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24 25 1. Called to Order: 6:30 p.m.
26 2. Quorum Established: Mayor John Sawatzky, Mayor Pro-Tem Elise Scafani, Councilmember Michelle 27 Lewis-Lusso, Councilmember Kathryn Napier, Councilmember Christopher Firor 28 29 Staff Present: City Manager Mager, Planner Rees, Finance Manager Dani Burkhart 30 31 Public Present: Justin Goad, Beckie Thornton, Mardi Granger, Erin McClure, Donald Schang, Karen 32 Nessler, Marla West, Lori Ponte, Jen Corse, Brian Corse, Jean Lynch, Darcey Lima 33 34 35 3. Approval of the Agenda:
Motion: To move items 12, 13 and 14 after item 7 36
Motion by: Councilmember Napier 37
Seconded by: Mayor Pro-Tem Scafani 38
39 No Public Comment
Motion Summary: Ayes: Sawatzky, Napier, Scafani; Nays: Lewis-Lusso; Abstain: Firor (Passes) 40 41 42 4. Adopt Previous Council Meeting Minutes:
January 30, 2025 43
February 11, 2025 44
February 20, 2025 45
February 25, 2025 46
Motion: To adopt the meeting minutes with minor edits as discussed. 47 Motion by: Mayor Pro-Tem Scafani 48
Seconded by: Councilmember Firor 49
50 51 Public Comment:
Brian Corse: Questions the process for capturing the names of the public in the meeting minutes. 52 Public Comment Closed. 53
54 Motion Summary: Consensus 55
56 57 5. Reports of Council and Staff
City Manager Report: City Manager presents staff report; Council requests details regarding the bike park, 58 including how and when it was approved and a full accounting of expenditures and revenues. 59
CITY OF BLUE LAKE
C A L I F O R N I A
111 Greenwood Road
P.O. Box 458
Blue Lake, CA 95525
(707) 668-5655
Fax: (707) 668-5916
www.bluelake.ca.gov
Blue Lake City Council Minutes
Tuesday, March 25, 2025-City Council Regular Meeting
Skinner Store Building ~ 111 Greenwood Rd., Blue Lake ~ Behind City Hall Revised: April 30, 2025
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Councilmember Napier requests financial projections for proposed businesses at the City Corporation Yard. 1 City Manager Mager explains that those projections are not available, nor does staff have the capacity to 2 complete them. The City has completed a financial analysis regarding business development in the City, 3 through a grant funded by USDA; staff can provide this report to Councilmember Napier. 4 Councilmember Napier requests a closed session to discuss the potential sale of the City Corporation Yard. 5 6 Councilmember Lewis-Lusso: Provides a report on Humboldt Waste Management Authority. 7 Councilmember Napier: Provides a report on Redwood Region Economic Development Corporation. 8 9 10 Public Comment:
11 Rebecca Collins: Requests information on the Calgon Carbon Plant. 12 City Manager Mager explains the coordination with the owners of the Calgon Carbon Plant after the sale of 13 the property. 14
Lin Glen: Questions who is representing the Council on property negotiations. 15 Julie Christie: Comments on the DANCO project. 16
Terry Bayless: Comments on the PowerTransitions negotiations and confusion about what the direction of 17 the project is and how it got there as there was no direction from Council. 18 19 Public Comment Closed.
