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Home My WebLink About2006-04-26 e-packet :\)'\:\1. S:VV ~ ~ - 3.v.\ o ("1 >-- ;;;1 \::C. C") v 0 C' \.~ 41.IFOR~ SPECIAL MEETING CITY COUNCIL OF THE CITY OF SOUTH SAN FRANCISCO P.o. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, California 94083 Meeting to be held at: MUNICIPAL SERVICES BUILDING CITY COUNCIL COMMUNITY ROOM 33 ARROYO DRIVE WEDNESDAY, APRIL 26, 2006 6:30 P.M. NOTICE IS HEREBY GIVEN, pursuant to Section 54956 of the Government Code of the State of California, the City Council of the City of South San Francisco will hold a Special Meeting on Wednesday, the 26th day of April 2005, at 6:30 p.m., in the Municipal Services Building, Community Room, 33 Arroyo Drive, South San Francisco, California. Purpose of the meeting: 1. Call to Order 2. Roll Call 3. Public Comments - comments are limited to items on the Special Meeting Agenda 4. Pursuant to Government Code section 54957.6, conference with Labor Negotiator Elaine Yamani, for all units 5. Adjournment ~"a CIty lerk o In . (; (l-LU,Lb;L / AGENDA REDEVELOPMENT AGENCY CITY OF SOUTH SAN FRANCISCO REGULAR MEETING MUNICIPAL SERVICE BUILDING COMMUNITY ROOM WEDNESDAY, APRIL 26, 2006 7:00 P.M. PEOPLE OF SOUTH SAN FRANCISCO You are invited to offer your suggestions. In order that you may know our method of conducting Agency business, we proceed as follows: The regular meetings of the Redevelopment Agency are held on the second and fourth Wednesday of each month at 7:00 p.m. in the Municipal Services Building, Community Room, 33 Arroyo Drive, South San Francisco, Califomia. Public Comment: For those wishing to address the Board on any Agenda or non-Agendized item, please complete a Speaker Card located at the entrance to the Community Room and submit it to the Clerk. Please be sure to indicate the Agenda Item # you wish to address or the topic of your public comment. California law prevents Redevelopment Agency from taking action on any item not on the Agenda (except in emergency circumstances). Your question or problem may be referred to staff for investigation and/or action where appropriate or the matter may be placed on a future Agenda for more comprehensive action or a report. When your name is called, please come to the podium; state your name and address for the Minutes. COMMENTS ARE LIMITED TO THREE (3) MINUTES PER SPEAKER. Thank you for your cooperation. The Clerk will read successively the items of business appearing on the Agenda. As she completes reading an item, it will be ready for Board action. JOSEPH A. FERNEKES Chair RICHARD A. GARBARINO, SR. Vice Chair MARK N. ADDIEGO Boardmember PEDRO GONZALEZ Boardmember KARYL MATSUMOTO Boardmember RICHARD BATTAGLIA Investment Officer SYLVIA M. PAYNE Clerk BARRY M. NAGEL Executive Director STEVEN T. MATTAS Counsel PLEASE SILENCE CELL PHONES AND PAGERS HEARING ASSISTANCE EQUIPMENT IS A V AJLABLE FOR USE BY THE HEARING-IMPAIRED AT REDEVELOPMENT AGENCY MEETINGS CALL TO ORDER ROLL CALL AGENDA REVIEW PUBLIC COMMENTS CONSENT CALENDAR I. Motion to approve the minutes of April 12, 2006 2. Motion to confinn expense claims of April 26, 2006 3. Motion to direct staff to prepare a letter in opposition to Assembly Bill 2922 (Jones), Redevelopment: Low and moderate incoming housing fund 4. Resolution rejecting all bids for the 178 and 190 Airport Boulevard Project ADMINISTRATIVE BUSINESS 5. Resolution amending 2005-06 CIP budget to change funding source for six capital projects already appropriated from tax increment to redevelopment bonds for a total of $9,250,000 CLOSED SESSION 6. Pursuant to Government Code Section 54956.8 real property negotiations related to 80 Chestnut Avenue (California Water Service); Agency Negotiator: Assistant Director Van Duyn ADJOURNMENT REGULAR REDEVELOPMENT AGENCY MEETING AGENDA APRIL 26, 2006 PAGE 2 - ~'t\1 5:1# IV o C"l 1>< ~ ~ ~ v 0 ~lI&~ Staff Re120rt RDA AGENDA ITEM #3 DATE: TO: FROM: SUBJECT: April 26, 2006 Honorable Mayor and City Council Marty VanDuyn, Assistant City Manager CONSIDERATION OF A.B. 2922 RELATLED TO REDEVELOPMENT HOUSING FUNDS RECOMMENDATION It is recommended that City Council direct staff to prepare a letter from the Mayor to the California Assembly in opposition to proposed legislation A.B. 2922 which would amend current redevelopment law by increasing to 50% the amount a redevelopment agency would be required to set aside for its low-and moderate income housing obligation. BACKGROUND/DISCUSSION Existing law requires a redevelopment agency to pay the principal of, and interest on, indebtedness incurred to finance or refinance redevelopment, from a portion of property tax revenues diverted from other taxing agencies. The portion of taxes diverted is the amount attributable to increases in assessed valuation of property in the redevelopment project area subsequent to establishment thereof. This method of financing is commonly known as "tax increment" financing. Existing law requires a redevelopment agency to use at least 20% of its tax increment revenues for the purposes of increasing, improving, and preserving the community's supply oflow-and moderate-income housing available at affordable cost to persons and families oflow or moderate income and lower, very low, and extremely low income households that are occupied by these persons. This bill, which would become operable on July 1, 2007, would increase to 50% the amount a redevelopment agency would be required to set aside for its low-and moderate-income housing fund. This bill would permit a redevelopment agency to set aside less in specified circumstances and would make an agency liable for the deficit so created. The bill would make this deficit amount an indebtedness ofthe agency and would add simple interest if the deficit is not eliminated in five years. Existing law requires a redevelopment agency to adopt by resolution a replacement housing plan not less than 30 days before the execution of an agreement for acquisition of real property or the disposition and development of property, or the execution of an agreement leading to the destruction or removal of dwelling units from the low-and moderate-income housing market This bill would require the plan to be adopted 180 days before the execution of the agreement or before any action by the agency and require the agency to make the draft available to the public 90 days before adopting it. This bill would make these requirements applicable when an agency destroys or removes housing the agency owns and is an immediate danger to health and safety. Staff Report Subject: Consideration of A.B. 2922 Page 2 Existing law requires an agency to expend housing fund moneys to assist housing for persons oflow income and housing for persons of very low income in at least the same proportion as the number of housing units needed for each of those income groups bears to the total number of units needed for persons of moderate, low, and very low income within the community. This bill would instead require an agency to assist in making available a number of units that are affordable to extremely low and very low income persons that is at least equal to the number of units that are affordable to low- and moderate-income persons. Other provisions of the proposed bill include the following: · Pursuant to this section, would allow an agency that adopted a redevelopment plan prior to December 31, 1993, to amend that plan to extend the time limit on effectiveness of the plan for up to 10 additional years, upon making the required blight findings. · New tax increment not encumbered would be required to reduce any deficit housing funds prior to an agency entering into any new contracts or agreements. · Off site or onsite improvements to a housing project may only be expended based on a ratio of the low to moderate income units in that development. · Definition of eligible expenditures would be specified as being a fundamental component and directly related costs of the housing units. · Funds deposited to the housing fund not committed within 6 years shall be offered to the housing authority that operates within that jurisdiction. CONCLUSION Proponents of A.B. 2922 state that the legislation is required to help address the urgent need for affordable housing in California. The author further contends that this bill addresses, in a reasonable manner, criticisms of the use eminent domain by redevelopment agencies to take modest homes for commercial development. This bill does not however limit the powers of eminent domain or the acquisition of real property by an agency. A long list of not for profit housing developers and supporters of affordable housing