[11) a. Designation of Voting Delegate and Alternate for the League of California Cities Annual Conference scheduled for October 7-9,2020. (Ortiz Hernandez)]

11, A DESIGNATION OF VOTING DELEGATE AND ALTERNATE FOR THE LEAGUE OF CALIFORNIA CITIES ANNUAL CONFERENCE SCHEDULED FOR OCTOBER 7TH THROUGH 9TH 2020.

MR. ORTIZ-HERNANDEZ? GOOD EVENING MAYOR AND MEMBERS OF THE COUNCIL, THIS IS THE ANNUAL APPOINTMENTS OF VOTING DELEGATES FOR THE LEAGUE OF CALIFORNIA CITIES ANNUAL CONFERENCE, WHICH IS SCHEDULED TO BE HELD ON OCTOBER 7TH OR 9TH.

THIS YEAR, THE LEAGUE CONFERENCE WILL BE HELD VIRTUALLY ONLINE.

SO THOSE THAT WERE SEEKING TO GET NOMINATIONS FOR A PRIMARY AND AN ALTERNATE COUNCIL MEMBER WHO WOULD PARTICIPATE IN THE ANNUAL CONFERENCE AND CAST THE CITY'S VOTE.

I BELIEVE THE LAST COUNCIL MEMBERS WERE MR. GARCIA WAS A PRIMARY AND MR. REYNA WERE THE ALTERNATES LAST YEAR AND LEAVE IT UP TO YOU THREE TO DECIDE WHOM YOU WOULD LIKE TO NOMINATE THIS YEAR.

ALL RIGHT, THANK YOU.

AUDIENCE PARTICIPATION IS LIMITED TWO MINUTES PER SPEAKER.

IF YOU'D LIKE TO MAKE A VERBAL COMMENT USING ZOOM, PLEASE USE THE RAISE HAND BUTTON TO REQUEST TO SPEAK. IF YOU ARE USING YOUR TELEPHONE, PLEASE DIAL STAR NINE ON YOUR TELEPHONE KEYPAD. YOU WILL BE CALLED UPON BY THE NUMBER YOU'RE CALLING FROM WHEN IT'S YOUR TURN TO SPEAK. PLEASE STATE YOUR NAME FOR THE RECORD BEFORE YOU BEGIN YOUR COMMENT.

WHAT'S YOUR TIME HAS EXPIRED.

YOU WILL BE MUTED.

AT THIS TIME, DO WE HAVE ANY PUBLIC COMMENTS, MADAM CLERK? JUST ONE MOMENT. THERE ARE NONE AT THIS TIME.

ALL RIGHT, THANK YOU.

DO WE HAVE ANY COMMENTS FROM THE MEMBERS?

[00:15:02]

WE'LL START WITH MEMBER REYNA, EXCUSE ME.

MAYOR, I THINK IT COULD BE LIKE THE WAY IT WAS LAST YEAR.

UNLESS MEMBER PALLARES HAS OBJECTIONS.

AND I DO PLAN TO ATTEND AS LONG IT IS THAT IT IS ON ZOOM OR SOMETHING SIMILAR TO THAT.

I WOULD NOT ATTEND IF IT IS IN PERSON.

THANK YOU.

BEING THAT MR. GARCIA IS NOT HERE, MR. PALLARES, I GAVE YOU THE OPTION IF YOU'D LIKE TO BE THE ALTERNATE, I'M NOT SURE WHAT YOUR SCHEDULE IS LIKE FOR THAT WEEK.

WELL, I'M AVAILABLE VIRTUALLY OR IN REALITY FOR THIS.

I HAVEN'T HAD THE PLEASURE OF ATTENDING THIS PARTICULAR CONFERENCE.

SO. EITHER WAY, YOU GUYS WANT TO DO IT, IF ALEX WISHES TO ATTEND, I CAN STEP ASIDE AND THEN IF HE IS UNAVAILABLE, THEN FEEL FREE TO CALL ME, AGAIN I AM AVAILABLE ON THOSE DATES. WONDERFUL.

SO ALL WE DO IS THIS.

SINCE A MEMBER GARCIA IS NOT HERE, I WOULD LIKE TO MAKE THE MOTION TO HAVE MEMBER REYNA BE THE VOTING DELEGATE AND MEMBER PALLARES BE THE ALTERNATE SO WE CAN GET THAT SQUARED AWAY TODAY. THAT'S A MOTION, ANYBODY SECOND THAT? I'LL SECOND THAT MAYOR. ALL RIGHT, WONDERFUL.

THANK YOU. THEN WE'LL ENTERTAIN A VOTE BY ROLL CALL, MADAM CLERK? MAYOR CORTEZ? YES. CORTEZ. COUNCIL MEMBER PALLARES? PALLARES AYE. COUNCIL MEMBER REYNA? YES, THIS IS REYNA.

MOTION IS APPROVED, THREE AYES WITH BY COUNCIL MEMBER REYNA TO APPOINT COUNCIL MEMBER REYNA AS VOTING DELEGATE AND COUNCIL MEMBER PALLARES AS THE ALTERNATE.

MOTION IS APPROVED, THREE AYES.

WITH COUNCIL MEMBER GARCIA AND MAYOR PRO TEM ESPITIA ABSENT.

PERFECT THANK YOU.

[12) a. Discussion and Possible Minute Action regarding a Resolution of the General Assembly of the League of California Cities Calling for an Amendment of Section 230 of the Communications Decency Act of 1996 To Require Social Media Companies to Remove Materials Which Promote Criminal Activities. (Ortiz Hernandez)]

ITEM 12, NEW BUSINESS.

ITEM A DISCUSSION AND POSSIBLE MINUTE ACTION REGARDING A RESOLUTION OF THE GENERAL ASSEMBLY OF THE LEAGUE OF CALIFORNIA CITIES CALLING FOR AN AMENDMENT OF SECTION 230 OF THE COMMUNICATIONS DECENCY ACT OF 1996 TO REQUIRE SOCIAL MEDIA COMPANIES TO REMOVE MATERIALS WHICH PROMOTE CRIMINAL ACTIVITIES.

MR. ORTIZ-HERNANDEZ? MEMBERS OF THE COUNCIL, THERE ARE TWO RESOLUTIONS THAT THE LEAGUE OF CITIES HAS PROPOSED AS PART OF THE FOR THE DELEGATES TO VOTE ON.

THE FIRST RESOLUTION, AS YOU MENTIONED, IS SORT OF TIED TO SOCIAL MEDIA AND RELATED TO THE USE OF SOCIAL MEDIA AND CONTENT THAT MAY BE USED BY INDIVIDUALS IN THE PROPER MANNER.

YOU HAVE THE BACKGROUND IN FRONT OF YOU AS PROVIDED BY THE CITY OF CERRITOS FOR THE BACKGROUND INFORMATION. THAT SOCIAL MEDIA PLATFORMS ARE NOW USED AS A PRIMARY MEANS OF COMMUNICATION, INCLUDING BY CRIMINALS.

WHO USE THEM TO ADVERTISE LOCATION DATES AND TIMES WHERE THE CRIMINAL ACTS WILL TAKE PLACE. SUCH COMMUNICATION, BECAUSE THEY OCCUR ONLINE, RENDER THE ONLINE PLATFORM IMMUNE FROM ANY CIVIL LIABILITY FOR THE COST INCURRED BY LAW ENFORCEMENT AGENCIES THAT RESPOND UNDER SECTION 230 OF THE COMMUNICATIONS DECENCY ACT OF 1996, IMMUNITY FROM CIVIL LIABILITY EXTENDS EVEN TO INJUNCTIVE RELIEF.

THUS PREVENTING LOCAL GOVERNMENTS FROM MERELY SEEKING AN INJUNCTION AGAINST THE ONLINE PLATFORM TO HAVE SUCH A POST REMOVED.

