ANAHEIM CITY COUNCIL
REGULAR MEETING OF MARCH 1, 2022
The regular meeting of March 1, 2022 was called to order at 3:01 P.M. in the Council Chamber of Anaheim City Hall, located at 200 S. Anaheim Boulevard. The meeting notice, agenda, and related materials were duly posted on February 24, 2022.
MEMBERS PRESENT: Mayor Harry Sidhu and Council Members Trevor O’Neil, Jose Diaz, Gloria Ma’ae, and Stephen Faessel. Council Member Avelino Valencia joined the meeting at 3:27 P.M.
MEMBERS ABSENT: Council Member Jose F. Moreno
STAFF PRESENT: City Manager Jim Vanderpool, City Attorney Robert Fabela, and City Clerk Theresa Bass
WORKSHOP: Mid-Year Budget Workshop
Mayor Sidhu noted how well the City has recovered financially from the pandemic.
City Clerk Theresa Bass announced there was a technical difficulty with the televised feed of the meeting but stated it was presently being broadcast on the City’s website, permitting community access.
Finance Director Deborah Moreno reported the adopted Fiscal Year 2020/2021 (FY 20/21) budget included $1.7 billion in expenditures with 43% coming from Enterprise Funds. She added the majority of the non-restricted funds come from the General Fund, which accounts for 18% of the budget. She noted the General Fund closed FY 20/21 slightly higher than projected due to the Anaheim Resort reopening in April, leading to an increase over projections of $5,500,000 in Transient Occupancy Tax (TOT) and $8,500,000 in Sales Tax. She added only $34,000,000 in bond proceeds were needed in FY 20/21 despite a projection of $130,000,000. She noted the American Rescue Plan Act (ARPA) brought $107,000,000 to the City to replace revenue lost during the pandemic with half of the $107,000,000 counting towards FY 20/21.
Ms. Moreno highlighted approximately 20 neighborhood benefits and services the City provides for its residents, led by the formation of the Community Care Response Team (CCRT) to work with the homeless and provide relief to the Anaheim Police Department (APD).
Ms. Moreno reported the adopted FY 21/22 budget includes $1.8 billion in expenditures with 40% coming from the Enterprise Funds. She added the majority of the non-restricted funds come from the General Fund, which accounts for 21% of the budget. She stated the $444,800,000 General Fund draws 63% of its revenues from the “big three” taxes of TOT (24%), Property Tax (20%), and Sales Tax (19%). She added the $444,800,000 of General Fund uses are highlighted by personnel services, which account for 61%.
Ms. Moreno focused on the $107,900,000 in budgeted TOT revenues for FY 21/22 and reported that December 2021 was the best TOT month in Anaheim’s history. She added the City could expect to see above-average TOT figures for the rest of the year and has based its projections for the remainder of FY 21/22 following normal pre-pandemic revenue patterns. She reported the City is now projecting FY 21/22 TOT collections at $167,300,000.
ITEM # 11
City Council Minutes of March 1, 2022
Ms. Moreno reported the adopted FY 21/22 budget anticipated $83,100,000 in Sales Tax but this figure now projects to $90,000,000. She added the FY 21/22 budget anticipated $89,400,000 in Property Tax and this is projected to be an accurate figure. She added the growth in Property Tax has been between 4-6% in recent years, well over the statutory increase threshold of 2%.
Ms. Moreno reported the General Fund sees 84% of its funding go towards services, including salaries and operating expenses. She added debt service accounts for 14% of the General Fund’s expenses. She added 65% of the services funding goes towards keeping the City safe.
Ms. Moreno reported the City is now expecting a surplus of $43,000,000 in FY 21/22 in part due to the TOT increases and ARPA funds. She added the City remains cautious partly due to the potential impacts on tourism of the geopolitical conflict in Ukraine. Should this surplus materialize, she recommended one-time investment possibilities for the surplus of $10,000,000 each towards community improvements, deferred maintenance of municipal facilities, and either debt repayment or reserve replenishment. She reviewed the timeline for adopting the FY 22/23 budget.
DISCUSSION: In response to Mayor Sidhu’s inquiries, Ms. Moreno confirmed the TOT is expected to generate $60,000,000 more than the adopted budget’s estimate. She clarified staff would make further recommendations based on how things progress through the end of the Fiscal Year relative to the pandemic and geopolitical conflict. She added staff is being cautious because nine months do not make a complete year. She confirmed the $30,000,000 recommendation on surplus reallocations is based on the current projections but added the exact figure could change by the end of the Fiscal Year. She clarified the $92,600,000 projection for reserves is based upon having the current surplus of $43,000,000 and not reallocating any of it elsewhere. She added after the recommended three $10,000,000 one-time reinvestments, the remaining $13,000,000 could be used at Council’s discretion.
Mayor Sidhu credited the record visitor levels to Anaheim Resort to the Council helping keep Visit Anaheim in business through its investment.
Council Member Faessel stated it has been a tough two years and credited the Community Services Department for its work serving as the face of the City during the pandemic. He stated the residents view their government through the lens of public safety, public works, parks, libraries, and services.
He commended Director of Public Works Rudy Emami for the work staff has done on City streets while maximizing every dollar. He encouraged the City’s financial staff to focus on how the residents view the City as a service organization while working on the budget.
Council Member Valencia appreciated the news of having a surplus. He echoed Council Member Faessel’s call to focus on public safety, services, and resident amenities when managing the surplus.
He also encouraged directing some of the surplus to quickly repaying the City’s bond debts to help lessen future interest payments.
