February 6, 2024 Regular Meeting Minutes Page 1 of 10
MINUTES OF THE
REGULAR MEETING OF THE
City Council of the City of Coronado
and the
City of Coronado Acting as the Successor Agency to the Community Development Agency of the City of Coronado
Held in the Council Chamber at:
1825 Strand Way
Coronado, California 92118
Tuesday, February 6, 2024
2:30 p.m. Closed Session Special Meeting
4:00 p.m. Regular Meeting
Note: The order in which items appear in the minutes is not necessarily the order in which they were discussed in the meeting.
1. CALL TO ORDER/ROLL CALL
The Closed Session Special Meeting of the City Council was called to order at 2:32 p.m. on Tuesday, February 6, 2024, in the City Council Chamber at City Hall with Mayor Bailey presiding.
A quorum of members was present to conduct a meeting by the following results:
Present: (4) Councilmember Donovan; Councilmember Duncan; Councilmember Tanaka; Mayor Bailey
Absent: (0) None
Also Present: (3) City Manager/Agency Executive Director Tina Friend City Attorney/Agency Counsel Johanna N. Canlas
City Clerk/Agency Secretary Kelsea Holian
2. ANNOUNCEMENT OF CLOSED SESSION
Mayor Bailey announced closed session at 2:32 p.m.
3. PUBLIC EMPLOYEE
Pursuant to Government Code section 54957
a. Annual Performance Evaluation of the City Attorney
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4. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION Pursuant to Government Code section 54956.9(d)(2)
a. Two (2) of Potential Cases
5. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
Pursuant to Government Code section 54956.9(d)(1)
a. Jon Scurlock v. City of Coronado
San Diego Superior Court Case No. 37-2021-00000841-CU-WM-CTL b. Shannon Player, et al v. City of Coronado
San Diego Superior Court Case 37-2023-00038256-CU-WM-CTL
6. COMMUNICATIONS – ORAL: None
7. ADJOURN CLOSED SESSION
Mayor Bailey announced that Closed Session recessed at 4:05 p.m. and that the Regular Meeting would begin at 4:15 p.m.
Closed Session adjourned at 7:42 p.m.
1. CALL TO ORDER/ROLL CALL
The Regular Meeting of the City Council was called to order at 4:16 p.m. on Tuesday, February 6, 2024, in the City Council Chamber at City Hall with Mayor Bailey presiding.
A quorum of members was present to conduct a meeting by the following results:
Present: (5) Councilmember Donovan; Councilmember Downey; Councilmember Duncan; Councilmember Tanaka;
Mayor Bailey
Absent: (0) None
Also Present: (3) City Manager/Agency Executive Director Tina Friend City Attorney/Agency Counsel Johanna N. Canlas
City Clerk/Agency Secretary Kelsea Holian
2. INVOCATION/PLEDGE OF ALLEGIANCE
Mayor Bailey led the Pledge of Allegiance.
3. MINUTES OF CITY COUNCIL/SUCCESSOR AGENCY:
A motion to approve the minutes of the Regular Meeting of January 16 and the Special Meeting of January 29, 2024, was made by Councilmember Downey and seconded by Councilmember Tanaka.
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The motion carried by the following results:
Yes: (5) Councilmember Donovan; Councilmember Downey;
Councilmember Duncan; Councilmember Tanaka;
Mayor Bailey
3. CEREMONIAL PRESENTATIONS:
4a. Presentation: 2024 Coronado Community Read
Shaun Briley, Director of Library Services, presented the selection for the 2024 Coronado Community Read, Remarkably Bright Creatures by Shelby van Pelt and distributed copies to Councilmembers.
4b. Certificate of Appreciation: Captain Newt “Bomb” McKissick Mayor Bailey presented a Certificate of Appreciation to Navy Captain Newt McKissick.
5. CONSENT CALENDAR
A motion to approve the Consent Calendar with the addition of item 10c was made by Councilmember Downey and seconded by Councilmember Donovan.
The motion carried by the following results:
Yes: (5) Councilmember Donovan; Councilmember Downey;
Councilmember Duncan; Councilmember Tanaka;
Mayor Bailey
5a. APPROVAL OF READING BY TITLE AND WAIVER OF READING IN FULL
OF ORDINANCES ON THIS AGENDA
Recommendation: Approve the reading by title and waive the reading in full of all ordinances on the agenda.
This item was approved under the Consent Calendar.
5b. REVIEW AND APPROVE THAT THE WARRANTS, AS CERTIFIED BY THE
CITY/AGENCY TREASURER, ARE ALL CORRECT, JUST, AND CONFORM TO THE APPROVED BUDGET FOR FISCAL YEAR 2023-24
Recommendation: Approve the warrants as certified by the City/Agency Treasurer.
