CITY OF CRESCENT CITY
Mayor Blake Inscore Mayor Pro Tem Ray Altmar
Council Member Jason Greenough Council Member Kelly Schellon Council Member Isaiah Wright
MINUTES
REGULAR MEETING OF THE
CITY COUNCIL OF THE CITY OF CRESCENT CITY
FLYNN CENTER BOARD CHAMBERS
981 H STREET
CRESCENT CITY, CA 95531
MONDAY June 17, 2024 6:00 P.M.
CLOSED SESSION
Call to order Mayor Inscore called the closed session to order at 5:02 p.m.
Roll call Council Members present: Council Member Kelly Schellong, Council Member Isaiah Wright, and Mayor Blake Inscore
Council Member absent at roll call: Council Member Jason Greenough Staff members present: City Manager Eric Wier, City Attorney Martha Rice, and City Clerk/Administrative Analyst Robin Altman
CLOSED SESSION PUBLIC COMMENT PERIOD
There were no comments from the public on closed session items.
CLOSED SESSION
Conference with Legal Counsel - Potential Litigation (Gov. Code § 54956.9(d)(2)):
Gov. Claim of Linda Marchbanks.
Council Member Greenough arrived for closed session already in progress at 5:18 p.m.
The closed session adjourned at 5:44 p.m.
OPEN SESSION
Call to order Mayor Inscore called the open session to order at 6:00 p.m.
Roll call Council Members present: Council Member Jason Greenough, Council Member Kelly Schellong, Council Member Isaiah Wright, Mayor Pro Tem Ray Altman, and Mayor Blake Inscore
Staff members present: City Manager Eric Wier, City Attorney Martha Rice, City Clerk/Administrative Analyst Robin Altman, Finance Director Linda Leaver (via Zoom), Public Works Director Dave Yeager, Housing Director Megan Miller (via Zoom), Senior Public Works Maintenance Worker Wade Mayes, Equipment Operator 1 Sean O'Neal, and Police Chief Richard Griffin
Pledge of Allegiance led by Mayor Inscore
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REPORT OUT OF CLOSED SESSION
City Attorney Rice reported the following action was taken in closed session:
On a motion by Council Member Wright, seconded by Council Member Schellong, and carried 5- O, the City Council of the City of Crescent City rejected the May 9, 2024 claim of Linda Marchbanks.
Mayor Inscore asked for Council consensus to take item 9 after the consent calendar; the Council was in unanimous consensus.
CEREMONIAL ITEMS
• Introduction of New Employees
Wade Mayes - Promotion to Senior Public Works Maintenance Worker Sean O'Neal - Equipment Operator 1
Jason DuBois - Electrical Mechanical Operations Technician 1 Public Works Director Yeager introduced Equipment Operator 1 O'Neal to the Council and gave a background of his abilities and skillsets. Director Yeager then introduced Senior Public Maintenance Worker Mayes stating he's shown great leadership skills and was promoted to Senior Public Works Maintenance Worker. Director Yeager explained that EMOT 1 Dubois was unable to be present at the meeting.
REPORTS AND PRESENTATIONS - None
PUBLIC COMMENT PERIOD
. The following residents addressed the Council:
Linda Sutter: stated her support of Elk Valley Casino for having gas that is 30 cents cheaper than in town and Brookings, therefore, she is no longer needing to travel to Brookings.
Sam Strait: stated that gas in Brookings is now $4.20 a gallon. He stated that since the Council is focused on economic development, he wanted to clarify that grants are a one-time thing that are gone at the end of the road. Spoke in support of the Tri-Agency being dissolved. He further stated that many local business owners complain about all of the constraints placed on them by the City and County as it makes it difficult for them to conduct business.
Roger Gitlin: he wanted to inform the Council that a change of the Opinion Page on page 2 will now be opened to the elected and appointed public officials and encouraged Council Members to write opinion pieces.
