06-13-2023 City Council Meeting Minutes Page 1
MINUTES OF THE REGULAR MEETING OF THE TRINIDAD CITY COUNCIL TUESDAY, JUNE 13, 2023 (LIVE/HYBRID)
I. CALL TO ORDER
Mayor Kelly called the live-hybrid meeting to order at 6:00pm. Council members in attendance: Kelly, Ladwig, West, Tuttle, Breckenridge. City Staff in attendance: City Manager Eli Naffah, City Clerk Gabriel Adams, , Administrative Assistant Anton Souza, Project Manager Jennifer Hakenen, and City Engineer Josh Wolf (video).
Approximately (9) participants were present by video-conference at the beginning of the meeting.
II. PLEDGE OF ALLEGIANCE
III. CLOSED SESSION – No closed session
IV. RECONVENE TO OPEN SESSION
V. APPROVAL OF THE AGENDA
Motion (West/Ladwig) to approve the agenda as written. Passed 4-0.
VI. APPROVAL OF MINUTES – 05-09-2023 cc, 05-23-2023cc2.
Motion (Ladwig/West) to approve the 05/09/2023 cc minutes as amended. Passed unanimously.
Motion (Ladwig/West) to approve the 05/23/2023 cc2 minutes as written. Passed unanimously.
VII. COUNCIL REPORTS/COMMITTEE ASSIGNMENTS
Kelly: Attended HCAOG meeting. Great redwood trail discussed, and bike month in May.
Ladwig: HTA leader in State with hydrogen public transportation. RREDC nothing to report.
West: HCAOG discussed Clean California Grant Opportunity and Dump Day Program to fund activities that eliminate litter and create jobs. Project has been funded in Manila. REAP grant program is funding Humboldt is Home, surveying homeless needs. Supervisor Madrone hopes Caltrans will help repair Scenic Drive. HTA is looking into hydrogen power vehicle alternatives.
Tuttle: RCEA Director will meet with myself and Councilmember West to discuss energy needs or resiliency.
Kelly: Attended the League of CA Cities meeting in Ft. Bragg on May 12, covering the Great Redwood Trail and CARE Response Unit, liaison to social services. Attended CERT Training in May. Showed preview of the new City website under construction.
VIII.STAFF REPORTS – City Manager & Law Enforcement
City Manager Naffah highlighted accomplishments summarized in the staff report included in the meeting packet. Noted recent bear sightings, Parker Creek and ALM Trail closure updates, and provided information shared by residents regarding ways to keep your property safe during summer vacations. Also reported new Water Operator In-Training, Dereck Shadle, was hired, Trinidad Water Tank & Pipeline Project assessment noted no lead pipes, and the Chamber of Commerce will be hosting the summer solstice event Taste of Trinidad in the Saunders Park.
HSCO Lt. Josh McCall summarized stats for May. Announced Lt. Miller’s retirement from the Sheriff Department, and that part of his workload would be inherited by McCall until further notice. May not be able to attend Trinidad Council meetings in the future.
West and Kelly asked McCall to look into recent area burglaries and report back with any follow up information that can be shared.
IX. ITEMS FROM THE FLOOR
(Three (3) minute limit per Speaker unless Council approves request for extended time.) Elaine Weinreb – Trinidad Area Resident
Reported vandalism that occurred to a resident’s vehicle that lives in town.
X. CONSENT AGENDA
1. Staff Activity Report – May 2023
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2. Financial Statements – April 2023
3. Law Enforcement Report – May 2023
4. Resolution 2023-04; Adopting a List of Projects for FY2024 Funded by SB1 – The Road Repair and Accountability Act of 2017.
5. Second Reading of Ordinance 2023-01; Adding Housing Related Definitions and Allowable Uses as Required by State Law and the Trinidad Housing Element.
6. Resolution 2023-02; Authorizing Submittal of Ordinance 2023-01 as a Local Coastal Program Amendment.
7. Second Reading of Ordinance 2023-02; Adding Reasonable Accommodations to the Trinidad Municipal Code and Certified Zoning Ordinance.
8. Resolution 2023-03; Authorizing Submittal of Ordinance 2023-02 as a Local Coastal Program Amendment.
Motion (Ladwig/West) to approve consent agenda as submitted. Passed unanimously.
