Agenda

CLOSED SESSION

5:45 p.m. - Executive Conference Room
Level Three

CALL TO ORDER / ROLL CALL - COUNCIL
Mayor Parker called the Closed Session to order at 5:45 p.m., all members were present.

Present:

Parker, Marick, Hupp, Simonoff, Vargas

1.

Public Comment
None.

Closed Session may convene to consider matters of purchase / sale of real property (G. C. §54956.8), pending litigation [G.C.§54956.9(d)(1)], potential litigation [G.C. §54956.9(d)(2)(3) or (4)], liability claims (G. C. §54961) or personnel items (G.C.§54957.6). Records not available for public inspection.

2.

Conference with Legal Counsel - Potential Litigation Pursuant to Government Code Section §54956.9 - One Case - Lagos De Moreno Park/Laurel Elementary Magnet School - City Engineer Kooyman

3.

Conference with City's Labor Negotiator Pursuant to Government Code Section §54957.6 Regarding the Brea Police Association (BPA) and the Brea Police Management Association (BPMA) - Mario Maldonado, Negotiator

4.

Conference with City's Labor Negotiator Pursuant to Government Code 54957.6 Regarding Brea Fire Association (BFA) - Mario Maldonado, Negotiator

5.

Conference with City's Labor Negotiator Pursuant to Government Code §54957.6 Regarding the Brea Management Association (Non-Safety) - Cindy Russell, Negotiator

6.

Conference with City's Labor Negotiator Pursuant to Government Code Section §54957.6 Regarding the Brea City Employees' Association (BCEA) - Mario E. Maldonado, Negotiator

Mayor Parker adjourned the Closed Session at 6:20 p.m.

STUDY SESSION

6:15 p.m. - Executive Conference Room
Level Three

CALL TO ORDER / ROLL CALL - COUNCIL
Mayor Parker called the Study Session to order at 6:25 p.m., all members were present.

7.

Public Comment
None.

8.

Clarify Regular Meeting Topics
Council Member Simonoff inquired as to how the votes for the Public Hearing items will be taken.

Council Member Hupp inquired about the pending Cal Domestic item and when it will be brought back for Council discussion. Council Member Hupp also requested Item 29, approval of the Fiscal Year 2018-19 Property Tax Rate to Fund the City Paramedic Program, be pulled from the Consent Calendar for separate discussion.

Council Member Vargas requested information relating to the job description of the EMS Manager position, as it relates to Agenda Item 29. Council Member Vargas also inquired about Item 35, Brea Towing Services, LLC to Provide Official Police Towing Services, and the existing contract and proposed duration of the new agreement.

Council Member Vargas and Council Member Simonoff requested that Item 35, Brea Towing Service, LLC to Provide Official Police Towing Services, come back to Council after four (4) years for an informational update.

DISCUSSION ITEMS

9.

Designate Voting Delegate and Alternative for League of California Cities Annual Conference September 12 – 14, 2018 in Long Beach
This item was continued to the second meeting in July.

10.

Planning Commission Resignation and Recruitment Process
The City Council accepted the resignation of Planning Commission Chair Arthur Willis effective June 5, 2018 and designated Council Member Vargas and Mayor Pro Tem Marick to serve as the Interview Committee.

Council Member Hupp requested that the nomination and appointment process be agendized for discussion at a future meeting.

11.

Comprehensive Annual Financial Report for the City of Brea for Fiscal Year Ended June 30, 2017
Administrative Services Director Russell provided a brief report on the item, noting that the annual audit has been completed by the City's independent auditor and the Comprehensive Annual Financial Report (CAFR) has been issued for the Fiscal Year end June 20, 2017.

Council Member Hupp inquired about the auditor's interpretation of water rights versus water stock.

City Attorney Markman noted that preferred stock is a form of water right.

Mayor Pro Tem Marick noted that bank reconciliations should be done in a timely manner.

Mayor Parker requested that a report come back to Council addressing the progress on implementation of each internal control recommendation along with periodic feedback.

Council Member Vargas inquired on any change in value with regards to the change in category from water shares to water rights.

REPORT

12.

Council Member Report
Mayor Pro Tem Marick reported attending the Waste Management Commission meeting, where a presentation was given about the upcoming SB1383 regarding household waste sorting to reduce emissions.

Mayor Parker adjourned the Closed Session at 6:52 p.m.

GENERAL SESSION
7:00 p.m. - Council Chamber
Plaza Level

CALL TO ORDER/ ROLL CALL - COUNCIL
Mayor Parker called the General Session to order at 7:00 p.m., all members were present.

13.

Pledge of Allegiance:
Girl Scout Independents led the Pledge of Allegiance.

14.

Invocation:
Rick Darden, Friends Community Church, delivered the invocation.

15.

