A regular meeting of the City Council of the City of San Ramon was called to order on May 28, 2002 at 7:45 p.m. in the Council Chamber at City Hall, 2222 Camino Ramon, Mayor Tatarka presiding.

PRESENT: Councilmembers Cambra, Dickey, Hudson, Wilson and Mayor Tatarka

ABSENT: None

STAFF PRESENT: City Manager Jim Randall, City Attorney Tom Curry, Police Chief Brian Lindblom, Parks and Community Services Director Jeff Eorio, Engineering Services Director Joye Fukuda, Planning Services Director Phil Wong, Transportation Director John Dillon, Building and Safety Services Acting Director Alina Roshal, Acting Administrative Services Director Jim Estep, Economic Development Services Director April Gray, Administrative Analyst Sandy Barlow, and City Clerk Judy Macfarlane

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PLEDGE OF ALLEGIANCE

Webelos Den 3, Pack 814, Neil Armstrong School led Council, staff and those present in the audience in the pledge of allegiance.

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The Parks and Community Services Director introduced Marci Herron, Recreation Coordinator – Aquatics.

The Public Services Director introduced Virginia Olvera, Maintenance Assistant.

The Acting Administrative Services Director introduced Philip Beilin, Computer Specialist.

The Police Chief introduced Kim Zaragosa, Police Officer.

Mayor Tatarka welcomed the new employees and gave them City pins.

Mayor Tatarka read a proclamation declaring June 1-9, 2002 Affordable Housing Week.

Mayor Tatarka presented a proclamation honoring Sunset Development Company’s 50^th Anniversary to Peter Oswald, Senior Vice- President, Director of Government Affairs, Sunset Development Company.

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Gene W. Nagel thanked the Council for the opportunity to participate in the community garden at Crow Canyon Gardens and complimented the committee on the Spring Festival held at the Gardens. He expressed concern for the disregard of the policies and regulations for the community gardens.

Christy Winter, President of San Ramon Chamber of Commerce, congratulated the Council on the successful Art and Wind Festival. After reviewing upcoming Chamber events she introduced Toby Brinks, the Chamber’s new President and CEO.

Victor Petersen said given the overwhelming public approval of the Elected Mayor Initiative he felt it was time to ask the public if they would prefer having the City elections in the even years. He asked the Council to place on the next available agenda the question of having an even year election ballot measure placed on the November 2002 ballot. He said he would like to make a special presentation to the Council for this agenda item, followed by the opportunity for public comment and Council discussion.

Cm. Hudson asked that November 2002 timetables be on the next Council agenda.

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APPROVAL OF MINUTES

Cm. Wilson’s motion to approve the minutes of the May 14, 2002 meeting was seconded by Cm. Hudson and passed 5-0.

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CONSENT CALENDAR

Cm. Dickey’s motion to approve the following Consent Calendar was seconded by Cm. Cambra and passed 5-0.

Register of Demands dated May 13, 19 and 26, 2002 in the amount of $1,346,566.90

RESOLUTION NO. 2002-53

Authorizing the Mayor to execute an agreement with Enterprise Roofing Service, Inc. for re-roofing the San Ramon Community Center (CIP 5369) in the amount of $107,390

Authorizing the Mayor to execute an agreement with Bay Cities Paving & Grading for construction of the Camino Ramon (Bollinger Canyon Road to Norris Canyon Road) and Crow Canyon Road (St. George Road to Dougherty Road) Pavement Rehabilitation Project (CIP 5316) in an amount not to exceed $1,644,003.50

RESOLUTION NO. 2002-55

Authorizing the Mayor to execute the assignment consent form, transferring agreement rights to Fugro West, Inc. for the agreement with Harza Engineering Company for Geotechnical Consulting Services for the period between July 1, 2000 and June 30, 2002

RESOLUTION NO. 2002-56

Authorizing the Mayor to execute the assignment consent form, transferring agreement rights to Fugro West, Inc. for the agreement with Harza Engineering Company for Materials Testing and Construction Inspection Services for the period between July 1, 2000 and June 30, 2002

Authoring the Mayor to execute Amendment No. 1 to the agreement with Parsons Brinckerhoff for Engineering Design Services for the Alcosta/I-680 Interchange Project (CIP 8144) in an amount not to exceed $284,760

The Administrative Analyst said it was staff’s recommendation that Council hold the public hearing for Landscaping and Lighting District 1984-1 and consider adoption of a resolution confirming the diagram and assessments and levying the assessments for FY 2002/03. She said the recommended action was necessary to levy the assessment of San Ramon property for FY 2002/03 and the proposed budget represented a 4.6% decrease from the previous year.

