City Council/Successor Agency/Public Finance Authority

AGENDA ITEM NO. 5. – A. CITY OF AVENAL “Pistachio Capital of the World®” REGULAR CITY COUNCIL/SUCCESSOR AGENCY/PFA MEETING DECEMBER 14, 2023; 5:15 P.M. AVENAL THEATER & EVENT CENTER, 233 E. KINGS ST., AVENAL, CA VIA ZOOM VIDEO/WEB CONFERENCING: Web Link: bit.ly/AvenalCouncil or use https://us02web.zoom.us/j/87243440488 Or by calling +1 669 900 6833 and use meeting ID 872 4344 0488 to join. MINUTES CALL TO ORDER & PLEDGE OF ALLEGIANCE: by Mayor Preciado at 5:15 p.m. ROLL CALL: Councilmen’s: Ricardo Verdugo, Mayor Pro Tem Alejandro Ramirez Pablo Hernandez, Mayor Alvaro Preciado. ABSENT: Councilmen Lou Gravelle. STAFF: Lopez, Ortiz, Price, Bermudez, Davis, Williams, Lujan, Pelletier, Yang. LEGAL COUNCEL: Moses Diaz. CITY CLERK: Government Code Section 54952.3: The members of the City Council/Successor Agency are entitled to receive a total of $300.00 per month because of being elected to the City Council. They receive no other compensation for sitting as a member of Successor Agency. The City Council went into Closed Session at 5:17 p.m. CLOSED SESSION: (City/Successor Agency): It is the intent of this governing body to meet in closed session to review its position and to instruct its designated representatives: Any person may directly address the Council/Agency at this time on items of interest regarding Closed Session. A. Conference with Real Property Negotiator(s) (Government Code § 54956.8). It is the intent of this governing body to meet in Closed Session to confer with its real property negotiator(s) concerning the purchase, sale, exchange, or lease of real property by or for this agency as follows: 1. Property Description: APN: 040-320-009-000; & 040-320-014-000 Negotiator(s): City Manager / City Attorney. Party with whom negotiating: CrisCom Company. Instructions to negotiator concerning: Terms of Payment. 2. Property Description: APN: 038-290-028-000 Negotiator(s): City Manager/City Attorney Party with whom negotiating: Ross Family Properties LLC. Instructions to negotiator concerning: Terms of Payment. 3. Property Description: APN: 040-165-007 Negotiator(s): City Manager/City Attorney/CrisCom. Party with whom negotiating: County of Kings/State of California. Instructions to negotiator concerning: Terms B. Personnel (Government Code §54957(b)). Consider Public Employee Performance Evaluation for the Positions of: • Chief of Police • Community & Economic Development Director Mayor Preciado reopened meeting at 6:29 p.m. with nothing to report out of Closed Session. Joint Meeting City Council/Successor Agency/PFA –December 14, 2023 Page 2 of 6 Mayor Preciado announced that would like to move up Item 7.2 Activity Report Avenal Police Department Activity Report: Robert Nevarez, Chief of Police to Item 6.C Mayor & Council Member/Successor Agency/Item for Consideration. All City Council Members are in consensus. PUBLIC COMMENT/ANNOUNCEMENTS & UNSCHEDULED APPEARANCES: Maria Ortiz, City Clerk announced there was no public comment cards submitted. CONSENT CALENDAR: All items listed under the consent calendar are routine and enacted by one motion: (Action). A. Consider City of Avenal/Successor Agency’s Approval of Minutes for November 16, 2023. B. Consider Expenditure of Funds to Repair Lift Pump No. 2 at Water Treatment Plant No. 2. C. Consider Amending Personnel Policy to Clarify Paid Holidays (Resolution 2023-45). D. Consider Ratifying Approval of Executing Victim Witness Assistance Center Operational Agreement RESOLUTION 2023-45: A RESOLUTION OF THE CITY COUNCIL AMENDING PERSONNEL POLICY TO CLARIFY PAID HOLIDAYS. Councilman Verdugo motioned to approve, second by Councilman Hernandez and motion carried. Council Member/Successor Agency Member Verdugo motioned to approve Consent Calendar, second by Councilman/Successor Agency Member Hernandez, and motion carried. Roll Call Vote: AYES: Verdugo, Hernandez, Ramirez, Preciado. NOES: None. ABSENT: Gravelle ABSTAIN: None. MAYOR & COUNCIL MEMBERS/ SUCCESSOR AGENCY/ITEMS FOR CONSIDERATION: A. Proclamation Recognizing Avenal Rotary Club’s 87 Years of Existence: