MINUTES OF THE
CITY OF SAN RAMON – COUNCIL MEETING

November 9, 2004

A regular meeting of the City Council of the City of San Ramon was held November 9, 2004 at 7:00 p.m. in the City Council Chamber at City Hall, 2222 Camino Ramon, Mayor Wilson presiding.

PRESENT: Councilmembers Hudson, Livingstone, Perkins, Rowley and Mayor Wilson.

ABSENT: None

STAFF PRESENT: City Manager Herb Moniz, City Attorney Byron Athan, Finance Director Greg Rogers, Police Chief Kathy Samuels, Public Works Director Joye Fukuda, Parks and Community Services Division Manager John Skeel, Transportation Manager Lisa Bobadilla, Recreation Services Division Manager Esther Lucas, and City Clerk Judy Macfarlane

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Timothy Alan Weber led Council, staff and those in the audience in the pledge of allegiance.

Mayor Wilson announced the Council had met in closed session pursuant to Government Code §54957.5 to confer with Labor Negotiators Greg Rogers and Cheryl Mitchell Wade regarding SEIU Local – 790 and Government Code §54957 to evaluate the position of City Clerk. He said the evaluation was completed.

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The City Clerk said there had been a request to move item 10.1, Senior Advisory Committee Annual Report, up on the agenda. She said with the concurrence of the Council this item would be heard after Public Comment.

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The Transportation Manager introduced Mark Curtis, KTVU Channel 2 Morning News Anchor.

Mr. Curtis spoke about the "Street Smarts" Skate Nights benefiting the "Street Smarts" Program to be held at the Golden Skate.

Mayor Wilson presented a proclamation – recognizing November as National Hospice Month to Cyndie Harrison, Foundation Coordinator-Hospice of Contra Costa.

Ms. Harrison spoke about the number of families served by Hospice and the good work they are doing.

Mayor Wilson presented a proclamation – recognizing November as Homeless Awareness Month to Michael Shimansky, Member of the Contra Costa Health Services Homeless Continuum of Care Board.

Mr. Shimansky spoke about the number of homeless people in Contra Costa County and the need for additional services.

Mayor Wilson presented a proclamation to Timothy Alan Weber recognizing his participation as a pilot in the World Record Flight.

The City Manager introduced Marc Fontes, Economic Development Director.

The Division Manager, Parks and Community Services Department, introduced Lynne Herendeen and Morgan Jones, Office Tech 2s in the Parks and Community Services Department.

The Finance Director introduced Julie Barker, Office Tech 1, in the Finance Department.

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

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The Division Manager, Recreation Services, said one application had been received for the three vacancies on the Senior Advisory Committee. She continued to say after interviewing the applicant, Robert Lang, the Parks and Community Services Commission recommended appointment.

Cm. Rowley made a motion to appoint Mr. Lang to the Senior Advisory Committee for a term to run through April 2006 and direct the City Clerk to recruit for the remaining vacancies.

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

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Rena Waterson thanked the voters of San Ramon for passing Measure V. She said it has now been communicated to the Council that moving the elections to even years is vitally important to the City not only because it guarantees an enormous savings in tax dollars but it reaffirms the democratic process on which our country is founded. Now it was up to the Council to implement the change to even year elections and recommended discussions on the course of action should begin soon.

Jim Blickenstaff said he was pleased to see the voters decide to go to even year elections. He discussed the savings involved in this decision and also the possibility of greater voter participation.

Melody Lundgren said she would also like to thank the voters for passing Measure V. She said the Council now has the decision as to how the measure would be implemented.

Michael Shimansky said on behalf of the Town of Danville they would miss the City Clerk, Judy Macfarlane, when she retired. He also said on Thursday, November 11 in Danville there would be a Veterans Ceremony at the Community Presbyterian Church for the entire San Ramon Valley. He said the dedication of the All Wars Memorial in Oakhill Park would also be held on Thursday.

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Bruce Silverman, Senior Advisory Committee Chair, spoke about the many programs offered at the Senior Center. He reviewed the committee’s four goals for the coming year and thanked staff and Council for their support.