This financial report was approved under the Consent Calendar. 5c. QUARTERLY PROJECTS PROGRESS REPORT
Recommendation: Receive report and provide direction, as needed.
This item was approved under the Consent Calendar.
5d. AUTHORIZATION TO RELEASE A REQUEST FOR QUALIFICATIONS FOR REHABILITATION AND LONG-TERM PROPERTY MANAGEMENT OF 517-519
ORANGE AVENUE
Recommendation: Authorize the release of a Request for Qualifications (RFQ) to solicit proposals for rehabilitation and long-term property management of 517-519 DocuSign Envelope ID: B90F7BAE-534E-4955-9F4D-1D402E730EAE February 6, 2024 Regular Meeting Minutes Page 4 of 10
Orange Avenue.
This item was approved under the Consent Calendar.
5e. AUTHORIZE THE CITY MANAGER TO EXECUTE A USE AGREEMENT
WITH THE CORONADO LAWN BOWLING CLUB FOR CONTINUED USE AND
MAINTENANCE ASSISTANCE OF THE LAWN BOWLING GREEN AT THE JOHN D. SPRECKELS CENTER AND BOWLING GREEN
Recommendation: Authorize the City Manager to execute a use agreement, in a form approved by the City Attorney, with the Coronado Lawn Bowling Club for continued use and maintenance assistance of the lawn bowling green at the John D. Spreckels Center and Bowling Green for a term of five (5) years with options to renew for two (2) additional five (5) year terms.
This item was approved under the Consent Calendar.
6. COMMUNICATIONS – ORAL:
Mayor Bailey presented a proclamation to Donna Salof and announced February 6, 2024, as “Donna Salof Day.”
Councilmember Downey provided comments regarding AT&T’s application to end its landline phone obligations in California.
Bob Howdyshell invited the Council to the 60th year opening ceremony for the Navy Yacht Club San Diego.
Grant Telfer, representative for the Coronado Philharmonia Orchestra, provided comments regarding last year’s community grant and invited the public to attend upcoming events.
Mike Woiwode, Citizen Representative to Sharp Coronado Hospital, provided comments regarding the hospital receiving certification as a Primary Stroke Center.
7. CITY MANAGER/EXECUTIVE DIRECTOR:
a. Update on Council-Directed Actions and Citizen Inquiries.
Tina Friend, City Manager, provided updates on stormwater infrastructure and acknowledged Todd Tanghe of Dr. Electric for his assistance with getting various infrastructures back online. She further acknowledged Fire Chief and Emergency Operations Center Director Jayson Summers, Acting Police Chief Dustin Külling, Public Services and Engineering Direction Leon Firsht, and Risk Analyst Sheryl Sherman for their efforts in managing City affairs following the aftermath of the January 22 storm.
City Manager Friend announced the temporary closure of the aquatic center for renovations starting February 9 and that the City would be hosting a free pool party on February 8.
8. PUBLIC HEARINGS: None.
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9. COMMISSION AND COMMITTEE REPORTS: None.
10. CITY COUNCIL:
10a. COUNCIL REPORTS ON INTERAGENCY COMMITTEE AND BOARD ASSIGNMENTS.
Councilmember Duncan stated that Councilmember Donovan had been designated to represent the south county cities on the San Diego Association of Governments (SANDAG) Regional Planning Committee and Councilmember Duncan himself had been appointed to the Transportation Committee and will serve as an alternate on the Executive Committee.
10b. CONSIDERATION OF APPOINTMENT OF ONE NEW MEMBER TO THE
LIBRARY BOARD OF TRUSTEES TO SERVE THE REMAINDER OF A TERM EXPIRING AUGUST 31, 2024
Mayor Bailey reviewed the voting methodology that the City Council would use.
The City Clerk called the names and recorded the votes as follows:
Kathleen Mathis 4 Votes
Dan’l Steward 3 Votes
Lisa Udell 3 Votes
The City Clerk called the names and recorded the votes for the second round as follows:
Kathleen Mathis 2 Votes
Dan’l Steward 2 Votes
Lisa Udell 1 Vote
The City Clerk called the names and recorded the votes for the second round as follows:
Kathleen Mathis 2 Votes
Dan’l Steward 3 Votes
A motion to nominate Dan’l Steward to serve a term set to expire August 31, 2024, on the Library Board of Trustees was made by Mayor Bailey and seconded by Councilmember Tanaka.
The motion carried by the following results.
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Yes: (5) Councilmember Donovan; Councilmember Downey;
Councilmember Duncan; Councilmember Tanaka;
Mayor Bailey
10c. CONSIDERATION OF APPOINTMENT OF ONE NEW MEMBER TO THE
CULTURAL ARTS COMMISSION TO SERVE A TERM EXPIRING DECEMBER 31, 2026
Recommendation: Recommendation: Consider for appointment one new member from the submitted application to serve a term expiring December 31, 2026, on the Cultural Arts Commission.
