MINUTES OF THE
CITY COUNCIL OF THE CITY OF DOWNEY
SPECIAL MEETING
NOVEMBER 18, 2025
The City Council of the City of Downey held a Special City Council Meeting - Open Session on November 18, 2025, at 5:30 p.m., in the Council Chambers of the Downey City Hall, 11111 Brookshire Avenue, Downey, California, Mayor Sosa presiding.
PRESENT:
Council Members:
Hector Sosa
Dorothy Pemberton
Claudia M. Frometa
Horacio Ortiz
Mario Trujillo
Mayor
Mayor Pro Tern
Council Member
Council Member
Council Member
ALSO PRESENT: Roger Bradley, City Manager
Vaniah De Rojas, Assistant City Manager
John M. Funk, City Attorney
James McQueen, Human Resources Director
M. Alicia Duarte, CMC, City Clerk
PUBLIC COMMENT ON CLOSED SESSION AGENDA ITEMS
(excused)
Mayor Sosa asked City Clerk Duarte if any written public comments were received regarding Closed Session items. City Clerk Duarte confirmed no written public comments were received. items.
Mayor Sosa asked if there was anyone present who would like to comment on Closed Session B.C., resident, commented in regards to Item No. 2.
It was moved by Council Member Ortiz, seconded by Mayor Pro Tern Pemberton, and so ordered by Mayor Sosa, to close public comment.
RECESSED TO CLOSED SESSION
Mayor Sosa announced the City Council is recessing to Closed Session at 5:34 p.m. to discuss matters under the authority of the following sections of the Government Code:
1. Government Code Section 54957(b)(1) - Public Employee Performance Evaluation - Title: City Manager.
2. Government Code Section 54957(b)(1) - Public Employee Performance Evaluation - Title: City Clerk.
RECONVENED REGULAR CITY COUNCIL MEETING - CLOSED SESSION Mayor Sosa reconvened the Special City Council Meeting - Closed Session at 6:34 p.m.
City Attorney Funk reported the Closed Session report as follows: In regards to Item Nos. 1 and 2, no reportable action was taken.
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The City Council of the City of Downey held a Special City Council Meeting — Open Session on November 18, 2025 at 6:35 p.m., in the Council Chambers of the Downey City Hall, 11111 Brookshire Avenue, Downey, California, Mayor Sosa presiding.
PRESENT: Council Members:
Hector Sosa
Dorothy Pemberton
Claudia M. Frometa
Horacio Ortiz
Mario Trujillo
Mayor
Mayor Pro Tern
Council Member
Council Member
Council Member
ALSO PRESENT: Roger Bradley, City Manager
Vaniah De Rojas, Assistant City Manager
John M. Funk, City Attorney
Scott Loughner, Police Chief
Anthony Hildebrand, Fire Chief
Matthew Baumgardner, Public Works Director
James McQueen, Human Resources Director
Irma Huitron, Community Development Director
Jason Chacon, Parks & Recreation Director
Austin Ramirez, Economic Development Director
M. Alicia Duarte, CMC, City Clerk
(excused)
The Invocation was delivered by Pastor Mario Magana, LEV Church. The Pledge of Allegiance was led by Boy Scout Troop 441.
CITY COUNCIL MEMBER ANNOUNCEMENTS; REQUESTS FOR FUTURE AGENDA ITEMS;
CONFERENCE/MEETING REPORTS
Council Member Ortiz welcomed the audience to the meeting. He reported attending several recent community events, including the annual Pumpkin Patch event, the Dia de los Muertos celebration which drew a large crowd, and the Veterans Day event, where he expressed appreciation for local veterans and their service. He thanked staff for their efforts in organizing these events.
Council Member Trujillo honored the memory of Downey Police Officer Ricky Galvez, reflecting on his service and sacrifice and emphasizing the importance of continuing to recognize law enforcement officers who risk their lives to protect the community. He noted attending the groundbreaking at the Columbia Memorial Space Center, highlighting Downey's historic role in space exploration and expressing support for the project as a lasting legacy for the City. Council Member Trujillo raised concerns regarding increased homelessness activity at Wilderness Park and beneath the freeway underpass near Florence Ave. and Studebaker Rd., and requested that the matter be referred to the City's homeless solutions staff for follow-up. City Manager confirmed the request. He further expressed concern about the condition of streets surrounding Downey Landing, particularly along Lakewood Blvd. and Stewart & Gray Rd., and requested that staff review the perimeter roadway conditions to determine whether repaving or repairs are warranted to maintain a positive appearance for visitors. The request was seconded by Council Member Ortiz.
