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HomeMy WebLinkAbout2014-07-31 Council Special Closed Session Agenda PacketThursday, July 31, 2014 3:00 PM City of Fresno 2600 Fresno Street Fresno, CA 93721 www.fresno.gov Council Chambers City Council Meeting Agenda - Final Special Closed Session July 31, 2014City Council Meeting Agenda - Final The meeting room is accessible to the physically disabled. If you require special assistance to participate in the meeting, notify the Office of the City Clerk at 559-621-7650 at least three business days prior to the meeting. Please keep the doorways, aisles and wheelchair seating areas open and accessible. If you need assistance with seating because of a disability, contact Security. The City Council welcomes you to the Council Chambers, located in City Hall, 2nd Floor, 2600 Fresno Street, Fresno CA 93721. The agenda and related staff reports are available on (www.fresno.gov) as well as in the Office of the City Clerk. The Council meeting can also be heard live at the same web site address, and viewed live on Comcast Channel 96 and AT&T Channel 99 from 8:30 a.m. and re-played beginning at 8:00 p.m. PROCESS: For each matter considered by the Council there will first be a staff presentation followed by a presentation from the involved individuals, if present. Testimony from those in attendance will then be taken. All testimony will be limited to three minutes per person. If you would like to speak fill out a Speaker Request Form available from the City Clerk’s Office and in the Council Chambers. The three lights on the podium next to the microphone will indicate the amount of time remaining for the speaker. The green light on the podium will be turned on when the speaker begins. The yellow light will come on with one minute remaining. The speaker should be completing the testimony by the time the red light comes on and tones sound, indicating that time has expired. A countdown of time remaining to speak is also displayed on the large screen behind the Council dais. No documents shall be accepted for Council review unless they are submitted to the City Clerk at least 24 hours prior to the Council Agenda item being heard. Following is a general schedule of items for Council consideration and action. The City Council may consider and act on an agenda item in any order it deems appropriate. Actual timed items may be heard later but not before the time set on agenda. Persons interested in an item listed on the agenda are advised to be present throughout the meeting to ensure their presence when the item is called. 3:00 P.M. SPECIAL CLOSED SESSION Please Take Notice that the President of the Council of the City of Fresno hereby calls a Special Meeting of the City Council on Thursday, July 31,2014, at 3:00 p.m. or as soon thereafter as it may be heard, in the Council Chambers, Second Floor, City Hall, 2600 Fresno Street, Fresno, California. The purpose of the closed session is to meet and consider the following: CONFERENCE WITH LEGAL COUNSEL - EXISTING ID#14-239 Page 2 City of Fresno ***Subject to Mayoral Veto July 31, 2014City Council Meeting Agenda - Final LITIGATION - Government Code Section 54956.9, Subdivision (d)(1) 1.City of Fresno et al. v. Doug Vagim, et al.; Fresno Superior Court No. 13CECG03080, 5th District Court of Appeal No. F069296 Related Matter: Doug Vagim, et al. v. City of Fresno, et al.; Fresno Superior Court No. 13CECG03206 3:00 P.M.Actions Pertaining to Initiative Measure to Repeal the Four Year Water Rate Plan and Required Council Action a.Presentation of Report to Council pursuant to Elections Code Section 9212 b.Take one of the following actions: 1.BILL - (for introduction) - Adopting the Initiative Measure Repealing Resolution No. 2013-143 that adopted the Four Year Water Rate Plan and Resolution No. 2013-144 that amended the Master Fee Schedule adjusting the water rates; or 2.RESOLUTION - Submitting to City voters the ballot measure relating to Resolution Nos. 2013-143 and 2013-144 that adopted the Four Year Water Rate Plan, for the November 4, 2014 general election. Members of the public shall have an opportunity to address the City Council concerning this matter. DATED this 30th day of July, 2014 _________________________________ STEVE BRANDAU, COUNCIL PRESIDENT Page 3 City of Fresno ***Subject to Mayoral Veto July 31, 2014City Council Meeting