recommend passage of this bill because they need greater subsidies to produce affordable housing given the dire shortage of State and Federal sources available to them. However, they do not understand the constraints placed on redevelopment agencies with this legislation. The California Redevelopment Association (CRA) contends that increasing the set aside for low to moderate income housing reduces local control of redevelopment and community revitalization projects. Redevelopment agencies, CRA points out, must do more than build affordable housing. They are also required to use their limited funds to clean up contaminated properties, fund public infrastructure improvements and create parks and libraries and community centers. In addition, many agencies have existing debts and commitments from prior obligations and it would be nearly impossible to dedicate 50 % of their revenues to affordable housing. CRA further complains that agencies would be prohibited from meeting their housing obligations in the aggregate, limiting their flexibility to meet the needs of particular project areas. Further, the deficits created would be impossible to eliminate, with no benefit to affordable housing programs, and could require the elimination of all non-housing related programs. Staff Report Subject: Consideration of A.B. 2922 Page 3 Opponents of A.B. 2922 point out that commercial development and infrastructure improvements generate increased tax increment directed to agencies and are, in fact, what makes affordable housing possible in the first place. In short, 20% of a larger pool of tax increment may provide more housing dollars than 50% of a smaller pool of revenues. It is recommended that City Council direct staff to write a letter for the Mayor stating the City's opposition to A.B. 2922. BY~' f . Marty VanDuyn Assistant City Manager - APprove~ If ~ (Z: J l\. ~M. Nag City Manager BMN:MVD:NF ~'t\1 5&v E $ . ~~\ o C"l 1>- ~I ~ ~ v 0 C'. ~~ 4.I.IFO-p..~ Redevelopment Agency RDAAGENDAITEM#4 Staff Report DATE: April 26, 2006 TO: Redevelopment Agency Board FROM: Marty Van Duyn, Assistant Executive Director SUBJECT: REJECTION OF ALL BIDS FOR NEW CITY PARKING LOT NO.17 RECOMMENDATION: It is recommended that the Redevelopment Agency Board adopt a resolution rejecting all bids for the construction of a New City Parking Lot No. 17, Engineering File No. 72-13236-0570; Project No. PB-05-4; Bid No. 2392. BACKGROUND/DISCUSSION: The property, located at 178 and 190 Airport Boulevard at the intersection of Baden Ave., was acquired by the City's Redevelopment Agency in 2004. The site consists of two adjacent parcels, one of which has been vacant for many years and the other was formerly the Hoffbrau Restaurant. In 2005, the property underwent abatement for lead and asbestos in the buildings and toxic materials in the soil from a previous gasoline station and surrounding industrial uses. The existing buildings on the property were demolished in order to develop a surface parking lot (No. 17) to provide additional parking for the Downtown Business District as well as serve the proposed new Caltrain Station. The bid for construction of the surface parking lot was advertised in the San Mateo County Times (general circulation newspaper), Builder's Exchanges as well as the City's Internet site. Bids were due and opened on Thursday, January 12th, 2006. The lowest bid was $197,850 compared to the Engineer's estimate of $180,000. Since the bids were considerably higher than originally anticipated, and after consulting with Redevelopment Agency staff, it was decided to reject all bids and re-evaluate the development of the parcels as a parking lot at this time. Staff will proceed to coordinate a joint project with the Peninsula Joint Powers Board (JPB) for access, parking and other facilities serving the new Caltrain Station at Grand Avenue. Staff Report Subject: REJECTION OF ALL BIDS FOR NEW CITY PARKING LOT NO. 17 Page 2 of 2 CONCLUSION All bids for the for the New City Parking Lot 17 to be rejected in order to coordinate a joint project with JPB for providing future access, parking and supporting facilities to the new Caltrain Station at Grand A venue. BY.~ . Marty Van Duyn Assistant Executive Director Approved Attachment: Resolution RESOLUTION NO._ REDEVELOPMENT AGENCY, CITY OF SOUTH SAN FRANCISCO, STATE OF CALIFORNIA A RESOLUTION REJECTING ALL BIDS FOR THE CONSTRUCTION OF A NEW CITY PARKING LOT NO. 17 PROJECT WHEREAS, staff recommends that the Redevelopment Agency Board approve the rejection of all bids for the new City Parking Lot No. 17 Project. NOW, THEREFORE, BE IT RESOLVED by the Redevelopment Agency of the City of South San Francisco that the Redevelopment Agency hereby rejects all bids for the new City Parking Lot No. 17 Project. * - * * * * I hereby certify that the foregoing Resolution was adopted by the South San Francisco Redevelopment Agency at a regular meeting held on the _ day of , 2006 by the following vote: AYES: NOES: ABSTAIN: ABSENT: ATTEST: City Clerk RDA AGENDA ITEM #5 Redevelopment Agency Staff Report DATE: April 26, 2006 TO: Redevelopment Agency Board FROM: Jim Steele, Financial Officer SUBJECT: BUDGET AMENDMENT RESOLUTION TO CHANGE THE FUNDING SOURCE OF SEVERAL ALREADY APPROPRIATED REDEVELOPMENT CAPITAL IMPROVEMENT PROJECTS AND TO AUTHORIZE BUDGETARY ACTIONS TO DEFEASE OUTSTANDING REDEVELOPMENT AGENCY BONDS RECOMMENDATION: It is recommended that the Redevelopment Agency Board (the Board) approve the attached resolution which: changes the funding sources for various Redevelopment capital improvement projects that have already been appropriated; and appropriates funds to the Redevelopment Agency operating budget in order to fully defease outstanding Redevelopment Bonds in order to maintain the tax-exempt status of the pending 2006 Redevelopment Bonds. BACKGROUND/DISCUSSION: On August 24,2005, the Board approved a Resolution which authorized the use of bond proceeds to fund several capital projects that had already been appropriated. The total of those projects was $9,250,000. This action was recommended to provide more flexibility to the Agency as it contemplated a land purchase from the Public Utilities Commission (PUC) in the EI Camino Project Area. Internal Revenue Service (IRS) regulations require that if land is purchased with municipal bonds and is eventually re-sold to a private party, then that portion of the land that is eventually sold must be financed with taxable bonds, rather than tax -exempt bonds. Taxable bonds have a higher interest rate, and therefore higher debt service payments are required. One way to minimize the need to sell taxable bonds is to use cash (tax increment) to purchase the portions of the land acquisition that the IRS would consider for private use, rather than use bond proceeds. The Resolution approved in August 2005 allowed the Agency to reimburse itself out of tax-exempt debt for project expenditures for the public improvement projects listed in the August 24, 2005 Staff Report (attached). That action did not formally adjust the budget for those projects, as the PUC land purchase was not far enough along at that time. Now that a purchase and sale agreement with the PUC has been approved and the 2006 Redevelopment bond sale is scheduled to close on May 3, 2006, approval of a budget amendment is now needed to formally amend the budget to change the funding source for those existing capital improvement projects. Taking this action will free up tax increment/cash for the PUC land purchase, thereby eliminating the need for the Agency to sell taxable bonds in the pending 2006 bond Staff Report Budget Amendment to Change Funding Source of Existing Redevelopment Capital Projects and Authorize Budgetary Actions to Defease Outstanding Redevelopment Agency Bonds April 26, 2006 Page 2 of 2 Issuance. The attached budget amendment resolution also changes the funding sources of several other existing Redevelopment capital improvement projects and closes other completed capital project balances. These actions are needed in order to free up cash to defease a portion of the outstanding 1997 and 1999 Redevelopment Bonds that cannot be defeased with new bonds under IRS rules. Staff had awaited final bond closing costs, which came in on April 19, in order to obtain the final amounts needed for the cash defeasance that is being authorized by the attached budget amendment resolution. FISCAL IMPACT: Approval of the attached budget amendment resolution will eliminate the need to sell any of the 2006 Redevelopment Bonds as taxable bonds, and will therefore save the Agency dollars in annual debt service payments. These savings had