2/23/20091
MINUTES OF
A REGULAR MEETING
OF THE
CITY COUNCIL OF THE
CITY OF ROLLING HILLS, CALIFORNIA
MONDAY, FEBRUARY 23, 2009
CALL TO ORDER
A regular meeting of the City Council of the City of Rolling Hills was called to order by Mayor Hill at
7:35 p.m. in the City Council Chambers at City Hall, 2 Portuguese Bend Road, Rolling Hills, California.
ROLL CALL
Councilmembers Present:
Councilmembers Absent:
Others Present:
CONSENT CALENDAR
Black, Lay, Pernell, Mayor Pro Tem Heinsheimer and Mayor Hill.
None.
Anton Dahlerbruch, City Manager.
Mike Jenkins, City Attorney.
Yolanta Schwartz, Planning Director.
James Walker, Finance Director.
Heidi Luce, Interim Deputy City Clerk.
Lt. Greg Ahn, LASD, Lomita Station.
Kit Bagnell, L.A County, Dept. of Building and Safety.
Roy Itani, L.A County, Dept. of Building and Safety.
Bill Orton, Field Deputy, Senator Roderick D. Wright's Office.
Gordon Schaye, Former Wildlife Preservation Committee Member.
Allen Kent Smith, Auditor.
Ron Takaguchi, L.A County, Dept. of Building and Safety.
Katie Wilson, Willdan Financial Services.
Matters which may be acted upon by the City Council in a single motion. Any Councilmember
may request removal of any item from the Consent Calendar causing it to be considered under
Council Actions.
a. Minutes - Regular Meeting of February 9, 2009.
RECOMMENDATION: Approve as presented.
b. Payment of Bills.
RECOMMENDATION: Approve as presented.
C. Financial Statement for the month of January, 2009.
RECOMMENDATION: Approve as presented.
d. Budget/Finance Subcommittee, February 9, 2009 Meeting Notes.
RECOMMENDATION: Receive and file.
e. Correspondence from Southern California Edison regarding Change in SCE Design
Standards.
RECOMMENDATION: Receive and file.
f. Ordinance No. 314: An ordinance of the City of Rolling Hills amending in its entirety
Chapter 8.08 of the Rolling Hills Municipal Code relating to the collection of Solid
Waste and Recyclables.
RECOMMENDATION: Approve as presented.
Mayor Pro Tem Heinsheimer moved that the City Council approve the items on the consent calendar.
Councilmember Lay seconded the motion, which carried unanimously.
Mayor Hill introduced Bill Orton, Field Deputy from Senator Roderick Wright's office. Mr. Orton
thanked the members of the City Council for their letter of welcome that was sent to Senator Wright and
expressed the Senator's interest in maintaining a close connection to the communities he serves. Mr.
Orton reviewed the boundaries for the district of Senator Wright and stated that as Field Deputy, he
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covers the areas of Long Beach, Wilmington, San Pedro and the Palos Verdes Peninsula. He also
thanked the members of the City Council for their nominations for the 25`h Senate District Woman of the
Year and stated that Senator Wright will be hosing a luncheon to recognize the nominees.
PRESENTATIONS
Special Presentation to Gordon Schaye for service to the City of Rolling Hills
as a member of the Wildlife Preservation Committee
Mayor Hill presented Gordon Schaye with a City Council Commendation in appreciation of the time,
dedication, commitment and knowledge that he generously provided as a member of the Wildlife
Preservation Committee.
Special Recognition of Mr. Roy Itani, County of Los Angeles,
Building and Safety Department District Engineer, for service to Rolling Hills
Mayor Hill presented Roy Itani, District Engineer from the County of Los Angeles Building and Safety
Department a City Council Commendation in recognition of his many years of distinguished service to
the residents of Rolling Hills on the behalf of the Los Angeles County Department of Building and
Safety.
County of LA Building and Safety Department Update
City Manager Dahlerbruch introduced Kit Bagnell. District Engineer from the County of Los Angeles
Building and Safety Department. Mr. Bagnell presented the members of City Council an update on the
Building and Safety Department's services to the City. Mr. Bagnell stated that the Building and Safety
Department is transitioning to a new service structure including the opening of a new Southwest office
at the corner of Imperial Highway and Normandy He stated that Roy Itani will take over managing the
new office. He further noted that with the opening of the new office, the Lomita office will revise its
service offering due to the fact that the new office will be handling many of the communities that were
previously handled at the Lomita office. The Lomita office will primarily serve the Peninsula area, and
the smaller local unincorporated areas. He further stated that the office manager will be Frank Harris,
that he (Mr. Bagnell) will serve as the district engineer; however, his is currently assigned to the Carson
Building and Safety office. Councilmember Pernell asked Mr. Bagnell how this change affects the
applicants from the City of Rolling Hills. Mr. Bagnell stated that office will remain open Monday
through Friday and that the inspector assigned to the City of Rolling Hills, Wayne Chapman, will
remain. He also noted that the Plan Check counter hours will change from five days per week to two
days per week. Official counter hours will be in the mornings on Monday and Thursday however at any
time applicants need to speak with a Plan Checker, they can contact them by phone and arrange for an
appointment. Mr. Bagnell then introduced Ron Takaguchi, Regional Engineer from the Alhambra office.
