Minutes — Rialto City Council, March 26, 2024

REGULAR MEETING
of the

CITY OF RIALTO

CITY COUNCIL
City of Rialto, acting as Successor Agency to the
Redevelopment Agency, RIALTO UTILITY AUTHORITY,

RIALTO HOUSING AUTHORITY

MINUTES

Tuesday, March 26, 2024

A regular meeting of the City Council of the City of Rialto was held in the City Council Chambers located at 150 South Palm Avenue, Rialto, California 92376 on Tuesday, March 26, 2024.
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This meeting was called by the presiding officer of the Rialto City Council in accordance with the provisions of Government Code §54956 of the State of California.
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CALL TO ORDER Mayor Robertson called the meeting to order at 5:00 p.m. 0o0
The roll was called, and the following were present: Mayor Deborah Robertson, Mayor Pro Tem Andy Carrizales, Council Member Ed Scott, Council Member Rafael Trujillo, and Council Member Joe Baca.

Also, present were City Manager David N. Carmany , City Attorney Eric Vail, and City Clerk Barbara McGee.

City Treasurer Edward Carrillo was absent.
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CLOSED SESSION 1. CONFERENCE WITH LABOR NEGOTIATOR

Pursuant to Government Code section 54957.6
Labor Negotiator: City Manager David Carmany,
Human Resources Director Shama Curian
Employee Organizations:
• Executive Management Team
• Management Unrepresented Employees
• Rialto City Employee’s Association (RCEA)
• Teamsters Mid-Management & Confidential Employee’s
Union (TMMU)
• Rialto Fire Management Association (RFMA)
• Rialto Police Benefit Association - Management

CLOSED SESSION

CONFERENCE WITH LABOR NEGOTIATOR (CONT’)

• Rialto Police Benefit Association - General
• Rialto Professional Firefighters of California - Local 3688 • Unrepresented Employees

2. CONFERENCE WITH LEGAL COUNSEL –

ANTICIPATED LITIGATION
Significant exposure to litigation Pursuant to Government Code section 54956.9(d)(2)
One (1) Matter:

 Claim for Money – Sequel

3. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
Pursuant to Government Code section 54956.8
Property: 130 S. Willow Avenue, Rialto, California 92376 Agency Negotiators: Asst. City Manager Arron Brown;
Dir. Community Development Colby Cataldi
Negotiating Parties: City of Rialto, Oscar Esparza
and Blanca Esparza Property Owners
Under Negotiation: Price and Terms Sale

4. PUBLIC EMPLOYEE PERFORMANCE EVALUATION
Pursuant to Government Code section 54957(b)
One (1) position: Title: City Manager
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Motion by Council Member Trujillo and second by Council Member Baca carried by a 5-0 vote to go into Closed Session at 5:01 p.m. 0o0
The City Council returned from Closed Session at 6:37 p.m. 0o0
CALL TO ORDER Mayor Robertson called the meeting to order at 6:38 p.m. 0o0
OPEN SESSION The roll was called, and the following were present: Mayor Deborah Robertson, Mayor Pro Tem Andy Carrizales, Council Member Ed Scott, Council Member Rafael Trujillo, and Council Member Joe Baca.

Also, present were City Manager David N. Carmany , City Attorney Eric Vail, City Clerk Barbara McGee and City Treasurer Edward Carrillo. 0o0
Pledge of Allegiance and
Invocation
Council Member Joe Baca led the pledge of allegiance.
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Pastor Victor Lopez – Calvary Chapel Rialto gave the invocation.

1. CONFERENCE WITH LABOR NEGOTIATOR

Pursuant to Government Code section 54957.6
Labor Negotiator: City Manager David Carmany,
Human Resources Director Shama Curian
Employee Organizations:
• Executive Management Team
• Management Unrepresented Employees
• Rialto City Employee’s Association (RCEA)
• Teamsters Mid-Management & Confidential Employee’s
Union
(TMMU)
• Rialto Fire Management Association (RFMA)
• Rialto Police Benefit Association - Management
• Rialto Police Benefit Association - General
• Rialto Professional Firefighters of California - Local 3688 • Unrepresented Employees

City Council had a briefing with labor negotiator and gave direction.