Mayor Pro Tern Pemberton welcomed the audience to the meeting. She recognized November as National Native American Heritage Month and reflected on Veterans Day, honoring veterans for their service and sacrifices while highlighting ongoing challenges they face and resources available to support City Council Minutes
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them. She noted attending several community and regional events, including a luncheon featuring the L.A. County District Attorney, a Mayor's Prayer Breakfast, a business grand opening, and a veteran's appreciation luncheon recognizing a local veteran for distinguished military and community service. She shared updates from her role with the Vector Control District, including mosquito abatement efforts in the City and steps residents can take to prevent mosquito breeding. She addressed recent coyote sightings, explaining reporting procedures and recommended safety measures for residents. Mayor Pro Tern Pemberton reflected on the solemn anniversary commemorating fallen Officer Ricky Galvez and highlighted the groundbreaking ceremony forthe new Inspiration project at the Columbia Memorial Space Center, describing it as a major educational and legacy project that will enhance Downey's national profile in aerospace history and STEM education. She acknowledged the leadership of Space Center staff, Board Members, and City staff in advancing the project and noted opportunities for community participation and support. She provided updates on several consent calendar items, including completion of street improvements on Woodruff Ave. between Foster Rd. and Washburn Rd., upcoming phases of roadway work, progress on the Downtown Downey parking structure mural featuring Downey history by a local artist, and the continuation of security services at City parks and the Civic Center. She thanked staff for organizing the recent Veterans Day Ceremony and concluded with a request for staff to explore reinstating a holiday beautification recognition program for residents and businesses, encouraging community pride.
Mayor Sosa thanked attendees and provided a brief report, noting his participation in meetings of the Independent Cities Association and the County Sanitation Districts. He announced an upcoming turkey giveaway at Apollo Park hosted by Assemblywoman Blanca Pacheco and encouraged residents to share the information with those in need. Mayor Sosa commended Parks and Recreation staff for successfully organizing recent community events, including Dia de los Muertos, the Halloween Pumpkin Patch, and the Veterans Day Ceremony, citing strong attendance and positive community engagement.
He concluded by reaffirming the City's continued remembrance of fallen Officer Ricky Galvez Jr. on the 10m anniversary of his passing.
CITY MANAGER/STAFF MEMBER COMMENTS
City Manager Bradley provided a brief recap of Council directives. He stated that the City Council requested staff to conduct a traffic survey on Brookshire Ave. and evaluate potential traffic safety improvements along the corridor. The request was seconded by Mayor Pro Tern Pemberton. He also stated that the City Council requested an update on the City's Inclusionary Housing Ordinance, including a review of options and clarification of the current ordinance. The request was seconded by Mayor Pro Tem Pemberton. City Manager Bradley further reported that the City received an environmental sustainability recognition from the Gateway Cities, advancing from the bronze to the silver level. He commended staff for their efforts in improving the City's environmental practices and thanked the City Council for its leadership, noting the City's continued goal of achieving a gold -level designation in the future.
PRESENTATIONS
1. Mayor's Outstanding Citizen Award to Sophia Horta, Senior, Warren High School.
2. Proclamation in honor of the United States Marines 250th Birthday Celebration.
PUBLIC HEARINGS
1. AMENDMENTS TO THE CITYWIDE USER FEE SCHEDULE: Finance.
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CONDUCTED A PUBLIC HEARING AND ADOPTED RESOLUTION NO. 25-8325, ESTABLISHING (1) A PLAN CHECK FEE, (2) AN INCLUSIONARY HOUSING IN -LIEU FEE, AND (3) ADJUSTED POLICE DEPARTMENT DOJ FEES. AND AMENDING THE CITY'S UNIFORM SCHEDULE OF FEES FOR FISCAL YEAR 2025-2026
Mayor Sosa opened the Public Hearing at 7:11 p.m.
City Clerk Duarte affirmed receipt of the Proof of Publication. It was moved by Council Member Ortiz, seconded by Mayor Pro Tern Pemberton, and carried 4-0, with Council Member Frometa absent, to receive and file the publication.
