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HomeMy WebLinkAboutCC_2018-06-28_Minutes Special MeetingMINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING — JUNE 287 2018 COMMUNITY CENTER AUDITORIUM - 6:00 P.M. PRESENT: Jamie Irons Robert Davis John Headding Matt Makowetski Marlys McPherson STAFF: Scott Collins Lori Kudzma Joseph Pannone Jennifer Callaway Rob Livick Eric Casares Alex Handlers AGENDA NO: A-2 MEETING DATE: August 28, 2018 Mayor Council Member Council Member Council Member Council Member City Manager Deputy City Clerk City Attorney Finance Director Public Works Director WRF Program Manager (Carollo Engineers) Consultant (Bartle Wells Assoc.) ESTABLISH QUORUM AND CALL TO ORDER https:Hyoutu. be/gtX19Mzn-oQ?t=20s Mayor Irons called the meeting to order at 6:02 p.m., with all members present. PUBLIC COMMENT FOR ITEMS ON THE AGENDA Mayor Irons announced the public comment period would follow the presentation. SPECIAL MEETING AGENDA ITEM: https://youtu.be/gtX19Mzn-oQ?t=1 m47s Review of Proposed Water and Sewer Rate Increases and Authorization to Submit the Water Infrastructure Financing Innovation Act (WIFIA) Loan Application City Manager Collins went over the Water Reclamation Facility (WRF) project background and then introduced Alex Handlers from Bartle Wells Associates. In Handlers went over background and financial scenarios, WRF project funding sources, WRF Debt Estimates, CIP and Billing Alternatives, City Manager Collins summarized the items for which staff was seeking Council direction: 1. Front -loaded vs. Phase -in 2. Property tax vs. Monthly bill 3. Authorize City Manager to serve as authorizing agent and submit the Water Infrastructure Financing Innovation Act (WIFIA) loan application accompanied by an application fee of $25,000. Or. Collins and Mr. Handlers answered inquiries from the Council. Mayor Irons opened Public Comment, https://youtu. be/gtX19Mzn-oQ?t=1 h28m Carole Truesdale spoke regarding concerns about the cost of the project. Nancy Bast expressed appreciation for all the hard work being done to reduce costs. Ms. Bast spoke against the project. Cynthia Hawley shared her concern the Council is proceeding in violation of Prop 218. David Betonte spoke in support of the WRF project and proposed rates. Jane Heath stated she is satisfied the estimated surcharges are fair and affordable. Ms. Heath is distressed that she continues to receive inaccurate information on her doorstep. Eric Foor believes the surcharges should be proportionate based on use. Dawn Beattie spoke in support of what the Council is doing. Steve Stevens spoke regarding the fact sheet from 2015 and asked for acknowledgment that it exists. Mr. Stevens also asked about contingencies, delays and issues with Black & Veatch. Betty Winholtz had follow up questions from those that had previously been submitted. Ms. Winholtz spoke to procedure and change of order of business. The public comment period was closed. Staff addressed items mentioned during public comment. Council discussed the options presented. https://youtu. be/gtX19Mzn-oQ?t=2h4m49s A majority of the Council (irons, Headding, McPherson) supported frontloading the rates rather than phase -in. And, a majority of the Council (Davis, Makowetski, McPherson) supported monthly billing instead of placing on property tax bill. MOTION: Mayor Irons moved to authorize the City Manager to apply for the WIFIA loan. The motion was seconded by Council Member McPherson and carried 5-0. The Council made additional comments. There was Council consensus to bring back to a future meeting, the Utility Discount Program and discuss the enrollment period. ADJOURN The meeting adjourned at 8:30 p.m. Recorded by: Lori M. Kudzma Deputy City Clerk 2 MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING — JUNE 28, 2018