FEBRUARY 23, 2005 CITY OF RANCHO PALOS VERDES FINANCE ADVISORY COMMITTEE MINUTES FEBRUARY 23, 2005 CITY OF RANCHO PALOS VERDES FINANCE ADVISORY COMMITTEE MINUTES

MINUTES

CITY OF RANCHO PALOS VERDES

FINANCE ADVISORY COMMITTEE

FEBRUARY 23, 2005

Chair McLeod called the meeting to order at 7:02 PM at the City Hall Community Room, 30940 Hawthorne Boulevard, for the purpose of conducting business pursuant to the Agenda.

ROLL CALL

Roll call was answered as follows:

PRESENT: Bouey, Clark, Grimme, McLeod, and Wallace

ABSENT: Smith

Also present were Director of Finance and Information Technology McLean; Accounting Manager Downs; and Senior Financial Analyst Gyves.

APPROVAL OF AGENDA

Chair McLeod motioned for approval of the agenda, and Member Grimme seconded. Hearing no objection, Chair McLeod ordered approval of the agenda.

ELECTION OF VICE-CHAIR

Chair McLeod requested nominations for Vice-Chair. Chair McLeod nominated Member Clark for Vice-Chair. Member Clark was unanimously voted in as Vice-Chair.

RECRUITMENT FOR VACANCY

Director McLean informed the FAC that the City Council will be selecting the new FAC member at the March 15, 2005 City Council meeting. Director McLean requested that FAC members assist in the recruitment by asking neighbors or other community members if they are interested in becoming a FAC member.

INFRASTRUCTURE FINANCING – PROPOSED WATER QUALITY AND FLOOD PROTECTION PROGRAM

Director McLean informed the FAC the following regarding the sinkholes on Western Avenue and the heavy rainfall that occurred during the week of February 14, 2005:

  • The City Council approved a budget adjustment of $350,000 for the repair of a sinkhole on Western Avenue (at Westmont). A ruptured storm drain caused the sinkhole. On March 15, 2005, the Public Works Department will be requesting an additional $200,000 budget adjustment to complete the repairs. It is unknown to what degree the City may be reimbursed from the California Department of Transportation (Caltrans) or the Federal Emergency Management Agency (FEMA) for repairs on Western Avenue. Caltrans has taken the lead on the second sinkhole located on Western Avenue (at Summerland), which was also caused by a ruptured storm drain.
  • Due to heavy rainfall during the week of February 14, road closures occurred on Palos Verdes Drive East, Palos Verdes Drive South and Palos Verdes Drive West. In addition to road closures, many homes incurred damage as a result of the heavy rainfall.
  • On Saturday, February 19th, members of the City Council surveyed the damage created by the heavy rainfall. Mayor Clark called a special meeting of the City Council on Saturday, February 26 to discuss recent storm damage and storm drain issues and take action as appropriate.  Discussions will include: 1) Whether or not to instruct staff to prepare RFPs and submit the three (or more) most important storm drain repair projects for bid as soon as possible; 2) Consider the establishment of a storm drain repair enterprise fund now and fund it now with $2 million; and, 3) Consider setting the proposed storm drain user fee higher than currently planned to provide contingency funding for accelerating high priority repairs and to address unanticipated problems without being required to borrow. 

QUESTIONS RELATED TO THE STORM DAMAGE INCURRED BY THE CITY AND ITS RESIDENTS:

Vice-Chair Clark asked how setting the user fee higher than planned related to the phone survey. Director McLean informed the FAC that the topic was inserted at the request of Councilmember Long. Director McLean also informed the FAC that based on the phone survey a fee in excess of $100 per ERU will meet resistance.

Member Bouey asked if the City has estimated the total cost to repair the damage incurred from the recent storms. Director McLean informed the FAC that the Public Works Director’s best guess was between $150,000 and $200,000 for the storm damage incurred during the week of February 14.

Member Bouey asked how much of the damage incurred was a result of deficient storm drains. Director McLean informed the FAC that many inlets were overwhelmed by water, mud and debris and it would be very difficult to determine how much of this was caused by deficient storm drains.

Member Grimme asked if any of the storm damage could have been avoided if the City had an emergency volunteer group to assist with sand bags. Director McLean informed the FAC that he does not believe it would have helped because much of the damage occurred very quickly and in unexpected areas.

Director McLean presented a shortened version of the Water Quality and Flood Protection Program Power Point Presentation that was presented to the Rancho Palos Verdes Council of Homeowners Association.

FY05-06 STATE BUDGET UPDATE

Senior Administrative Analyst Gyves informed the FAC that the proposed FY05-06 State Budget released in January does not contain any items that significantly impact local governments. Senior Administrative Analyst Gyves also informed the FAC that the revised State Budget will be released in May.

PUBLIC COMMENTS

No public comments were made.

ADJOURNMENT

Vice-Chair Clark moved and Member Grimme seconded a motion to adjourn the meeting at 8:58 PM. Hearing no objection, Chair McLeod ordered the meeting adjourned.

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Chair, Financial Advisory Committee

ATTEST:

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Gary Gyves, Recording Secretary