CITY OF CRESCENT CITY
Mayor Isaiah Wright Mayor Pro Tem Blake Inscore
Council Member Raymond Altman Council Member Jason Greenough Council Member Kelly Schellong
MINUTES
REGULAR CITY COUNCIL MEETING
FLYNN CENTER BOARD CHAMBERS
981 H STREET
CRESCENT CITY, CA 95531
MONDAY FEBRUARY 6, 2023 6:00 P.M.
CLOSED SESSION
Call to order Mayor Wright called the closed session to order at 5:00 p.m.
Roll call Council Members present: Council Member Ray Altman, Council Member Jason Greenough, Council Member Kelly Schellong, Mayor Pro Tem Blake Inscore, and Mayor Isaiah Wright
Staff members present: City Manager Eric Wier, City Attorney Martha Rice, Human Resources Manager Sunny Gonzales, Finance Director Linda Leaver and City Clerk/Administrative Analyst Robin Altman
ANNOUNCEMENT OF CLOSED SESSION ITEMS
• Conference with Legal Counsel - Existing Litigation (Gov. Code Section 54956.9(d)(1): City of Crescent City v. Lounge Chair Investments, et al (Del Norte Superior Court Case No. CVUJ-2022-1131)
• Conference with Legal Counsel - Potential Litigation (Gov. Code Section 54956.9(d)(4): 1 case
• Conference with Real Property Negotiator (Gov. Code Section 54956.8): vacated segment of Taylor Street; Eric Wier, Property Negotiator • Public Employee Performance Evaluation (Gov. Code Section 54957(b)): Title: City There were no comments from the public on the closed session agenda.
The closed session adjourned at 6:03 p.m.
OPEN SESSION
Call to order Mayor Wright called the meeting to order at 6:04 p.m.
Roll call Council Members present: Council Member Ray Altman, Council Member Jason Greenough, Council Member Kelly Schellong, Mayor Pro Tem Blake Inscore and Mayor Isaiah Wright
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Staff members present: City Manager Eric Wier, City Attorney Martha Rice, City Clerk/Administrative Analyst Robin Altman, Human Resources Manager Sunny Gonzales, Finance Director Linda Leaver, Public Works Director Dave Yeager, Economic Development and Recreation Director Ashley Taylor, Grants and Economic Development Coordinator Bridget Lacey (via Zoom), Police Sergeant Jennifer Owen, Police Sergeant Ed Wilson, Police Officer Yeng Lo, Police Officer Daniel Sanders and Police Chief Richard Griffin
Pledge of Allegiance led by Mayor Wright
REPORT OUT ON CLOSED SESSION
City Attorney Rice reported no actions were taken on closed session items, but at the adjournment of the Council meeting, the Council will return to closed session.
PUBLIC COMMENT PERIOD
There were no comments from the public.
• Reports, Concerns, Referrals, Council travel and training reports - Council Member Altman: nothing to report
Council Member Greenough: nothing to report
Council Member Schellong: attended the Border Coast Regional Airport Authority meeting, met with City Attorney Rice and Fire Chief Carey to learn more about their departments Mayor Pro Tem Inscore: attended CERF grant meeting and the Chamber with other partners regarding a group of bicyclists coming after the 4 of July Mayor Wright: nothing to report
CEREMONIAL ITEMS
1. Introduction of the New Warden for Pelican Bay State Prison, Warden Stephen Smith Mayor Wright explained that due to a schedule conflict, Warden Smith was unable to attend tonight's meeting.
2. Chief Commendation for Officer Daniel Sanders
Chief Griffin gave recognition to Officer Sanders for his recent trip to Ukraine to train people to use life-saving equipment. Officer Sanders reported on his trip and how he was able to provide training that the Ukrainians would not have been able to get. They were very appreciative of CCPD coming to their country to help.
3. Introduction of new employees: Police Recruits Jordan Fillippa and Samantha Aguirre Chief Griffin gave backgrounds on both recruits, both positions have been funded by Measure S.
