CC - 11-22-83•
CITY OF VW;E3IEAD
DATF AR -13 - f3
TiY_
MINUTES OF THE REGULAR MEETING
ROSEMEAD CITY COUNCIL
NOVEMBER 22, 1983 AT 8:00 P. M.
The Regular Meeting of the Rosemead City Council was called
to order by Mayor Cleveland at 8:05 p. m., in the Council Chambers
of City Hall, 8838 E. Valley Boulevard, Rosemead, California.
The Pledge to the Flag was led by Councilman Imperial.
The Invocation was delivered by Reverend Art Freuend.
ROLL CALL OF OFFICERS:
Present: Councilmen Cichy, Imperial, Taylor, Tury and
Mayor Cleveland
Absent: None
APPROVAL OF MINUTES: November 8, 1983 - Regular Meeting
MOTION BY COUNCILMAN TAYLOR, SECONDED BY COUNCILMAN IMPERIAL
that the Minutes of the November 8, 1983 Council Meeting be ap-
proved. Vote resulted:
UPON ROLL CALL ALL COUNCILMEMBERS PRESENT VOTED AYE.
The Mayor declared said motion duly carried and so ordered.
APPROVAL OF MINUTES: November 15, 1983 - Study Session/Cable TV
MOTION BY COUNCILMAN TURY, SECONDED BY COUNCILMAN IMPERIAL
that the Minutes of the November 15,. 1983 Study Session be approved.
Vote resulted:
UPON ROLL CALL ALL COUNCILMEMBERS PRESENT VOTED AYE.
The Mayor declared said motion duly carried and so ordered.
PRESENTATION: Rev. Tom Phillips
A Resolution of Commendation was presented to Reverend Tom
Phillips honoring him for his 66 years of religious service to
this area.
Rev. Phillips expressed his appreciation for this honor
which the City Council of Rosemead bestowed upon him..
1. ORAL COMMUNICATIONS
A. Pat Wallach,.a.newly elected member of the E1 Monte Union
High School Board of Trustees, stated that she wanted to let every
one know that she would be available to answer any questions and
expressed her appreciation for the letter of congratulations sent
on behalf of the City.
B. Martha Padilla, 3119 N. Driggs, complained about the
noise and pollution from the La Victoria plant, and stated that
in the summer time she could not even open her windows because
of the noise and the odors.
Councilman Tury stated that he was aware of the problems,
however, the La Victoria plant is not located in the City of Rose-
mead. It is located in the City of E1 Monte, and they could con-
tact members of the El Monte City Council requesting that some-
thing be done to resolve the problem. He stated that the staff
would contact her after they receive an answer from the E1 Monte
City Council.
Councilman Taylor inquired if the staff would check to see
if the City of E1 Monte has a sound ordinance and what 'decibels
are required.
Frank G. Tripepi, City Manager, stated that the sound ordinance
would be one of the things requested from E1 Monte and the noise
can also be monitored from the Rosemead side.
CM 11-22-83
Page X1
II. PUBLIC HEARING
A. PUBLIC HEARING TO CONSIDER REQUEST FOR A VACATION OF
PUBLIC EASEMENT KNOWN AS ARROYO DRIVE
Mayor Cleveland stated that the Public Hearing was open and
inquired if there was anyone in the audience who would care to
speak regarding this matter.
No one came forward, and Mayor Cleveland closed the Public
Hearing.
The following Resolution No. 83-53 was presented for adoption:
RESOLUTION NO. 83-53
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ROSEMEAD VACATING A PUBLIC EASEMENT (ARROYO DRIVE)
MOTION BY COUNCILMAN TURY, SECONDED BY COUNCILMAN IMPERIAL
that Resolution No. 83-53 be adopted. Vote resulted:
UPON ROLL CALL ALL COUNCILMEMBERS PRESENT VOTED AYE.
The Mayor declared said motion duly carried and so ordered.
III. LEGISLATIVE
A. RESOLUTION NO. 83-54 - CLAIMS & DEMANDS
The'following Resolution No. 83-54 was presented for adoption:
RESOLUTION NO. 83-54
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD
ALLOWING CERTAIN CLAIMS & DEMANDS IN THE SUM OF $416,815.55
NUMBERED 8734-8745 AND 7950 THROUGH 8058 INCLUSIVELY
MOTION BY COUNCILMAN TURY, SECONDED BY COUNCILMAN IMPERIAL
that Resolution No. 83-54 be adopted. Vote resulted:
UPON ROLL CALL ALL COUNCILMEMBERS PRESENT VOTED AYE.