Council Member O’Neil stated the numbers are encouraging, including having the best TOT month ever. He thanked all the City staff who helped weather the pandemic.
In response to Council Member O’Neil’s inquiries, Ms. Moreno confirmed the City is $71,000,000 over its estimate for operating sources. She confirmed this makes a revenue assumption through the end of the Fiscal Year. She clarified there is a $71,000,000 overage in operating sources but also an increase in the expected operating uses, leading to the $43,100,000 total surplus projection. She clarified $43,100,000 is how far ahead of the initial projection the City expects to ultimately be.
City Council Minutes of March 1, 2022
In response to Council Member O’Neil’s inquiries, Ms. Moreno clarified the City has only used $34,000,000 of the $130,000,000 it recently borrowed. She added they anticipated using about $50,000,000 in FY 21/22. She stated the remaining money is sitting in the bank and available to use for future years’ deficits. She added FY 21/22’s revenues have increased faster than expected but there are still deficits projected for future years. She clarified the only reason the City has a surplus for this year is the ARPA money. She stated it is less costly to repay the bonds after 10 years but there are call provisions allowing for an earlier repayment based upon the Resort bond repayment schedule.
Council Member O’Neil agreed with Council Member Valencia on prioritizing repayment of the City’s borrowed money. He also expressed support for using it on community improvements, deferred maintenance, and adding to reserves including the Section 115 Trust Fund.
Council Member Diaz recalled the budget presentation a year ago was somber and credited great decisions for getting to this point, including not laying off City employees. He stated decisions to help the tourism industry are to be thanked for the strong recovery. He added having a debt service of only 14% is good but stressed it should not be neglected. He expressed support for spending the surplus on the community as Ms. Moreno suggested. He encouraged Council to think about Beach Boulevard in District 1.
Mayor Sidhu stated Beach Boulevard is moving forward.
Council Member Ma’ae reported since joining the Council she hears often about public safety and homelessness. She noted the City did not layoff any staff during the pandemic, which Mayor Sidhu confirmed. She thanked all of the departments in preparation for the budget and their continued efforts through the pandemic. She thanked Council for its stewardship of the City through historically difficult times.
In response to Mayor Sidhu’s inquiries, Ms. Moreno confirmed this is the final ARPA payment. She confirmed the City has spent $34,000,000 of the $130,000,000 the City borrowed last year. She confirmed the City is earning interest on the remaining funds. She stated when staff returns to Council to discuss the FY 22/23 budget there would be an updated five-year projection of future debts and how to best use the remaining borrowed funds. She stated the City has repaid all of its callable bonds. She stated the City has budget deficits in the forecast for the next few years. She added the City only has a surplus this year due to the ARPA funds. She stated her expectation the coming years would not see the same dramatic growth rate as FY 21/22.
Mayor Sidhu commended all department heads for managing their expenses leading to the surplus.
He agreed with Council about supporting the three proposed $10,000,000 uses for the surplus and requested the City Manager formalize the one-time investments.
ADDITIONS/DELETIONS TO CLOSED SESSION: None
PUBLIC COMMENTS ON CLOSED SESSION ITEM: None
City Council Minutes of March 1, 2022
CLOSED SESSION: At 3:59 P.M., Mayor Sidhu recessed to closed session for consideration of the following:
1. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
(Subdivision (d)(1) of Section 54956.9 of the California Government Code) Name of Case: Santiago Geologic Hazard Abatement District v. City of Anaheim; Orange County Superior Court Case No. 30-2021-01203933 (and related JAMS arbitration proceeding, Case No. 1200059076)
At 5:02 P.M., Mayor Sidhu reconvened the City Council.
MEMBERS PRESENT: Mayor Harry Sidhu and Council Members Trevor O’Neil, Jose Diaz, Gloria Ma’ae, Avelino Valencia, and Stephen Faessel
MEMBERS ABSENT: Council Member Jose F. Moreno
City Clerk Theresa Bass announced there continued to be a technical difficulty with the televised feed of the meeting but stated it was presently being broadcast on the City’s website, permitting community access.
INVOCATION: Pastor James Bove, Calvary Chapel Anaheim FLAG SALUTE: Mayor Pro Tem Trevor O’Neil
Presentation: Presentation by the Cypress College Foundation Cypress College Foundation Executive Director Howard Kummerman recognized Anaheim resident Stephen Sain as one of its Citizens of the Year. Mr. Sain spoke of his many charitable endeavors in the City including his work with the Anaheim Community Foundation.
ADDITIONS/DELETIONS TO THE AGENDAS: None
PUBLIC COMMENTS (all agenda items, except public hearing):
City Clerk Theresa Bass reported that a total of 15 public comments were received electronically prior to 5:00 P.M. related to City Council agenda items and matters within the jurisdiction of the Anaheim City Council. [A final total of 15 public comments were received electronically, distributed to the City Council, and made part of the official record]. – See Appendix.
Prior to receipt of public comments, an outline of rules for public comments and a brief decorum statement was provided by Ms. Bass.
Aida Garcia commended the Meals on Wheels program and invited the program to assist the homebound elderly at Rancho La Paz Mobile Home Park. She stated the October 2019 rent stabilization law does not apply to mobile home owners. She requested Council consideration of a multi-purpose center in the City in District 3. She stated half of the City’s population is over 50 years of age with many of them being over 60 years of age. She requested Council consider a rent stabilization ordinance.
