlike any other city in the County Of course, that is part of the history and charm of the community The financial challenges that the City faces are only similar to other agencies in that the outflow is greater than the inflow A common comparison to other cities doesn't yield a logical conclusion Some cities have high Transient Occupancy Tax revenue because they are known as vacation destinations Other cities have high Sales Tax revenues because they are known as popular shopping destinations Still others have high franchise fees due to their relationships with utility companies. Atascadero relies heavily on property tax. In fact, 45% percent of the total General Fund revenues are made up of Property Taxes. The next highest piece of the pie is Sales Tax Revenues at 18% Development revenues, which at one time were the third largest revenues, now come in at only 4% IJ 60 ITEM C-1 DATE 04/28/09 Estimated Genera! Fund Revenue 2009-2010 Property Tax 45% Deveiopment ..- Development 4% Property Tax Revenues Property Tax Revenue has always been the bread and butter of Atascadero It has continuously been considered a strong and reliable source of income to the City's General Fund Year-over-year growth rates between 2% and 10% were quite common, and in fact, the growth rate hit a record high of 15% in fiscal year 2006-2007 Unfortunately, a whole new world exists now; a time that some said would never happen. The City is no longer seeing this increasing growth rate In May of 2008, the information available to staff indicated that Property Tax revenues would see a significant slowdown in the rate of growth due to the economic downturn Data indicated that although growth slowed, it would indeed remain positive The county assessor's office initially reported that it expected to reduce county-wide home values to 2004 rates, which equated to approximately $600 million in value reductions county-wide Although this is a large reduction county-wide, analysis of this amount indicated that its worst victims would cities other than Atascadero However, recent reports from the assessor's office now indicate that that the values will be drastically lowered to 2003 rates, or a county-wide write-down of $1 billion This is definitely a more severe situation, and caused another round of analysis in terms of what it really means to the City's most important revenue source Property tax revenues are based on property values In a normal market, property values have a built-in mechanism to increase every year based on how the economy is doing Increases are equivalent to the lesser of CPI or 2% Additionally, property is re-appraised to current full market value immediately upon a change in ownership The property base value, and thus the City's revenue, therefore typically continues to grow as the years pass, as properties change hands, and as properties are constructed or improved Atascadero land has been considered one of the best deals in the county over the last several years, so a good deal of construction and home sales has taken place This is why the City has seen such positive, sometimes even double-digit, growth over the last 10 years 61 ITEM C-1 DATE 04/28/09 Conversely, however, as the housing market slumps Property Tax Trends and property values decrease, the assessed 25% values can be decreased 20% Typically, the economy goes from good to bad and 15i° then back to good The 10% property base is generally 5% _ stable enough to handle such cyclical variations and 0% the City continues to see 5i° — slowed but positive growth 10% during those times However, there are those -15% rare times when the r� 00Q) cHrj ^ng `^ 1D ^ 00C) C) H"14M"tLnL° ^ 00M0H 0o 0000rn0) rnrnrn0) rn0) rnrn0000000000H1-+ °1 O1 Q) O1 Q) M0) 0) 0) a) Ma) O1000000000000 economy goes from good to .-i r-I rl 71 eV r- r-I rl rV r-I ci -1 r-1 N N N N N N N N N N N N lD1- 00 (nO HN M CP V1 lD r,, 00 MO .--1 N fn 4 tl) 6I, 00 Ol O bad to terrible, and this is 00000000 o, 0, rn0) o, 0) 0) 0) 0) rn0000000000H rn am rn rn mc) o) rn a, a, rn mo) m o 0 o o 6666 o 0 0 when extreme decreases, `-' H HHRH -4Hr' 1' 1-11-' N N N N NNNN N N N even negative growth rates, are present. The initial reports of the devaluation to 2004 rates was of course concerning, but at that time was not considered devastating because there was still a significant portion of the property value base that fell under that threshold However, the further write down to 2003 rates, had a much more substantial effect. A larger percentage of the City's property tax base value was now in jeopardy As recently as last November reliable financial experts expected that the housing market would begin recovering in the Fall of 2009 Data now indicates that the first signs of a turn-around in the housing market may not exist until 2012 Keeping all of this in mind, staff has analyzed the data available at this time and projects, for the first time in history, a two percent decrease in property tax revenues for 2009-2010 Never since incorporation has the City experienced a negative growth rate in this vital revenue Because property taxes make up almost half of the entire General Fund revenues, even a small decrease in the growth rate has a serious ripple effect to the General Fund and results in severe implications Property tax revenues are projected at $7 5 for each of the two fiscal years 2009- 2011 Staff doesn't expect this negative trend to reverse until fiscal year 2011-2012. 62 ITEM C -1 DATE. 04/28/09 Sales Tax Revenues The news doesn't get any better when it comes to Sales Tax revenues In fact, the trend for thex last several years has been negative Sales Tax has dropped a stunning 2005-2006 $ 4,211,140 n/a n/a 24% since fiscal year 2005-2006 That is an annual revenue loss of 2006-2007 $ 3,807,713 $(403,427) -10% over$1 million! 2007-2008 $ 3,526,534 $(281,179) -7% Sales Tax Revenues are the second 2008-2009 $ 3,190,907 $(335,627) -10% largest revenue source, representing 18% of General Fund Revenues 2009-2010 1 $ 2,920,800 1 $(270,107) -8% Sales tax revenues are down in agencies across the State, but 2010-2011 1 $ 2,923,200 J $ 2,400 00/6 Atascadero was particularly hard hit because it has a narrow) defined Underlying Atascadero Sales Tax. This eliminates timing anomalies from Y State Sales Tax in Lieu Payments, Sales Tax Base In other words, a large portion of Sales Tax Revenue comes from a few retailers in sectors that have been hard hit. Since calendar year 2001, the City's top two sales tax revenue producing industries have been Building/Construction and Autos/Transportation Lack of consumer confidence, the soft housing market, and the instability of fuel and energy rates have caused reductions in these both of these two sectors The deflation in the real estate industry has influenced the Building and Construction industry One of the hardest hit sectors of the economy, this influence is reflected in a statewide drop of 12.4% in building materials sales tax receipts over a year ago Uncertain of future values consumers are reluctant to invest much toward building and construction projects. Additionally, the sub-prime mortgage crisis has affected the credit market for home equity loans and refinancing loans, further reducing the potential for home renovation projects Restored growth in this industry is expected to come slowly Weak sales in vehicles, SUVs and trucks in particular, have caused the City's other main sector to suffer Atascadero Ford, previously a large part of the City's sales tax revenue base, closed its doors last year This is a symptom of the depth and length of this recession, as the statewide surplus of auto dealerships continues to be sorted out. From its high point, this is a loss to the City of $320,000 in Sales Tax Revenues annually This has a significant effect on the City's already lagging Sales Tax Revenues Staff has worked with the Community Development staff, the Office of Economic Development, and HdL, the City's Sales Tax consultant, to project revenues into the future Indications are that there is a general malaise in the economy, causing consumers to be more protective of their disposable income The good news is that there is a projected increase in revenues from Big!Lots and Tractor Supply This increase will help move sales tax revenues in a positive direction However, combined with lower fuel prices and the opening of Lowe's in Paso Robles, the effect of these new retail outlets is softened Staff projects a continued decrease in 2009- 2010, and only a slight increase of less than one percent in the second year of this budget ' wr cycle It is only through the Council's commitment to economic development and the hopes of a 63 ITEM C -1 DATE 04/28/09 rebirth in the economy that this downward trend is expected to eventually turn around in 2010- **A '` 2011 Development Revenues Development Revenues closely reflect the current real estate market, and thus have decreased significantly in the last few fiscal years While staff anticipated a drop in activity, the velocity and severity in which it came was unexpected In 2005-2006, 276 new residential permits were issued So far in 2008-2009, only 11 have been issued This is a 96% decrease in new residential activity in three years' time New commercial activity has also decreased In 2005-2006, there were 21 new construction permits issues, compared to 4 in 2008-2009 Building Permits by Type Issued 800 700 600 ■New Commercial 500 400 19 New Residential 300 Residential 200 Alteration/Addition/Accessory 100 F p Commercial 0 Alteration/Addition/Sign/Other 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 As of the beginning of fiscal year 2008-2009, there were over 500 new residential and new commercial permits that had gone through plan checks but had not been paid for Council authorized an expiration extension on those permits for developers and homeowners that agreed to pay the fees due The benefits of this program were many The City was able to receive payment on costs that had already been expensed to review the permits and the developer or homeowner will have an easier time starting the project back up when the economy rebounds That is a benefit to the developer or homeowner and also to the City as it boosts the local economy The program was a huge success and over $200,000 was brought in from 226 of the 517 permits that were eligible for this program Staff estimates a small increase in development revenues for the next two budget years due to a service fee adjustment, but doesn't expect a volume increase until fiscal year 2011-2012 Other Revenues Generally, revenue discussions are focused on the largest and most critical pieces of the City's revenue base However, there are many other sources of revenues that help complete the revenue pie, and it is important to understand what is happening with these sources to get the full picture of the economy's effect on the City -41 Now 64 ITEM C 1 DATE. 04/28/09 Atascadero is seeing drops in almost every revenue source The above discussion explained why there are decreases in the three revenue sources that make up 67% of the General Fund Revenues For the most part, the remaining 33% doesn't look any better Property Transfer Tax, Intergovernmental Revenues, Motor Vehicle in Lieu, Business License Tax, Gas Tax, Transient Occupancy Tax, Recreation