Interim Assistant Finance Director Marlon Ramirez provided the staff report for Item No. 1. He reported that the City Council was being asked to hold a Public Hearing and consider adoption of Resolution No. 25-8325, which proposes four amendments to the Fiscal Year 2025-26 Citywide User Fee Schedule. He noted that the Council adopted the Citywide User Fee Schedule on June 24 2025, which included over 800 fees reflecting adjustments, additions, and removals, and that user fees are intended to recover the cost of services benefiting individual users and development projects. He explained that the first amendment would implement the Inclusionary Housing in Lieu Fee in the amount of $15.90 per square foot, established through a financial analysis conducted at the time the Inclusionary Housing Ordinance was adopted, based on the calculated affordability gap between market rate and affordable housing. The second amendment would add the Planning Division Building Plan Check Fee, which was inadvertently omitted from the adopted schedule, to recover costs associated with planning review for zoning design and development compliance. Proposed fees include $300 and $319.59 for single family plan checks, $958.77 for commercial and multifamily projects, and $213.60 per hour for third and subsequent rechecks. Mr. Ramirez stated that the remaining two amendments would correct Department of Justice (DOJ) regulated fees that were mistakenly adjusted by CPI, restoring them to the state mandated fixed amounts of $93 and $52, effective immediately upon adoption. He concluded that the amendments would properly implement the Inclusionary Housing in Lieu Fee, establish full cost recovery for planning plan checks, and correct DOJ fees to regulated fees.
Mayor Sosa asked for clarification regarding whether two fees were being decreased and, if so, which fees were affected. Interim Assistant Finance Director Ramirez responded that the two fees were DOJ regulated fees related to concealed weapons permits, explaining that they are set by an outside agency and were inadvertently adjusted by CPI during the June user fee schedule update. He stated that the fees are now being corrected and reduced back to the state mandated amounts.
Mayor Sosa asked whether the proposed amendments included any new fees. Mr. Ramirez confirmed that there are two new fees, specifically the Inclusionary Housing in Lieu Fee and the Planning Division Building Plan Check Fee.
Mayor Sosa asked City Clerk Duarte if any written public comments were received regarding the Public Hearing item. City Clerk Duarte confirmed no written public comment were received.
Mayor Sosa asked City Clerk Duarte if there was anyone present who would like to comment regarding the Public Hearing item.
B.C., resident, commented regarding the that all City User Fees being reduced by at least 10%.
It was moved by Mayor Pro Tern Pemberton, seconded by Council Member Trujillo, and so ordered by Mayor Sosa, to close the Public Hearing at 7:21 p.m.
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Council Member Ortiz requested clarification regarding certain fees listed for traffic sign i installation and street light or traffic signal related items, asking what those fees covered. City Manager Bradley responded that such fees generally apply when a resident requests installation of a sign or post or a street light inspection, and that staff could review the specific fee details. He clarified that the referenced fees were not being impacted by the action under consideration.
It was moved by Mayor Pro Tern Pemberton, seconded by Council Member Trujillo, and carried a 4-0, with Council Member Frometa absent, to adopt Resolution No. 25-8325, establishing a plan check fee, an inclusionary housing in -lieu fee, adjusting Police Department DOJ fees. and amending the City's Uniform Schedule of Fees for Fiscal Year 2025-26.
PUBLIC COMMENT ON AGENDA, CONSENT CALENDAR AND NON -AGENDA ITEMS Mayor Sosa asked City Clerk Duarte if any written public comments were received regarding Agenda, Consent Calendar and Non -Agenda items. City Clerk Duarte confirmed three written public comments were received.
Scarlett Giries, commented regarding the 1-5 North Florence exit.
Al Meyers, commented in regards to Apollo Park.
Kathy Perez, commented in support of Item No. 6.
Council Member Trujillo requested that staff forward the public comment email submitted by Scarlett Giries to Assemblywoman Pacheco's Office and asked that the issue be submitted to Caltrans ' as a service order, noting the poor condition of the northbound 1-5 Freeway exit at Florence Ave. City Manager Bradley acknowledged the request.
It was moved by Mayor Pro Tern Pemberton, seconded by Council Member Ortiz, and carried 4- 0, with Council Member Frometa absent, to receive and file written public comment.
Mayor Sosa asked City Clerk Duarte if there was anyone present who would like to comment regarding Agenda, Consent Calendar and Non -Agenda items.
Alan Halstensgaard, resident, commented in opposition to abortion.
B.C., resident, amended his previous comment in regards to Closed Session Item No. 1.