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REPORTS AND PRESENTATIONS
4. Fiscal Year 2021-22 Financial Audit
• Recommendation: Receive presentation from auditor
• Technical questions from the Council
• Receive public comment
• Further Council discussion
• Receive and file the Fiscal Year 2021-22 Audited Financial Report for the City of Crescent City and the Report on Measure S Activities
Finance Director Leaver introduced Mitesh Desi of Badawi and Associates who will be reporting to the Council the FY 2021-22 Audit Report. Mr. Desi stated that the areas of primary audit empnasis was revenues and receivables, improperly revenue recognitions, governmental funds - confirm/validate TOT, property takes, sales taxes, franchise taxes and other significant revenues, proprietary funds, pension and OPE and review of accounting estimates for bias, examination of manual journal entries and evaluation of business rationale for unusual transactions. Mr. Desi also reported to the Council that an audit of the Measure S activities was conducted. He further stated that there were no material weaknesses found, no significant deficiency identified in the financial statements and Federal Awards. There were also no audit findings to be disclosed as required to be reported.
There were no comments from the public.
Council Member Schellong asked her fellow Council Members how they felt the City was doing financially; and asked why this is the June 2022 report. City Manager Wier stated that since that is the end of the fiscal year. Council Member Greenough feels the City is in a good position and likes that debts are being paid. Mayor Pro Tem Inscore stated that it is impressive that we continue to have clean audits. Mayor Wright spoke about the high level of communication and transparency. Council Member Schellong spoke of her concern over the net position has increased and that is only due to taxes increasing, but revenues are decreasing and expenses are increasing and is it being taken into consideration. City Manager Wier stated that TOT and taxes are projected to be higher; the City is in good financial shape. Council Member Schellong stated that the Sewer Fund was at a loss; City Manager Wier stated the City is in the process of working on a rate study. Council Member Schellong asked if there are any benefits to encourage new businesses to hook up service; City Manager Wier stated that there is a payment plan option.
On a motion by Mayor Pro Tem Inscore, seconded by Council Member Greenough, and carried on a 5-0 polled vote, the City Council of the City of Crescent City received and filed the Fiscal Year 2021-22 Audited Financial Report for the City of Crescent City and the Report on Measure
CONSENT CALENDAR
5. Council Meeting Minutes
• Recommendation: Approve the January 10, 2023 and the January 17, 2023 meeting minutes of the City Council.
6. Warrant Claims List
Recommendation: Receive and file the warrant claims list for the period January 7, 2023 through January 27, 2023.
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7. Payroll Report
• Recommendation: Receive and file the biweekly payroll report for the period ending January 14, 2023, paid January 20, 2023.
8. Budget-to-Actual Financial Reports for December 2022 • Recommendation: Receive and file the monthly budget-to-actual financial reports of the City's major operating funds for the month of December 2022
9. Budget for Peterson Park Maintenance and Fencing
• Recommendation: Approve and adopt Resolution No. 2023-09, A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF CRESCENT CITY AMENDING THE FISCAL YEAR 2022-23 BUDGET OF THE CITY OF CRESCENT CITY
10. Quarterly Cash and Investments Report as of December 31, 2022 • Recommendation: Receive and file quarterly cash and investments report as of December 31, 2022
11. Confirmation of Del Norte Solid Waste Management Authority Public Member Appointment
Confirm the appointment of Michael Tompkins as the Public Commissioner for the Del Norte Solid Waste Management Authority
12. Redwood Coast Transit Authority Letter of Support
• Recommendation: Authorize the Mayor to sign a letter of support of the Redwood Coast Transit Authority TIRCP grant application for Expanding Transit Services and Growing Zero-Emission Fleets on California's North Coast
13. Purchase of Three Utility Trucks
• Recommendation: Approve and authorize the City Manager to sign the Purchase Order for the purchase of three Public Works utility trucks Mayor Pro Tem Inscore asked to pull item 13 for further discussion, the Council was in consensus.
There were no comments from the public.
On a motion by Council Member Greenough, seconded by Council Member Inscore, and carried unanimously on a 5-o polled vote, the City Council of the City of Crescent City adopted the consent calendar consisting of items 5-12 as presented.