Report - Prior Study Session
City Manager Gallardo reported that Item No. 9, Designate Voting Delegate and Alternate for League of California Cities Annual Conference, will be continued to a future meeting. City Manager Gallardo also reported that with regards to Item No. 10, Planning Commission Resignation and Recruitment Process, Mayor Pro Tem Marick and Council Member Vargas were appointed to serve on the selection committee, noting that the recruitment period is currently open and will close on June 22nd. He stated that Council asked several questions with regards to Item No. 11, Comprehensive Annual Financial Report for the City of Brea Fiscal Year Ending June 30, 2017, and noted that a follow-up report on the internal control recommendation made by the City's independent auditors will be brought to the Council in the future.

16.

Community Announcements
Council Member Simonoff announced that the free Concerts in the Park will take place at City Hall Park starting on July 11 and will run every Wednesday at 6:30 p.m., until August 15. Visit BreaSpecialEvents.com for more information.

Council Member Hupp announced that Family Films and Concerts in the Park will run every Friday starting at 8 p.m. at Arovista Park, beginning on June 22 until July 27. She also encouraged the community to protect their citrus trees from HLB, an incurable disease that kills citrus trees. HLB is caused by a tiny insect no bigger than a grain of rice known as the Asian citrus psyllid. This insect feeds on citrus leaves and stems, which can infect citrus trees with the bacteria causing HLB. Residents may call the state’s pest hotline at (800) 491-1899. For more information, visit CaliforniaCitrusThreat.org.

Mayor Parker announced that the City of Brea is accepting applications for an unscheduled vacancy on the Planning Commission. The Planning Commission’s primary function is to study proposed developments that may have an impact on the community’s growth and environment. Applications are available at CityofBrea.net and at the City Clerk’s Office.

Mayor Pro Tem Marick announced that the 39^th Annual County Fair is quickly approaching next month on the 4^th of July. The exciting festivities will be held at City Hall Park opening with Kiwanis Pancake Breakfast at 7:00 a.m. followed by the Brea Ministerial Association Morning Service. The fair opens at 9:00 a.m. and will run until 3:00 p.m. Admission is free. For more info visit BreaSpecialEvents.com.

Council Member Vargas reminded the community that the the City wants to see how you show your “Small Town, Big Spirit.” For those involved in making a difference in the community, the Council want to thank you for all that you do. The goal is to show appreciation for the unsung heroes of our community. Show your Brea Spirit by sending a photo to BigSpirit@cityofbrea.net by October 1, with a brief caption. Photos will be displayed at a Brea City Council meeting and posted on the website toward the end of the year.

17.

Matters from the Audience
Craig Sheets spoke regarding meth labs, Orange County jails and cats.

Don Parker spoke regarding the Paramedic Tax.

Sean Thomas expressed concern about the Paramedic Tax, spoke about the Father's Day party at the Brea Senior Center and the Car Show. He also spoke about transparency.

Dwight Manley spoke about the success of the Car Show, Brea Improv, the pending opening of Pizza Press and Copper Blues. He also spoke about the Paramedic Tax and the Records Retention policy.

Keith Fullington spoke about parking in the Downtown area and SB54.

18.

Response to Public Inquiries - Mayor / City Manager
City Manager Gallardo noted that a brief presentation will be given by Fire Chief Knabe prior to Agenda Item No. 29, Approval of Fiscal Year 2018-19 Property Tax Rate to Fund the City Paramedic Tax Program. He also noted that the Brea Downtown Owners Association currently holds a contract with the Valet operator, and that the City will verify the proper use of the first floor of the parking structure.

City Manager Gallardo, Mayor Pro Tem Marick, Council Member Hupp and Mayor Parker also clarified the action that the Council took at their previous meeting regarding SB54.

City Attorney Markman updated the Council on the status of pending court cases related to SB54.

PUBLIC HEARINGS FOR THE CITY COUNCIL, SUCCESSOR AGENCY TO THE BREA REDEVELOPMENT AGENCY, BREA PUBLIC FINANCING AUTHORITY, BREA COMMUNITY BENEFIT FINANCING AUTHORITY, MIDBURY ASSESSMENT AUTHORITY AND INDUSTRIAL DEVELOPMENT AUTHORITY

Mayor Parker and City Attorney Markman stated that Agenda Items 19-24 will be heard as one consolidated public hearing presentation.

19.

Public Hearing to Consider the Adoption of the City of Brea FY 2018-19 Operating Budget
Administrative Services Director Russell presented the details of the item including the budget process, economic outlook, budget assumptions, five year projections, what is included in the budget, what is new and different in this year's budget, other considerations, Successor Agency Budget, FY 2018-19 Public Financing Authority and the FY 2018-19 Midbury Assessment Authority Budget.