Brenda, resident, commented in regards to the construction project on Lakewood Blvd. and Firestone Blvd.
Michael Chacon, resident, commented in regards to the construction project on Lakewood Blvd. and Firestone Blvd.
Gary Chan, resident, commented regarding a proposed amendment to a City Ordinance related to public easements to allow for the installation of artificial turf.
Lee Squire, resident, commented in regards to antisemitism.
B.C., resident, commented in regards to the federal immigration raids.
Jeannie Wood, resident, thanked Council and staff for all they do for the City.
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It was moved by Council Member Trujillo, seconded by Council Member Ortiz, and so ordered by Mayor Sosa to close public comment.
CONSENT CALENDAR
Council Member Ortiz pulled Item No. 6, for separate discussion.
Council Member Trujillo abstained from Item Nos. 7, 9, and 12, due to owning property in the Downtown Downey area.
It was moved by Council Member Trujillo, seconded by Council Member Ortiz, and carried 4-0, with Council Member Frometa absent, to approve the remainder of the Consent Calendar.
2. APPROVAL OF COUNCIL MEETING MINUTES: Special Meeting of July 2, 2025; Regular meetings of January 28, 2025, and May 27, 2025: City Clerk.
3. WARRANTS ISSUED: Warrant Nos. 39599-394089; Payroll Wire Nos. 30004630, 30004637- 30004639; EFT Nos. 15169-15223; and, Manual Wire Nos. 2748-2756, in the total amount of $5,369,638.18: Finance.
4. ACCEPTANCE OF WORK FOR THE WOODRUFF AVENUE STREET IMPROVEMENT PROJECT, PHASE 2, CAPITAL IMPROVEMENT PROJECT (CIP) NO. 14-14B: Public Works. 1) ACCEPTED THE WORK FOR THE WOODRUFF AVENUE STREET IMPROVEMENTS, PHASE 2, CIP NO. 14-14B;
2) APPROVED THE FINAL CONSTRUCTION CONTRACT AMOUNT OF $4,953,613; AND, 3) AUTHORIZED THE DIRECTOR OF PUBLIC WORKS/CITY ENGINEER TO FILE A NOTICE
OF COMPLETION INDICATING THE WORK IS COMPLETE AND HAS BEEN ACCEPTED
BY THE CITY
5. APPROVAL OF CONSTRUCTION CONTRACT FOR INSPIRATION SHUTTLE RENOVATIONS - FIRE PROTECTION SYSTEM, CAPITAL IMPROVEMENT PROJECT NO. 21-31: Public Works. 1) AWARDED A CONTRACT TO GENERAL UNDERGROUND FIRE PROTECTION, INC. IN THE AMOUNT OF $573,600 FOR THE INSPIRATION SHUTTLE RENOVATIONS - FIRE PROTECTION SYSTEM PROJECT, CAPITAL IMPROVEMENT PROJECT NO. 21-31; 2) AUTHORIZED THE CITY MANAGER, OR HIS DESIGNEE, TO EXECUTE THE
CONSTRUCTION CONTRACT WITH GENERAL UNDERGROUND FIRE PROTECTION, INC. IN THE AMOUNT OF $573,600, INCLUDING UP TO A 10% CONTINGENCY, FOR
ANY NON -SUBSTANTIVE EXTENSIONS, CHANGE ORDERS, PURCHASE ORDERS, AND AMENDMENTS UP TO THE AUTHORIZED BUDGET AMOUNT OF $631,000; AND, 3) APPROVED A BUDGET TRANSFER IN THE AMOUNT OF $230,000 FROM FUND 40 (GENERAL FUND) CAPITAL IMPROVEMENT PROJECT NO. 21-18, SHUTTLE EXHIBIT AND EDUCATION BUILDING TO FUND 40 (GENERAL FUND) OF CAPITAL IMPROVEMENT PROJECT NO. 21-31, INSPIRATION SHUTTLE RENOVATIONS - FIRE
PROTECTION SYSTEM PROJECT
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7. APPROVAL OF A PROFESSIONAL SERVICES AGREEMENT WITH STAY ARTS FOR ART MURAL INSTALLATION SERVICES: Administration.