City Manager Lopez read the Proclamation Recognizing Avenal Rotary Club’s 87 Years of Existence and gave them a key to the city. B. Discuss Legislative Priorities for the 2024 Legislative Session (Discussion/Action). City Manager Lopez reported that as the new legislative calendar begin in 2024, CrisCom and Staff are requesting direction from Council on legislative items of importance to discuss with Avenal’s elected officials. In 2023, the City was awarded $1 million dollars from Senator Melissa Hurtado and Assemblyman Mathis for the replacement of the roofs to Veterans Hall and the Avenal District Hospital Building. Staff will be making appointments to meet with the staff for both the State Senator and Assemblyman in the coming weeks. Now is a good time to discuss and plan areas they may be able to help Avenal, so we can strategically work together with its elected officials. Last year’s requests included: • Funding for the Cutoff Road project, $5+ million • Funding assistance for fire contract services deficit, helping pay the 600k a year in total service. • Funding for the Community Center project ($5 million requested, $2 million awarded by state – still awaiting Federal earmark news). • Assistance in funding a new City Hall. Some ideas (in no order): • Funding for the Community Center project ($5 million requested, $2 million awarded by state; $3.2 million from CDBG – still awaiting possible Prop 68 funding for the park). • Funding to build a joint PD/City Hall • Funding to retrofit the Avenal Courthouse Joint Meeting City Council/Successor Agency/PFA –December 14, 2023 Page 3 of 6 • Infrastructure, water/wastewater, and roads. C. Police Department Activity Report: Robert Nevarez, Chief of Police Chief Robert Nevarez reported the following: 1) Avenal Police Department announces the return of Police Explore; 2) Leadership Stability; 3) Recruit and Retain the Best; 4) International Model of Community Trust; 5) Amongst the safest cities in America; and 6) Embrace wellness amongst our employees. ACTIVITY REPORTS/SPECIAL PRESENTATIONS & COMMITTEE REPORTS: A. Activity Reports: 1. Community & Economic Development Activity Report: Kao Nou Yang, Community & Economic Director Kao Nou Yang, Director of Community & Economic reported the following: 1) Planning Division; 2) Processing Zoning Land Use Applications, Land Division Applications and Current Planning Zoning / Land Use Permits; 3) Long Range Planning; 3) Building Division; 4) Economic Development & CrisCom Company; and 5) Programs – First Time Buyers, Home Rehabilitation, Accessory Dwelling (ADU) Program. A. Special Presentations/Reports: 1) None. PUBLIC HEARING(s): A. Consider Close-Out of the 2016 CDBG Grant (16-CDBG-11133). a. Staff Report b. Public Hearing c. Discussion/Action Community & Economic Director Yang reported that CDBG Program regulations require that the City conduct a public hearing on all CDBG-related matters to provide for and encourage citizen participation, particularly by low- and moderate- income persons who reside in areas in which CDBG funds are used. Therefore, when the public hearing is opened, the public will be invited to comment on the City’s proposed resubmittal of a 2016 CDBG Grant application, CDBG Program Income, and to make their comments known on the proposed activities. A public notice was published in the November 27, 2023, issue of the Hanford Sentinel notifying the public of this public hearing. The City was awarded funds under the 2016 Community Development Block Grant “Notice of Funding Availability” (NOFA) in the amount of $1,850,000 to fund a Homebuyer Assistance and Housing Rehabilitation Programs, as well as the Avenal Community Sports and Recreation Center “Community Center”. In June 2018, Authority to Use Grant Funds was received from HUD to spend funds on grant activities. HOMEBUYER ASSISTANCE AND HOUSING REHABILITATION PROGRAMS: The Homebuyer Program provided secondary financing for income-qualified households in purchasing a home. The program provided deferred, no-interest loans to Low-Moderate Income (LMI) clients for a maximum assistance of $320,000 