CITY COUNCIL/SUCCESSOR AGENCY/
FINANCING/POWER AUTHORITY
REGULAR MEETING
AGENDA
Tuesday
February 24, 2015
Regular Meeting - 5:00 p.m.
Council Chambers - Lancaster City Hall
The City Clerk/Agency/Authority Secretary hereby declares the agenda was posted
by 5:00 p.m. on Friday, February 20, 2015
at the entrance to the Lancaster City Hall Council Chambers.
44933 Fern Avenue, Lancaster, CA 93534

LEGISLATIVE BODY

City Council/Successor Agency/Financing/Power Authority

Mayor/Chair R. Rex Parris
Vice Mayor/Vice Chair Marvin Crist
Council Member/Agency/Authority Member Sandra Johnson
Council Member/Agency/Authority Member Ken Mann
Council Member/Agency/Authority Member Ronald D. Smith

AGENDA ITEMS TO BE REMOVED

Sometimes it is necessary to remove items from the agenda. We apologize for any inconvenience this may cause you.

PUBLIC BUSINESS FROM THE FLOOR - AGENDIZED ITEMS

Any person who would like to address the City Council, Successor Agency, and Power/Financing Authorities on any agendized item is requested to complete a speaker card for the City Clerk/Agency/Authority Secretary and identify the agenda item you would like to discuss. Each person will be given an opportunity to address the Legislative Body at the time such item is discussed. Speaker cards are available at the rear of the Council Chambers and your speaker card must be filled out prior to the agenda item being called. We respectfully request that you fill the cards out completely and print as clearly as possible. Following this procedure will allow for a smooth and timely process for the meeting and we appreciate your cooperation. Individual speakers are limited to three (3) minutes each.

Consent Calendar items under the Legislative Body may be acted upon with one motion, a second and the vote. If you desire to speak on an item or items on the Consent Calendar, you may fill out one speaker card for the Consent Calendar. You will be given three minutes to address your concerns before the Legislative Body takes action on the Consent Calendar.

CALL TO ORDER

City Council/Successor Agency/Financing/Power Authority

ROLL CALL.

City Council Members / Agency Directors /Authority Members: Johnson, Mann, Smith; Vice Mayor/Vice Chair Crist, Mayor/Chair Parris

INVOCATION

Jason Knudeson, Chaplain, Maj, USAF

PLEDGE OF ALLEGIANCE

PRESENTATION

1. Recognition of Karen Ventura as 2015 Antelope Valley Boys & Girls Club Youth of the Year
Presenters: Mayor Parris and City Manager Mark Bozigian

COUNCIL ACTIONS.

MINUTES

M 1. Approve the City Council/Successor Agency/Financing/ Power Authority Regular Meeting minutes of February 10, 2015.

CONSENT CALENDAR

CC 1. Waive further reading of any proposed ordinances. (This permits reading the title only in lieu of reciting the entire text.)

CC 2. Approve the Check and Wire Registers for January 25, 2015 through February 7, 2015 in the amount of $4,394,132.22.
CC 2 attachment

At each regular City Council Meeting, the City Council is presented with the financial claims (invoices) against the City for purchase of materials, supplies, services, and capital projects for checks and Automated Clearing House (ACH) payments issued the prior two to three weeks. This process provides the City Council the opportunity to review the expenses of the City. The justifying backup information for each expenditure is available in the Finance Department.

CC 3. Accept and approve the January 2015, Monthly Report of Investments as submitted.
CC 3 attachment

Each month, the Finance Department prepares a report listing the investments for all separate entities under the jurisdiction of the City as identified in the City's Comprehensive Annual Financial Report, the City of Lancaster and the Lancaster Housing Authority. The City's investments are governed by Sections 53600 et. seq. of the California Government Code. Additional requirements have been placed on the City's authorized investments by the Investment Policy (a copy is available in the Finance Department or from the City Clerk), and all investments listed on the attached report adhere to these requirements.

CC 4. Adopt Ordinance No. 1003, amending Title 17 of the Lancaster Municipal Code to incorporate by reference the Lancaster TOD Zones as the development and land use regulations for the defined area, and amend the zoning map to MU-TOD to be co-terminus with the Lancaster TOD Zones.
CC 4 attachment

The TOD Zones are intended to provide the foundation for a complementary mixture of appropriately intensive commercial and high-density residential land uses in close proximity to a defined transit facility. As proposed, the TOD Zones would cover 186 acres within the Downtown Lancaster Transit Village District, extending approximately one-half mile from the Metrolink station.

CC 5. Award Housing and Neighborhood Revitalization Neighborhood Stabilization Program Construction Project No. 606-15 to High Desert Contractors, Inc. of Lancaster, California, in the amount of $560,000.00 (plus a 10% contingency) and authorize the City Manager, or his designee, to sign all documents.