Agenda - Final Sponsors:City Attorney's Office 8:30 A.M. ROLL CALL Page 4 City of Fresno ***Subject to Mayoral Veto City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-239 Agenda Date:7/31/2014 Agenda #: NOTICE OF SPECIAL MEETING OF THE COUNCIL OF THE CITY OF FRESNO DATE:Thursday, July 31, 2014 TIME:3:00 p.m. LOCATION:Council Chambers, City Hall Councilmember Caprioglio may be present via conference call from Conoco Gas Station:90 Lone Mountain Trail, Big Sky, MT 59716 Please Take Notice that the President of the Council of the City of Fresno hereby calls a Special Meeting of the City Council on Thursday,July 31,2014,at 3:00 p.m.,or as soon thereafter as it may be heard,in the Council Chambers,Second Floor,City Hall,2600 Fresno Street,Fresno,California.The purpose of the special meeting is to meet and consider the following: 3:00 P.M. CLOSED SESSION CONFERENCE WITH LEGAL COUNSEL -EXISTING LITIGATION -Government Code Section 54956.9, Subdivision (d)(1) 1.City of Fresno et al.v.Doug Vagim,et al.;Fresno Superior Court No.13CECG03080,5th District Court of Appeal No. F069296 Related Matter: Doug Vagim, et al. v. City of Fresno, et al.; Fresno Superior Court No. 13CECG03206 3:00 P.M.Actions Pertaining to Initiative Measure to Repeal the Four Year Water Rate Plan and Required Council Action a.Presentation of Report to Council pursuant to Elections Code Section 9212 b.Take one of the following actions: 1.BILL - (for introduction) - Adopting the Initiative Measure Repealing Resolution No. 2013-143 that adopted the Four Year Water Rate Plan and Resolution No. 2013-144 that amended the Master Fee Schedule adjusting the water rates; or 2.RESOLUTION - Submitting to City voters the ballot measure relating to Resolution Nos. 2013- 143 and 2013-144 that adopted the Four Year Water Rate Plan, for the November 4, 2014 general election. City of Fresno Printed on 12/15/2022Page 1 of 2 powered by Legistar™ File #:ID#14-239 Agenda Date:7/31/2014 Agenda #: Members of the public shall have an opportunity to address the City Council concerning this matter. DATED this 30th day of July, 2014 _________________________________ STEVE BRANDAU, COUNCIL PRESIDENT City of Fresno Printed on 12/15/2022Page 2 of 2 powered by Legistar™ Rf CEIVED NOTICE OF SPECIAL MEETING oF rHE couNcll ¡ü1I JUL 30 Pn ? vOF THE CITY OF FRESNO CITY CLERK, FRES¡{O CADATE: Thursday, July 31,2014 TIME: 3:00 p.m. LOCATION: Gouncil Ghambers, City Hall Councilmember Caprioglio may be present via conference call from Conoco Gas Station: 90 Lone Mountain Trail, Big Sky, MT 59716 Please Take Notice that the President of the Council of the Gity of Fresno hereby calls a Special Meeting of the Gity Council on Thursday, July 31,2014, at 3:00 p.ffi., or as soon thereafter as it may be heard, in the Council Chambers, Second Floor, Gity Hall, 2600 Fresno Street, Fresno, Galifornia. The purpose of the special meeting is to meet and consider the following: 3:00 P.M.ED SE CONFERENGE WITH LEGAL COUNSEL - EXISTING LITIGATION - Government Code Section 54956.9, Subdivision (d)(1) 1. City of Fresno et al. v. Doug Vagim, et al.; Fresno Superior Court No. 13CECGO3080, sth District Court of Appeal No. F069296 Related Matter: Doug Vagim, et al. v. City of Fresno, et al.; Fresno Superior Court No.13CECG03206 3:00 P.M. Actions Pertaining to lnitiative Measure to Repeal the Four Year Water Rate Plan and Required Council Action a. Presentation of Report to Council pursuant to Elections Code Section 9212b. Take one of the following actions:1. BILL - (for introduction) - Adopting the lnitiative Measure Repealing Resolution No. 2013-143 that adopted the Four Year Water Rate Plan and Resolution No. 2013- 144that amended the Master Fee Schedule adjusting the water rates; or2. RESOLUTION - Submitting to City voters the ballot measure relating to Resolution Nos. 2013-143 and 2013-144 that adopted the Four Year Water Rate Plan, for the November 4,2014 general election. Members of the public shall have an opportunity to address the City Council concerning this matter. DATED this 30th day of July, 2014 STEVE BRANDAU, COUNCIL PRESIDENT 3f-. C)o'eJ s<ç5tot> V,'SÌ/t / SETTLEMENT AGREEMENT AND GENERAL RELEASE OF CLAIMS The parlies to this SETTLEMENT AGREEMENT AND GENERAL RELEASE OF CLAIMS ("Agreement") are DOUG VAGIM, DIANE SMITH and STEVE WAYTE (referred to as "Initiative Proponents" or "Proponents" herein), on