Regarding item 13, Mayor Pro Tem Inscore asked why the decision to purchase Mavericks instead of Ford Rangers was made; City Manager Wier will research. Mayor Pro Tem Inscore asked for staff to look one more time to make sure the right decision is being made.
On a motion by Mayor Pro Tem Inscore, seconded by Council Member Altman, and carried unanimously on a 5-0 polled vote, the City Council of the City of Crescent City approved and authorized the City Manager to sign the Purchase Order for the purchase of three Public Works utility trucks.
PUBLIC HEARING - None
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CONTINUING BUSINESS
14. Val Polyanin Artwork Presentation and Programming Proposal • Recommendation: Hear staff report
• Technical questions from the Council
• Receive public comment
• Further Council discussion
• Direct staff to:
1. Option 1
Proceed with hiring a videographer, art researcher, curator, and marketing consultant with a total budget of approximately $28,000 to launch a 10-month marketing campaign and the staffing to open the former Bank of America building, at 240 H Street, three days a week for an art exhibit from May through December 2023, including Firs Friday events for the 2023 season in coordination with the Downtown • Approve and adopt Resolution No. 2023-10, A RESOLUTION OF THE
CITY COUNCIL OF THE CITY OF CRESCENT CITY AMENDING THE
FY 2022-23 BUDGET OF THE CITY OF CRESCENT CITY
2. Option 2
• Proceed utilizing the former Bank of America building as is to display the art and allocate staff to open to the public on regularly scheduled First Friday events for the 2023 season in coordination with the Downtown Divas
3. Option 3
Continue to utilize the Bank of America building to only store the art, do not allocate staffing or other resources to open the space to the public, and pursue permanent placement options
4. Option 4
Direct staff as necessary and appropriate
Economic Development and Recreation Director Taylor gave a history of this item going before the Council. To have the art work on exhibit, staff proposes having the story of Val Polyanin done by a professional agency. Annalise Flynn, independent curator and art historian and Jillian Morrison, art historian; will give historical context to Val Polyanin's story. Director Taylor stated that in addition to what Ms. Flynn and Ms. Morrison can provide, the plan is to also hire a videographer to document the story. LuLish Marketing will be pushing out information for this gallery. Council Member Greenough asked where in the process the City is in with discussions with the Kohler Foundation; Director Taylor stated that staff will reach out right away to pin down a date. Mayor Pro Tem Inscore stated that spending taxpayers' money, there needs to be a return on the investment. Does think that having the story told has value, but does not want to spend the money on an exhibit. Director Taylor stated that having a return on investment would be hard to quantify. She stated for the marketing piece, a lot of that can be done in-house and explained how the Kohler Foundation has done in the past with other art collections. City Manager Wier stated that Economic Development and Grants Coordinator Bridget Lacey met with Nick Rail of the Performing Arts Center and showed him the artwork; he was really encouraged and was interested in perhaps making it a part of the Performing Arts Center. Council Member Greenough asked about giving pieces to local schools. Ms. Morrison said most of the artwork should stay in Crescent City as that is where it was created and will provide more draw. Mayor Wright stated that this whole thing is not possible without the help from an organization like Kohler. Council Member Schellong said the story is meaningful, however, justifying any public money spent on this is difficult. She asked how the City can store this art long-term until it finds a permanent home 5 Page
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and does not support a museum like exhibition and having staff time to man it, should be done by volunteers. Council Member Schellong asked what will happen if Kohler doesn't take the collection; Director Taylor stated that it would have to be put in storage and would be $900 a month. Council Member Altman how much has been spent so far on this collection; Director Taylor stated that $8k to move it from 101 S to the Bank of America building. Council Member Greenough suggested placing the art pieces throughout the community and then auction off the rest. Feels the investment is worth the risk. Council Member Altman said that due to the expense of maintaining the collection, he would have voted not to take the collection at all. Asked Director Taylor if Val Polyanin was willing to tell his story; Director Taylor stated that Ms. Lacey had interviewed him. Council Member Altman said that the City has an art collection being stored in the Cultural Center and not on display. Council Member Greenough suggested getting the community involvement piece; Council Member Altman said that initially, had we not accepted the artwork, it would have been destroyed. Asked if a formal appraisal was going to be done on the artwork. Mayor Pro Tem Inscore stated that this does not need to be marketed, the focus needs to be on the preservation and finding it a permanent home. Council Member Schellong supports putting a plan together to find a permanent home for the collection; doesn't support paying staff time to have a museum, and does not support marketing. Mayor Wright stated that having $10k on a videographer is very expensive, he makes videos in 4k on his iPad. Mayor Pro Tem Inscore supports a strategy to house the collection and to make sure there is a story to go along with the collection. He stated that the budget should be a total of $10k.