X. DISCUSSION/ACTION AGENDA ITEMS
1. Discussion/Presentation regarding establishing a Trinidad Community Emergency Response Team (CERT) program.
Mayor Kelly introduced Cliff Van Cott, Team Leader of McKinleyville CERT. Van Cott presented information on the CERT program, purpose, history, funding, training modules, resources, and McKinleyville Team composition, activities, background checks on all volunteers, and program requirements. If Trinidad sponsors a CERT Team, it will need to provide funding ($3500), a team leader, and indoor/outdoor spaces for trainings.
Council questions included:
Ladwig: What would we need to have a CERT Team? Van Cott stated that there is no minimum number of volunteers required, but other small cities in the area have approximately 12. Trinidad CERT team standards would be set by the Council. McKinleyville Team has one 30-minute meeting every month.
Public comment included:
Larry Goldberg – Trinidad area resident
Announced he will become a certified trainer at the end of this month. 40-year resident of rural Trinidad.
McKinleyville CERT team has been trained to go house-to-house. We did that during power outages this winter due to weather and earthquakes. I am willing to promote and help Trinidad assemble a team.
Aaron Hakenen – Trinidad resident
Great program. Neighbor helping neighbor. Highly encourage to sponsor a program and expand the reach to the greater Trinidad Area. I’m trained with CERT and will consider updating my certification so I can train as well.
Jeff Austin – Trinidad area resident
Retired health professional, CERT Team volunteer.
Nina Narelle – Trinidad
I support this program and encourage the Council to move this forward.
Richard Johnson – Trinidad area resident
It’s very important to engage with the greater Trinidad area when considering this program. Our Baker Ranch neighborhood would like to be included, and stay as closely connected to the City as possible. It’s also good to have portable generators available to power smaller community water systems in the area.
Karin Reese – Trinidad
I support this program too.
Council comments included:
West: Sounds like we can set the guidelines for the program.
Breckenridge: What does the City get for $3500? Van Cott explained that it includes training and equipment (participant manuals, vests, and other safety/identification materials), and also access to a trailer filled with emergency equipment (medical, generator, etc.).
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Ladwig: Maybe we should as staff to review the budget and determine feasibility of recruiting volunteers in the greater Trinidad (Murphys-sphere) area. It’s easy to say yeah, let’s do this, but it’s a challenge for paid staff to allocate time to initiate this all-volunteer program.
Kelly: This is a volunteer program. Aaron Hakenen has allegedly offered to be the disaster coordinator for a Trinidad team, should the Council create one. Would like staff to return to the next meeting with budget options.
Staff directed to analyze budget options, discuss, and return to a future meeting with program feasibility.
2. Continued Discussion/Presentation regarding Traffic Calming Measures for View Street and Ocean Avenue, and Hector Street Parking Improvements.
City Engineer Josh Wolf presented information as requested regarding possible traffic calming options for Ocean Avenue and View Street. The presentation is a follow up to the March meeting where concerns were discussed.
Drivers seem to be using these streets to bypass Trinity, and possibly at higher rates of speeds, and larger vehicles. Potential options include speed humps, radar feedback speed limit signs, or signs that limit speed or large vehicles.
Phase 1 suggestion: 1) (4) “Local Traffic Only” Advisory Signs, and 2) (4) 15MPH Speed Limit signs on Ocean & View. Cost approximately $2,000.
Phase 2 suggestion: 1) 4-way stop controlled intersection at Ocean/East/West Streets. Cost approximately $4,000.
Phase 3 suggestion: (4) Speed humps, (2) on each street (Ocean & View). Cost approximately $15-25,000.
Potential noise impacts as vehicles drive over them.
Prohibiting vehicles would require an ordinance.
Council questions included:
Tuttle: Seems like school parents are the main bypass users during pick-up and drop-off. Maybe we can notify the school to alert the parents on the recommended route through town. What happened to the speed hump concept for Underwood? Wolf noted we were not directed to review Underwood.
Kelly requested City Manager Naffah direct the City Engineer to review speed hump option for Underwood.
Breckenridge: Speed humps are designed to slow traffic, not stop it, right? Wolf noted speed humps could inadvertently deter vehicle traffic, but the intent is to slow it down.
Public comment included:
Aaron Hakenen – Trinidad
I’ve found cheaper, rubber speed humps online. I’m sign adverse and prefer paint on streets. Signs aren’t effective if they aren’t enforced. Passive signs won’t work, and a 4-way stop won’t be effective. We are used to vehicle noise already. School traffic is a big part of the issue. Speed humps have never got in the way of emergency vehicles. There are also radar feedback signs that can be rotated throughout town.
Kelly: We should provide temporary speed hump information to City Engineer for review.