the one hand, and the CITY OF FRESNO, a California chafter city and municipal corporation (sometimes referred to as or "City"), and DOUGLAS SLOAN, in his capacity as City Attorney of the City of Fresno on the other hand. These persons and entity are referred to collectively as "Parties" or separately as "each Pafty" herein. This Agreement is effective as of the latest date written next to the signature of a Party to this Agreement. I. Recitals. WHEREAS, The City of Fresno increased its water rates in August 2013; and WHEREAS, The Initiative Proponents sought to qualify an initiative measure seeking repeal of the City's 2013 water rates; and WHEREAS, The City challenged Initiative Proponents' authority to seek repeal of the water rates by initiative measure; and WHEREAS, The City f,iled a Complaint in Declaratory Relief seeking a judicial determination denying Initiative Proponents' authority to seek repeal of the City's August 2013 water rates (City of Fresno, et al., v. Vagim, et al., Case No. l3CECG03080); and V/HEREAS, Initiative Proponents filed a Verified Petition for Writ of Mandate compelling the City to issue a title and summaly such that the Initiative Proponents could commence collecting signatures on their rate-repeal ballot initiative measure (Vagim, et al., v. City of Fresno, et al., Case No. 13C8CG03206); and WHEREAS, Initiative Proponents were successful in defending against the City's Complaint in Declaratory Relief, which case remains on appeal before the Califomia Fifth District i Coufi of Appeal, and for which the City recently renewed a Writ of Mandate separate from its appeal of this matter; and WHEREAS, Initiative Proponents were successful on their Writ Petition matter and related appeals, which case is now ftrlly concluded; and WHEREAS, Initiative Proponents were awarded attorneys fees by the Fresno County Superior Court in the two litigation cases; and V/FIEREAS, The City has before it a duly qualified initiative measure submitted by Initiative Proponents to repeal the August 2013 water rates, and is required, pursuant to operation of law, to either repeal the challenged rates or set the matter of the rate repeal for a vote of the People ofFresno; and I ol'6 SETTLEMENT ACREEMENT AND GENERAL RELEASE OF CLAIMS WHEREAS, The Parties wish to immediately resolve the remaining litigation disputes, payment of attorneys' fees, and the issue of the repeal of the City's 2013 water rates. NOW, THEREFORE, in consideration of the covenants undertaken and the releases herein contained, and for other good and valuable consideration, the receipt of which is hereby acknowledged, as follows: II. Terms and Conditions of the Settlement Agreement. 1. Operative Settlement Provisions. Pafties desire to settle the Lawsuits and to fully and finally settle any and all matters between them arising out of, or relating to, the Lawsuits, or any claims that could have been raised in connection with the Lawsuits or the City's August 2013 water rate increase, without any further court proceedings, trial, appeal or adjudication of any issue of fact or law, and without any admission with respect to such matters. This shall also include issues raised by Proponents' qualified Initiative Measure. In consideration of the mutual promises herein, the Parties agree: E. All Lawsuits and related motions, appeals, and actions filed and/or pursued by the Parties shall forthwith be dismissed with prejudice. The August2013 water rate inct'eases enacted by the City shall be immediately repealed by the City pursuant to Article XIII C, section 3 of the California Constitution. The City shall delay enactment of any new water rate increases for a minimum of 6 months from the date of this agLeement, and thereafter may establish new, lower rates. Such rate increases, if sought by the City, shall full comply with Proposition 2l 8, the California Constitution, the Elections Code and other applicable provisions of law and legal authority. Any new rate increases sought shall also comply with the new notice and protest provisions of Item No. 1.E. herein. Any new rate plan enacted by the City shall be set for a period of not less than hve years (the current rate plan is for four years), during which time water rates may not be increased by the City. Starting from the date of this agreement and for a period of l0 years thereafter, all protest