MINUTES OF A REGULAR MEETING OF THE CYPRESS CITY COUNCIL HELD MAY 13, 2013

A regular meeting of the Cypress City Council was called to order at 4:30 p.m. by Mayor Narain in the Executive Board Room, 5275 Orange Avenue, Cypress, California.

Members present:
Mayor Prakash Narain
Mayor Pro Tem Leroy Mills
Council Member Doug Bailey
Council Member Rob Johnson (arrived at 5:11 p.m.)
Council Member Mariellen Yarc

Staff present:
City Manager John Bahorski
City Attorney William Wynder
Assistant City Attorney Lindsay Tabaian
Successor Agency Counsel Dan Slater
Legal Counsel Wesley Miliband
Director of Finance and Administrative Services Richard Storey
Police Chief Jackie Gomez-Whiteley
Public Works Director Doug Dancs
Recreation and Community Services Director June Liu
Assistant City Engineer Kamran Dadbeh
Assistant Director of Finance & Administrative Services Matt Burton
Planning Manager Doug Hawkins
Water Quality Manager Gonzo Vazquez
Public Works Superintendent Bobby Blackburn
Recreation Superintendent Dena Diggins
Recreation Supervisor Shelly Myers
Human Resources Manager Cathy Thompson
Administrative Services Manager Andrew Tse
City Clerk Denise Basham

ORAL COMMUNICATIONS:

None.

WORKSHOP SESSION:

Mayor Pro Tem Mills requested that City Council Members consider budgetary items of dog waste bags at City parks, permissive turn signals at three locations, and the establishment of a City Council management reserve fund of $400,000.

The Director of Finance and Administrative Services stated that the City Council would review the proposed budget for Fiscal Year 2013-2014, and that the budget is adopted at the fund level and monitored and managed at the program/activity/account level.  He indicated that the final budget and the Capital Improvement Program (CIP) would be submitted to City Council for adoption on June 10, 2013.  He stated that the budget reflects minimal revisions compared to the mid-year budget report. 

The Director of Finance and Administrative Services stated that assumptions made in preparing the budget include maintaining the General Fund contingency amount, incorporation of City Council goals, and maintaining long-term financial stability.  He stated that the City has maintained a 20-year Capital Improvement Program that is broken down into seven year plans. 

The Director of Finance and Administrative Services provided the City Council with the City of Cypress Annual Budget, City of Cypress Operating Budget, and the Cypress Recreation and Park District Operating Budget. 

The Director of Finance and Administrative Services stated that the Successor Agency budget of approximately $500,000 is approved by the Successor Agency Oversight Board, not the City and that some costs such as staff time of the City would be reimbursed by the County. 

The Director of Finance and Administrative Services indicated that the combined proposed budget for all entities is approximately $45 million, and that the proposed City budget is approximately $40 million which is an increase of $5.4 million.  He stated that the increased amount relates to the adding of a second pump station at a cost of $6 million. 

The Director of Finance and Administrative Services stated that personnel costs increased approximately 2.3%, operations costs increased approximately 1.6%, and capital projects increased approximately 63%. 

Mayor Pro Tem Mills asked about personnel cost increases. 

The Director of Finance and Administrative Services responded that salary increases have already been negotiated with certain employee groups, and that Public Employees Retirement System (PERS) and medical costs have increased. 

The Director of Finance and Administrative Services stated that the City operating budget reflects a 1.9% increase and that Personnel costs reflect a 2.3% increase.  He reviewed the General Fund Operating Budget and General Fund Revenue Budget, and stated that revenues increased 3.2% to $28.8 million.  He indicated that expenditures increased 1.2% to $28.5 million, and that there is a proposed equity transfer of $5 million from the General Fund for the unfunded PERS liability.

Council Member Bailey asked if the fund transfer would come from the Capital Improvement Projects budget.

The Director of Finance and Administrative Services stated that the equity transfer would come from the City General Fund which is an operational fund to the employee benefits fund. 

The Director of Finance and Administrative Services clarified that the funds would come from the General Fund column of the future Capital Improvements line items, as reported in the City’s Comprehensive Annual Financial Report (CAFR). 

Mayor Narain asked about employee benefits funding. 

The Director of Finance and Administrative Services responded that $12 million would be available for employee benefits, and indicated that there is a management assignment to cover employee liabilities. 

Council Member Bailey asked if the funds could remain where they are. 

Mayor Narain asked for clarification on the wisdom of moving the money. 

The Director of Finance and Administrative Services responded that the wisdom is to assign money for what would happen in the future. 

Mayor Pro Tem Mills asked if the funds should be in a trust account. 

The Director of Finance and Administrative Services commented that an irrevocable trust account would reduce flexibility. 