City Council Minutes of March 1, 2022
Paul Hyek stated churches should be allowed to help house up to 12 homeless per church without a Conditional Use Permit. He stated shelters should be walk-in, walk-out. He reported there is difficulty in finding housing for people on probation. He criticized Mercy House and believed the homeless should run the shelter and stated he would make the same suggestion at the next Orange County Board of Supervisors meeting.
Mark Richard Daniels reported the Western High School boys’ basketball team won the California Interscholastic Federation (CIF) championship. He thanked those who helped him move from Beach Boulevard to the Lexington Courtyard Apartments, an old hotel converted to apartments by the City.
He questioned why Council did not agree with Council Member Moreno to address the public safety issue of street racing, noting people have been killed street racing in other cities. He encouraged the Council to embrace public safety and questioned if they did not support the discussion only because it was Council Member Moreno’s suggestion. He thanked Council Member Valencia for being the only one to side with Council Member Moreno on his call for a Council discussion about street racing.
Fred Sigala Jr. condemned the process behind the City’s agreements with the Los Angeles Angels and how they have since been handled. He criticized Mayor Sidhu for appointing himself as the sole negotiator and stated it has raised suspicions. He stated giving the Angels exclusive rights is evidence of how Mayor Sidhu is a bad negotiator. He noted the Angels’ role in the City’s political process and theorized about things that could go on behind closed doors. He stated Anaheim Hotel bartered to get Council Member Ma’ae seated on the Council. He stated there might be corruption or foolishness and naivety. He stated the City has already lost a lot through Angel Stadium’s low sale price and could lose even more with the looming potential State fine. He stated the sale is a massive failure for the City and called for a better way forward.
Vance Dizney proposed an adjustable center wall for the City’s freeways allowing for better flow of traffic in certain directions at certain times of the day and presented designs of his proposal.
Vern Nelson stated the Angel Stadium deal was Mayor Sidhu’s payback to Angels owner Arte Moreno for helping to get him elected by just over 400 votes. He stated that Anaheim voters should know in this election year the deal was a quid pro quo. He noted everyone on the Council, except for former Mayor Tom Tait, supported the proposed 2013 lease of the stadium land for $1, helping him to a 2014 reelection victory. He added the Angels predictably remained in Anaheim despite the $1 lease not being approved but then falsely threatened to move just before the 2018 election to help gain support for Mayor Sidhu. He alleged Mayor Sidhu was not even able to get the team to change its name back to the Anaheim Angels because of his political debts to Mr. Moreno.
Mike Robbins stated the City is over $1 billion in debt while other area cities are prospering. He stated Anaheim’s voters were paid up to $150 per vote to elect corporate puppets. He believed the dais was corrupt, morally vacant, and beholden to outside interests who do not care about good schools, proper safety services, or a nice park because they do not live in the City. He stated the Council Members are supposed to be the chosen delegates of Anaheim and not representatives of special interests.
Jeannine Robbins stated the recent invasion of Ukraine makes it clear what constitutes a democracy and a dictatorship and believed Anaheim is a dictatorship. She stated Mayor Sidhu’s behavior has surpassed even that of former Council Members Jordan Brandman, Lucille Kring, or Council Member Kris Murray. She stated residents are embarrassed by Mayor Sidhu and also by having to justify why he is their Mayor. She stated he would someday end up in jail with his cohorts. She criticized his condescending attitude, arrogance, and pompous tone towards Council Member Moreno. She noted City Council Minutes of March 1, 2022
he regularly refers to the police, City staff, and the City Attorney as if they belong to him and added that residents despise him.
Wes Jones expressed his disappointment that Council Member Moreno could not get a third Council Member to agree to agendize the street racing issue for a Council discussion. He thanked Council Member Valencia for his second. He added needing a third is a trick created by Mayor Sidhu’s boss, former Mayor Curt Pringle, to help stop Council Member Moreno and former Council Member Denise Barnes. He stated needing a third is done to disenfranchise residents. He reported Council Members Diaz and Ma’ae both told him directly that the Anaheim Police Department (APD) is on top of the street racing issue but added they fail to realize what agendizing means in terms of bringing the public together. He expressed hope that blocking everything Council Member Moreno attempts to agendize does not continue.
Bob Donelson agreed with the previous speakers and encouraged all Anaheim voters to look at the money given to the Mayor and Council Members as political donations going back to their donors as City dollars. He stated the Council was not honorable in undervaluing the Angel Stadium deal to help make Mr. Moreno billions of dollars. He encouraged residents to vote against everyone up for reelection because the replacements could not be any worse. He disagreed with their treatment of Council Member Moreno and ignoring differing opinions. He noted how that many of Council Member Faessel’s viewpoints have changed since Mayor Sidhu’s election and added he has no respect for Council Member Faessel’s flip-flopping. He stated his surprise that so many taxpayer dollars going back to political donors is not criminal.
David Klawe thanked everyone on the Council who came to the Anaheim Youth Center on February 22 for the Rebuild Beach presentation. He noted the progress of developments along the Beach Boulevard corridor, like 39 Commons along with an increased, proactive APD presence. He gave special thanks to APD Sergeant Brian Paqua for all he and his team do for west Anaheim. He commended the community’s attendance at the meeting and its ability to offer help on the matter.
Cecil Jordan Corkern reported he has been studying security at Disneyland, alleged there is pornography on the Disney Junior television network, and reported meeting Walt Disney at Kohl’s on December 16, 2019. He requested Council Member Valencia’s cellular telephone number so they could discuss his research. He stated he is waiting for Council to get rid of the prostitution and drugs from the motels on Beach Boulevard and added there is a problem with the homeless at the intersection of Lincoln Avenue and Beach Boulevard.
