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CC - 12-19-00 Adjourned MeetingAPPROVED CITY OF RO EMEAD DATE 3 d MINUTES OF THE ADJOURNED REGULAR MEETING ROSEMEAD CITY COUNCIL DECEMBER 19, 2000 The Adjourned regular meeting of the Rosemead City Council was called to order by Mayor Clark at 5:00 p.m. in the Council Chambers of the City Hall, 8838 E. Valley Boulevard, Rosemead, California. The Pledge to the Flag was led by Councilman Imperial The Invocation was delivered by Councilman Bruesch ROLL CALL OF OFFICERS: Present: Councilmembers Bruesch, Taylor, Vasquez, Mayor Pro Tem Imperial, and Mayor Clark Absent: None APPROVAL OF MINUTES: NONE PRESENTATIONS: A plaque was presented to Captain Neal Tyler on his promotion to Commander. Roberta Abner, the new Captain of Temple Station was introduced to the Council and audience. 1. ORAL COMMUNICATIONS FROM THE AUDIENCE - None H. PUBLIC HEARINGS - None III. LEGISLATIVE A. RESOLUTION NO. 2000-67 - A RESOLUTION PROVIDING FOR THE APPOINTMENT TO THE OFFICES OF THIS CITY THAT WERE TO BE ELECTED ON TUESDAY, MARCH 6, 2001 The following Resolution was presented to the Council for adoption. RESOLUTION NO. 2000-67 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD PROVIDING TO THE OFFICES OF THIS CITY THAT WERE TO BE ELECTED ON TUESDAY, MARCH 6, 2001 At the close of the nomination period, no one choose to run again the incumbents in the City's General Municipal Election scheduled for March 6, 2001. Thus, the election was cancelled at an Adjourned Council Meeting on December 19, 2000. The Elections Code of the State of California allows for the reappointment of the incumbent Councilmembers. MOTION BY COUNCILMAN TAYLOR, SECOND BY COUNCILMAN IMPERIAL that the Council adopt Resolution No. 2000-67. Vote resulted: Yes: Vasquez, Taylor, Bruesch, Clark, Imperial No: None Absent: None Abstain: None The Mayor declared said motion duly carried and so ordered. CCMIN:12-19-00 Page # 1 C] 0 B. RESOLUTION NO. 2000-68 - URGING IMMEDIATE FEDERAL AND STATE INTERVENTION AND REFORM IN THE CALIFORNIA ELECTRIC ENERGY MARKETPLACE The following resolution was presented to the Council for adoption: RESOLUTION NO. 2000-68 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD URGING IMMEDIATE FEDERAL AND STATE GOVERNMENT INTERVENTION AND REFORM IN THE CALIFORNIA ELECTRIC ENERGY MARKETPLACE Mayor Clark requested an addition be made to the resolution. Mayor Clark stated that she has served on the National League of Cities Energy Environment Committee and the Southern California Association of Governments Energy Environment Committee for the past five years and has questioned all along the reasons for deregulation. Ms. Clark explained that deregulation allowed the out-of-state companies to realize that by withholding power during the peak hours, they could drive the market up. The Federal Energy Regulatory Commission (FERC) allows a market clearing price whereby all bidders can get the top price at the end of the day. Ms. Clark continued that as part of the deregulation process, the three major power companies, SC Edison, PG & E and San Diego Gas and Electric were required to divest themselves of their generating capacity, forcing them to be dependent on the Power Exchange. Marketers and generators, primarily out-of-state, may have engaged in market manipulations or pricing mechanisms, resulting in $8 billion taken from the utilities. Ms. Clark stated that she wants to add verbiage to the resolution to call for an investigation into why it happened, who did it and how, and that those companies be required to refund their profits. Ms. Clark concluded that the utilities and ratepayers should not have to bear the burden of those practices. Councilman Bruesch added that some small companies are getting around deregulation by shipping their energy out of state, then turn around and sell it back to the utilities at a higher rate. Councilman Taylor stated that he would like to add verbiage to include that the electrical energy producers have raised their fees by 800% to 1000%. Mr. Taylor stated that he wants that included to show those involved what has happened in one year. John Steelesmith, Region Manager, SCEdison, thanked the Council for their effort tonight. Mr. Steelesmith advised that the energy producers be named "marketers and generators", as they are the two bodies that deregulation has allowed for, enabling them to gain entry into the system and manipulate the market. Councilman Taylor stated for further clarification that SC