The Director of Finance and Administrative Services indicated that the General Fund operating costs reflect an increase of 2.3% or $544,297.  He stated that impacts include personnel costs, savings due to no election, a large increase in water costs, and new routes added to the crossing guard contract. 

The Director of Finance and Administrative Services provided a general overview of the General Fund and indicated that the impact of operations on the fund balance is approximately $283,000 and the net effect of the equity transfer is a $4.7 million decrease in the General Fund total fund balance. 

The Director of Finance and Administrative Services stated that the net operating revenue in the General Fund would be $4.2 million and would allow for set aside funds for Capital Projects.  He indicated that the City Council policy allows for $2.2 million annually in order to provide capital projects at a minimum level, including $800,000 on residential streets, $250,000 on sidewalk/curb repairs, $250,000 on building maintenance/facility improvements, $450,000 for Warland Drive, and $500,000 for storm drains.  He stated that $2 million would be allocated to the infrastructure fund in order to maintain the 7-year CIP. 

The Director of Finance and Administrative Services stated that the Recreation and Park District estimated revenues increased 14.4% to approximately $5.5 million due to the pass through monies related to the dissolution of the Redevelopment Agency.  He stated that the Recreation and Park District proposed expenditures reflects an increase of 1.5% to $4.9 million.  He indicated there is also a payment to the Infrastructure Fund which is repayment of park projects and Capital Improvements paid for with redevelopment funds. 

The Director of Finance and Administrative Services discussed the dissolution of the Redevelopment Agency and that costs associated with the Agency have been eliminated or shifted to the City or the Successor Agency budgets. 

Mayor Pro Tem Mills asked for a status on the City’s communications with the State Department of Finance. 

The Director of Finance and Administrative Services replied that the City has had conflicts with the State Department of Finance on what money could be maintained through tax increment to pay down Redevelopment Agency debt.  He stated that approximately $3 million was shifted to the State, and that a $1.2 million interest payment that the Redevelopment Agency paid the City was declined by the Department of Finance.  He indicated that the State determined that monies loaned from the City’s General Fund to the Redevelopment Agency for the 13 acres of land in the former LART project area was their money. 

Council Member Bailey clarified that it was the former City Council who purchased the land. 

The Director of Finance and Administrative Services reviewed revenue projections and stated that they are based on current revenue receipts, trends, current development activity, internal/external analysis, and economic data.  He indicated that revenues are impacted by the economic downturn and loss of investment earnings on the redevelopment loan. 

Council Member Johnson asked if the Vehicle License Fees (VLF) were taken by the County of Orange.

The Director of Finance and Administrative Services stated that how the VLF were allocated could be beneficial to the City in that refinancing for the County bankruptcy was not included so more fees may come to cities. 

The Director of Finance and Administrative Services stated that one revenue impact not included in the budget is the State budget takeaways due to an ongoing deficit that may occur in Fiscal Year 2013-14.  He discussed Proposition 1A and repayment to the State and the possibility of the State having to re-borrow.   

Council Member Bailey asked if the State is allowed to pay back then borrow more. 

The Director of Finance and Administrative Services responded that the State has the ability to borrow twice in a 10-year period. 

The Director of Finance and Administrative Services stated that the Capital Outlay budget is approximately $305,000 which includes new and replacement equipment.  He indicated that some of the new vehicles would be paid for from AB 2766 and some equipment would be paid for from the asset seizure fund. 

Council Member Johnson asked about the life span of a police vehicle. 

The Director of Finance and Administrative Services responded that Police would typically be replaced every three years depending upon mileage and maintenance, and that other City vehicles would be replaced every 5-7 years. 

The Director of Finance and Administrative Services stated that the Internal Service Fund, which includes vehicle and equipment replacement funds, is expected to be fully funded.  He indicated that there is sufficient money in the City’s insurance funds to cover unforeseen liabilities. 

The Director of Finance and Administrative Services indicated that the current Capital Improvement Program includes General Fund support of infrastructure maintenance.  He informed that the 2008 CIP Master Plan indicated that sewer needs were estimated at $43 million, however that amount has been reduced to $28 million.  He stated that in 2007 the storm drain needs totaled $290 million, of that $185 million cannot be done and the need has been reduced to $92 million. 

Mayor Pro Tem Mills asked about the County of Orange facility improvements. 

The Public Works Director responded that the County of Orange has their own Master Plan and challenges, and that there is a process and prioritizing plan, however, there is not funding.

Council Member Bailey asked about the necessity of a storm drain master plan. 

The Public Works Director replied that it is a good idea for the City to have a storm drain master plan. 

The Director of Finance and Administrative Services stated that the CIP has indicated needs of approximately $30 million for infrastructure of existing parks. 

The Public Works Director clarified that the parks CIP needs does not include the Senior Citizens Center. 