SO IN ESSENCE, THE RESOLUTION THAT THE LEAGUE HAS PUT FORTH FOR THE DELEGATES TO CONSIDER SUPPORTING WOULD BE TO URGE THE STATE AND CONGRESS TO ENACT LEGISLATIVE REMEDIES THAT WOULD REMOVE THAT IMMUNITY ON THE PLATFORMS THEMSELVES THAT CURRENTLY DOESN'T PERMIT PROSECUTION OR LIABILITY OR CIVIL LIABILITY FOR THOSE PLATFORMS, SUCH AS SOCIAL MEDIA, LIKE FACEBOOK AND OTHER ANOTHER MAJOR PLATFORMS OUT THERE.

THANK YOU. AUDIENCE PARTICIPATION IS LIMITED TO TWO MINUTES PER SPEAKER.

IF YOU'D LIKE TO MAKE A VERBAL COMMENT USING ZOOM, PLEASE USE THE RAISE HAND BUTTON TO REQUEST TO SPEAK. IF YOU'RE USING A TELEPHONE, PLEASE DIAL STAR NINE ON YOUR TELEPHONE

[00:20:04]

KEYPAD. YOU'LL BE CALLED UPON BY THE NUMBER YOU'RE CALLING FROM WHEN IT'S YOUR TURN TO SPEAK. PLEASE STATE YOUR NAME FOR THE RECORD BEFORE YOU BEGIN YOUR COMMENT.

ONCE YOUR TIME HAS EXPIRED, YOU WILL BE MUTED.

AT THIS TIME, DO WE HAVE ANY COMMENTS FROM THE PUBLIC, MADAM CLERK? YOU'RE ON MUTE, MADAM CLERK RIGHT NOW.

THERE ARE NO PUBLIC COMMENTS AT THIS TIME.

GREAT, THANK YOU.

COMMENTS FROM THE MEMBERS.

MEMBER REYNA? THANK YOU MAYOR.

I THINK WE SHOULD SUPPORT THIS.

I SUSPECT THAT THIS IS GOING TO OPEN UP A CAN OF WORMS AND BE AN OPENING FOR A LOT OF OTHER THINGS THAT SOCIAL MEDIA [INAUDIBLE] SOCIAL MEDIA IS BEING USED TO PLAN FOR HAVING CRIMINAL ACTIVITY IN DIFFERENT PARTS OF THIS COUNTRY.

SO I THINK THAT THE SOCIAL MEDIA COMPANIES NEED TO TAKE ACTION AND REMOVE THOSE CALLS OR POSTS TO COMMIT OR TO GATHER TO COMMIT CRIMES.

AND IF NOT, THEY SHOULD BE LIABLE FOR IT.

SO I THINK WE SHOULD VOTE YES ON THAT.

ALL RIGHT. THANK YOU. MEMBER PALLARES? YES.

FROM WHAT I'VE READ, I'D BE INCLINED TO SUPPORT THIS.

THANK YOU. THANK YOU.

I AS WELL I THINK, AGAIN, I THINK THIS IS A BROAD BRUSH AND I'M SURE THERE'S GOING TO BE SOME UNINTENDED CONSEQUENCES HERE.

BUT AT THIS POINT, I ALSO SUPPORT THIS AMENDMENT.

SO I'LL ENTERTAIN A MOTION.

THIS IS REYNA MOVE TO APPROVE.

PALLARES SECOND. ALL RIGHT, SO THAT'S A SECOND BY MEMBER PALLARES.

WE'LL VOTE BY ROLL CALL, MADAM CLERK? MAYOR CORTEZ? CORTEZ, YES.

COUNCIL MEMBER PALLARES? PALLARES, AYE.

COUNCIL MEMBER REYNA? REYNA, YES. MOTION BY COUNCIL MEMBER REYNA.

SECOND, BY COUNCIL MEMBER PALLARES TO YOU, TO APPROVE, TO SUPPORT THE RESOLUTION.

MOTION IS. MOTION IS APPROVED BY THREE AYES.

WITH COUNCIL MEMBER GARCIA AND MAYOR PRO TEM ESPITIA ABSENT.

THANK YOU.

[12) b. Review of Formal Exit Conference and Draft Audit Report Produced by the California Department of Transportation’s Independent Office of Audits and Investigations. (Bishop)]

ITEM B, 12B REVIEW A FORMAL EXIT CONFERENCE AND DRAFT AUDIT REPORT PRODUCED BY THE CALIFORNIA DEPARTMENT OF TRANSPORTATION'S INDEPENDENT OFFICE OF AUDITS AND INVESTIGATIONS . DIRECTOR BISHOP? GOOD EVENING, MAYOR AND COUNCIL MEMBERS.

CAN YOU GUYS HEAR ME OK? YES. OK, SO THE ITEM FOR YOU IS FOR INFORMATION ONLY.

I WILL BE GOING OVER THE CALTRANS AUDIT FINAL EXIT CONFERENCE.

AND IF YOU RECALL, I DID GO OVER THE STATUS OF THE AUDIT IN OCTOBER OF 2019 LAST YEAR.

NEXT SLIDE.

THE INDEPENDENT OFFICE OF AUDITS AND INVESTIGATION PERFORMS AUDITS TO DETERMINE WHETHER PROJECT COSTS CLAIMED BY AND REIMBURSED TO THE CITY WHERE ALLOWABLE, REASONABLE AND ADEQUATELY SUPPORTED IN ACCORDANCE WITH THE CALTRANS AGREEMENT PROVISIONS AND STATE AND FEDERAL REGULATIONS.

AND THEY ALSO AUDIT TO DETERMINE WHETHER PROJECT DELIVERABLES, OUTPUTS AND BENEFITS OUTCOMES WERE CONSISTENT WITH THE PROJECT SCOPE.

THE SCOPE OF THE AUDIT INCLUDED THE CITY'S COST THAT WERE CLAIMED FROM JUNE 1ST, 2015 TO FEBRUARY 2018.

THIS INCLUDED THE PROJECTS THAT ARE CURRENTLY LISTED BEFORE YOU THAT WERE COMPLETED BETWEEN 2016 AND 2017.

AND IT ALSO INCLUDED THE 2010 THROUGH 2017 CITY ENGINEER PROCUREMENT AND THE 2018 ON-CALL ENGINEERING PROCUREMENT. SO I'M JUST GOING TO GO THROUGH EACH OF THE PROJECTS.

THE PALM AVENUE ELEMENTARY SCHOOL PROJECT WAS COMPLETED AUGUST 2016.

IT DID INCLUDE SOME PEDESTRIAN SAFETY IMPROVEMENTS WITHIN THE VICINITY OF PALM AVENUE ELEMENTARY SCHOOL, INCLUDING A CENTER MEDIAN THAT RESTRICTED LEFT HAND TURNING ONTO PALM AVENUE NEAR THE SCHOOL.

THE TERESA BURKE ELEMENTARY SCHOOL PROJECT WAS COMPLETED AUGUST OF 2017 AND PROVIDED BY BIKE AND PEDESTRIAN IMPROVEMENTS NEAR TERESA BURKE ALONG FILBURN AVENUE.

THE HIGHWAY 43 PROJECT WAS COMPLETED IN NOVEMBER 2016 AND INCLUDED LANDSCAPE IMPROVEMENTS

[00:25:06]

AND SOLAR STREET LIGHTING ON HIGHWAY 43 BETWEEN FILBURN AND POSO.

THE JOHN L PRUEITT PROJECT WAS COMPLETED IN MARCH OF 2017 AND INCLUDED BICYCLE AND PEDESTRIAN AND LANDSCAPE IMPROVEMENTS ALONG 7TH STREET NEAR JOHN L.