No other reportable action.

2. CONFERENCE WITH LEGAL COUNSEL –

ANTICIPATED LITIGATION
Significant exposure to litigation Pursuant to Government Code section 54956.9(d)(2)
One (1) Matter:
 Claim for Money – Sequel

The City Council gave direction to the City Attorney. T here is no reportable action.

The Real Property Negotiator was given instruction. There is no other reportable action.

4. PUBLIC EMPLOYEE PERFORMANCE EVALUATION
Pursuant to Government Code section 54957(b)
One (1) position:

Title: City Manager
The City Council completed that discussion. There is no other reportable action.

PRESENTATION AND

PROCLAMATIONS

1. Presentation - Beaumont Community Youth Basketball
Tournament –
Director of Community Services Cynthia Alvarado.

2. In Memorium of Victor Orihu - Mayor Robertson
(Deferred to the April 9, 2024, City Council meeting.)

3. Certificates of Recognition Angela Perry Retirement - Mayor Robertson

4. Recognition of County Science Fair Winners –
Council Member Trujillo

5. In Memorium of Joseph Mascaro – Council Member Scott 0o0
ORAL COMMUNICATIONS None.
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City Council to Consider removing or
continuing any items on the agenda
Mayor Robertson abstained from Warrant Resolution No. 34 and No.35 for payment made out to the National Council of Negro Women for an amount totaling $6,743.20.
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City Attorney Vail made a clarification on Consent Item F.2 document changes on pages 15 and 16, Section 9.1 of the agreement related to the Newland Capital Group, Inc. bid. Staff has prepared substituted addenda pages and will be part of the record.
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Council Member Scott commented in reference to Consent Item F.1 to Adopt Resolution No. 8193. He acknowledged the Rialto Police Department and thanked them for their work.
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Council Member Trujillo also recognized the Rialto Police Department and thanked them for thei r hard work. He acknowledged dispatchers’ importance to the community. He emphasized that dispatchers deserve first responder status at the Federal level.
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Council Member Baca expressed congratulatory sentiments.

He thanked Police Chief Kling for raising the matter and presenting recommendations. He believes the City of Rialto has the responsibility to be competitive with other cities with incentives and to offer the best quality of life. He looks forward to the Police Department making the City a lot safer and responding to the calls of the People. 0o0
Mayor Pro Tem Carrizales voiced commendations and is appreciative of all the work they do.
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B. APPROVAL OF WARRANT RESOLUTIONS
B.1 Warrant Resolution No. 34
B.2 Warrant Resolution No. 35

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C. APPROVAL OF MINUTES
C.1 Regular City Council Minutes – March 12, 2024

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D. CLAIMS AGAINST THE CITY
D.1 Bruce Olsen - Vehicle Damages
D.2 Interinsurance Exchange of the Automobile Club - Damages D.3 Nolo Gaton - Personal Injury
D.4 Silvano Ulloa Prieto - Personal Injury
D.5 Vincent Joseph Vodnik - Damages
D.6 Virgil Adams III - Vehicle Damages
D.7 Claim #2 - Stephanie Cane and Victoria Quesenberry- Damages

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E. SET A PUBLIC HEARING
E.1 Consider setting a Public Hearing for April 23, 2024, to solicit public comments from interested citizens for the City’s 2024 -2025 Community Development Block Grant Annual Action Plan.

RECOMMENDATION:

Staff recommends that the City Council:

1. Set a Public Hearing for April 23, 2024, to solicit public comments from interested citizens in order to adopt the 2024-2025 CDBG annual plan.

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DocuSign Envelope ID: 472C4B5A-B12C-4326-8075-9B61D33A621B ___________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ Rialto City Council Meeting Minutes – March 26, 2024 Page 6

CONSENT CALENDAR
F. MISCELLANEOUS
F.1 Consideration of Adjusting the Salary Schedules for the Dispatcher and Records Series, and the Executive Assistant to the
Police Chief.

