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Minutes 1989-06-05 MINUTES MEETING OF THE CITY COUNCIL MONDAY, JUNE 5, 1989 COUNCIL CHAMBERS, 215 EAST BRANCH STREET ARROYO GRANDE, CALIFORNIA The City Council met at 7:30 P.M. with Mayor Mark M. Millis presiding. Also present were Council Members A. K. "Pete" Dougall, Gene Moots, Doris Olsen and B'Ann Smith. Mayor Millis requested that the Council meet in Closed Session on a personnel matter. The Council reconvened in Open Session at 7:50 P.M. and Mayor Millis said that in the past few weeks the Council had been seeking legal counsel. He thanked all those attorneys who had come before it and indicated an interest in the position of City Attorney of Arroyo Grande. Council Member Olsen moved and Council Member Smith seconded the appointment of Judy Skousen of Morro Bay to be the Arroyo Grande City Attorney. The motion passed. Mayor Millis said Ms. Skousen also is City Attorney for Morro Bay. He said she has an outstanding professional background. The Mayor then announced that the city had reached a tentative agreement with SEIU, the labor union for some City employees. He said the wording has to be checked out by all parties, but the basic outline includes a two-year contract and an increase in salary of seven percent for 1989/1990 and five percent for 1990/1991. He said the benefit package will include the city paying a fee equivalent to the cost of HMO dependent medical coverage. He said in the 1990/1991 fiscal year the City will pay for Delta Dental coverage for employees and their families. City Manager Chris Christiansen noted that the bereavement leave has been extended to include aunts and uncles, and the amount paid by the city for boots has been increased to $100.00 for certain employees. Mayor Millis said that there are six department heads in the area of management, and that the Council had discovered in checking with other cities that there is a need to remain competitive with neighboring and other cities throughout California. He said, with that in mind, the Council has made some adjustments and reclassification in base pay. He said Management and Confidential employees will receive the same seven percent in 1989/1990 and five percent in 1990/1991 and the same benefits received by SEIU employees. He read the following Management salary figures for 1989/1990, including the seven percent: Planning Director $52,909.00 Fire Chief 51,998.00 Parks and Recreation 46,207.00 Finance Director 46,909.00 Public Works Director 56,307.00 Police Chief 55,383.00 Mayor Millis listed the salaries of the 1989/1990 Confidential employees, including the seven percent: City Clerk $34,668.00 Secretary to city Manager 28,235.00 Administrative Secretary 19,821.00 Mayor Millis said the salaries for Mid-Management for 1989/1990, including the seven percent, would be: Chief Building Inspector $37,942.00 PUblic Works Superintendent (Corrected 37,942.00 6/27/89) 1 CITY COUNCIL JUNE 5, 1989 In summary, the Mayor said the city had reached tentative agreement with the SEIU, and has offered a salary package to Management and Confidential employees. He said he hoped to have agreement with Police employees in the near future. Council Member Olsen pointed out that City employees had received only a small salary increase last year. (Corrected 6/27/89) Mayor Millis said, to a certain extent the city is playing a catch-up game in a competitive market for all City employees. The Council began the discussions of the 1989/1990 Budget. Mr. Christiansen said the picture is very good this year, and the City is in solid financial shape. The Council discussed General Fund Revenues and noted that the City expects to receive in 1989/1990 $4,434,150. Also discussed were the City Council and Central Services bUdgets. Finance Director David Bacon gave the Council copies of the 1989/1990 organization Funding Requests, and the discussion of how to distribute $17,000 to community organizations. HEATHER JENSEN, executive manager of the Chamber of commerce, requested funds from the City in the amount of $23,000. There was Council discussion, and Mayor Millis suggested tying the city's contribution to the Chamber to a formula that would be increased as the sales tax revenue is increased in the City. He said one percent of the sales tax revenue would amount to $14,111. After further discussion, the Mayor said he counted three Council Members in favor of the one percent of sales tax revenue contribution, and two members in favor of increasing the contribution to $23,000. , Council Members said they would support contributing $1,000 to Meals on Wheels, $1,000 to Harvest Bag, $300 to L. T. Care Ombudsman services, and $300 to Hotline. JONNI EYLAR of the San Luis Obispo County Visitors and Conference Bureau spoke to the Council and requested a city contribution of $3,250. She listed the Bureau's efforts to bring tourist dollars to the Central Coast. There was Council consensus to fund just the Chamber of Commerce, Meals on Wheels, Harvest Bag, L. T. Care Ombudsman services and Hotline. Mayor Millis said the city's contribution to community organizations totaled $16,711. (Corrected 6/27/89) The Council considered the budget of the Finance Department, the city Clerk, the City Attorney, the Planning Department, Printing/Duplicating, Insurance/Bonds, Retirement/Fringe Benefits, POlice, and Building and safety. Several Department Reads listed areas where they had made cuts in their proposed budgets. The Council expressed interest in purchasing large items such as vehicles locally if there is not a large difference in pricing. There was discussion of a new fire engine for the Fire Department. Council Members decided to pay cash for the engine, using $50,000 in a Reserve Fund for the down payment, putting $50,000 into this year's budget for the engine, and appropriating $80,000 in the 1990/1991 fiscal year. Fire Chief Doug Ramp said in order to make cuts in his proposed budget he had cut some needed breathing apparatus equipment for the firemen. After Council consideration, Mayor. 2 ..----.-,---.. -. CITY COUNCIL JUNE 5, 1989 Millis said this item should be taken up at the end of the budget discussions and hopefully monies could be found for it. The Council set future meeting dates for the budget at 7:30 P.M. on June 7 in the Council Chambers Conference Room and June 14 in the Council Chambers. The Council adjourned to a Closed Session on personnel at 9:33 P.M. The Council reconvened at 9:50 P.M. and the Mayor announced that the salary for the City Manager would be $66,340. It was moved by DougalljMoots and the motion passed to adjourn at 10:00 P.M. to Wednesday, June 7, 1989. MAYOR ATTEST: CITY CLERK