The Director of Finance and Administrative Services provided a summary of 2013-2014 Capital Projects and the funding sources by fund, with the amount totaling approximately $13 million. 

The Director of Finance and Administrative Services stated that future revenue and cost threats include State budget impacts, unknown business relocation, funding future of pension costs, and Affordable Care Act effects. 

Council Member Johnson asked about the Warland Drive reimbursements and if it is a one-time reimbursement. 

The Director of Finance and Administrative Services responded that an extension to the Warland Drive agreement was recently approved and that the reimbursements would continue for several more years. 

The Director of Finance and Administrative Services spoke of City Council items not included in the proposed budget, and indicated that a bookstore in the library would cost approximately $150,000. 

Council Member Yarc spoke of insurance requirements should a bookstore be built, that it would have to be paid for by the Friends of the Library. 

Mayor Narain commented that the existing bookstore at the Cypress Library is unsafe and insufficient for the library’s needs. 

The Director of Finance and Administrative Services clarified that the Cypress Library land is owned by the City and that the building is owned by the County. 

Council Member Yarc commented that the City should discuss the matter with the County of Orange prior to the planning stages. 

The City Manager concurred and commented that liability issues need to be managed, and that a status report would be given to the City Council at the mid-year budget review.

The Public Works Director spoke of the City Ordinance that mandates that pet owners pick up after their dog defecates in a City park, and that dog waste bags were previously at certain parks.  He stated that the bags were stolen and the dispensers were vandalized.

Mayor Pro Tem Mills commented that dog waste dispensers should be installed at all parks due to it being a public safety issue. 

The Public Works Director indicated that the cost for dog waste dispensers would be $8,500 for five parks. 

Mayor Narain asked about the accessibility of trashcans in the parks. 

The Public Works Director responded that there are trashcans throughout most areas of the parks including high-volume areas. 

Mayor Narain asked which park is the most heavily used. 

The Recreation and Community Services Director replied that Veterans Park has the highest volume of use, however it is a personal responsibility of dog owners to pick up after their dogs and that installing dog waste bag dispensers may not provide the solution. 

Mayor Pro Tem Mills suggested that dog waste dispensers be reinstalled at the five original parks. 

The Public Works Director indicated that grant monies had been used but they are no longer available.

It was the consensus of the City Council to put the dog waste dispensers back in the five parks they were originally removed from for a one-year trial basis. 

Mayor Pro Tem Mills suggested that protective permissive signals be placed at the intersections of Meridian Way, Dana Way, and Holder Street. 

Mayor Narain asked if the Traffic Engineer could look into costs related to the protective permissive signals. 

Council Member Bailey suggested a dedicated arrow that would allow vehicles time to make a left turn. 

The Public Works Director spoke of various intersection signaling devices and that it would be advisable to have an expert look at a design and bring it back to the City Council for further direction. 

Mayor Narain expressed concern with safety and accident statistics.

The City Attorney asked if the City Council would like funds to be budgeted for an expert traffic analysis for protective permissive signals. 

The Public Works Director indicated that an amount of $15,000 to $30,000 would be needed for a traffic analysis.

Mayor Narain asked if the Traffic Commission would be part of the review process. 

The City Attorney responded that the Traffic Commission could be part of the review process once the traffic analysis has been completed. 

It was the consensus of the City Council that an expert analysis discuss protective permissive generalities and discuss their findings with the City Council at a future meeting, and that budgeting for a potential analysis be determined at a later time. 

The Assistant City Engineer provided a brief explanation of protective permissive signals. 

It was the consensus of the City Council to fund the pump station at Myra Avenue. 

It was the consensus of the City Council to not authorize a proposed equity transfer of $5 million from the General Fund for the unfunded PERS liability. 

Council Member Bailey asked for an explanation of the stabilization agreement in the Comprehensive Annual Financial Report (CAFR)

The Director of Finance and Administrative Services stated that the stabilization agreement would be a contingency amount of money to cover major factors that could go wrong, and that the City Council policy provides for a contingency of 25% of the operating budget. 

Council Member Bailey asked about the process for accessing the contingency funds. 

The Director of Finance and Administrative Services responded that the City Council would appropriate funds and that the shortfall, should there be one, would be increased over the following years. 

Mayor Pro Tem Mills inquired about the City Council management reserve fund request. 

Mayor Narain responded that the City Council already has control and that contingency fund items may make future City Council Members feel compelled to spend. 

The Director of Finance and Administrative Services stated that the Fiscal Year 2013-2014 Budget would be brought to the City Council for approval at its regular meeting of June 10, 2013. 

CLOSED SESSION:

The City Attorney reported that the City Council would be meeting in Closed Session regarding Conference with Legal Counsel – Anticipated Litigation, pursuant to Government Code Section 54956.9(d)(2), Number of Cases: Two. 

