HomeMy WebLinkAbout120192AM_CCv0002.pdf MINUTES of an adjourned regular meeting of the City Council of the City of Redlands held
in the City Hall Plaza, 15 East Citrus Avenue, Suite 15C, at 9:00 A.M. on
December 1, 1992.
PRESENT Charles G. DeMirjyn,Mayor
Swen Larson, Mayor Pro Tem
William E. Cunningham, Councilmember
Dee Ann Milson, Councilmember
Jim Foster, Councilmember
James D. Wheaton, City Manager
Ronald M. Mutter, Assistant City Manager
Glen Stephens, City Attorney
Lorrie Poyzer, City Clerk
Ted Thomaidis, Redlands Daily Facts
ABSENT None
Wastewater Fund - Norman K. McPhail reviewed his memorandum dated
December 1, 1992, regarding the Integrated Capital Management Program for
the Wastewater Fund making a timely response to the revenue coverage
problem. His memorandum outlined a program to manage wastewater finances,
capital improvement requirements and services charged in a way that would
gradually ramp-up service charge rates over the next few years while
maintaining the fiscal integrity and self-supporting approach for all the City's
enterprise funds. City Attorney Stephens explained the procedure necessary to
comply with the bond requirements.
Councilmember Foster left the meeting at 9:50 A.M. The meeting recessed at
10:10 A.M. and reconvened at 10:20 A.M. at which time Mr. McPhail
addressed Water Division financing issues. Referring to page four of
Mr. McPhail's memorandum which listed elements of the fiscal and capital
management program to accomplish these above noted objectives for all of the
utility funds, Councilmember Cunningham indicated he would not support the
following elements: (1) Wastewater rate study and ordinance adopting a 2-112
year phased rate increase program and a five year rate increase plan in fiscal
year 1993, (2) refund Wastewater COP's in fiscal year 1993, (3) refund Water
COP's in fiscal year 1993, and (6) maintain 39 percent overhead rate charged to
the Wastewater Fund by the General Fund (13.5 percent General Government
Service Charge). Councilmember Cunningham indicated he supported the
following: (4) Establish Separate Utilities Enterprise Fund Cash Pool in fiscal
year 1993, (5) Expedite landfill permit expansion and extension in fiscal year
1993, and (7) Maintain reduced water and wastewater Capital Improvement
Program in 1993 and 1994. He wished to hold off on (8) Provide for
denitrification construction and (9) Provide for East Valley Corridor water
infrastructure. Councilmember Larson indicated his support of Elements 1, 2,
and 3. Elements (10)Provide for drought contingency, (11) Plan the best use of
resources through Water Resources Management Plan and the Water Facilities
Master Plan, (1.2) Plan for costs to meet Radon Rule beginning in fiscal year
1994, (13) Provide for compliance with Surface Water Treatment Rule
beginning in fiscal year 1994, and (14) Meet Air Quality Management District
Rule 110.2 in fiscal year 1995 were discussed but there was no response from
Councilmembers.
Monthly Utilities Billing - Finance Director Chapman reviewed the additional
costs involved in monthly billing/payment for municipal utilities indicating an
estimated $22,000 addition postage and a full-time clerk in the City Treasurer's
Office to handle the additional counter work. He suggested a finance charge of
one to two percent be applied to accounts taking advantage of a monthly
payment.
Councilmembers indicated they wanted to discuss these matters further and
were not ready to take any action today. City Manager Wheaton told
Councilmembers staff needed to know what information they desired.
Councilmember Cunningham wanted to see the impact of a reduction of rates
and Mr. Wheaton referred him to a recent memorandum prepared by the
Utilities Division.
The meeting adjourned at 11:21 A.M. The City Council's next regular meeting
will be held on December 1, 1992,. at 3:00 P.M.
Mayor
ATTEST:
City Clerk
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