RECOMMENDATION:

Request City Council to Adopt Resolution No. 8193, Updating the Citywide Classifications and Compensation Schedule for Full-Time and Part-Time Employees to Amend the Salaries for the Classifications within the Dispatcher and Records Series, and the Executive Assistant to the Police Chief.

F.2 Consideration of Bid from Newland Real Estate Equities, LLC for acquisition of Miro Way Parcels
RECOMMENDATION:

Staff recommends that the City Council (1) accept the bid from Newland Capital Group, Inc. to purchase seven parcels on Miro Way, approve a Purchase and Sale Agreement with Newland Real Estate Equities, LLC, (2) authorize the City Manager to execute all required documents and (3) authorize the City Clerk to file a Notice of Exemption with the County Clerk to the Board of Supervisors.

F.3 Consideration of 1) cancellation of Regular City Council Meetings of July 9, October 8, October 22, November 26, December 24, 2024, and 2) scheduling a Summer Recess from July 1 through July 14 and 3) scheduling a Strategic Planning Workshop for May 23.

RECOMMENDATION:

It is recommended that the City Council:

1. Cancel Regular City Council Meeting Dates July 9, October 8, October 22, November 26, December 24, 2024

2. Approve Summer Recess from July 1 through July 14

3. Approve Scheduling a Strategic Planning Workshop for May 23

F.4 City Council consideration of Annual Progress Report regarding the 2023 Housing Element.

RECOMMENDATION:

Staff recommends that the City Council receive and file the 2023 Housing Element Annual Progress Report.

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Staff recommends that the City Council:

1. Adopt a Resolution No. 8194 amending the 2023-2024 fiscal year budget,

2. Approve the California Highway Patrol “Every 15 Minutes” Education Grant Agreement in the amount of $9,999.99 for an event at Eisenhower High School; and

3. Authorize the City Manager to execute all documents.

F.6 Consideration of a $10,000 Growing Water Smart Technical Assistance grant by the Sonoran Institute for development of a Model Water Efficient Landscape Ordinance Guideline Handbook for public and city utilization
RECOMMENDATION:

It is recommended that the City Council and Rialto Utility Authority Board:

1. Adopt a Resolution No. 8195 amending the 2023-2024 fiscal year budget;

2. Adopt RUA Resolution No. 08-29 amending the 2023-2024

3. Accept the Growing Water Smart Technical Assistance Grant funds in the amount of $10,000; and

4. Authorize the City Manager or designee to execute
all documents.

Motion by Council Member Baca, second by Council Member Scott with carried by a 5-0 vote to approve the Consent Calendar.

Mayor Robertson abstained from Warrant Resolution No. 34 and No.35 for payment made out to the National Council of Negro Women for an amount totaling $6,743.20.
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NEW BUSINESS
TAB 1
Adopt Resolution No. 8196;
Adopt RUA Resolution No. 08-30;
Structure General Fund Reserve transfer
to the Water Utility Fund Trust Account;
Structure interest rate on the General
Fund Reserve transfer to the Water Utility
Fund Trust Account

Stephen Dopudja, Utilities Manager , presented staff report for City Council Consideration of Resolutions Authorizing Revenue Stabilization Transfer to the Water and Wastewater Concession Agreement Trust Accounts.

RECOMMENDATION:

It is recommended that the City Council and Rialto Utility Authority Board:

1. Adopt City Resolution No. 8196 authorizing the transfer of $5.3 million from the City’s Unrestricted General Fund Reserve to the Water Utility Fund Trust Account for the purpose of rate stabilization and $1.5 million from the Rialto Utility Authority’s Wastewater Reserve Fund to the Wastewater Utility Fund’ s Trust Account for debt service coverage;
DocuSign Envelope ID: 472C4B5A-B12C-4326-8075-9B61D33A621B ___________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ Rialto City Council Meeting Minutes – March 26, 2024 Page 8 TAB 1
Adopt Resolution No. 8196;
Adopt RUA Resolution No. 08-30;
Structure General Fund Reserve transfer
to the Water Utility Fund Trust Account;
Structure interest rate on the General
Fund Reserve transfer to the Water Utility
Fund Trust Account

