HomeMy WebLinkAbout05/07/04 B' A K E R S F I E L D
CITY MANAGER'S OFFICE
MEMORANDUM
May 7, 2004
TO: Honorable Mayor and City Council
FROM: Alan Tandy, City Manager ~'T'L~
SUBJECT: General Information
1. As mentioned last week, there is a possible deal brewing between the Governor
and the League of California Cities which would, effectively, trade out accepting
two years of budget losses in exchange for the Governor's support of the
constitutional initiative that would, after the two years - theoretically - protect cities
from further monetary raids by the State. Since learning of the discussions, we
have been asking for the cost estimate to us. After persistently inquiring with the
League this week, the best we can tell you is that the League board will meet on
Saturday, May 8th, to consider allocation formulas. Hopefully, no later than next
Monday, we will be told officially what the cost of this "deal" is to us. That is not
certain, however, as it may take longer. A League membership meeting is
currently scheduled on Thursday, which could be the time when the membership
will be asked to endorse this plan. Those time schedules are too short; we have
advised the League of our opinion on that and asked that more time be given to
deliberate the issue once the cost is made known.
There are many other players in this drama, including the comparable
organizations to the League for the counties, special districts, and redevelopment
agencies, in addition to the Governor and the legislators.
We anxiously await finding out what the "tab" will be. An explanatory memo from
the League is enclosed.
2. We are, of course, very pleased with the CPUC's decision to deny the sale of the
Kern Power Plant to North American Power Group. Our efforts on this issue will
now be fully directed to working cooperatively with PG&E to determine a more
compatible disposition and use of the property and to assist them in any way we
can in that process. The attached correspondence was directed to PG&E this
week.
3. Staff received notice this week regarding the County's proposed booking fees for
FY 2004/05. They are currently proposing a significant increase of approximately
26%, for a total amount of $1,155,621. Staff will be reviewing the figures
presented and will be meeting with County representatives to discuss the proposed
fees.
Honorable Mayor and City Council
May 7, 2004
Page 2
4. At the second Council meeting in May, I hope to place before you the documents
which would trade out who the concessionaire/caterer is at the Convention Center
from the Holiday Inn Select to Aramark. In exchange, the City would give up the
land we own under the hotel ballroom to the Holiday Inn. The land has no value to
us - their hotel is over it and there is a long term obligation not to charge rent. It
was a structure that had meaning at the time those facilities were financed, but that
debt is paid off, and it no longer does. This transaction would help clear up
property records for the hotel.
The benefit of this proposal to us is that Aramark already has the concessions in
Centennial Garden. There would be menu, price, and quality consistency. There
is management in place and part-time crews to cover the Convention Center's
needs. Aramark has strong customer service and superior concession equipment~
We believe, overall, it would be better service for our customers. The Holiday Inn
would continue to cater events they book and some which were grandfathered to
select their own caterer would keep their grandfathered status.
Please call if you have questions or concerns.
5. Responses to Council requests are enclosed, as follows:
· Results of traffic signal timing review at 17th and F and 21st and F Streets;
Councilmember Benham
· Results of investigation related to a vendor selling cotton candy near Roosevelt
School;
· Follow-up information on traffic issues in the Oleander neighborhood;
Councilmember Couch
· Copy of correspondence supporting the Local Taxpayers and Public Safety
Protection Act enclosed;
· Status report on the grant-funded energy conservation program being
conducted by PG&E;
Councilmember Hanson
· Additional information regarding recruitment efforts for Public Works and
Recreation and Parks;
· Citizen concern regarding the playground equipment at Campus Park North;
· Explanatory report regarding the tax exempt licensee fee for non-profit groups;
· Report related to parcel taxes and the experience of California City regarding
their recent ballot measure; this is an informational response, not a
recommendation;
Coun¢ilmember Salvaq.qio
· Report on feasibility of applying for Proposition 40 monies or other grants to
use for opening and maintaining the temporarily closed pools;
· Status of graffiti abatement on masonry wall near the RV business at Panama;
· Status of graffiti abatement on South H and LeMay.
AT:rs
cc: Department Heads
Pam McCarthy, City Clerk
Trudy Slater, Administrative Analyst
~ ~RY-05-2004 NED 07:46 RR League o[ CR Oi{ies F~X NO, 916 658 8240 P, 03/08
OF C~,t.I FORNI^ Phone: 916.658.8200 Fax: 916 668.8240
C I T I E S
TO: League Board of Directors
FROM: Chris McKenzio, Executive Director
DATE: May 4, 2004
SUB3ECT: Proposal From Governor for Alternative Ballot Measure and Two-Yea' Budget
Agreement
This memo w[~ pmpatad to guide your preparation for our l~o~rd conference call Wednesday
afternoon at 3:00 p.m. 1 will be traveling on League business tomorrow in the late morning, but i
will be available by cell phone if you need to reach mc. Mimi Shatpe can give you my number it'
you need me. Thanks.
EXECUTIVE SUMMARY
The Governor has approached the League and members of the LOCAL Coalition with a proposed
alternative constitutional enendment to protect the same revenues protected by the Local
Taxpayers and Public Safety he,action Act (the "LOCAL initiative") and two-year budget
agreement that would secure the Governor's endorsement and active involvement and
campaigning for the alternative measure. Thc alternative would constitutionally protect the same
local revenues and provide similar protection from unfunded mandates as the LOCAL initiative.
The budget atpeoment would include two years of "contributim~s" by local governments of $1.3
billion each year, with cities, counties and special districts each contributing $3:50 million and
redevelopment agencies contributing $250 million. After two years, the contributions would
cease, the revenues would be protected constitutionally from future raids, and the state would
begin the process, ov~ five yeats, of paying local governments back for all previously deterred
unfunded mandates. Staff recommends the Executive Committee support the proposal on behalf
of the Board of Directors, subject to subsequon! ratification by the League General Assembly on
May 13, 2004.
RACKGROUND
ERAF Facts. In fiscal 2003-04, the ERAF shigt cost cities, counties and special districts $5.2
billion. $in0o its inception, ERAF ha~ deprived local govcrnment~ of over $44 billions76
percent of whi~ch..has bee_n borne by co~_nties and_l 6. peroont_by cities..