already been contemplated when the bond sale was structured, and final bond closing costs are now available and will allow a budget amendment to be processed. No change to the 2006 bond sizing approved by the Board will occur as the result of this action. CONCLUSION: Adoption of this resolution will switch the funding source of several public improvement capital projects already appropriated, and authorize budgetary actions to facilitate the tax-exempt bond sale. No new projects are being authorized, and no change to the final bond sizing is being requested. By: ~ Jim 51 -Ie FinanCIal Officer APPfOved:d,J. C (')~L . agel Executive Director ATTACHMENTS: Resolution August 24, 2005 Staff Report RESOLUTION NO. A RESOLUTION AMENDING THE 2005-06 REDEVELOPMENT OPERATING AND CAPITAL IMPROVEMENT BUDGETS TO CHANGE THE FUNDING SOURCES FOR VARIOUS CAPITAL PROJECTS AND TO AUTHORIZE AN ADDITIONAL APPROPRIATION IN ORDER TO DEFEASE PRIOR REDEVELOPMENT BONDS WHEREAS, the Redevelopment Agency of the City of South San Francisco ("the Agency") is closing a bond sale on or around May 3, 2006 ("the Bond Sale"); and WHEREAS, on August 24,2005 the Agency Board passed a resolution stating its intent to use the proceeds of tax exempt bonds from this Bond Sale to reimburse itself for expenditures made for several capital improvement projects; and WHEREAS, a budget amendment now needs to be adopted to formally change the project funding for those capital projects previously listed in the reimbursement resolution approved on August 24, 2005; and WHEREAS, a budget amendment is also needed to authorize additional budgetary actions in order to defease the existing 1997 and 1999 Redevelopment Bonds; and WHEREAS, by defeasing the existing Redevelopment Bonds, net debt service savings can be realized from the current lowered interest rate environment; and WHEREAS, Tax Counsel has advised the Agency that cash should be used to pay for a total of $2,874,500 in bond defeasance costs in order to comply with Internal Revenue Service tax regulations regarding the use of tax-exempt bond proceeds; and . WHEREAS, in order to make the cash available for the defeasance, the funding sources of various existing Redevelopment Agency capital improvement projects need to be changed and the Redevelopment Agency operating budget needs to be amended; and WHEREAS, the pending 2006 Redevelopment Bonds are financed through a merged revenue area while the budgets for the Agency were appropriated by project area. NOW, THEREFORE, BE IT RESOLVED by the Redevelopment Agency of the City of South San Francisco that the Redevelopment Agency Board hereby amends the 2005-06 Redevelopment Agency operating and capital budgets as shown in Exhibit A and hereby incorporated as part of this Resolution; and BE IT FURTHER RESOL YED, that the Finance Director may take additional budgetary actions to close out any remaining 1997 and 1999 Redevelopment Bonds as part of the defeasance; and BE IT FURTHER RESOLVED, that the Finance Director may transfer budgeted funds between the Redevelopment Project Area Funds of the merged project area for the remainder of the 2005-06 fiscal within generally accepted accounting principles and within redevelopment law. * * * * * * I hereby certify that the foregoing Resolution was regularly introduced and adopted by the Redevelopment Agency of the City of South San Francisco at a regular meeting held on the _ day of , 2006 by the following vote: AYES: NOES: ABSTAIN: ABSENT: ATTEST: City Clerk Exhibit A, Budget Amendment Detail: Projects Currently Appropriated with Tax Increment to be I. shifted to being Funded by New Bond Funds: Description: Health Center and IT Building Improvements Oak Ave. Extension Misc. Land Acquisition New Downtown Fire Station Improvements Bay Trail Improvements Sidewalk Rehabilitation Subtotal: $500,000 $2,507,000 $2,500,000 $3,700,000 $18,000 $25,000 $9,250,000 IIA. Projects Appropriated with Bond Funds to be closed: Harbor Way Improvements Misc. Land Acquisition Subtotal: Projects Currently Appropriated with Existing Bond Funds 1m. to be shifted to being funded with Tax Increment: Day Care Facilities Train Station Subtotal: Projects Appropriated with Existing Bond Funds to be IIC. shifted to being funded through other Funding Sources: Oyster Point Flyover, shift to Developer Fees: lID-I. Additional Funds from Operating Budget: IID-2. Offset by Revenue Funds to Be Received By Redevelopment Agency at Time of Bond Closing in Reimbursement to the Agency for Cost of Issuance Expenses: $700,267 $1,500,000 $2,200,267 $300,978 $56,400 $357,378 $191,263 $125,592 $52,000 III. (IIA + lIB + lIe + lID-I) = Subtotal, Funds Available to Be Used Towards 1997 & 1999 Bond Defeasance: $2,874,500 - ~'t\1 5:1# &~ ~ ... ~ ~ v 0 ~lIFO?-~'\~ Redevelopment Agency Staff Report DATE: August 24, 2005 TO: Redevelopment Agency Board FROM: Jim Steele, Financial Officer SUBJECT: RESOLUTION OF INTENT TO REIMBURSE THE REDEVELOPMENT AGENCY FROM THE PROCEEDS OF TAX EXEMPT DEBT FOR EXPENDITURES MADE PRIOR TO THE ISSUANCE OF THAT DEBT RECOMMENDATION: It is recommended that the Redevelopment Agency Board (the Agency) approve the attached resolution, which indicates the Board's intent to issue tax-exempt debt in the future, and use those proceeds to reimburse the Agency in an amount not to exceed $9,250,000.00 for expenditures for various capital projects that have already been appropriated, but have not yet been spent. BACKGROUND/DISCUSSION: The Agency is contemplating selling bonds in the next few months to fund a variety of redevelopment projects, including a major land acquisition in the EI Camino Project Area. Internal Revenue Service (IRS) regulations require that if land is purchased with municipal bonds and is eventually sold to a private party, then that portion of the land that is eventually sold must be financed with taxable bonds, rather than tax-exempt bonds. Taxable bonds have a higher interest rate, and therefore higher debt service payments are required. For example, the difference between a ten-year taxable vs. a comparable tax-exempt redevelopment bond is roughly 1.0% - 1.25% in higher interest rates. It is advantageous for the Agency to minimize the amount of taxable bonds sold, because the Agency will have to pay higher debt service costs on taxable bonds. One way to minimize the need to sell taxable bonds is to use as much cash to purchase the land as possible, rather than bond proceeds. The City Council has already approved several capital improvement projects funded from tax increments (cash), not from bonds. They include the projects listed in Exhibit A, incorporated into the attached Resolution. The attached Resolution will allow the Agency to substitute bond funding for these already appropriated projects and use the freed up tax increment (cash) dollars for the potentia11and purchase, if the land purchase is successfully completed. Approving the Resolution does not obligate the Agency to sell bonds or to complete the land purchase; it simply provides more financial flexibility in the future. Similarly, if the bond sale does not go through for any reason, the cash previously appropriated to complete the projects listed in Exhibit A will still be in place, so this action does not jeopardize the funds for those projects in any way. RESOLUTION NO. 17-2005 REDEVELOPMENT AGENCY, CITY OF SOUTH SAN FRANCISCO STATE OF CALIFORNIA A RESOLUTION DECLARING INTENTION TO REIMBURSE REDEVELOPMENT CAPT AL EXPENDITURES FROM THE PROCEEDS OF OBLIGATIONS TO BE ISSUED BY THE REDEVELOPMENT AGENCY OF THE CITY OF SOUTH SAN FRANCISCO WHEREAS, the City of South San Francisco ("the City") has already appropriated budgets for several capital projects, shown in Exhibit A and hereby incorporated as part of this Resolution ("the Projects)"; and WHEREAS, the construction work on these Projects are not yet complete; and WHEREAS, the City and the Redevelopment Agency ("the Agency") would find it advantageous to preserve Redevelopment tax increment dollars, and therefore the Agency intends to issue debt and to use a portion of the proceeds of such debt to pay for, or reimburse expenditures made for the projects prior to the issuance of debt; and WHEREAS, United States Income Tax Regulations section 1.150-2 provides generally that proceeds of tax-exempt debt are not deemed to be expended when such proceeds are used for reimbursement of expenditures made prior to the date of issuance of such debt unless certain procedures are followed, one of which is a requirement that (with certain exceptions) prior to the payment of any such expenditure, the issuer declares an intention to reimburse such