West: There are examples of these in Blue Lake. Encourage people to check them out and provide feedback.
Wolf thanked the Council for the suggestion and will take a look at them.
Dorothy Cox – Trinidad
Eliminate option 2. The corner of West and Trinity has a parking issue. Corner curb should be painted red.
Trees on Ocean are damaging RV’s. Eatery business affects congestion on Trinity. My husband will not stop at the new stop signs on Edwards. I prefer speed humps.
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Sherri Provolt – Trinidad area resident
As our coastal town tourism and business activity increases, the problem will grow. I prefer fewer signs. Local traffic sign is confusing. Speed humps will help slow traffic. Paint on the ground. Don’t put up more signs.
Adding more school busses in the morning and encourage busing children home may help too. Slowing traffic is a priority.
Karin Reese – Trinidad
I support speed humps on Ocean Avenue. I see mostly the same cars, not tourists passing by. This requires a cultural shift in the way people drive. Speed humps will be significant and require drivers to conform.
Council comments included:
Ladwig: Thanked Wolf for recommending options. I agree with comments about signs, and suggest a series of steps. Residents must receive input on possible changes. Pursue ordinance restricting commercial drivers on Ocean and View. I recommend asking the School to recommend a route from Trinity to Edwards, designed to handle that traffic.
West: 15mph signs are helpful and should be considered.
Breckenridge: This is really enforced mindfulness. 15mph signs should be placed in better locations.
Kelly: In summary, I hear that we want to pursue pilot, temporary, reduced cost speed humps, paint speed limit on the road (instead of installing signs), and communicate traffic flow options with the school.
The Council’s summary recommendations will be handled by the City Manager. No formal decision was made.
3. Discussion/Decision regarding Resolution 2023-05; Adopting the FY2024 Budget.
City Clerk Adams explained that two meetings were held in May to help pave the way to a final draft budget proposal on June 13. On May 23 staff presented various components of the budget structure, the overall health of the General Fund and Special Revenue Funds, how reserves will play a key factor in balancing the budget this year, and the anticipated challenges ahead.
Along with maintaining and enhancing current service levels provided to the City, the current draft of the 2024 Budget aims to provide a continued focus on transitional stability for the Water Department, a commitment to keeping public buildings maintained, and an alignment of staff responsibilities and wages to encourage upward mobility and retention. Staff emphasizes that this is a “working draft” that will need adjustments as the year progresses, and accurately reflects the desires of the community based on priorities set by the Council. The draft includes revenue and expenditure budget worksheets for each of the fund categories; General Fund: Administrative, Public Works, Police, & Fire Restricted Funds: Water & Cemetery
Special Revenues: Gas Tax, Transportation (TDA), & COPS A recap of Fiscal Year ending June 30, 2022, along with projections for Fiscal Year ending June 30, 2023 were presented in summary formats for comparative purposes at prior meetings.
General Fund: It is still unclear how economic trends will affect Trinidad’s top two revenue sources, sales and occupancy taxes, which appear to be resilient. The City’s conservative approach to spending, coupled with steady revenues from the baseline economy and significant contributions from visitors has helped build the City’s reserves over time.
Sales and Occupancy taxes are volatile revenue sources. They are strong when the economy is healthy, but easily disrupted by natural disasters such as wildfires, droughts, pandemics, or human-triggered disasters such as housing or market crashes. It is common for cities that are primarily funded by fragile revenue streams to maintain healthy reserves. Since 2005 Trinidad City leaders have prioritized fiscal stability and responsibility, and the reserves established exemplify that commitment.
The reserves provide short-term insurance to shield the City from sudden changes, to use as matching funds to leverage larger grant funding, provide cash-flow support during large-scale grant construction phases, and to 06-13-2023 City Council Meeting Minutes Page 5
stabilize the budget in an emergency. Several of the following situations are examples of how the City may use the reserves this year if revenues fall below expectations; • The sudden increase in County Sheriff contract costs. • Supplement law enforcement with private security services. • Provide salary incentives to encourage employee retention with increased responsibility. • Measure Z Funding is unavailable for additional law enforcement coverage. • Cover increasing costs due to State of Federal mandates and regulations. • Emergency repairs to fragile infrastructure (coastal bluffs, roads, etc.) • Maintain public buildings and important city assets such as trails and recreation infrastructure.