PRUEITT SCHOOL. AND THE CLEMENS AND THOMAS JEFFERSON PROJECT INCLUDED PEDESTRIAN SAFETY IMPROVEMENTS AND BICYCLE FACILITIES WITHIN THE VICINITY OF THOMAS JEFFERSON MIDDLE SCHOOL AND KARL CLEMENS ELEMENTARY.

AND THAT WAS COMPLETED IN MAY OF 2016.

SO IN TOTAL, THE AUDITED PROJECT COSTS WERE APPROXIMATELY TWO POINT SEVEN MILLION.

THE TABLE BEFORE YOU PROVIDES A SUMMARY OF WHAT EACH PROJECT COSTS.

AND I'M GOING TO GO THROUGH EACH FINDING WITH YOU, AS WELL AS THE RECOMMENDATIONS THAT WERE PROVIDED BY THE AUDITORS.

SO THE BIGGEST FINDING WAS FINDING NUMBER ONE, AND IT WAS RELATED TO A CONFLICT OF INTEREST IDENTIFIED WITH THE CITY'S PUBLIC WORKS DIRECTOR DURING THE AUDIT PERIOD, WHOM IS NO LONGER EMPLOYED IN THE CITY.

THE PUBLIC WORKS DIRECTOR AT THE TIME MADE PROCUREMENT AND CONTRACT MANAGEMENT DECISIONS THAT WERE ASSOCIATED WITH PALMETTO ENGINEERING AND LAND SURVEYING, WHICH WAS THE CITY ENGINEER AT THE TIME.

IN 2014, 17 AND 18, WHERE THE PREVIOUS DIRECTOR'S DAUGHTER IN LAW WAS EMPLOYED, WHICH IS CONTRARY TO FEDERAL AND STATE CONFLICT OF INTEREST REGULATIONS.

CONSEQUENTLY, THE COST TOTALING ONE HUNDRED AND SIXTY EIGHT THOUSAND FIVE HUNDRED EIGHTY FOUR DOLLARS THAT WERE FILLED TO CALTRANS ASSOCIATED WITH [INAUDIBLE] ENGINEERING CONTRACTS ARE BEING RECOMMENDED FOR DISALLOWANCE.

AND I SEE THIS AS A RECOMMENDATION.

SO IT'S NOT SOMETHING THAT'S FINAL AND SET IN STONE.

THIS IS THE RECOMMENDATION THE AUDITORS ARE MAKING TO HEADQUARTERS.

THE AUDITORS ARE ALSO RECOMMENDING THAT THE CITY IMPLEMENT POLICIES AND PROCEDURES THAT ADDRESS CONFLICT OF INTEREST AND TRAINING STAFF ACCORDINGLY.

AND THEY'RE ALSO RECOMMENDING THAT WE ESTABLISH COMPENSATING CONTROLS TO AVOID CONFLICT OF INTEREST BY DEVELOPING GUIDANCE POLICIES AND PROCEDURES THAT MEET THE REQUIREMENTS OF THEIR REGULATIONS.

FINDING NUMBER TWO WAS ASSOCIATED WITH THAT DEFICIENCY AND LABOR CHARGING PRACTICES.

THE CITY WAS FOUND TO DOUBLE BILL FOR A TOTAL OF EIGHTY THREE HOURS ON TWO PROJECTS AND OVERBILLED ON ANOTHER PROJECT, WHICH RESULTED IN SEVEN THOUSAND EIGHT HUNDRED FIFTY ONE DOLLARS OF DISALLOWED LABOR COSTS.

AND THE CITY ALSO USED THE DIRECTOR'S FRINGE BENEFITS, WHICH ARE BASIC HEALTH AND DENTAL BENEFITS TO COMPUTE THE DEPUTY DIRECTOR'S FRINGE BENEFIT RATE AND USED INCORRECT RETIREMENT CONTRIBUTIONS.

AND THOSE TOTALED APPROXIMATELY THIRTY SEVEN THOUSAND SIX HUNDRED FORTY ONE DOLLARS, BRINGING THE GRAND TOTAL BEING RECOMMENDED FOR DISALLOWANCE IN FINDING NUMBER FORTY FIVE THOUSAND FOUR HUNDRED NINETY TWO DOLLARS.

AUDITORS ARE ALSO RECOMMENDING THAT CITY DEVELOP LABOR CHARGING POLICIES AND TRAIN STAFF ACCORDINGLY. THEY ALSO IDENTIFIED THAT THE USE OF TWO TIMESHEETS CAN LEAD TO DOUBLE BILLING AND RECOMMENDED THAT THE CITY MOVE TOWARDS ONE TIME SHEET.

AND IF WE CONTINUE TO USE TWO TIME SHEETS, WE DEVELOP A POLICY OR PROCEDURE TO ENSURE THAT WE'RE RECONCILING THE TIMESHEETS PROPERLY AND THAT WE'RE ONLY BILLING FOR ALLOWABLE EMPLOYEE FRINGE BENEFIT COSTS AND THAT THE PROJECT MANAGER REVIEWS AND TAX ALL LABOR COSTS PRIOR TO BILLING CALTRANS TO AVOID ANY FUTURE PROBLEMS WITH DOUBLE OR OVERBILLING.

FINDING NUMBER THREE WAS ASSOCIATED WITH A LACK OF PROCUREMENT PROCESS ON THE ARCHITECTURAL AND ENGINEERING PROCUREMENT PRACTICES.

SO AUDITORS FOUND THE CITY FAILED TO PROCURE [INAUDIBLE] ASSOCIATES, WHICH IS A CONSORTIUM THAT DOES MATERIALS TESTING AND INSPECTIONS, AND [INAUDIBLE] PROCURE THEM PROPERLY, RESULTING IN A DISALLOWANCE OF TEN THOUSAND SIX HUNDRED TWENTY THREE DOLLARS.

ADDITIONALLY, IT WAS IDENTIFIED THAT THE CITY CIRCUMVENTED THE PROCUREMENT PROCESS BY HAVING VSK INVOICE [INAUDIBLE] ENGINEERING FOR EIGHTEEN THOUSAND FOUR HUNDRED AND SEVENTY FOUR DOLLARS ASSOCIATED WITH THEIR WORK.

THAT EIGHTEEN THOUSAND FOUR HUNDRED SEVENTY FOUR IS INCLUDED IN THE FINDING ONE DISALLOWANCE.

SO FOR FINDING THREE THE TOTAL DISALLOWANCE IS TEN THOUSAND SIX HUNDRED AND TWENTY THREE DOLLARS. THAT'S BEING RECOMMENDED BY THE AUDITORS.

THEY'RE ALSO RECOMMENDING THAT WE REQUIRE ALL PROCUREMENT USE AND FOLLOW STATE AND FEDERAL GUIDELINES, ESPECIALLY WHEN WE'RE USING STATE FEDERAL FUNDS.

THEY RECOMMEND THAT WE TRY TO UPDATE OUR EXISTING PURCHASING POLICY AND PROCEDURES TO CONFORM WITH STATE AND FEDERAL PROCUREMENT REQUIREMENTS AND THAT WE TRAIN STAFF

[00:30:04]

ACCORDINGLY. AND THEY ALSO RECOMMENDED 18 PROCUREMENT DOCUMENTATION AS REQUIRED BY STATE AND FEDERAL REGULATIONS.

AND THE CALTRANS [INAUDIBLE].

FINDING NUMBER FOUR WAS ASSOCIATED WITH A CONSULTING CONTRACT MANAGEMENT.

THEY IDENTIFIED THAT THE CITY DID NOT MANAGE CONSULTING CONTRACTS IN CONTRACT PROVISIONS IN ACCORDANCE WITH STATE AND FEDERAL REGULATIONS.

