City of Cypress

5275 Orange Avenue ~ Cypress, CA 90630 ~ 714-229-6700

MINUTES OF A REGULAR MEETING OF THE CYPRESS CITY COUNCIL HELD AUGUST 26, 2013

A regular meeting of the Cypress City Council was called to order at 5:30 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
Council Member Mariellen Yarc

Staff present:
City Manager John Bahorski
Assistant City Attorney Anthony Taylor
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 Director of Finance and Administrative Services Matt Burton
Assistant City Engineer Kamran Dadbeh
Water Quality Manager Gonzalo Vazquez
Public Works Superintendent Bobby Blackburn
Administrative Services Manager Andrew Tse
Management Analyst Alisha Farnell
City Clerk Denise Basham

ORAL COMMUNICATIONS:

Lisa Keating, Cypress resident and solid waste consultant, spoke of her company’s services and the potential to provide service to the City.

James Castro, Republic Services, informed of their services and availability to answer questions from the City Council.

Elinor Stein, Cypress, spoke regarding the need for green waste recycling trash cans.

WORKSHOP SESSION:

The City Manager stated that the City Council would hold a workshop to discuss solid waste and recycling services competitive procurement process, and informed that the current franchise agreements expires in 2015.  He stated that the consensus of the City Council would be needed to move forward with the competitive bid process. 

The Administrative Services Manager provided background information on the process of obtaining a new franchise agreement, and indicated that the purpose of the workshop is to obtain City Council consensus on the proposed timeline of completion, items and expectations to be included in the request for proposal, and City Council direction. 

The Administrative Services Manager indicated that the City’s current franchise agreements with Republic Services include residential and commercial, and that they were entered into in 1993.  He stated that in 1995 the agreements were extended to June 30, 2015. 

The Administrative Services Manager informed that that the current agreement includes franchise fees paid to the City for residential at 8% and commercial at 10%, and that services include solid waste and recycling collection, holiday tree pick-up, bulky waste collection, and special request bulky waste collection.  He spoke of the factors related to rate increases and/or decreases. 

The Administrative Services Manager stated that the City’s commercial rates are the highest in the County and that the residential rates are the eighth lowest out of 29 agencies surveyed.  He commented that the agreements do not adequately address newer State regulations on waste diversion and recycling such as AB 939, SB 1016, AB 341.  He indicated that deficiencies were found by the State in the green waste program and commercial recycling, and reviewed State regulations. 

Mayor Pro Tem Mills asked for clarification on the City estimate of approximately six pounds of disposal per person per day, and the target amount of nine pounds of disposal per person per day, as outlined in SB 1016. 

The Administrative Services Manager responded that those figures are based on State requirements and their encouragement for the City to institute creative programs to meet those numbers. 

Mayor Pro Tem Mills asked if SB 1016 is a mandated requirement.

The Administrative Services Manager replied that SB 1016 is mandated and that programs need to be implemented in order to meet the goals. 

Council Member Bailey asked about consequences should the goals not be met.

The Administrative Services Manager stated that consequences may include a jurisdictional review and perimeters would be set. 

Council Member Johnson asked about the effects of companies doing their own recycling. 

The Administrative Services Manager stated that data is difficult to obtain for companies that use third party recyclers and that it is a concern for capturing accurate data. 

Mayor Pro Tem Mills commented that the target amount of nine pounds of disposal per person per day seems excessive. 

The City Manager clarified that the weight requirement includes construction and green waste disposal.

The Administrative Services Manager reviewed the process for retaining a waste and recycling consultant and indicated that staff recommends that the City Council authorize staff to conduct a request for proposal process.  He indicated that the consultant would be required to review the hauler’s proposals and make a recommendation to the City Council for granting a new franchise agreement. 

The Administrative Services Manager reviewed the recommended timeline for retaining a consultant and stated that the solicitation of a request for proposal for a consultant would begin in September 2013, with City Council’s approval of the consultant agreement to be in January 2014.  He indicated that the award of franchise proposed timeline would begin in February – March 2014, with implementation November 2014 to June 2015. 

Council Member Bailey asked why a request for proposal is needed in order to obtain a consultant.

The Assistant City Attorney commented that the City’s bidding Ordinance indicates that this type of professional service does not obligate the City to the lowest responsible bidder, however the process for the request for qualifications process would allow for review of the range of services. 

The City Manager stated that there are multiple vendors. 

Mayor Narain indicated that the contract cost would be over $100,000 and that there is a transparency process to determine which company would be the best fit for the City. 