2. Adopt RUA Resolution No. 08 -30 authorizing the transfer of $5.3 million from the City’s Unrestricted General Fund Reserve to the Water Utility Fu nd Trust Account for the purpose of rate stabilization and $1.5 million from the Rialto Utility Authority’s Wastewater Reserve Fund to the Wastewater Utility Fund’s Trust Account for debt service coverage;

3. Structure the General Fund Reserve transfer to the Water Utility Fund Trust Account as a loan with a term of 10 years;

4. Structure the interest rate on the General Fund Reserve transfer to the Water Utility Fund Trust Account loan equivalent to the rate of return earned by the City on funds invested in the Local Agency Investment Fund;

5. Authorize the City Manager to execute all documents. 0o0
Council Member Scott clarified the RUA Resolution No. as 08-30.

He asked why the delay to obtain the rate adjustment.
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Mr. Dopudja stated it was due to notification issues and a 45-day period. 0o0
Council Member Scott asked when notification is scheduled to be sent out.
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Mr. Dopudja stated early or mid-April 2024.
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City Treasurer Carrillo inquired about the loan and asked if the loan is being made to Rialto Water Services, RWS or the concession agreement or RUA.
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Maryann Goodkind, with Norton Rose Fulbright, stated the loan is to RUA.
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City Treasurer Carrillo asked if the funds should be transferred to RUA then move funds to the trust account – bypassing RUA and straight to the trust account.
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Ms. Goodkind stated yes, but it is at the direction of RUA, and the loan would be evidenced as an RUA loan.
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DocuSign Envelope ID: 472C4B5A-B12C-4326-8075-9B61D33A621B ___________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ Rialto City Council Meeting Minutes – March 26, 2024 Page 9 TAB 1
Adopt Resolution No. 8196;
Adopt RUA Resolution No. 08-30;
Structure General Fund Reserve transfer
to the Water Utility Fund Trust Account;
Structure interest rate on the General
Fund Reserve transfer to the Water Utility
Fund Trust Account
City Treasurer Carrillo stated then the transfer should be made to RUA, making the loan to RUA, then move the funds to the wastewater trust fund.
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Ms. Goodkind stated that can be done should you decide to do that. 0o0
City Treasurer Carrillo stated that is his question, what would be more accurate.
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Ms. Goodkind stated the trust indenture specifically states transferring money into the trust.
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City Treasurer Carrillo asked City Attorney Vail what the best option would be.
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City Attorney Vail stated that the documents will be named under RUA.

The money will be transferred to the trust fund.
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Ms. Goodkind stated at the direction of the RUA.
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City Treasurer Carrillo stated that the Resolution does not specify that. 0o0
City Attorney Vail stated there is a Resolution on behalf of the City and of RUA.
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City Treasurer Carrillo asked if the RUA Resolution is authorizing the movement of the $1.5 million.
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Mr. Dopudja clarified that there is a City Resolution and an RUA Resolution for both transfers.
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City Treasurer Carrillo asked should the first Resolution not state that the $5.3 million funds will be moved to the RUA.