THE CITY PROCURED [INAUDIBLE] ASSOCIATES TO PERFORM MATERIALS TESTING AND INSPECTIONS BEFORE ANY FORMAL AGREEMENTS WERE APPROVED, WHICH RESULTED IN A DISALLOWANCE OF FIVE THOUSAND FOUR HUNDRED AND ELEVEN DOLLARS, WHICH IS ALSO INCLUDED IN FINDING THREE.

THE CITY ALSO ALLOWED [INAUDIBLE] ENGINEERING TO MARKUP OR SUBCONTRACTING COSTS, POSTAGE AND DELIVERY CHARGES AND TO CHARGE SIXTY FIVE CENTS PER MILE FOR THREE THOUSAND ONE HUNDRED AND NINE MILES INSTEAD OF THE RATE APPROVED BY THE DEPARTMENT OF PERSONNEL ADMINISTRATION AS REQUIRED BY THE MASTER AGREEMENT WITH CALTRANS.

THE COST IS ALLOWED FOR [INAUDIBLE] MARKUPS TOTAL ONE THOUSAND EIGHT HUNDRED TWENTY TWO DOLLARS, AND THOSE ARE INCLUDED IN FINDING ONE.

THE AUDITORS ALSO FOUND CONTRACT PROVISIONS MISSING AND EXECUTED AGREEMENTS AND IDENTIFIED [INAUDIBLE] RATE SCHEDULE DID NOT IDENTIFY [INAUDIBLE] MEMBERS WORKING ON A FIGHTING TO KEEP PROJECTS.

AUDITORS ARE RECOMMENDING THAT THE CITY DEVELOP CONTRACT MANAGEMENT POLICIES AND PROCEDURES THAT COMPLY WITH STATE AND FEDERAL REGULATIONS.

THAT WE APPROVE AGREEMENTS PRIOR TO START OF WORK IN [INAUDIBLE], AND THAT WE INCLUDE ALL REQUIRED PROVISIONS IN OUR CONTRACTS FOR ANY OF OUR PROJECTS THAT ARE STATE AND FEDERAL FUNDING, AND THAT WE IDENTIFY AND DOCUMENT ALL KEY PERSONNEL NAMES AND CLASSIFICATIONS FOR CONSULTING CONTENTS.

FINDING NUMBER FIVE FOUND THAT THE CITY DID NOT MANAGE CONSTRUCTION CONTRACTS IN ACCORDANCE WITH STATE AND FEDERAL REGULATIONS.

THE CITY DID NOT SUBMIT CHANGE ORDERS AS THEY WERE SUPPOSED TO AND WHEN NEEDED.

AND WE DID NOT KEEP RECORDS TO PROVE THAT THE CONTRACTOR'S LICENSES HAD BEEN VERIFIED.

AUDITORS ARE RECOMMENDING THAT WE REQUIRE ALL PROCUREMENTS THAT USE STATE AND FEDERAL FUNDS TO BE PROCURED IN ACCORDANCE WITH STATE AND FEDERAL LAWS AND REGULATIONS, AND THAT WE EXECUTE ALL CONTRACTING ORDERS TO MEET THE REQUIREMENTS OF STATE AND FEDERAL REGULATIONS. AND WE MAINTAIN DAILY REPORTS IN THE PROJECT FILES TO ALLOW FOR ACCOUNTABILITY AND AN AUDIT TRAIL.

FINDING NUMBER SIX IDENTIFIED DEFICIENCIES IN OUR PROJECT REPORTING OUTCOME.

THE CITY MISSED SEVERAL REPORTING REQUIREMENTS AND WE WERE NOT CONSISTENTLY BEGINNING AND END USER ACCOUNTS TO ESTABLISH PROJECT OUTCOMES.

SOME OF THE REPORTS THAT WE MISSED ON SOME PROJECTS WERE DELIVERING FINAL DELIVERY REPORTS AND PROVIDING FINAL REPORT OF ITS FEATURES BEFORE AND AFTER PHOTOS DOCUMENTING THE PROJECTS AND PROJECT MILESTONES BEING MET.

AND THE INCONSISTENCY WITH THE USER COUNTS WAS BASED ON THE METHODOLOGIES IN WHICH WE USED TO DETERMINE THE ACCOUNTS AT THE BEGINNING AND END OF THE PROJECTS.

AND THEY ALSO NOTED THAT WE SHOULD'VE PERFORMED THOSE COUNTS DURING THE SAME SEASON RATHER THAN DOING IT AT DIFFERENT SEASONS [INAUDIBLE].

SO AUDITORS ARE RECOMMENDING THAT THE CITY REVIEW AND FOLLOW REPORTING REQUIREMENTS OUTLINED IN THE LOCAL SYSTEMS PROGRAM GUIDELINES AND USE A CONSISTENT METHODOLOGY TO ACCURATELY REFLECT PROJECT OUTCOMES.

FINDING NUMBER SEVEN IDENTIFIED THAT THE CITY DID NOT COMPLETE REQUIRED UTILITY RELOCATION PROCEDURES FOR TWO PROJECTS TESTED.

ONE OF THE DEFICIENCIES WAS THAT WE DID NOT SUBMIT A CONTRACT CHANGE ORDER FOR THREE [INAUDIBLE] COVERS THAT BELONGED TO THE CITY.

AND ANOTHER ONE WAS THAT WE DID NOT NOTIFY UTILITY COMPANIES OF LIABILITY ASSOCIATED WITH RELOCATIONS. AUDITORS ARE RECOMMENDING THAT THE CITY IMPLEMENT UTILITY RELOCATION PROCEDURES OUTLINED IN THE LOCAL SYSTEMS MANUAL, INCLUDING COMPLETING APPLICABLE DOCUMENTATION FOR ANY UTILITY WORK PERFORMED.

AND THE LAST FINDING IS FINDING NUMBER EIGHT.

THEY IDENTIFIED THAT THE CITY DID NOT SUBMIT FIVE INVOICES FOR REIMBURSEMENT TO CALTRANS AT A MINIMUM OF EVERY SIX MONTHS AS REQUIRED, WHICH BASICALLY MEANS WE SUBMIT OUR BILLS LATE AND IT LOOKS LIKE WE WERE SUBMITTING OUR BILLS EIGHT TO 11 MONTHS AFTER WE WERE

[00:35:02]

SUPPOSED TO DO SO.

RECOMMENDATIONS FROM AUDITORS ARE TO REQUIRE BILLINGS TO CALTRANS BE SUBMITTED AT LEAST ONCE EVERY SIX MONTHS PER PROJECTS AND UPDATE INTERNAL CONTROL POLICIES TO ADDRESS THE REQUIREMENTS THAT, AT A MINIMUM, THE INVOICES FOR REIMBURSEMENT SUBMITTED EVERY SIX MONTHS [INAUDIBLE] THIS TABLE SHOWS YOU A SUMMARY OF THE DISALLOWED COSTS ASSOCIATED WITH EACH FINDING AND THE TOTAL TWO HUNDRED AND TWENTY FOUR THOUSAND SIX HUNDRED NINETY NINE DOLLARS.

THE AUDITOR RECOMMENDATIONS ARE TO DISALLOW THE 224,699 DOLLARS AND TO DO CITY A HIGHER RISK AGENCY AND PROVIDE ENHANCED OVERSIGHT OF CITY PROJECTS.

SO BASICALLY WHAT THIS MEANS IS THAT THEY IF HEADQUARTERS GOES AHEAD AND MOVES FORWARD WITH THE RECOMMENDATIONS, WE COULD POTENTIALLY REQUIRE THE CITY PAYMENTS BE AS REIMBURSEMENTS RATHER THAN AS AN ADVANCE FEE, WOULD REQUIRE THAT ADDITIONAL FINANCIAL REPORTING AND PROJECT MONITORING TAKE PLACE.