Mr. Takaguchi expressed appreciation for the long-term relationship between the City of Rolling Hills
and the Department of Building and Safety and his intent to continue that relationship. He stated that his
department's roll in the process is primarily administrative in nature and operates mostly behind the
scenes.
PLANNING COMMISSION ITEMS,
NONE
TRAFFIC COMMISSION ITEMS,
NONE.
PUBLIC HEARINGS
NONE
OLD BUSINESS
NONE.
NEW BUSINESS
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1
CONSIDERATION OF THE 2007/08 FISCAL YEAR AUDIT
City Manager Dahlerbruch introduced the City's finance director Jim Walker and stated that Finance
Director Walker will present the 2007/08 Fiscal Year Audit.
Finance Director Walker presented the 2007/08 Fiscal Year Audit for consideration. He noted that the
Auditor, Allen Kent Smith, was seated in the audience. Finance Director Walker stated that the 2007/08
audit is a clean opinion and the financial statements are fairly presented. He further noted that there were
VI two comments made by the Auditor; one regarding an accounting manual. He further stated that he is in
the process of putting together a practical operations manual for both finance and treasury. The second
comment was that there is a need to formalize the bank reconciliations, which he stated were done in
December. He further noted that the accounting manual will be an ongoing document that will change
as processes change and, it will be presented to City Council in the future. Auditor Allen Kent Smith
presented the 2007/08 Fiscal Year Audit and further noted that there was no discovery of anything that
was out of line and would require anything other than minor adjustments He further stated that the
City's books and records are kept in good order. Following the presentations and brief discussion,
Mayor Pro Tem Heinsheimer moved that the City Council accept the fiscal year 2007/08 audit as
presented. Councilmember Lay seconded the motion, which carried unanimously.
CONSIDERATION OF MODIFICATIONS TO THE CITY OF ROLLING HILLS
INVESTMENT POLICY AND TO THE CITY OF ROLLING HILLS FINANCIAL, BUDGET
AND DEBT POLICIES
Finance Director Walker presented proposed modifications to City's investment policy and the financial,
budget and debt policies. He noted that the Auditor recommended minor modifications to the policies
and those recommendations were reviewed with the Budged and Finance Subcommittee on February 9,
2009. He further noted that those changes have been redlined into the previous policy for the Council's
review. He reported that the changes were minor in nature, mainly language changes. Councilmember
Lay asked if there has been a change in the investment strategy and Finance Director Walker reported
that no changes were made to the investment strategy. After discussion, Mayor Pro Tem Heinsheimer
moved that the City Council approve the modifications to the City of Rolling Hills Investment Policy the
City of Rolling Hills Financial, Budget and Debt Policies as presented. Councilmember Black seconded
the motion, which carried unanimously.
PRESENTATION AND CONSIDERATION OF THE CITY OF ROLLING HILLS
"COMPREHENSIVE USER FEE AND RATE STUDY" AND REVIEW OF THE 2008/09
SCHEDULE OF FEES AND CHARGES
City Manager Dahlerbruch stated that Katie Wilson from Willdan Financial Services will explain the
User Fee Study that was initiated in anticipation of preparing the next fiscal year budget. In explanation,
he stated that the User Fee Study evaluates what the City's fees are compared to the City's cost of
providing services. He stated that a user fee study is typically done in most cities every five years and
that is has been longer since the City has done a user fee study. He stated that Willdan Financial was
engaged to help with the Study and that the purpose of tonight's presentation is to introduce the report,
gain feedback from the City Council and then from that, develop a schedule that would formally adopt
the recommendations. He then introduced Katie Wilson, Principal Engineer from Willdan Financial.