The City Attorney reported that the City Council would be meeting in Closed Session regarding Conference with Real Property Negotiators, pursuant to Government Code Section 54956.8, Real Property Identified by APN Number 262-461-05, Located at 8721 Cypress Street, Negotiating Party: City Manager, Under Negotiation: Price and Terms of Payment. 

The City Attorney reported that the City Council would be meeting in Closed Session regarding Conference with Real Property Negotiators, pursuant to Government Code Section 54956.8, Real Property Identified by APN Number 244-092-30, Located at 9470 Moody Street, Negotiating Party: City Manager, Under Negotiation: Price and Terms of Payment. 

At 6:13 p.m., the Mayor recessed the meeting.

7:00 P.M. SESSION:

The 7:00 p.m. session of the City Council meeting was called to order at 7:09 p.m. by Mayor Narain.

Members present:
Mayor Prakash Narain
Mayor Pro Tem Leroy Mills
Council Member Doug Bailey
Council Member Rob Johnson
Council Member Mariellen Yarc

Staff present:
City Manager John Bahorski
City Attorney William Wynder
Assistant City Attorney Lindsay Tabaian
Police Chief Jackie Gomez-Whiteley
Public Works Director Doug Dancs
Recreation and Community Services Director June Liu
Assistant City Engineer Kamran Dadbeh
Assistant Director of Finance & Administrative Services Matt Burton
Planning Manager Doug Hawkins
Recreation Superintendent Dena Diggins
Administrative Services Manager Andrew Tse
City Clerk Denise Basham

PLEDGE OF ALLEGIANCE: The Pledge of Allegiance was led by Mayor Narain.

INVOCATION:  The invocation was given by City Attorney Wynder.

PRESENTATIONS:

Dennis Mak, Orange County Transportation Authority, provided an update on the West County Connectors Project.

Mayor Pro Tem Mills asked about the damage done to the 7th Street connector.

Mr. Mak responded that the 7th Street connector repair is being designed by Caltrans and that it has not yet been finalized.

REPORT OF WORKSHOP AGENDA/CLOSED SESSION:

The Mayor asked for the report of the Workshop Session Agenda items discussed earlier in the evening.

The City Manager stated that the City Council was provided with an annual budget report on Fiscal Year 2013-14.  He stated that the City Council provided staff with general direction with approval of the budget in June 2013.

The Mayor asked for the report of the Closed Session Agenda items discussed earlier in the evening.

The City Attorney reported that the City Council met in Closed Session regarding Conference with Legal Counsel – Anticipated Litigation, pursuant to Government Code Section 54956.9(d)(2), Number of Cases: Two.  He stated that the City Council authorized legal counsel to file suit against the Department of Finance and the State Controller regarding transactions involving the winding up of redevelopment agencies which had been disallowed by the Department of Finance, with Council Member Yarc voting no.

The City Attorney reported that the City Council unanimously authorized the City to enter into a joint defense agreement with the County of Orange and 18 local cities regarding certain disputed rule-making involving the implementation of the Federal Clean Water Act. 

The City Attorney reported that the City Council met in Closed Session regarding Conference with Real Property Negotiators, pursuant to Government Code Section 54956.8, Real Property Identified by APN Number 262-461-05, Located at 8721 Cypress Street, Negotiating Party: City Manager, Under Negotiation: Price and Terms of Payment.  He stated that the City Council reaffirmed that it intended to exercise its Naylor Act Rights with respect to the Mackay School Site and gave its real property negotiators directions regarding obtaining an environmental analysis of the site and an appraisal as to the fair market value to which the Naylor Act formula would be applied.

The City Attorney reported that the Closed Session regarding Conference with Real Property Negotiators, pursuant to Government Code Section 54956.8, Real Property Identified by APN Number 244-092-30, Located at 9470 Moody Street, Negotiating Party: City Manager, Under Negotiation: Price and Terms of Payment, was not held.

No other action was taken in Closed Session, nor was any solicited.

Mayor Narain stated that due to the public interest in Agenda Item No. 13, it would be moved on the agenda and held immediately following Oral Communications.

Mayor Narain stated that a disconcerting event occurred recently and that Council Member Bailey would be providing his City Council comments at this time.

Council Member Bailey described a meeting he had last week with Assembly Member Travis Allen and City of Los Alamitos Mayor Warren Kusumoto where Mayor Kusumoto attempted to secretly tape record the conversation being held.  Council Member Bailey stated that the meeting topic was economics, and that City staff had compiled information for him to share.  He indicated that Mayor Kusumoto asked pointed questions related to the Prologis project, and that he and Assembly Member Allen noticed that Mayor Kusumoto was tape recording the conversation without permission or disclosure. 