Services, Pavilion Revenues, Administrative Charges and Interest Income are all trending downward Taken individually, none of these would pose a significant concern to the City's ongoing fiscal health However, taken together, and on top of the huge losses that already exist in Property Tax, Sales Tax, and Development Revenues it is easy to see how the City's revenue picture is in a devastating situation Reserves All this might leave a person wondering, "What's the problem? The organization is lean, expenses are tight; just fill in the revenue gap with the reserves That's what they were saved for, right?" These are very good questions, but unfortunately, they are also very complex. Understanding some of the City's financial history is helpful in finding the answers The story begins back in the early nineties As the economy became sluggish, the City began to suffer severe fiscal challenges Revenues were low, expenses were high, and there were essentially no reserves. Without sufficient reserves to fall back on, the independent auditor reported a going concern in other words, finances were so bad at the time that there was a serious question of ongoing solvency in the organization The City Council and remaining staff were able to pull together and rebuild the City, piece by piece The Council's Strategic Policy was born from this crisis and eventually the organization was able to create a reserve balance as high as $11 million in the General Fund That experience certainly was a hard lesson to learn at the time, and one that the City never wants to repeat. By the end of the current fiscal year, the General fund reserves are expected to drop to $8 million Council has been supportive of budgeting $1 million in reserves annually to bridge the gap between expected revenues and expenses This judicial use of reserves should take the City through to fiscal year 2012-2013, when the economy is projected to start turning around At that time, General Fund reserves are expected to be about $4 million Because of the lesson learned in the last economic downturn, it's been Atascadero's unwritten policy to maintain a prudent level of reserves. Prudent, in this case, is the combined function of the level of General Fund expenditures, the unavailability of some of the reserves, and the potential for contingencies or emergencies It is critical to retain sufficient resources to maintain services relevant to the City's core missions 65 ITEM C -1 DATE. 04/28109 General Fund Reserves $12,000,000 $11,000,000 $10,000,000 $9,000,000 y - --- $8,000,000 $7000,000 $6,000,000 $5,000,000 � rL; � r $4,000,000 a $3,000,000 ` $2,000,000 ' $1,000,000 $- h h 1 h O ti ti 3 � h h � O ti ti 3 CP C� C� CP CP O° O° z O° O° O° O° o° O° o° o, O, V by V �ti �� o'L 'yam a, 3L V hti V 1T &5'L oti titi tiT �°' �� �� �� , �°' o° o° o° o° o° o° o° O° o° o° oti oti oti ti ti ti ti ti ti ti ti ti ti ti ti ti ti ti ti ti ti ti Designated for library ®Reserved for long term assets Designated for cash flow N Designated for road projects 12,Designated for PERS/economic uncertainties General Fund - undesignated Expenditures The available data supports the use of $1 million in reserves annually In order to maintain the use of reserves at this level it is necessary to adjust the other pieces of the puzzle Although the City is doing what it can to boost economic development, not much can be done to change property taxes or revive the national economy That essentially locks revenues in place The only remaining piece that can be changed is expenses The draft department budgets have been reviewed and the rough pre-cut estimate of General Fund expenses for 2009-2010 is $20 5 million Revenues are coming in at $16 5 million This creates a budget gap of about $4 0 million In order to last until 2012-2013, the reserve fund can only contribute $1 million annually That means the expenses can only be $17 5 $16 5m annual revenues million After the reserve contribution, + $ 1 .0m reserve contribution expenses need to be reduced $3 million to get = $17 5m annual expenses from the draft budget requests of $20 5 million to the maximum the City can responsibly spend of$17 5 million Of course, this year doesn't mark the first year budgets have been cut. As indications of the economic crisis began to appear, budget savings measures became the first line of defense 66 ITEM C - 1 DATE. 04/28/09 against what would soon become this unwieldy beast. Staff at all levels came forth with ways to reduce spending, but continue to maintain core mission services The cuts, along with the planned use of reserves as consistent with Council's Strategic Policy, seemed, at the time to keep the City out of reach of the beast. Unfortunately, the major recession that many economists forecasted seemed to grow closer and its unfavorable influence on the City's revenues was evident almost daily The focus on operational cuts became even more intense. Employee meetings were held regularly to keep the staff up to date on the City's current fiscal status, and to gather ideas for reducing . Regular employee budget updates operating costs. Weekly budget meetings were . Ideas submitted from all staffing levels held with representatives from each department • Weekly budget meetings and employee association, and weekly budget . Weekly employee newsletters emails followed up the meetings to keep all • Overtime limited employees in the loop Overtime was used Weekly department head meetings with judiciously on only the City's core missions Finance staff Staff positions that had become vacant due to vacant positions chilled, then frozen attrition were chilled and later frozen Through the efforts of each and every employee, $2 3 million has been squeezed out of the ongoing operating budgets, bringing projected expense down to $18.2 million As the City's operations were already lean, the community effect of each of these cuts has been weighed against the benefits they provide Staff is doing everything possible to maintain the City's core missions while trimming out those programs or services that will have the least impact of the citizens of Atascadero The General Fund is the focus of this discussion because it is the fund with which the City generally has the most discretion for spending However, other funds, such as the enterprise funds (Wastewater and Transit), the Gas Tax Fund, the Redevelopment Agency Fund, and the Tree Fund have significant impacts on the General Fund These other funds can have positive or negative effects, depending on how interfund activities are structured In some cases, it is appropriate to charge enterprise funds for administration overhead or support staff costs To the degree these transfers are appropriate, the burden of those related costs effectively shift to the enterprise fund If used properly, this interfund cooperation can provide needed relief to the General Fund Following are descriptions of staff recommended cuts to both the General Fund and to other funds that have a financial relationship to the General Fund If for any reason, one or more of the recommendations are not endorsed by Council, deeper cuts will be required in other areas • Suspend Funding of Annual Building Replacement Reserve (-$406,060 annually) - Funding replacement of City infrastructure has been a cornerstone of the Council's Financial Strategy for the last several years In July of 2000, the City began putting away funds to repair and replace City buildings and in 2003, staff began charging a building occupancy fee to all enterprise funds and using a building occupancy factor in creating an overhead rate Each department annually contributed its proportionate share to a building replacement reserve For the last several years, the funds that the City allocated to building reserves have largely been used to pay for repair projects and improvements. Staff recommends suspending the funding of this annual building 67 ITEM C - 1 DATE 04128/09 replacement reserve in order to balance the budget. This will drastically reduce available funding for major repairs to City-owned buildings, in effect deferring or putting off these repairs until better economic times • Suspend Funding of Annual Equipment Replacement Reserve (-$50,000 annually) -The City has historically not been able to fully fund a contribution to the equipment replacement reserve account, however the Financial Plan called for increasing annual contributions and the City was contributing $50,000 a year toward replacing old and outdated equipment. Staff recommends suspending this annual contribution for 2009- 2010 and 2010-2011 This will increase the City's backlog of equipment that needs to be replaced and will defer replacement until better economic times • Suspend Fundinq of Annual General Fund Contribution to Road Repairs (-$250,000 annual) - In 1999, the City developed the Atascadero Road Program to address the City's backlog of road maintenance issues As part of that program, the Council agreed to annually fund $250,000 of major road repair projects with General Funds They also agreed to eliminate this annual funding if the City was in tough economic times Staff is recommending that the annual contribution for road repairs be suspended This will in effect lower the overall condition of the City's roads • Reduce Funding for Local Road Pavinq Projects (-$50,000 annually) - As part of the Atascadero Road Program the City began the Local Road Paving Program where local roads were paved using City crews Staff is recommending that this program be reduced in order to balance the budget. This in effect lowers the overall condition of the City's roads ,, • Reduce Strategic Planninq, Citywide Traininq and Committees (-$40,000 annually) - Staff recommends reducing funding for Council and Department Head Strategic Planning This will eliminate the use of a facilitator or other contractors to assist with the strategic planning process Staff also recommends reducing funding for citywide training and committees Reductions include items such as the Leadership Academy, supervisor training, the Customer Service Committee and AEDAC (Atascadero Employee Development Advisory Committee). • Reduce Citywide Services & Supplies by 5% (-$159,770 annually) - Each department reduced non-labor operating budgets by 5% This includes reductions such as paper toner, and other office supplies, cleaning products, landscaping, janitorial costs, contract services, bottled water, utilities, non-essential training, travel expenses, and small equipment replacement. This effectively lowers service levels for services outside of the City's core missions. • Reduce Television Broadcasting and Archiving of Meetings (-$25,650 annually) — Council voted to begin televising and internet streaming Council and Planning commission meetings in fiscal year 2007-2008 The annual cost of this is approximately $51,000 In this time of economic struggle, staff recommends reducing the cost of this by $25,650 This would eliminate video internet streaming and archiving of meetings and would discontinue all televised coverage of the Planning Commission meetings. IWOOV 68 ITEM C - 1 DATE. 04/28/09 **AW' Reduce Chamber and Tourism expenses (-$44,290 annually) — The contributions that the City makes to the Chamber of Commerce and toward tourism and marketing are based on revenues received As