City Engineer Kooyman presented the details of the Seven-Year Capital Improvement Program including addressing goals, CIP categories, significant projects completed, significant projects under construction/going into construction and the Fiscal Year 2018-19 summary of expenditures by fund.

Council inquired on CBED fund use, contingency plans for funding, other sources of General Fund revenues and budget assumptions.

Mayor Parker opened the public hearing. Seeing no one wishing to address the Council, Mayor Parker closed the public hearing.

Mayor Parker requested that the Council discuss and vote on each budget individually.

Mayor Pro Tem Marick thanked Administrative Services Director Russell and stated that, in the future, the process of affirmation for each item be discussed at the meeting prior to the budget adoption hearing.

Council Member Hupp inquired on automatically adjusted user fees. In response to Council Member Hupp's inquiry, Administrative Services Director Russell indicated that the item will be brought to Council for approval, and there will be no automatic escalator.

Council Member Hupp inquired as to the categorization of franchise fee for trash collection. In response to Council Member Hupp's inquiry, Administrative Services Director Russell explained that the franchise fees were in an enterprise fund, and whatever was not used to offset cost of refuse collection and street sweeping is sent to the General Fund.

Council Member Hupp inquired as to figures for false alarm permits. In response to Council Member Hupp's inquiry, Chief Conklin provided a breakdown of residential and commercial false alarm figures and fines.

Council Member Simonoff and Mayor Pro Tem Marick commented on the budget process and five-year projections.

Council Member Vargas inquired as to the total percentage of salaries and benefits in correlation to the entire operating budget for the City and the Community Services revenues in correlation to the cost recovery for the programing. In response to Council Member Vargas' inquiry, Administrative Services Director Russell indicated that the cost recovery for Community Services programming is about 45% of their total budget.

Motion was made by Council Member Hupp, seconded by Council Member Simonoff to receive public input on the Fiscal Year 2018-19 Proposed Operating Budget as presented in the Fiscal Year 2018-19 Proposed Operating Budget document; and adopt Resolution No. 2018-038 approving the Fiscal Year 2018-19 Operating Budget and appropriating funds for the City of Brea Fiscal Year 2018-19 Operating Program. Expenditures for all funds which make up the Fiscal Year 2018-19 Operating Budget total $94,924,532

AYES:	Mayor Parker, Mayor Pro Tem Marick, Council Member Hupp, Council Member Simonoff, Council Member Vargas
Passed

20.

Capital Improvement Program Budget For Fiscal Year 2018-2019
The Council adopt Resolution No. 2018-039 for the Capital Improvement Program (CIP) Budget for FY 2018-2019 as presented in the proposed Seven-Year CIP document.

21.

Public Hearing to Consider Adoption of 2018-19 Operating Budget for the Brea Public Financing Authority
The Authority adopted Resolution No. A-2018-01 appropriating funds for the Brea Public Financing Authority 2018-19 Operating Budget, as presented in the 2018-19 Proposed Budget document. The fiscal impact for the Brea Public Financing Authority Operating Budget for 2018-19 is $4,207,400 which include bonds interest and bond principle.

22.

Public Hearing to Consider Adoption of 2018-19 Operating Budget for the Brea Community Benefit Financing Authority
The Authority adopted Resolution No. BCBFA 2018-01 appropriating funds or the Brea Community Benefit Financing Authority 2018-19 Operating Budget, as presented in the 2018-19 Proposed Budget document. The fiscal impact for the Brea Community Benefit Financing Authority Operating Budget for 2018 is $4,207,400.

23.

Public Hearing to Consider Adoption of 2018-19 Operating Budget for the Midbury Assessment Authority Commission
The Authority adopted Resolution No. M-2018-01 appropriating funds for the Midbury Assessment Authority Commission 2018-19 Operating Budget, as presented in the 2018-19 Proposed Budget document. Expenditures which make up the Fiscal Year 2018-19 Operating Budget total $6,580.

24.

Public Hearing to Consider the Adoption of the Successor Agency to the Brea Redevelopment Agency 2018-19 Operating and Capital Improvement Program Budget
The City Council (as Successor Agency): adopted Resolution No. SA 2018-04 appropriating funds for the Successor Agency to the Brea Redevelopment Agency 2018-19 Proposed Operating Program Budget. The fiscal impact for Fiscal Year 2018-19 is $22,107,355.

Motion was made by Council Member Hupp, seconded by Council Member Simonoff to approve Public Hearing Items 20-24.

AYES:	Mayor Parker, Mayor Pro Tem Marick, Council Member Hupp, Council Member Simonoff, Council Member Vargas
Passed

25.

Public Hearing to Consider Resolution Increasing Existing Fees for Special City Services
Administrative Services Director Russell provided a presentation of this item including existing user fees and new user fees.

Community Development Director Crabtree added that this system is a new and different means of streamlining business for the City's customers, as it has been requested; and noted that this is something that other cities are implementing and can be looked at wholly as part of the development user fees item.