Council Member Bailey displayed a slideshow presentation related to the City of Cypress’ economic data compared to the City of Los Alamitos, and the connection and similarities of the two cities. 

Council Member Bailey expressed his frustration with the actions of Mayor Kusumoto, especially in consideration of how cooperative Cypress has been to Los Alamitos.  He commented that he has ceased his communications with the City of Los Alamitos.

ORAL COMMUNICATIONS:   LIMITED TO ONE-HALF HOUR.  (THREE MINUTES PER SPEAKER, SPEAKING ONCE.)

Mayor Narain asked anyone who wished to speak on any topic not included on the meeting Agenda to come forward.

Patrick Maloney, Prologis, provided an update on the proposed project on Katella Avenue.

Jack Rubens, legal counsel for owners of the Los Alamitos Race Track, spoke regarding Agenda Item No. 13.

Frank Sherren, Los Alamitos Race Track, spoke regarding Agenda Item No. 13.

Steven Mauss, Citizens for Responsible Development, read a letter in support of Agenda Item No. 13, with the caveat that they retain independent counsel to confirm the agreements are valid and enforceable documents.

George Pardon, Citizens for Responsible Development, spoke regarding Agenda Item No. 13.

J.M. Ivler, Los Alamitos, spoke regarding the proposed development on Katella Avenue. 

Carol Biri, Los Alamitos, spoke regarding the proposed development on Katella Avenue.

Jenelle Godges, Southern California Edison, spoke regarding summer readiness and electricity usage.

Shelley Henderson, Cypress, spoke regarding the Cypress Chamber of Commerce Networking breakfast, the Cypress Community Festival, and anniversary issue of the O.C. Breeze.

NEW BUSINESS:

Item No. 13:  CONSIDERATION OF RESTRICTIVE COVENANT AGREEMENTS FOR USES PERMITTED IN PLANNING AREAS 1, 10, AND 11 FOR MEASURE “A.”

The Planning Manager provided background information on this item.

The City Attorney stated that his office has thoroughly reviewed the restrictive covenant agreements and is satisfied that they are fully enforceable, and that the City will have the authority to enforce the covenants.  He indicated that if the restrictive covenants are entered into prior to the adoption of Measure A, by definition, the restrictive covenants would be in place and would become the law of Cypress when Measure A takes effect.  He stated that the restrictive covenants would run with the land so that it will run without regard to who owns the property and that the covenants are not limited to the current owner of the property. 

Council Member Yarc asked how a prospective buyer would be made aware of the restrictive covenants.

The City Attorney responded that the restrictive covenants would appear on a Title Report and also through City staff and/or at a City Council meeting through the submittal of a discretionary land use application.  He clarified that if Measure A is adopted and the restrictive covenants are entered into, there is no guarantee that a building permit would be issued or that a land use entitlement would be issued.  He stated that there would be enhanced notice of discretionary land use entitlement application that would come before the City Council. 

Mayor Pro Tem Mills asked Mr. Mauss and Mr. Pardon if they would approve Measure A if the restrictive covenants are adopted.

Mr. Mauss stated that he cannot speak for the group, but if the covenants are adopted and enforceable, he would publicly support Measure A.

Mr. Pardon stated that he would also publicly support Measure A if the covenants are adopted.

Council Member Bailey asked about support from the Citizens for Responsible Development.

Mr. Pardon stated that the group would like confirmation from outside counsel before they support Measure A.

The City Attorney stated that outside review of the agreements is encouraged and welcomed.

Council Member Bailey asked if the Los Alamitos Race Track was in support of the agreement.

Mr. Rubens responded in the affirmative.

It was moved by Mayor Pro Tem Mills and seconded by Council Member Johnson, to approve the Restrictive Covenant Agreements for Uses Permitted in Planning Areas 1, 10, and 11 for Measure “A.”

The motion was unanimously carried by the following roll call vote:

AYES:        5    COUNCIL MEMBERS:   Yarc, Johnson, Bailey, Mills and Narain
NOES:        0    COUNCIL MEMBERS:   None
ABSENT:    0    COUNCIL MEMBERS:   None

PUBLIC HEARINGS:    7:00 P.M. (PUBLIC COMMENTS RESTRICTED TO TEN MINUTES PER SPEAKER, UNLESS EXTENDED BY THE CITY COUNCIL).

No items.

CONSENT CALENDAR:

All matters listed on the Agenda under “Consent Calendar” are to be considered by the City Council to be routine and will be enacted by one motion approving the recommendations listed on the Agenda.

Mayor Pro Tem Mills requested Agenda Item No. 4 be pulled from the Consent Calendar.

Council Member Johnson requested Agenda Item No. 11 be pulled from the Consent Calendar.

It was moved by Mayor Narain and seconded by Mayor Pro Tem Mills, to approve Consent Calendar Items No. 1 through 3, 5 through 10, and 12.