Edison and PG & E are not the primary producers of energy. Mr. Steelesmith explained that it was the generation portion of the electric utility business that was deregulated. Those participants are now known as the "marketers and generators", most of whom are out of state. Mayor Clark stated that verbiage be added that... marketers and generators "most of whom are out of state"... to further clarify that the utilities are not at fault. Mr. Steelesmith explained that the State approved the plan for deregulation and that the California Pubic Utilities Commission (CPUC) has the jurisdiction to implement that plan, along with two new agencies that were formed, the Power Exchange and the California Independent System Operators (ISO). Mr. Steelesmith stated that supply does not equal demand at this time and that the marketers and generators have calculated that if they do not sell energy in the week or day in advance market, and hold out until the hour, the price will go up. The CPUC has directed the utilities to sell the majority of their power plants and to buy all of their customers electricity from the Power Exchange. Mr. Steelesmith stated that the Federal Energy Regulatory CCMIN: 12-19-00 Page #2 9 Commission (FERC) proposed to allow the utilities to purchase long-term contracts. However, that presents a problem as prices are so inflated now. Mr. Steelesmith continued that FERC has determined that the increase is unreasonable and unjust. SCE, Governor Davis and other officials have pleaded with FERC to order refunds since they found these cost to be unreasonable and unjust, otherwise the consumers are going to have to bear the burden. Councilman Taylor requested that the 800% to 1000% increase be included to bring awareness of how incredibly high the increase is when, in fact, the consumer did not use that much natural resources. Mr. Steelesmith explained that rates have been frozen from 1998 to 2002 at the 1996 rates, plus an additional 10% decrease in rates from a revenue bond financed by the state. The purpose of that was to allow the utilities to collect back if there were any profits left to pay off all stranded investments for the power plants that they could no longer continue to run. Presently, all stranded costs have been collected. The utilities are requesting that the rate freeze be removed which would allow the rates to reflect the cost to serve, and to demand at the federal level that there be a rate refund from the generators. Mr. Steelesmith stated that the PUC has agreed to rehear this on Thursday, therefore, the timeliness of this resolution. Mr. Steelesmith continued that the utilities are proposing anywhere from a 10% to 20% rate increase over the next 3 to 5 years. This will pay back these costs and stabilize the market. Another request is to allow the utilities to buy from the generators at a fixed cost or fixed contract, or allow the utilities to generate their own power as prior to deregulation. Mr. Tripepi stated that Mr. Steelesmith is requesting that an additional item be placed in the resolution requesting the CPUC to immediately implement an emergency rate stabilization program. Mr. Steelesmith stated that Senator Feinstein, Secretary of Energy Bill Richards, Governor Davis, and SCE Chairman of the Board agreed and stated publicly that SCE will be bankrupt in a matter of a few weeks. This will result in on-going rolling blackouts, not just the current stage 3 emergencies. MOTION BY MAYOR PRO TEM IMPERIAL, SECOND BY COUNCILMAN VASQUEZ that the Council adopt Resolution No. 2000-68 with two additional addendums to include the 800% to 1000% profit by marketers and generators, and the immediate implementation of an emergency rate stabilization program, and forward a copy thereof to Senators Diane Feinstein and Barbara Boxer, Governor Gray Davis, Congresswoman Grace Napolitano, Congresswoman-elect Hilda Solis, Assemblymember Gloria Romero, and Anthony Gonsalves. Vote resulted: Yes: Bruesch, Taylor, Clark, Vasquez, Imperial No: None Absent: None Abstain: None The Mayor declared said motion duly carried and so ordered. It was the consensus of the Council to send the adopted resolution also to the League of California Cities Administrative Services Committee, the National League of Cities Leadership Committee, and to other cities. IV. CONSENT CALENDAR A. AUTHORIZATION TO ATTEND LEAGUE OF CALIFORNIA CITIES ANNUAL CITY MANAGERS DEPARTMENT MEETING - FEBRUARY 14-16,2001, MONTEREY MOTION BY MAYOR PRO TEM IMPERIAL, SECOND BY COUNCILMAN