Councilmember Napier expresses concern over the council not receiving reports and accounting of 20 DANCO project. 21
City Manager Mager explains that the project is following an appropriate course and the importance of 22 separation of the Planning Commission and the City Council. 23 Councilmember Napier reiterates the need to stay apprised of project and that request for documentation 24 has not been met yet. 25
City Manager Mager explains that no changes have happened from the initial planning, that the project is 26 going through the Planning Commission as appropriate, and she is unclear about the appropriateness of 27 bringing any information to the Council as it is not at that phase yet. States she will consult with the City 28 Attorney. 29
30 31 Financial Report: City Manager Mager introduces the City’s new Finance Manager, Dani Burkhart. Staff will be developing a monthly and quarterly report for Council that will provide financial details as well as 32 more easily digestible financial data. 33
34 Councilmember Napier: Asks the Finance Manager what software the City uses for accounting. 35 Finance Manager Burkhart: Explains that the City uses Abila MIP. 36 Mayor Sawatzky: Asks why the Powers Creek fund is running a deficit? 37 Finance Manager Burkhart: Explains that the fund will be reimbursed for expenses from the town square 38 grant. 39
Mayor Pro-Tem Scafani: States that she would like to see prior year budgets in order to compare current 40 and projected budgets. 41
42 43 Public Comment (on Financial Report):
Terry Bayless: Comments on Warrants and Disbursements. 44 Julie Christie: Comments on financial reports. 45
46 47 Public Comment on items not on the agenda:
Beckie Thornton: Comments on public records requests—specifically requests grant funding reports and 48 receipts amounting to over $75,000 49
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Attending citizen expresses concern over Power Transitions negotiations and dangers of poisoning the water 1 in the river. 2
Lin Glen: Comments on CERT and tsunami drills. 3
Julie Christie: Comments on missing Council videos that were never published for the public. 4 Lori Ponte: Comments on the date for a community potluck. 5 6 7 Public Comment Closed.
8 9 6. Consent Agenda.
Councilmember Napier pulls item 6b-City of Blue Lake FY 24-25 Salary Schedule Amendment No. 3 10 Motion: To accept the warrants and disbursements and to proclaim April 2025 as Sexual Assault Awareness 11 Month. 12
Motion by: Mayor Pro-Tem Scafani 13
Seconded by: Councilmember Napier 14
Motion Summary: Consensus 15
16 April 2025 Sexual Assault Awareness Month Proclamation: The representative from the North Coast 17 Rape Crisis Team presents the proclamation and provides an overview of their services to the community. 18 19 Motion: To accept items 6a and 6c of the consent agenda. 20 Motion by: Mayor Pro-Tem Scafani
Seconded by: Councilmember Napier 21
22 Motion Summary: Consensus
23 24 Item 6b: Fiscal Year 24-25 Salary Schedule Amendment No. 3 Councilmember Napier: Reviews the proposed wage rate for the City Clerk position; recommends moving 25 it to the same salary line as the Finance Manager. 26
Motion: To move the City Clerk position to the same salary lines as the Finance Manager on the salary 27 schedule. 28
Motion by: Councilmember Napier 29
Lengthy discussion re role of City Clerk, wage scale and recruitment with temporary assistance needed as 30 soon as possible. City Manager Mager explains that many of the administrative duties of the City Clerk are 31 32 currently being absorbed by other staff in the office.
Councilmember Napier repeats the motion. 33
Motion dies for lack of a second. 34
Motion: To accept the salary schedule as presented 35
Motion by: Councilmember Lewis-Lusso 36
Seconded by: Councilmember Firor 37
Motion Summary: Ayes: Lewis-Lusso, Firor; Nays: Sawatzky, Napier, Scafani (Doesn’t Pass) 38 39 Motion: To adopt the salary schedule, removing the Economic Development Planner position from the 40 salary schedule and retain all other salary levels as presented. 41 Motion by: Councilmember Napier 42
Seconded by: Councilmember Lewis-Lusso 43
Motion Summary: Consensus 44
45 46 7. Commissioner Appointments
Public Safety Commission: Mayor Sawatzky opens the item; Donald Schang has applied for an open 47 commissioner seat on the Public Safety Commission. 48
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Donald Schang introduces himself and states that he would like to serve on the commission. 1 2 3 Motion: To appoint Donald Schang to the Public Safety Commission. 4 Motion by: Councilmember Firor
5 Seconded by: Councilmember Lewis-Lusso
Motion Summary: Consensus 6
7 Economic Development Commission: Mayor Sawatzky introduces the item and presents the applications 8 for the position. Darcey Lima and Roxanne Rothery have applied to be re-appointed to the commission. 9 Motion: To appoint Darcey Lima and Roxanne Rothery to the Economic Development Commission 10 Motion by: Councilmember Firor 11
Seconded by: Councilmember Lewis-Lusso 12
13 14 Public Comment:
Julie Christie: Comments on Linda Cooley’s application. 15 Darcey Lima: Feels that serving on the commission is her civic duty; people should be producers and not 16 preventors. 17
18 Motion Summary: Ayes: Lewis-Lusso, Firor, Sawatzky; Nays: Napier; Abstain: Scafani, (Motion Passes) 19 Public Comment Closed.