Council Member Yarc expressed concern with the recommended timeline as it relates to next year’s election and requested that the process be expedited.

Council Member Bailey spoke of concerns related to the expeditiousness of the process and the necessity for a consultant for the proposal process. 

The Administrative Services Manager responded that the recommended timeline could be expedited.

Council Member Johnson asked if an ad hoc committee would expedite the process. 

The Administrative Services Manager responded in the affirmative, and that the recommended timeline could be amended based on the City Council’s desires. 

The Administrative Services Manager explained that a consultant would facilitate drafting of a new franchise agreement(s), conduct hauler interviews, and make recommendations to the City Council for the selection and award of a franchise agreement(s). 

Mayor Narain commented on the importance that the consultant be a neutral party. 

The Administrative Services Manager spoke of the importance of a consultant in that they would be knowledgeable of market and regulatory trends and prevailing rates, and would act as an unbiased third party with no vested interest. 

The Administrative Services Manager indicated that tasks of the consultant would be to define the scope of services and develop a procurement strategy, prepare request for proposals, review and evaluate the proposals, and negotiate a final agreement. 

Council Member Bailey stated that the City Council should decide if they want to do it themselves or form an ad hoc committee. 

The Administrative Services Manager stated that City Council direction is needed and stated that suggested request for proposal items are outlined in the Agenda Report.  He stated that questions were raised regarding a compliance audit and indicated that the current contract does have such a provision. 

Mayor Pro Tem Mills asked if the compliance audit is a forensic audit. 

The Administrative Services Manager responded that the audit would be a compliance examination. 

The Assistant City Attorney commented that it would not be a forensic audit, it would be a regulatory compliance audit. 

Council Member Bailey asked about the need for an audit and when the most recent one was conducted.

The Administrative Services Manager responded that an audit has never been done.

Council Member Yarc asked how far back the audit would go.

The Administrative Services Manager responded that the audit should be done for the past three years.

The Director of Finance and Administrative Services clarified that there is no audit for the residential recycling agreement because it comes through the City and there would be no gain or adjustment from it.  He indicated that a commercial recycling audit was done approximately 12 years ago with a less than 1% finding. 

Mayor Narain asked if the new contract would have a mandatory audit. 

The Assistant City Attorney suggested that the contract include their commitment to pay for an audit.

Council Member Bailey commented that the City Municipal Code mandates that a request for qualifications be done for a consultant.

The Administrative Services Manager asked the City Council if they would be agreeable to securing a consultant and if not, what would be the alternative directions.  He asked if the City Council wishes for a full City Council review or that of a sub-committee. 

It was the consensus of the City Council to: (1) conduct a compliance audit of the current contract; (2) retain a consultant; and (3) form a solid waste subcommittee. 

Council Member Bailey recommended Council Members Johnson and Yarc be on the solid waste subcommittee. 

The Assistant City Attorney indicated that the appointment of a subcommittee should be on the Agenda for the next regular City Council meeting.

The Administrative Services Manager indicated that the responsibilities of the subcommittee should also be defined. 

Mayor Pro Tem Mills asked about the process to hire a consultant.

The Assistant City Attorney stated that the subcommittee would work on the request for qualifications process and that the appointment of the subcommittee members would have to be on the City Council Agenda. 

CLOSED SESSION:

The Assistant City Attorney reported that the City Council would be meeting in Closed Session regarding Conference with Legal Counsel – Existing Litigation, pursuant to Government Code Section 54956.9(a), Karla Ramirez and Mario Ramirez v. City of Cypress, et al., Case No. 30-2012-00576917, Orange County Superior Court. 

The Assistant City Attorney reported that the City Council would be meeting in Closed Session regarding Conference with Labor Negotiators, pursuant to Government Code Section 54957.6, Agency Negotiators: John B. Bahorski and Richard Storey, Employee Groups: Cypress Police Officers Association. 

At 6:00 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 7:00 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
Assistant City Attorney Anthony Taylor
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
Planning Manager Doug Hawkins
Public Works Superintendent Bobby Blackburn
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 Mayor Pro Tem Mills.

PRESENTATIONS:

The Police Chief introduced newly promoted Police Sergeant Greg Faessel.

REPORT OF WORKSHOP AGENDA/CLOSED SESSION:

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

The City Manager reported that the City Council was briefed on the waste and recycling services competitive procurement process and that City Council provided direction to staff.  He indicated that the next regular City Council meeting agenda would have an item regarding the formation of an ad hoc committee. 