Junior Tauvaa, Chief Sales Officer at Visit Anaheim, reported the Natural Products Expo West convention, the City’s largest since the pandemic started, would be held in March bringing over 60,000 people with $145,000,000 in economic impact, including $2,000,000-$3,000,000 in TOT. He added the City would host four other conventions in March, generating a combined $250,000,000 in economic impact. He thanked Council for its support, allowing the tourism business to return so strongly.
Bryan Kaye noted Mr. Daniels finally found a home and how Mr. Daniels immediately thanked the City offering the Council deserved praise but added it does not take away from the Council’s wrongdoings. He stated the City recently celebrated Black History Month and the Holocaust but continues to stand by the APD when one of its officers hurled racial insults at him. He stated Council has an opportunity to improve the APD.
City Council Minutes of March 1, 2022
Kenneth Batiste clarified he has nothing personally against Mayor Sidhu but instead with what he represents. He stated Disneyland is a good company but not for the residents. He believed Mayor Sidhu takes from the poor and gives to the rich, amassing $1.5 billion in debt and believed someone has to rub Mayor Sidhu’s palm to get anything built in the City. He encouraged residents to remember Mayor Sidhu allowed their neighborhoods to deteriorate.
Rebecca Kovacs-Stein spoke on behalf of Rancho La Paz resident Lupe Ramirez noting Council shifted the responsibility to the State to help enact rent controls in mobile home parks while most of the Council Members took campaign donations from the owner of Rancho La Paz whose senior citizen residents struggled and even died. She stated Council did not care about the residents. She reported the State saved them from becoming homeless while Mayor Sidhu only has businesses and campaign contributions in mind. She called for help from the State again to help block the sale of Angel Stadium.
CITY MANAGER’S UPDATE:
City Manager Jim Vanderpool reported the Central Community Policing Team attended a Neighborhood Watch meeting at the Lakeview Townhome Association, attended by approximately 30 residents, and discussed issues of concern around the neighborhood.
Mr. Vanderpool also announced the first class of the Public Awareness through Citizen Education (PACE) was held this week and noted this was the 43rd time the program had been provided by the Police Department. He encouraged the public to find more information on the City’s website under the Police Department tab.
CONSENT CALENDAR: At 6:03 P.M., the Consent Calendar was considered.
MOTION: Mayor Pro Tem O’Neil moved to waive reading of all ordinances and resolutions and adopt the balance of the consent calendar, in accordance with reports, certifications, and recommendations furnished each City Council Member and as listed on the consent calendar, seconded by Council Member Faessel. ROLL CALL VOTE: AYES – 6 (Mayor Sidhu and Council Members O’Neil, Diaz, Ma’ae, Valencia, and Faessel); NOES – 0; ABSENT – 1 (Council Member Moreno). Motion carried.
1. Receive and file minutes of the Library Board meeting of January 10, 2022 and the Public Utilities Board meeting of January 26, 2022.
2. Approve proclamation recognizing Meals on Wheels Orange County and their 50 years of the National Senior Nutrition Program.
3. Award the construction contract to the lowest responsible bidder, Arnaz Engineering Contractors, Inc., in the amount of $687,400, for the Miscellaneous Water Vault Nos. 26, 33, and 55 Rehabilitation/Abandonment Project; authorize Director of Public Works to execute the contract and related documents and to take the necessary actions to implement and administer the contract; determine the project is categorically exempt from the California Environmental Quality Act pursuant to Sections 15301(b), 15302(c), and 15303 of Title 14 of the California Code of Regulations; and authorize the Finance Director to execute the Escrow Agreement pertaining to contract retentions.
City Council Minutes of March 1, 2022
4. Award the contract to the lowest responsible bidder R.J. Noble Company, in the amount of $2,110,265.04, for the Euclid Street Rehabilitation Project from Broadway to 850’ north of Lincoln Avenue and Catalpa Drive to the SR-91 Freeway; authorize the Director of Public Works to execute the contract and related documents and to take the necessary actions to implement and administer the contract; determine the project is categorically exempt under the California Environmental Quality Act pursuant to Class 1, Section 15301 (Existing Facilities) of Title 14 of the California Code of Regulations; and authorize the Finance Director to execute the Escrow Agreement pertaining to contract retentions.
5. Rescind the contract awarded to Baltazar Construction, Inc. on January 11, 2022 for the Concrete Facilities Removal and Reconstruction - Citywide Phase 7 Project (Project) and authorize staff to pursue recovery of the associated bid security; award a new construction contract for the Project to the second lowest responsible bidder, Towo Enterprise, Inc., in the amount of $382,650; authorize the Director of Public Works to execute the contract and related documents and to take the necessary actions to implement and administer the contract; determine the project is categorically exempt under the California Environmental Quality Act pursuant to Sections 15301, Class 1, and 15302, Class 2, of Title 14 of the California Code of Regulations; and authorize the Finance Director to execute the Escrow Agreement pertaining to contract retentions.
6. Approve the Memorandum of Understanding (MOU) with the Anaheim Union High School District for the School Resource Officer Program for a term from January 1, 2022 through June 30, 2025 with one additional two-year extension period; authorize the Police Chief to administer the MOU and to take the necessary actions to implement such agreement and related documents; and increase the Police Department’s Fiscal Year 2021/22 revenue and expenditure appropriations by $706,500.