20 Discussion about nays and abstaining from votes on this item with “lumping” two candidates together on one motion, although the two candidates had been introduced in past meetings for appointment, but the required 21 timeframe had not yet passed. 22
23 8. Council Goal Setting Discussion: Mayor Sawatzky introduces the item. 24 Council discusses the need for a facilitator to assist the Council through the process of developing Council 25 goals. 26
Councilmember Lewis-Lusso directs staff to organize a goal-setting workshop with a facilitator. 27 Mayor Pro-Tem Scafani: Doesn’t feel that the Council needs a facilitator; Council can set goals without 28 assistance. 29
City Manager Mager: Recommends using a facilitator. 30
Councilmember Napier: Would like to have a meeting ahead of the meeting with a facilitator. Would also 31 like to meet with Council without a facilitator. 32
Councilmember Firor: States that he would like a facilitator to help the Council move forward. 33 34 35 Public Comment:
Barbara Russell: Doesn’t think that an outsider is necessary. 36 Julie Christie: Comments on goal setting. 37
38 Public Comment Closed.
39 Mayor Pro-Tem Scafani: Recommends that Council identify their top 10 objectives; staff to produce a list 40 of upcoming items. 41
42 Council Directive: Direct staff to evaluate options for a facilitated goal setting session; bring back to 43 44 Council for further review and discussion.
45 9. Fiscal Year 25-26 Budget Discussion: Mayor Sawatzky introduces the item. 46 Councilmember Lewis-Lusso: Would like to learn more about the budgeting process; Dani could bring 47 recommendations on how to move forward. In April, staff could bring preliminary projections for FY 25-26 48 and an overview of the budget. 49
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Mayor Sawatzky: Would like to see prior year budgets. 1 Mayor Pro-Tem Scafani: Would like to see several years’ worth of data. 2 Councilmember Napier: Would like to see trends; look at past five years; what are the grants and where 3 does the money come from. Discussion about how many council meetings should be scheduled in order to 4 get enough information about the budget and the budget approval process. 5 Council asks that the budget be changed to landscape, with a bigger font and have it OCR-D. 6 BREAK 7
10. City Clerk Recruitment: Mayor Sawatzky states that Councilmember Napier would like to add a 8 discussion about City Clerk recruitment. 9
Council discusses the recruitment process and the applications received to date. City Manager Mager states 10 that qualified applicants have applied. Mayor Pro-Tem Scafani recommends moving forward with the 11 qualified applicants; they could train for additional duties. 12 13 14 Public Comment:
15 Rebecca Collins: Comments on the clerk position and duties. 16 Julie Christie: Supports moving forward.
17 Public Comment Closed.
Lengthy discussion about history of recruitment process, hiring process and appointment process for city 18 clerk position, development of job description, and current duties assigned to administrative staff that are in 19 20 the current city clerk job description.