per household. Payments could be made anytime, but full loan repayment was not due until 30 years from date of loan approval. Three participants received homebuyer loans during the grant term. Loans were provided as follows: Loan # Amount Description of Project 1 $54,669 Homebuyer Loan 2 $72,034 Homebuyer Loan 3 $51,265 Homebuyer Loan TOTAL $177,968 A budget amendment was requested on January 12, 2017, reducing funds awarded to both the Homebuyer Assistance and Housing Rehabilitation Programs, moving funds of $290,698 to the Community Center Project to aid in covering increase material and labor costs. The Housing Program portion of the 16-CDBG- 11133 Grant was fully expended by October 25, 2021. On behalf of the City, Self-Help Enterprises will assist the City in submitting the Final Closeout documents to CA Department of Housing and Community Development (HCD) PARKS / RECREATION - PUBLIC FACILITY - AVENAL COMMUNITY SPORTS AND RECREATION CENTER: Joint Meeting City Council/Successor Agency/PFA –December 14, 2023 Page 4 of 6 Community & Economic Director Yang continues that at the time of award $1,209,302 was committed for the development of the Community Center which identified all site improvements, utilities, site and building infrastructure, building installation, interior framing, wall finishes, kitchen fixtures (no appliances), bathrooms, fire sprinklers, metal rollup doors, signage, ventilation, fans, plumbing, air conditioning, exterior lighting, smoke detectors, electrical, lighting and phone service. The initial application submitted proposed beneficiaries of 15,005 individuals upon full project completion/amenities and operation of the facility. The considerable number of beneficiaries is based on this facility being the only recreational facility available in Avenal, as well as the only facility of its kind available to two other isolated communities located within 20 miles of Avenal (Coalinga and Kettleman City). Upon completion, the Community Center will house all community indoor sport leagues for both youth and adults, host tournaments and act as the recreational hub within the community. A budget amendment was requested on January 12, 2017, reducing funds awarded to both the Homebuyer Assistance and Housing Rehabilitation Programs, moving funds of $290,698 to the Community Center Project to aid in covering increase material and labor costs. Construction of the budgeted portion of Phase One was currently 98% complete and 98.5% of the committed funds have been expended. The City currently does not have sufficient funds to complete the basketball court and multipurpose room, thereby preventing its ability to provide benefit to the anticipated beneficiaries. * The additional $100,000 in CDBG Program Income (PI) has not materialized because the only source of PI at the City of Avenal are loan payoffs and monthly loan payments from our CDBG funded First-Time Homebuyer and Owner-Occupied Rehabilitation loans. We have not had enough loan payoffs/payments on CDBG housing loans to allocate additional funds to the Avenal Community Center Project. Community & Economic Director Yang concludes on May 29, 2020, a request for an extension of time and additional funding letter was sent to HCD for review. Once notification was given to HCD on August 19, 2020, approval was granted and an additional funding of $600,079 was added to the Parks and Recreation Facilities (03F) fund of Contract 16-CDBG-11133. Since then, construction has halted due to the COVID-19 pandemic and the drafting and designing of Phase 2 and Phase 3 had not been officially completed until October of 2020. With all the final calculations of what is still needed to be constructed and the remaining timeline, the City is in the process of reducing its scope of work to Phase 2 portion of the project and work simultaneously to a full buildout project. The direction at which the city has now chosen would be more conducive in regards of construction and development. In Order for the City to meet the National Objective of the Closeout of the Grant: Low Mod Area Benefit (LMA), the City had to show