Mayor Tatarka opened the public hearing.

Paul Mitchell said he supported the proposed Landscaping and Lighting District assessment as presented.

Cm. Hudson’s motion to adopt the resolution levying the assessment was seconded by Cm. Cambra and passed 5-0.

Confirming diagram and assessment and levying the assessment for Fiscal Year 2002-2003

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Mayor Tatarka called for a five-minute break

All Councilmembers were present when the meeting reconvened.

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 DERWA – RECYCLED WATER RESERVOIR TANK NO. 1

The Engineering Services Director introduced the Dublin San Ramon Services District /East Bay Municipal Utility District Recycled Water Authority (DERWA) staff and said they would be making a presentation on their Recycled Water Reservoir Tank No. 1. She said the project would construct a recycled water tank that would hold approximately four million gallons in the proximity of an existing East Bay Mud water tank called Amador Tank. She said the tank site was situated in the open space area that is located between Dougherty Road and Alcosta Boulevard and north of Old Ranch Road. She said along with the tank construction was the installation of an approximate 1.3 miles of pipeline that will connect the new tank east to Dougherty Road and west to the PG&E easement area to Alcosta Boulevard.

Frank Mellon, East Bay Mud and DERWA Board Member, spoke about the two meetings scheduled for public comment on the project.

Laura Johnson, DERWA Manager, gave the background and history of the recycled water project using overhead pictures and graphs. She said Tank No. 1 would hold approximately four million gallons. She said California environmental laws require that a site specific environmental evaluation of that particular site be done. She gave an overview on the tank site location and described a timeline for completion of the project.

Cm. Dickey said she had received several telephone calls expressing concern regarding access to the Iron Horse Trail and the DERWA pipe routes and asked Ms. Johnson to address those issues.

Ms. Johnson described the pipe location in regard to the Iron Horse Trail and noted the numerous take-off points.

Mayor Tatarka asked if they had received any negative comments at their display at the City’s recent Art and Wind Festival.

Mr. Mellon said the one or two negative comments asked detail about where recycled water comes from. He said he explained the State’s stringent rules for water used on parks and industrial areas.

Cm. Cambra asked if the terminating point of the first phase of the line would extend to Pump Station 2A on Bollinger. He also asked if the line would be serving the potential future City Center site on Bollinger.

Ms. Johnson replied the City Center site was part of the targeted customer base.

Christa Freihofner expressed concern for people who have property on Pine Valley Court and said she would like to see them receive landscaping mitigation to improve the access road in that area.

Rosalind Rogoff said she was interested in where the recycled water would come from, stating she hoped it would come from the Dougherty Valley sewer. She said the 1996 EIR states that Central San will cooperate with DSRSD and DERWA.

The Engineering Services Director said that staff would be reviewing the mitigated negative declaration and they would be providing comments to DERWA.

Cm. Hudson said he had been receiving calls regarding a related project on Estero and Alcosta Boulevard. He asked there be coordination with Central San staff to let the neighbors know what is happening in that area.

Cm. Hudson’s motion to receive the report and provide direction to staff was seconded by Cm. Cambra and passed 5-0.

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The Planning Services Director said the Ordinance relating to the Development Agreement amendment had been introduced at a meeting in December and the public hearing continued to a future meeting. He said at that time Council had expressed concern regarding the timing of the agreements. He said the terms of the agreement were highlighted in the staff report as well as the potential benefits to Sunset Development and the City of San Ramon.

Cm. Dickey said the staff report states a request to extend the term of the agreement to 2010 with two five-year term extensions and confirmed that would be automatic.

Cm. Cambra questioned the verbiage "the provisions of this section 5.1 shall survive termination of the amended development agreement on December 31, 2005 in the event that the owner should not extend the agreement to 2010".