· Prop. 172 Mitigation. In 1992 voters approved Proposition 172, which provided sales tax
funding for public safety programs and today totals $2.5 billion--S2.7 billi<)n less than the_
an_n. ual ERAF_s_hifi co~Hnd it must be used for public safety purposes. While ~4% of the
Prop. 172 t'unding goes to counties and 6% to cities, coumies still are losing about $1.$
billion and cities approximately $650 million per year.
· Carrent Year Loss. In curtain state FY 2003.04, the first three months of the VLF backfill
(the "VLF Gap Loan") was withheld from cities and counties by the state as a "loan" to the
state to be repaid in August of 2006. The loss was initially estimated to be $825 million
($412.5 million city and $412.5 million county). After the increase in cm' sales in the three
months leading up to the increase in the VI,F, the Department of Finance revised this
estimate to $1.3 billion. (The "loan" repayment is !~nsecur_~-d by agreement or the
constitution). The state also required a $135 million ERAF payment from redevelopment
agencms. No payment was required from special districts.
~ ~ ~ ~RY-05-2004 NED 07:47 AM League o£ CR Cities FAX NO, 916 658 8240 P, 04/08
· Goveruor'a January Budget ProposM. In his January budset, the Governor proposed an
additional $1.3 billion EIL~F shit% on top of the current $5.2 billion ERAF loss, to i~ borne
$1 g8 million by cities (I 4%), $'q 16 million by counties (69%), $07 million by spcoial districts
(7%) and $135 million by redevelopment agencies (10%). in addition he proposed cuts in one
state subvention of interest to cities (Booking Fees - $311 million), suspension of Proposition
42 payments to cities and counties ($90 million each) and an additional $500 million in cuts
in health and hunums services programs administered by counties for the state.
· Legislative Analyst Proposes Alternative, In February the LAO proposed a package of
approximately 31.5 billion in cuts and revenue transfers to local governments, including $200
million in local .~ales tax from cities and counties, :f~400 million from special districts, and
$320 million from redevelopment agencies. The LAO also proposed eliminating most state
subventions to local governments, totaling over $400 million.
· LOCAL Initiative Flied. On April 16 the LOCAL Coalition filed over ]. 1 mi]lion ~ignatures
to qualify the LOCAL initiative for the November 2004 ballot.
GOVERNOR'S ALTERNATIVE PROPOSAL
Alternative Constitutional Amendment; Two=Year Budget Agreement. The Governor has
approached the League and its LOCAL colleagues with a proposal'to sponsor an alternative
constitutional amendment that would provide the same base of constitutional protection a~ the
LOCAL initiative linked to a two-year budget "contribution" by local governments. The
alternative measure is necessat~ because the LOCAL initiative would prevent most conuibutions
by lo,al governments in 2004-0:5, and it mo~ certainly would preclude any two.year budget
agreement without a vote or' the public. Wc have now completed discussions on the scope o~' the
alternative measure and it is being drafted. ! am pleased to inform you that it will t~rovide bet~r
orotect_ion of our revenues that the LOCAL_ .initiative nlus a m_ore enforce~tb-~e' mandate
r~imbu_r~ment section~. Furthermore, it a~ord$ us the op-p~rtunity to clari~ word~g on some
issues that have arisen since our measure was filed. Finally, the second year of the "budget
agreement" would be contingent upon passage of the constitutional amendment.
Governor Pledges ~o Lend Campaign. On April 16 Governor Schwarzenegger met by phone
with the League Executive Committee. In that call he expressed concern about the effects of the
LOCAL initiative on his effort to aeoomplish a state budget recovery and his strong desire to
work wi~h us to craft an alternative measure coupled with a two-year budget agreement. He
pledged to lead the campeig~ and raise funds t~r the campaign if we could agree to the proposal.
In a meeting with very hip=;b staff of the Governor yesterday (May 3), they confirmed this
commitment. If we reach agreement, our political teams will begin meeting week at'~er next.
V~LF l~ate Reduction; VLF Backfill---ProperVy Tax Swap. The conterpioce of the Oov~nor's
alternntive proposal is a permanent reduction of the VLF rate from 2% to 0.65% (its current
effective rate). This would trigger elimination of the $4 billion "¥LF backfill'~ from the sta~e
general t~nd that has been so contemlous in re~ent years and replacement of that revenue source,
dollar-for-dollar, with property taxes to cities and co~nties from the ERAF fund or' each count.
In the event ora shortfall in the ERAF ~und, the school shares of prope~ taxes would be teduoed
as well to finance the swap, with the state making schools whole from the sta~ general fund.
~ This is due to ~wo factors. First, it protects all of de revenues and local governments prote~ted by the
t. OCAL, measure (including repayment of the $650 million VLF gap loan in 2006.07), wi~b the addition of
the new Bradley Burns sales tax authority ~anted by the legidaMre last year. Secondly, the mnndate
seetio~ will provide tbr the automatic repeal of mandates that are not funded. Some labor groups were
increasinRly criticizing the ~ocal suq~nslon provision in thc LOCAL measure, ~ they suggested this new
approach.
2
" ? = ~ ~RY-05-2004 NED 07:47 RM League of CR CiLies F~X NO. 938 858 8240 P, 05/08
Two-Year Budget Agreement Elements. Instead of a traditional ERAF shi~ for cities and
counties, the Administration proposes equivalent payments by cities and counties similar to the
current year's $650 million each but at a surlier amount--S350 millim~ each from cities and
counties---for two years. This amount would bo withheld from cities nnd counties and remah~ in
the county ERAF fund m the fir-~t two years of the swap and then be paid to them in full in 2006-
07 and become part of the base amount of new property tax that would go to the cities and
counties~in exchan~ for the YLF backfill on a dollar for dollar basis. Special districts and
redevelopment agencies would make a traditional contribution to ERAF of $~50 million and $250
million, respectively. The Admini~tTation al~o agrees to begin repayment of the d~fcrred mandate
reimbursements, beginning in 2006-07, to be paid in full over five year~.