The Mayor declared said motion duly carried and so ordered.
Councilman Tury requested the back up material on Warrant
Nos. 8738 and 8739.
IV. CONSENT CALENDAR (CC-A deferred)
CC-B SIGNAL CHANGEOVER ON WALNUT GROVE AND KLINGERMAN
CC-C ACCEPTANCE OF ROAD DEEDS, PERMITS TO ENTER, RIGHT OF
WAY AGREEMENTS FOR NEWMARK STREET IMPROVEMENTS.
CC-D APPROVAL OF PLANS & SPECIFICATIONS FOR DRIGGS & HEGLIS
DRAINAGE AND AUTHORIZATION TO SEEK BIDS
CC-E TENTATIVE CALENDAR OF EVE14TS & LOCATIONS--25TH ANNIVERSARY
CELEBRATION
MOTION BY COUNCILMAN TURY, SECONDED BY COUNCILMAN IMPERIAL
that the foregoing Items on the Consent Calendar be approved. Vote
resulted:
UPON ROLL CALL ALL COUNCILMEMBERS PRESENT VOTED AYE.
The Mayor declared said motion duly carried and so ordered.
CC-A AUTHORIZATION TO PROCEED WITH BIDS FOR LOW INTEREST
LOANS AND DEFERRED LOANS FOR THREE (3) RESIDENCES
Councilman Taylor stated that he pulled CC-A because he in-
tended to vote "no" on that item.
MOTION BY COUNCILMAN TURY, SECONDED BY COUNCILMAN CICHY that
authorization to seek bids be approved for low interest and deferred
loans on three residences. Vote resulted:
AYES: Councilmen Cichy, Tury, Imperial, and Mayor Cleveland
NAYES: Councilman Taylor
ABSENT: None
ABSTAIN: None CM 11-22-83
PaEe H2
Whereupon the Mayor declared said motion duly carried and
so ordered.
Councilman Taylor requested that the record show that his
"no" vote was in no way against the residents who are applying
for this loan. It is just that the City has to tie up too much
money. He would much prefer that money be used for the Handyman
program.
V. MATTERS FOR DISCUSSION AND ACTION
A. STATUS REPORT ON THE WINDOW ON WASHINGTON
Mark Hannaford presented his status report on what he has
done for the City of Rosemead while in Washington, D. C. He enumer-
ated the various offices he visited and legislators he has spoken
to on behalf of the City and its needs. The specific issues he has
been working on for the City is an appeal to the UDAG qualifications
which requires three out of six requisites in order to qualify, the
City of Rosemead qualifies on two and needs one more requisite to
qualify for the grant. The other thing that he has been working
on in our behalf is Cable TV Legislation which is now before Congress.
This item was received and filed. No action was taken.
B. MODERN SERVICE CONTRACT (Verbatim)
Tripepi: Mr. Mayor and members of the Council, we have assembled
some items that we think the Council has requested in the past
throughout some discussions and some actions taken at Council
Meetings. One member of the Council has also provided a memorandum
relative to his ideas on the final settlement of what is to be an
acceptance and possibly by both parties of a counter-offer. Within
tonights information, you also have a detailed letter from an inde-
pendent auditor that sets forth at least some discussion as to your
arriving at a formula for dump fee increases which may be antici-
pated over the course of the eight years remaining on the franchise.
We have also provided you with some minutes from the last two meet-
ings where discussion had taken place. That was done merely as a
convenience to the Council. From the review of those minutes, it
is clear that we have had the representative of Modern Service
address the Council and I believe Mr. Andrews is here with us this
evening and perhaps, Mr. Mayor, if it is agreeable with the Council
we can start with Mr. Andrews. Then if there are any questions on
the letter arriving at a formula for dump fees and how to basically
provide for those, we have Mr. Barsum with us this evening also.
Andrews: Mr. Mayor and Councilmen, I think that significant pro-
gress has been made since I was here two months ago. Mr. Steadman,
the accountant for Modern Service as well as Mr. Barsum, who is
apparently looking into this for the City, have worked very well
together. They have apparently accomplished the desired objectives.
From all the information that we have received, that should about
put this thing to rest. I think that the last issue,at the last
time I was here, was to see if we could come up with something
on this dump fee. It appears that that has now been accomplished.