expenditure; and WHEREAS, it is in the public interest and for the public benefit that the Agency declares its official intent to reimburse the expenditures referenced herein. NOW, THEREFORE, the Redevelopment Agency of the City of South San Francisco hereby resolves as follows: 1. The Agency intends to issue debt obligations (the "Obligations") for the purpose of paying or reimbursing the City for payment of the costs of the Projects shown in Exhibit A. 2. The Agency hereby declares that it reasonably expects to payor that the City will pay certain costs of the Projects prior to the date of issuance of the Obligations and to use a portion of the proceeds of the Obligations for reimbursement of expenditures for the projects that are paid before the date of issuance of the Obligations. Exhibit A: Description of the Projects Description: Estimated Capital Expenditures Not Expended as of 60 days Prior to August 24,2005: Health Center and IT Building Improvements $ 500,000 Oak Ave. Extension 2,507,000 Misc. Land Acquisition not for Resale 2,500,000 New Downtown Fire Station Improvements 3,700,000 Bay Trail Improvements 18,000 Sidewalk Rehabilitation 25,000 TOTAL $9,250,000 AGENDA CITY COUNCIL CITY OF SOUTH SAN FRANCISCO REGULAR MEETING MUNICIPAL SERVICE BUILDING COMMUNITY ROOM WEDNESDAY, APRIL 26, 2006 7:30 P.M. PEOPLE OF SOUTH SAN FRANCISCO You are invited to offer your suggestions. In order that you may know our method of conducting Council business, we proceed as follows: The regular meetings of the City Council are held on the second and fourth Wednesday of each month at 7:30 p.m. in the Municipal Services Building, Community Room, 33 Arroyo Drive, South San Francisco, California. Public Comment: For those wishing to address the City Council on any Agenda or non-Agendized item, please complete a Speaker Card located at the entrance to the Council Chamber's and submit it to the City Clerk. Please be sure to indicate the Agenda Item # you wish to address or the topic of your public comment. California law prevents the City Council from taking action on any item not on the Agenda (except in emergency circumstances). Your question or problem may be referred to staff for investigation and/or action where appropriate or the matter may be placed on a future Agenda for more comprehensive action or a report. When your name is called, please come to the podium, state your name and address (optional) for the Minutes. COMMENTS ARE LIMITED TO THREE (3) MINUTES PER SPEAKER. Thank you for your cooperation. The City Clerk will read successively the items of business appearing on the Agenda. As she completes reading an item, it will be ready for Council action. JOSEPH A. FERNEKES Mayor RICHARD A. GARBARINO, SR Vice Mayor MARK N. ADDIEGO Councilman PEDRO GONZALEZ Councilman KAR YL MATSUMOTO Councilwoman RICHARD BATTAGLIA City Treasurer SYLVIA M. PAYNE City Clerk BARRY M. NAGEL City Manager STEVEN T. MATTAS City Attorney PLEASE SILENCE CELL PHONES AND PAGERS HEARING ASSISTANCE EQUIPMENT A V AILABLE FOR USE BY THE HEARING IMP AIRED AT CITY COUNCIL MEETINGS CALL TO ORDER ROLL CALL PLEDGE OF ALLEGIANCE INVOCA TION PRESENTATIONS · Introduction of new and promoted employees · Public Safety Awards · Farmers' Market - Pacific Coast Farmers' Market Association · Proclamation: Teacher Appreciation Week, May 7-13, 2006; recipients: Ms. Mari Avila Suarez, President, PT A Council and Mr. Steve Savage, President, CT A · Proclamation: West Nile Virus and Mosquito and Vector Control Awareness Week, April 24-30,2006; recipient: San Mateo County Mosquito Abatement District Boardmember Ray Honan AGENDA REVIEW PUBLIC COMMENTS ITEMS FROM COUNCIL · Announcements · Committee Reports · Discussion: Cultural Arts Commission Ordinance CONSENT CALENDAR 1. Motion to approve the minutes of April 12, 2006 2. Motion to confirm expense claims of April 26, 2006 3. Motion to approve sewer line rehabilitation project along Magnolia A venue, Arroyo Drive and Hemlock Avenue as complete in accordance with plans and specifications 4. Resolution authorizing North Bayside System Unit Agreement for operation and maintenance of the dechlorination station effluent outfall line 5. Acknowledgement of proclamations issued: Tom Sparks, retiree, 3/31/06; Francis Drake Masonic Lodge, 4/8/06 ADMINISTRATIVE BUSINESS 6. Update on Wet Weather Program by Public Works Director Terry White 7. Report on E1 Camino Real Landscape Master Plan by Public Works Director White COUNCIL COMMUNITY FORUM ADJOURNMENT REGULAR CITY COUNCIL MEETING AGENDA APRlL 26, 2006 PAGE 2 AGENDA ITEM #3 DATE: April 26, 2006 TO: The Honorable Mayor and City Council FROM: Terry White, Director of Public Works SUBJECT: SEWER LINE REHABILITATION PROJECT RECOMMENDATION It is recommended that the City Council, by motion, accept the Sewer Line Rehabilitation Project as complete. BACKGROUND/DISCUSSION This project rehabilitated 1,117 feet of existing sewer lines along Magnolia Avenue, Arroyo Drive, and Hemlock Avenue by installing a PVC liner inside the existing damaged sewer lines. The rehabilitation work ofthe contractor, Pacific Liners, has been satisfactorily completed with City staff overseeing the work. Acceptance of the project will provide authorization for staff to file a Notice of Completion. FUNDING The rehabilitation/installation work was completed at a total cost of $61,568.25 that included the awarded amount of$57 ,990.00 plus $3,578.25 for extra costs due to field conditions such as removal of obstructions in the sewer line. A total of $65,000 had been budgeted for the project. CONCLUSION The rehabilitated sewer lines will not collapse, will require less maintenance, and there will be no blockages due to tree roots. B>--2 tJlLk- Tcrry ~ Director ublic Works Approved by: R:\ PW PROJECTS\ \Staff Report Acceptance.doc AGENDA ITEM #4 DATE: April 26, 2006 TO: The Honorable Mayor and City Council FROM: Terry White, Director of Public Works SUBJECT: AGREEMENT BETWEEN AGENCIES OF THE NORTH BA YSIDE SYSTEM UNIT (NBSU) FOR OPERATION AND MAINTENANCE OF THE DECHLORINATION STATION AND EFFLUENT OUTFALL LINE RECOMMENDA TION It is recommended that the City Council, adopt a resolution, authorizing the City Manager to enter into an agreement with the agencies of the NBSU for the operation and maintenance of the dechlorination station and effluent outfall line. RACKGROUND/DTSCUSSION II The City has previously entered into agreements with the City of San Bruno, City & County of San Francisco through its Airport Authority, City of Mill brae, and the City of Burlingame to operate and maintain the NBSU for the dechlorination and pumping of treated effluent through an outfall line to San Francisco Bay. The past agreements are dated April 17, 1972, April 1973, June 23, 1973, and September 12, 1977. South San Francisco and San Bruno produce on average, nine (9) million gallons per day (mgd) of treated wastewater (effluent), the Airport 1.3 mgd, Millbrae 1.7 mgd, and Burlingame 4.5 mgd. This effluent, which is disinfected with sodium hypochlorite, must be neutralized with sodium meta bisulfate before it can be discharged to the bay. All effluent is brought to a single pumping and dechlorination station for this purpose. Once neutralized, the effluent is transported through a common concrete outfall pipe one mile into San Francisco Bay for disposal. These facilities and outfall line are used and owned in common by the agencies of the NBSU and thereby require an agreement to determine responsibilities as to how costs and operations are to be shared and distributed. Agreements have existed since 1947 (between South San Francisco and San Bruno) and more recently in the 1970's (between NBSU members) and have been modified to clarify issues as they became problematic. The process has left a sometimes confusing or obscured set of agreements to interpret. With changes and new equipment constructed in 2002, the need to update and integrate all past agreements into one master agreement overriding all others became paramount. Agencies also took the opportunity to request enhancements, i.e. an annual meeting of all members and a review of capital expenditures over $100,000, when needed on nonemergency circumstances, made by South San Francisco as prudent oversight on their part. Staff RepOJi Subject: Agreement between Agencies and NBSU Page 2 A nonmember drew up the primary draft of the agreement and South San Francisco's legal resources created the final draft. Other members have had the opportunity to review and comment on the draft until it reached this final stage. In the end, staff feels comfOJiable with the updated agreement and feels the City will benefit from it, as it will protect the City legally and financially better than before. FUNDING Funding for the NBSU operations are included annually in the operating Budget ofthe Water Quality Control Plant. Sufficient funds are collected through annual sewer rates to continue operations and no additional funding is required due to the updating of this agreement. CONCLUSION Agency members of the NBSU have collaborated on the update and development of this revised/combined agreement for many months. This agreement will stand for many years into the future and serve all agencies well. ~~ . vJA!