No Property~Sales Tax l~xehange. Over th, last few weeks tl~e Governor's Office has been
under tremendous pressure t~om stone legislators to add a property-sales tax exchange to the
proposed "aj,~ement". We have communicated that such a provision would be a deal killer, and
they have heard us. We have now received very clear a~surances that the Governor will oppose
the addition of such a proposal to the package when it goes through the legislature. This has been
very important to us, ns you know, and it has taken weeks to complete the discussion. By the way.
Michael Coleman now estimates that when the VLF backfill--property tax exchange take:~ full
~t'l~c~t in 2006-07, cities statewide will be receiving ] 1% of their revenues fTom the property ax
and 10.9% from tho sales tax---a significant balance on a statewlde basis
SUGGESTED ISSUES FOR BOARD ATI~ENTION
Our discu.,ions with the Governor's staff.have been positive a~d thorough, in£ormed by the work
of a separate ¢ornmitlee of s~ate (Dept. of Finance, Controller, and Legislative Analyst Off, ce)
and local (League, CSAC, CSDA and CRA) technical expms. J'u~ a few issues are remaining
from those discussions that are not resolved and on which we need your reaction.
I. Allocation of $350 Million Reduction. This is a challenging issue for the League,
and the Administration essentially wants us to decide the allocation mechanism and inform the
Govornor and Legislature. The Governor's original $1.3 billion ERA}: reduction in January
would have been spread on an ERAF basis, hitting cities wi~h hi,ar shares of the property tax
with & g~oater share of the burden than those with a lower share. The C~ovcrnot's recent two-year
budget proposal abandons a traditional ERAF "contribution" from cities and oounlies by
withtmlding payment of $350 million to cities and a like amoum from counties in the first two
years of the exchange of VLF backfill for property taxes on a doilar-tbr-dollar basis. The
financial impact will be felt by cities when they do not receive their share of the $350 million
from the county ER.A}: fund-as opposed to the previous method of the county auditor making a
payment to the ERAF fund from the propen3, taxes actually collected for the city's property tax
share.
Alternatives for allocating the impact of the reduction would appear to include the following: (~)
AIIo~ate on · motor vehicle tax basis (essentially per capita), the same basis as the current year's
reduction (a higher amount tbr 304 cities); (2) Allocate on an ERAF basis (n higher amount for
174 cities), the same basis ns the Governor's initial reoommead~tion; and (3) Some type of
combination of these two methods or some entirely different method that looks at these and other
factors. CS^C has done this already and chosen a VLF basis for the allocation..
RI~COMMENDAT~ON: Authorize the League President to appoint a small task force.
representative o£the mcmborsi~ip, to develop a recommended allocation method that shares the
" ~ ~ ~ MRY-05-2004 NED 07:47 RM League o[ OR CiLies FAX NO, 9]6 658 8240 P, 06/08
pain of* the reductions on as equitable a basis as possib)e. Thc Task ]:orc¢ would forward ia
recommendations to the ~ard of Directors for action in a meeting held by conferene~ eaU.
2. Hardship Allocation. During ]a~ year's budget negotiations we convinced the
Administration to find $20 million to finance the cost orr tho $1.3 billion VLF Gap Loan for about
25 local governments that had either pledged VLF to repay bonds, are new cities that get a three-
fold amount of VLI: to help them get started, or are dlq~roportionately dependenl on VLF to
support their general fund (37% or more). This was done at the expense of the .~tate.
This year the Department of Finance has said they want to exempt from the YLF backfill-
property tax swap the local governments that have pledged VLF In repay their bonds. They are
open to a "hardship" designation, but none of the other local government groups want to
participate in a hardship program because of the dlffioulty of drawing eligibility lines. This is
easier for cities, perhaps, because it is clear which are now cities and which a~e the most VLF
dependent. If we do it, however, it would be at the expense of other cities.
RECOMMENDATION: Support a hardship allocation in principle, but recognize that the
extent of the need for one is a function, in part, of the allocation method chosen for the entire
amount of $350 million, ffVLF is the basis, there are some small cities that
receive a disproportionate share of their general revetlues from VLF (i.e., those in the 3?%
category mentioned above) that would be devastated by such an approach, if another method of
allocation is used, it could soften tile blow on these cities and eliminate the need for some or all of
a special "hardship" exemption. Staff recommends supporting this concept in principle and
referring this issue to tho League Task Force mentioned above for review and recommendation
3. Lu the Size of the Badger iaackage Too Big? ] have received feedback fh~rn some board
members and others that the proposed fi~al impact on cities of this package is too big ($350
million), especially considering the fact that redevelopment is at $2S0 million, 96% of which is
from city redevelopment agencies. I have tried repeatedly to get both numbers lowered, and the
tespon~ from the Administration is "we need $1.3 billion, and if you want it lower, it will have
to be a 3-year package." Moreover, there are so many questions state officials have about
redevelopment agencies and their avai]able resources, that ] have been unable to address them in
a way that would secure a lower number. Others may be able to do it, but ! have not.
It might be useful to keep a few benehmn~ in mind as you look at this:
2O03-O4 20O4O5/O5-O6
Budget Impact on Cities $650 million (VLF Loan) $350 million
Budget Impact on RDAs $135 million (ERAF Shift) ~250 million
Budget Impact on Cities/RI)As Comblnedz $780 million $590 million
Other Budget Cuts Proposed for Counties $500 million
~ POLITICAL CALCULUS
· in tho final analysis, whether this proposed alternative is in the best interest of cities is a political
question. 1 respectfully submit some of thc factors that deserve our a~xention in weighing this
opportunity include the following:
2 This combines $350 million and 96% oldie ILDA figure of $250 million.
4
'~ ~ .... ' ~ ~RY-05-2004 NED 07;47 RM League of CR Cities FRX NO, 916 658 8240 P, 07/08
· Fundralsing. We need to raise approxinmtel¥ S10 million and it will be much more difficuR
with the Governor's opposition and slgnificanfly easier with his support. The Governor's staff
told us again yes~rday he would play a significant (not dominant) role in as-~istinj~ with
fundraising, allowing his name to be used, headlining the program at some fimdraising
events, crc. He also will serve as chair or co-chair ct'the campaign.