We worked long and hard to get here tonight for the.last three
years. All that is left now is for Mr. Kress and I to do battle
one more time,to see if we could crank out a document that would
be acceptable to both sides of this very pleasant negotiation
that we have had over the last few days. I will be glad to answer
any questions if I can.
Mayor: Any questions of Mr. Andrews? There being none, I thank
you, Mr. Andrews. Refer it to the Council for discussion.
Tury: Mr. Mayor, as you know.you have a memo from me there with a
few ideas to be thrown around. I came to City Hall and the City.
Manager and the City Attorney were.talking about the dump fees and
the formula that.was set up to allocate the cost of dump fees to
each piece of property. And, as I usually do, I found all kinds of
questions to ask about it. Including, if we were to grant an in-
crease for the dump fees and an increase for the contract, would
we be indeed compounding paying the 7% on top of whatever the dump
fees were? It got (continued on next page) CY 11-22-83
Page #3
•
(Tory continues)
0
quite complicated so we decided to try to find a way to allocate
these to the various residences and to the businesses, and how
we could handle the multiple increases. I came up with the
thought that is on the paper. In this discussion, the increase
in the dump fees were really wild. }Ve didn't know what exactly
we were talking about. So we placed 'a call to the County Sani-
tation District and asked them for the best estimate of the pro-
jetted dump fees for the next ten years, and they said they could
give us in their estimation for the next five years. It would go
up 5% per year. The dump that is mostly used by Modern, has re-
cently been expanded so that it is probably a good assumption
that is the dump that they will be using. As you know, if you
look at the figures, the annual increase of dump fees has come
out to, as the estimate from the low of the first year, about
$7500 and to a high in the last year of the contract, to about
$61,000. The City is in reasonably good financial position. I
felt that it might be the time to possibly let the citizens have
some advantage of the good financial position of the City. In
doing that we could lower their annual increase, and the City
simply pick up the increases in the dump fee from a base year
which was calculated from Modern. They dumped 3300 tons a month.
times 12 times $3.75. It comes to a figure of approximately
$150,000 a•year with the dump fees that they are using. We used
that as a multiplyer for the estimated dump increases, and trying
to find a way of passing that on to residences as a separate item
it was awfully tough. The total package for the life of contract
would be approximately a quarter of a million dollars to the City.
to alleviate that particular problem. Divided by eight that doesn't
come out to a whole lot of money every year. That would take that
issue off the table. That would not be passed on to the residents.
In further discussion, at the same time, as long as we are on a
roll, we discussed of course, if we take the dump fees out of the
based rate which is approximately 20% so the rate increase would
drop about 1% which would leave Modern with a 6% annual rate in-
crease, plus the dump fee increase at the end of the year or quarterly
or whatever it is. So we went one step further and took the residential
increases and projected what the dump fees would be by the end of the
contract and what the total cost would be, we,.then;subtracted`the
franchise fee and subtracted the estimated delinquents that we
would not be°paying and-came up with a.net:cost:over.the life
of the contract.. My thought was a flat 10% increase in 1984
which gives about a $5.75 figure. We have talked about 61J,and that
is a figure that we can kick back and forth, but I use that figure
because that what I based my original calculations on. Once I had
them down, I came back and talked to Frank again, and we had the
finance department verify my figures. I might say that our new
finance director is excellent because she was very close to my
figures so she has to be good. The total increase for freezing
the residential rates at $5.75 a month for the balance of the con-
tract.&picking up the increases in the dump fees for the balance
of the contract, . would be about one and half million dollars
over a seven or eight year period. Sounds like a lot of money
when you look at a one and half million dollars, but when you
look at the financial position of this City, it is not really all
that great. My thought was to do exactly that, and to throw it
out to the Council for some imput, and I so do that.
Mayor: Thank you, Councilman Tury. Councilman Taylor..
Taylor: Mr. Mayor, I have to agree with many points that Mr. Tury
has in his proposal. I think the residents would benefit fairly
well from some of the savings. The reference made to the delinquent
accounts... this is only ...this proposal that we are talking about
dump fees and subsidized costs and such.. this is only one item
out of six or seven that I recall that have to be brought back in
form for the Council to review as a whole.
CM 11-22-83
Page n4
• •
Tury: If I may Gary. My thought on this was for tonight to simply
get the imput from the Council. If there is some area of agreement
to this approach, instruct the staff to put the whole package to-
gether as this simply addresses the dump fee issue. There are all
the other issues, the commercial non-subscribers, they would all
have to be in a final proposal. Frank asked me if I wanted this
put into that type of proposal. I said "no" because I am one guy
looking at this particular approach and there is no sense in going
through all the work if the Council simply doesn't like it. So,
this what we have tonight would only address that one issue, and
this then would be incorporated into the whole package.