Donna Westfall: stated that she was on the Council and opposed the sewer rates; stated that the judge on the case that was in favor of the City was removed from office. Public records request:
would like to know how much the City has saved going to contract operations of the WWTP.
Stated that she was in support of a public utility being created by the City and would like to know why no action has been taken to discuss this option. Stated she wanted a copy of the check front and back for Hidden Creek Apartments to see who signed it.
Randall South: asked the City to create a public utility and would like to see it's on the agenda to open up the area to electric competition. Asked if there would be a motion to place this on the agenda; Mayor Inscore stated that placing items on the agenda is usually done at the end of the meeting by Council action.
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CONSENT CALENDAR
1. Warrant Claims List
Recommendation: Receive and file the warrant claims list for the period May 18, 2024 through May 31, 2024.
2. Payroll Report
• Recommendation: Receive and file the biweekly payroll reports for the period ending June 1, 2024, paid June 7, 2024.
3. Public Works Maintenance Manager Appointment
• Recommendation: Approve and adopt Resolution No. 2024-45, A Resolution of the City Council of the City of Crescent City Authorizing the Appointment of Kim Smith to the Retired Annuitant Position of Extra Help / Interim Public Works Maintenance Manager
4. 1405 California St: New Deferred Improvement Agreement • Recommendation: Approve and authorize the City Manager to sign a Mutual Termination of Deferred Improvement Agreement for 1405 California Street dated May 30, 2024
• Approve and authorize the City Manager to sign two new Deferred Improvement Agreements for 1405 California Street to replace the terminated agreement
5. 2024 Annual Water Supply and Demand Assessment
• Recommendation: Receive and approve the report on 2024 ANNUAL WATER
SUPPLY AND DEMAND ASSESSMENT
• Direct City staff to submit said report to the State Water Resources Control Board
6. Application Under the California Disaster Assistance Act for the Smith River Complex • Recommendation: Approve and adopt Resolution No. 2024-46, Designation of Applicant's Agent Resolution for Non-State Agencies
• Direct staff to submit an application for funding under the California Disaster Assistance Act for costs related to the 2023 Smith River Complex Fire Council Member Schellong asked for Item 1 to be pulled from the consent calendar as she has a conflict with her employer; the Council was in consensus to do so.
Branden Bieber: wanted to address item 4; children are playing in the same area where road workers are. Is there a contingency plan for Phase 3; asked for the Council to finish the road in Phase 1.
Mayor Inscore asked the Council if any of them would like to pull item 4 from the consent calendar for further discussion; no Council Members requested the item to be pulled. consent calendar consisting of items 2-6 as presented.
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There were no public comments on item 1 of the consent calendar.
On a motion by Council Member Wright, seconded by Mayor Pro Tem Altman, and carried on a 4-0-1 polled vote, with Council Member Schellong recusing herself, the City Council of the City of Crescent City received and filed the warrant claims list for the period May 18, 2024 through May
NEW BUSINESS
9. Joint City / County Letter of Support for the Del Norte Performing Arts Center • Recommendation: Receive Presentation / Project Update from Nick Rail (PPA) • Technical questions from the Council
• Receive public comment
• Further Council discussion
• Approve and authorize the City Council to sign a City/County joint letter of support for the Partnership for the Performing Arts (PPA) Project for the Development of a Performing Arts Center in Del Norte County
Nick Rail, of the Partnership for the Performing Arts gave a report to the Council on the Del Norte Performing Arts Center. He stated that the project is close to being shovel ready and has $2.5million in funding already. He gave a PowerPoint presentation showing the detail of the project design. Mr. Rail thanked the Council for considering giving PPA an updated letter of support. Council Member Greenough supported the project stating it would be a great experience for children and for the ability for emergency services to use the building in the event of an emergency. Council Member Schellong stated that she appreciated Mr. Rail always saying this was from "PPA" and she wanted to recognize him and his wife Lisa for being the ones behind it On a motion by Council Member Wright, 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 authorized the City Council to sign a City/County joint letter of support for the Partnership for the Performing Arts (PPA) Project for the Development of a Performing Arts Center in Del Norte County
Linda Sutter: stated that she is in support of the project, but since it is a $42 million project and isn't sure where that money will come from. Does not support getting a bond for the money and feels the Council should be asking those questions.