VASQUEZ that the Council authorize the attendance of the City Manager. Vote resulted: CCMIN:12-19-00 Page s3 Yes: Bruesch, Taylor, Clark, Vasquez, Imperial No: None Absent: None Abstain: None The Mayor declared said motion duly carried and so ordered. The following item on the Consent Calendar and on Matters for Discussion are added emergency agenda items. The need to take action arose after posting of the City Council agenda. B. AUTHORIZATION TO ADD ONE EMERGENCY ITEM ON THE CONSENT CALENDAR (CC-C) AND ONE ITEM ON MATTERS FOR DISCUSSION (V-A) AS THE NEED FOR ACTION AROSE AFTER POSTING OF THE CITY COUNCIL AGENDA. MOTION BY COUNCILMAN BRUESCH, SECOND BY COUNCILMAN VASQUEZ that the Council approve the addition of the two emergency items. Vote resulted. Yes: Bruesch, Taylor, Clark, Vasquez, Imperial No: None Absent: None Abstain: None The Mayor declared said motion duly carried and so ordered. C. AUTHORIZATION TO ATTEND THE UNITED STATES CONF] OF MAYORS 69T' WINTER MEETING, JANUARY 17-29,2001, WASHINGTON, DC MOTION BY COUNCILMAN BRUESCH, SECOND BY COUNCILMAN VASQUEZ that the Council authorize the attendance of the Mayor. Vote resulted: Yes: Bruesch, Taylor, Clark, Vasquez, Imperial No: None Absent: None Abstain: None The Mayor declared said motion duly carried and so ordered. V. MATTERS FOR DISCUSSION AND ACTION A. DISCUSSION OF PARKING RESTRICTIONS ON PINE STREET BETWEEN GARVEY AVENUE AND NEWMARK AVENUE Mayor Clark stated that this item was placed on the agenda because of the concerns of the residents about the day workers that congregate on lawns and private property in hopes of being picked up for work. Mrs. Clark explained that "No Parking Between the Hours of 5:00 a.m. to 10:00 a.m. signs were posted. Sufficient notification was not given to the residents which resulted in parking citations being issued to the unaware. Mrs. Clark recommended that the parking citation/penalties not be collected for those tickets that were issued over that weekend. Mayor Pro Tern Imperial stated that this has been a long-time problem, a meeting was held with INS a few years ago to try and work out a solution. Mr. Imperial continued that one proposal was to bus the day workers to El Monte and have it funded by the business owners at the shopping center, but that was refused by the businesses. Mr. Imperial stated that a solution was arrived at to place the "No Parking..." restrictions to prevent the contractors from parking and picking up the workers, thus the day workers would move elsewhere as there are no longer any contractors coming by to pick them up. Frank Tripepi, City Manager, stated that the solution was to post the parking restrictions and to ticket the contractors stopping in the street negotiating with the day workers. Mr. Tripepi CCMIN:12.19-00 Page #4 • • continued that this effort needs the cooperation of the residents who live on Pine Street. Mr. Tripepi stated that notices were distributed to residents at a meeting held recently asking them not to park on the west side of the street as very selective enforcement will be taking place in the morning between 5:00 and 10:00 a.m. As a result of that enforcement, 10 citations were issued to contractors stopping and two vehicles were impounded. Mr. Tripepi continued that if the residents give them an opportunity to make this work, then this problem can be solved. The contractors will soon realize that they cannot come down Pine Street and the daylaborers will move elsewhere, either to Garvey Avenue or San Gabriel Boulevard. Mayor Clark recommended that the nine citations issued over the weekend to the' residents be forgiven , and if it is satisfactory to the residents, to allow the probationary period to continue to test the effect of the parking restrictions. Councilman Taylor stated that he thought the residents were notified of the parking signs at their neighorhood meeting. Deputy Sheriff Jewett, stated that not all of the residents may have been aware of the No Parking signs being installed and that he agrees with Mayor Clark in forgiving the tickets. Deputy Jewett stated that he feels that this solution to the problem can work with the cooperation of the neighbors. The problem can be moved off the residential streets and the neighbors can have some of their concerns about property values, litter and vandalism in their front yards alleviated. Mr. Tripepi confirmed that Deputy Jewett was notified by the neighborhood block captain that all the residents had been notified. Councilman Taylor asked if