Taylor: I have no real disagreement with what you are proposing
tonight. I feel that the-City is in a very fortunate position
compared to a lot of other cities as far as the screams and the
crys for more tax dollars. I think that this is a very appropri-
ate way to share some of this revenue back with all the property
owners throughout the City in a non-discriminatory income basis or
qualification. The delinquent accounts, and we made reference to
that even looking at it here. That is one of the issues that I
thought was to be resolved. Delinquent Accounts would no longer
be the responsibility of the City.
Tury: That's the reason, Gary, that on the.paper that is in paren-
thesis which has been subtracted from the overall costs. Going from
the gross costs to the net costs, we took the franchise fee and the
estimated delinquents and we subtracted those from the overall costs.
The delinquents would be the responsibility of Modern Service at
that time.
Taylor: As long as that is clearly understood. When it is brought
back to the Council,that is one item that was to be discussed and
hopefully agreed upon.
Tury: One more thing that was brought to my attention talking to
Mr. Kress and Frank yesterday. The way I wrote this, I don't make
provisions for the condominiums so we,are going to have to adjust
that a little bit to try to.get all the residents included in this.
This still excludes the industrials and the commercials and the
large apartment complexes. The condominiums are basically all
single family units. I am not sure how they get their trash picked
up, bin or what. I am sure that is a minor point that we could
probably work out. There aren't that many of them. I don't think
the cost would change all that drastically.
Imperial: I can certainly agree with Councilman Tury's intent. I
think it is an excellent start. We have tried to do many things
in this City, the Recreation Center, repair Zapopan, many things
that would benefit certain areas. This would give this Council a
chance to touch with a helping hand every citizen in the City of
Rosemead. I can certainly endorse this as a healthy start. I
think we ought to pursue it. I think we ought to direct the City
Manager to bring us some figures, put this package all together
and go from there.
Mayor: Do you suggest that Mr. Kress and Mr. Andrews get together
and bring us some figures that would be acceptable...
Tury: Mr. Mayor, I think what we have to do before we do that, they
can have an informal conversation, but we are 'going to have to in-
corporate this into what we have already agreed upon, and have a
total package for the Council before we can make a formal offer to
Modern.
Imperial: May I finish, Mr. Mayor. I would like to, hopefully,
see this package put together, touching all the citizens of Rose-
mead, whether they live in Condos or single-family dwellings.
Tury: By the way, I tried to get..I also ran this up with businesses,
but the figures come out in excess of a million dollars more than this,
which would be like a little bit staggering so I backed off.
CM 11-22-83
Page #5
Taylor: How do you mean, Lou?
Tury: By adding all the commercials in town into this formula,
where they would have a frozen rate. It came out to $2,500,000.
Taylor: Right now the commercial businesses are not included.
Tury: They are not included in this. This only includes resi-
dential property.
Taylor: I think that we better tread softly there.
Tury: The only reason that did that, was when they mentioned con-
dominiums, and then we started thinking about some other things.
When Frank gave me the figures when we walked in tonight, I told
him that was totally unacceptable. I think that just sticking
with the residences, but I think that we have to include all the
residents who pay their trash bills, and that would include the
condominiums. I don't know how they are collected or how they
are billed, but there must be some way of working around that.
Tripepi: Question to Mr. Andrews. Can those condos and apart-
ment complexes be easily separated out by the accountant for us
for those purposes?
Andrews: Yes. You are dealing with those in bins. There are 50
to 100 of them and we can isolate those very rapidly. Maybe I mis-
understood, but the last time I was here, I understood that basic-
ally we had this thing resolved with the exception of the problem
.of the dump fee formula. My understanding is, addressing myself
to Mr. Taylor, we have basically agreed with the proposal submitted
by the City to us with the exception of the dump problem and in
some manner to verify our numbers at a later date if a need for an
audit develops. We then opened the books and your people then went
in and looked at them and got the numbers they needed, and now
my understanding 'was once we got this formula, now we were to the
point.where we have now agreed. You submitted a proposal to us,
we have accepted that proposal with the exception of this dump
thing which I thought we put that to rest. While I think that it
an excellent suggestion that has been made to share the costs of
this by some type of supplementation to the residents. I think it
is an excellent program if you can afford to do that. I feel that
as far as Modern is concerned, they are not necessarily involved
in that. That is basically between the City and its residents.