1) APPROVED THE PROFESSIONAL SERVICES AGREEMENT WITH STAY ARTS TO PROVIDE ART MURAL INSTALLATION SERVICES BEGINNING NOVEMBER 18, 2025 AND ENDING FEBRUARY 28, 2026 FOR THE CITY OF DOWNEY FOR A TOTAL CONTRACT AMOUNT OF $93,422; AND,
2) AUTHORIZED THE CITY MANAGER TO EXECUTE THE PROFESSIONAL SERVICES
AGREEMENT WITH STAY ARTS
8. SUBRECIPIENT AGREEMENT FOR 2024 STATE HOMELAND SECURITY GRANT PROGRAM FUNDS STATE HOMELAND SECURITY GRANT PROGRAM FUNDS: Fire. 1) AUTHORIZED THE CITY MANAGER OR HIS DESIGNEE, TO EXECUTE AN AGREEMENT WITH THE COUNTY OF LOS ANGELES FOR THE DISBURSEMENT OF THE 2024 STATE HOMELAND SECURITY GRANT PROGRAM FUNDS;
2) ACCEPTED AND APPROPRIATED $226,100 OF 2024 STATE HOMELAND SECURITY GRANT PROGRAM FUNDS; AND,
3) AUTHORIZED THE CITY MANAGER, OR HIS DESIGNEE, TO EXECUTE ANY AND ALL AMENDMENTS TO THIS AGREEMENT. THIS MAY INCLUDE ACCEPTANCE OF
ADDITIONAL GRANT FUNDS FROM THE COUNTY OF LOS ANGELES IF THEY BECOME
AVAILABLE DURING THE GRANT PERIOD
9. APPROVAL OF AMENDMENT NO. 2 TO PROFESSIONAL SERVICES AGREEMENT WITH RMI INTERNATIONAL INC FOR ADDITIONAL CITY PATROLS: Parks and Recreation. 1) APPROVED AMENDMENT NO. 2 TO THE PROFESSIONAL SERVICES AGREEMENT
WITH RMI INTERNATIONAL INC, TO EXTEND THE EXPANDED SCOPE OF SERVICES AS APPROVED ON NOVEMBER 12, 2024, FOR A 6-MONTH TERM, FOR PATROLS OF
CITY PARKS, AS WELL AS CONTINUE EXPANDED SECURITY SERVICES IN DOWNTOWN DOWNEY;
2) AUTHORIZED SECURITY SERVICE AT THE CIVIC CENTER, TO INCLUDE CITY HALL AND THE LIBRARY THROUGH JUNE 30, 2026; AND,
3) AUTHORIZED THE CITY MANAGER, OR HIS DESIGNEE, TO EXECUTE ANY AND ALL
AMENDMENTS TO THE AGREEMENT AS DEEMED NECESSARY
10. FISCAL YEAR 2025-2026 FIRST QUARTER PROGRESS REPORT OF THE DOWNEY FORWARD - 2030 STRATEGIC PLAN: Administration.
RECEIVED AND FILED THE DOWNEY FORWARD 2030 STRATEGIC PLAN FIRST QUARTER PROGRESS REPORT FOR FISCAL YEAR 2025-2026
11. CITY OF DOWNEY AMERICANS WITH DISABILITIES ACT (ADA) TRANSITION PLAN ANNUAL REVIEW AND UPDATE: Public Works.
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RECEIVED AND FILED THE CITY OF DOWNEY ADA TRANSITION PLAN ANNUAL REVIEW
AND UPDATE
12. APPROVAL OF A STREET CLOSURE APPLICATION REQUEST BY THE DOWNEY CHAMBER OF COMMERCE FOR THE 74TH ANNUAL DOWNEY CHRISTMAS PARADE & WINTER WONDERLAND EVENT: Administration.
APPROVED THE STREET CLOSURE PERMIT FOR CLOSURES ON SUNDAY, DECEMBER 7, 2025, FROM 8:00 A.M. TO 6:00 P.M. TO ACCOMMODATE THE 74TH ANNUAL DOWNEY
CHRISTMAS PARADE AND WINTER WONDERLAND EVENT
13. ACCEPTANCE OF THE SELECTIVE TRAFFIC ENFORCEMENT PROGRAM FUNDS (STEP GRANT): Police.
1) ACCEPTED A GRANT AWARD FROM THE OFFICE OF TRAFFIC SAFETY IN THE AMOUNT OF $301,000 TO CONDUCT VARIOUS SELECTIVE TRAFFIC ENFORCEMENT OPERATIONS THROUGHOUT THE CITY OF DOWNEY; AND,