Balanced Budget: The budget presented conservatively projects that the transitional period ahead may require dipping into the reserves while costs to provide general and special revenues are evaluated during this pivotal year. Staff has maintained a budget strategy of keeping revenue expectations modest, and expenditures generous. This practice helps the City to course-correct ahead of changes rather than behind them. The budget summary predicts a slight deficit this year, but there are several revenue sources that have been under-anticipated. If revenue sources exceed expectations, the budget will balance by year-end 2024.
Water Fund: The cost to operate the water treatment plant continues to rise. A simple way to understand why is to separate expenses in two categories, hard and soft costs, and evaluate the trends in each category. Hard costs have been consistent, but soft costs have increased significantly.
Hard costs include general operating expenses such as energy costs to run the plant, in-house licensed personnel, treatment technology, filters, hardware, vehicle and machinery, treatment processes, etc.
Soft costs include technical and engineering staff time required to evaluate demand from a growing community, future planning, drought consulting in response to the changing environment, resiliency effort, and loss of experienced operators.
At year-end June 30, 2022 the water system spent overspent approximately $273,000 more than it earned in water sales revenue. The deficit was anticipated and authorized by the Council due the lack of adequate T-3, in-house employees requiring private consultant oversight (soft costs).
At year-end June 30, 2023, the water system is expected to overspend approximately $300,000, leaving the leaving the reserve at 50% of what it was at its peak. City Management is developing a staffing strategy to hopefully relieve the private contracting service of a large part of their responsibility, thereby reducing costs significantly throughout the year.
At year-end June 30, 2024, the water system is projected to overspend an additional $280,000, leaving the fund balance at a red-line level (approximately $300,000) The budget includes a priority for management to begin a rate analysis immediately. The analysis will hopefully lead to rate revisions that will be implemented by the end of December 2023 addressing significant revenue short-falls.
The cost of operating a small water system, maintaining its efficiency, in a very desirable area to live, functioning to provide a precious resource to a community that has emphasized a desire to live “within its means” (or local watershed), will prove to be a challenge for the rate payers. The water system will rely on reserve funds to operate until the rates are adjusted to reflect this new reality, and this budget will authorize staff to put the wheels in motion to begin evaluating a new rate structure. 2024 Budget Goals & Priorities Summary:
1. Utilize reserves established from prior fiscal years, if needed, to support staff transitions.
2. Evaluate and update charges for services to reflect the times (General & Special Funds).
3. Maintain current law enforcement coverage and improve vital government services.
4. Educate and enforce new laws passed to discourage overnight parking, camping, etc.
5. Reclaim Water Plant Operations from licensed, interim consultants.
6. Update the Water Rate Structure to reflect the true costs of operating a small water system in high demand.
7. Maintain and invest in public buildings, parks, and property. 06-13-2023 City Council Meeting Minutes Page 6
8. Support community groups that enrich the community for locals and visitors, as they emerge from pandemic hibernation.
9. Continue promoting an inclusive dialog with Tribal Governments, and finalize the Government to Government policy to facilitate consultation on important topics of mutual concern.
10. Continue grant programs that will help the City satisfy several elements of the General Plan update.
Council questions included:
Kelly: The Water System is a cost-recovery model. Members of the community believed they would not be charged for high contractor costs. Is that a true statement? When we raise the rates, what cost are we trying to cover?
Adams stated that it will be a projected expense based on staff needs, not current costs with high consultant fees included. There will have to be a component of the rate structure that will address rebuilding the reserves, but that doesn’t have to happen overnight.
Ladwig: I support the investment we’re making into the personnel, and performing regular rate optimization discussions throughout the year.
City Manager Naffah noted that a 4% cost of living increase has been factored into this budget. Kelly confirmed that by adopting the budget, that increase would be factored in.
Public comment included:
Sheri Provolt – Trinidad homeowner
I worry about the water rates. I’m concerned about the due diligence in finding a reasonably priced contractor to operate the plant. Hope the cost doesn’t get passed along to the consumer. I support plans for redundancy with having qualified staff into the future.
Motion (Ladwig/West) to approve Resolution 2023-05; Adopting the FY2024 Budget. Passed unanimously.
FUTURE AGENDA ITEMS
- Kelly: Cancel the first regular meeting in July, and have the July 25 meeting instead. - Traffic calming follow-up.
- Hybrid Zoom audio improvements
- List from May 23rd.
- LAFCO Annexation Presentation
- Annexation for Water Services
- Website unveiling.
ADJOURNMENT: 8:25pm.
Submitted by: Approved by:
_____________________________ _____________________________ Gabriel Adams Cheryl Kelly
Trinidad City Clerk Mayor