The Assistant City Attorney reported that the City Council met in Closed Session regarding Conference with Legal Counsel – Existing Litigation, pursuant to Government Code Section 54956.9(a), Karla Ramirez and Mario Ramirez v. City of Cypress, et al., Case No. 30-2012-00576917, Orange County Superior Court.  He stated that no reportable action was taken.

The Assistant City Attorney reported that the City Council met in Closed Session regarding Conference with Labor Negotiators, pursuant to Government Code Section 54957.6, Agency Negotiators: John B. Bahorski and Richard Storey, Employee Groups: Cypress Police Officers Association.  He stated that no reportable action was taken.

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

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.

Robert Stresak, Commission on Peace Officer Standards and Training, presented Chief Gomez-Whiteley with her POST Executive Certificate.

The Police Chief thanked her family, the Mayor and City Council, the City Manager, and the Police Department staff for their support. 

Sue Douglas, Cypress, spoke regarding the proposed Prologis development on Katella Avenue.

Patricia Rudner, Cypress, spoke regarding the City’s solid waste and recycling contract and traffic on Cerritos Avenue.

Elinor Stein, Cypress, spoke regarding Cypress schools.

Katie Wiedel, Cypress, spoke regarding the next edition of the O.C. Breeze and congratulated Chief Gomez-Whiteley and Police Sergeant Greg Faessel.

George Pardon, Cypress, spoke regarding Agenda Item No. 3.

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. 3 be pulled from the Consent Calendar.

It was moved by Council Member Bailey and seconded by Council Member Johnson, to approve Consent Calendar Items No. 1, 2, and 4 through 8.

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 AUGUST 12, 2013.

Recommendation:   That the City Council approve the Minutes of the Meeting of August 12, 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. 4:   ACCEPTANCE OF FISCAL YEAR 2011-12 SLURRY SEAL PROJECT, PUBLIC WORKS PROJECT NO. 72.

Recommendation:   That the City Council: 1) Accept the Fiscal Year 2011-12 Slurry Seal Project, Public Works Project No. 72, as being satisfactorily completed in conformance with the project specifications, in the final amount of $1,618,010.69; and 2) Approve the final retention payment of $80,900.54 to All American Asphalt, Inc., Corona, 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. 5:   AWARD OF CONTRACT FOR REPLACEMENT OF ONE POLICE MOTORCYCLE.

Recommendation:   That the City Council: 1) Authorize an increase in appropriations in the City’s Capital Replacement Fund in the amount of $29,753 to Account No. 721-9550.4307_500 (Capital Outlay – Motorcycles) for the replacement of one police motorcycle; and 2) Approve the transfer of $19,753 from the City’s General Liability Fund (760-99999.4501_721) to the City’s Capital Replacement Fund (721-99999.3901_760); and 3) Find that the Los Angeles County Sheriff’s Purchase Order No. PO-SH-12321394-1 satisfies the City’s bid process in accordance with City Code Section 21A-10(e), and award a contract to purchase one BMW R-1200-RT-P Motorcycle from Long Beach BMW Motorcycles, 2125 East Spring Street, Long Beach, California 90806 in the amount of $29,753.

Item No. 6:   APPROPRIATION OF 2012 PROP 69 GRANT FUNDS FROM THE COUNTY OF ORANGE.

Recommendation:   That the City Council: 1) Accept the FY 2012 Prop 69 grant funds from the County of Orange; and 2) Increase estimated revenues (114-50183.3525 Grants – Miscellaneous) in the General Fund Grants Fund for Fiscal Year 2013-2014 in the amount of $4,183; and 3) Approve appropriations in the General Fund Grants Fund for Fiscal Year 2013-2014 as follows:

114-50183.4003_004 (Special Activity Supplies)    $1,783
114-50183.4113 (Small Tools and Equipment)       $2,400

Item No. 7:   REVIEW OF INVESTMENT REPORT FOR THE MONTH OF JULY, 2013.

Recommendation:   That the City Council receive and file the Investment Report for the month of July, 2013.

Item No. 8:   APPROVAL OF COMMERCIAL WARRANT LIST AND WIRE TRANSFERS FOR FISCAL YEARS 2012-13 AND 2013-14 FOR WARRANTS NO. 85519 THROUGH 85524 AND 27013 THROUGH 27159.

Recommendation:   That the City Council approve the attached warrant register and wire transfers for Fiscal Years 2012-13 and 2013-14.