~_ Ten)' Wliit ' Oirectol Public Works APProVQ'V '(.~) M. Nagel City Manager Attachments: Resolution Agreement RESOLUTION NO. CITY COUNCIL, CITY OF SOUTH SAN FRANCISCO, STATE OF CALIFORNIA A RESOLUTION AUTHORIZING AN AGREEMENT BETWEEN AGENCIES OF THE NORTH BA YSIDE SYSTEM UNIT (NBSU) FOR OPERATION AND MAINTENANCE OF THE DECHLORINATION STATION AND EFFLUENT OUTFALL LINE WHEREAS, staff recommends the authorization of an agreement between agencies of the North Bayside System Unit (NBSU) for operation and maintenance of the dechlorination station and effluent outfall line; and WHEREAS, past agreements are dated April 17, 1972, April 1973, June 23,1973, and September 12, 1977; and WHEREAS, upon approval ofthis agreement, the past agreements be terminated; and WHEFFAS, funding is ineluded ammally in the operating Budget of the Water Quality Control Plant. Sufficient funds are collected through annual sewer rates to continue operations and no additional funding is required due to the updating of this agreement. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of South San Francisco that the City Council hereby authorizes an agreement for operation and maintenance of the dechlorination station and effluent outfall line. BE IT, FURTHER, RESOLVED that the City Manager is hereby authorized to execute the agreement on behalf of the City of South San Francisco. * * * * * I hereby certify that the foregoing Resolution was regularly introduced and adopted by the City Council of the City of South San Francisco at a regular meeting held on the _ day of , 2006 by the following vote: AYES: NOES: ABSTAIN: ABSENT: ATTEST: City Clerk JOINT POWERS AGREEMENT PERTAINING TO OWNERSHIP OF CAPACITY, OPERATION, MAINTENANCE, AND CAPITAL PROJECTS COST SHARING OF THE SOUTH SANFRANCISCO EFFLUENT PUlVIP STATION; SOUTH SAN FRANCISCO OUTFALL FORCE MAIN, SOUTH SAN FRANCISCO SUBMARINE OUTFALL, SWiTCHGEAR BUILDING, AND THE DECHLORINATION FACILITY (KNO\VN AS THE NBSU FACILITIES) of THIS AGREEMENT, made and entered into as of the day 2006, by and between the members of the North Bayside System Unit (NBSU) that includes the CITY OF SOUTH SAN FRANCISCO ("South San Francisco"), the CITY OF SAN BRUNO ("San Bruno"), the CITY OF BURLINGAME ("Burlingame"), the CITY OF MILLBRAE ("Millbrae") and the CITY AND COUNTY OF SAN FRANCISCO, acting by and through its AIRPORT COMMISSION (the "Airport"). The members of the NBSU are hereinafter collectively referred to as ffl\.gencies". WITNESSETH WHEREAS, pursuant to a joint powers agreement entered into on April 17th, 1972, by and between the City of South San Francisco, the City of San Bruno, the City and County of San Francisco, acting by and through its Airport Commission, said cities provided for the joint construction, use and ownership of an Outfall Force Main ("South San Francisco Outfall Force Main"), a Submarine Bay Outfall, Flow Meter ("South San Francisco Submarine Bay Outfall"), and Switchgear Building; and WHEREAS, pursuant to a joint powers agreement executed in April 1973, between Burlingame and Millbrae, said agencies provided for the construction and operation of the Burlingame-Millbrae Central Bay Outfall System, designed to transport treated Burlingame and Millbrae plant effluent to the South San Francisco Effluent Pump Station for pumping through the South San Francisco Outfall Force Main and the South San Francisco Submarine Bay Outfall for ultimate bay disposal; and WHEREAS, Burlingame, Millbrae and South San Francisco, on June 23, 1973, entered into an Agreement, entitled "Joint Powers Agreement Relating to Acquisition of Capacity in Effluent Pump Station, Outfall Force Main, Submarine Outfall and AppUlienant Facilities", that provided for the Cities of Burlingame and Millbrae to purchase capacity rights in the South San Francisco Outfall Force Main and the South San Francisco Submarine Bay Outfall, and AppUJienant Facilities; and WHEREAS, a Joint Powers Agreement dated September I i\ 1977, wherein the Cities of Millbrae and Burlingame joined with the aforementioned three agencies to construct a Dechlorination Facility and fonn the North Bayside System Unit (NBSU) which provided for the equitable sharing of the benefits and costs of the NBSU among the five cities; and WHEREAS, pursuant to these Agreements, the City of South San Francisco has been, and will continue to be, the administering agency responsible for operating the facilities on behalf of the parties to said agreements; and WHEREAS, said NBSU Facilities have been modified as part of a Water Quality Control Plant Improvement and Modification Project completed in 200 I, the costs of which are shown in Exhibit A-I, Facilities whenever used hereinafter shall refer to: 1 - South San Francisco Effluent Pump Station 2 - South San Francisco Outfall Force Main 3 - South San Francisco Submarine Outfall 4 - Switchgear Building 5 - Dechlorination Facility WHEREAS, pursuant to the aforesaid facts and authorities, the agencies desire to define ownership of capacity, establish cost sharing for administration, operation & maintenance, define cost sharing of capital projects for the Facilities by the Agencies, and supercede all existing Joint Powers Agreements, and to establish conditions related thereto; 2 NOW, THEREFORE, IT IS AGREED, as follows: 1. PURPOSE: The purpose of this Agreement is to define the NOlih Bayside System Unit (NBSU), replace all existing Joint Powers Agreements relating to said facilities, and delineate responsibilities and cost shming for operations, maintenance, capital projects, and administration of the Facilities. 2. NORTH BA YSIDE SYSTEM UNIT (NBSU) DEFINED: The North Bayside System Unit (NBSU) is defined as the paJiies to the Agreement. They include: the City of South San Francisco ("South San Francisco") which is responsible for administering the NBSU, the City of San Bruno ("San Bruno"), the City of Burlingame ("Burlingame"), the City of Millbrae ("Millbrae") and the City and County of San Francisco acting by and through its AirpOJi Commission (the "Airport"). 3_ OWNERSHIP OF C.A..P.tL\.CITY: l'JBSU member agencies nhro.li h......"I"T,... r........_"...._....l-._ "".L' ;:HI0U uove; VWllCl;)Jlll-' VI capacity, in accordance with Exhibit "A" attached hereto and incorporated herein by this reference. No agency shall discharge effluent into the Facilities exceeding such capacity rights. However, temporary or permanent adjustments may be made with written approval of all owners of capacity in the Facilities. South San Francisco has sole ownership of the land on which the Facilities are located. 4. OPERATION AND MAINTENANCE: The City of South San Francisco shall be responsible for the operation and maintenance of the Facilities. South San Francisco shall operate and maintain the Facilities in good repair and working order in accordance with sound engineering practices and in accordance with all applicable laws, statutes and regulations of governmental agencies having jurisdiction over the Facilities. Neither an NBSU agency, nor any officer, employee or agent of an NBSU agency shall be responsible for any damage or liability occurring by actions solely done or omitted to be done by the City of South San Francisco in connection with the operation or maintenance ofthe Facilities. It is also understood and agreed that, pursuant to Government Code Section 895.4, the City of South San Francisco shall fully indemnify and hold the NBSU and each agency, harmless from any liability imposed for injury (as defined by Government Code Section 810.8) occUlTing by reason of actions solely done or 3 omitted to be done by the City of South San Francisco in connection with the operation or maintenance of the Facilities. This indemnity does not extend to any NBSU member agency which has exceeded its allocated capacity of flow through the system. 