the associated revenues decrease with the economy, so do the City's contributions This budget reduction reflects the impact of the sluggish economy but does not change the City's contract commitment toward these important programs • Reduce Contract Arborist, Contract Biologist and Tree Brochure (-$58,500 annually) — When development was at its peak, the City allocated $30,000 annually toward a contract arborist, $25,000 annually toward a contract biologist, and $3,500 annually toward the printing costs of a Tree Brochure At that time, these costs were a Council priority The services that were used on development permits were reimbursed to the City through the permit fee process Now that development has decreased drastically, the need for these contract services has also decreased The costs of printing the Tree Brochure have also been reduced While the brochures are important to the preservation of one of the community's top natural resources, staff recommends suspending funding during this time of fiscal crisis • Implement Cost Effective Zoo Animal Food Program (-$20,000 annually) — One of the nation s top animal nutritionists is on staff at Cal Poly and has volunteered to assist in designing ideal and less costly diets for the Zoo animals Foods that are common to multiple animals can be purchased less expensively in bulk, and then different components can be added to tailor to the dietary needs of each species This has been an effective program, increasing the benefit to the animals, while decreasing the cost to the City • Reduce Community Center Expenses ($40,000 annually) — The Colony Park Community Center is a new building with new equipment. As these assets age, more ongoing maintenance and equipment replacement will be necessary While the Center's budget can be reduced this budget cycle without much effect on the community, at some point, it will be necessary to increase this budget back to its original level in order to properly care for and maintain these assets. There may be a reduction in some services levels at the Center, but the cuts will not interfere with the City's core mission • Institute a Hiring Freeze for Vacant Positions (-$704,000 annually) — A hiring chill has been in place since May of 2008 As positions have become vacant, an analysis of each has been performed to determine if the position could be left vacant (frozen) There are currently seven frozen positions This has affected some service levels and programs, but efforts have been made to reduce the negative impact on the City's core missions • Postpone Contribution to Lonq-Term Vehicle Replacement (-$125,880 annually) — The City has a number of vehicles with long-term replacements These are generally fire department apparatuses and streets vehicles with 20- to 30-year useful lives. The City's policy is to make contributions from the General Fund to the Vehicle and Equipment Replacement Fund annually so that sufficient funding exists to replace the vehicle at the end of its useful life At this time of economic downturn, staff recommends postponing the General Fund contributions for these vehicles, and making them up at some point in the future This doesn't have any immediate effect on the community, but will increase the future replacement burden 69 ITEM C - 1 DATE 04/28/09 • Suspend Contribution to Historic City Hall Operatinq Reserve (-$174,250 annually) - In December of 2003, the City staff were forced to move out of the Historic City Hall that had housed City services since incorporation. While the historic icon was a beautiful place to work, it was a very expensive building to maintain Shortly after the earthquake when staff was evaluating the annual costs of maintaining, repairing and replacing its temporary quarters vs the cost of maintaining, repairing and replacing Historic City Hall, it became apparent that there was a large discrepancy Rather than reduce each department's contribution toward building maintenance and replacement, it was decided to keep funding at the level that existed when the City was housed in Historic City Hall. This would allow the City to put away funds to repair the building and would facilitate the funding transition of moving back into Historic City Hall Staff recommends reducing building maintenance funding levels to those needed to operate the current City Hall This action in effect will reduce the amounts put away to assist with normal repairs of Historic City Hall and the funding level will eventually have to be increased once staff moves back into Historic City Hall • Utilize Balance of Funds Remaininq in Gas Tax Fund (-$76,510 each year) — Like the General Fund, the Gas Tax Fund has accumulated a positive fund balance over the years, by consistently coming in under budget. It is estimated that at June 30, 2009 the Gas Tax Fund will have $153,020 in reserves on hand Staff recommends reducing the General Fund contribution to the Gas Tax Fund by $76,510 in each year, effectively using these Gas Tax Reserves and bringing the Gas Tax Fund Balance to $0 at June 30, 2011 • Restructure Salary Source for Native Tree Plantinq Activities (-$16,690 annually) — Currently, one of the City's Parks employees performs Native Tree Planting duties, with that employee's salary and benefit costs being paid with General Fund money The portion of this employee's time that is committed to Native Tree Planting Activities will be paid from the Native Tree Planting Fund This will reduce the Native Tree Planting Fund amount available for operations and projects • Reduce Technology Intern (-$22,000 annually) — In July 2007, an intern was hired to assist City Technology staff with the various services that are provided internally Through the Technology allocation, each City department makes an annual contribution to the operation of the Technology department. This will cut the intern's current hours in half, which will proportionally reduce internal services to City employees • Streamline Chipping Program Expenses (-$18,000 annually) — The Chipping Program has historically been over-budgeted This program, while essential, can be streamlined in such a way as to eliminate excess budgeted expenditures While there might a slight decrease in service level to the public, staff believes that most goals of the chipping program can be accomplished with the proposed lower funding level • Elimination of Contract Janitorial Service for City Hall (421,000 annually) —Currently the City contracts out janitorial maintenance of City Hall Staff recommends eliminating this service contract and having City staff do the work. Maintenance service levels at all City Facilities will be lowered to accommodate the extra hours needed to clean City Hall. •wrr4 70 ITEM C -1 DATE 04/28/09 • Delay Vehicle Purchases for This Budget Cycle (-$35,430 in 09/10 and -$56,960 in 10/11) — The City has historically funded the future purchase of new vehicles with contributions to the Vehicle and Equipment Replacement Fund Similar to making car payments in advance, when a department's vehicle reaches the amount required to purchase a new vehicle, the old vehicle is replaced Staff recommends delaying purchases of replacement vehicles, along with suspending the corresponding contributions to the vehicle replacement fund for 2009-2010 and 2010-2011 This will increase the City's backlog of vehicles that need to be replaced until better economic times • Reduce Additional Legal expenditures ($79,120 annually) — In a team effort to assist the organization in reducing costs, City Attorney Brian Pierik has analyzed his City contract and has proposed changes and reductions. Mr Pierik believes that staff can perform certain tasks in advance of seeking his assistance In doing this, costs can be significantly reduced but adequate service levels for the City can still be maintained • Reduce Capital Expenditures (-$86,760 annually) — Although historically only a small portion of the City's General Fund budget has been directed toward capital expenditures, the City has been able to purchase various pieces of equipment and other items that made staff more efficient, replaced necessary worn out equipment or furthered one of Council primary goals Staff is proposing that the funding level for capital expenditures be reduced This in effect defers the replacement of needed furniture, equipment and other capital items • Other Operating Reductions (-$54,600 annually) — A multitude of other small dollar amount reductions will be implemented throughout the organization These items include things like installing alternate doggie bag stations that would allow us to use grocery or other plastic bags, turning off the lights in the jail combining newspaper subscriptions, eliminating coffee and washing vehicles less frequently All of these small operating reductions will have an effect on the efficiency of staff and the service levels provided, however careful and analysis and planning will minimize the impact to core missions • Operational Increases (+$275,940 annually) - Although staff was able to reduce budgets in most areas, increased funding levels were required for liability insurance ($109,020), property tax collection ($56,140), animal control services ($30,810), and higher than anticipated employee costs due to low turnover ($25,050) In addition to these increases, reductions in gas tax revenues ($54,920) require an additional contribution of General Funds in order to keep current street maintenance service levels Layoffs The operating services and supplies, capital projects, and special projects have been carved up as leanly as possible Any additional decreases to the departmental budgets would impair the organization's ability to continue to deliver its core missions Although great effort has been made to avoid decreasing employee services, at some point it becomes the only reasonable option left on the table Because the City is a service organization, historically 73% of the General Fund expenditures have been dedicated to labor and eventually, a reduction to labor costs becomes inevitable 71 ITEM C -1 DATE 04/28109 Many cost decreasing options have been investigated Information on voluntary furloughs and early separation programs were researched Expense by Category Unfortunately, the cost savings recognized by these options were not sufficient to Employee the close the remaining services Operating $700,000 - $800,000 gap 73% Supplies and The City Manager therefore Services requests that Council find it 22% has become necessary to abolish positions of employment and authorize the City Manager to proceed with necessary staff layoffs This action is taken as a last resort for the long-term fiscal health Special and of the organization It is a Capital Debt Projects very serious matter as it Services 5%concerns the positions that 0%are laid off, the community, and the resulting challenges for the remaining employee positions The City Manger has worked diligently to evaluate all of the positions in the organization, selecting those in which the work, project, or program can be eliminated The objective is to remove the work associated with services not considered part of the City's core missions, and reduce expenses by the amount associated position Positions that are already frozen will be included in the layoffs. The impact to the community