Coalition Building. Some business and tax groups am withholding support for the measure
until they know the Governor's position. His opposition could bring opposition from these
groups as well. Tile Governor's Office has already reached out to ~ese groups and feels we
cnn secure their support t'or this alternative package.
· l-~islative Snpport, The amount of 1o$islative support for this package is unknown. Our
sources indicate strong support for it in Republican cimles and unknown support levels
among Democrats. It would be a 2/3-vote bill,, so bipartisan support will be ,lecessary. ]t'we
are unable to secure legislative support in a way that is timely or satlsf'actorT, we will need to
go ahead with the LOCAL initiative~possibly with the Governor's opposition, but he could
also gO neutral or $~pport if he is cot)vinced wc worked hard to get the alternaive measure
passocl.
· Member aaa Coalition Sappert. We m~y lose some members or coalition members ~f we
strike a "deal" because of' the financial impact or they don't like the iclca ct' givin& up any
grmmd.
· Olber Wlmt lffs. The next few months bold many questions in store for us. One we
discussed today on our ooalitmn conference eau was what type o£baJIot arguments do we file
tot out measure given that the deadline is Sune 28 and the alternative constitutional
amendment will not be signed by limn. The answer is: we file arguments that will help us
win. M~,~:y o~her timing and strategic issues will a~ise, and we need to face them head on.
CONCLUSION
On balance, I believe this alternative proposal from the Governor, developed in consultation with
our LOCAL panners, provides an important opportunity to accomplish the League's number one
priority--constitutional protection ct' local rcvenues~with a higher degree of success on the
November ballot. Thc addition of the Governor's leadership and fundraising potential, the
prospect for an even clearer and stronger constitutional amendment, and the stronger coalition
opportunities all suggest support for this unexpected modification in our campaign plan. In the
final analysis, if it proves infeasible from a 1¢gisLatlve standpoint, we will have formed a stron~
alliance with lhe Governor and should feel confident of his support for our priority.
RECOMMENDATION: Staff recommends the Executive Committee express support tbr the
proposal as described herein on behalf of the Board of Directors, with the recomme~ded actions
described herein. Final resolulion of the allocation method and other related manors would occur
over the next month.
GENERAL ASSEMBLY
'~tile the ~tive ~mmi~'s a~ ~ ~half of l~ ~d would ~ vicw~ by thc Adm~istrntion ~
suppo~ for ~e "a~ment", I have informed various mff mem~n in the Governor's Offi~ of our
Genial As~mbly me~ on May 13. ~e Governor has been invimd to s~ak ~ the May 12 ~slanve
Ac~on Days event, ho~v~, ~d we will le~ Fdday if he will ~. If ~ d~s came, he w~.li ~t ~
anno~c~ thc "~en~.~ven tho~ ~ will b~subi~t t~ ~fi~a~ion by t~. ~n~a[.Assembl~d ~e
BAKERSFIELD
Alan Tandy ·City. Mana§er
May 6, 2004
Pacific Gas and Electric Company
Mr. Craig Schmidt, 'Public Affairs Director '~
Governmental -Relations
650 O Street, 3rd Floor
Fresno, CA 93760
RE: Kern Power Plant
Dear Craig:
In light of -the CPUC's official decision will prohibit the sale of the Kern Power Plant to
North American Power Group, the City of Bakersfield would now like to focus on
initiating a-cooperative effort with PG&E to consider the future disposition and use of the
site.
Our efforts for the past year have, by necessity, been .concentrated on justifying why the
power plant should not.be ~put back in operation and in opposing the proposed sale to
NAPG. The latter was much more complicated and time consuming than we had
anticipated, since NAPG was so uncooperative with City staff and equally ambiguous
about their plans to operate the plant. We never did receive any substantial .proof that
they actually .had the financial ability to do what they claimed, even though we
repeatedly asked for details. While NAPG attempted to garner .positive public
sentiment, they were never forthcoming with City staff during any part of the process.
Moving forward, the environmental condition of the property and its urbanlocation ought
to be the primary basis for any decisions made regarding future use. The City would
like to-Pursue a collaborative effort ingetting the clean-up completed and facilitating the
disposition of -the property in such a way that .it will be beneficial 'for both the community
and PG&E.
There were several major concerns brought to the forefront-during the last year which
remain to be addressed:
· The location of the facility is adjacent to residential and commercial ~development
that has taken place since the plant ceased operation and the permits were allowed
to lapse. The general public sentiment has been in opposition to restarting the
power plant. In practical terms, the northwest area of Bakersfield has literally grown
up around the plant site.
City of Bakersfield · City Manager's Office ° 1501 Truxtun Avenue
Bakersfield, California ° 93301
(661) 326-3751 · Fax (661) 324-1850
Pacific Gas and Electric Company
Craig Schmidt, Public Affairs Director
May 6, 2004
Page 2
· The .groundwater contamination caused by the` Sunland Refinery, just ··east of the
power plant, is a long-standing concern, and it.will take considerable .time to
complete the environmental clean up.
· The air pollution in our region receives negative media attention almost everyday
and has recently ~been downgraded again.~ It is-imperative that .the future use of the
· property will not further compromise local air quality.
The City is in a position to take a leading involvement ·in zoning decisions and other
developmental impacts that will help PG&E. Just as we ~have entered into discussions
with representatives ~rom Shell about the future land use of their refinery property on
Rosedale Highway, we would like the opportunity to assist PG&E in the same manner.
We would like to work with you to-maximize the compatibility of the power plant property
to existing conditions in the area and to realize ·a positive economic outcome, as a
result.
Your thoughts regarding our proposal would be appreciated.
Sincerely,
cl,~nMTaannad~e r~
AT:RS
cc: Honorable-Mayor and City Council
Virginia Gennaro, City Attorney
i t RECE ¥ D
MANAGER'S
B A K E R S F I E L D
PUBLIC WORKS DEPARTMENT
CITY OF BAKERSFIELD
MEMORANDUM
May $, 2004
TO: ALAN TANDY, CITY MANAGER
FROM' RAUL M. ROJAS, PUBLIC WORKS DIRECTOR//'.~,~
SUBJECT: SIGNAL TIMING AT 17TM & F
Council Referral #763
Council requested review of the signal timing for 17th and F and 21st and F during
the late evening hours. Signals stay on red and do not cycle in a timely manner.