7. RESOLUTION NO. 2022-020 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM vacating a portion of a public utility easement located at 2941 West Lincoln Avenue pursuant to California Streets and Highways Code Section 8330, et seq. - Summary Vacation (ABA2022-00413).
8. Approve minutes of the City Council meetings of August 24, 2021 and September 14, 2021.
END OF CONSENT CALENDAR:
9. RESOLUTION NO. 2022-021 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, authorizing the execution and delivery of a schedule to the Master Equipment Lease/Purchase Agreement for the acquisition, financing and leasing of certain equipment for the public benefit within the terms provided herein; authorizing the execution and delivery of other documents required in connection therewith; and authorizing all other actions necessary to the consummation of the transactions contemplated by this resolution [acquisition of eight ambulances at an estimated cost of $1,450,000; acquisition of information technology equipment at an estimated cost of $6,500,000].
Authorize the Purchasing Agent to issue purchase orders as necessary, following the guidelines of Council Policy 4.0, to acquire eight (8) Emergency Transport Ambulances.
Mayor Sidhu reported that the City’s ambulance program has served the City well thus far, noting how useful it was during the recent Omicron variant wave of COVID-19 when local medical resources were stretched thin.
City Council Minutes of March 1, 2022
Finance Director Deborah Moreno reported staff is requesting permission to purchase eight (8) ambulances and necessary related equipment. She stated the request is not to exceed $8,000,000 working through the Banc of America Capital Corporation (BAPCC) for the financing.
Anaheim Fire and Rescue (AF&R) Chief Pat Russell reported the goals of the program were to create a program encouraging local youth to consider a career in public safety, control the path of Emergency Medical Services (EMS) going forward, and create a financially-stable program. He reported succeeding on all three goals.
Fire Chief Russell reported EMS and other medical services statewide are strained by the pandemic and the private ambulance industry is struggling for a lack of staff. He added this has also caused strain on fire departments trying to figure out how to handle emergency transportation in addition to longer transport wait times for those in need.
Fire Chief Russell stated the City’s ambulance program began on September 3, 2021, with three (3) ambulances, replacing CARE Ambulance Service (CARE) ambulances at Fire Stations 1, 3, and 6.
He added 32 ambulance drivers were hired by the City – 18 of them full-time. He added they have proven to be of a high caliber at a time when the field is very competitive. He added six (6) of the drivers have already been hired into AF&R, including a young Anaheim native, and one into law enforcement. He added AF&R is ready to implement the second phase of the program, including the purchase of eight (8) additional ambulances.
Ms. Moreno reported there would be semi-annual payments of approximately $118,000 beginning in September. She noted the payments are offset by the anticipated savings from contracted ambulance services. She added all purchases would be made following the guidelines set in Council Policy 4.0.
Deputy Finance Director Jean Ibalio reported the computer infrastructure improvements would cost approximately $4,000,000 including devices to allow for dependable connectivity to the City’s network along with replacement servers to allow for continued growth. She added disaster recovery equipment would cost $2,000,000 and help continue technical operations during unplanned disaster scenarios and also protect against cyber threats. She added building security video surveillance equipment would cost about $500,000 to modernize equipment and allow the City to meet expanded retention requirements.
Ms. Ibalio reported in recent years capital expenditures in the Internal Service Fund for information services have been limited to only the most essential needs. She stated the outdated equipment calls for using this fund to help the City reduce risks. She stated the funding would be through a Lease/Purchase Agreement not to exceed $6,500,000 at an interest rate of 2.35% over a five-year term. She added the acquisition of the equipment is subject to the City’s procurement process, which would be made while abiding by Council Policy 4.0.
Ms. Moreno stated the proposal would alleviate immediate needs and risks without adding costs to the City.
DISCUSION: In response to Mayor Sidhu’s inquiry, Ms. Moreno reported the financing would happen immediately to help take advantage of the low interest rate and noted that the rate has been locked in.
In response to Mayor Sidhu’s inquiries, Fire Chief Russell reported the program has added about $3,900,000 in savings to the General Fund thus far. He added the pandemic was unanticipated and City Council Minutes of March 1, 2022
has delayed the full implementation of the program. He added that this year the AF&R is continuing the hybrid model with CARE because the City does not have all of the needed ambulances yet. He stated his estimation of the value of Anaheim’s ambulance service is approximately $10,000,000 annually and the fully implemented program would cost the City only about $5,000,000 annually.
Mayor Sidhu stated it was great news that the City could both have internal control of the critical EMS area and also save money. He expressed his support for the item.
In response to Mayor Pro Tem O’Neil’s inquiry, Ms. Moreno clarified the ambulance and Information Technology (IT) components are separate. Mayor Pro Tem O’Neil applauded Fire Chief Russell for a rare instance where a City can run a program of this importance cheaper than the private sector.
In response to Mayor Pro Tem O’Neil’s inquiries, AF&R Captain Dave Barry clarified the cost to CARE is $5,590,000 annually but there was a feeling these costs were inflated when it was being renegotiated in 2019. He reported CARE was underpaying employees allowing the City to reduce the contract by $250,000 down to $5,340,000. He added the City’s ambulance program’s costs thus far have been $4,100,000, leading to the $1,400,000 of savings reported. He added once the full program is implemented they would realize the full savings. He confirmed the $5,530,000 figure is for the current alliance model contract with CARE. He stated before the alliance model, the City was receiving about $1,400,000 annually from CARE but noted CARE was able to do all of the billing amounting to about $10,000,000. He confirmed this is where the $10,000,000 figure comes from, which will only cost the City $5,000,000. He clarified there is some accounting lag because the City’s program began in July 2021 and it takes a few months for billings to process. He added the City first saw its anticipated $800-900,000 a month of billing revenue beginning in December 2021.
