Loading...
HomeMy WebLinkAbout02/05/1996 B A K E R S F I E L D d~C~ ~ Patricia J. DeMond,Chair Alan M ~-fiag e~r' Irma Carson Staff: Dolores Teubner Kevin McDermott AGENDA SUMMARY REPORT BUDGET AND FINANCE COMMITTEE Monday, February 5, 1996 12:15 p.m. City Manager's Conference Room 1. ROLL CALL Call to Order at 12:22 p.m. Present: Councilmembers Patricia J. DeMond, Chair; Irma Carson and Kevin McDermott 2. APPROVAL OF THE NOVEMBER 13, 1995 MINUTES Approved as submitted. 3. PRESENTATIONS None 4. PUBLIC STATEMENTS None 5. DEFERRED BUSINESS A. APPROVAL OF MEETING SCHEDULE Approved: APPROVED AS SUB14ITTED I~RCH 11, 1996 ,. FlEE COPY Alan 1~~ M ~~ Patricia J. DeMond, Chair Staff: Dolores Teubnerg ~ Irma Carson Kevin McDermott AGENDA SUMMARY REPORT BUDGET AND FINANCE COMMITTEE Monday, February 5, 1996 12:15 p.m. City Manager's Conference Room 1. ROLL CALL Call to Order at 12:22 p.m. Present: Councilmembers Patricia J. DeMond, Chair; Irma Carson and Kevin McDermott 2. APPROVAL OF THE NOVEMBER 13, 1995 MINUTES Approved as submitted. 3. PRESENTATIONS None 4. PUBLIC STATEMENTS None 5. DEFERRED BUSINESS A. APPROVAL OF MEETING SCHEDULE Approved. ' AGENDA SUMMARY REPORT BUDGET AND FINANCE COMMITTEE Monday, February 5, 1996 Page -2- 6. NEW BUSINESS A. BINGO ORDINANCE 1. PROPOSED ORDINANCE REVISIONS Staff presented information on the proposed revisions to the Bingo Ordinance which were developed to streamline the regulations and cut out redundancy from the application process. The Committee agreed that these revisions were appropriate. 2. REQUEST FROM BAKERSFIELD HIGH SCHOOL BOOSTER CLUB A representative from the BHS Booster Club indicated that they would like to join with two other high school booster clubs to hold bingo at a single location. The Police Department had concerns about having multiple games at the same location. Staff indicated that this was legal under state law as long as the entities holding games were totally unrelated, each held a bingo permit and each entity held only one game per week. Staff also indicated that the bingo game location must also be the location for the organization's administrative offices. It was indicated that the Booster Clubs could fulfill all of these requirements. The Committee was concerned that building landlords could potentially try to charge each tenant the maximum rent allowed under the ordinance and, therefore, less monies would be available for charitable causes. The committee asked staff to make further' revisions to guard against the possibility of this happening and to also include a provision which clearly defined that the organizations must not be related in any way. The Committee requested a memo from staff which outlined the revisions prior to consideration of the complete revised bingo ordinance on the February Council agenda. B. VALLEY COMMUNITIES WATER PROJECT Staff provided a chronology of events on this issue which is attached. VCI is asking for a $90,000 payment for environmental mitigation to the wastewater spreading site it is undertaking to fulfill a State Fish and Game Department requirement. They have asked the City for a revision in the current contract which would allow payment for such work even though the work is not yet completed. VCI indicated that the City should make a good faith effort and pay the funds because of all the funds that VCI has put into the wastewater spreading facility. The Committee was concerned because the original purpose for the trust monies was to pay for a reservoir which has never been built. Staff indicated-that AGENDA SUMMARY REPORT BUDGET AND FINANCE COMMITTEE Monday, February 5, 1996 Page -3- language could be drafted which would amend the contract so that VCI could receive the $90,000, but enable the City to withhold the $27 an acre-foot to VCI through the remainder of the agreement to 2005. The committee asked staff to draft the compromise proposal and bring it back to committee in March. C. CONTRACT PROCEDURES FOR SERVICES UNDER $10,000 Staff made a presentation on this item which would allow contracts under $20,000 to be approved with signature of the department head and the finance director only. The committee expressed concerns that there would be no minimum liability insurance requirements. They were not comfortable with leaving it up to the discretion of the staff. The committee suggested setting a minimum on the amount of liability insurance required which staff could exceed if the nature of the service being provided warranted it. The committee asked that the item be pulled from consideration for second reading on the February 7 Council agenda and be moved to February 21, in order to formulate a policy to deal with the issues in question. D. ICE RINK PROPOSAL The Finance Director presented information on the proposed issuance of tax exempt industrial development bonds for construction of a two-surface ice rink facility on White Lane which is being proposed by a company called Canlan. Representatives of the company were available at the committee meeting to answer questions. The Committee was concerned about insuring that the City's financial reputation would not be affected if a default occurred. Staff indicated that the City would have no legal or moral obligation to repay the bonds if Canlan defaults since the City is just a conduit for the bond issue. The Committee indicated that it was very important for the citizens of Bakersfield to understand that there would be no tax dollars involved in the project and that the City has not and will not play favorites among companies requesting the financing. Therefore, staff was directed to develop guidelines on City involvement in Industrial Development Bonds and for determining what an eligible project is. The policy will be considered at the March Committee meeting and is tentatively scheduled for Council consideration at the March 20 Council meeting along with a Resolution of Intent to issue bonds for this project. 7. ADJOURNMENT The meeting was adjourned at 2:20 p.m. cc: Honorable Mayor and City Council