The City Attorney explained all of those sections set up a method by which Sunset Development is dedicating certain land to the City and the City has certain obligations and timelines to improve it and basically those obligations extend beyond, by the very terms of this agreement, the 2005 termination date of the existing development agreement. He said to account for the fact that the agreement itself shows that actions could occur past that 2005 date and the provisions that deal with the acquisition and development of that site extend to December 31, 2010.

Cm. Cambra asked if the development agreement was not extended would that mean the terms and conditions were not extended also.

The City Attorney replied the amendment to the agreement extends the development agreement an additional date and it does not affect the 2010 date for the five point series of the acquisitions.

Mayor Tatarka said for clarification we are talking about the dedication of the 11.19 acre site known as part of our Civic Center.

Cm. Hudson said the issue was Agenda Item 10.3, Bishop Ranch 8 and 15. He continued to say what the Council was reading in the report pertained to Bishop Ranch 1, 3 and 5 and noted they were different parcels. He said the agreement was for the 11 acres but what the Council was dealing with was just Bishop Ranch 8 and 15.

The City Attorney said the 11 acres was handled by the existing development agreement currently in place and unique to that because the existing one expires in 2005. He said the provisions in with the 11 acres extend by the existing terms to 2010 and they are not affected by the amendment, noting they already go to 2010.

Peter Oswald, Vice President Sunset Development Company, said the request for an extension of the term of the development agreement does not affect section 5.2 of the existing agreement. He said Sunset’s and the City’s obligations regarding the 11 acres for the Civic Center project remain the same and are not changed or extended.

Mayor Tatarka opened the public hearing.

Rosalind Rogoff said the City is lucky to have Sunset Development and she felt they should be given what they were asking for. She said the longer they are here, the more they do and the better the City gets.

Cm. Hudson said the extension was very much in the City’s favor and made a motion to adopt the ordinance and waive the reading.

Cm. Wilson seconded the motion and it passed 5-0.

Approving Bishop Ranch Annexation and Development Agreement Amendment No. 4  (Bishop Ranch 8 and Bishop Ranch 15)

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The Planning Services Director introduced a public hearing on an Ordinance approving Amendment No. 1 to the Chevron Park Annexation and Development Agreement.

No one spoke during the public hearing.

Cm. Dickey’s motion to adopt the ordinance and waive the reading was seconded by Cm. Cambra and passed 5-0.

Approving Chevron Park Annexation and Development Agreement Amendment No. 1  (Bishop Ranch 1)

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The City Manager said 14 proposals had been received from design teams for the City Center project. He said staff reviewed the 14 proposals using nine review criteria and were recommending staff interview nine of those firms. He said the expectation out of that review process would be a recommendation of four to five firms for the Council to interview. He said at each step of the process the Council would be allowed the opportunity to add if they so desired.

Donna Kerger asked for clarification on the scope of work for the design team. She asked if the City was going back to ground zero on the City Center project and eliminating the plans that have already been proposed. She said if there was a problem with the prior plans she would have thought it would have been to the benefit of the City to work out those problems rather than starting over.

Cm. Hudson said he liked what staff had done on the previous recruitment for the City Center design team and he would like staff to cut down the number of teams to three for Council interview.

Cm. Dickey said it was a very talented list of Design Teams and she would be happy with four or five of the firms.

Cm. Wilson said what was done in the past would not be lost but would be used as a foundation.

Cm. Dickey said what we had before was not a design, it was a combination of components and a scope of services.

Cm. Cambra recommended having staff look at five teams. He said he would like to be at the interviews and thought it would be best to have Council and staff interview at the same time. He suggested holding a joint staff and Council meeting to interview the design teams.

Cm. Wilson said he was concerned if Council and staff interview at the same time the Council would be micromanaging the process.

Cm. Hudson said he liked Cm. Cambra’s suggestion.  Cm. Hudson said he liked Cm. Cambra’s suggestion that the Council be at the interviews so the firm would not have to do that twice. He stated did not agree with the second separate suggestion that we do joint interviews.

Cm. Wilson confirmed the interviews would be televised.

Cm. Cambra said there were two options, 1) staff interview the top five design teams with the Council sitting in the audience or, 2) Council and staff interview the top five, asking questions and offering their opinions.