2) INCREASED THE FISCAL YEAR 2025-2026 BUDGET BY $301,000 TO ACCOUNT FOR
THESE REVENUES AND ACCOMPANYING EXPENDITURES
14. FISCAL YEAR 2025-26 FIRST QUARTER BUDGET REPORT: Administration.
RECEIVED AND FILED THE FISCAL YEAR 2025-26 FIRST QUARTER BUDGET REPORT
OTHER BUSINESS
6. APPROVAL OF A CONSTRUCTION CONTRACT FOR THE DOWNEY GRAMMAR SCHOOL ARCH REPAIR PROJECT, CAPITAL IMPROVEMENT PROJECT NO. 26-14: Public Works. 1) AWARD A CONTRACT TO THE LOWEST RESPONSIVE AND RESPONSIBLE BIDDER, K. C. RESTORATION CO., INC., IN THE AMOUNT OF $115,109 FOR THE DOWNEY
GRAMMAR SCHOOL ARCH REPAIR PROJECT, CAPITAL IMPROVEMENT PROGRAM (CIP) NO. 26-14; AND,
2) AUTHORIZE THE CITY MANAGER, OR HIS DESIGNEE, TO EXECUTE THE CONSTRUCTION CONTRACT WITH K. C. RESTORATION CO., INC., INCLUDING ANY
NON -SUBSTANTIVE EXTENSIONS, CHANGE ORDERS, PURCHASE ORDERS, AND AMENDMENTS UP TO THE AUTHORIZED BUDGET AMOUNT OF $142,131 Council Member Ortiz suggested delaying action until a forthcoming project is completed, after which the restoration could proceed at a later time.
Mayor Pro Tern Pemberton also suggested pausing the project and deferring it to a future City Council meeting for further consideration.
It was moved by Council Member Trujillo, seconded by Council Member Ortiz, and carried 4-0, with Council Member Frometa absent, to table Item No. 6.
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ADMINISTRATIVE REPORTS
15. DISCUSSION REGARDING AN ENHANCED INFRASTRUCTURE FINANCING DISTRICT (EIFD):
Administration
RECEIVED A REPORT REGARDING AN ENHANCED INFRASTRUCTURE FINANCE
DISTRICT AND PROVIDE STAFF DIRECTION REGARDING MOVING FORWARD WITH EIFD PROCESS.
Assistant City Manager De Rojas introduced Joseph Diego from Kosmont Companies, to provide the oral presentation regarding the Enhanced Infrastructure Financing District (EIFD).
Mr. Diego provided an overview of the EIFD as a potential financing tool available to the City to support infrastructure investments that could catalyze private sector development. He explained that EIFDs allow a portion of future property tax growth within a defined area to be set aside and used for eligible improvements such as roads, water and sewer infrastructure, placemaking, and affordable housing, without increasing taxes. He noted that the City could establish an EIFD independently, but that partnering with another taxing entity, particularly L.A. County, could significantly increase the available funding through a shared tax increment approach and improve competitiveness for state and other grant funding. He described EIFDs as a successor mechanism to former redevelopment agencies, emphasizing that they are long term districts administered by a Public Financing Authority and guided by an Infrastructure Financing Plan that is subject to extensive public review and noticing. He noted that while no tax increase or election is required, the process includes opportunities for public input and majority protest. He outlined that EIFDs may remain in place for up to 45 to 50 years and can fund a broad range of infrastructure and housing related improvements. Mr. Diego stated that the potential study area evaluated in Downey is a focused area of approximately 191 acres near Rancho Los Amigos and adjacent properties, representing a small portion of the City's land area and assessed value. He explained that this level of focus is generally attractive to counties when considering partnerships, as it limits risk while maximizing the potential return from catalyzed development. He noted that the City currently receives only a small portion of total property tax revenues and that an EIFD would allow the City to leverage its share and potentially secure matching contributions from the County. He summarized preliminary financial modeling, indicating that a lower intensity development scenario could generate approximately $3 to $10 million over 10 years, while a higher intensity scenario could generate approximately $8 to $25 million over the same period, with funding capacity continuing to grow over time.
He noted that total funding potential over the life of the district could approach $50 million. He referenced early discussions with County staff, which have been positive to date. Mr. Diego concluded by outlining potential next steps should the Council wish to proceed, including consideration of a non -binding Resolution of Intention and continued dialogue with L.A. County regarding a potential partnership. He stated that, if advanced, the EIFD formation process could be completed by approximately July 2026.