I would like to see us now, extracted from the further study and
putting further numbers together and see if we can't put this thing
to rest based on the proposal submitted to us by the City.
Tury: I think that there is nothing more to do than to.put this
thing together in a comprehensive package. That is all we want.
Taylor: What Mr. Andrews is referring to..a total package ...this
item being the last one to be resolved. I am not saying it is the
last one. Generally, what was presented, as Mr. Andrews stated
that they were in agreement with the original six or eight items or
recommendations of the counterproposal that the City made, well
that is fine. As Mr. Tury stated it needs to come back in a com-
plete package now, so that we can go back and make reference to
the original proposal, the counter proposal, the issues in the
lawsuit that was filed, so that there is no misunderstanding.
That we can get it cleaned up as a total package.
Tury: I am sure, Bob, that you as well as we would like to have
this done so that we are not going back over this again. Let's do
it this time. It has been a long,hard haul, and I can only speak
for myself, but I have just about.. I have decided that if we could
not do anything tonight, I was just going to forget about it. So
I think that putting the package together, and part of that package
was the acceptable audit proceedure which I heard that you have
agreed to that Ron has drawn up. The Council would like to see
that. We have not really seen any of that. We will put together
a complete and comprehensive package and let's go.
Mayor: How much time, Mr. Tripepi, would be needed for the.dompletion?
CM 11-22-83
Page #6
Tripepi: Well, much of that package is going to be the legal
document itself which will come from. Mr. Andrews and the City
Attorney.
Kress: Well, I think we can have a report with all of the items
that Mr. Taylor requested, I think we can have that on the next
Agenda because most of the work'has already been done:' The final
reincorporation of the franchise agreement that won't be done by
the next Agenda, but I think that we have to have a decision from
the Council on what-and obviously an agreement by the Contractor
as to what is going to be contained in that document before it can
be drafted. So I would propose at your next meeting that we have
this on the-Agenda with a recapitulation of.,those items that-.ap-,
peared to have been agreed to. If you read the verbatim minutes,
we can go from there.
Tury: We are going to try to work out the missing residents that
I have on this sheet. O. K. the Condos. It will adjust the figures
a little bit, but it can't be that much.
Mayor.: Does the whole Council agree?
Taylor: Fine, Mr. Mayor.
Imperial: Fine, Mr. Mayor.
Mayor: That's as it will be, Mr. Kress and Mr. Andrews.
VI. MATTERS FROM OFFICIALS
A. Councilman Cichy stated that if there are any changes
to the events for the 25th Anniversary celebration for Rosemead,
it should be brought up as soon as possible since publicity for
the various events will be placed in the newsletters and the City
Calendar.
B. Councilman Imperial inquired about the up-dated ordinances.
Robert Kress, City Attorney, stated that the Planning Commis-
sion is now working on the Zoning Code, and that is where time is
being spent. Councilman Taylor had requested a road map from the
old code to the new code, step by step, and that is taking a lot
of extra time. He urged the Council to read the draft of the.
Municipal Code as a whole. The thrust of that document was to
put together a coherent Municipal Code that takes care of the pro-
blems of the City, and is being offered for the Council's consider-
ation. The information which was requested by Councilman Taylor
should be in the Council's possession after the first of the year.
C. Councilman Taylor stated that the possibility of a foot-
bridge,over the wash for the school children to use has been brought
up over the years. He requested information regarding this possi-
bility.be brought back to the Council to study.
Councilman Imperial stated that he had requested this informa-
tion a couple of weeks ago and he felt that information was forth-
coming.
D. Councilman Taylor requested an up-date of the Sheriff's
Department investigation.
CM 11-22-83
Page #7
VII. ORAL COMMUNICATIONS
A. Natu Patel, 8544 Mission Drive, inquired if the police
were responsible to notify the proper authorities if a street
light was not on.
Mayor Cleveland stated that he should meet with the staff
to have his questions answered and his problems resolved, and he
requested that the City Manager set up a meeting with Mr. Patel
that would be mutually convenient.
There being no further business, Mayor Cleveland adjourned
the Meeting in memory of John F. Kennedy to the next regular Meet-
ing on December 13, 1983 at 8:00 p. m.
Respectfully submitted:
City lerk
APPROVED:
MAYOR
CM 11-22-83
Page N8