5. COST SHARING OF OPERATION, MAINTENANCE, CAPITAL PROJECTS & ADMINISTRATION: The costs of operating and maintaining the Facilities shall be borne by the paJiies hereto in accordance with their respective annual average daily flow to the Facilities. The cost of capital projects shall be bome by the parties hereto in accordance with their capacity rights as shown in Exhibit "A". a. Costs of Operation: Shall include costs of labor, including social secUJity, unemployment and other taxes and employee benefits, materials, chemicals, power, supplies, sampling, testing, monitoring, and preventative maintenance. b. Costs of ~13intenance: Shall include costs of labor, including social security, unemployment and other taxes and employee benefits, new and replacement process equipment costing less than $100,000, engineering, and non emergency repairs. Extraordinary and emergency repairs are defined in Section 7. c= Cost of Capita! Improvement Proiects: Shall be revie\ved at the anJlua] }~BS-U meeting to be held on the second Monday in March at the Water Quality Control Plant. Capital improvement and replacements to NBSU facilities exceeding $100,000 will not be undertaken without the consent of the NBSU members; which consent will not be unreasonably withheld. d. Administration Costs: Shall include the management cost of day to day operation and maintenance, and the costs of administering the NBSU as lead agency. Each agency's share, CAdm, of the administration cost shall be determined by dividing each agency's total costs, CAg, for the NBSU programs, listed in Exhibit "B", by the sum of the total costs, CT, for the NBSU programs and the South San Francisco-San Bruno WQCP programs, listed in Exhibit "B", then multiplying the resulting ratio by the SSF-SB WQCP administration program costs less depreciation and debt service, Adm: 4 Agency CAclm = (CAg / CT) x Adm Example Calculation NBSU Combined Effluent Monitoring Cost ($): NBSU Receiving Water MonitOling Cost ($): NBSU Effluent Pumping Station Cost ($): NBSU Dechlorination Cost ($): Total NBSU Programs Costs ($): Total SSF-SB WQCP Programs Costs ($): Total NBSU and SSF-SB WQCP Costs ($): Cj C2 C] C4 CS=C]+C2+C,+C4 C6 Cr=Cs+C6 Agency's annual average daily flow (mgd): Total NBSU annual average daily flow (mgd): Agency's Fraction of Total NBSU flow: Agency's Share of Total NBSU Program Costs ($): Total ofNBSU Programs and SSF-SB WQCP Programs Cost ($): Administration Costs (less depreciation and debt service) ($): Agency's Fractional Share of Administration Costs: Agency's Share of Administration Costs: q Q q / Q CAg = (q / Q) X Cs CT Adm CAg / CT CAclm= (CAg/ CT) x Adm 6. PAYMENT OF COSTS: On or pnor to May I in each year of the term of this ..A.greelnent, the City of South San Francisco shall provide each l'JBSU rneln.ber age.Hey an estimate, properly substantiated, of their respective shares of the costs of operation, maintenance, capital projects, and administration of the Facilities for the succeeding fiscal year. Quarterly thereafter in such fiscal year commencing on July I, each agency shall pay to the City of South San Francisco one-fourth (1/4) of the amount of such estimate. Any balance owed to the City of South San Francisco over thirty (30) days past due shaH bear interest at the Local Agency Investment Fund rate. Any difference between such estimates and amounts actually expended by the City of South San Francisco for the payment of the costs of operation, maintenance and administration of the Facilities shall be adjusted to actual expenditures. Fiscal year means the period commencing on July I in each year and ending on the succeeding June 30. A check for overpayment or an invoice for underpayment shall be sent to member agencies thirty (30) days after close of the annual fund audit. 7. EXTRAORDINARY REPAIRS AND REPLACEMENT: Except for budgeted annual capital improvements, costs of extraordinary/emergency repairs to and replacements for the Facilities, exceeding One Hundred Thousand ($] 00,000) dollars shall not be undertaken, except in an emergency, by the City of South San Francisco without the written consent of each and all NBSU member agencies, which consent shall not be unreasonably withheld. Each NBSU 5 member's respective shares of such costs shall be prorated in accordance with the capacity rights shown in Exhibit "A" and shall be due and payable within forty five (45) days of billing therefor by the City of South San Francisco. a. Definition of Emergencv: An emergency, for the purposes of this Section and Section 5, shall be defined as any NBSU facility failure that, if not conected immediately, causes or will cause an NPDES Pennit violation. The parties hereto shall maintain reserves therefore in a reasonable amount during the term hereof. South San Francisco shall make every effort to notify NBSU members in case of an emergency. 8. RECORDS: The City of South San Francisco shall maintain records of its expenditures for the costs of operation and maintenance of the Facilities, including extraordinary repairs and replacements, and of the funds received from the NBSU member agencies therefor, which shall at all times be open to inspection by the NBSU member agencies, and which shall be kept for a minimum of five (5) years. The City of South San Francisco on or before January 31 following each fiscal year shall file with each participating agency an annual report of said expenditures and funds received. 9. MODIFICATIONS: Improvements, extensions and additions to the Facilities shall be made from time to time on terms and conditions agreed to in writing prior to commencement of the work by the parties hereto. 10. WASTE DISCHARGE REQUIREMENTS: The agencies shall at all times strictly comply with all statutes, regulations, and rules and orders of governmental agencies having jurisdiction over the Facilities. The agencies shall keep and maintain records of the flow and sampling and testing data that describes the composition of their discharge of effluent into the Facilities, which shall be made available for inspection by the parties hereto. 11. REGULATORY FINES AND CIVIL PENALTIES: Any costs associated with regulatory fines and civil penalties incuned during the term of this Agreement shall be borne by the NBSU members per ownership of capacity as shown in Exhibit "A"; except if such costs are 6 due to the sole negligence of the City of South San Francisco, in which case The City of South San Francisco shall pay all costs. 12. HOLD HARl\1LESS: Any agency failing to strictly comply with any statute, regulation, rule or order of any governmental agency having jmisdiction thereover relating to the Facilities shall hold harmless the other agencies hereto from any penalty, damages or liability whatsoever resulting therefrom, including costs of suit. 13. LIMITED RIGHTS: Except as expressly provided herein, nothing contained in this Agreement shall be deemed to give any party hereto any ownership rights or any other right, title or interest in or to the respective sanitary sewerage systems of the other parties hereto, or any pmi thereof. 14. INSURANCE: The City of South San Francisco shall maintain such casualty and other inC'llr~nf'P rpi~tlntr fA .........u......................'""...... .I-.......l......l..lJ..l6 l.V i-hp ~0r>.;1.;;-~~H~, oC" or'\nnrl ;-nClH...-ru..,.......a ......-rro.......+;.......a..... ri;.......i-n.i-o rr'1-..Q 1\,iD0T 1" U..1v -L U.V.1.LlL.H..'0 U.U .:JVUllU 1110U1011'"-',"-, PI0\..;Uvv,:) UJ\..;Lal\..t. 1 J!\..t 1 ~.LJu U agencies shall be named as additional insureds thereunder as their respective interests appear. The premiums therefore shall be a cost of operation and maintenance of the Facilities. An insurance certificate shall be provided to each NBSU agency annually. If such insurance is not available or premium costs are umeasonable, the City of South San Francisco shall give notice to the parties and the parties shall either provide for coverage of their respective liability or establish a self-insurance program. 15. DELINQUENT PAYMENTS: In the event that any party hereto fails to make any payment provided within the time herein specified, interest at the rate of return for Local Agency Investment Funds shall apply to the unpaid balance. 16. BREACH OF COVENANTS: In case of a breach or alleged breach on the part of any party hereto in the performance of any of its obligations hereunder, not less than forty-five (45) days notice thereof shall be given said party by the other parties hereto, and said party shall have fOJiy-five (45) days from the date thereof to cure said breach (provided that if cure cannot be completed within said period, it shall be sufficient that said party commence said cure within said period and complete the same with due diligence). In the event any party hereto shall fail to cure, or commence to cure, a breach within said forty-five (45) days as provided in 7 this Section, the injured paJ1y or pm1ies may file and prosecute to judgment a suit to recover damages, or in mandate, or in mandatory or prohibitory injunction, or other legal or equitable remedy. 