City Manager Dahlerbruch noted that he previously worked with Ms. Wilson when he was with the City
of Beverly Hills. Ms. Wilson presented the User Fee Study. She stated that the purpose of the User Fee
Study is to ensure that the full costs are identified and to identify where the General Fund may be
subsidizing cost. She stated that the study reviews all the direct and indirect costs associated with
providing the service. She stated that in doing the User Fee Study, department budgets, overhead cost
allocations and, staffing levels are reviewed to develop a fully burdened hourly rate. She stated that the
methodology used in the study is the Case Study Method which looks at each service that is delivered.
She stated that the data has three cost layers: direct labor, departmental overhead, and central service
overhead. She presented an illustration showing that direct labor is usually the largest portion followed
by departmental overhead then central service overhead. She also presented an example of how a fully
burdened hourly rate was calculated. Finally, she presented an example of how the actual cost of service
is calculated using all of the information available.
City Manager Dahlerbruch summarized the findings of the User Fee Study in comparison to the City's
current fee schedule, noting that with the information in the Study, the City could potentially see a
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decrease in revenue. He explained that the difference in the revenue considers an estimated number of
construction projects and building permits applied to an administrative fee to administer the County
contract in comparison to the County multiplier on the cost of the permit cost, which is based on project
valuation and varies based on the size and complexity of the project. City Manager Dahlerbruch
reviewed a revenue comparison based on data collection by the previous Finance Director. He further
compared those numbers to a full cost recovery scheme based on the data in the User Fee Study. He also
pointed out that additional revenue may be gained in some of the other areas of fee collection if the City
changed its method of determining fees. He stated in summary that Staff suggests eliminating the
multiplier and move to a cost recovery method identified by Willdan. He noted that in the
recommendation, there is no contemplation to change penalty fees and it is recommended that proposed
recovery method incorporate a lower cost for copies.
City Manager Dahlerbruch presented the pros and cons of making the proposed changes. A discussion F"
ensued among the members of the City Council regarding whether the User Fee Analysis included and
reflected all City costs, expressing concern that not all costs were included and about the methodology
for preparing proposed fees. Questions were raised about the incorporation of overhead costs in the
proposed fees. Ms. Wilson reported that the Study incorporated information provided to them by City
staff. In response, the City Council directed staff to work with the City Council Finance/Budget
Subcommittee to further analyze the Study and fee calculation methodology and calculation, and to
prepare a proposal for City Council's review.
FISCAL YEAR 2009/10 BUDGET PREPARATION CALENDAR
City Manager Dahlerbruch reviewed the fiscal year 2009/10 budget preparation calendar. The members
of the City Council directed staff to proceed with the calendar as presented.
APPROPRIATION OF $10,000 FROM THE FY 08/09 BUDGET CONTINGENCY FOR
LANDSCAPING MAINTENANCE AND CLEARANCE
City Manager Dahlerbruch presented a staff report requesting an appropriation from the budget
contingency for landscaping maintenance and clearance. He noted that there is additional landscaping
maintenance necessary around City Hall specifically, irrigation heads to be replaced to be more water
efficient, installation of a controller to measure precipitation, removal of dead trees at the back of the
property and removal of a tree in danger of falling, that is beyond the funds originally budgeted for
landscape maintenance.
Councilmember Black moved that the City Council approve an appropriation of $10,000 from the fiscal
year 2008/09 budget contingency for landscaping maintenance and clearance. Councilmember Lay
seconded the motion, which carried unanimously.
OPEN AGENDA - APPROXIMATELY 8:00 P.M. - PUBLIC COMMENT WELCOME
NONE
MATTERS FROM MEMBERS OF THE CITY COUNCIL
CONSIDERATION OF A REPORT FROM THE PERSONNEL SUBCOMMITTEE
REGARDING AN APPOINTMENT TO THE PLANNING COMMISSION
Councilmember Lay presented a report from the Personnel Subcommittee proposing the appointment of
Jeff Pieper to the Planning Commission. He reported that Roger Sommer reapplied and was interviewed
along with the other individuals that applied. He explained that at the Council's direction, the
appointment policy was changed so that all Commission and Committee members must reapply if they
wish to continue upon the conclusion of their term. He stated that the intent of the change was to give
opportunity to others in the Community to serve on Commissions/Committees and not to have a
Commissioner become entrenched.
He explained that the Subcommittee's recommendation to appoint Mr. Pieper to the Planning
Commission is based on several factors and does not reflect in anyway an inability by Mr. Sommer to
serve as a Commissioner. He stated that Mr. Pieper has lived in the City for six years and has been
through the planning process as a builder, constructing his home. He stated that Mr. Pieper was critical
of the process as he went through it but has since, through his participation in the Focus Group,
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expressed and understanding of the process and an interest in improving the process. He stated that Jeff
Pieper has worked hard in the City in various aspects and has applied several times for an appointment
to the Planning Commission. He informed the members of the City Council that this recommendation
was also presented to the members of the Planning Commission at their meeting on Tuesday, February
17, 2009. He stated that that recommendation was understood by the Planning Commission.