has been and will be thoroughly considered prior to any final decisions by the City Manger In addition, the Personnel Rules and Regulations will be carefully followed and any affected personnel will be provided with information explaining the layoff procedure and resources for services It is critical that all City staff is treated with respect during this challenging time, as this is indeed the most difficult era the City has faced in some time Summary The City is experiencing a financial crisis unequaled in proportion to anything it has been through for the last 15 years Revenues are down across the board For the first time in Atascadero history, property tax revenue growth is negative Sales tax revenues are down $1 million annually since the high point in fiscal year 2005-2006 Development, previously the City's third highest revenue source, is now at 4% of the General Fund Revenues Compounding the problem, Property Transfer tax, Intergovernmental Revenues, Motor Vehicle in Lieu, Business License Tax, Gas Tax, Transient Occupancy Tax, Recreation Services, Pavilion Revenues, Administrative Charges and Interest Income are all trending downward Although the City is reaching out through economic development, tourism, infrastructure improvements, development permits streamlining, and a friendlier attitude toward business, it cannot change the economy overnight. General Fund reserves have been the City's saving grace during this time of turbulence Born out of the last fiscal crisis, the Council's Strategic Policy created reserves that hit a high of $11 million These reserves have been critical in the organization's efforts to maintain a constant , 72 ITEM C- 1 DATE. 04/28/09 flow of services that make up the City's core missions Reserves are estimated to be $8 million by the end of fiscal year 2008-2009 The available data supports the judicial use of$1 million in reserves annually to help bridge the $4 0 million gap between revenues and expenses However, it is critical to retain prudent reserves Prudent reserves take into account the level of General Fund expenditures the inaccessibility of some of the reserves, and the potential for contingencies or emergencies As the City learned during the early 1990's, the need for reserves on hand is crucial to the fiscal health of the organization Several rounds of operating expense cuts have been made Each and every employee pitched in to try to reduce costs and cut programs that weren't essential to the City's core missions. This was a series of productive exercises, yielding $2 3 million in cuts However, even these drastic cuts to the already lean expenditure base aren't enough to close the gap left by the devastative revenues Because the City is a service organization, historically 73% of General Fund expenditures have gone toward labor This is a huge piece of the pie, and eventually, labor cost reductions must be investigated Several options were researched, including voluntary furlough and early separation programs None of these options resulting in savings sufficient to close the remaining $700,000 - $800,000 gap Therefore, it is with great difficulty that layoffs are considered Layoffs are necessary as they are only remaining viable solution for the long-term health of the City This is a serious measure and is done as a last resort. The layoff process will be done respectfully and fairly addressing those positions in which the program or associated work can be eliminated No individual personnel will be targeted All existing frozen positions will be included in the layoff The effected personnel will be provided with information explaining the layoff procedure and resources for services Staff will continue to keep the Council informed with regular budget updates The draft budget will go before the Finance Committee in May, with the revised draft budget to Council in June FISCAL IMPACT The budget that is adopted by Council in June will be the fiscal model to carry the City through the next two-year cycle ALTERNATIVES Council has the authority to accept, modify, or decline any of the recommended budget reductions err 73 ITEM NUMBER. C-2 DATE. 04/28/09 n Isis ® 197 Atascadero City Council Staff Report - City Clerk's Office Ballot Measure for Elected Mayor and Discussion of Mayor and Council Member Compensation RECOMMENDATION Council authorize the City Clerk to include in the Resolutions for the General Municipal Election of November 2, 2010, the placement of a ballot measure asking the voters if they desire to elect a Mayor, and if so, do they want the Mayor to serve a 2 or 4-year term DISCUSSION The California Government Code provides that the Mayor and Mayor Pro Tem of a General Law City are selected by a majority vote of the City Council Atascadero followed this direction from incorporation until 2003 In 2003, the City Council adopted Resolution No 2003-055 to provide a rotation method for the selection of Mayor and Mayor Pro Tem In 2006, the City Council adopted Resolution No 2006-084 to amend the previous Resolution to provide that no first year Council Member may serve as Mayor In March 2009, the City Council repealed the Mayor Rotation Resolution, and therefore, the City is again governed by the California Government Code for reference concerning the determination of a Mayor and Mayor Pro Tem In March 2009, the City Council directed the City Clerk to bring back details of the process to place a ballot measure on a future ballot asking voters to decide whether the City should have an elected Mayor As it has been mentioned before, of the seven cities within San Luis Obispo County, Atascadero is the only city without an elected Mayor However, as of June 2007, out of the 480 cities within California, only 147 cities have elected Mayors California Government Code Section 34900 provides that at any general municipal election, or at a special election held for that purpose, the City Council may submit to the voters the question of whether they want to elect a Mayor and four City Council 75 ITEM NUMBER. C-2 DATE. 04/28/09 Members, and if so, whether the Mayor shall serve a two-year or four-year term The ballot measure would need to include the following questions Shall the electors elect a Mayor and four Council Members? YES NO Shall the term of office of mayor be two years? YES NO Shall the term of office of mayor be four years? YES NO The Government Code requires that the questions be worded in this manner The Code also specifies that the City Council may not choose the length of the Mayor's term, the voters must vote to decide if the Mayor shall be elected and if so, will the term be 2 or 4 years If a majority of the votes cast on this proposition are in favor of an elected Mayor, the office of Mayor shall be an elective office from that point forward Therefore, if this ballot measure is successful, one of the offices of Council Member to be filled at the next general municipal election will be designated as the office of Mayor Choosing an Election Date. At their meeting in March 2009, the City Council asked the City Clerk to bring back detailed information to assist them in the decision of which election should they place the desired ballot measure, the general municipal election on November 2, 2010, or a special election on June 8, 2010 • November 2, 2010 Ballot Measure This is the next general municipal election date for Atascadero The City of Atascadero will have two Council Members, City Clerk and City Treasurer on the ballot. Adding a ballot measure to this ballot will cost Atascadero an estimated $2,000 00 If the ballot measure is on the ballot in November 2010 and successful, the election of Mayor would be on the ballot in November 2012 • June 8, 2010 Ballot Measure This would be a special election for Atascadero, consolidating with the County's Primary Election The estimated cost for Atascadero to add a ballot measure to this election's ballot would be $35,000 00 If the Council wants the election of Mayor to be on the ballot in November 2010, the ballot measure would have to be on the ballot in a special election on June 8, 2010 At a general municipal election (November 2010), Atascadero shares the cost of the election with all the other San Luis Obispo County cities, the County, School Districts, Cuesta College, State and Federal Atascadero's election invoice is usually approximately $15,000 00 - $18,000 00 Add the $2,000 00 for a ballot measure, and 76 ITEM NUMBER. C- 2 DATE. 04/28/09 the November 2010 election would cost between $17,000 00 - $20,000 00, which would _ include the election of two Council Members, the City Clerk and the City Treasurer At a special election (June 2010) for the ballot measure alone, Atascadero would only be sharing the cost of the election with the County and the cost would be approximately $35,000 00 to Atascadero Timing for When the Elected Mayor Would Begin. Another consideration is the timing of when the elected Mayor would begin, if the ballot measure is successful The City Council will decide the election date, but the voters will decide if there is an elected Mayor and if so, whether the Mayor will serve a 2 or 4-year term Currently, Atascadero's elections for Council Members alternate, two Council Members are elected at one election year, three Council Members are elected the next election year (2, 3, 2, 3, etc ) If the voters chose a 2-year term for the Mayor at a June 2010 special election, then the future elections will be scheduled as the following (2, 4, 2, 4, etc ) Election Year Mayor Council Members 2010 Mayor One 2012 Mayor Three 2014 Mayor One 2016 Mayor Three If the voters choose a 4-year term for the Mayor at a June 2010 special election, then the future elections will be scheduled as the following (2, 3, 2, 3, etc ) Election Year Mayor Council Members 2010 Mayor One 2012 --- Three 2014 -Mayor One 2016 --- Three If the voters chose a 2-year term for the Mayor at the November 2010 election, then the future elections will be scheduled as the following (3, 3, 3, 3, etc.) Election Year Mayor Council Members 2012 Mayor Two 2014 Mayor Two 2016 Mayor Two 2018 Mayor Two 77 ITEM NUMBER. C -2 DATE 04/28/09 If the voters choose a 4-year term for the Mayor at the November 2010 election, then the future elections will be scheduled as the following (2, 3, 2, 3, etc ) Election Year Mayor Council Members 2012 Mayor Two 2014 --- Two 2016 Mayor Two 2018 --- Two Consideration of a Primary (June Election) A municipal primary is usually held in June of even years, and they serve to narrow down the field of candidates to the top 2 candidates per position, who will run in November in a run-off election Municipal primaries are allowed only in Charter cities, and Atascadero is a General Law city The City of Morro Bay's primary elections were mentioned during the Council's last discussion on this issue Morro Bay is:also a General Law city Staff has learned that Morro Bay has actually adopted a Policy of Majority Vote wherein they have moved their General Municipal Election to the same day as the statewide primary election, allowing an unlimited number of candidates to run for office, with the best of those candidates advancing to a runoff in the NovemberElection if they do not receive a majority vote in the "primary" election If someone for each vacant position receives a majority vote at