In response to Mayor Pro Tem O’Neil’s inquiries, Ms. Moreno clarified the FY 21/22 budget anticipated a $1,500,000 savings in part of having CARE still under contract. She stated her expectation they would hit the full anticipated savings in a year when the program was fully operational. She confirmed they would have real savings numbers when the FY 22/23 budget was discussed in a couple of months. Captain Barry clarified the $1,500,000 figure is comparing the current alliance model to an all-Anaheim model. He added billing remains the same in either model.
Mayor Pro Tem O’Neil stated he was happy the program was playing out as anticipated and expressed his support for both the ambulance program and IT component.
MOTION: Mayor Pro Tem O’Neil moved to approve RESOLUTION NO. 2022-021 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, authorizing the execution and delivery of a schedule to the Master Equipment Lease/Purchase Agreement for the acquisition, financing and leasing of certain equipment for the public benefit within the terms provided herein; authorizing the execution and delivery of other documents required in connection therewith; and authorizing all other actions necessary to the consummation of the transactions contemplated by this resolution and authorize the Purchasing Agent to issue purchase orders as necessary, following the guidelines of Council Policy 4.0, to acquire eight (8) Emergency Transport Ambulances, seconded by Council Member Ma’ae.
DISCUSSION: Council Member Diaz stated this was the next step in what has already been approved. He stated Fire Chief Russell omitted a fourth goal of providing better service. He noted the current struggles of private ambulance companies and added the City is not having these issues.
City Council Minutes of March 1, 2022
At 6:30 P.M., Mayor Sidhu paused consideration of Item No. 09 to address Public Hearing Item No.
12. PUBLIC HEARING:
11. This is a public hearing to 1) receive and file public input and testimony on communities of interest, district boundaries, and draft maps; and 2) select a draft Council District Map for adoption.
Receive and file public input and testimony on communities of interest, district boundaries, and draft maps.
ORDINANCE NO. 6527 (INTRODUCTION) AN ORDINANCE OF THE CITY OF ANAHEIM, adjusting the City Council voting district boundaries following the 2020 decennial census, adopting a new Council District Map to implement the redrawn district boundaries, amending Chapter 1.26 of the Anaheim Municipal Code to make corresponding changes, and determining that said actions are exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the State CEQA Guidelines because they will not have a significant effect on the environment.
City Clerk Theresa Bass reported all draft redistricting maps would be considered for selection and added that they have been posted on the City’s website.
Justin Levitt, Vice President of the National Demographics Corporation (NDC), reviewed the required procedures and criteria when considering map selection, including federal laws, the California Voting Rights Act, and California’s FAIR MAPS Act. He added all maps being considered tonight meet the required criteria. He added tonight’s discussion’s focal point would be on communities of interest and how different maps achieve this criterion.
Mr. Levitt noted Map 102 only has one majority Latino district by eligible voting population. He reviewed Map 104 and Map 106, which were discussed at the previous Council meeting, and had questions concerning the area around Sycamore Junior High School. He reported Map 114 was also discussed at the last public hearing. He added based on the discussion in January, NDC developed Map 116 and Map 117 using the general alignment of Map 106 with the lone difference between the two being a small area along State College Boulevard to help keep the population deviation under the required 10%.
DISCUSSION: In response to Council Member Diaz’s inquiry, Mr. Levitt confirmed any map drawn tonight would have to be published and made available to the public for at least one week before they could act on it.
Mayor Sidhu opened the public hearing.
City Clerk Theresa Bass reported that a total of 17 public comments were received electronically prior to 6:30 P.M. related to Public Hearing Item No. 11. [A final total of 17 public comments were received electronically, distributed to the City Council, and made part of the official record]. – See Appendix.
David Klawe stated he resides in District 2 and designed Map 102. He stated his map was the best and protects the communities of interest while moving the Sycamore Junior High School area to District 3 as requested in community meetings. He stated all maps have five districts that are majority City Council Minutes of March 1, 2022
Hispanic but not necessarily by voting-age population. He added Asian-Americans represent about 28% of west Anaheim and questioned why they should be lessened in the name of achieving three majority-Hispanic districts when Hispanics have a track record of being elected. He added Map 114 extending District 3 west of Euclid Street relocates some Arab-American communities out of District 2 whereas his map keeps Little Arabia together. He called for a map with no racial gerrymandering. He added his map also has easily identifiable borders, following the 2016 map closely. He stated he is not in favor of Map 114 because it breaks up west Anaheim and does not use easily identifiable borders. He encouraged Council to keep west Anaheim whole on any map.
Amin Nash stated Little Arabia is his community of interest and he supports Map 114 for keeping Little Arabia whole and closely mirroring the current map, adopted in 2016. He recommended moving the Sycamore area from District 5 to District 3 and having a single representative for Little Arabia.
Rosa Isela (translation: Spanish), District 5 resident, expressed support for Map 114 for its equal population divisions.
Rosalia Gavely (translation: Spanish) expressed how much she enjoys living in Anaheim. She endorsed Map 114 and called for the support of her representative, Council Member Valencia.
Remedios Hernandez (translation: Spanish) stated she is a long-term District 4 resident and supports Map 114.
Blanca (translation: Spanish), District 5 resident, expressed support of Map 114 and urged her representative, Council Member Faessel, to support Map 114.