Regarding Item No. 3:  CONSIDERATION OF A REIMBURSEMENT AGREEMENT FOR ELECTION AND PRE-PLANNING COSTS ASSOCIATED WITH THE DEVELOPMENT OF TWO CYPRESS SCHOOL DISTRICT OWNED PROPERTIES LOCATED AT 9470 MOODY STREET AND 8721 CYPRESS AVENUE, Mayor Pro Tem Mills requested that staff provide an overview on this item.

The Planning Manager provided information on property owner initiated zone changes and City initiated zone changes as required by Measure D.

Mayor Narain clarified that the City Council reviews the environmental evaluation and project entitlements prior to a measure being placed on a ballot. 

The City Manager explained the Naylor Act process and preservation of open space, and stated that the City has expressed interest in the purchase of the surplus Mackay Elementary School site property.  He indicated that the purchase of the property will be on a future City Council meeting agenda with a required 4/5 vote required. 

Council Member Bailey stated that the Naylor Act formula is 25% of the market value for the 30% that is allowable for purchase or the price paid for the land, whichever is less.  He commented that discussions with the Cypress School District began in 2012 prior to Measure L, and spoke of his support of a Council initiated zone change. 

It was moved by Council Member Bailey and seconded by Mayor Pro Tem Mills, that the City Council authorize the Mayor to execute the agreement.

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

NEW BUSINESS:

No items.

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.

Ed Kraemer, Cypress, spoke regarding rezoning of Cypress School District property.

Mayor Pro Tem Mills commented that the City Council does not have administrative jurisdiction over the comments regarding the Cypress School District. 

Manfred Stein, Cypress, spoke regarding Measure L.

ITEMS FROM CITY COUNCIL MEMBERS:

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

Council Member Johnson:

Attended the Concert on the Green.  Attended the Living with Coyotes presentation. Attended the promotion ceremony for Police Commander Tom Bruce and Police Sergeant Greg Faessel.  Attended the Legislative Mixer at the Joint Forces Training Base.  Attended a Cypress Chamber of Commerce planning meeting.  Presented a certificate of recognition to Eagle Scout Daniel Matsunaga.

Council Member Yarc:

Attended the Cypress Chamber of Commerce networking breakfast.  Attended the Cypress College Foundation Board of Directors orientation.  Attended a Cypress Senior Citizens Commission meeting.  Announced the City of Cypress Women’s Conference.  Met with the ad hoc committee for the Veterans Recognition program.  Attended a Cypress Senior Citizens Club meeting.  Attended a Woman’s Club of Cypress Chairman’s meeting.  Attended a West-Comm Board meeting.  Attended a Cypress College Foundation Board of Directors meeting.  Toured the O.C. Fire Authority in Irvine.  Attended a Cypress Sunshine Club meeting.  Attended the promotion ceremony for Police Commander Tom Bruce and Police Sergeant Greg Faessel.  Attended the Legislative Mixer at the Joint Forces Training Base.  Attended the Cypress Chamber of Commerce planning meeting.  Attended the Concert on the Green.

Mayor Pro Tem Mills:

Attended a SCAG District Evaluation Committee meeting.  Attended an ACC-OC Legislative and Regulatory Committee meeting.  Represented Cypress at the retirement of Lieutenant Colonel William Mayhue at the Joint Forces Training Base.  Attended the meet-and-greet at So Cal Office Technologies.  Attended the groundbreaking ceremony for the Los Alamitos Medical Center expansion.  Attended the promotion ceremony for Police Commander Tom Bruce and Police Sergeant Greg Faessel.  Attended the Legislative Mixer at the Joint Forces Training Base.  Attended the Concert on the Green.  Congratulated Stacy Berry on her appointment to the O.C. Transportation Agency’s Special Needs Committee. 

Council Member Bailey:

Attended the meet-and-greet at So Cal Office Technologies. 

Mayor Narain:

Toured the West-Comm Dispatch Center.  Met with the Anaheim Union High School District.  Attended the groundbreaking ceremony for the Los Alamitos Medical Center expansion.  Attended the promotion ceremony for Police Commander Tom Bruce and Police Sergeant Greg Faessel. 

Congratulated the Public Works staff on the rapid improvements at Katella Avenue and Valley View Street.  Congratulated the Police Chief on her POST accomplishment.

ITEMS FROM CITY MANAGER: 

No items.

ADJOURNMENT: Mayor Narain adjourned the meeting at 7:59 p.m. to Monday, September 9, 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