Roger Gitlin: spoke in opposition spending money on this collection when the streets need to be fixed.
Ms. Flynn suggested creating a Board 501c3 to be in charge of fundraising to cover the expenses and not having to use public funds. Council Member Altman stated that he is not opposed to storing or housing the art, is just opposed to using public funds. He asked if there was a fund balance; there is, $6,500. Mayor Pro Tem Inscore asked if the $8k that has already been allocated, if we budget an additional $2k, would that be enough to chronicle the story and make connections; Director Taylor stated it would be doable. She also stated that staff would prepare the space for First Fridays so the public can see the collection and to be staffed by volunteers.
Direct staff to use the money in the Economic Development budget with the $1,500 donation, and an additional $2k without limiting what that money would be spent focusing on the curation, so the public can view the collection in an organized fashion and to do so safely.
Mayor Pro Tem Inscore made a motion, seconded by Council Member Greenough, that the City Council of the City of Crescent City direct staff to use the remaining Economic Development budget money as well as the $6,500 and the $1,500 received in donations and adopted Resolution No. 2023-10, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CRESCENT CITY AMENDING THE FY 2022-23 BUDGET OF THE CITY OF CRESCENT CITY by $2,000 in the General Fund.
During discussion Council Member Schellong asked what the direction to staff would be for staff hours as she is not in support of management team or Public Works crews to spend a lot of time hanging up the art. Mayor Wright stated that the suggestion of having a charity organization handle it and do fundraising was to prevent staff working on it. Council Member Schellong stated that there is a 501c3 Art Association locally. Mayor Pro Tem Inscore stated that there will not be enough time to create a new 501c3 for this to be on display this summer. Is not in favor of City staff using time for this display; City Manager Wier stated that staff would be necessary to direct the volunteers. Finance Director Leaver said that the $1,500 in donations was not a part of the original budget. In order to record that we've received and spent them, doing that as well as adding $2,000, the resolution would need to be $1,500 on the revenue side and $3,500 on the 6 | Page
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expense side. That would be spending the $1,500 donation and adding $2,000 to the existing budget.
Darrin Short: expressed concern that is this project the purpose of City government? The art was available and no one in the art community came out to obtain it.
On an amended motion by Mayor Pro Tem Inscore, seconded by Council Member Greenough, and carried on a 3-2 polled vote with Council Member Altman and Council Member Schellong voting no, the City Council of the City of Crescent City approved and adopted adopt Resolution No. 2023-10, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CRESCENT CITY AMENDING THE FY 2022-23 BUDGET OF THE CITY OF CRESCENT CITY and modified the resolution to add $1,500 revenue increase from the donation already received and an expenditure increase of $3,500.
NEW BUSINESS
15. Budget to Actual Operating Results for Fiscal Year 2021-22 • Recommendation: Hear staff report
• Technical questions from the Council
• Receive public comment
• Further Council discussion
• Receive and file budget-to-actual financial report of the City's major operating funds for Fiscal Year 2021-22
Director Leaver gave an analysis of what was spent in the budget and the Housing Authority budget. Council Member Greenough excused himself from the remainder of the meeting at 9:15 p.m. for work. Mayor Wright asked about the interest is different from what we budgeted; Director Leaver said that pre-COVID we did well with interest; it is starting to turn around as we had almost nothing for quite some time.