Brianna Nava, 16-year-old District 4 resident, expressed support for Map 114 where the Latinx community would be a majority and could better celebrate its communal heritage.
Martha Rivera (translation: Spanish), District 4 resident, expressed support for Map 114.
Dayana Badillo Marin spoke as a 15-year old resident of areas in Districts 3, 4, and 5, mostly in the Ponderosa neighborhood. She endorsed Map 114 for its balance between the three districts.
Andrea Rivera, 15-year old resident of District 4, lauded the City’s Hispanic diversity and stated Map 114 best shares this ethnic diversity.
Efrain Martinez, District 4 resident, noted he enjoys both the district’s cultural celebrations and unity in challenging times. He endorsed Map 114 to best represent and activate Anaheim’s part of the 714 area code.
Cindy Salgado Ochoa, 16-year-old resident, spoke of her love for her community and expressed support for Map 114.
Carmen Zondii (translation: Spanish), an immigrant and 20-year Anaheim resident, expressed support for Map 114. She added Map 114 is the best option for the next 10 years and encouraged her representative, Council Member Valencia, to support it.
Genoveva Garcia (translation: Spanish), District 3 resident, urged City Council to make the best redistricting decision for the whole City and did not endorse a specific map.
Mayor Sidhu closed the public hearing.
City Council Minutes of March 1, 2022
DISCUSSION: Mayor Sidhu stated redistricting has been discussed for eight months and commended the community’s participation. He added he is an immigrant, like most of the speakers tonight, noting almost 50% of the City’s population is Hispanic. He added there would not have to be many changes from the 2016 map overall with Districts 1, 2, and 6 not requiring any significant changes. He stated they would keep Hispanic communities together and also not divide the downtown community. He thanked Mr. Klawe for his work with Map 102. He expressed his support for Map 114.
Council Member Faessel stated he did not support Map 114 and insisted they keep the Platinum Triangle together. He stated the State College Boulevard business corridor should be kept whole just like the Brookhurst Street corridor should be. He stated he would be willing to accept Map 114 if the piece south of Ball Road was still in District 5, suggesting they could adjust the divider between Districts 5 and 6 for counterbalance. He added he was open to any combination of alignments in Districts 3, 4, and 5 north of Lincoln Avenue but would not approve any map dividing the Platinum Triangle.
Mayor Pro Tem O’Neil noted his District 6 stays the same in Map 114. He stated he would like to keep the Platinum Triangle together but does not find it either fair or practical due to the anticipated growth in the area. He added the Platinum Triangle would almost certainly have to be divided up after the 2030 United States Census so they might as well preemptively split it for fair representation. He added this is a balancing act and there would not be a perfect map for everyone. He stated it has been an eight-month process and he does not want to tinker further.
Council Member Diaz thanked Mr. Levitt, Ms. Bass, and the community. He applauded the teenage speakers for their civic involvement. He stated he likes Maps 102 and 114 the best but would endorse Map 114 after hearing from the residents. He added it would help the Latino vote and keeps most communities of interest together.
Council Member Valencia echoed what Council Member O’Neil stated about getting ahead of the inevitable growth in the Platinum Triangle lest District 5 fall out of compliance in five years for being too large. He stated redistricting has been a transparent, fair, and inclusive process as promised. He noted no map is perfect but he endorsed Map 114 for its respect for communities of interest and having clear boundaries similar to the current map. He thanked the public speakers in Spanish.
Council Member Ma’ae thanked the teenage speakers in particular for getting involved. She thanked Mr. Klawe for all of his effort on Map 102 and others. She noted that Map 114 would impact District 2 the most for placing its northern end in District 3 but added for balancing the needs of her district with the needs of the entire City that she would endorse Map 114. She thanked the public speakers in Spanish and commended their respectful tone.
Mayor Sidhu stated he would like to have all of the Council Members unified, but noted that this could not always happen.
MOTION: Mayor Sidhu moved to receive and file public input, select Map 114, and introduce ORDINANCE NO. 6527 AN ORDINANCE OF THE CITY OF ANAHEIM, adjusting the City Council voting district boundaries following the 2020 decennial census, adopting a new Council District Map to implement the redrawn district boundaries, amending Chapter 1.26 of the Anaheim Municipal Code to make corresponding changes, and determining that said actions are exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the State CEQA City Council Minutes of March 1, 2022
Guidelines because they will not have a significant effect on the environment, seconded by Council Member Diaz.
DISCUSSION: Ms. Bass stated, if the motion was approved, the ordinance would come back for adoption at the March 15 City Council meeting.
MOTION: Mayor Sidhu moved to receive and file public input, select Map 114, and introduce ORDINANCE NO. 6527 AN ORDINANCE OF THE CITY OF ANAHEIM, adjusting the City Council voting district boundaries following the 2020 decennial census, adopting a new Council District Map to implement the redrawn district boundaries, amending Chapter 1.26 of the Anaheim Municipal Code to make corresponding changes, and determining that said actions are exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the State CEQA Guidelines because they will not have a significant effect on the environment, seconded by Council Member Diaz. ROLL CALL VOTE: AYES – 5 (Mayor Sidhu and Council Members O’Neil, Diaz, Ma’ae, and Valencia); NOES – 1 (Council Member Faessel); ABSENT – 1 (Council Member Moreno).
Motion carried; ordinance introduced.
Discussion and consideration of Item No. 09 resumed at 7:34 P.M.
