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Minutes 2011-05-26 SP CC/RDA MINUTES SPECIAL MEETING OF THE CITY COUNCIL/REDEVELOPMENT AGENCY THURSDAY, MAY 26, 2011 COUNCIL CHAMBERS, 215 EAST BRANCH STREET ARROYO GRANDE, CALIFORNIA 1. CALL TO ORDER Mayor /Chair called the Special Meeting of the City Council /Redevelopment Agency to order at 6:16 p.m. 2. ROLL CALL Mayor /Chair Tony Ferrara, Council /Board Member Joe Costello, Council /Board Member Jim Guthrie, and Council /Board Member Tim Brown were present. Mayor Pro Tem Ray was absent. Staff members present were City Manager Steven Adams, Chief of Police Steve Annibali, Director of Legislative and Information Services /City Clerk Kelly Wetmore, Community Development Director Teresa McClish, Recreation and Maintenance Services Director Doug Perrin, and Administrative Services Director Angela Kraetsch. 3. FLAG SALUTE Mayor /Chair Ferrara led the Pledge of Allegiance. 4. CITIZENS' INPUT, COMMENTS, AND SUGGESTIONS There were no public comments. 5. NEW BUSINESS 5.a. Fiscal Year 2010 -11 Third Quarter Budget Report. Director Kraetsch presented the staff report and recommended the City Council /Agency Board: 1) Approve detailed budget adjustments listed in the Third Quarter budget report; 2) Approve Schedule A; and 3) Approve requests for additional adjustments in the General Fund. Brief discussion ensued regarding the City's insurance program through the California Joint Powers Insurance Authority (CJPIA) and the need to review the program to determine if it is still cost efficient for the City. No public comment was received. Action: Council /Board Member Costello moved to approve detailed budget adjustments listed in the Third Quarter budget report; approve Schedule A; and approve requests for additional adjustments in the General Fund. Council /Board Member Brown seconded, and the motion passed on the following roll call vote: AYES: Costello, Brown, Guthrie, Ferrara NOES: None ABSENT: Ray Special City Council /Redevelopment Agency Meeting Minutes May 26, 2011 Page 2 5.b. Consideration of Preliminary FY 2011 -12/FY 2012 -13 Biennial Budget. Director Kraetsch presented the staff report which included a review of the biennial budget calendar; a summary of the Preliminary Budget for FY 2011 -12 and 2012 -13 including General Fund revenue and expenditure projections and estimated budget shortfalls; budget strategies to address the shortfall in FY 2011 -12; and an overview of other funds (Water, Sewer, Redevelopment Agency, Streets, Capital Improvement Program). Director Perrin provided a summary of major City projects, and Director McClish provided a summary of major street, drainage, and water projects. City Manager Adams explained that there were three (3) unfunded projects (Car Corral, Fair Oaks, and Elm Street improvements) and that the budget strategy was to apply any savings from other projects to these projects. Brief discussion ensued regarding sidewalk damage due to tree roots and the priority for fixing all sidewalks within the City, with an emphasis on the Village. No public comments were received. Council /Board Member comments ensued regarding sidewalk repairs; negotiation of labor agreements; sales and gas tax revenue assumptions from the County; street improvements as it relates to microsurfacing versus slurry seal; repairs needed on James Way; street maintenance for E. Grand Avenue; and the importance of maintaining the City Council's reserve fund goal of 20 %, not falling below 15 %, and that the first priority is to increase the reserve fund. No formal action was taken. 6. ADJOURNMENT Mayor /Chair Ferrara adjou- d the Special Meeting at 7:09 p.m. Tony Ferrara,yr=y• /Chair ATTEST: 020 J,,,,,,,,, Kelly Wetmore ity Clerk/Agency Secretary (Approved at CC Mtg [!0"M )