There were no comments from the public
major operating funds for Fiscal Year 2021-22
16. Community Economic Resiliency Fund Pilot Funding Grant Application with the Crescent City Harbor District
• Recommendation: Hear staff report
• Technical questions from the Council
• Receive public comment
• Further Council discussion
• Direct staff to join the Crescent City Harbor District in their application for funding through the Economic Development Pilot Program
Mayor Wright called a five minute recess at 9:23 p.m. and called the meeting back to order at 9:28 p.m.
Director Taylor went over the Community Economic Resiliency Fund (CERF) program and that it aims to fund regional programs and high road economic development strategies that directly complement state and federal infrastructure investments in multiple sectors. The program focuses strategies that include improving job quality and job access, meeting the skill and profitability 7 | Page
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needs of employers and meeting the economic, social and environmental needs of the community. The projects listed on the City's application are the revisioning of the Cultural Center as a potential joint visitor center between State & National Parks and the Del Norte County Visitors Center, the construction of the transit hub for Redwood Coast Transit Authority, and the creation of a Downtown Revitalization and Business Development project. Council Member Schellong asked what jobs will be tied to the City's application; Director Taylor said that it will come from the business development aspect. Mayor Pro Tem Inscore asked Michael Barr, Grant Writer for the Conservancy, North Coast Small Business Development Center, Elk Valley Rancheria, Del Norte and Tribal Lands Community Council, and Redwood Coast Ports.
There were no comments from the public.
On a motion by Mayor Pro Tem Inscore, seconded by Council Member Altman, and carried unanimously on a 5-0 polled vote, the City Council of the City of Crescent City directed staff to join the Crescent City Harbor District in their application for funding through the Economic Development Pilot Program with the three priorities listed: visitors center, transit center and a Downtown Revitalization & Business Development Program.
17. Front Street Complete Street and Cultural Inclusion Project- RAISE Grant Application • Recommendation: Hear staff report
• Technical questions from the Council
• Receive public comment
• Further Council discussion
• Approve and adopt Resolution No. 2023-11, A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF CRESCENT CITY AUTHORIZING SUBMISSION OF A
JOINT GRANT APPLICATION WITH ELK VALLEY RANCHERIA TO THE
REBUILDING AMERICAN INFRASTRUCTURE WITH SUSTAINABILITY AND
EQUITY (RAISE) PROGRAM FOR THE FRONT STEET COMPLETE STREET AND
CULTURAL INCLUSION PROJECT
City Manager Wier went over the 2023 RAISE grant, the City has applied four different times for this funding. This year's application is very competitive and staff has been working well with Elk Valley Rancheria. There will be a public workshop on February 15th for input on the Beachfront Park General Plan.
There were no comments from the public
On a motion by Mayor Pro Tem Inscore, seconded by Council Member Schellong, and carried unanimously on a 5-0 polled vote, the City Council of the City of Crescent City approved and adopted Resolution No. 2023-11, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CRESCENT CITY AUTHORIZING SUBMISSION OF A JOINT GRANT APPLICATION WITH ELK
VALLEY RANCHERIA TO THE REBUILDING AMERICAN INFRASTRUCTURE WITH
SUSTAINABILITY AND EQUITY (RAISE) PROGRAM FOR THE FRONT STREET COMPLETE STREET AND CULTURAL INCLUSION PROJECT.
CITY COUNCIL ITEMS
Legislative Matters - None
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City Manager Report and City Council Directives - City Manager Wier stated that Director Leaver and her staff have done a fantastic job on the audit.
ADJOURNMENT
There being no further business to come before the Council, Mayor Wright adjourned the meeting at 10:08 p.m. to closed session. Closed session adjourned at 10:28 p.m. to the regular meeting of the City Council of the City of Crescent City on Tuesday, February 21, 2023 at 6:00 p.m. in the Flynn Center, 981 H Street, Crescent City, CA 95531.
ATTEST:
Robin Altman
City Clerk/Administrative Analyst
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