In September 2008, pursuant to the Housing and Economic Recovery Act of 2008, the City received funds for the Neighborhood Stabilization Program 1 from the U.S. Department of Housing and Urban Development to acquire, rehabilitate and then resell foreclosed homes. From December 4, 2014 to January 6, 2015, the City solicited bids from licensed firms for construction of the Neighborhood Stabilization Program Project. The rehabilitation work being performed by the contractor will consist of the following: eliminating safety concerns, including fire hazards, lead-based paint hazards, removing unpermitted construction and correcting code violations; installing more energy efficient systems, including water conservation devices, and making general property and green building improvements that will increase the long-term sustainability of the single family residence.

CC 6. TDA Article 8 FY 2014-15 Application for Available Funds and Appropriation to Existing Projects
CC 6 attachment

a. Adopt Resolution No. 15-05, authorizing the City Manager, or his designee, to apply for all funds available to the City of Lancaster from Los Angeles County Metropolitan Transportation Authority (LACMTA).

b. Appropriate an additional $1,750,000 of the available funds to 206-12ST029924, 2014 Pavement Management Program; appropriate an additional $265,000 of the available funds to 206-15SW009924, Valley View Elementary School Pedestrian Improvements; appropriate $325,000 of the available funds to 206-15ST045924, 37th Street East Improvements, Avenue J-4 to Avenue J-8.

PUBLIC HEARING.

PH 1. Approval of Lancaster Choice Energy Customer Power Rates, FY 14/15 Budget, Position Classifications, Program Policies and Revised Implementation Plan
PH 1 attachment

Recommendations:

1. Adopt Resolution No. 15-06, establishing customer power generation rates for Lancaster Choice Energy Power Generation.

2. Adopt Resolution No. 15-07, adopting the proposed Lancaster Choice Energy Enterprise Fund Fiscal Year 2014-2015 Budget

3. Adopt Resolution No. 15-08, establishing the terms and conditions and authorizing the execution of a Promissory Note in favor of the General Fund of the City of Lancaster for the distribution of funds to Lancaster Choice Energy Enterprise Fund.

4. Adopt Resolution No. 15-09, amending Resolution No. 14-64 establishing a Compensation Schedule for non-represented employees of the City.

5. Adopt Administrative Policies LCE-001, LCE-002 and LCE-003.

6. Adopt Revised Implementation Plan.

Lancaster Choice Energy (LCE) will begin serving customers in May 2015 for municipal accounts and October 2015 for all other customers. LCE will offer two electricity products, Clear Choice which is a 35% renewable energy product and Smart Choice a 100% renewable energy product. Based on current projections of customer base, electricity costs and program expenses, the proposed Clear Choice rates offer customers a discount of 3% over the current SCE rates, with the exception of those residential customers that are under the CARES program.

With the kick-off of LCE providing electricity to municipal customers in May 2015, it is appropriate to adopt a budget that recognizes revenues to be collected and expenses incurred for the current fiscal year. The anticipated shortfall is to be covered by a loan from the General Fund to be repaid with future LCE revenues.

LCE operations will require job duties and responsibilities not currently provided within the current classifications of the city. As a result, new positions are recommended to provide these new duties and responsibilities.

As part of the implementation of LCE, there are policies recommended that are unique to the operations of the utility. These include Prohibition Against Dissemination of Untrue or Misleading Information, Collections and Write Off Policy and the Rate Setting and Rate Stabilization Policy.

The Implementation Plan is being revised to reflect the current phasing schedule and proposed rate schedule, to ensure the Implementation Plan (IP) reflects LCE as accurately as possible.

JOINT NEW BUSINESS - CITY COUNCIL/SUCCESSOR AGENCY.

JNB 1. Loan between the City of Lancaster and the Lancaster Successor Agency and related amortization schedule
JNB 1 attachment

City Council Recommendations:

a. Adopt Resolution No. 15-10, establishing the terms and conditions and authorizing the execution of a promissory note in favor of the City of Lancaster for the distribution of funds to the Lancaster Successor Agency for enforceable obligations and administrative expenses for the period January to June 2015 pursuant to Health & Safety Code Section 34173(h).

b. Adopt Resolution No. 15-11, approving the loan amortization schedules for the loan from the City of Lancaster to the Lancaster Successor Agency for enforceable obligations and administrative expenses for the period January to June 2015 pursuant to H & S Code Section 34173(h) and 34191.4(b)(2).

Successor Agency Recommendations:

a. Adopt Resolution No. SA 04-15, establishing the terms and conditions and authorizing the execution of a promissory note in favor of the City of Lancaster for the distribution of funds to the Lancaster Successor Agency for enforceable obligations and administrative expenses for the period January to June 2015 pursuant to Health & Safety Code Section 34173(h).

b. Adopt Resolution No. SA 05-15, approving the loan amortization schedules for the loan from the City of Lancaster to the Lancaster Successor Agency for enforceable obligations and administrative expenses for the period January to June 2015 pursuant to H & S Code Section 34173(h) and 34191.4(b)(2).

Health and Safety Code Section 34173(h) provides the ability for the City to make a loan to the Agency for enforceable obligations and administrative expenses should there not be sufficient Redevelopment Property Tax Trust Funds available to cover these approved costs. Section 34191.4(b)(2) sets the interest rate equivalent to the LAIF rate. The loan becomes an enforceable obligation of the Agency, and is to be included on the Recognized Obligation Payment Schedule for repayment through future RPTTF distributions.