The motion was unanimously carried by the following roll call vote:

AYES:        5    COUNCIL MEMBERS:   Yarc, Johnson, Bailey, Mills and Narain
NOES:        0    COUNCIL MEMBERS:   None
ABSENT:    0    COUNCIL MEMBERS:   None

Item No. 1:   APPROVAL OF CITY COUNCIL MINUTES OF THE MEETING OF APRIL 22, 2013.

Recommendation:   That the City Council approve the Minutes of the Meeting of April 22, 2013, as submitted.

Item No. 2:   MOTION TO INTRODUCE AND/OR ADOPT ALL ORDINANCES AND RESOLUTIONS PRESENTED FOR CONSIDERATION BY TITLE ONLY AND TO WAIVE FURTHER READING.

Item No. 3:   RENEWAL OF AGREEMENT FOR PROSECUTION SERVICES BETWEEN THE CITY AND THE COUNTY OF ORANGE.

Recommendation:   That the City Council approve the Agreement for Prosecution Services between the City and the County of Orange for a five-year period, commencing July 1, 2013 and terminating on June 30, 2018, and authorize the Mayor to sign the agreement.

Item No. 5:   AWARD OF CONSTRUCTION CONTRACT AND AWARD OF TASK ORDER FOR CONSTRUCTION INSPECTION SERVICES FOR CERRITOS AVENUE WIDENING, PUBLIC WORKS PROJECT NO. 81.

Recommendation:   That the City Council: 1) Award a contract for Cerritos Avenue Widening, Public Works Project No. 81, in the amount of $280,879.50, to the lowest responsible bidder, Bannaoun Engineers Constructors Corp. (Bannaoun); authorize a contingency of $42,100 (15% of Bid Amount); and direct the Director of Public Works/City Engineer to issue any necessary change orders to complete additional work within budgetary authority; and 2) Approve a Task Order for Construction Management and Inspection Services, in the amount of $60,040, within the existing agreement for On-Call Construction Management/Engineering Support/Testing and Inspection Services, for Cerritos Avenue Widening, Public Works Project No. 81, to Vali Cooper & Associates, Inc. (VCA); authorize a contingency of $9,000 (15% of contract amount) to be used for unforeseen work; and direct the Director of Public Works/City Engineer to act as Contract Officer.

Item No. 6:   AWARD OF CONSTRUCTION CONTRACT AND AWARD OF TASK ORDER FOR CONSTRUCTION INSPECTION SERVICES FOR THE FISCAL YEAR 2012-13 RESIDENTIAL STREET REHABILITATION, PUBLIC WORKS PROJECT NO. 95.

Recommendation:   That the City Council: 1) Award a contract for the Fiscal Year 2012-13 Residential Street Rehabilitation, Public Works Project No. 95, in the amount of $1,247,985, to the lowest responsible bidder, All American Asphalt, Corona, California; authorize a contingency of $187,200 (15% of Bid Amount); and direct the Director of Public Works/City Engineer to issue any necessary change orders to complete additional work within budgetary authority; and 2) Approve a Task Order for Construction Management and Inspection Services, in the amount of $147,920, within the existing agreement for On-Call Construction Management/Engineering Support/Testing and Inspection Services, for the Fiscal Year 2012-13 Residential Street Rehabilitation, Public Works Project No. 95, to Vali Cooper & Associates, Inc. (VCA); authorize a contingency of $22,200 (15% of contract amount) to be used for unforeseen work; and direct the Director of Public Works/City Engineer to act as Contract Officer.

Item No. 7:   ACCEPTANCE OF FIBER OPTIC INSTALLATION AND UPGRADE TO CCTV SYSTEM ON KATELLA/CERRITOS/WALKER/BALL (PHASE 2), PUBLIC WORKS PROJECT NO. 2010-09.

Recommendation:   That the City Council: 1) Accept the Fiber Optic Installation and Upgrade to CCTV System on Katella/Cerritos/Walker/Ball (Phase 2), Public Works Project No. 2010-09, as being satisfactorily completed in conformance with the project specifications, in the final amount of $428,221.32; and 2) Approve the final retention payment of $42,822.13 to Pro Tech Engineering, Corona Del Mar, California; and 3) Authorize the City Clerk to release the Labor and Materials Bond and the Faithful Performance Bond upon expiration of the required lien period, if no claims or objections have been filed, upon concurrence of the Director of Public Works.

Item No. 8:   AWARD OF CONSTRUCTION CONTRACT AND AWARD OF TASK ORDER FOR CONSTRUCTION INSPECTION SERVICES FOR THE VALLEY VIEW AND LINCOLN OVERLAY PROJECT, STATE-LOCAL PARTNERSHIP PROGRAM (SLPP), PUBLIC WORKS PROJECT NO. 89.