Alyson Barre provided comments regarding her qualifications and her interest in being appointed.
Alyson Barre was nominated and appointed to serve a term set to expire December 31, 2026 on the Cultural Arts Commission under the Consent Calendar. 10d. CONSIDER REVISIONS TO CITY COUNCIL POLICY NO. 28 COMMUNITY GRANTS AND AUTHORIZE THE RELEASE OF FISCAL YEAR 2024-25
COMMUNITY GRANT PROGRAM DOCUMENTS
Kelli Maples, Management Analyst, presented this item utilizing a PowerPoint presentation.
Councilmember Donovan asked if staff had taken into account if the total amount of requested funding was less than the amount allocated to that grant element. Ms. Maples noted that the allocations may be used as a template to help progress the funding recommendations and give the grant readers an idea on how much money they have to allocate in funding.
Councilmember Downey asked the reasoning behind renaming the Social Services grant element to Community Services if it doesn’t change what is eligible. Ms. Maples noted that the name change does not change the eligibility, or the scoring guidelines and the name change was prompted by feedback that the grant elements not necessarily representing various organizations but that a name change does not change the eligibility requirements, so that those organizations may still not be able to find a suitable grant element to apply.
Discussion ensued regarding the efficacy of renaming the Social Services grant element, the difficulty of environmental or organizations focused on sustainability finding the appropriate grant element to apply to, using the allocations as a guideline for scorers and reallocating as seeing fit, and goals of the policy. Councilmember Donovan noted that he would submit proposed goal changes to justify changing the name of the grant element of Social Services to Community Services via a Policy #2 request.
A motion to approve the administrative changes of proctoring additional discussions with grant readers if score discrepancies occur and introduce a DocuSign Envelope ID: B90F7BAE-534E-4955-9F4D-1D402E730EAE February 6, 2024 Regular Meeting Minutes Page 7 of 10
narrative question that prompts applicants to describe how their organization has utilized prior year funding to City Council Policy No. 28 – Community Grants, establish a funding cap of $125,000 per organization, appropriate 25% of the total community grant funds to each category (Arts and Culture, Community Pride/Sense of Place, Economic Development, and Social Services categories) was made by Mayor Bailey and seconded by Councilmember Tanaka.
Councilmember Duncan noted the impact of establishing a funding cap per organization to $100,000 per year and to potentially stage the funding cap over a few grant cycles due to the grant cycle opening on February 15 but that he was supportive of a funding cap of $125,000 per organization.
Councilmember Donovan noted his support of allowing organizations to apply to multiple elements, eventually lowering the funding cap per organization to $100,000.
Discussion ensued regarding Councilmember Donovan submitting a Policy #2 request to justify changing the name of the grant element of Social Services to Community services, timing of the changes, and giving latitude to Councilmembers Donovan and Downey to bring back suggested changes. Councilmember Donovan affirmed that he will submit a Policy #2 request at a later date that will not impact this grant cycle that would formally assign himself and Councilmember Downey as a subcommittee to explore potential changes.
Councilmember Downey noted that historically, organizations are allocated funding based on their percentage score from the grant scorers and asked for clarification on the relationship between the funding cap per organization and the scores created by the grant scorers.
Councilmember Duncan asked that staff stress the relationship of scoring to funding to the grant scorers.
Mayor Bailey proposed an amendment to authorize the release of the Fiscal Year (FY) 2024-25 Community Grant Program documents. Councilmember Tanaka reaffirmed his second.
The motion carried by the following results:
Yes: (5) Councilmember Donovan; Councilmember Downey;
Councilmember Duncan; Councilmember Tanaka;
Mayor Bailey
10e. CROSS BORDER WATER QUALITY AND CITY ADVOCACY UPDATE Tony Winney, Assistant City Manager, and Andre Monette of Best Best & Krieger, LLP, presented this item utilizing a PowerPoint presentation.
Councilmember Downey asked about the efforts of Best Best & Krieger, LLP, to enhance engagement with the National League of Cities. Mr. Monette indicated that DocuSign Envelope ID: B90F7BAE-534E-4955-9F4D-1D402E730EAE February 6, 2024 Regular Meeting Minutes Page 8 of 10
Councilmember Downey and her predecessor who had been nominated to the National League of Cities primarily spearheaded these efforts. Mr. Monette mentioned his regular communications with National League of Cities staff to keep the issue actively discussed.
Councilmember Donovan asked if Mr. Monet could provide further information on H.R.5903, a bill to authorize the International Boundary and Water Commission (IBWC) to accept funds for activities relating to wastewater treatment and flood control works, and for other purposes. Mr. Monet replied that the bill represents a potential avenue for the IBWC to secure additional financial resources.