Donna Westfall: what Nick and Lisa Rail have positively impacted her grandson's and granddaughter's life, they are both musicians and this is a direct result of the Rails focus on youth in music.
Branden Bieber: is in full support of this project and that it will be great for local youth; questions where the funding will come from.
Sam Strait: is also in support of this project and would hope that there is no objection for them using the same program his children went through. Hopes the funding will come through for this project to be fully funded.
Mayor Inscore stated that PPA has come before the Council multiple times but have only asked for the support of the vision, not asking for funding. He stated for this project to receive private funding, you must have the support of the local communities and why this letter is important for 4 | Page
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them. Chief Griffin stated that he was never suited for the performing arts, however, without a band, you don't have a good experience at the game. Kids need something to do and not all are prone to join sports teams.
PUBLIC HEARING
7. Fiscal Year 2024-25 Budget, Position Control, Salary Schedules for Unrepresented Employees, and Appropriations Limit
• Recommendation: Open public hearing
Receive staff report
Technical questions from Council
Receive public comment
• Close public hearing
• Further Council discussion
• Direct staff to negotiate cash flow financing for upcoming grant projects and bring agreements and legal documents to a future Council meeting for approval • Adopt Resolution No. 2024-47, A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF CRESCENT CITY ADOPTING THE ANNUAL BUDGET OF THE CITY OF
CRESCENT CITY, INCLUDING ANY ATTACHMENTS AND/OR APPENDICES, FOR FISCAL YEAR 2024-25
• Adopt Resolution No. 2024-48, A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF CRESCENT CITY SELECTING THE ANNUAL ADJUSTMENT FACTORS FOR THE CALCULATION OF THE FISCAL YEAR 2024-25 APPROPRIATIONS
LIMIT FOR THE CITY OF CRESCENT CITY
• Adopt Resolution 2024-49, A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF CRESCENT CITY ESTABLISHING WAGES, BENEFITS, AND OTHER TERMS
OF EMPLOYMENT FOR THE UNREPRESENTED POSITION OF CAREER FIRE • Adopt Resolution 2024-50, A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF CRESCENT CITY REVISING THE SALARY SCHEDULE FOR CERTAIN
CONTRACT POSITIONS
Mayor Inscore opened the public hearing at 6:47 p.m.
City Manager Wier stated that there have been over 7 hours of Council deliberations for this budget. Actual expenses should end up lower than what has been budgeted. This budget has been built to be conservative, but also realistic. City Manager Wier explained the Measure S budget process and stated that it runs parallel to the City budget process. He further explained that several meetings occur between the City Manager and Finance Director to fine tune the budget and bring it back to the Measure S Oversight Committee as well as the City Council. City Manager Wier detailed what is included in the budget from Measure S funds for Crescent City Fire and Rescue, Crescent City Police Department, the Fred Endert Municipal Pool and streets.
City Manager Wier reported on the General Fund, Water Fund, Sewer Fund, Housing Authority Fund, RV Park, Sewer CIP and other funds that were detailed in the previous Budget Workshops.
He further reported to the Council that the City's cash flow has been discussed quite often and that obtaining grant funding has been successful to fund several large projects. Since there are other projects that will have significant impact on the City's cash flow, staff recommends it coming back to the Council to discuss. These grant-funded projects are usually on a reimbursement basis, meaning the City pays the project invoices and then requests reimbursement from the granting agency, which can take several months to receive. In between paying the contractor and receiving the reimbursement from the granting agency, the City's cash balance is reduced. For most projects, this temporary negative cash balance for the grant project must be covered by cash from the General Fund. In prior years, this was not a concern because the project amounts were not 5 | Page
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nearly as large as what is projected for the next two years. A portion of the Prop 68 and Clean California grants are available to the City as an advance, with the remaining portion on reimbursement basis. This helps with cash flow but does not fully address the issue. Staff will bring back this discussion at a future Council meeting.