THEY COULD WITHHOLD THE AUTHORITY TO PROCEED TO THE NEXT PHASE OF A PROJECT UNTIL THEY RECEIVE PROOF OF EVIDENCE OF ACCEPTABLE PERFORMANCE IN A GIVEN PERIOD AND THAT PERFORMANCE. AND THEY COULD ALSO REQUIRE THE CITY OBTAIN TECHNICAL AND MANAGEMENT SYSTEMS. SO OUR NEXT STEPS, THE CITY MUST RESPOND BY THURSDAY, OCTOBER 15TH, AND ONCE WE RESPOND, THAT RESPONSE WILL BE ANALYZED AND ATTACHED TO THE FINAL REPORT.

AND HEADQUARTERS DIVISION AND LOCAL ASSISTANCE WILL THEN WORK CLOSELY WITH THE CITY TO DEVELOP A CORRECTIVE ACTION PLAN TO ADDRESS ALL OF THE ISSUES THAT WERE IDENTIFIED IN THE FINAL AUDIT REPORT.

SO CURRENTLY, STAFF WILL BE COORDINATING SPECIFICALLY PUBLIC WORKS IN THE FINANCE DEPARTMENT TO IDENTIFY A RESPONSE TO THE AUDIT REPORT AND TO ALSO INCLUDE STEPS CITY PLANS TO TAKE BASED ON THE RECOMMENDATIONS OF THE AUDITORS AND THAT CONCLUDES MY PRESENTATION.

ALL RIGHT. THANK YOU.

AUDIENCE PARTICIPATION IS LIMITED TO TWO MINUTES PER SPEAKER.

I WOULD LIKE TO MAKE A VERBAL COMMENT USING ZOOM PLEASE USE TO RAISE YOUR HAND BUTTON TO REQUEST TO SPEAK.

IF YOU'RE USING A TELEPHONE, PLEASE DIAL STAR NINE ON YOUR TELEPHONE KEYPAD.

YOU'LL BE CALLED UPON BY THE NUMBER YOU'RE CALLING FROM WHEN IT'S YOUR TURN TO SPEAK.

PLEASE STATE YOUR NAME FOR THE RECORD BEFORE YOU BEGIN YOUR COMMENT.

ONCE YOUR TIME IS EXPIRED, YOU WILL BE MUTED.

AT THIS TIME. DO YOU HAVE ANY COMMENTS FROM THE PUBLIC? JUST ONE MOMENT.

THANK YOU.

AT THIS TIME, THERE ARE NO COMMENTS.

ALL RIGHT THANK YOU.

MEMBER REYNA.

I CAN'T HEAR YOU MEMBER REYNA, YOU'RE STILL MUTED. SORRY THERE WE GO.

I WAS JUST SAYING THIS IS A PROBLEM THAT WE KNEW EXISTED AND WE KNEW THAT SOME TYPE OF AN OUTCOME WOULD BE COMING AND.

OF COURSE, THOSE RECOMMENDATIONS WOULD FIX SOME OF THE EXISTING PROBLEMS, AND I THINK WE NEED TO MOVE SWIFTLY TO IMPLEMENT AS MANY OF THESE RECOMMENDATIONS AS POSSIBLE.

AND THAT I WANTED TO ASK, ARE WE IN CONVERSATIONS WITH CALTRANS ABOUT A POSSIBLE SOLUTION OTHER THAN GIVING THE MONEY BACK? THAT WOULD BE A PROCESS THAT IS A PART OF THE NEXT STEPS.

IN DOING SO, THE AUDITORS NEEDED TO COMPLETE THEIR REPORT AND FINALIZE THEIR RECOMMENDATIONS BEFORE CALTRANS DECIDES ON THOSE SPECIFIC RECOMMENDATIONS.

SO THAT IS A PROCESS THAT WE WILL BE FOLLOWING UP ON AND LOOKING AT OPPORTUNITIES TO TO MITIGATE AND HOPEFULLY REDUCE ALL OR AT LEAST PART OF THE DISALLOWANCE.

I WANT TO MAKE CLEAR THAT WHAT THIS MEANS FOR THE COUNCIL AND FOR THE MEMBERS OF THE PUBLIC THAT ARE LISTENING IN AND WATCHING THIS IS THE DISALLOWANCE WOULD MEAN IF IT'S UPHELD BY CALTRANS, A DISALLOWANCE WOULD MEAN IT'S MONEY THAT THE CITY WOULD HAVE TO PAY BACK TO CALTRANS.

AND THERE'S A FINANCIAL IMPACT, A FINANCIAL HIT TO THE CITY BECAUSE OF THE ERRORS AND THE MISTAKES THAT WERE MADE IN HANDLING THESE VARIOUS GRANT APPLICATIONS AND PROJECTS THAT WE RECEIVE GRANT FUNDING FROM THE STATE FOR.

AND I THINK THAT'S BOTH ABOUT THE FINANCIAL HIT THAT WE BE HIT WITH FOR THE DISALLOWANCE.

BUT I THINK ALSO MOVING FORWARD, WE WE NEED TO BUILD THE STAFF CAPACITY TO BE ABLE TO

[00:40:06]

ADEQUATELY MANAGE THESE PROJECTS AS THEY MOVE FORWARD.

WHEN YOU'RE DEALING WITH STATE AND FEDERAL FUNDS OR STATE FUNDS THAT HAVE FEDERAL STRINGS ATTACHED. THERE IS A CONSIDERABLE AMOUNT OF ACCOUNTABILITY, ACCOUNTING AND RESPONSIBILITY MATRIX THAT NEED TO BE MET.

AND IT CAN BE AN ADMINISTRATIVE BURDEN FOR CITIES OF OUR SIZE THAT LACK THE STAFF CAPACITY, THAT LACK THE PROPER INVESTMENT AND STAFF TRAINING AND DEVELOPMENT TO MAKE SURE THAT WE CAN AVOID SUCH THINGS.

OTHERWISE, WE END UP PAYING THE PRICE AND HAVING TO PAY BACK FUNDS THAT WE DIDN'T HAVE TO BEGIN WITH. THANK YOU.

WAS THAT IT MR. REYNA?. YES, I JUST THINK AGAIN, AND I'M GOING TO REPEAT MYSELF.

LET'S MOVE SWIFTLY TO IMPLEMENT THIS RECOMMENDATIONS SO THAT WHEN WE GO TO THE TABLE WITH THEM, THAT WE CAN SHOW THAT WE ARE MOVING FORWARD TO AVOID ALL OF THIS ADDITIONAL BURDENS THAT THEY CAN PLACE ON US.

ASIDE FROM THE FACT THAT WE MIGHT HAVE TO PAY THE MONEY, WHICH I HOPE WE CAN FIND A SOLUTION TO A SOLUTION, RATHER THAN GIVING BACK THE MONEY THAT WE NEED TO SHOW THAT, YES, WE ARE MOVING FORWARD WITH THE RECOMMENDATIONS AND WE WILL BE GOOD STEWARDS AND MANAGING THESE PROJECTS THAT WE WERE SUPPOSED TO.

AND DANIEL I THINK THAT YOU HIT THE NAIL ON THE HEAD.

WE NEED TO PROVIDE OUR PEOPLE WITH THE NECESSARY KNOWLEDGE TO BE ABLE TO MANAGE THESE PROJECTS CORRECTLY.

THAT'S ALL FOR ME, MAYOR. THANK YOU.

THANK YOU, MR. REYNA, IF I COULD CLARIFY, ONE OF YOUR STATEMENTS IN THE VERY FIRST STATEMENT YOU MADE WAS THAT WE WERE AWARE OF THE CONFLICTS THAT EXISTED.

I THINK YOU'RE REFERRING TO THEY WERE MADE AWARE OF THEM LAST YEAR.

WE DIDN'T KNOW THERE WERE CONFLICTS DURING THOSE PERIODS.

SO THAT IS CORRECT. THAT IS CORRECT.

WE WERE MADE AWARE AFTER THE FACT.