Cm. Perkins’ motion to accept the report was seconded by Cm. Hudson and passed 5-0.

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Cm. Livingstone made a correction in the minutes of the October 26, 2004 meeting, noting Mr. Eorio was not in attendance at that meeting to participate in the closed session regarding labor negotiations.

Cm. Livingstone’s motion to approve the minutes of the October 26, 2004 meeting as amended was seconded by Cm. Perkins and passed 5-0.

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Cm. Hudson’s motion to approve the following Consent Calendar and waive the reading on the ordinance was seconded by Cm. Livingstone and passed 5-0.

Pine Valley Middle School Middle School Parking Lot Modifications – Acceptance of work by W. R. Forde Associates on project as complete and authorize the City Clerk to file a Notice of Completion.

Resolution No. 2004-143 – Authorizing the Mayor to execute a contract with John Northmore Roberts and Associates to provide Landscape Architectural Consulting Services for the Design and Layout Plans for the Historic David Glass House Landscaping Project (CIP 5420) for an amount not to exceed $89,605.

Resolution No. 2004-144 – Authorizing the Mayor to execute a contract with Carey and Co., Inc. to provide Architectural Design Services for the Interior Restoration of the Historic David Glass House and Tank House Project (CIP 5419) for an amount not to exceed $98,000.

Resolution No. 2004-145 – Approving the Plans, Specifications and Estimate and authorizing the Mayor to execute a contract with St. Francis for the construction of Crow Canyon Corridor Improvement Phase I – Rule 20B Utility Undergrounding Project (CIP Nos. 7127 and 7130) for an amount not to exceed $648,332.

Resolution Nos. 2004-146 and 2004-147 – Authorizing the Mayor to execute Amendment No. 3 to the Agreement with White Oak Landscape, Inc. in an amount of $167,300 and to execute Amendment No. 5 to the Agreement with New Image Landscape Company, Inc. in an amount of $87,380 to provide Landscape Maintenance Services from December 1, 2004 through April 30, 2005.

Ordinance No. 366 – Repealing Ordinance No. 159 Amending Division A6, of the Municipal Code for Travel.

Resolution No. 2004-148 – Implementing Market Adjustments to the "City’s Pay for Performance" Compensation Plan.

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The City Attorney said this item was the adoption of an ordinance pertaining to cardrooms that had been introduced at the last meeting. He the State of California Gaming Control Commission will not issue a Gaming Registration Certificate unless the local authority has issued a Cardroom License for the proposed cardroom and the City will not process a request for a Cardroom License until a Gaming Registration Certificate is received from the State. He said this ordinance would allow the City to proceed with a provisional license for a cardroom which would become effective only upon such time as the State had granted a Gaming Registration Certificate. He said this ordinance is general and administrative; it does not grant any rights and it does not eliminate any rights. Any application for a cardroom will have to get a conditional use permit from the Planning Commission and after a public hearing, approval by the City Council. He said a letter had been received from David Fried, attorney, that indicated his statement was incorrect and that he knew of no such requirement. He read from a letter from the Gaming Commission that stated "possession of a local license to operate is a condition precedent to consideration for approval for State Gambling License". He said the proposed ordinance provides that the process can commence but it does not grant a license nor does it deny a license.

Paul Justi, Attorney for John Shireck, said as has been pointed out this is a requirement as indicated by the State. He said he had been working with state regulatory agencies trying to move this matter forward and it was exactly as described that they must have the local license before the State will grant a license. He said the ordinance was simply a technical amendment to correct a procedural disconnect and allow the process to go forward. An application for a license would still have to be received by the City and it would be subject to review and the approval process.

Mike Bonnifield, Attorney for CBSR Partners, said CBSR had purchased at a public bankruptcy sale all rights, titles and interests to the State and City of San Ramon licenses held by Mark Luciano and/or the Outpost. He said they were in the process of procuring a lease so that an application could be made to the City to obtain a cardroom license. He said the letter from David Fried was written because if their objections were not made in a timely fashion the objections would be waived. He said his client had not had an opportunity to review the ordinance which may or may not affect his property rights. He asked the item be continued to give them time to review the letter from the state and review the ordinance before it is adopted or to accept their letter of objections and they would proceed.