Council discussed efficiency, hearing the fees separately versus together, affordability of living in the City, cost recovery and alarm permit fees.

Mayor Parker opened the public hearing.

Dwight Manley spoke regarding the technology fee, development costs and the development-related fee study.

Debbie Lewis requested clarification on recommendation for fee increases, spoke regarding the permitting process and doing business online.

Bill Hall requested clarification on the scheduling of the public hearings, complemented the ease of finding the agenda items online, spoke regarding estimated revenues as a result of the fee adjustments and technology.

Sean Thomas spoke regarding staffing and service levels as it relates to technology and affordable housing.

Noting no other members of the public wishing to address the Council, Mayor Parker closed the public hearing.

City Manager Gallardo explained the measures the City is taking to restructure and evaluate staffing levels.

The Mayor, with Council concurrence, deferred this public hearing to a future meeting date.

CONSENT CALENDAR - The City Council/Successor Agency approves all Consent Calendar matters with one motion unless Council/Agency or Staff requests further discussion of a particular item. Items of concern regarding Consent Calendar matters should be presented during “Matters from the Audience."

CITY COUNCIL - CONSENT

Fire Chief Knabe provided a brief report on Consent Calendar Item No. 29, Approval of the Fiscal Year 2018-19 Property Tax Rate to Fund the City Paramedic Program, including history of the item, the breakdown of staffing and services provided.

26.

June 5, 2018 City Council Regular Meeting Minutes
The City Council approved the June 5, 2018 City Council regular meeting minutes, as presented.

27.

City Internet Bandwith Upgrade
The City Council authorized staff to upgrade the existing internet service to 250 Mbps. The reduced rate will be $30,739.20 plus a one-time installation fee of $750.

28.

Renew Measure M (M2) Eligibility Submittal Package for Fiscal Year 2018-19
The City Council adopted Resolution No. 2018-041 authorizing the submittal of Renewed Measure M Eligibility package to Orange County Transportation Authority (OCTA).

29.

Approval of the Fiscal Year 2018-19 Property Tax Rate to Fund the City Paramedic Program
The City Council adopted Resolution No. 2018-042 authorizing the tax levy; and authorized staff to discuss at a future public meeting the Paramedic Service Program costs based upon a reasonable cost allocation methodology. Other revenue sources include pass-thru revenue received for Advanced Life Support (ALS) Ambulance transport services as well as revenue received from the City of Fullerton for Fire Command Staff Sharing of the EMS Manager position. The City of Fullerton reimburses the City of Brea for 59% of the position.

30.

Comprehensive Annual Financial Report for the City of Brea for Fiscal Year Ended June 30, 2017
The City Council received and filed the City's Comprehensive Annual Financial Report (CAFR) for the Fiscal Year ended June 30, 2017, which includes the independent Auditor's unmodified opinion.

31.

Approval of the Fiscal Year 2018-19 Appropriations Limit
The City Council adopted Resolution No. 2018-043 approving the Fiscal Year 2018-19 appropriations limit.

32.

Laurel Elementary Magnet School/Lagos de Moreno Park Upgrades, Project 7929
The City Council adopted Resolution No. 2018-044 to appropriate an additional $480,000 from the Park Development Fund (Fund 250) for project construction engineering and administration.

33.

Amend Resolution 2008-56 Updating the Foreign Language Policy
The City Council adopted Resolution No. 2018-045 updating the Foreign Language Policy Only.

34.

Purchase of Utility Terrain Vehicle
The City Council approved the purchase of a Utility Terrain Vehicle. The total cost including sales tax of $2,247.75 is $31,251.00. Donations of $17,000 have been received by the Fire Department, with an additional $14,251 recommended to be used from projected Fire Department budgeted savings this fiscal year.

35.

Brea Towing Services, LLC to Provide Official Police Towing Services
The City Council approved the agreement with Brea Towing for a four-year term with an option for an additional two-year extension. Yearly expenditures fluctuate based on the number of incidents requiring the impoundment of vehicles and the length of impoundment necessary for investigative purposes.

36.

June 8 and 15, 2018 City Check Registers
Receive and file.

ADMINISTRATIVE ANNOUNCEMENTS

37.

City Manager
None.

38.

City Attorney
None.

COUNCIL ANNOUNCEMENTS
Council Member Hupp reported participating in the Brea Education Foundation Golf Tournament.

Mayor Parker commented positively on the new Brea Improv, noting it is now the largest theater facility in the City.

ADJOURNMENT
Mayor Parker adjourned the General Session at 9:21 p.m.

Print Minutes Return
BREA CITY COUNCIL SUCCESSOR AGENCY TO THE BREA REDEVELOPMENT AGENCY MEETING MINUTES June 19, 2018