notices on proposed utility rate/fee increases shall be transmitted by the City in envelopes with distinguishing markings that it not be mistaken for any other City mail (said notices sl-rall appear similar to notices for jury duty), and have on the outside front face of the transmittal envelope the wolds "IMPORTANT INFORMATION ABOUT AN INCREASE TO YOUR UTILITY RATES ENCLOSED" in font size not less than 14pt. The notice envelopes shall include inside a ballot card and self-addressed, reply mail envelopes. All property and other information needed to tally a vote shall have been pre-printed on the envelopes and protest ballot cards so that a valid protest is cast by mail with a check mark and signature on the ballot card by either the property owner of or tenant at an affected property. Such notices shall be transmitted to property owners and also all tenant ratepayers for the affected properties. Only one protest per affected rate-payer property will be eligible to be tallied. The ballot return envelopes shall be SETTLEMENT ACREEMENT AN2;ÍáENERAL RELEASE O[. CLAIMS A B. C. D pre-printed with the City's recipient/return address, include the APN on the outside of said envelope, and include proper business reply postage or similar provided by the City, such that a ballot card may be retumed by a voter at no direct cost to the voter. The notice requirements herein shall apply to any rate increase sought by the City for water, garbage, and sewer rates. F. The City commits that it wilì seek the most efficient and equitable legal funding mechanisms for any new water projects to minimize cost increases or reduce costs for rate payers, including pursuit of the most cost effective means to save on infrastructure costs. G. Proponents agree to refrain frorn participating in any manner, directly or indirectly, in a new initiative or referendum following the next water rate establishment. H. During the 6 month interim period discussed in Item No. l.C. herein, the City shall sponsor and publicize abona fide, open, participatory roundtable process involving City leaders, rate-payers (both City and Co Island), taxpayers, taxpayer organizations, initiative proponents, experts, media and interest groups. The purpose of the roundtable process is to fostel and undertake serious discussions relative to all project issues, inclr-rding but not limited to the regional water issue, the scope of city projects, alternatives of financing capital costs both on new development and system-wide infrastructure, altematives to City's current policy on water, process and methods of low or fixed income subsidy (including, but not limited to, CDBG and PACE program elements). The City shall publicize each of these roundtable meetings on the City's website and on all the public media sites available. Prior to the conclusion of this six- month period, the resulting findings discussed through this process will be put out for further public review by the City for a 45-day period, and at the conclusion of the 45-day period, the findings and summary of discussions and will be placed before the City Council for final review and consideration. I. The City shall pay Proponents'attorney fees and legal costs inthe amount of $150,000, which shall be payable by the City within 10 business days of the execution of this agreement to "Bell, McAndrews & Hiltachk, LLP Client Trust Account," 455 Capitol Mall, Suite 600, Sacramento, CA 95814. J. The City shall refund the Initiative Proponents' $200 within 10 business days of the execution of this agreement. 2. Release of Claims. In return for the mutual promises and other consideration provided in this Agreement, Proponents, for themselves and their past, present or future heirs, beneficiaries, exectrtors, administrators, ofÏcers, directors, agents, partners, srìccessors and assigns ("Releasors"), do hereby fully release, acquit, waive and forever discharge the City and its past, present or future council rnembers, mayofs, administratols, officers, employees, agents, successors and assigns ("Releasees"), frorn any and all claims, actions, causes of action, factual allegations, demands (including without limitation demands for equitable and injunctive relief), debts, damages, costs, expenses inclr"rding expert fèes, losses, or attorney's fees of whateveL nature involving the City's August 2013 rate increases and Proponents' subsequent ballot Initiative Measure effort, whether or SETTLEMENT AGREEMENT NTiJÍáENERAL RELEASE OF CLAIMS not known, suspected or claimed arising out of, based on, or in any way related to the facts alleged (or facts that coulcl have been alleged) in the Lawsuits and related actions, appeals and/or motions ("Claims"), which Claims the Releasors have or may have against the Releasees except for rights to enforce this Agreement. In this Paragraph, the conjunctive includes the disjunctive. 