Donna Kerger said as a resident her big concern about gaming in general and what has been going on with the State of California is that it is very easy to buy gaming licenses and pretty soon the City would not have total control in an area within our own community. She asked the Council to seriously consider the issue and think about it.

The City Attorney said by State law, gaming licenses can not be sold or transferred. Any person given a gaming license has to meet the City’s requirements and the State’s requirements. He continued to say when the application for a license comes before the Council it can be denied for any one of seven reasons.

Cm. Livingstone said the letter from Mr. Fried stated the ordinance would create a conflict and asked the City Attorney if he felt that was true.

The City Attorney said the letter implies the Council was granting a license and that was not the case.

Mr. Justi said he agreed that there should be serious consideration given to the matter but that is part of the process of deciding whether or not to grant an application for the gaming license and that is not the issue before the Council. He cited the State Code that indicated the sale of a license during the bankruptcy proceedings was not a valid transfer of the license. He reiterated that the ordinance was simply a technical amendment that would allow the process to go forward.

Cm. Livingstone asked if Mr. Justi felt he was trying to obtain a new license from the State.

Mr. Justi responded that was not at all what they were doing, they were trying to obtain the reinstatement of the license that Mr. Scherick held for nearly 20 years.

Chris Ray said his background included 18 years in law enforcement with 10 of those years in cardroom enforcement and the last four years with the Department of Justice, Division of Gambling Control. He said he felt the City Attorney’s opinion was correct. He said he had been hired by Mr. Justi as a consultant.

Mr. Bonnifield said he had not been provided with a copy of the proposed ordinance, a notice of the City Council hearing on the issue or copies of the letters from the State referred to by the City Attorney. He asked for a continuance to the next meeting to give them time to review the ordinance.

Cm. Livingstone said according to the City Attorney, Mr. Bonnified would be in the same position as Mr. Scherick and asked what his problem was with the ordinance if he was going to have to go through the same process. He confirmed if the application was for a new license it would have to go to the vote of the people.

Mr. Bonnifield said it was Mr. Fried’s opinion after looking at state records that it was the position of the state specifically regarding the application made by Mr. Scherick, that a provision had to be made and that they could not proceed and he believed that was an incorrect interpretation of state law. He said after discussing this with the State of California and determining their position they may be able to withdraw their objection.

The City Attorney said he wanted to deny categorically and unequivocally that there was not a draft of the ordinance, that the actual ordinance was presented to the Policy Committee and anybody who was there and asked for a copy was given one. He said Mr. Bonnified was implying that Mr. Justi had some inside information. He said Mr. Justi told him he found out about the ordinance on the internet. He said he knew of no grounds for Mr. Bonnified’s right to object.

In response Mr. Bonnified said the attorney had asked for a copy of the ordinance at the Policy Committee meeting and he was not given a copy. He said if he had a copy of the ordinance he would not have called the City Attorney’s office today and had him fax a copy.

Cm. Perkins said there was not clear guidance on the issue and he would like to see a staff report including any county ordinances or regulations that are pertinent to this. He also said he would like to see the text of State law in the Business and Professional Code Section that applies to new licenses, reinstated licenses or transferring of licenses. He asked if there was anything in the State Constitution regarding gaming licenses, case law regarding this discussion, Attorney General rulings, gaming rules and regulations or other correspondence that the Council should be aware of before a decision is made.

Cm. Hudson said San Ramon has an ordinance where both of these people can apply today for a gaming license. It is clear in the ordinance any new gaming license has to go to a vote of the people. He said the Council’s choice that night was whether or not they were going to deny due process. The ordinance simply amends the existing ordinance and does not say either one was going to get a license.

Cm. Perkins said his interest was not in whether the ordinance was correctly written. He needed more information in order to understand whether in fact the objection was real and we would be spending time in the future fixing what we shouldn’t have approved that night.