Recommendation:   That the City Council: 1) Award a contract for the Valley View and Lincoln Overlay Project, SLPP, Public Works Project No. 89, in the amount of $403,910, to the lowest responsible bidder, R.J. Noble Company, 15505 E. Lincoln Avenue, Orange, California; authorize a contingency of $60,600 (15% of Bid Amount); and direct the Director of Public Works/City Engineer to issue any necessary change orders to complete additional work within budgetary authority; and 2) Approve a Task Order for Construction Inspection Services, in the amount of $47,940, within the existing agreement for On-Call Construction Management/Engineering Support/Testing and Inspection Services, for the Valley View and Lincoln Overlay Project, SLPP, Public Works Project No. 89, to Vali Cooper & Associates, Inc. (VCA); authorize a contingency of $7,200 (15% of contract amount) to be used for unforeseen work; and direct the Director of Public Works/City Engineer to act as Contract Officer.

Item No. 9:   ADOPTION OF RESOLUTION CONCERNING THE STATUS OF THE CIRCULATION ELEMENT FOR THE CITY OF CYPRESS BEING IN COMPLIANCE WITH THE ORANGE COUNTY MASTER PLAN OF ARTERIAL HIGHWAYS.

Recommendation:   That the City Council adopt the Resolution by title only, informing the Orange County Transportation Authority (OCTA) that the status of the Circulation Element of the Cypress General Plan conforms to the County’s Master Plan of Arterial Highways (MPAH).

RESOLUTION NO. 6364

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CYPRESS,
CONCERNING THE STATUS OF THE CIRCULATION ELEMENT,
MITIGATION FEE PROGRAM AND ADOPTION OF A LOCAL
SYNCHRONIZATION PLAN FOR THE RENEWED MEASURE M (M2)
PROGRAM FOR THE CITY OF CYPRESS.

Item No. 10:  APPROVAL OF COMMERCIAL WARRANT LIST AND WIRE TRANSFERS FOR FISCAL YEAR 2012-13 FOR WARRANTS NO. 25784 THROUGH 26068.

Recommendation:   That the City Council approve the attached warrant register and wire transfers for Fiscal Year 2012-13.

Recreation and Park District Matters:

Item No. 12:  ACCEPTANCE OF DONATION AND APPROPRIATION OF $300 FOR THE PURCHASE OF SUPPLIES FOR THE KIDS CORNER PRESCHOOL-AGED PROGRAM.

Recommendation:   That the City Council, acting as the ex-officio governing Board of Directors for the Cypress Recreation and Park District: 1) Formally accept the donation in the amount of $300 from BP America, Inc. Fabric of America Fund; and 2) Increase estimated revenue in 212-99999.3713 (Donations) by $300 and increase appropriations by $300 to 212-90327.4103_004 (Supplies-Special Activity) for the purchase of classroom supplies and toys for the Kids Corner preschool-aged program.

Regarding Item No. 4:  GENERAL PLAN CONSISTENCY FINDING – DISPOSAL OF MACKAY SCHOOL AND DISTRICT OFFICE SITES, Mayor Pro Tem Mills stated that he had posed questions of City staff and requested that those be answered for public record. 

The Planning Manager provided background information on this item and indicated that rezoning of the Mackay School and District Office sites would be subject to Measure D and would require a vote of Cypress residents.  He stated that submittal of a development application for either property would be subject to separate review regarding consistency with the City’s General Plan. 

It was moved by Mayor Pro Tem Mills and seconded by Mayor Narain, that the City Council: 1) Determine that the disposition of the Mackay School and District Office properties by the Cypress School District is consistent with the City’s General Plan; and 2) Authorize the City Attorney to send the letter to legal counsel for the Cypress School District advising counsel of the determination made by the City Council.

The motion was unanimously carried by the following roll call vote:

AYES:        5    COUNCIL MEMBERS:   Yarc, Johnson, Bailey, Mills and Narain
NOES:        0    COUNCIL MEMBERS:   None
ABSENT:    0    COUNCIL MEMBERS:   None

Regarding Item No. 11:     APPROVAL OF A THREE-YEAR PYROTECHNIC CONTRACT SERVICES AGREEMENT FOR THE ANNUAL MULTI-AGENCY JULY 4TH FIREWORKS SPECTACULAR, Council Member Johnson asked if alternate event locations could be discussed further in consideration of difficulties of getting onto the Joint Forces Training Base due to heightened security measures. 

The Recreation and Community Services Director stated that alternate locations had been researched several years ago and it was determined that it would not be feasible based on required pyrotechnic fallout zones and insufficient parking accommodations.  She stated that relocating this year’s event could not be done in a timely manner.  She indicated that a Memorandum of Agreement in being worked on should an urgent security matter arise negating the Joint Forces Training Base’s ability to host the event.