that the overall project benefited all/ majority of residents within the service area (LMI) Low Moderate Income Residents. While the Community Center itself is still under construction, the City has utilize the already paved and fully constructed parking area as one of the main locations for the City’s Food Distribution events at which food is donated to the community and its residents every Tuesday. These events service on average 539 individuals. We do also utilize the site for any large-scale outdoor events like the City’s Monthly Flea Market and the Avenal Police Department Block Parties. By utilizing and organizing these events on the project site and location the city believes the National object have been met and that the Closeout of the 16-CDBG-11133 can officially be closed out. GENERAL $128,818.00 $112,248.00 $16,570.00 0 BUDGET TOTAL AVAILABLE DISENCUMBERED ADMINISTRATION EXPENSES FUNDS HOMEOWNERSHIP $168,582.00 $168,582.00 0 0 ASSISTANCE TOTAL: $2,450,079.00 $2,203,815.00 $246,264.00 0 ACTIVITY DELIVERY $9,386.00 $9,386.00 0 0 (HA) PARKS & RECREATION $2,143,293.00 $1,913,599.00 $229,694.00 0 (COMMUNITY CENTER) 16-CDBG-11133 BUDGET AND TOTAL EXPENSES: Staff recommends open the Public Hearing to accept comments on the City’s Closeout of 16-CDBG- 11133 Grant. Approve the 16-CDBG-1113 grant closeout report and authorize its submittal to the California Department of Housing and Community Development, Community Development Block Grant Program (CA HCD - CDBG). Mayor opened Public Hearing at 7:27 p.m. with no public comment the hearing was closed at 7:28 p.m. Joint Meeting City Council/Successor Agency/PFA –December 14, 2023 Page 5 of 6 Councilman Verdugo approves the 16-CDBG-1113 grant closeout report and authorize its submittal to the California Department of Housing and Community Development, Community Development Block Grant Program (CA HCD - CDBG), second by Councilman Hernandez and carried. Roll Call Vote: AYES: Verdugo, Hernandez, Ramirez, Preciado. NOES: None. ABSENT: Gravelle ABSTAIN: None. OLD BUSINESS: A. None. NEW BUSINESS: A. Consider Entering into an Agreement with A&M Consulting Engineers for On-Call Engineering Services (Resolution 2023-46). City Manager Lopez stated that on November 2, 2023, Staff issued a Request for Qualifications (RFQ) for On-Call Services for State and Federally Funded Projects. The RFQ asked for qualified consulting firms to submit a Statement of Qualifications (SOQs) addressing civil engineering & grant management services on an on-call basis and ability to serve as the City’s “City Engineer.” Since incorporation in 1979, the City has relied on Summers Engineering for all City engineering projects. The RFQ was issued to find an additional firm that can support City staff in the delivery of time-sensitive Capital Improvement projects, particularly Caltrans funded projects that require having a city-engineer that was contracted through a competitive process within the preceding five years. Having another team on board will open the City to more grant opportunities and relieve some workload on City Staff having help on grant application and management. City Manager Lopez continues that SOQs were due on November 16, 2023. The City received only one submittal, from A&M Consulting Engineers. Attached is their proposal, which outlines their qualifications and previous work around the Central Valley. Of note is their work in the City of Corcoran on multiple federally funded infrastructure and park projects. A&M’s proposal outlines their commitment to helping develop rural communities like Avenal. Speaking with Principal, Javier Andrade, A&M would strive to not charge the City for work and focus on finding the grants to help pay their time and activities, as to not be a financial burden on the City. A&M would also help apply to grants, prepare grant reports and drawdowns, helping the City’s limited staff. After brief discussion the following action was taken: RESOLUTION 2023-46: A RESOLUTION OF THE CITY COUNCIL AWARDING A CONSULTANT CONTRACT TO A&M CONSULTING ENGINEERS FOR A THREE-YEAR PERIOD, WITH AN OPTION TO EXTEND