Council Member Schellong asked if a fulltime Building Inspector as proposed will help with current project load; City Manager Wier stated that yes, this will fulfill the needs for the projects. She stated she would prefer to have a full-time position rather than having a consultant hired to do the work. Council Member Greenough asked how many meters will this budget replace this year and what is the rate at which will get fully caught up? City Manager Wier stated they are $400 a meter therefore will get us 1,000 meters and at that point we will see where we are. The timeframe would be three years.
Linda Sutter: asked how much is set aside for sewer capital projects monthly and how much did the City obtain from Measure S.
Donna Westfall: suggested that the police department do a fraud investigation into the Chamber of Commerce; asked why haven't the connection fees been increased and if water has been sold using recycled water from the WWTP.
Sam Strait: asked if the Council realizes that although the City needs to meet their needs, so do the citizens.
To answer Ms. Sutter's question, City Manager Wier stated it's approximately $2.3 million in Measure S funding.
Chief Griffin stated that if Ms. Westfall would like an investigation opened on the Chamber, he can meet with her. Mayor Inscore stated that he is unaware of who the anonymous person is, he has been the Chamber Treasurer for several years and there has not been any missing money, as a matter of fact they have been in the black every year. Regarding the question about reusing water from the WWTP; City Manager Wier stated that the MBR does create excellent water. The RBCs are 1970s and that water is blended with the MBR water. The MBR has the capacity to create recycled water, however due to all of the cost factors to be able to use recycled water to water the park, etc., it is not feasible at this time.
Mayor Inscore closed the public hearing at 7:51 p.m.
There was unanimous consensus from the Council to work on cash flow financing and bring it back to the Council.
On a motion by Council Member Greenough, seconded by Council Member Schellong, and arried on a 5-0 polled vote. the City Council of the City of Crescent City adopted Resolution N 024-47, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CRESCENT CIT
ADOPTING THE ANNUAL BUDGET OF THE CITY OF CRESCENT CITY, INCLUDING ANY ATTACHMENTS AND/OR APPENDICES, FOR FISCAL YEAR 2024-25
On a motion by Council Member Wright, seconded by Council Member Greenough, and carried on a 5-0 polled vote, the City Council with the City of Crescent City adopted Resolution No. 2024- 48, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CRESCENT CITY SELECTING
THE ANNUAL ADJUSTMENT FACTORS FOR THE CALCULATION OF THE FISCAL YEAR 2024-25 APPROPRIATIONS LIMIT FOR THE CITY OF CRESCENT CITY On a motion by Council Member Wright, seconded by Council Member Greenough, and carried on a 5-0 polled vote, the City Council of the City of Crescent City adopted Resolution No. 2024- 49, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CRESCENT CITY 6 | Page
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ESTABLISHING WAGES, BENEFITS, AND OTHER TERMS OF EMPLOYMENT FOR THE
UNREPRESENTED POSITION OF CAREER FIRE CAPTAIN
On a motion by Council Member Greenough, seconded by Council Member Wright, and carried on a 5-0 polled vote, the City Council of the City of Crescent City adopted Resolution No. 2024- 50, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CRESCENT CITY REVISING
THE SALARY SCHEDULE FOR CERTAIN CONTRACT POSITIONS
CONTINUING BUSINESS
8. Military Equipment Use Policy Public Meeting
• Hear staff report
• Technical questions from the Council
• Allow the public to voice comments, concerns and ask questions regarding the Military Equipment Use Policy 2022 Annual Report and/or the City's Military Equipment Use Policy
Chief Griffin stated that this is a continuation and a public meeting requirement. Under AB 481 there was a change in what was determined by the government to be military equipment. CCPD does not have all of the categories of military equipment, but it does have some. The actual surplus equipment from the military has been returned. The weapons in the report were not actual military equipment, they are weapons commonly used by law enforcement that AB 481 defined as "military equipment." Chief Griffin said the only change in the military equipment inventory is that he would still like to purchase an aerial drone, but there is a lot of paperwork and he is still processing it. Nothing has changed since the last Council meeting. This report and public meeting is an annual requirement.