Mayor Pro Tern Pemberton stated that the EIFD structure was new and informative, noting in particular that established financing districts can improve a City's competitiveness for grant funding. She acknowledged that the proposed 191-acre study area encompasses the Back 20 site, Rancho Los Amigos area, and the Vultee property, and emphasized the importance of pursuing additional resources given that the City receives only a small portion of property tax revenues.
It was moved by Council Member Trujillo, seconded by Council Member Ortiz, and carried 4-0, with Council Member Frometa absent, to receive and file the report and to move forward with EIFD process.
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16. ADOPTION OF RESOLUTION TO INITIATE PROPOSITION 218 PROCEEDINGS TO ADJUST CITY OF DOWNEY WATER RATES: Public Works.
1) RECEIVED THE COMPREHENSIVE STUDY ON THE CITY OF DOWNEY WATER RATES; 2) ADOPTED RESOLUTION NO. 25-8326, DIRECTING CITY STAFF TO INITIATE PROCEEDINGS PROPOSITION 218 TO CONSIDER ADJUSTMENTS TO WATER RATES; AND,
3) DIRECTED STAFF TO MOVE FORWARD WITH COMMUNITY OUTREACH EFFORTS TO
DISCUSS THE PROPOSED WATER RATE INCREASE
Public Works Director Matthew Baumgardner provided the staff report for Item No. 16. He reported that, following the October 28 Council meeting, staff was returning to present additional information on the comprehensive water rate study and to seek adoption of a Resolution initiating two Proposition 218 proceedings and directing staff to proceed with community outreach, ahead of a scheduled Public Hearing on January 13. He introduced consultant Steve Gagnon from Raftelis Financial Consultants to present the water rate study, along with Deputy Director of Public Works Dan Mueller.
Mr. Gagnon presented the results of the City's comprehensive water rate study, explaining that the purpose of the study is to ensure full cost recovery for operations, capital improvements, reserves, and debt coverage while remaining legally compliant with Proposition 218. He noted that the City has not increased water rates since July 1, 2015, resulting in the lowest water rates among surrounding agencies, despite significant increases in operating costs, inflation, wholesale water and electricity expenses, and reduced revenues due to recent wet years. He explained that the proposed five-year rate plan for Fiscal Years 2025-26 through 2029-30 is designed to address rising costs, fund critical capital projects, and prepare the City for financing a major Per and Polyfluoroalkyl Substances (PFAS) treatment plant estimated at approximately $127 million, as well as other infrastructure improvements. He noted that approximately 60% of non PFAS capital projects are included in the study. The rate model also establishes appropriate reserve levels for operations, capital needs, and State Revolving Fund loan requirements, while maintaining adequate debt service coverage. Mr. Gagnon reported that, even with the proposed increases, Downey would remain the lowest cost water provider in the region. He stated that a typical single-family household using average water consumption would see an increase of just under $15 in the first year, with incremental increases over the remaining four years. He concluded that the proposed rates are intended to ensure long term financial stability, regulatory compliance, and reliable water service.
Mayor Pro Tern Pemberton commented on the water rate comparison chart, noting that it was surprising to see Downey's rates among the lowest compared to surrounding agencies. She acknowledged that, after many years without increases, rising costs now require rate adjustments, particularly to prepare for the planned $127 million treatment facility. She stated that the proposed approach appeared reasonable and timely and thanked staff and Mr. Gagnon for the detailed presentation.
Council Member Ortiz concurred with his colleague that the proposed action is reasonable, noting that after 10 years without rate increases the City remains below the rates of neighboring jurisdictions.
He acknowledged that while water conservation efforts are positive, they have revenue impacts for the City, and expressed support for the proposed approach.
It was moved by Council Member Trujillo, seconded by Council Member Ortiz, and carried 4-0, with Council Member Frometa absent, to adopt Resolution No. 25-8326, directing City staff to initiate proceedings Proposition 218 to consider adjustments to water rates; receive the comprehensive study City Council Minutes
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on the City of Downey water rates; and, to direct staff to move forward with community outreach efforts to discuss the proposed water rate increase.
ADJOURNMENT
Mayor Sosa adjourned the Special City Council Meeting — Open Session at 8:04 p.m. in memory of Bailey Magana, 25, 4-year veteran of the Los Angeles Police Department who was killed in a single - vehicle crash in Santa Clarita while off -duty.
F
AAIAMICIA DUAL ,
City Clerk
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