17. BINDING ARBITRATION: In case any dispute should anse between the parties regarding the construction, meaning, or effect of this Agreement or any of its provisions, or the rights, privileges, duties or obligations of the parties hereto, or any of them, then upon written notice of an intention to arbitrate, given by one party to the other, such dispute shall be arbitrated and decided by arbitrators pursuant to the provisions of Section 1280, et seq., of the Califomia Code of Civil Procedure, as amended, unless an action or suit is filed by the other party within fifteen (15) days after said notice is given. The persons appointed shall be trained and qualified in the matter to be passed upon. If the matters principally involve engineering, the arbitrators shall be registered civil engineers. If they involve accounting, the persons appointed shall be ceJ1ified or licensed public accountants. If the matters involve law, they shall be passed upon by duly licensed attorneys. Where problems in controversy are complex in nature, to the extent practicable they shall be divided and the separate matters assigned to persons qualified. The arbitrators appointed shall be notified in writing, as well as the parties hereto, by the appointing party. If an arbitrator shall refuse to act or shall resign, another shall be "pnOJ.nltpd -in 1;--1"(;' nl~r-p. h",' f1L.,p. O'\~rl\, m~1r-ina tlap n-nain511 51-nnnl"ntrfiPnt Tf t'QPrp 1~ ;:l f::l1hlT"p or Ll r J. "" J.J.J..l.1 oJ }J.l"-A.'-'....... '-'.J ""...'-' 1-"'\..1..1. "") .I..I..I.~......J.....J.b .........- >...J. .I.b.................. ......y 1-''''-' .................v......... ....... ..... _...... --' ...u _ ..._...... _... _' ......_ refusal to appoint an arbitrator for thirty (30) days after written demand, a party or arbitrator may apply to the Superior Court for San Mateo County and said Court shall designate and appoint such arbitrator or arbitrators. 18. CUMULATIVE: No remedy conferred hereby or by the law is intended to be exclusive of any other remedy, but each such remedy is cumulative and in addition to every other remedy and may be exercised without exhausting and without regard to any other remedy conferred hereby or by law. 19. VI AIVER: No waiver of any default or breach of duty or contract shaH extend to or shall affect any subsequent default or breach of duty or contract, or shall impair any rights or remedies herein. 8 20. DELAYS: No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power or shall be construed to be a waiver of any such default. 21. TERM: This Agreement shall commence upon the date hereof and may tem1inate as to any p3Jiy hereto at any time after twenty (20) years, provided that such pmiy has tendered to the other p3Jiies hereto written notice of withdrawal not less than two (2) years preceding the date of tennination, and on sllch tennination pursuant hereto, any interests or rights herein, shall be negotiated and approved by all NBSU members. 22. NOTICES: Notices hereunder shall be given in writing and served personally or by registered mail upon the parties hereto, as follows: To South San Francisco: City Manager City Hall 400 Grand A venue South San Francisco, CA 94080 To San Bruno: City Manager City Hall 567 EI Camino Real San Bruno, CA 94066 To Burlingame: City Manager City Hall 501 Primrose Road Burlingame, CA 94010 To Millbrae: City Manager City Hall 621 Magnolia Avenue Millbrae, CA 94030 To Airport: Airport Director San Francisco International Airport P. O. Box 8097 San Francisco, CA 94128 9 23. SUCCESSORS: This Agreement shall inure to the benefit of, and be binding upon, the successors or assigns of any party hereto, but no party hereto shall assign its rights hereunder to any party other than a duly formed public entity organized and existing uncler the laws of the State of California. 24. INTEGRATION: This Agreement integrates the complete understanding of the pmiies. No wan-ants or representations have been made by any p31iy to the others except as specifically set forth in this Agreement. There shall be no subsequent alteration, amendment, change or WaIver or addition to this Agreement, unless reduced to writing and signed by the pmiies hereto. 25. HEADINGS: The headings in each paragraph herein are merely tor convemence, and shall, under no circumstances, be used to interpret or otherwise construe this Agreement. 26. TnTN'1' vn\Vl<'D;;;:. U '-'.-1..1. 'I ___ .. '-' ..., .L:..J.A.,-v. I\.A.::::>.'t'"'Y"l.h.o..-.. lV.lvl.1.lL1\..d .) of the }~BSU Hr~ii W 111 ....._-.......;........ a}1pVlllL a representative ~H~~L WIll! knowledge of the operations of the system to attend an annual meeting for the purposes of review of the performance of the system and any issues that may have misen during the year. The members will review the financial status of operations for purposes of providing input for the next fiscal year budget. Members are welcome to visit the site at anytime during normal daytime operational hours for the purpose of reviewing operations of the system. The annual meeting will take place in the month of March on the second (2nd) Monday. 27. TIME IS OF THE ESSENCE: Time is of the essence hereof. IN WITNESS WHEREOF, the parties hereto duly authorized have executed this Agreement the day and year first above written. 10 Slgn~jtllre Page 1 Or) APPROVED ;\S TO FORivi /:",/-"'----~'''.. // ,lz;." /0:-- ./ B v . k41Hf/t?J IX b . LLtV./f'J;1/...J eo".rrfLMr f+r7Dt.,,/,,'?j r:Di2. 0o-.Ttf SflA-) j:{(-A;-{11J.~~<:> C1T\ or SOUTH SAN FRANCISCO _, [/1/ Bv I I A TrEST Bv Signature Page 2 of 5 APPROVED AS TO FORM: CITY OF S..L\N BRUNO By: By: 12 ATTEST By: Signature Page 3 of 5 APPROVED AS TO FORM: ClTY OF BURLINGAME By By: 13 ATTEST By: Signature Page 4 of 5 APPROVED AS TO FORM: CITY OF MILLBRAE By: By: ]4 By ATTEST Signature Page 5 of 5 APPROVED AS TO FORM: CITY AND COUNTY OF SAN FRANC1SCO AlRPORT COMM1SS10N By: By: By: ] 5 ATTEST EXHIBIT "A"* OWNERSHIP OF CAPACITY I. SOUTH SAN FRANCISCO EFFLUENT PUMP STATION MGD(C) PERCENT South San Francisco 21.0 32.36 San Bruno 14.0 21.57 Burlingame 16.0 24.65 Millbrae 9.0 13.87 Airport 4.9 7.55 TOTAL 64.9 100.00 2. SOUTH SAN FRANCISCO OUTFALL FORCE MAIN South San Francisco 21.0 32.36 San Bruno 14.0 21.57 Bur]ingame 16.0 24.65 Mill brae 9.0 13.87 Airport 4.9 7.55 TOTAL 64.9 100.00 3. SOUTH SAN FRANCISCO SUBMARINE BAY OUTFALL South San Francisco 30.0 (a) 40.60 San Bruno 14.0 18.94 Burlingame ]6.0 21.65 Millbrae 9.0 12.18 Airport 4.9 6.63 TOTAL 73.9 100.00 4. SWITCHGEAR BUILDING South San Francisco 21.0 32.36 San Bruno ]4.0 21.57 Burlingame ]6.0 24.65 Millbrae 9.0 ]3.87 Airport 4.9 7.55 TOTAL 64.9 100.00 5. DECHLORINATION FACILITY South San Francisco 37.1 (b) 40.46 San Bruno 24.7 (b) 26.94 Burlingame 16.0 ] 7.45 Millbrae 9.0 9.81 Airport 4.9 5.34 TOTAL 91.7 100.00 * A Technical Memoranda dated 10-29-1999 from Carollo Engineers to John Gibbs of South San Francisco describing a cost sharing methodology is attached to and made part of this Exhibit as Exhibit "A-I". Exhibit A-I describes costs and unit process modifications at the Water Quality Contol Plant that were completed in 2001. NBSU facilities were part of this project and the cost sharing methodology provides source data for this Agreement. (a) Per an agreement between South San Francisco and the Marine Magnesium Company of South San Francisco, South San Francisco acquired the company's 9.0 mgd capacity right. (b) The facility was designed and built for additional peak wet flows from South San Francisco and San Bruno as projected in the Wet Weather Management Program for the two cities. The facility provides for dechlorination of effluent overflows to Colma Creek for flows that exceed the capacity of the Effluent Pump Station. (c) Maximum Flow Rate in millions of gallons per day. 16 EXHIBIT "B" DESCRIPTION OF PROGRAMS NBSU PROGRAMS SOUTH SAN FRANCISCO-SAN BRUNO WQCP PROGRAMS Combined Effluent Monitoring (I) Shaw Road Pump Station S F Bay Monitoring (2) San Mateo Ave Pump Station Effluent Pump Station (3) Industlial Pump Stations Dechlorination (4) Primary Treatment Secondary Treatment Disinfection SSF-SB Source Control Buildings and Grounds Maintenance Sludge Processing Sludge Dewatering and Disposal Process Monitoring Engineering Support (1) The sampling and testing of the NBSU combined effluents as required by the Regional Water Quality Control Board or other governmental agencies. (2) The sampling and testing of the San Francisco Bay water in and around the NBSU combined effluent discharge point as required by the Regional Water Quality Control Board or other goverrullental agencies. (3) The operation and maintenance of the NBSU combined effluents pumping station, including pumps, motors, controllers, valves, flow meters, switchgear, standby generator, and other related equipment. (4) The operation and maintenance ofthe NBSU combined effluents dechlorination facility, including metering pumps, controllers, recorders, valves, and other related equipment. 