Councilmember Napier: Asks that staff remove the language requesting salary history from the current job 21 application. 22
Council directs staff to work with the ad-hoc committee to arrange interviews and to post the position in the 23 North Coast Journal for additional outreach. The ad-hoc will work with the City Manager on the interview 24 questions. 25
26 27 11. Resolution Number 2025-1235-Adopting Amendments to the Blue Lake General Plan to Update and Implement the Housing Element for the 2019=2027 Planning Cycle (6th Cycle): Mayor Sawatzky 28 introduces the item; Planner Rees presents the staff report and recommends opening the public hearing. 29 Planner Rees: The Council requested that staff bring this item back for consideration; Council had requested 30 an extra 60 days to review the document and to have additional time to ask questions. During the 60-day 31 process, staff received no inquiries from the community or Council. The City has been contacted by The 32 33 Department of Housing and Community Development regarding the City’s timeline for adoption. The City has received grant funding to complete the housing element and the work is complete. 34 Mayor Pro-Tem Scafani: Is there a deadline to adopt the housing element? 35 Planner Rees: Explains that the City is behind on the adoption timeline and that there are punitive actions 36 that can be taken by the State to enforce adoption. 37
Mayor Pro-Tem Scafani: Asks if the State has approved the high-density combining zone and how often 38 does it need to be applied? 39
Planner Rees: The City would use the high-density combining zone as a tool; it would be applied in a 40 targeted manner each planning cycle. It’s meant to accommodate lower income housing. 41 Mayor Sawatzky: The reason that I didn’t provide questions is because I thought we were going to have a 42 combined meeting with the Planning Commission. 43
Mayor Sawatzky: Questions if the wastewater treatment plant can meet the demands? 44 Planner Rees: Clarifies that the housing element is not approving projects; the housing element is 45 designating sites through zoning. The City has plans for the upgrade of the treatment plant to add capacity; 46 the upgrades could accommodate almost the full build-out of the general plan including the proposed 47 projects in the Powers Creek District. 48
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Planner Rees: Right now with all the approved and anticipated projects the city would reach capacity at 1 some point with its wastewater treatment plant. It is not known when that will happen. The City has had 2 plans for upgrades to the system for years. The plan is to add 180 residential equivalent units to the system. 3 Anything beyond that would be some kind of more complicated expansion to the system. 4 5 Mayor Pro-Tem Scafani: I’ve been told that the City’s current wastewater treatment plant may not be permitted in the near future; that it may need upgrades. Asks about costs and timelines for upgrades. 6 City Manager Mager: States that she has never heard this; State Water Resource Control Board just 7 completed their inspection and stated that the plant is one of the best in the State. 8 Mayor Pro-Tem Scafani: Questions who will pay for increased capacity to support development. 9 Planner Rees: Within 2 years of adopting the housing element the upgrades would have to be done. The 10 City would have to fund those improvements and new projects would be charged an impact fee equivalent to 11 12 the size of the project when they connect to sewer and water. 13 Mayor Pro-Tem Scafani: What will this upgrade cost?
14 Planner Reese: Originally it was $200, 000 or $300,000, now it is something like $500,000. 15 Mayor Pro-Tem Scafani: expresses concern that the city will be committed to funding the upgrades 16 before any new development takes place.
City Manager Mager: The projects will pay impact fees to pay their share of the improvements; the City 17 has capitol improvement funds and capacity improvement funds that can be used to support any necessary 18 improvements. The City has been planning to make improvements and has identified what is needed. The 19 City also has issues with stormwater infiltration that impacts capacity; the City is working to address this 20 issue which will improve capacity. 21
Mayor Sawatzky: Questions the CEQA process; and what it would cost to conduct a full analysis? 22 Planner Rees: Clarifies that the City did conduct a new initial study; this was funded by REAP funding 23 received from the State; originally staff had proposed an addendum to the original study but after hearing 24 concerns from the public regarding outdated information, the City conducted a new initial study negative 25 declaration. The packet includes comments received and a full staff report. 26 Mayor Pro-Tem Scafani: Questions the Circulation Element and if it should be updated before adopting the 27 housing element. Even though the truck route used to carry more traffic, there’s concerns about Powers 28 Creek District development. There’s concern that there aren’t adequate evacuation routes in the event of a 29 fire or emergency. 30