Traffic Engineering reviewed the signal timing and operations of the traffic signals at
17th and F Streets and at 21st and F Streets.
The intersection of 21st and F Streets is temporarily operating with a detector recall to
the east-west side street (21 st Street) because of an operational problem with the
signals cycle for the north-south direction. This temporary condition may be the cause of
the noted signal timing concern by the public. Traffic Engineering is working to resolve
the operational problem with additional detectors in the future. Signal timing will be
adjusted, where possible, to minimize the delay until such [ime that additional detection
can be added to the signal.
No changes are proposed, at this time, to the signal timing at 17th and F Street. The
signal timing is correct and it is operating as designed.
Traffic Engineering continues to monitor these locations, and other traffic signals in the
City, for changes or improvements to accommodate the flow of traffic as may be
appropriate.
G:\GROUPDAT~Referrals~2004\04-28\763 - Traffic.doc
MEMORANDUM
TO: ALAN TANDY, CITY MANAGER
FROM: LESLIE SIMPSON, TREASURY SUPERVISOR (ACTING) .~.,k~
SUBJECT: COUNCIL REFERRAL #000771
DATE: MAY 4, 2003
This is in response to a Council referral from Council member Benham requesting staff check
the status of a vendor selling cotton candy in front of Roosevelt School.
Financial Investigator, Cheryl Simpson went to Roosevelt School on Monday, May 3rd at 2:00pm
to talk to the cotton candy vendor. When she got to the school there were two Bakersfield police
cars parked in front of school, and a city car driving around the school. After making several
passes by the school, she was unable to locate the cotton candy vendor.
cc: Gregory J. Klimko
B A K E R S F I E L D
PUBLIC WORKS DEPARTMENT
CITY OF BAKERSFIELD
MEMORANDUM
May 6, 2004
TO: ALAN TANDY, CITY MANAGER
FROM: RAUL M. ROJAS, PUBLIC WORKS DIRECTOR~
SUBJECT: TRAFFIC ISSUES AND FENCING AT BHS
Council Referral #757
Councilmember Benham referred a prior referral concerning traffic in the Oleander
Neighborhood to staff for follow-up and also requested an update on a prior referral
concerning the railroad fence near BHS from City Attorney.
TRAFFIC ISSUES:
A prior referral concerned speeding on F Street in the area of 1st Street and 3rd Street in
the Oleander neighborhood, and pedestrian crossing of H Street at 1st Street.
Traffic Engineering completed the speed study on F Street and determined that the
average mean speed for the street was 25.75 miles per hour. The prima facie speed
limit per the California Vehicle Code is 25 miles per hour. The 85th percentile speed was
28.68 miles per hour. The 10 mile per hour "pace" speed was between 20 and 30 miles
per hour with 78.43 percent of all vehicles within that speed grouping. These speed
statistics are excellent for a typical 25 mile per hour residential street. To reinforce the
residential speed limit, new speed limit signs were installed at each end of the street
segment. No other improvements are proposed.
A pedestrian crossing study was also performed at the 1st Street and H Street
intersection. Pedestrian volume was substantially less than 100 per hour with only 18
crossing in one two-hour period and only 6 crossing in another 90 minute period on
separate study days. In addition, the location proposed is only 300 feet from the fully
signalized, pedestrian protected intersection of Brundage and H Street. This is much
less than the 600 foot separation from a signal for an uncontrolled pedestrian crossing.
The Traffic Engineer strongly recommends that pedestrians use the existing traffic
signal to safely cross H Street in this area.
G:\GROUPDAT~Referrals'67.004\04-28\757 - Traffic.doc
B.A K E R S F I E L D
CALIFORNIA
April 21, 2004
CITY COUNCIL
Har~eyL. Hall
Mayor
The Honorable Arnold Schwarzenegger
David Couch
'Vice-Mayor California State Governor
Ward4 State Capitol Building
Sacramento, CA 95814
Irma Carson
Ward 1
RE: Request for Support for Local Taxpayers and .Public Safety
Susan ~ ~enham Protection Act
Ward2
Dear Governor Schwarzenegger:
Mike Maggard
Ward 3
As the mayor and city Council members of the City of Bakersfield, we
HaroldW. Hanson ask for your support of.the .Local Taxpayers and Public Safety
Ward5 Protection Act, a ballot measure for November 2004 that would
JacquieSullivan require a vote of the people before State government could shift
Ward6 more revenues away from local government.
Mark Salvaggio
Ward7 This initiative effort is consistent with your values of protecting local
control and local democracy, keeping local taxpayer dollars local,
and supporting city, county, and special districts in their efforts to
provide'health and safety services to their constituents.
The collective health-of local governments is vital to the overall
health of the State and, as elected local officials, we take pride in our
ability to provide those local services that make our quality of life
second to none.
1501 Truxtun Avenue · Bakersfield, California 93301 · (661) 326-3767 ° Fax (661) 323-3780
The Honorable Arnold Schwarzenegger
April 21, 2004
Page 2
We respectfully ask for and encourage your support of the Local
· Taxpayers and Public Safety Protection Act.
D~. Couch, ~ice ~,~~~ ~cilmember, Ward 4
Mike Maggard, Councdmember, Ward 3
Harol~ ~ ~d H~nson, ~unci mber, Ward 5
Ja~uie Sdl'iivan, Councilmember, Ward 6
Mark C. Salvaggio, Councilmember, Ward 7
L0404192-Schwarzenegger
cc: City Manager Tandy, Admin. Analyst. Slater, League of CA Cities
RECEWED
i,,iAY - 6 2OO ,
B A K E R S F I E L DclwMANAGER's':~':''-
Economic and Gommunity Development Department
MEMORANDUM
May 6, 2004
TO: Alan Tandy, City Manag~,~Y
FROM: Donna L. Kunz, Economic Development Director
SUBJECT: P.G. & E. ENERGY CONSERVATION
Council Referral No. Ref000766
Vice-Mayor Couch requested staff contact P.G. & E. to identify cost saving programs
available to the City, businesses and homes; provide an update on the City's efforts to
conserve; Donna Kunz to provide update on the half million dollar grant; Trudy Slater to
contact Denise Newton or Liz Gomez regarding mailers or rebates to assist with
conservation efforts.