Cm. Dickey said she would like to add one team to the top five.

Cm. Cambra said he liked the idea of Council and staff interviewing jointly the top five teams plus the one added by Cm. Dickey.

Mayor Tatarka questioned whether a decision would be made the day of the interviews.

Cm. Wilson recommended interviewing and making a decision at the next City Council meeting.

It was the consensus of Council to schedule all of the design team interviews on June 8.

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The City Manager said last week the Council interviewed four executive search firms to handle the City Manager recruitment process. He said all four are highly reputable firms and the cost implications were very similar. He said he felt the most important issue was selecting the person the Council feels most comfortable working with.

Rosalind Rogoff asked what the closed session at the end of the meeting was regarding the appointment of a City Manager.

The City Manager said the wording on the closed session wasn’t exactly as he had anticipated and it should have said consideration of the contract for the Interim City Manager.

Cm. Hudson said all four firms reach his criteria but he would vote for Rich Perry of Hughes Perry and Associates.

Cm. Dickey said it was her decision to go with Bob Murray and Associates.

Cm. Cambra said he had polled the audience at the interviews and they recommended going with Bob Murray and Associates.

Cm. Wilson said all the interviewees were very articulate and capable but he had a comfort level with Mr. Murray of Bob Murray and Associates.

Mayor Tatarka said she concurred with the majority of Council and voted for Mr. Murray. She said he made a point of stating it was the Council’s decision and he was the facilitator in the process to help them make this decision.

Cm. Hudson said he would switch his vote to Bob Murray to make the decision unanimous.

Cm. Hudson’s motion to select Bob Murray of Murray and Associates to assist in the recruitment for City Manager was seconded by Cm. Cambra and passed 5-0.

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The City Manager introduced the FY 2002-03 Program of Services and said it included the Operating and the Capital Improvement budget and the Five Year Capital Improvement Program. He said the City is in a very different financial place this year than it was a year ago with this year’s expected revenue to be almost $4 million below the budgeted level, mostly in the sales tax revenue area. He said after much consideration it was his recommendation that the General Fund reserve be used in the coming fiscal year to sustain current service levels. He concluded by saying the requested action of Council was to receive the proposed Annual Program of Services and set it for public hearing and final action on June 11.

Mayor Tatarka said the City Manager had stated the City would probably be dipping into the General Fund the following fiscal year also and asked if there were any projection of what that amount may be.

The City Manager replied the key to recovering from the use of reserve funds is the sales tax revenue increasing. He said he expected the sales tax to increase very slowly for the next couple of years. He said he would project that the new spending requirements next year would be mostly related to Dougherty Valley and they should be funded from Dougherty Valley and should not impact the budget much.

After the City Manager reviewed the Capital projects it was the consensus of the Council to set the public hearing on the Annual Program of Services for June 11, 2002.

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Mayor Tatarka said the June Mayors’ Conference would be in Pinole and asked the Council to review the agenda and get back to her with comments.

Cm. Wilson said the committee discussed the electronic waste program recommendations, the tree guide and reviewed and recommended approval of the environmental mini-grant application from the Crow Canyon Institute - 2002/03 work plan.

Cm. Cambra said the committee heard an update on the residential traffic calming program and discussed the traffic monitoring program.

Cm. Wilson said the EDAC recognized out going Chair Pat Tuohy and said he had served in that capacity since the committee began in its present form.

The City Manager said the City’s General Plan stipulates that an advisory committee to the Parks and Community Services Commission for open space would be created to assist in establishing preservation and acquisition priorities. He said the normal process would be for staff to draft the committee bylaws and charge for presentation to the Parks Commission for review and to the City Council for approval and when they are approved staff would be directed to advertise for committee membership.

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There being no further business to come before the City, at 10:10 p.m. Mayor Tatarka announced the meeting would adjourn to closed session: 1) pursuant to Government Code 54956.9(a) to discuss existing litigation regarding Davidon Homes v. City of San Ramon (Case No. C-01-05093) and, 2) pursuant to Government Code 54957 to review the contract for the Interim City Manager.

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No action was taken in the closed session.

Signed:

Nancy Tatarka, Mayor
Judy Macfarlane, City Clerk