9. RESOLUTION NO. 2022-021 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, authorizing the execution and delivery of a schedule to the Master Equipment Lease/Purchase Agreement for the acquisition, financing and leasing of certain equipment for the public benefit within the terms provided herein; authorizing the execution and delivery of other documents required in connection therewith; and authorizing all other actions necessary to the consummation of the transactions contemplated by this resolution [acquisition of eight ambulances at an estimated cost of $1,450,000; acquisition of information technology equipment at an estimated cost of $6,500,000].
Authorize the Purchasing Agent to issue purchase orders as necessary, following the guidelines of Council Policy 4.0, to acquire eight (8) Emergency Transport Ambulances.
DISCUSSION: In response to Council Member Faessel’s inquiry, Finance Director Deborah Moreno clarified the terminology Lease/Purchase Agreement refers to leasing the vehicles to own them as opposed to an either/or situation.
Council Member Faessel stated he was fully supportive of the ambulance program and congratulated Fire Chief Russell on getting it started.
In response to Council Member Faessel’s inquiry, Ms. Moreno clarified the IT component is another step they have yet to take and it would be handled adhering to the City’s normal purchasing policies.
She added this item was simply to secure the financing component.
MOTION: Mayor Pro Tem O’Neil moved to approve RESOLUTION NO. 2022-021 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, authorizing the execution and delivery of a schedule to the Master Equipment Lease/Purchase Agreement for the acquisition, financing and leasing of certain equipment for the public benefit within the terms provided herein; authorizing the execution and delivery of other documents required in connection therewith; and authorizing all other actions necessary to the consummation of the transactions contemplated by this resolution and authorize the Purchasing Agent to issue purchase orders as necessary, following the guidelines of Council Policy 4.0, to acquire eight (8) Emergency Transport Ambulances, seconded by City Council Minutes of March 1, 2022
Council Member Ma’ae. ROLL CALL VOTE: AYES – 6 (Mayor Sidhu and Council Members O’Neil, Diaz, Ma’ae, Valencia, and Faessel); NOES – 0; ABSENT – 1 (Council Member Moreno). Motion carried.
10. Update on the City’s response to COVID-19
Mayor Sidhu stated the report on the Omicron Variant wave is encouraging, as the City has returned to where it was in December 2021 and is getting back to normal while staying ready to respond to any future outbreaks. He stated COVID-19 is not going away and encouraged residents to remain vigilant, including getting vaccinated, boosted, and wearing masks.
Chief Communications Officer Mike Lyster reported there has been a continued dramatic drop in cases since the last update in early February. He noted cases in Orange County are down to 2,916 after peaking at 52,418 on January 18. He reported Orange County’s case rate is down to 11, positivity rate is down to 3.7%, and health equity is down to 3.3%. He stated 75% of the County over the age of five (5) is fully vaccinated with 84% having received at least one vaccine shot. He reported case, positivity, and health equity statistics for the City are slightly higher but mirror the County’s dramatic downward trend over the past month.
Mr. Lyster stated the City is currently at a “pandemic normal” status and this is forecasted to last through the spring. He added the latest variant to watch is the Deltacrom sub variant but noted no new variant was currently slowing the decline in cases.
Mr. Lyster reported as of today there was no more mask requirement in the State but masks remain strongly recommended. He added masks are still required on mass transit, in healthcare settings, and in schools through March 11. He stated workplace regulations about masks would now align with the public rules. He added the regulations for admission to large events would still require proof of vaccination or a negative test.
Informational item - No action taken.
REPORT ON CLOSED SESSION ACTIONS: None
PUBLIC COMMENTS (non-agenda items): None
COUNCIL COMMUNICATIONS/AGENDA REQUESTS:
Council Member Valencia wished everyone a happy Ash Wednesday.
Council Member Faessel requested a proclamation recognizing the 100th anniversary of the Anaheim Lions Club, concurred by Council Member Ma’ae and Mayor Pro Tem O’Neil. He thanked Police and Code Enforcement staff for meeting with residents and business owners to discuss issues at a shopping center at State College Blvd. and Lincoln Ave. and thanked staff and the community for the virtual Districts 5 and 6 Community Services Meeting. He reported his attendance at the CERT recognition dinner at North Net, a furniture distribution event at St. Justin Martyr Catholic Church, the MUZEO artist reception, and the virtual Youth in Government Day. He announced Opening Day of East Anaheim Little League to be held on Saturday, March 11 at Juarez Park and reminded everyone that Daylight Savings Time begins on March 13.
City Council Minutes of March 1, 2022
Council Member Ma’ae displayed photos of the furniture distribution event and thanked Wincome Hospitality for donating 50 rooms of furniture to those in need, noting it was the seventh time they had done this. She also thanked the volunteers at the event. Regarding street racing, she stated she values actions, not words, and noted she met with the resident who came to the last meeting and has been working with the Police Department to plan and hold and community meeting to discuss the topic and empower residents to help combat the problem. She announced she would post information about the date, time, and location of the meeting once it is available.
Council Member Diaz also addressed street racing, stated the Council takes it seriously, and noted the Police Department was actively working on the issue. He encouraged residents to call and report concerns to the Police Department so they can be tracked and addressed.
Mayor Sidhu noted the budget is recovering after two challenging years and thanked the Council for their actions throughout the pandemic, including financing options. He announced the Natural Products West convention this month and the NAMM convention returning to the City in June. He offered thoughts and prayers to the people of Ukraine and all those affected by the conflict.
ADJOURNMENT:
At 8:01 P.M., with no further business before the Council, Mayor Sidhu adjourned the City Council meeting.
Respectfully submitted,
Theresa Bass, CMC
City Clerk