At the October 8, 2003 City Council meeting, a Resolution was approved authorizing the
submission of a grant application to the California Public Utilities Commission (PUC) for
energy conservation programs for commercial and residential users in Bakersfield and
Kern County. PG&E (lead agency) and Staple/Hutchinson and Associates (consultant)
submitted a two-year application and in December 2003 the Bakersfield/Kern County
application was awarded $5.5 million. The majority of the grant funds will be used by
PG&E and the consultant to market the Energy Watch Program in Bakersfield and Kern
County and provide direct install services to residential and commercial customers. This
application provided that 20% of the grant award would be shared between the City of
Bakersfield and the County of Kern (approximately $550,000.each) toward making
necessary energy-saving improvement to government building upgrades.
Since that time, City staff has been working with PG&E and energy audits have been
conducted to determine the energy savings that could be realized at the Convention
Center, the Ice Center, Centennial Garden, the Aquatic Center, and the Development
Services Building.
Once the audits are completed and analyzed, an agreement will be prepared for Council
action. The audits are scheduled to be completed late in May.
S:\DEBBIE'S\Council Referrals\PG&E grant.doc
c
B A K E R S F I E L D
MEMORANDUM
May 6, 2004 //~/
TO: ALAN TANDY, CITY MANAGER
FROM: CARROLL HAYDEN, HUMAN RESOURCES MANAGER
SUBJECT: RECRUITMENT OF LABOR STAFF
Since mid-March, when you authorized additional temporary workers for Public Works and
Recreation and Parks, we have intensified our efforts in the recruitment of blue collar
workers. We have had 130 applicants for these positions and have filled 21 positions. We
still have 37 vacancies. Of the 130 applicants, we have not offered jobs to 59 applicants
as they did not meet city standards for employment, such as convictions for assault and
battery, possession of firearms, theft, hit and run, poor driving record and failure of drug
screens. Seven applicants changed their mind about being considered after being asked
for reference information.
We have hired 3 individuals who did not appear for work and 2 who worked a short amount
of time and quit. We have only had one Laborer applicant who turned down employment
because the salary was too Iow, therefore, I do not think that the wage rate is an issue.
Several have mentioned that they wanted permanent employment rather than temporary,
so this is probably more of an issue than wage rate for Laborers. I do think we need to
increase the hourly rate for Service Maintenance Worker by $2.00 an hour, as these
positions require a commercial driving license and our $11.00 an hour rate is too Iow for
experienced commercial drivers.
Our efforts to overcome a limited qualified applicant pool have included the following:
· Used alternative advertising to reach non-subscription households of the Bakersfield
Californian (Mainstreet and El Califomiania), which resulted in direct mail pieces to
90,000 residents.
· Identified Spanish speaking contact for all non English speaking applicants
· Parks has streamlined the interview process by doing phone interviews every
evening instead of waiting to do daytime interviews in person.
· Targeted local high schools to ask for referrals.
· Contacted local colleges and universities.
· Contacted Career Services Center to assist in recruitment.
· Contacted radio stations for PSAs to announce job opportunities.
· Contacted sports associations for applicants.
I would not recommend using a temporary help agency, as the markup for this type of
worker is typically at least 50%. In addition, we would be responsible for any accidents and
could be held liable for worker's compensation claims as well. It would be better to use
overtime with our own employees, whom we know are trained on our equipment and in our
methods.
We will continue to source every avenue we can think of and welcome any ideas that might
prove fruitful in providing applicants. The publicity in The Bakersfield Californian and
Channel 17 this week caused a flurry of applications being requested. We just hope that
we have them returned! The following items are some ideas we have yet to try and that we
will be trying to implement, if feasible:
· Design a flyer advertising our jobs in both English and Spanish
· Meet with Parks staff and have application packets available for them to give to
friends and neighbors. Many do not know we are hiring, as we have been putting
the word out for months that we were not hiring.
· Price the cost of ads on some Hispanic radio stations
· Approach Vallarta Grocery and Mercado Latino about permission to post flyers or
perhaps to have a recruiting table on a Saturday.
· Recommend a rate increase for temporary Service Maintenance Workers.
· Work with Parks staff to develop a plan for hiring workers who do not have a driver's
license. This would allow us to hire some applicants who seem good, but do not
have a license. It would also give us an opportunity to use BARC who often does
this kind of work at state rest stops.
RECEIVED
C~TY MANAGER'S OFF~CE
DEPARTMENT OF RECREATION AND PARKS
DATE: May 5, 2004
TO: Alan Tandy, City Manager
FROM: Alan Christensen, Director Recreation and Parks~.
SUBJECT: NORTH CAMPUS PARK PLAYGROUND
Ref000756 (WARD 5)
Councilmember Hanson referred correspondence from Shirley Steenbergen and requested
staff look into the deplorable conditions of the playground equipment.
Staff visited and inspected the playground equipment at Campus Park North and found
it safe to be used by the public. A playground equipment audit was performed several
years ago on all our park equipment in the City. We have renovated and/or replaced all
park equipment that was evaluated to be unsafe. This ClP playground equipment
replacement program still continues and Campus Park North is on the list.
Shirley Steenbergen was contacted by staff and it was explained to her all of our
playground equipment was audited and continues to be inspected for safety hazards.
We informed her the City has a variety of funding methods to construct, renovate, and
replace play equipment and it also has restrictions on where and how to use these
funds. It was communicated to her the reason why we "plow' the sand was to "soften"
the sand so it is a softer surface to fall on.
In our telephone conversation with Mrs. Steenberger, we told her we want would review
the playground equipment replacement list along with Campus Park North and
determine if any adjustments needed to be made to the replacement schedule.