the "primary" election, then there is no run-off election in November The nomination period for candidates intending to run in a June "primary" election would begin in 'February They would be required to pay a filing fee, and pay for a candidate statement, if they choose to submit a statement for the June election voter pamphlet. The candidates would also be required to submit all the necessary election filings in accordance with the California Fair Political Practices Commission (FPPC), such as Forms 410, 460, and 700 Candidates would also be campaigning from February through to the June election The City would be paying approximately $35,000.00 for a June election If a candidate for each vacant position receives a majority vote, there is no need for a November election, except if there are other,items on the ballot, such as City Clerk and City Treasurer elections Once the June election has been conducted, and if no one receives a majority vote, the top candidates in the June election would be required to continue the filing of FPPC forms, and if they choose to file a candidate statement for the November run-off election, they would need to pay during the month of July, the estimated fee for the statement to be included in the November election voter pamphlet. The candidates would also be campaigning from July through to the November election The City would be paying approximately $20,000.00 for the November election 1000, 78 ITEM NUMBER. C -2 DATE. 04/28/09 The advantage to holding a June general election is that by holding a "primary" you narrow the field of candidates and guarantee an election by majority vote The disadvantage is the additional cost of two elections to both the candidates and the City Vacancies Caused by Council Members Running for Mayor Council Members may run for the office of elected Mayor If the Council Member is mid- term when she/he runs for Mayor, and is successful, the Council Member position will become vacant. The City Council must appoint a replacement, or call for a Special Election, within 30 days of the position becoming vacant. For the Council to appoint a replacement, the City Clerk would advertise the vacancy and request interested parties to apply The Council would interview the applicants in public session and a majority of the Council would select an applicant to fill the vacancy If a majority of the Council does not agree on a selection, the position remains vacant and the Council must call for a Special Election to fill the vacancy If the voters of Atascadero choose a 2-year term elected Mayor, vacancies could appear every two years Mayor and Council Member Compensation The City Council asked for staff to return with information concerning Mayor and Council Member compensation The City Council Member compensation is set by California Government Code 36516 The amount is based on the population within the City For example, the Council Members of a city, with a population of less than 35,000 which includes Atascadero, is allowed a monthly salary of$300 00 The California Government Code also allows for increases in these salaries "(c) Compensation of council members may be increased beyond the amount provided in this section by an ordinance or by an amendment to an ordinance but the amount of the increase may not exceed an amount equal to 5 percent for each calendar year from the operative date of the last adjustment of the salary in effect when the ordinance or amendment is enacted. No salary ordinance shall be enacted or amended which provides for automatic future increases in salary " The Atascadero City Council adopted an ordinance in 1984, 25 years ago, setting the Council's salary at $300 00 per month The maximum allowed increase in Council Member salaries would be 25 years times 5% = 125% (see table under Fiscal Impact below) An elected Mayor may receive compensation in addition to that which she/fie receives as a Council Member, according to the California Government Code 79 ITEM NUMBER. C -2 DATE 04/28109 365161 A mayor elected pursuant to Sections 34900 to 34904, inclusive, of the Government Code may be provided with compensation in addition to that , which he receives as a councilman Such additional compensation may be provided by an ordinance adopted by the city council or by a majority vote of the electors voting on the proposition at a municipal election The following is a survey for Council's review of the cities within San Luis Obispo County, concerning Mayor and Council Member salaries and benefits as of 2009 $ za � R 1�>DUIiGILM "�IP } , � VIQIf § 1M �RA ►rr $405 00 per month Same Medical, Dental &Vision /#asr;3 M w $300 00 per month Same Medical, Dental, Vision and Life $300 00 per month z (+ $30 per Improvement Agency y meeting not to exceed 4meetin s per month Same None $52500 $72500 Medical, Dental, Vision and Life $600 00 per month $80000 Medical, Dental, Vision P,srrr� �► . ,,.,` $150 00 per month Same Medical, Dental, Vision and Life a0f 1 ;fie,„ $1,001 00 per month $1,20000 Medical, Dental, Vision and Life FISCAL IMPACT • Ballot Measure Election Costs June 8, 2010 (Special Election) $35,00000 November 2, 2010 (Regular Election) $2,00000 • Primary Election Costs o Adopting a policy of conducting a primary election prior to a general election will increase the City's election costs by approximately $35,000 00 per election year(every 2 years) • Increased Mayor and Council Member Salaries o An increase in the salaries of the Mayor and Council Members would have a fiscal impact on the City For every 5% increase imposed on all five Council Members, there would be a total of $900 00 per year increased cost to the City 80 ITEM NUMBER. C -2 DATE. 04/28/09 x � a' ► lSa� �� r .� t �un �dNl± b1aes ,,.r Increase z , ,. : .. y�Vlierrnit� :r Current $300.00 $18,00000 5% $31500 $18,90000 10% $33000 $19,80000 25% $37500 $22,50000 50% $45000 $27,00000 75% $52500 $31,50000 100% $60000 $36,00000 125% $67500 $40,50000 The Council has adopted a policy of no new or expanded programs If the Council decides to implement any of the actions listed in this report, the Council will need to identify other areas for reduction within the Budget. ALTERNATIVES 1 Council may decide to call for a Special Election on June 8, 2010, for the placement of a ballot measure, asking the voters if they want to elect a Mayor, and if so, do they want the Mayor to serve a 2 or 4-year term 2 Council may decide to not place a ballot measure on a future ballot asking voters if the Mayor should be an election position ATTACHMENTS None . . 81 ITEM NUMBER. C -3 DATE. 4/28/09 r r r F. rt r n �f INS r r e Atascadero City Council Staff Report - City Manager's Office Renewal of Contract with AGP Video and Modifications to Existing Internet Services RECOMMENDATIONS Council 1 Authorize the City Manager to enter into a contract with AGP Video of Morro Bay to provide broadcasting and channel management services for the City's cable channel, and, 2 Discontinue streaming and/or archiving meetings via the Internet; and, 3 Discontinue broadcasting of Planning Commission meetings DISCUSSION In January 2007, the City Council directed staff to begin broadcasting City Council and Planning Commission meetings over the Charter Communications cable system on the government access channel (Channel 20) Additionally, the Council directed staff to look into the design and installation of an in-house camera system and negotiate with Charter Communications over the possible imposition of a Public, Educational and Government (PEG) fee of 1% of cable revenues to support the acquisition of broadcasting equipment. It was estimated at that time that the PEG fee would generate approximately $41,000 annually which could be used to purchase the equipment. In 2008, it was determined that under the City's existing cable franchise agreement, the City did not have the right to impose a PEG fee Additionally, Charter was unwilling to allow the City to charge this fee to purchase broadcasting equipment. As a result, up until the summer of 2008, staff continued to negotiate with Charter Communications to come up with a viable solution for obtaining additional revenues to assist in acquiring a permanent camera system A variety of partnerships and alternatives were studied but none of these ended up being of significant benefit to the City and Charter 83 ITEM NUMBER. C -3 DATE. 4/28/09 Communications was not willing to assist us in purchasing the equipment or working with the City to develop additional revenues. The negotiations ended and staff realized that if the City were to purchase a permanent system, funding would need to come from City resources Charter Cable has now declared bankruptcy and both staffing resources and investment into communities have been reduced Staff has researched the cost of an appropriate camera system and the cost would exceed $30,000 City funding is not available for such a system at this time The City currently utilizes the services of AGP Video of Morro Bay for the recording of City Council and Planning Commission meetings AGP Video has been providing these services for approximately two years, and remains the only company in the area that is able to temporarily set up full broadcasting systems for the City's public meetings AGP's services are also used for Internet web streaming and video archiving AGP Video streams meetings live over the Internet and stores the meetings on a server so that they can be watched at a later date The current cost for these services is approximately $51,000 per year Staff has negotiated with AGP for a new two year proposal beginning May 1, 2009 The new proposal would cost the City approximately $47,000 per year The components of the contract are as follows • $550 00 per meeting for set up of equipment and two hours of staffing $130 00 per hour for each additional hour of broadcast. • $30 00 per month for the use of AGP owned equipment. • $750 00 per month to stream and archive meetings • $500 00 per month for channel management and maintenance of the government television channel The approximate average monthly cost for these services is $4,000 Web Streaming and Archiving of Meetings The web streaming and archiving of meetings provides an effective tool for reaching out to the public, particularly for those residents of the City that do not receive cable television According to AGP Video's analysis, however, during most City Council meetings, only 20 people view the meeting via the Internet, with a high of 65 viewers AGP has also stated that views of archived meetings are only by a "handful" of users. The City is continuing to find ways across the organization to cut costs and the Council may wish to balance the cost of this service with the viewership and eliminate internet streaming and archiving of meetings Removing streaming and archiving would reduce the contract by $750 00 per month for an annual savings of $9,000 If this action were taken, members of the community could still watch the meetings on cable television or listen via the radio on AM 1230 Additionally, residents could come to City Hall the following day or months later to watch the meeting on DVD in the Council Lobby All meetings would continue to be stored in audio format on the Internet indefinitely as well Staff is recommending this option 84 ITEM NUMBER. C -3 DATE 4/28/09 Should the Council wish to drop video archiving and continue web streaming live over the Internet only, the cost would be $350 00 per month, providing an annual savings of $4,800 In this instance, meetings would be shown live via the web, television and radio and they would continue to be available via the Internet for a period of up to one week following the Council Meeting After this time, a DVD would be available at City hall, and the audio format of the meeting would be available indefinitely on the Internet. Planning Commission Meetings Another way funding could be saved is to eliminate the broadcasting of Planning Commission meetings Under the proposed AGP contract, broadcasting Planning Commission meetings will cost $12,650 per year Staff is recommending cancelling broadcast of these meetings and is seeking Council direction as to whether to continue to broadcast Planning Commission meetings or not. FISCAL IMPACT Funding for City broadcasting is included in the base 2009-11 budget. Favorable negotiations regarding the new contract are expected to produce an annual savings of $4,000 If the Council wishes to reduce the budget further, implementation of staff's recommendation to discontinue streaming and/or archiving could result in a savings of Www, $9,000, while discontinuing broadcasting of the Planning Commission meetings could further result in an additional $12,650 annual savings ALTERNATIVES 1) Request more information ATTACHMENTS Attachment A. Agreement for Services with AGP Video 85 ITEM NUMBER. C-3 Attachment DATE 4/28/09 1000 CITY OF ATASCADERO .