Council Member Johnson asked about consideration for relocating the event in future years. 

Council Member Yarc asked which cities contribute toward the fireworks celebration.

The Recreation and Community Services Director indicated that the cities of Los Alamitos and Cypress are the major event contributors, and that the City of Seal Beach and the Rossmoor Community Services District contribute minimal funds and personnel, with the event total costs being $65,000 - $70,000 mostly absorbed by Cypress and Los Alamitos. 

Council Member Bailey stated that he supports the event location for one year but would like venue options explored for future events. 

It was moved by Council Member Johnson and seconded by Mayor Narain, that the City Council, acting as the ex-officio governing Board of Directors for the Cypress Recreation and Park District, approve a three-year contract services agreement with Fireworks America in an amount not to exceed $70,500 over the three-year contract period, with a review of locations to be held prior to next year’s event.

The motion was unanimously carried by the following roll call vote:

AYES:        5    COUNCIL MEMBERS:   Yarc, Johnson, Bailey, Mills and Narain
NOES:        0    COUNCIL MEMBERS:   None
ABSENT:    0    COUNCIL MEMBERS:   None

END OF CONSENT CALENDAR

RECREATION & PARK DISTRICT MATTERS:  The Cypress City Council, Acting as the Ex Officio Governing Board of Directors.

No items.

SUCCESSOR AGENCY TO THE CYPRESS REDEVELOPMENT AGENCY MATTERSThe Cypress City Council, Acting as the Successor Agency to the Cypress Redevelopment Agency.

No items.

ORAL COMMUNICATIONS:  For Matters Not on the Agenda.

The following spoke regarding the proposed development on Katella Avenue:

Manfred Stein, Cypress
Elinor Stein, Cypress
Don Seward, Cypress
Enea Ostrich, Seal Beach
Sara Annis, Cypress
Lois Waddle, Los Alamitos
Anthony Vu, Cypress
Ed Kraemer, Cypress

ITEMS FROM CITY COUNCIL MEMBERS:

Mayor Narain requested reports from the Council Members on their respective committee assignments.

Council Member Johnson:

Attended a PACE graduation at King Elementary School.  Attended the Hopeful Healing for Survivors recognition.  Attended the Boys and Girls Club of Cypress’ open house. Attended the Juried Art Show at the Cypress Community Center.  Attended the Rising Stars and Juried Arts awards.  Attended the FOCCA scholarship performance. Attended the SPIRIT event.  Attended a PACE graduation at St. Irenaeus.  Participated in the Cypress Chamber of Commerce golf tournament.

Mayor Pro Tem Mills:

Conducted an OCCOG Board of Directors meeting.  Attended the Rising Stars and Juried Arts awards.  Attended the FOCCA scholarship performance.  Attended the SCAG General Assembly meeting and conference.  Attended an OCTA Executive Committee meeting.  Attended the O.C. Government Leaders Prayer breakfast. Participated in an interview with the Voice of Orange County regarding a geological survey in the City.  Spoke regarding an upcoming lecture by Professor David Halahmy of Cypress College at the Cypress Senior Citizens regarding WWI.  Spoke regarding the Memorial Day celebration at Forest Lawn in Cypress.

Council Member Yarc:

Attended the Cypress Police Department Tip-A-Cop fundraising event at Chili’s restaurant.  Attended the FOCCA scholarship performance.  Attended the SPIRIT event.  Attended a PACE graduation at St. Irenaeus.  Attended the O.C. Human Relations awards.  Attended the Cypress Chamber of Commerce golf tournament.  Attended the Rossmoor Woman’s Club luncheon.  Attended an O.C. Public Library Advisory Board meeting.  Attended the Cypress/La Palma Youth Action Committee recognition event.

Mayor Narain:

Attended an O.C. Sanitation District Board meeting.  Attended a BRACE meeting. Spoke of the Vans volunteers’ Nature Park clean-up.  Attended the Rising Stars and Juried Arts awards.  Attended a small business expo and business fair.  Attended the ribbon cutting for Kusha, Inc.

ITEMS FROM CITY MANAGER: 

The City Manager spoke regarding information and press releases regarding the 33 acre site in the Event News and on the City’s website, and indicated that additional information is forthcoming.

ADJOURNMENT: Mayor Narain adjourned the meeting at 9:14 p.m. to Tuesday, May 28, 2013, beginning at 5:30 p.m. in the Executive Board Room.

_______________________________
MAYOR OF THE CITY OF CYPRESS

ATTEST:

___________________________________
CITY CLERK OF THE CITY OF CYPRESS

City of Cypress Department of Administration ~ 5275 Orange Avenue ~ Cypress, CA 90630 ~ 714-229-6780