Councilmember Duncan highlighted feedback from elected officials and their staff and the importance of Coronado's persistent outreach in maintaining the issue's visibility on the national agenda.
Councilmember Tanaka acknowledged the positive impact of support from elected Navy Seals and the bipartisan, bicameral backing received.
Councilmember Donovan noted the increased support from the Mexican government and queried about progress in Mexico. Councilmember Duncan shared that the Mexican military has begun overseeing the construction of a wastewater treatment facility, noting a shift in Congress's perception of the issue from a domestic to an international crisis. Mr.
Monette added that there is significant support from various sectors within Mexico.
Mayor Bailey commented on the one-year existence of the Ad Hoc Committee, advocating for its continuation beyond the April 1, 2024, sunset date until new Council appointments are made.
A motion to receive the report regarding the City’s collective Cross Border Water Quality efforts and to extend the tenure of the Ad Hoc Committee, with Mayor Bailey and Councilmember Duncan remaining in their roles until subsequent Council appointments are determined was made by Mayor Bailey and seconded by Councilmember Tanaka.
The motion carried by the following results:
Yes: (5) Councilmember Donovan; Councilmember Downey;
Councilmember Duncan; Councilmember Tanaka;
Mayor Bailey
10f. RECEIVE THE TREASURER’S REPORT ON THE OVERVIEW OF CASH
AND INVESTMENTS, AND REVIEW AND APPROVE THE CITY OF
CORONADO’S INVESTMENT POLICY
John Kim, Director of Administrative Services, presented this item utilizing a PowerPoint presentation.
Councilmember Tanaka asked about the City's contributions to the Other Post DocuSign Envelope ID: B90F7BAE-534E-4955-9F4D-1D402E730EAE February 6, 2024 Regular Meeting Minutes Page 9 of 10
Employment Benefits (OPEB) and Pension Trust Investment Portfolio with Public Agency Retirement Services (PARS), asking if these are made annually or require Council approval, and whether these funds can be invested more aggressively than other investment accounts. Mr. Kim indicated that adjustments are included in annual and midyear budget proposals based on financial standing and confirmed both the possibility of a more aggressive investment approach for these funds and satisfaction with their current returns.
Councilmember Duncan asked about the timing of the most recent staff analysis and any preceding analyses, to which Mr. Kim stated the latest analysis was conducted about four months ago, with no record of the previous analysis and mentioned the shift from using an external investment manager to in-house management. Councilmember Duncan noted the transfer of $20 million in CDs and asked about funds moved from Local Agency Investment Fund (LAIF) and San Diego County funds for investment, with Mr. Kim indicating a transfer of around $60 million to US Treasury Bills and other investments. Mr.
Kim expressed a preference for a more active strategy over the current passive one and confirmed the CDs are fully insured.
Mayor Bailey asked if the planned allocation of US Treasury Bills required any changes to the City’s existing investment policy. Mr. Kim confirmed that the purchase of US Treasury Bills is allowable under the current policy.
City Manager Friend noted the City's transition towards a more proactive investment strategy, stating that future quarterly investment reports will be presented under Council Business rather than the Consent Calendar. This change aims to facilitate more in-depth discussion and alignment with the City's investment policy.
Councilmember Tanaka inquired whether Mr. Kim prefers in-house investment management or has contemplated hiring a consultant. Mr. Kim responded that he plans to continue with in-house management temporarily before deciding on a long-term strategy.
Councilmember Donovan asked Mr. Kim about potential recommendations for modifications to the existing investment policy. Mr. Kim stated that more regular review may be prudent but did not see any substantive need for changes.
Councilmember Duncan commented that there's no need to alter the policy itself; however, modifying its application could boost the City's interest income. He added that funds in CDs could be liquidated, albeit with a penalty, should the need arise.
Brad Gerbel provided comments regarding the loss of approximately $800,000 in potential interests by not transferring funds earlier.
Discussion ensued regarding enhanced analysis and discussion on the City's investment strategies, its track record of robust financial management, a AAA bond rating, and returns from the Local Agency Investment Fund (LAIF) exceeding expectations.
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A motion to receive the report on the overview of cash and investments, approve the City of Coronado’s investment policy, and direct staff to produce a white paper on the City’s investments was made by Mayor Bailey and seconded by Councilmember Tanaka.
The motion carried by the following results:
Yes: (5) Councilmember Donovan; Councilmember Downey;
Councilmember Duncan; Councilmember Tanaka;
Mayor Bailey
11. CITY ATTORNEY: None.
12. COMMUNICATIONS – WRITTEN: None.
13. ADJOURNMENT
Mayor Bailey recessed the Regular Meeting at 7:10 p.m.
Approved: February 20, 2024
__________________________
RICHARD BAILEY, Mayor of the
City of Coronado
Attest:
____________________________
KELSEA HOLIAN, City Clerk of the
City of Coronado
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