The RUA Resolution is stating that the $5.3 million funds are being moved from RUA to wastewater.
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DocuSign Envelope ID: 472C4B5A-B12C-4326-8075-9B61D33A621B ___________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ Rialto City Council Meeting Minutes – March 26, 2024 Page 10 TAB 1
Adopt Resolution No. 8196;
Adopt RUA Resolution No. 08-30;
Structure General Fund Reserve transfer
to the Water Utility Fund Trust Account;
Structure interest rate on the General
Fund Reserve transfer to the Water Utility
Fund Trust Account
Ms. Goodkind stated that the indenture explicitly states the RUA moving to the trust account.
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City Treasurer Carrillo stated the movement of money is not a problem. 0o0
Ms. Goodkind stated it is very clear this is a RUA loan from the general fund.
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City Treasurer Carrillo stated all right.
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Mr. Dopudja added that this was reviewed by Rialto Water Services and their legal team.
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Council Member Trujillo asked if this is the first time that unrestricted funds are being moved from the general fund.
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Mr. Dopudja stated it has happened previously. The intent of the study and rate adjustments is to ensure the City will no longer have to do this moving forward.
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Council Member Trujillo asked if this was the second time. 0o0
Council Member Scott stated the previous time happened during COVID.
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Council Member Trujillo asked if this would happen a third time, could a loan overlap the other.
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Mr. Dopudja stated the goal of the rate study is to ensure that there are enough revenues coming in from rates to pay for the operation of the utility to avoid transfers. The utility is financially paying for all the services provided.
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Council Member Trujillo asked if all the concession agreement funds have been expended.
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Section 503(d) of the indenture discusses the rate stabilization fund and the investments that occur. There are permitted investments for the monies that are in the fund. There would be earned interest during that period of time.
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City Treasurer Carrillo stated all the monies in the trust accounts are being invested by the Treasurer’s Office and continuously being invested as mature so long as a money market is maintained, or the amount of cash needed to service the various requests made throughout the year.
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Motion by Council Member Baca second by Council Member Scott and carried by a 5-0 vote to Adopt City Resolution No. 8196; Adopt RUA Resolution No. 08-30; Structure the General Fund Reserve transfer to the Water Utility Fund Trust Account as a loan with a term of 10 years; Structure the interest rate on the General Fund Reserve transfer to the Water Utility Fund Trust Account loan equivalent to the rate of return earned by the City o n funds invested in the Local Agency Investment Fund; and Authorize the City Manager to execute all documents; and Authorize the City Manager to execute all documents.
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TAB 2
Award Construction Contract to Leonida
Builders Inc, for Baseline Road Median
Fence Improvement Project
Art Cervantes, Engineering Manager, presented staff report before the City Council requesting Consideration of Award of a Construction Contract to Leonida Builders Inc., a California Corporation, in the amount of $427,760, for the Baseline Road Median Fence Improvement Project, City Project No. 240803.

RECOMMENDATION:

Staff recommends that the City Council:

1. Award a Construction Contract to Leonida Builders Inc., in the amount of $427,760 for the Baseline Road Median Fence
Improvement Project, City Project No. 240803.

2. Authorize the City Manager to Execute all Related Documents. 0o0

The median will extend 337 feet to the east to complete installation of the fence between mid-block of Willow Avenue and Lilac Avenue. 0o0
Mayor Robertson asked if there was community input about the choice of fence.
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Mr. Cervantes stated the barrier was based on recommendations on a grant submission from 2016.
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Council Member Trujillo asked if the fence will be uplifted from the street to protect it from vehicles.
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Mr. Cervantes stated the fence will be constructed over the existing raised median that will be extended towards Baseline Avenue and Willow Avenue.
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Council Member Trujillo asked if any damage to the fence from vehicles is projected and if there will be protection to avoid vehicles striking. 0o0
Mr. Sullivan stated there will be reflective markers on the end. They will do their best to deter hitting. The crew will repair should it get damaged. 0o0
Council Member Scott asked if it will be steel tube fence. 0o0
Mr. Cervantes stated that is correct.
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He believes it is a great safety issue for the students and supports the project.
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Motion by Council Member Trujillo second by Council Member Baca and carried by a 5 -0 vote to Award a Construction Contract to Leonida Builders Inc., in the amount of $427,760 for the Baseline Road Median Fence Improvement Project, City Project No. 240803.
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Community Services Cynthia Alvarado gave the report.
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REPORTS The City Council gave their reports.
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ADJOURNMENT Motion by Council Member Baca, second by Council Member Trujillo and carried by a 5-0 vote to adjourn the City Council Meeting at 8:04 p.m.

The City Council adjourned in memory of:

Benson Tyler Morrison,
Son of Parks and Recreation Commissioner
Janice Morrison

Mr. Marion Black Jr.,
Rialto Resident

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MAYOR DEBORAH ROBERTSON

ATTEST:

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CITY CLERK BARBARA A. McGEE

DocuSign Envelope ID: 472C4B5A-B12C-4326-8075-9B61D33A621B

Rialto City CouncilMarch 26, 2024

Rialto City Council
March 26, 2024