Councilmember Lay moved that the City Council approve the Personnel Subcommittee's
recommendation to appoint Jeff Pieper to serve on the Planning Commission. Councilmember Pernell
seconded the motion, which carried unanimously. It was further stated that Mr. Sommer should be
invited to an upcoming City Council meeting at his earliest convenience to be recognized for his work
on the Planning Commission.
REGIONAL LAW COMMITTEE UPDATE (ORAL)
Mayor Hill updated the members of the City Council on the items discussed at the Regional Law
Committee meeting of February 12, 2009. City Manager Dahlerbruch added that it was also reported at
the meeting that the Sheriff's Department is proposing a three percent cost increase. He stated that the
three cites will meet with the Sheriff's Department to determine if there are any ways to reduce costs.
Councilmember Lay asked if the crime rate has increased or decreased. City Manager Dahlerbruch
responded that the overall crime rate in the area that the Lomita station serves is down. He added that
the Lomita station will be hosting a "Gifts for Guns" exchange on April 18-19.
Councilmember Pernell reported that he attended a joint meeting of the League of California Cities and
the California Contract Cities Association in Pasadena on February 18, 2009. He stated that the meeting
honored Judy Mitchell as President of the League of California Cities.
Mayor Hill informed the Council that he received a request from California State University Dominguez
to support a community event in the area. He stated that he would support the event but is unable to
attend.
Mayor Hill also informed the Council that he attended an informal meeting with some of the residents
on Packsaddle regarding crime.
Councilmember Pernell questioned a false call for service that was made to the Sheriff's Department
from a non-resident concerning a resident. Lt. Alin explained that the call was legitimate and no action
needed to be taken. City Manager Dahlerbruch stated he would look into further into the call.
MATTERS FROM STAFF
City Manager Dahlerbruch reported that he participated in a meeting with representatives from the Los
Angeles County Sheriff's Department and resident, Marcia Gold regarding recent crime activity. He
reported that a follow-up meeting will be scheduled to include the lead residents in the neighborhood
watch program and that a community -wide meeting will be scheduled for the fall.
City Manager Dahlerbruch reported that he had a meeting the Integrated Waste Management Board and
the City is on their radar list. He reported that the City will need to continue working with Allied Waste
to ensure that their reporting is correct, especially relating to construction and demolition waste.
Councilmember Black questioned why the City does not get credit for green waste brought into the City
and suggested that Senator Wright's office assist in addressing this matter. City Manager Dahlerbruch
stated that he would contact the Senator's office and continue to work toward a resolution.
City Manager Dahlerbruch reported that a proposed date of June 29, 2009 has been suggested for a joint
meeting of the City Council and Planning Commission to discuss the recommendations of the Focus
Group. Councilmember Lay suggested that the meeting be moved to a sooner date. City Manager
Dahlerbruch stated that staff would coordinate with those involved to schedule the meeting.
UPDATE ON 2010 UNITED STATES CENSUS (ORAL)
City Manager Dahlerbruch reported to the members of the City Council the items presented during a
recent meeting with representatives from the 2010 U.S. Census. He further reported that their intention
is to conduct the 2010 U.S. Census via mail.
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CLOSED SESSION
The City Council finds, based on advice from legal counsel, that discussion in open session will
prejudice the position of the local agency in the litigation.
Existing Litigation:
G.C. 54956.9(a)
Hui -Tse Sheen, Individual, Plaintiff, vs City of Rolling Hills, Rolling Hills Community
Association, et. al., Los Angeles County Superior Court, Case No. YC051963.
G.C. 54956.9(a) 1'_
Jonas, et al. v. City of Rolling Hills, et al., Los Angeles County Superior Court Case No.
YC033955.
G.C. 54956.9(a)
Freeman v. City of Rolling Hills, et al., Los Angeles County Superior Court Case No.
YC054015.
No closed session was held.
ADJOURNMENT
Hearing no further business before the City Council, Mayor Hill adjourned the meeting at 9:18 p.m. to
the next regular meeting of the City Council scheduled to be held on Monday, March 9, 2009 beginning
at 7:30 p.m. in the City Council Chambers at City Hall, 2 Portuguese Bend Road, Rolling Hills,
California.
Approved,
1 � �
ill
Mayor
Minutes
City Council Meeting
02/23/2009
Respectfully submitted,
4ait
Heidi Luce
Interim Deputy City Clerk
Eel
1