■ .,l n ■ �a�scAn�oi CONTRACT FOR AGP Video, Inc for BROADCASTING AND CABLE CHANNEL MANAGEMENT SERVICES 86 ITEM NUMBER. C-3 Attachment DATE. 4/28/09 leis ® is�s CONTRACTOR SERVICES AGREEMENT FOR THE CITY OF ATASCADERO AGP Video, Inc THIS CONTRACT is made and entered into between City of Atascadero, a Municipal Corporation ("City") and AGP Video, Inc. ("Contractor") City and Contractor agree as follows 1 SCOPE AND STANDARDS A. CONTRACT Contractor shall do all work, attend all meetings, produce all reports and carry out all activities necessary to complete the services described in the SCOPE OF WORK AND STANDARDS FOR SERVICES, attached hereto and incorporated herein by this reference as Exhibit A, as requested by the City This Contract and its exhibits shall be known as the "Contract Documents " Terms set forth in any Contract Document shall be deemed to be incorporated in all Contract Documents as if set forth in full therein 2 EMPLOYMENT STATUS OF PERSONNEL A. INDEPENDENT CONTRACTOR, EMPLOYEES OF CONTRACTOR Contractor enters into this Contract as, and shall at all times remain as to the City, an independent contractor and not as an employee of the City Nothing in this Contract shall be construed to be inconsistent with this relationship or status Any persons employed by Contractor for the performance of services pursuant to this Contract shall remain employees of Contractor, shall at all times be under the direction and control of Contractor, and shall not be considered employees of City All persons employed by Contractor to perform services pursuant to this Contract shall be entitled solely to the right and privileges afforded to Contractor employees and shall not be entitled, as a result of providing services hereunder, to any additional rights or privileges that may be afforded to City employees. rev 5/1/06 1 792119.3 87 City of Atascadero AGP Video, Incfu 'Jy icu B INDEPENDENT INVESTIGATION The Contractor agrees and hereby represents it has satisfied itself by its own investigation and research regarding the conditions affecting the work to be done and labor and materials needed, and that its decision to execute this Contract is based on such independent investigation and research C COMPLIANCE WITH EMPLOYMENT LAWS The Contractor shall keep itself fully informed of, shall observe and comply with, and shall cause any and all persons, firms or corporations employed by it or under its control to observe and comply with, applicable federal, state, county and municipal laws, ordinances, regulations, orders and decrees which in any manner affect those engaged or employed on the work described by this Contract or the materials used or which in any way affect the conduct of the work. D UNLAWFUL DISCRIMINATION PROHIBITED Contractor shall not engage in unlawful employment discrimination Such unlawful employment discrimination includes, but is not limited to, employment discrimination based upon a person's race, religious creed, color, national origin, ancestry, physical handicap, medical condition, marital status, gender, citizenship or sexual orientation 3 TIME OF PERFORMANCE The services of Contractor are to commence upon execution of this Contract by City, and shall be undertaken and completed in a prompt and timely manner, in accordance with the Scope of Work referenced in Exhibit A. Except as provided in Sections 6 and 19 below, this Contract shall terminate no later than April 30, 2011, unless extended by the mutual agreement of both parties 4 COMPENSATION A. TERMS Compensation to the Contractor shall be as set forth in Exhibit B attached hereto and made a part hereof B NO PAY FOR ADDITIONAL SERVICES WITHOUT WRITING Contractor shall not be compensated for any services rendered in connection with its performance of this Contract, which are in addition to those set forth herein or listed in Exhibit A, unless such additional services are authorized in advance and in writing by the City Manager or the City Manager's designee (hereinafter "City Manager" shall include the City Manager's designee) Contractor shall be compensated for any additional services in the amounts and in the manner as agreed to by City and Contractor at the time City's express written authorization signed by the City Manager is given to Contractor for the performance of said services rev 5/1/06 2 792119.3 88 City of Atascadero AGP Video, Inc 5 SUPERVISON, LABOR AGREEMENTS AND PERSONNEL A. CONTRACTOR SUPERVISES PERSONNEL The Contractor shall have the responsibility for supervising the services provided under this Contract, hiring of personnel, establishing standards of performance, assignment of personnel, determining and affecting discipline, determining required training, maintaining personnel files, and other matters relating to the performance of services and control of personnel The City Manager may use any reasonable means to monitor performance and the Contractor shall comply with the City Manager's request to monitor performance B PERFORMANCE NOT SUBJECT TO EMPLOYMENT AGREEMENTS The City acknowledges that the Contractor may be obligated to comply with bargaining agreements and/or other agreements with employees and that the Contractor is legally obligated to comply with these Contracts It is expressly the intent of the parties and it is agreed by the parties that the Contractor's performance shall not in any manner be subject to any bargaining agreement(s) or any other agreement(s) the Contractor may have covering and/or with is employees C APPROVAL OF STAFF MEMBERS Contractor shall make every reasonable effort to maintain the stability and continuity of Contractor's staff assigned to perform the services required under this Contract. Contractor shall notify City of any changes in Contractor's staff to be assigned to perform the services required under this Contract and shall obtain the approval of the City Manager of a list of all proposed staff members who are to be assigned to perform services under this Contract prior to any such performance 6 TERMINATION A. 30 DAYS NOTICE The City, upon thirty (30) days written notice, may terminate this Contract, without cause, at any time In the event of such termination, Contractor shall be compensated for non-disputed fees under the terms of this Contract up to the date of termination B OBLIGATIONS SURVIVE TERMINATION Notwithstanding any termination of this Contract, Contractor shall not be relieved of liability to the City for damages sustained by the City by virtue of any breach of this Contract by Contractor, and the City may withhold any payments due to Contractor until such time as the exact amount of damages, if any, due the City from Contractor is determined All of the indemnification, defense and hold harmless obligations in this Contract shall survive termination rev 5/1/06 3 792119.3 89 City of Atascadero AGP Video, IncA. 7 CHANGES The City or Contractor may, from time to time, request changes in the scope of the services of Contractor to be performed hereunder Such changes, including any increase or decrease in the amount of Contractor's compensation and/or changes in the schedule must be authorized in advance by both Parties in writing Mutually agreed changes shall be incorporated in written amendments to this Contract. Any increase in the amount of Contractor's compensation and/or changes in Exhibit A and or Exhibit B must be authorized in advance by the City Manager 8 PROPERTY OF CITY A. MATERIALS PREPARED EXCLUSIVE PROPERTY OF CITY It is mutually agreed that all materials prepared by the Contractor under this Contract are upon creation and shall be at all times the exclusive property of the City, and the Contractor shall have no property right therein whatsoever City agrees that Contractor shall bear no responsibility for any reuse of the materials prepared by the Contractor if used for purposes other than those expressly set forth in the Intended Use of Contractor's Products and Materials section of this Contract Contractor shall not disseminate any information or reports gathered or created pursuant to this Contract without the prior written approval of City including without limitation information or reports required by government agencies to enable Contractor to perform its duties under this Contract , and as may be required under the California Public Records Act excepting therefrom as may be provided by court order Contractor will be allowed to retain copies of all deliverables B CONTRACTOR TO DELIVER CITY PROPERTY Immediately upon termination, or upon the request by the City, the City shall be entitled to, and the Contractor shall deliver to the City, all data, drawings, specifications, reports, estimates, summaries and other such materials and property of the City as may have been prepared or accumulated to date by the Contractor in performing this Contract. Contractor will be allowed to retain copies of all deliverables to the City 9 CONFLICTS OF INTEREST A. CONTRACTOR covenants that neither it, nor any officer or principal of its firm, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Contractor's performance of services under this Contract. Contractor further covenants that in the performance of this Contract, Contractor shall take reasonable care to ensure that no person having any such interest shall be employed by it as an officer, employee, agent or subcontractor without the express written consent of the City Manager Contractor agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Contract. Contractor agrees to include language similar to this Section 9(A) in all contracts with subcontractors and agents for the work contemplated herein I-WO' rev 5/1/06 4 792119.3 90 City of Atascadero AGP Video, Inc. A k" „ 10 CONFIDENTIAL INFORMATION A. ALL INFORMATION