the nine citations issued were given to the residents, what is the benefit of that? Mr. Tripepi explained that Mr. Gebhardt, a resident of Pine Street, brought in a petition signed by the neighbors protesting the installation of the signs and for being ticketed. Mr. Tripepi continued that there is no way of differentiating resident cars from contractors parked there to talk to the daylaborers across the street without running their license plates. Councilman Taylor stated that he does not have a problem with forgiving these tickets, but wants to avoid anyone ticketed in the future wanting that same privilege. Mr. Tripepi stated that the only reason these citations were brought before the Council is a result of a recent Council action taken to install signs as quickly as possible at that location to try and solve the daylaborer problem. Mr. Tripepi continued that normally, those tickets would go through the Court system. However, these are special circumstances and it is not the intent to write tickets to the residents. Mr. Tripepi stated that this problem can be solved if the Council would allow voiding those citations and to allow issuing of citations to continue. Councilman Taylor stated that everyone had good intentions, however, there is a petition with twenty-five signatures requesting that the signs be taken down. Mr. Tripepi stated that a postcard can be sent to each house on that street to verify if they want the signs down. Mr. Tripepi continued that if the signs are left up, then the residents have to agree to keep their cars off the street during those five hours, or they may be ticketed. If the signs are removed, then the daylaborer problem cannot be addressed by the City. Mayor Pro Tem Imperial, for the record, asked Mr. Gebhardt to verify that they had a conversation in which Mr. Gebhardt stated that a businessowner and customer were also ticketed. Councilman Taylor requested clarification in that nine tickets were issued over the weekend and 10 more were issued this morning. CCMIN:12-19-00 Page #5 9 Mr. Tripepi confirmed that, but stated that there is no request to void the 10 citations issued this morning. Councilman Taylor stated that that shows favoritism. Mr. Taylor stated that he is in favor of voiding the nine tickets for the residents, but he also wants the 10 issued this morning voided, thereby, starting over, giving everyone the opportunity to be aware of the signs. Mr. Taylor stated that he is in favor of the postcards going out to the residents and if they want the signs to stay, then write the citations. Henry Gebhardt, 2705 Pine Street, Rosemead, stated that the consensus of the residents yesterday is to have the signs removed (referring to the petitions signed by the neighbors). Mayor Clark asked Mr. Gebhardt how many people signed the petition because they were irate over receiving a ticket and would they be calmer if they knew they did not have to pay for the ticket and to look at the situation as a means of solving this problem that the residents have been complaining about for years. Ms. Clark stated that a considerable amount of money is involved in installing these signs and if the residents would allow the signs to remain, it may solve that problem for years to come. Ms. Clark concluded that the residents do not know that 10 citations were issued this morning to contractors and that needs to be communicated to them to show them that this program can work. Councilman Bruesch explained that this has been a long-time problem and that the INS has had a few sweeps over the years, but the problem remains. Mr. Bruesch asked Mr. Gebhardt that if the signs were removed, there would be no more complaints about the dayworkers. Mr. Gebhardt stated that the contractors usually stop in the red zone or double park. Mayor Pro Tern Imperial stated that a decision needs to be made whether to continue with the program or take the signs down. Councilman Taylor read aloud the petition that was signed by the residents requesting that the signs be taken down. The contents state that the City's police officers swooped down on Pine Street issuing tickets to all parked cars without any prior notice and that the signs were inconspicuously placed. That this was extremely prejudicial to the residents and no apparent reason exists for the no-parking signs. That the dayworkers do not have cars and the prospective employers do not get out of their cars. Councilman Taylor stated that apparently the majority of the residents do not want the