CORRECT.

I'M GLAD YOU DID THAT.

YEAH. WE WERE MADE AWARE AFTER THE FACT.

AND SO WE KNEW THAT THIS ISSUES HAD CROPPED UP AND THAT THE AUDITORS WERE LOOKING AT THEM. AND THE BIGGEST ONE, ALL OF THEM ARE IMPORTANT AND THEY ALL NEED TO BE ADDRESSED.

BUT ONE OF THE BIGGEST ONES THAT WE FIRST HEARD ABOUT WAS THE CONFLICT OF INTEREST.

THANK YOU. MEMBER PALLARES.

I MEAN I READ THE REPORT.

SO BETWEEN NOW AND OCTOBER, WE'LL BE LOOKING FOR THINGS TO HELP REDUCE THE COSTS OR ELIMINATE COSTS, IS THAT CORRECT? I DON'T KNOW IF I WOULD PIN IT TO OCTOBER, I KNOW SO FOR OUR UNDERSTANDING ON CALTRANS END IS THAT THE AUDITORS WILL BE FORWARDING THEIR RECOMMENDATION THEIR REPORT, ALONG WITH THE CITY'S RESPONSE TO CALTRANS' HEADQUARTERS.

AND THEN FROM THERE, IT'S A BIT OF AN UNKNOWN WHEN CALTRANS WILL RESPOND AND ISSUE THEIR DECISION. I WILL TELL YOU THAT THE CITY OF ARVIN WENT THROUGH A SIMILAR PROCESS AND AN EXACT SAME SIMILAR AUDIT A COUPLE OF YEARS AGO, I BELIEVE THERE ABOUT 18 MONTHS TO TWO YEARS AFTER THE INITIAL AUDIT THE RECOMMENDATIONS WERE FINALIZED.

AND THEY'RE STILL WAITING FOR AND PENDING FOR A FINAL DECISION ON THEIR RESPONSE AND THE AUDITORS RECOMMENDATION SO I WOULD HOPE THAT CALTRANS WOULD MOVE EXPEDITIOUSLY SO THAT FROM OUR PERSPECTIVE, WE CAN PLAN AND ADJUST AND MAKE THE CHANGES THAT ARE NEEDED, ESPECIALLY IF IT'S A FINANCIAL RAMIFICATION THAT WE HAVE TO BUDGET FOR IN LIGHT OF ALL THE OTHER BUDGET CONSIDERATIONS WITH COVID-19.

IT WOULD BE HELPFUL TO HAVE THAT IRONED OUT AND KNOW WHAT WE'RE GOING AND MOVE FORWARD IN THE FUTURE WITH, PARTICULARLY AS PART OF THE MID-YEAR BUDGET OR THE FOLLOWING FISCAL YEAR BUDGET. BUT IT'S A BIT OF AN UNKNOWN HOW LONG CALTRANS WILL TAKE IN REVIEWING THE INFORMATION AND MAKE A FINAL DETERMINATION.

MAYOR CORTEZ COUNCIL MEMBER GARCIA HAS JOINED US.

ALL RIGHT. MEMBER GARCIA, WE'RE YOU ABLE TO HEAR THE PRESENTATION BEFORE US.

NO. OK, SO WE'LL KEEP GOING.

MEMBER PALLARES.

IS THERE A POSSIBILITY THAT THERE STILL MAY BE SOME OUT I DON'T KNOW THE WORD OR ANY OTHER INFORMATION THAT MAY BE HARD COPIES OR IN BOXES THAT WE HAVE TO DIG UP AND STILL NEED TIME TO RESEARCH.

[00:45:02]

NO, CALTRANS HAS COMPLETED THEIR AUDIT AND ALL THE DOCUMENTATION THEY REQUESTED FROM THE CITY, SO AT THIS POINT THE PROCESS IS JUST THAT THE AUDITORS' WRAPPING UP THEIR WORK AND THE REPORT BEING FORWARDED ON TO THE CALTRANS IS A LEADERSHIP AT THEIR HEADQUARTERS FOR THEM TO REVIEW AND MAKE A RECOMMENDATION OR MAKE A DECISION.

I WOULD ENVISION THAT PART OF THAT DECISION WILL INVOLVE ENGAGING WITH THE CITY AND DEVELOPING THE RESPONSE AND CORRECTIVE ACTION.

AND I THINK TO ALLUDING TO YOUR FIRST QUESTION, THAT CORRECTIVE ACTION COULD VARY DEPENDING ON WHAT THEY RECOMMEND.

OBVIOUSLY, WE ARE A DISADVANTAGED COMMUNITY WITH LIMITED RESOURCES AND HAVING TO REIMBURSE THE STATE BACK FOR TWO HUNDRED AND TWENTY FIVE THOUSAND DOLLARS IN LIGHT OF ALL THE OTHER PROJECTS AND NEEDS IN THE COMMUNITY THAT WE NEED, SUCH AS PEDESTRIAN CROSSINGS AT KEY INTERSECTIONS IN OUR COMMUNITY AND ANOTHER SAFETY IMPROVEMENTS THAT WILL BE PART OF OUR RESPONSE AND PART OF OUR, I GUESS, OUR MOTIVATION IN DEALING WITH CALTRANS TO MITIGATE THE IMPACT.

BUT BEAR NO MISTAKE THE CITY WILL BE HIT, WE WILL BE IMPACTED.

IT'S JUST A MATTER OF WHAT THAT IMPACT IS AND HOW EXTENSIVE IT WILL BE.

OK, THANK YOU. AND THANK YOU, MR. MAYOR. THANK YOU MEMBER GARCIA DO YOU WANT TO MAKE ANY COMMENTS I KNOW YOU WERE NOT PART OF THE PRESENTATION, BUT IS THERE ANYTHING YOU WANT TO COMMENT ON? HE'S NODDING NO. OK.

I CAN'T SEE HIM, SO.

ALL RIGHT, THANK YOU. YOU KNOW.

THERE'S NOT MUCH I CAN SAY ABOUT THIS, THE ONLY THING I WANT TO DO IS I WANT TO MAKE SURE THAT WE TAKE THIS USE IT AS A LEARNING EXPERIENCE, MAKE SURE WE GET THE TRAINING, MAKE SURE WE IMPLEMENT THE PROTOCOLS AND PUT IN PLACE THE SYSTEMS TO MAKE SURE THAT WE ADDRESS THIS ISSUE AND TO KEEP IT FROM EVER HAPPENING AGAIN.

THAT'S ALL STUFF THAT WE CAN DO.

AND IN THE MEANTIME, IF IT'S GOING TO TAKE CALTRANS TIME TO COME TO A DECISION ON WHAT THE AUDITORS RECOMMENDATIONS I DON'T KNOW HOW FAR THEY'LL ACCEPT THE AUDITORS RECOMMENDATIONS, MAYBE THIS WILL GIVE US THE OPPORTUNITY TO SHOW THEM THAT WE ARE ON TRACK. WE'VE MADE THE CHANGES TO ADDRESS THESE ISSUES, AND WE'VE MADE A GOOD FAITH EFFORT TO MAKE SURE WE FOLLOW THESE GUIDELINES TO A TEE MOVING FORWARD.

SO AND YES. I WAS GOING TO SAY THAT JUST TO REINFORCE AND MAKE CLEAR FOR MEMBERS OF THE PUBLIC AND THIS IS THE CURRENT ADMINISTRATION, THE CURRENT ORGANIZATION THAT WE HAVE NO ONE WAS PRESENT AT THE TIME WHEN THESE ISSUES AND THESE PROJECTS WERE GOING ON.

SO WE ARE MOVING FORWARD WITH NEW STAFF MEMBERS THAT ARE NOW FULLY AWARE OF THE ISSUES THAT AROSE BACK THEN AND THAT WERE IN CONFLICT WITH AND WITH APPLICABLE STATE LAWS AND REGULATIONS THAT WERE PERTINENT TO THESE GRANT PROJECTS.