KEPT IN CONFIDENCE All materials prepared or assembled by Contractor pursuant to performance of this Contract are confidential and Contractor agrees that they shall not be made available to any individual or organization without the prior written approval of the City, except by court order B REIMBURSEMENT FOR UNAUTHORIZED RELEASE If Contractor or any of its officers, employees, or subcontractors does voluntarily provide information in violation of this Contract, the City has the right to reimbursement and indemnity from party releasing such information for any damages caused by the releasing party's, including the non-releasing party's attorney's fees and disbursements, including without limitation expert's fees and disbursements C COOPERATION City and Contractor shall promptly notify the other party should Contractor or City, its officers, employees, agents, or subcontractors be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any party regarding this Contract and the work performed thereunder or with respect to any project or property located within the City City and Contractor each retains the right, but has no obligation, to represent the other party and/or be present at any deposition, hearing or similar proceeding Contractor and City agree to cooperate fully with the other party and to provide the other party with the opportunity to review any response to discovery requests provided by Contractor or City However, City and Contractor's right to review any such response does not imply or mean the right by the other party to control, direct, or rewrite said response 11 PROVISION OF LABOR, EQUIPMENT AND SUPPLIES A. CONTRACTOR PROPERTY Contractor shall furnish all necessary labor, supervision, equipment, communications facilities, and supplies necessary to perform the services required by this Contract. City acknowledges that all equipment and other tangible assets used by Contractor in providing these services are the property of Contractor and shall remain the property of Contractor upon termination of this Contract. B SPECIAL SUPPLIES City shall be responsible for supplying any special supplies, stationary, notices, forms or similar items that it requires to be issued with a City logo All such items shall be approved by the City Manager and shall be provided at City's sole cost and expense rev 5/1/06 5 792119.3 91 City of Atascadero AGP Video, Inc 12 COMPLIANCE WITH LAW A. COMPLIANCE REQUIRED Contractor shall keep itself informed of applicable local, state, and federal laws and regulations which may affect those employed by it or in any way affect the performance of its services pursuant to this Contract. Contractor shall observe and comply with all applicable laws, ordinances, regulations and codes of federal, state and local governments, and shall commit no trespass on any public or private property in performing any of the work authorized by this Contract. Contractor shall at all times hold a valid contractor's license if performing any function or activity for which a license is required pursuant to Chapter 9 (commencing with section 7000) of Division 3 of the California Business and Professions Code, and Contractor shall provide a copy of the license(s) upon the request of the City The City, its officials, officers, elected officials, appointed officials and employees shall not be liable at law or in equity as a result of any failure of contractor to comply with this section B PREVAILING WAGES In the event it is determined that the Contractor is required to pay prevailing wages for the work performed under this Agreement, the Contractor shall pay all penalties and wages as required by applicable law 13 SUBCONTRACTING None of the services covered by this Contract shall be subcontracted without the prior written consent of the City Manager Contractor shall be as fully responsible to the City for the negligent acts and omissions of its contractors and subcontractors, and of persons either directly or indirectly employed by them, as it is for the negligent acts and omissions of persons directly employed by Contractor 14 ASSIGNABILITY Contractor shall not assign or transfer any interest in this Contract whether by assignment or notation However, claims for money due or to become due Contractor from the City under this Contract may be assigned to a financial institution, but only with prior written consent of the City Manager Notice of any assignment or transfer whether voluntary or involuntary shall be furnished promptly to the City The rights and benefits under this agreement are for the sole and exclusive benefit of the City and this Contract shall not be construed that any third party has an interest in the Contract. 15 LIABILITY OF CONTRACTOR Contractor shall be responsible for performing the work under this Contract in a manner which is consistent with the generally accepted standards of Contractor's profession and shall be liable for its own negligence and the negligent acts of its employees, agents, contractors and subcontractors The City shall have no right of control over the manner in which the work is to be done but only as to its outcome, and shall not be charged with the responsibility of preventing risk to Contractor or its employees, agents, contractors or subcontractors rev 5/1/06 6 792119.3 92 City of Atascadero AGP Video, Inc. 16 INDEMNIFICATION A. INDEMNIFICATION FOR PROFESSIONAL LIABILITY When the law establishes a professional standard of care for Contractor's Services, to the fullest extent permitted by law, Contractor shall indemnify, protect, defend and hold harmless City and any and all of its officials, employees and agents ("Indemnified Parties') from and against any and all losses, liabilities, damages, costs and expenses, including attorneys fees and costs to the extent same are caused in whole or in part by any negligence or wrongful act, error or omission of Contractor, willful misconduct, or recklessness of its officers, agents, employees or subcontractors (or any entity or individual that Contractor shall bear the legal liability thereof) in the performance of professional services under this agreement. B INDEMNIFICATION FOR OTHER THAN PROFESSIONAL LIABILITY Other than in the performance of professional services and to the full extent permitted by law, Contractor shall indemnify, defend and hold harmless City, and any and all of its employees, officials and agents from and against any liability (including liability for claims, suits, actions, arbitration proceedings, administrative proceedings, regulatory proceedings, losses, expenses or costs of any kind, whether actual, alleged or threatened, including attorneys fees and costs, court costs, interest, defense costs, and expert witness fees), where the same arise out of, are a consequence of, or are in any way attributable to, in whole or in part, the performance of this Agreement by Contractor or by any individual or entity for which contractor is legally liable, including but not limited to officers, agents, employees or subcontractors of Contractor C GENERAL INDEMNIFICATION PROVISIONS Contractor agrees to obtain executed indemnity agreements with provisions identical to those set forth here in this section for each and every subcontractor or any other person or entity involved by, for, with or on behalf of Contractor in the performance of this agreement. In the event contractor fails to obtain such indemnity obligations from others as required here, Contractor agrees to be fully responsible according to the terms of this section Failure of City to monitor compliance with these requirements imposes no additional obligations on City and will in no way act as a waiver of any rights hereunder This obligation to indemnify and defend City as set forth here is binding on the successor, assigns or heirs of Contractor and shall survive the termination of this agreement or this section 17 INSURANCE Contractor shall maintain prior to the beginning of and for the duration of this Agreement insurance coverage as specified in Exhibit D attached to and part of this agreement. 18 RECORDS Contractor shall maintain complete and accurate records with respect to labor costs, material expenses, parcels abated or serviced and other such information required by City that relates to the performance of services under this Contract. Contractor shall maintain adequate records of services provided in sufficient detail to permit an evaluation of services All such records shall be maintained in accordance with generally accepted accounting principles and rev 5/1/06 7 792119.3 93 City of Atascadero AGP Video, Incf �.... NOW'!, shall be clearly identified and readily accessible and in a form acceptable to the City, which the City may specify and change from time to time Contractor shall provide free access to the representatives of City or its designees, at reasonable times, to such books and records, shall give City the right to examine and audit said books and records, shall permit City to make transcripts therefrom as necessary, and shall allow inspection of all work, data, documents, proceedings, and activities related to this Contract. Such records, together with supporting documents, shall be maintained for a period of three (3) years after receipt of final payment. 19 MISCELLANEOUS PROVISIONS A. ASSIGNMENT OR SUBSTITUTION City has an NONDISCRIMINATION / NONPREFERENTIAL TREATMENT STATEMENT In performing this Contract, the parties shall not discriminate or grant preferential treatment on the basis of race, sex, color, age, religion, sexual orientation, disability, ethnicity, or national origin, and shall comply to the fullest extent allowed by law, with all applicable local, state, and federal laws relating to nondiscrimination B UNAUTHORIZED ALIENS Contractor hereby promises and agrees to comply with all of the provisions of the Federal Immigration and Nationality Act (8 U S C.A. & 1101 et seq ), as amended, and in connection therewith, shall not employ unauthorized aliens as defined therein Should Contractor so employ such unauthorized aliens for the performance of work and/or services covered by this contract, and should the Federal Government impose sanctions against the City for such use of unauthorized aliens, Contractor hereby agrees to, and shall, reimburse City for the cost of all such sanctions imposed, together with any and all costs, including attorneys' fees, incurred by the City in connection therewith C GOVERNING LAW The City and Contractor understand and agree that the laws of the State of California shall govern the rights, obligations, duties, and liabilities of the parties to this Contract and also govern the interpretation of this Contract. Any litigation concerning this Contract shall take place in the San Luis Obispo Superior Court, federal diversity jurisdiction being expressly waived D City has an interest in the qualifications of and capability of the persons and entities that will fulfill the duties and obligations imposed upon Contractor by this Contract. In recognition of that interest, neither any complete nor partial assignment of this Contract, may be made by Contractor nor changed, substituted for, deleted, or added to without the prior written consent of City which consent shall not be unreasonably withheld Any attempted assignment or substitution shall be ineffective, null, and void, and constitute a material breach of this Contract entitling City to any and all remedies at law or in equity, including summary termination of this Contract. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Contract. E ENTIRE CONTRACT This Contract constitutes the entire Contract and understanding between the parties relative to the services specified herein and there are no understandings, agreements, conditions, representations, warranties or promises, with respect to this Contract, except those contained in or referred to in this Contract and this Contract rev 5/1/06 8 792119.3 94 City of Atascadero AGP Video, Inc ' supersedes all prior understandings, agreements, courses of conduct, prior dealings among the parties and documentation of any kind without limitation F AMENDMENTS This Contract may be modified or amended, or any of its provisions waived, only by a subsequent written agreement executed by each of the parties The parties agree that this requirement for written modifications cannot be waived and any attempted waiver shall be void G CONSTRUCTION AND INTERPRETATION Contractor and City agree and acknowledge that the provisions of this Contract have been arrived at through negotiation and that each party has had a full and fair opportunity to revise the provisions of this Contract and to have such provisions reviewed by legal counsel Therefore, any ambiguities in construing or interpreting this Contract shall not be resolved against the drafting party The titles of the various sections are merely informational and shall not be construed as a substantive portion of this Contract. H. WAIVER. The waiver at any time by any party of any of its rights with respect to a default or other matter arising in connection with this Contract shall not be deemed a wavier with respect to any subsequent default or other matter I. SEVERABILITY The invalidity, illegality or unenforceability, of any provision of this Contract shall not render the other provisions invalid, illegal or unenforceable J NOTICES All invoices, payments, notices, demands, requests, comments, or approvals that are required to be given by one party to the other under this Contract shall be in writing and shall be deemed to have been given if delivered personally or enclosed in a properly addressed envelope and deposited in a United States Post Office for delivery by registered or certified mail addressed to the parties (deemed to have been received three (3) business days after deposit in the U S Mail) at the following addresses City- City of Atascadero City Manager 6907 EI Camino Real Atascadero, CA 93422 Contractor AGP Video, Inc. Steve Mathieu, CEO 1600 Preston Lane Morro Bay, CA 93442 Each party may change the address at which it gives notice by giving ten (10) days advance, written notice to the other party K AUTHORITY TO EXECUTE The person or persons executing this Contract on behalf of Contractor warrant and represent that they have the authority to execute this Contract on behalf of their agency and further warrant and represent that they have the authority to bind www Contractor to the performance of its obligations hereunder rev 5/1/06 9 7921193 95 City of Atascadero AGP Video, Inc. _ i R7F! w AGREED to this day of 2009 by the parties as follows Approved as to form AGP VIDEO, INC By. Steve Mathieu, CEO Approved as to form CITY OF ATASCADERO By- By- Brian Pierik, City Attorney Wade G McKinney, City Manager rev 5/1/06 10 792119.3 96 City of Atascadero AGP Video, Inc. s x rss� CERTIFICATE OF COMPLIANCE WITH LABOR CODE § 3700 1 am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that code, and I have complied or will comply with such provisions before commencing the performance of the work of this contract. (Cal Labor C §§1860, 1861 } CONTRACTOR Steve Mathieu, CEO, AGP Video, Inc. rev 5/1/06 1 1 792119.3 97 EXHIBIT A Scope of Work • Unless otherwise requested, set up video and production equipment at all regularly scheduled Council and Planning Commission meetings and record and broadcast said meetings from the beginning to end of the meeting Regularly scheduled Council meetings occur on the 2nd and 4th Tuesdays of each month at 6 00 p m Regularly scheduled Planning Commission meetings occur the 1St and Td Tuesdays of each month at 6 30 p m • Special meetings (meetings other than regularly scheduled meetings) of the City Council or Planning Commission, or other City sponsored meetings or events may be broadcast at the discretion of the City Manager but will not automatically be broadcast as part of this agreement. The City Manager will give AGP Video, Inc 48 hours notice if a decision is made to broadcast a special meeting or event. • "Broadcast" shall include distributing the meeting live and as a recorded presentation on cable systems, providing for live internet streaming, and supplying video archiving services of past meetings • Maintain all services necessary for cable broadcasting, recording, web-based video archiving, and webcasting/internet streaming (refer also to terms listed under "Compensation") • Provide channel management and maintenance of the government television channel including program scheduling, channel maintenance and support, and including providing an interface with the cable company Hardware costs associated with Channel management and support will be borne by the City • Maintain and provide to the City a well-trained, professional, attentive and conscientious staff to operate live cameras and monitor broadcast quality when recording/broadcasting council meetings • Provide a 24/7 response in the case an issue with the broadcasting/recording/video streaming system arises lft r 658615.1 DRAFT 06/4/014.33 PM A-1 98 EXHIBIT B Compensation • Per meeting price for broadcasting meetings(2 hr minimum)plus equipment setup and delivery charge A base meeting time of up to two hours will be compensated at a rate of$550 (up to and including two hours) Overtime rate will be charged at$130 per hour,billed in 15 minute increments, rounded up • Monthly equipment rental cost related to broadcasting AGP will receive $30 per month for the use of AGP owned equipment used to make a complete complement that allows for broadcasting the playback of meetings on the channel and over the Internet. • Monthly cost to stream meetings over the Internet 'live only' AGP's fee would be $350 per month to stream meetings `live only' over the internet at www.slospaii.or . AGP uploads audio files of all meetings it produces at no charge to any agency, including the City of Atascadero These are retained on www.slospaii.or>~indefinitely • Monthly cost to stream and archive meetings 'on demand' The rate to provide encoding, live streaming and archiving services for City meetings, including Key Point Indexing(KPI) by agenda item and search capabilities is $750 per month. If requested to do so, AGP will continue to provide these services for this rate for a period of one year, through April 30, 2010 At that time, an evaluation of value, both the City and AGP will be done, with the understanding that the rates may need to change • Additional costs $500 per month for channel management and maintenance of the government television channel. rev 5/1/06 B'2 '792119.3 99 EXHIBIT C Additional Provisions 1 While the City maintains ownership of all recordings, broadcasts, etc AGP Video, Inc. has permission to reproduce meetings on the City's behalf onto media at the request of members of the public or the City rev 5/1/06 B-3 792119.3 100 EXHIBIT D INSURANCE REQUIREMENTS FOR CONTRACTORS Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder and the results of that work by the Contractor, his agents, representatives, employees or subcontractors Minimum Scope of Insurance Coverage shall be at least as broad as 1 Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001). 2 Insurance Services Office Form Number CA 0001 covering Automobile Liability, code 1 (any auto) 3 Workers' Compensation insurance as required by the State of California and Employer's Liability insurance (for lessees with employees) Minimum Limits of Insurance Lessee shall maintain limits no less than. 1 General Liability- $1,000,000 per occurrence for bodily injury, personal injury and property damage If Commercial General Liability Insurance or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit. 2 Automobile Liability $1,000,000 per accident for bodily injury and property damage 3 Employer's Liability $1,000,000 per accident for bodily injury or disease Deductibles and Self-insured Retentions Any deductibles or self-insured retentions must be declared to and approved by the City At the option of the City, either- the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its officers, officials, employees and volunteers, or the Lessee shall provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration and defense expenses. rev 5/1/06 B'4 792119.3 101 Other Insurance Provisions -.NW The general liability and automobile policies are to contain, or be endorsed to contain, the following provisions 1 The City, its officers, officials, employees and volunteers are to be covered as insureds with respect to liability arising out of automobiles owned, leased, hired or borrowed on behalf of the contractor; and with respect toliability arising out of work or operations performed by on on behalf of the Contractor including materials, parts or equipment furnished in connection with such work or operations General liability coverage can be provided in the form of an endorsement to the Contractor's insurance or as a separate owner s policy(CG 20 10 11 85) 2 For any claims related to this project, the Contractor's insurance coverage shall be primary insurance as respects the City, its officers, officials, employees and volunteers Any insurance or self-insurance maintained by the City, its officers, officials, employees or volunteers shall be excess of the Contractor's insurance and shall not contribute with it. 3 Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled by either party, except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the City 4 Coverage shall not extend to any mdemmity coverage for the active negligence of the additional insured in any case where an agreement to indemnify the additional insured would be invalid under Subdivision(b) of Section 2782 of the Civil Code. Acceptability of Insurers Insurance is to be placed with insurers with a current A.M. Best's rating of no less than ANII. Verification of Coverage Contractor shall furnish the City with original certificates and amendatory endorsements effecting coverage required by this clause The endorsements should be on forms provided by the City or on other than the City's forms, provided those endorsements or policies conform to the requirements All certificates and endorsements are to be received and approved by the City before work commences The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements effecting the coverage required by these specifications at any time Subcontractors Contractor shall include all subcontractors as insured under its policies or shall furnish separate certificates and endorsements for each subcontractor All coverages for subcontractors shall be subject to all of the requirements stated herein. 1"001 rev 5/1/06 B-5 792119.3 102