3. Express'Waiver of All Claims Under California Civil Code Section 1542.It is further understood and agreed that this Agreement extends to all of the above-described Claims and potential Claims, and that all rights under California Civil Code $ 1542 are hereby expressly waived by Proponents for themselves with respect to all such Claims. Section 1542 provides as flollows: "A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the debtor." Notwithstanding these provisions of Section 7542, the Parties expressly acknowledge that this Agreement is intended to include in its effect, without limitation, all Clairns as described in Paragraph 2 based on the facts allegecl (or that could have been alleged) in the Lawsuits, which they do not know or suspect to exist in their favor al the time of execution hereof and that the settlement reflected in this Agleement contemplates the extinguishment of all such Claims, except for rights to enforce this Agreement. 4. Interpretation. The interpretation of this Agreement shall be governed by the laws of the State of California and any applicable laws of the United States. This Agreement shall be construed as thougl-r jointly prepaled by the Parties and any uncertainty or ambiguity shall not be construed against any one Party. 5. Admissibility of this Agreement. This Agreement constitutes a compromise of disputed claims and shall not be treated as an admission of liability by the City or any of the Releasees aI-any time or 1'or any reason. This Agreement shall not be admissible in any legal or administrative proceeding, including proceedings between the City and the Proponents or proceedings involving the City and any othel party. Notwithstanding the generality of the foregoing, the Parties agree that once it is signed by the Parties, this Agreement shall be fully binding and admissible in any judicial or administrative proceeding to enforce the terms of this Agreement and/or for breach of this Agreement' s provisions. 6. Jurisdiction and Venue. Venue over any dispute that may arise under this Agreement shall be in the Superior Courl in and for the County of Fresno and shall be pursued as a related case to the prior LawsLrits. In the event that Proponents are compelled to and thereafter prevail in an action in law or equity to enforce the provisions of this Agreernent, to obtain a declaration of rights and obligations in conjunctior-r therewith, or otherwise arising out of this Agreement, the Proponents shall be entitled to recovery of their reasonable attorney's fees and costs, including any costs incurred to retain expert witnesses in connection therewith. 7. Execution in Counterparts. This Agreement may be executed in counterparts, and facsimile or scanned signatures will have the same folce and effect as the original. 4 ol'6 SETTLEMENT AGREEMENT AND GENERAL RELEASE OF CLAIMS 8. Bntire Agreement. The Parties acknowledge that no representations, inducements, promises or agreements, oral or otherwise, have been made by any Party or anyone acting on behalf of a Party which are not embodied herein, and that no other agreement, representation, inducement or promise not contained in this Agreement shall be valid or binding. Any modification, waiver or amendment of this Agreement will be effective only if it is in writing and signed by the Party to be charged. 9. Representation by Counsel. Each of the Parties expressly acknowledges and represents that it has been represented by counsel in the negotiations culminating in this Agreement. Each of the Parties has read this Agreement, reviewed the same with counsel, and fully understands the meaning and effect of each and every provision of this Agreement, in particular the meaning and effect of the releases and the waiver of rights under Califomia Civil Code$ I 542. 