YEP CORRECT. A GOOD STATEMENT.

THANK YOU FOR THAT.

ALL RIGHT. NO, ACTION NEEDED OTHER THAN THAT.

CORRECT. THAT'S CORRECT.

ALL RIGHT, THEN ITEM C.

[12) c. Adopt a Resolution Authorizing the City Manager to Negotiate and Execute an Agreement with R3 Consulting Group, Inc. in an Amount Not to Exceed $71,890 to Assist the City with Developing a Regulatory Compliance Plan with Cal Recycle and Develop a High-Level 10-Year Financial Model for the City’s Sanitation Enterprise Fund. (Bishop)]

ADOPT A RESOLUTION AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AGREEMENT WITH R3 CONSULTING GROUP INC.

IN AN AMOUNT NOT TO EXCEED SEVENTY ONE THOUSAND EIGHT HUNDRED AND NINETY DOLLARS TO ASSIST WITH THE CITY, WITH DEVELOPING A REGULATORY COMPLIANCE PLAN WITH CAL RECYCLE AND DEVELOP A HIGH LEVEL 10 YEAR FINANCIAL MODEL FOR THE CITY SANITATION ENTERPRISE FUND.

MS. BISHOP.

GOOD EVENING MAYOR AND COUNCIL MEMBERS I HAVE TO WAIT FOR MY PRESENTATION TO BE PUT UP.

ONE SEC. SO BEFORE YOU MAKE YOUR DECISION ON THIS ITEM, I DID WANT TO PROVIDE YOU WITH AN OVERVIEW OF THE CITY'S CURRENT POSITION WITH CAL RECYCLE REGULATIONS AND THE FUTURE COMPLIANCE REQUIREMENTS THAT ARE GOING TO BE COMING DOWN THE ROAD.

DIRECTOR BISHOP COULD YOU MAYBE GET A LITTLE CLOSER TO THE MIKE? I THINK I CAN HEAR YOU A LITTLE MORE FAINTLY THAN BEFORE.

CAN YOU HEAR ME. CAN YOU HEAR ME BETTER YET.

THERE YOU GO. OK, SO BEFORE YOU GUYS MAKE YOUR DECISION, I DID WANT TO PROVIDE YOU WITH AN OVERVIEW OF THE CITY'S CURRENT POSITION WITH CAL RECYCLE REGULATIONS AND THE COMPLIANCE REQUIREMENTS. AND SO, AS YOU GUYS KNOW, WE HAVE BEEN UNDER A COMPLAINT'S ORDER FOR SEVERAL YEARS NOW AND THAT WAS COMPLIANCE ORDER 016-001 AND THAT COMPLIANCE ORDER WAS FOCUSED ON EIGHTY THREE FORTY ONE, WHICH REQUIRED MANDATORY RECYCLING FOR COMMERCIAL

[00:50:06]

ENTITIES. AND I AM HAPPY TO ANNOUNCE THAT THAT WAS RECOMMENDED FOR COMPLETION TODAY AT THE BOARD MEETING.

SO EXACTLY 11:25 A.M.

THE CAL RECYCLE BOARD VOTED TO APPROVE THAT AND COMPLETE THE COMPLIANCE ORDER AND SO WE'VE EXERCISED GOOD FAITH EFFORT IN MEETING THE CORRECTIVE ACTION PLAN THAT WAS SET FORTH BY THE LOCAL IMPROVEMENT PLAN.

AND THE CITY WILL NO LONGER BE UNDER THIS COMPLIANCE ORDER SO I WANTED TO PROVIDE A LITTLE BIT OF BACKGROUND ON THAT.

NEXT SLIDE. AND SO PART OF THE GOOD FAITH EFFORT THAT WAS DETERMINED WAS THAT THE CITY PLANS TO IMPLEMENT A MANDATORY RESIDENTIAL CURBSIDE RECYCLING ORDINANCE.

SO IN ORDER TO MAKE THAT EFFECTIVE, WE WILL NEED TO ADOPT A RESOLUTION AND IDENTIFY A DATE WHEN THIS WILL BE MANDATORY AND PRIOR TO THE ISSUANCE OF THIS COMPLIANCE ORDER THE CITY DID REPORT THAT 50 OUT OF THE THREE THOUSAND TWO HUNDRED AND FORTY FIVE HOUSEHOLDS WERE SUBSCRIBED TO CURBSIDE RECYCLING SERVICES.

AND CURRENTLY THERE ARE 68 HOUSEHOLDS SUBSCRIBE TO CURBSIDE RECYCLING SERVICES.

OUT OF FOUR THOUSAND FIVE HUNDRED AND EIGHTEEN HOMES.

AND STAFF HAS REQUESTED A REQUEST FOR PROPOSAL FROM AMERICAN REFUSE TO PROVIDE THESE SERVICES AND IS AWAITING A RESPONSE.

SO ONCE WE GET ALL OF THAT RESPONSE AND THINGS NEGOTIATED WE'LL BE BRINGING THAT BACK TO COUNCIL FOR YOU.

NEXT SLIDE. AND THIS IS A TABLE THAT SHOWS THE MANDATORY COMMERCIAL RECYCLING AND THE BUSINESSES THAT WERE SUBJECT TO IT FROM 2017 TO 2020.

SO WE WERE SUCCESSFUL WITH A COMPLIANCE ORDER BECAUSE WE WERE ABLE TO GET A HIGHER PERCENTAGE OF BUSINESSES TO RECYCLE.

WE WENT FROM 45 PERCENT TO ABOUT 86 PERCENT AND THEN MULTI-FAMILY UNITS WITH FOUR UNITS OR MORE WERE ALSO SUBJECT TO THE RECYCLING AND THESE ARE SOLID WASTE GENERATORS THAT ARE GENERATING FOUR CUBIC YARDS OF WASTE PER WEEK OR MORE.

AND SO IF YOU SEE ON MULTI-FAMILY, WE WENT FROM A 14 PERCENT COMPLIANCE RATE TO 90 PERCENT COMPLIANCE RATE. I WANT TO POINT OUT THE CHANGES BETWEEN 2017 AND 18 TO 19 AND 20 TODAY, YOU SEE THE DRAMATIC DIFFERENCE IN THE INCREASE, AND THAT'S REFLECTIVE OF THE LEADERSHIP CHANGES AND LEADERSHIP PHILOSOPHY.

WE HAVE [INAUDIBLE] INSTILLED IN THE ORGANIZATION.

SO THAT BRINGS ME TO AB 1826 WHICH IS THE MANDATORY COMMERCIAL ORGANICS LAW, AND THIS IS BASICALLY THE ORGANIC'S COMPONENT OF 8341.

SO BY JANUARY ONE OF 2017 BUSINESSES THAT GENERATED, IT SHOULD SAY, BUSINESS AND MULTI-FAMILY UNIT OF FOUR OR MORE THAT GENERATED FOUR CUBIC YARDS OR MORE OF COMMERCIAL SOLID WASTE PER WEEK SHOULD HAVE ARRANGED FOR ORGANIC WASTE RECYCLING SERVICES.

BECAUSE CAL RECYCLE DETERMINED THAT THE STATEWIDE DISPOSAL OF ORGANIC WASTE IN 2020 DID NOT MEET THE REDUCTION GOAL OF 50 PERCENT ON SEPTEMBER 18TH OF THIS YEAR, ACCORDING TO THE THRESHOLD WILL BE REDUCED TO TWO CUBIC YARDS, AND THAT WILL HAVE A SIGNIFICANT IMPACT ON THE NUMBER OF BUSINESSES THAT ARE REQUIRED TO MEET THIS ORGANICS REQUIREMENT.