S:\Council Referrals 2003\Ref000756.doc
May 5, 2004 (10:32AM)
,~i,¢,,i' - 5 2004
2~'T~ i'~ANAGER'S ,-,
MEMO~NDUM
TO: ALAN TANDY, CITY MANAGER
FROM: LESLIE SIMPSON, TREASURY SUPERVISOR (ACTING)~...~
SUBJECT: COUNCIL REFERRAL #000761
DATE: MAY 3, 2003
This is in response to a Council referral from Council member Hanson requesting information on
the tax exempt licensee fee for non-profit groups. He requested staffto prepare a background
report explaining the $5 fee for non-profits, and the cost effectiveness of the fees.
The $5 processing fee is charged at the time a new business license is established or a business
license is renewed. Non-profit organizations are exempt from the business license tax, but not
from the $5 processing fee. This processing fee was established to help recover the costs
incurred by staff, and materials needed, that are associated with issuing and renewing business
licenses. Bakersfield Municipal Code (BMC) Section 5.02.060 (A) states that "It is unlawful for
any person to transact and carry on any business in the city without first having procured a
business tax certificate to do so." BMC, Section 5.02.060 (D) requires that any person claiming
exemption from the tax substantiate their claim with a sworn statement to the collector stating
the facts upon which the exemption is claimed.
Cheryl Simpson, Financial Investigator (Business Licenses) reviews the SBC Street Ad&ess
Telephone Directories, business listings for compliance to the business tax certificate
requirements. After comparing information in our database any business that is found to be non-
comp!iant with the business license requirement is sent correspondence and a business tax
certificate application package. Once the applicant contacts Cheryl, and it is established that the
business is exempt from the tax, they are instructed to send in documentation substantiating their
claim of tax exempt or non-profit status, along with the $5.00 processing fee, and a tax certificate
is issued to the applicant without payment of the tax as provided by BMC 5.02.060 (E). While a
business may be exempt from the tax, all businesses are charged the $5.00 processing fee. Each
year tax exempt and non-profit organizations are also sent business tax renewal statements, and
the City of Bakersfield is able to maintain compliance from all businesses as required by City
Municipal Code.
cc: Gregory J. Klimko
RECE VEU
- 7 2004
CITY M '- ·
ANAG:R S C?
MEMORANDUM
May 5, 2004
To: Alan Tandy, City Manager
From: Gregory J. Klimko, Finance Director A/~/(
Subject: Parcel Tax /
Shortly after the March 2004 election you requested I research the issue of Parcel Taxes.
If memory serves me correctly this issue was raised by Councilman Hanson.
I spoke to Terry Hicks, California City Finance Director regarding their recent parcel tax
ballot measure. He advised me their election was for an $85 per subdivided parcel
"special tax" requiring a 2/3 vote which failed with a 63.52% yes vote. They plan on
resubmitting the parcel tax for the next election since this revenue represents
approximately 30% of their general fund budget. The resolution and other materials
Terry sent me are attached.
The City of Bakersfield currently has approximately 87,000 taxable parcels. A parcel tax
would generate approximately $870,000 per $10, $1,740,000 per $20 and $2,610,000 per
$30 levy, etc.
The California City parcel tax was a "special tax". I requested the City Attorney's office
research the difference between a "special tax" and a "general tax" since a "general tax"
only requires a majority vote. The City Attorney's office and I agree that the distinction
between the two is the purpose for which the tax is to be levied. A "general tax" must not
state a specific purpose (i.e. public safety, road maintenance, etc) or it would be classified
as a "special tax". A general purpose tax (i.e. replace revenue lost to the State) might be
acceptable and remain classified as a "general tax" requiring only a majority vote. The
California City parcel tax was a "special tax" since the election materials reported the
portion of the $85 to be used specifically for Police, Fire, Parks/Recreation, Streets and
Water lines.
S:\KimG\GregotyXblemo - ATParcelTax-A.doc
To: Alan Tandy, City Manager Page 2
Subject: Parcel Tax
There are several types of taxes which could be levied and depending on the use of the
tax proceeds and information provided to the voters may be a general or special tax.
These include parcel tax, utility user tax, transient occupancy tax, etc. All property tax
measured by the value of the property (Ad Valorem Tax) requires a 2/3 vote. Parcel
tax~s are considered regressive in their nature since the levy is a fixed dollar amount per
parcel regardless of the value of the property.
I did some research regarding a utility tax for comparable purposes only. A 1% electric
and gas utility user tax would yield approximately $2.8 million. This is based on
approximately $280 million gross receipts attributable to the electric and gas sales to
users within the City of Bakersfield by P G & E and Southern California Gas during the
2003 calendar year.
S:\KimG\GregoryWlemo - ATParcelTax-A.doc
Feb 24 04 03:41p Cit~ o~ Calit~or-nia Cit~ 760 373 7532
C'
:
RESOLUTION NO. 10-0~-2082
A RI=SOLUTION OF THE CITY' COUNCIL OF THE
CITY OF CALIFORNIA CITY CALLING A MUNICIPAL
ELECTION TO CONSIDER A SPECIAL TAX MEASURE
AND ORDERING THE CONSOLIDATION OF THE
ELECTION
THE CITY COUNCIL OF THE CITY OF CALIFORNIA CITY RESOLVES as
follows:
1, Purpose.
This Resolution calls an election on a special tax measure and requests
consolidation with other elections hel(J on the same date.
2. Election Call.
A municipal election is called for March 3, 2004, to consider the following
measure:
"Shall a city-wide special tax of $85.00 per lot or parcel be approved for
each of five (5) fiscal years beginning July 1, 2004?"
3. Required Vote.
The measure shall pass if two-thirds of the votes are in favor.
4. Ballot Analysis and Argument.
The City Attorney shall prepare an impartial analysis of the measure. The Mayor
shall prepare an argument in favor of the measure not exceedil~g 300 words in length.
The argument shall be included with other ballot materials. Any person may prepare an
argument against the measure not exceeding 300 words in length. If more than 'one
argument is submitted against the measure, the City Clerk shall select the argument
against the measure to be included with the ballot materials. Rebuttal arguments shall
be permitted.
5. Consolidation.
The Kern County Board of Supervisors an(/the County Clerk of Kern County are
requested to consolidate the municipal election described herein with other elections
held on the same .date.