17 'rllLlamatiul1 CITY COUNCIL, CITY OF SOUTH SAN FRANCISCO, STATE OF CALIFORNIA THOMAS C. SPARKS WHEREAS, Thomas C. Sparks has announced his retirement as of April 1, 2006, from the City of South San Francisco Planning Division; and 'WHEREAS, Tom Sparks has senJed as Chief Planner since 1999 andprovidedover six years of dedicated service; and WHEREAS, Tom attended University of California, DmJis, earning a Bachelor of .... Science Degree in Chemistry, and the University of Cal!fornia, Berkeley, earning a Master of Business Administration Degree in Transportation; and WHEREAS, working for the County of Sacramentofrol17 1973-1987 and City of Sacramento from 1987-1990, Tom gained an expertise in the urban planning field. and after being coaxed, charmed, and cajoled (the 3 C's) by friends Jim Harnish and Marty Van Duyn, he ventured to South San Francisco; and WHEREAS, during his tenure with the City of South San Francisco, Tom has worked on numerous projects that have brought him quiet satisfaction, including the Chestnut Creek Senior Housing Project. Genel1tech BCDC Trail, and the Gater>.G}' Childcm-e Center; and WHEREAS. during his years offaithful and enthusiastic sellJice, Tom has earned the admiration and respect of his friends and cof!eagues; and WHEREAS, upon his retirement Tom plans to retire to a peaceful existence at The Sea Ranch, with wife Jodie, to enjoy yetunkn01vn hobbies, andforgelting those 12 7-mile Friday night runs up the California Coast. NOW, THEREFORE, the City Council of the City of South San Francisco, does hereby take great pride and pleasure in presenting this proclamation to 77lOmas C Sparks upon the occasion of his retirement from the City of South San Francisco and bestows its best wishes for a long, happy, and much desen!ed retirement. Joseph A. Fernekes, AfaYor Richard A. Garbarino, Vice Mayor Mark N Addiego, COlll1cilmember Pedro Gonzalez, Councilmember Kerryl Matsumoto, Councilmember Dated: March 31, 2006 AGENDA ITEM #5 ---- WrorlaIDattOn CITY COUNCIl, CITY OF SOUTH SAN FRANCISCO, STATE OF CALIFORNIA FRANCIS DRAKE fv'iASONIC LODGE 100"; AJ\fN/lERS4RY WHERE4S, Ihe lIallles of many /v1asons appear on Ihe fOl/lldillg rolls oj ol/r COl/nlry. so have Ihe nallles of YOl/r Lodge Afembers been recorded as fOl/nders and bl/ilders of SOlllh Son Francisco; and WHEREAS, Ihe long and prospera liS life oj bOlh Francis Drake Lodge olld Ihe ell}' oj SOlllh Son Francisco may well be allribl/led. in 0 considerable pori. 10 Ihe principles of Il'IIlh, honesty and sqllore dealing 5}?11bolized by Ihe Sqllare olld Compass mOlfllled 011 YOl/r Lodge.s roo(. 01 ils door and incl/lcatedwilhin ils walls; and WHEREAS, Frallcis Drake Lodge held ilsfirsl meeling in SOl/lh Son Francisco at Ihe old Fralemal Hall on Gralld Avenl/e: olld WHEREAS, for 100 years, Francis Dralle Lodge and SOl/lh San Francisco hm'e grown alld prospered logether; and WHEREAS, YOl/r members ro.e, or hm'e been, City Officials, and/or employees. residenls. bl/sinessmen and professionals who are involved in Ihe comnlll/lity '5 social, polilical and rehgiOl/s life; and IfflEREAS. Francis Drake Lodge is. and will conlinl/e 10 be imporlalll 10 Ihe developmenl ond progress of SOlllh Son Francisco. NOW. THEREFORE, 1. Joseph A. Femekes. Mayor of Ihe Cily of SOlllh Son Francisco, 011 beholf oflhe City COl/ncil, city Slat! and Ihe people of SOlllh Sail Francisco. do hereby congrallllale the Froncis Drake Masonic Lodge #376, Free and Accepled Masons of Ihe Slole of California, for 100 years of sell'ice, prosperily. and achievemenl. Joseph A. Femekes, Mayor Richard A. Garbarino. Vice /vlayor Mark N Addiego, COllllcilmember Pedro Gonzalez, COllllcilmember Kmyl Malsl/molo, COlll1cilmember -! Daled: April 8, 2006 - ~'t\1 s1N .m (0 C"l >< ..... ~ [!; v 0 C'.4.I.IFO"P-"f.-\"l-. AGENDA ITEM #6 Staff Report DATE: April 26, 2006 TO: The Honorable Mayor and City Council FROM: Terry White, Director of Public Works SUBJECT: PRESENTATION TO UPDATE CITY COUNCIL ON THE WET WEATHER PROJECT HISTORY AND COMPLETION SCHEDULE RECOMMENDATION: Staff will inform the City Council on the status of past wet weather projects and describe the approach and strategy to be employed in implementation of the last portion of the program known as Phase II as described within the 2005/2006 CIP Budget as Project No. 71-13235- 0557. BACKGROUND/DISCUSSION: Staff planned to present this information at the March 22,2006, City Council meeting, however, due to the length of that meeting, and the time needed for the presentation, it was decided to postpone it to a future Council meeting for an enhanced opportunity to discuss it. The reason for the presentation is to describe the purpose of the program, inform Council of the status of past projects, and present the details of the final phase of the project to complete the Cease and Desist Order issued to the City by the State Water Resources Control Board in 1997. FUNDING: Funding for these projects has been provided by State Revolving Fund Loans and the Sewer Fund. CONCLUSION: As part of this presentation, no action is required by Council, at this time. Contracts for construction will be presented to Council at future meetings to complete the project. By:---.J_ ~ ~ Terry White j .) Director ofP~c Works APProved~~' I I.-Gg -' M:Nagel -- City Manager .""~d>'_ .. AGENDA ITEM #7 DATE: April 26, 2006 TO: The Honorable Mayor and City Council FROM: Terry White, Director of Public Works SUBJECT: EL CAMINO REAL LANDSCAPE MASTER PLAN PRESENT A TION - REVIEW AND DIRECTION CIP PROJECT NO. 51-13232-0521 RECOMMENDATION: It is recommended that the City Council, review and provide direction to Staff, for the continuing development of the EI Camino Real Landscape Master Plan, CIP Project No. 51- 13232-0521. BACKGROUND/DISCUSSION: Over the past several months, Staff have been working with the landscape architectural firm of Callander and Associates through a steering committee formed to develop schemes to improve the landscape appearance of the 2.73 miles of State Highway 82, (EI Camino Real) within our City. The attached presentation was developed through several brain storming meetings, and one public forum. Staff are requesting comments, insight, and guidance from the Council to finalize our effort to develop this Master Plan. Council may wish to assign two members to the Steering Committee to participate in the finalization ofthe plan. Once the Master Plan is completed, it will be used to seek funding opportunities, create requirements in development agreements, and have a plan for this highway's aesthetics and other projects that may develop throughout the City. FUNDING: No requests for funds are being made at this time. The preliminary cost estimate provided is for discussion purposes only within the presentation. CONCLUSION Attachment: Presentation Council Meeting April 26, 2006 '\ I . Purpose ollhe MaSler Plan .&~)~m)~i~!t),~Pl~ . Per the General Plan,... " Develop, and in coordination with Coltrons, implement 0 streetscope plan for EI Camino Real for its entire stretch through South Son Francisco which includes:. .. " sidewalks, street lights and other pedestrian amenities median tree plantings and street tree plantings, in select areas 1 and vehicl . Create a 5 . Utilize app . Minimize . Beautify the . Celebrate t . Allow for p 2 3 . Aesthetics . Unique in character . .Identifiable 4 5 6 ~~ ....1...~ . ....; \ ' ) A j j /r/ ('0 I ;, I ~~ ~il 11\ \ 7 8 9 10 ~t-.t-.t~~,- 11 12 13 14 15 16 17 18 '\ ' . Gatewav ....!}~~~l!il~,) ~~~~ 'tf' . /- :.' '<:.. l I ) <::;, J :.J .I'.J,.;;; ",' 19 . \ ! . Material .&)t~~~~l~i~~o ~~~ ~ ~ ~ -t'~~~ . Simple materials of concretes, metals, and stone to blend with surroundings . Modern streetscape furniture . Me!;)l Furniture. Alternate . High d~r?bility f~r long term Umd.<<,,1'" ro'm". Austin use, mmlmal mamtenance, & vandal resistance . Concrete Fumitun~ ~ Ahematt" Qlli.-lC,,,tc . Bus Shelter ~ '\ . . Material . .&~)i~~U!~i~~) RCf'~ . Canopy r........ ~~~'" 20 '\ ' . Material ....l.~~~~~t~it,~' R,l~l~ , . Vin"" . \~''''w . Shrub. J..,tw<-!i\t.,i!oo,tl""",, . Ground Co"..rs 21 :'1" ~ ~41 , 6' /.}~~) . ; ! i~tll , ! 1'1 ; ~, Draft Master Plan Preparation 22