NEW BUSINESS.

NB 1. Purchase and Sale Agreement with Southern California Edison for the acquisition of the City of Lancaster's Streetlights
NB 1 attachment

Recommendation:

Approve the Purchase and Sale Agreement with Southern California Edison (SCE) for the acquisition of the City of Lancaster's 17,856 LS-1 streetlights for an amount not to exceed $12,200,000 (acquisition and transaction costs) and authorize the City Manager or his designee to execute and submit all related documents.

City staff has worked closely with SCE to finalize the terms and conditions of the Purchase and Sale Agreement. This is the next step in the acquisition of the City's streetlights. The Purchase and Sale Agreement with SCE is an attachment required by the CPUC Section 851 application process and sets forth the terms and conditions of the sale of the streetlights. If approved, the Purchase and Sale Agreement would complete the Section 851 application, which would then be submitted to the CPUC for review.

COUNCIL REPORTS.

CR 1. Report on the Activities of the Board of Directors for the Antelope Valley Transit Authority
Presenter: Vice Mayor Crist

CR 2. Report on the Activities of the Board of Directors for District No. 14 of the County Sanitation Districts of Los Angeles County
Presenter: Council Member Mann

LANCASTER HOUSING AUTHORITY

No action required at this time.

LANCASTER FINANCING AUTHORITY

No action required at this time.

LANCASTER POWER AUTHORITY

No action required at this time.

CITY MANAGER / EXECUTIVE DIRECTOR ANNOUNCEMENTS

CITY CLERK /AGENCY/AUTHORITY SECRETARY ANNOUNCEMENT

PUBLIC BUSINESS FROM THE FLOOR - NON-AGENDIZED ITEMS

This portion of the agenda allows an individual the opportunity to address the City Council/Successor Agency on any item NOT ON THE AGENDA regarding City/Agency business and speaker cards must be submitted prior to the beginning of this portion of the Agenda. Please complete a speaker card for the City Clerk/Agency Secretary and identify the subject you would like to address. We respectfully request that you fill the cards out completely and print as clearly as possible. Following this procedure will allow for a smooth and timely process for the City Council/Successor Agency meeting and we appreciate your cooperation. State law prohibits the City Council/Successor Agency from taking action on items not on the agenda and your matter will be referred to the City Manager/Executive Director. Individual speakers are limited to three (3) minutes each.

COUNCIL / AGENCY COMMENTS

CLOSED SESSION

1. Conference with Legal Counsel - Anticipated Litigation: significant exposure to litigation pursuant to Government Code Section 54956.9(d) (2) - three potential cases.

2. Conference with Legal Counsel - Anticipated Litigation: consideration of initiation of litigation pursuant to Government Code Section 54956.9(d) (4) - four potential cases.

3. Conference with Legal Counsel--Existing Litigation - Government Code Section 54956.9(d) (1)

4. Coalition for Open Government v. City of Lancaster, Case No. BC499047

5. Quartz Hill Cares v. City of Lancaster, Case No. BS 122336

6. Lancaster v. Housing Authority of the County of Los Angeles (HACoLA) Case No. MC023649

7. Save Our Neighborhood Group v. City of Lancaster, et al. Los Angeles Superior Court Case No. BS 121501.

8. Tapola v. City of Lancaster, LASC Case No. MC 024672

9. ANTELOPE VALLEY GROUNDWATER CASES
   Included Actions:
   Los Angeles County Waterworks District No. 40 v. Diamond Farming Co.
   Superior Court of California, County of Los Angeles, Case No. BC325201;
   
   Los Angeles County Waterworks District No. 40 v. Diamond Farming Co.
   Superior Court of California, County of Kern, Case No. S-1500-CV-254-348
   
   Wm. Bolthouse Farms, Inc. v. City of Lancaster, Diamond Farming Co. v. City of Lancaster, Diamond Farming Co. v. Palmdale Water District
   Superior Court of California County of Riverside, consolidated actions;
   Case Nos. RIC 353 840, RIC 344 436, RIC 344 668
   
   Santa Clara Case No. 1-05-CV 049053

ADJOURNMENT

Next Regular Meeting:
Tuesday, March 10, 2015 - 5:00 p.m.

MEETING ASSISTANCE INFORMATION

In compliance with the Americans with Disabilities Act, this meeting will be held at a location accessible to persons with disabilities; if you need special assistance to participate in this meeting, please contact the City Clerk at (661)723-6020. Services such as American Sign Language interpreters, a reader during the meeting, and/or large print copies of the agenda are available. To ensure availability, you are advised to make your request at least 72 hours prior to the meeting/event you wish to attend. Due to difficulties in securing sign language interpreters, five or more business days notice is strongly recommended. For additional information, please contact the City Clerk at (661)723-6020.

AGENDA ADDENDUM INFORMATION

On occasion items may be added after the agenda has been mailed to subscribers. Copies of the agenda addendum item will be available at the City Clerk Department and are posted with the agenda on the windows of the City Council Chambers. For more information, please call the City Clerk Department at (661) 723-6020.

All documents available for public review are on file with the City Clerk Department.