parking restrictions and why should the City be trying to solve a problem when, according to the petition, there is no apparent reason existing for the no-parking signs. Mr. Gebhardt stated that the parking restrictions have no effect on the contractors. Councilman Taylor stated that he can foresee problems in the future for that street with loitering of dayworkers and without any attempt to correct this situation, it will continue to get worse. Mr. Tripepi explained to the petitioners that the intent of the signs was not to write tickets to the daylaborers as they do not own nor drive vehicles, but an attempt to stop the contractors from stopping on Pine Street to pick up the workers. The dayworkers will soon realize that in order to get work and to talk to contractors they will have to move elsewhere, to Garvey or San Gabriel Boulevard, as the contractors will no longer be stopping on Pine Street. Mr. Tripepi recommended that if the residents do not want the signs, then they will be bagged until they can be removed. Mr. Gebhart stated that there is a problem with visitors wanting to stay overnight and not being able to park on the street. MOTION BY COUNCILMAN VASQUEZ, SECOND BY COUNCILMAN TAYLOR that the No Parking signs on Pine Street be bagged until they can be removed and to void all of the citations. Before vote could result, more conversation ensued. CCMIN:12-19-00 Page #6 • • Mayor Clark stated that she is not sure that all the residents understand what would happen if the signs are removed and asked Mr. Cabriolla, the writer of the petition if he understood the ramifications once the signs are gone. Willie Cabriolla suggested that the dayworkers can be removed by busing them to another designated location, and/or issuing them I.D. cards Mayor Clark responded that busing the workers to a location in El Monte has been tried without any success as the local businesses would not cooperate, and the issuance of I.D. cards is illegal. Mayor Clark emphasized that if the residents want the signs removed, then the City is powerless to do anything about the dayworker problem. Holly Knapp, Traffic Commissioner, 8367 E. Whitmore Street, Rosemead, suggested that the signs be bagged now and hold another meeting with the residents to explain what the City is trying to accomplish and then conduct a survey amongst them. Councilman Taylor requested that this item be deferred to the January meeting and for the residents to be present at that meeting to receive their input. Mr. Taylor stated that the Pine Street area has suffered with lack of parking for many years. Councilman Vasquez asked why are not the residents here tonight? Councilman Vasquez and Councilman Taylor withdrew their Motion and Second, respectively. MOTION BY COUNCILMAN TAYLOR, SECOND BY COUNCILMAN VASQUEZ that the No Parking signs on Pine Street be bagged and that this item be placed on the Agenda in January, 2001. Vote resulted: Yes: Bruesch, Taylor, Clark, Vasquez, Imperial No: None Absent: None Abstain: None The Mayor declared said motion duly carried and so ordered. Mr. Tripepi stated that Deputy Jewett will schedule another block meeting, at which time survey cards will be distributed. Mr. Tripepi continued that the Council needs to take action on the 9 citations that were issued over the weekend to the residents. Mr. Tripepi explained that the 10 citations issued to the contractors today were for moving violations. Alva Gebhardt, 2705 Pine Street, Rosemead, stated that she was not aware or notified of the neighborhood meeting that was held. Ms. Gebhardt continued that in conversations with others that attended the meeting, it was not clear as to what would be occurring. Ms. Gebhardt stated that the City had the responsibility to notify everyone of the new parking restrictions that would be in effect. MOTION BY COUNCILMAN VASQUEZ, SECOND BY COUNCILMAN BRUESCH that the nine parking citations issued to the residents be voided. Vote resulted: Yes: Bruesch, Taylor, Clark, Vasquez, Imperial No: None Absent: None Abstain: None The Mayor declared said motion duly carried and so ordered. CCMIN:12d9-00 Page #7 i VI. STATUS REPORTS - None VH. MATTERS FROM OFFICIALS - None VHI. ORAL COMMUNICATIONS FROM THE AUDIENCE - None IX. ADJOURNMENT There being no further action to be taken at this time, the meeting was adjourned at 6:35 p.m. The next regular meeting will be held on Tuesday, December 26, 2000, at 8:00 p.m. Respectfully submitted: City Clerk APPROVED: 2n:i f C4 ~ MAYOR CCMIN:12-19-00 Page #8