There were no comments from the public.
NEW BUSINESS
10. Tri-Agency Economic Development Authority Dissolution • Hear staff report
• Technical questions from Council
• Receive public comment
• Council Discussion
• Agree to mutual termination of the Tri-Agency Economic Development Authority pursuant to Section 8.03 of the Joint Powers Agreement; and • Direct staff to negotiate a dissolution agreement with the County and Harbor including an equal share of the costs of existing litigation, dissolution, and any other outstanding debts or liabilities of the Tri-Agency
City Attorney Rice reported to the Council that there is a request for action that is a technicality.
At the joint meeting on June 11t there was a failure for all three agencies to come to an agreement for the same joint powers agreement. At that meeting, Mayor Inscore made the motion for the City to agree to mutual termination, however, the motion failed for lack of a second. This was followed by the Harbor and County successfully passing motions to mutually terminate the Tri- Agency. Now, the City is the only agency that has not expressly agreed to mutual termination, and a JPA cannot exist with just one entity. City Attorney Rice stated that the JPA only has two routes for termination, mutual agreement and unilateral withdrawal. Under unilateral withdrawing, the withdrawing entities are not liable for the debts of the agency. Therefore, it is in the best interest of the City for the Council to be clear on which path they are proceeding. 7 Page
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Linda Sutter: reminded the Council there is a Writ of Mandate in the Court to terminate the Tri- Agency and until it is terminated, the case will remain open. She is disappointed that the other three Council Members stayed silent. She gave a history of the Tri-Agency and stated that it became fiscally irresponsible.
Donna Westfall: stated that at the meeting, Tri-Agency Counsel suggested that a way that the Tri- Agency could be resurrected, and she was in support of their suggestion.
Council Member Schellong stated that she was disappointed all three agencies didn't work together. She has been approached by several who spoke in support of the Tri-Agency. Council Member Greenough stated he was there for the process to figure out the payment of the debt; he said the debt shouldn't be paid if it's going to be dissolved and is why he took the position he did at the meeting. Was disappointed that all three agencies didn't work together at that meeting.
On a motion by Council Member Wright, seconded by Mayor Pro Tem Altman, and carried on a 3-2 polled vote with Council Member Greenough and Council Member Schellong voted no, the City Council of the City of Crescent City agreed to mutual termination of the Tri-Agency Economic Development Authority pursuant to Section 8.03 of the Joint Powers Agreement and directed staff to negotiate a dissolution agreement with the County and Harbor including an equal share of the costs of existing litigation, dissolution, and any other outstanding debts or liabilities of the Tri- Agency.
CITY COUNCIL ITEMS
Reports, Concerns, Referrals, Council travel and training reports - Council Member Wright: stated he regretted missing the Tri-Agency meeting Council Member Schellong: attended the Del Norte High School graduation and it was the best graduation she has been to.
Mayor Inscore: stated that there was a debrief after the Forest Moon Festival. • Legislative Matters - None
> City Manager Report and City Council Directives - City Manager Wier reported to the Council the following:
• H Street's new development is coming together
• Pump Track construction will begin soon
• Tidewater Contractors will be ready for the next phase of Front Street after the 4'h of July
• The Pool projects will also occur during the summer
• Attended the Scholarship Banquet - this is an incredible program for our local students and that over $350k was made available in scholarships.
ADJOURNMENT
There being no further business to come before the Council, Mayor Inscore adjourned the meeting at 8:17 p.m. to the regular meeting of the City Council of the City of Crescent City on Monday, July 1, 2024 at 6:00 p.m. in the Flynn Center, 981 H Street, Crescent City, CA ATTEST:
Peten
Robin Altman, City Clerk/Administrative Analyst
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