FOR TWO ADDITIONAL ONE-YEAR PERIODS TO PROVIDE ON-CALL CITY ENGINEERING SERVICES FOR STATE AND FEDERALLY FUNDED PROJECTS. Councilman Verdugo motion to approve, second by Councilman Hernandez and carried. Roll Call Vote: AYES: Verdugo, Hernandez, Ramirez, Preciado. NOES: None. ABSENT: Gravelle ABSTAIN: None. B. Consider Caltrans Maintenance Agreement as part of Clean California Grant, for SR 269: City Manager Lopez reported information to the City Council through 2023, Caltrans has been in contact with City Staff regarding utilizing of their Clean California grant to help beautify state roadways in the city of Avenal. Throughout those discussions, were talks about how to improve the landscaping on Skyline, adding more drought tolerant features and art on the electrical boxes. Council also requested that SR 33 be included in the grant to simplify the landscaping and consider widening the shoulders from San Joaquin to 7th Avenue. Attached, are drafts of a transportation art maintenance agreement, and a landscape agreement provided by Caltrans for them to move forward with their intended projects in connection with the Clean California Grant. The proposed agreements outline the responsibilities that the City would undertake for the maintenance of improvements made by Caltrans on State Route 269 (SR 269) and State Route 33 (SR 33). Joint Meeting City Council/Successor Agency/PFA –December 14, 2023 Page 6 of 6 After careful consideration and evaluation, the City Staff has some reservations regarding the approval of these agreements. While the changes on SR 269 are minimal, our primary concern lies with the implications for SR 33. Historically, the City has not been tasked with maintaining any aspects of SR 33, and the introduction of such responsibilities poses a challenge due to our current manpower constraints with no fiscal compensation in return. Of note, the last few years the City has taken it upon itself to clear the brush along the shoulder of SR33, with no compensation in return. Key points for consideration: • Minimal Changes on SR 269: The proposed improvements on SR 269 are relatively minor, and City Staff does not foresee significant challenges in assuming responsibility for their maintenance. • Unprecedented Maintenance Responsibility on SR 33: Unlike SR 269, SR 33 has not required any maintenance from the City in the past. Taking on this new responsibility would necessitate a significant increase in manpower and resources, which may not be feasible now or in the future, particularly with no funding involved. Considering these factors, City Staff is hesitant to recommend approval of the maintenance and landscaping agreements in their current form. We propose exploring alternative solutions or negotiating with Caltrans to address the concerns raised, particularly with respect to the unexpected burden on SR 33. Staff will be having a meeting Monday with Caltrans. CORRESPONDENCE/ANNOUNCEMENTS/CLOSING COMMENTS: City Manager Lopez reported the following: 1) William Lefever passed away November 30, 2023 at age 83, 20-years employed by City and service will be coming and will inform the Council; 3) Staff employee luncheon will be at 12:00 PM at the Veterans Hall all invited; 4) Saturday 9:00 to 11:00 AM Pictures with Santa - all invited; 5) Rotary will be all also having their annual Christmas dinner at Harris Ranch at 4:00 PM; 6) Santa on Patrol &APD - Tuesday, Thursday, Friday, and Saturday. purchased 4000 candy canes; 7) Staff will have a farewell luncheon Wednesday at noon for Kao Nou Yang we will be having Super Burger and all invited. City Manager Lopez thanked Kao Nou for all her hard work and will be missed; and 8) January 5th Check Presentation 1-million dollars from Melissa Hurtado - Avenal Police Department at 11:30 a.m. all invited. Councilman Verdugo mentioned that there will be a movie the Grinch noon. Mayor Preciado reported the following: 1) attended many meetings and thanked all for attending. ADJOURNMENT: There being no further business the City Council meeting was adjourned at 8:49 p.m. Respectfully submitted, Maria Ortiz, City Clerk