CC~e~102103cat~SeTa~,20(~.~. Page 1 of 2
Feb 24 04 03:42p Cit~ oF CaliFornia Cit~ ?GO 3?3 ?$32
' ELECTIONs CODE 'SECTION92ig: "Arguments in
aec'hors" h~ ~z~ion of the
Argum=,c t%r Measure
Our Special T~ ~ntinues to be tha me~s for Califo~a City to improve and grow. With
the support ofo~. t~paying citizens, gmat ~tfides have been made in each o'f~e
depaaments receiving Speci~ T~ money. Each dep~ent is adhering to a ~et budget
Our police ~d fi~ protectiun continues to be ~ong the best in Kern Co~ty. ~c
incre~e in ~e water ~ea~ent pl~t capacity h~ been accomplished. This will pe~it
increased building in C~ifomia City ~d is evidenced hy the l~Se number of building
permits issued in the 2003/2004 fiscal ye~. Our next large challenge
replacement of miles of leaky water lines in our ci~.
Street improvement work continues a~d a-schedule for regular street mainten~ce has
been established ~d is now in operation,
The police dcpatment ~d P~ks ~d Recreation Department, is developing a progr~ to
educate our young Deople about the d~ger~ of drug u~e. '
Although city co~cil members and ~e city staff is wor~ng h~d to bring in new
bu~ine~se~ to our city, we do not yet have a business and/or mmmfacturing b~e l~ge
enough to provide the ~ income necessa7 to suppo~ our city depaament needs.
It is vital to our city that we continue the Special T~ that will allow us to continue
improving our city infr~tmcmre.
Ple~e remember ~at rite Citizen's Advisory Committee will continue to mo~tor
receipt and use of all Special T~ Fun~ received hy our city depaamen~s and will report
·eir findings to the public ~d to ~e ci~ council on a semi-~ual basis.
W~ ~SPECTFULLY URGE A YES VOTE OM
COMMITTEE FOR PASSAGE OF MEASURE
C~I~AM ....... Lynda Wilson
Feb 24 04 03:42p Cit~t oF CaliFornia Cit~.l 760 373 753;~
Lemieux
o'N iii
a pmt'~slona! law corpm~tion
~93 [ ownsgate Rd. · Suite 201 · We t Village · California 9136]-2502 ')'el: 805_.0..5.'/49.~.4770, Fax: 80.5 4 ~.7
November 18, 2003
Via Email & U.S. Mail
Helen Dennis, City Clerk
City of California City
21000 Hacienda Boulevard
California City, California 9350,5
RE: Impartial Ballot Analysis
Dear I'Ieleu:
The following i~ our impartial ballor analysis for a special city tax measure for the
City of California City.
If this measure is approved by two-thirds of the voters, the City will be able to levy
a special tax for five years commencing July 1, 2004. The maximum amount of tax
the city can levy is $85 per 1o~ or parcel per year. The City will use proceeds of the
special tax to pay for police, fire and' recreational services, and to repair streets,
parks, sewers and building malntenancc.
We await your questions a.nd.c, omments'
Very truly yours,
LEMIE UX & O'NEILL
Wayne
WKL/Ims
Police $19.55I
Fire $25.50
Park/Rec $8.50J
Speci I T B dget $85 B akdow
mFire
~ Par~Rec
U Streets
~Water Lines
D $8.50
Fa~9 & Rec
~va~r x 42,0~g IQ~ S3.S~O,ooo.on
~ot~ Dep~d~nl(23%) $ ~21,100.00
Fi~ ~Pa~enl (30%) 1,07t ,0~.00
S~;el RepeVs (24%) 856,800.~
W;le~ [~ Re~ammenl (13%) 4~, 100.~
' RECE VED
CITY MANAGER'S
DEPARTMENT OF RECREATION AND PARKS
DATE: May 5, 2004
TO: Alan Tandy, City Manager
FROM: Alan Christensen, Director Recreation and Parks~./
SUBJECT: PROP 40 FUNDS FOR POOLS
Ref000767 (WARD 7)
Councilmember Salvaggio requested staff research the feasibility of applying for Prop 40
funds, or possible other grant resources. To use for opening and maintaining the temporarily
closed pools.
Staff reviewed a variety of grants and their requirements along with Prop. 12 and 40
grants and found they will fund capital related projects that deal with new construction
and the renovation of old facilities, structures and sites only. These funds cannot be
used for "operational related" costs such as; chemicals, small repair parts, painting,
labor, etc. As you are aware there are Community Development funds that can be used
towards operational costs but that is a very small percentage.
Staff will be recommending that a large portiOn of Prop. 40 funds be allocated for the
City to renovate, repair, and reconstruct older pools. Our plan is included in the
proposed CIP budget, which will be presented to the City Council in the upcoming
weeks.
S:\Council Referrals 2003\Ref000767.doc
May 5, 2004 (9:18AM)
CITY MANAGER'S
B A K E R S F I E L D
PUBLIC WORKS DEPARTMENT
CITY OF BAKERSFIELD
MEMORANDUM
May $, 2004
TO: ALAN TANDY, CITY MANAGER
FROM: RAUL M. ROJAS, PUBLIC WORKS DIRECTOR ~ __._~
SUBJECT: GRAFFITI AT VENTURE OUT RV
Council Referral #764
ICouncilmember Salvaggio requested graffiti abatement on the concrete masonry
wall at Panama near Venture Out RV.
The Anti-Graffiti team removed this graffiti on Monday, May 3, 2004.
G:\GROUPDAT~Referrals~004\04-28\764 - GS.doc
RECEIVED ~
B A K E R S F I E L D
PUBLIC WORKS DEPARTMENT
CITY OF BAKERSFIELD
MEMORANDUM
May 6, 2004
TO: ALAN TANDY, CITY MANAGER
FROM: RAUL M. ROJAS, PUBLIC WORKS DIRECi'OR/,,/~ J
SUBJECT: GRAFFITI AGAIN ON SOUTH H & LEMAY
Council Referral #765
Councilmember Salvaggio requested graffiti abatement again on the wall and
redwood fence on South H near Lemay
The Anti-graffiti team removed this graffiti on Monday, May 03, 2004.
G:\GROUPDAT~Referrals~2004\04-28\765 - GS.doc