10. Mayor's Authority to Sign on Behalf of City. The City hereby confirms that upon approval of this Agreement by the City Council, the Mayor is authorized pursuant to the City's Charter to sign this Agreement on the City's behalf. 11. Severability. If any term of this Agreement is declared invalid for any reason, that determination shall not affect the validity of the remainder of the Agreement. The remaining parts of this Agreement shall remain in elfect as if the Agreement had been executed without the invalid term. DATE: DOUG VAGIM DATE: DIANE SMITH DATE: STEVE V/AYTE CITY OF FRESNO, A California Charter City and municipal colporation By: ASHLEY SWEARENGIN Mayor' 5 ol-6 SETTLEMENT ACREEMENT AND CENERAL RELEASE OF'CLAIMS DATE: 8. Entire Agreement. 'I'he Parties apknówìedge that no rcpresentations. inducements, promises or agreements, oral or othErwise, havé bcen made by any Party or ilnyone acting on bchalf of a Parry whioh are not embodied herein, and that no other ¿rgreemsnt! reprcsentation, inducenrenr br promisc not contained in this Agr'eement shall be valid or binding. Any modification, waivcr or amendment of this Agreement will bc e ffectiveionly if ít is in writing anrì signecl by the Party to be charged. 9. Represenlation by Counsel. lìach of the Partie¡- expressly acknowlcdges and represents that it has bcen represented by counsel in the negotiations culminating in this Agreement. Each of the Parties hes read thi.s Agreemenl,,revielved the same with counsel, and fully understands the meaning and eliÞct of cach and every provision'of this Agreement. in particular the meaning and etïect of the releases and the waiver of righït unrler C¿lifomia Clivil Code$ t 542. 10.. Mayor's Authority to fiign ou lBeþulf of City, The City hereby confirms that uporr approval of this Agreement by the City Council, the Mayor is authorized pursuanr to the Ciry's Cha¡ter to sign this Agreement on the Cifyis behalf. . ll. Severnbility. lf any term of this Agreement is deolared invalirt lbr any reason, that .detcrmination shall not affect the va,lidity of the remaincier of the Agrermùnt. Thc remaining parts of this Agreement shaLl renrain in eflect as if the Agrcemcnt had been executed without the invalid term. DATE: DIANË SMITI{ DATE: STEVE WAYTE CITY OF FRESNO, A Califomia Ch.arter City arrd municipal corporation ,DATF-: By: ASHLEY SWËARI,NOIN Mayor ; 5 oi6 SEI'TT,EMENT ACREEMENT AND CENERAL RELEASE OF CLAIMS L Entire Agreement. The Pa¡ties ackrowledge thât no representations, indusemenls, pronrises or agrÊsments, oral or othenvise, have been rnade by an), Pârty or ânyone acting on behalf ola Party which are no1 embodied herein, and that no other agreemÈnt, re.presÈntâtion, inducemenl or promise nol conlaìned in thìs Agrcement shall be vaiid or binding. An-y modifleation, waiver or amendmsnf of this Agreemenf wiìì be effeetivc i:nly if it is in writing and signed by the Pafiy to be chargecl. 9. Represertation by Counsel. Ilach olthe Parties expressly acknolvledges and represents that il has been represented by counsel in the negotiations culminatin*e in this ,Agreenrent. Êach cf the Parties has read this Agreement, reviewed lhe same with counse l, and f"ulll' underst¿nds the meaning and effect of each and e very provision of thìs Agreement, in partículnr the rneaning and ellèct of the releases and the r.vaiver o[rights under Calitìrmia Civìl Code$ l-54?. 10. Mrryor's Authority to Sign on Behalf of e ify. Thc Cig hereby confims that upon approval of this Agreement by the City CouncìI, the Mayor is authorizæd pursuånt to the Cify's Clra¡ter to sìgn this Agreement on the City's behalf". 11. Severability. If any terrn of rhis A.greement is declareti invalid for ary rÊason. thaf determínation shall no1 afiectthe validity of tlre rernainder oI'tlre Agreenrenl- The remaining parts of this AgreemËnt shâll remain in eflect as if the Agreenient had be¿n execuletJ rvithout the invalici lsmr. DATÍ:; DOUÛ VAGIM DATE: T-JI ¿Y DATE: STIiVF V/¡\YTF. CITY ÛF FRESNO, A Califomia Charter City and municipal ccrporatìon DATE: By: ASl ll.lìY SWITARENGIN Mal"clr 5 t-¡ l- fi Å.NLl GENLRAI. REI-Ð,4.S[ì OF CìL,\lMS SN'fITH sn'fTl.ìlM ìi¡¡'t' Aú fìt iEMìrN1 H' Enfrru Agrnemmf . Ihc PEnlsn nqknogdedgn lfþtno rÊStHËnFtlQuR, l¡duecö*ts,f S, Rrpnmonhtlqr þf Counrnl. En+h 0f 10. Bþ on &h*lf otClty, Th Èppmynl o Çfty Coun+il, Èrc lr4nyor lrChqrtorro the tþ'rhdrdfl, tl. 8p¡rnHltry. 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