Cm. Rowley made a motion to continue the ordinance, stating she also had questions and there were issues brought up at the meeting on which she would like more information.

Cm. Perkins seconded the motion.

Cm. Hudson asked if they meant continue to the next meeting.

Cm. Perkins responded at a later meeting once we have received the pertinent materials. He said he can’t say whether that will be the next meeting or the meeting thereafter but he did not want to continue this item indefinitely.

Cm. Rowley said she would not be in attendance at the next meeting.

Mayor Wilson said this item would come back when all Councilmembers were present and asked the Council to forward any concerns or questions not expressed that night to the City Attorney.

Cm. Rowley restated her motion that the adoption of the ordinance amending the Municipal Code provisions pertaining to cardrooms be continued to the next meeting when all Councilmembers are present and all of issues and questions of that night would be brought forward for discussion at that meeting.

Cm. Perkins confirmed his second of the motion.

The vote motion passed 3-2 (Cms. Hudson and Livingstone dissenting).

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The City Manager reviewed the guidelines and bylaws for the Elected Mayor Task Force and the process for member selection. He said the Mayor and each Councilmember had selected one person to serve on the Task Force and the Parks and Community Services and Planning Commissions had selected one of their members for the Task Force, for a total of seven members.

The City Clerk read the following names of the Task Force Member selected by the Mayor and Council; Mary Lou Oliver, Victor Peterson, Harry Sachs, Diane Schinnerer and Hermann Welm. She also said the Parks and Community Services Commission member will be Carol Lopez and Bob Patrino will represent the Planning Commission.

Cm. Hudson’s motion to approve the Elected Mayor Task Force guidelines and bylaws and confirm the selected members named by the City Clerk was seconded by Cm. Livingstone and passed 5-0.

Mayor Wilson said procedures and timeframes will be discussed with the Task Force as soon as possible to facilitate the process.

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Cm. Hudson said at the South West Area Transportation (SWAT) meeting there was a recommendation that the Mayor appoint the SWAT member to the State Route 24 Transportation Capacity Study Committee. He asked that it be placed on the next agenda.

The Transportation Manager said at yesterday’s SWAT meeting Cm. Hudson was appointed to the Policy Advisory Committee for the State Route 24 Transit Capacity Study. That means Cm. Hudson will represent the San Ramon Valley on the Advisory Committee and she would be the technical advisory staff person to the committee. She said she would prepare a staff report with information regarding the item for a future agenda.

Cm. Perkins thanked the voters of San Ramon, the San Ramon Valley and the State of California for passing Proposition 1A and Measure J, stating both of the measures will have a profound effect on the City and the Valley and Measure 1A will protect our funds from theft by the State Legislature through a constitutional amendment. Measure J, the one-half cent sales tax continuation, will provide transportation funds for the next 30 years in the Valley.

The Mayor announced that the San Ramon Unified School District had extended the deadline for senior citizens who own homes and live in the Valley to apply for a partial tax exemption from the parcel tax implemented by Measure A.

Cm. Rowley spoke about the Casino Night retirement party and fundraiser held on November 6 for the City Clerk. She also said that donations were still being accepted for the Cal High reader board and encouraged everyone to contribute to the worthy cause.

Cm. Rowley said tickets were still available for the Holiday Fantasy luncheon and fashion show on Sunday, November 14. She said proceeds of event would go toward purchasing auto-pulse resuscitators for the Cities of San Ramon and Dublin.

Cm. Rowley reminded everyone about the Craft Faire at the Community Center on November 12 and 13, stating the proceeds would benefit the Senior Center.

The City Manager thanked the entire staff for working on the Small Business Expo. He said there had been nothing but positive comments and it shows what the Council and staff, working together, can accomplish.

Mayor Wilson reminded everyone of the All Wars Memorial presentation in Danville. He said this was a Tri-Valley event to honor those that have been a part of history.

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There being no further business to come before the City, at 8:55 p.m. Mayor Wilson adjourned the meeting.

Signed:
H. Abram Wilson, Mayor
Judy Macfarlane, City Clerk

Approved:   November 23, 2004