Planner Rees: There are several options to exit Blue Lake; the General Plan projected a much higher level 31 of development and growth, including more traffic. This never happened and growth went down and traffic 32 33 levels went down; most communities grow under their General Plan, but Blue Lake didn’t. The development 34 in the Powers Creek District may get the City to the levels in the 1980’s. A traffic study was conducted with projected growth potential in the Powers Creek District; it concluded that traffic impacts would not add 35 significant traffic impacts. 36
37 Councilmember Napier: What we were willing to do to our community in the 1980’s isn’t what we would consider doing to our neighbors now; we have to consider expectations and desires now, including noise, 38 vibrations and particulates from dust in the air. It’s not fair to use that as a benchmark. 39 Planner Rees: The General Plan is still very relevant including the growth projections and the level of 40 41 service capacity for the traffic routes. It is relevant to reference the General Plan because it’s the plan that the City is working under now. 42
43 City Manager Mager: Just to clarify, the adoption of the housing element isn’t preventing or hindering development in the Powers Creek District; higher density development in the Powers Creek District can 44 45 already happen under our current zoning. The housing element isn’t tied to a specific project, except through funding and financing to incentivize development. This housing element isn’t a tool to prevent development. 46 Planner Rees: If the City were to take that position, you’d be in violation of State housing laws. 47 Councilmember Napier: States that she takes offense to that statement; her concern is with overall growth 48 7 | P a g e
and not a particular project. 1
Planner Rees: It has been stated a number of times in the community and at Council and Planning 2 Commission meetings, that the adoption of the housing element can prevent the affordable housing project; 3 the State has laws now to address this. 4
Councilmember Napier: What would be the order to update the elements? 5 Planner Rees: Recommends updating the Safety Element and Conservation Element; some work has been 6 done on the Circulation Element. 7
Mayor Sawatzky: Asks for clarification on the LEAP funding. 8 Planner Rees: Clarifies when the funding was received and that it paid for the update to the housing 9 element. 10
Councilmember Napier: Asks City Manager Mager about implementing updates into strategic goals. 11 Planner Rees: States that this would be a good opportunity to address updates. 12 Mayor Sawatzky: Questions how building heights would be impacted by the housing element? 13 Planner Rees: Clarifies that the housing element provides consistency between multi-family housing in 14 various zones to eliminate standards that prohibit development. 15 16 17 Public Comment:
Rebecca Collins: States that she doesn’t understand the by-right option. 18 19 Planner Rees: Explains that if the project meets the zoning requirements it’s not subject to a subjective approval process; it would require a building permit and not a conditional use permit. 20 Julie Christie: Comments on the process that was undertaken to develop and review the housing element; 21 she doesn’t think that the General Plan is outdated. 22 Lori Ponte: Comments on the next planning cycle; can the City accommodate the allocation; if the City 23 24 were not in danger of being fined, we could not adopt and wait until the next cycle, it’s only three years away. 25
26 Public Comment Closed.
27 Planner Rees: Clarifies that the City went through a long process to update the housing element; including 28 multiple drafts with track changes and numerous meetings and community presentations. 29 Mayor Pro-Tem Scafani: States that she does remember seeing the red-lined changes through the process, 30 31 but did not see HCD’s comments.
Planner Rees: States that staff submitted the plan to HCD multiple times for review and comment; those 32 drafts were reviewed by the Planning Commission and multiple public hearings were conducted. Copies of 33 HCD’s comments were presented and made available to the Council through the process. 34 Mayor Pro-Tem Scafani: Asks how community member comments were incorporated? 35 Planner Rees: Explains that the comments were incorporated in the drafts presented to the Planning 36 Commission; they provided direction to staff on how to respond or include in the document. The comments 37 are provided in the document and all comments are captured and documented. On page five and six of the 38 document the comments are summarized and whether or not revisions were made. Most comments were 39 concerned with general growth in the community and the DANCO project. 40 Mayor Sawatzky: Asks for clarification on the ADU tracking language in the document. 41 Planner Rees: Clarifies that the City has to track all development in the Annual Progress Report that is sent 42 to the State; this shows the City’s progress on housing development. 43 44 Motion: To Adopt Resolution Number 2025-1235-Adopting Amendments to the Blue Lake General Plan to 45 Update and Implement the Housing Element for the 2019=2027 Planning Cycle (6th Cycle) 46 Motion by: Councilmember Lewis-Lusso 47
Seconded by: Councilmember Firor 48
Motion Summary: Ayes: Lewis-Lusso, Firor; Nays: Sawatzky, Scafani, Napier (Motion Fails) 49 8 | P a g e
1 Planner Rees: Questions if Council wants staff to bring back additional information or conduct another 2 meeting to assist in answering questions. Staffs job is to provide enough information for Council to make an 3 informed decision. 4
Mayor Sawatzky: States that the Council will get back to him. 5 Planner Rees: Asks if Council will continue the public hearing so the item can be brought back, or if not, 6 staff will have to re-notice the public hearing. 7
Mayor Sawatzky: Council can bring it up in future agenda items. 8 Planner Rees: If Council doesn’t continue the public hearing then staff will have to re-notice the hearing. 9 Councilmember Napier: We’re dying on the vine with the amount of work that we have to do; we have 10 11 BESS in September and budgets in June; maybe with a little time we’ll have more consensus; I don’t want to see this again next month. 12
Councilmember Lewis-Lusso: I would like the attorney to present on this; I would like to hear more about 13 1037 and our exposure to litigation and exposure to liability because I’ve been doing my homework on this. 14 City Manager Mager: You may need a closed session on this under exposure to litigation. 15 16 12. Humboldt County Sheriff Law Enforcement Contract Fiscal Year 2025-2026: Mayor Sawatzky 17 introduces the item; City Manager Mager provides an overview, including a $20,000 cost reduction from the 18 19 current year contract, maintenance of the current service levels and issues related to the County’s proposed indemnification language in the contract. The City is working with CIRA to address the contract language 20 and staff recommends accepting the contract amount. 21
Councilmember Lewis-Lusso: This approval would be dependent upon CIRA’s approval? 22 City Manager Mager: Asking for authorization for the Mayor to sign upon authorization by CIRA. 23 Mayor Pro-Tem Scafani: Requests communications from CIRA regarding the contract. 24 Mayor Sawatzky: Asks the City Manager if she has major concerns with the indemnification language? 25 City Manager Mager: States that there are major concerns regarding the language; believes that there is a 26 27 layer of protection due to the limitations of the City’s scope of control for services, but the goal is to minimize legal exposure. 28
Mayor Sawatzky: With the cost reduction are there any reductions in service? 29 City Manager Mager: The contract is based upon the current level of service and the Sheriff’s actual costs. 30 31 Motion: To accept the cost proposal from the Sheriff for fiscal year 2025-2026 Law Enforcement Services 32 and authorize the Mayor to execute the contract upon final approval by the City’s risk managers. 33 Motion by: Councilmember Napier 34
Seconded by: Mayor Pro-Tem Scafani 35
36 37 Public Comment:
Julie Christie: Comments on indemnification; where else would the City go. 38 39 Public Comment Closed
40 Motion Summary: Consensus 41
42 12. Humboldt County Animal Shelter Contract Fiscal Year 2025-2026: Mayor Sawatzky presents the 43 item; City Manager Mager provides an overview of the requested action. 44 Councilmember Scafani: Requests staff to contact the Sheriff and obtain a cost proposal to provide animal 45 control services in Blue Lake. 46
47 Motion: To accept the cost proposal for fiscal year 2025-2026 for animal shelter services as provided by the 48 49 Humboldt County Sheriff.
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1 Motion by: Mayor Pro-Tem Scafani
2 Seconded by: Councilmember Napier
3 4 Public Comment:
5 Julie Christie: Comments on animal control services.
6 Public Comment Closed.
7 Motion Summary: Consensus 8
9 13. CalFire Fire Severity Map Introduction: Mayor Sawatzky introduces the item; City Manager Mager 10 provides an overview, including the requirement to bring back an ordinance that adopts the updated fire 11 severity maps. 12
13 Public Comment: None 14
15 Public Comment Closed.
16 Motion: To direct staff to bring back the ordinance for a first reading at the April meeting. 17 Motion by: Councilmember Lewis-Lusso 18
Seconded by: Councilmember Firor 19
Motion Summary: Consensus 20
21 22 14. Future Agenda Items:
23 CalFire Fire Severity Map Ordinance 24
Animal Control Costs 25
Fiscal Year 2025-2026 Budget 26
Humboldt Waste Management Authority Presentation 27
City Manager Performance Evaluation 28
29 Appointment of Councilmembers to Property Negotiation Teams Ad-Hoc: Power Plant 30
Agenda Coordination Between Council and Commissions 31 Project Tracking and Posting 32
Project Transparency Task Force 33
Agenda Setting Process 34
35 Council Correspondence: Council provided correspondence 36 37 Motion: To Adjourn: 11:28pm 38
Motion by: Councilmember Napier 39
Seconded by: Mayor Pro-Tem Scafani 40
Motion Summary: Consensus 41
42