SO ON AUGUST 6TH OF THIS YEAR, MYSELF, THE DEPUTY PUBLIC WORKS DIRECTOR AND OUR SANITATION SUPERINTENDENT, DID MEET WITH CAL RECYCLE LOCAL ASSISTANTS REPRESENTATIVES TO DISCUSS THE UPCOMING MODIFICATIONS TO AB 1826.

AND PER THIS LAW, AS OF JANUARY 1ST, 2017, BUSINESSES SHOULD HAVE BEEN RECYCLING ORGANICS . THE CITY'S PLAN INDICATED THAT WE WOULD BE SENDING A LETTER TO ALL BUSINESSES THAT WERE SUBJECT TO THIS REQUIREMENT IN 2017.

I HAVE BEEN LOOKING FOR THAT LETTER AND I HAVE NOT BEEN SUCCESSFUL IN LOCATING IT.

AND SO IT IS MY BELIEF THAT WE NEVER SENT THAT LETTER TO THESE BUSINESSES.

SO IF YOU LOOK HERE AT THE 4 CUBIC YARD THRESHOLD, WE HAVE ONE HUNDRED AND NINETEEN BUSINESSES, WHICH THIS IS THE CORRECT NUMBER, BY THE WAY, ON THE STAFF REPORT, I HAVE INCORRECT NUMBERS.

SO I APOLOGIZE FOR THAT.

AND YOU HAVE ONE HUNDRED AND NINETEEN BUSINESSES THAT ARE SUBJECT TO THIS REQUIREMENT.

ONCE IT LOWERS TO TWO CUBIC YARDS THERE WILL BE TWO HUNDRED AND FORTY SEVEN BUSINESSES IN

[00:55:01]

MULTI-FAMILY THAT ARE SUBJECT TO THIS REQUIREMENT.

WE DID AN ANALYSIS OF HOW MANY ENTITIES ARE CURRENTLY RECYCLING ORGANICS AND THERE ARE ONLY FOUR.

LOCAL AGENCIES WILL HAVE UNTIL DECEMBER 31ST OF THIS YEAR TO IMPLEMENT THESE CHANGES AND THE REQUIREMENTS THAT ARE SET FORTH BY THE AB 1826.

SO BECAUSE THE CITY'S CURRENTLY GOT SUCH A LOW, CAL RECYCLE DID INDICATE THAT THEY WILL BE ISSUING A LETTER OF CONCERN.

AFTER THIS LETTER IS ISSUED, THE CITY WILL NEED TO PROVIDE A PLAN OF ACTION TO PROCEED WITH MEETING THE REQUIREMENTS.

AND THIS IS PART OF THE REASON THAT STAFF IS BRINGING THIS ITEM FORWARD.

WE'VE INCORPORATED THE ORGANICS RECYCLING INTO THE REQUEST FOR PROPOSAL FROM AMERICAN REFUSE AS WELL, AND WE'LL BE DRAFTING A LETTER INFORMING BUSINESSES OF THE COMPLIANCE REQUIREMENTS AND MAKING NECESSARY OUTREACH AND EDUCATION TO ENSURE COMPLIANCE.

ANY QUESTIONS ON AB 1826 BEFORE I PROCEED TO SB 1383.

I HAVE A QUESTION.

THIS DOES NOT APPLY TO HOUSEHOLDS, RIGHT? IT'S ONLY FOR BUSINESSES.

AM I CORRECT? THAT IS CORRECT.

OK. THANK YOU I HAVE NO FURTHER QUESTIONS AT THIS POINT.

SO I WILL PROCEED WITH PROVIDING A BRIEF OVERVIEW OF SB 1383.

SB 1383 IS THE MOST SIGNIFICANT WASTE REDUCTION MANDATE THAT'S BEEN ADOPTED IN CALIFORNIA IN THE LAST 30 YEARS.

THIS LEGISLATION REQUIRES THAT THE STATE REDUCE ORGANIC WASTE, WHICH IS FOOD WASTE, GREEN WASTE AND PAPER PRODUCTS DISPOSAL BY 75 PERCENT BY 2025.

IN OTHER WORDS, THE STATE MUST REDUCE ORGANIC WASTE DISPOSAL BY MORE THAN 20 MILLION TONS A YEAR BY TWENTY TWENTY FIVE.

THE LAW ALSO REQUIRES THAT THE STATE INCREASE EDIBLE FOOD RECOVERY BY 20 PERCENT, BY TWENTY TWENTY FIVE. THIS WILL HAVE SIGNIFICANT POLICY AND LEGAL IMPLICATIONS FOR OUR JURISDICTION.

SB 1383 ESTABLISHES A STATEWIDE TARGET AND NOT A JURISDICTION TARGET.

SO WHAT THAT MEANS IS THAT BECAUSE IT'S A STATEWIDE TARGET, JURISDICTIONS WILL BE REQUIRED TO IMPLEMENT SPECIFIC ACTIONS BASED ON THE ADOPTED REGULATIONS ESTABLISHED BY CAL RECYCLE. WHEN WE'RE TALKING ABOUT ORGANIC WASTE FOR PURPOSES OF SB 1383 WE'RE TALKING ABOUT GREEN WASTE, WOOD WASTE FOOD WASTE FIBER SUCH AS PAPER AND CARDBOARD.

ORGANIC WASTE COMPRISES TWO THIRDS OF OUR CURRENT WASTE STREAM AND FOOD WASTE ALONE IS THE LARGEST WASTE STREAM IN CALIFORNIA.

ACCORDING TO THE CAL RECYCLE WASTE CHARACTERIZATION STUDY DONE IN 2014, FOOD WASTE COMPRISED 18 PERCENT OF WHAT WE DISPOSED.

SB 1383 ALSO REQUIRES CALIFORNIA TO RECOVER 20 PERCENT OF DISPOSED EDIBLE FOOD.

NEXT SLIDE. SO ONE OF THE BIGGEST REASONS THAT SB THIRTEEN EIGHTY THREE WAS ADOPTED IS BECAUSE OF CLIMATE CHANGE.

SO ALTHOUGH CLIMATE CHANGE SEEMS LIKE A DISTANT PROBLEM, THERE ARE OTHER, MORE LOCALIZED ENVIRONMENTAL IMPACTS ASSOCIATED WITH LANDFILL DISPOSAL OF ORGANIC WASTE THAT HAVE IMMEDIATE NEGATIVE IMPACTS ON OUR COMMUNITY.

WE'RE STARTING TO SEE THE EFFECTS OF CLIMATE CHANGE IN CITIES AND COUNTIES THROUGHOUT CALIFORNIA, REDUCING THE GAS NOW THROUGH ACTIONS LIKE ORGANIC WASTE RECYCLING WILL SIGNIFICANTLY REDUCE EMISSIONS AND WILL REDUCE THE IMPACTS OF CLIMATE CHANGE IN OUR LIFETIME.

SB 1383 ESTABLISHES VERY IMPRESSIVE ORGANIC WASTE REDUCTION TARGETS.

SO THIS IS A TIMELINE OF THE SB THIRTEEN EIGHTY THREE REQUIREMENTS, AS YOU SEE IN TWENTY TWENTY, THE STATE TARGET WAS TO REDUCE ORGANIC WASTE BY 50 PERCENT THAT WAS NOT MET.

SO THEY TOOK THE ACTION OF REDUCING THE THRESHOLD FOR AB 1826 TO TWO CUBIC YARDS IN ORDER TO HELP THEM MEET THE GOAL OF SEVENTY FIVE PERCENT REDUCTION BY TWENTY TWENTY FIVE.

SO BY 2022 CAL RECYCLE EXPECTS JURISDICTION'S WILL BE PLANNING AND MAKING PROGRAMMATIC AND BUDGETARY DECISIONS REGARDING THE REQUIREMENTS OF SB 1383.

[01:00:05]

THEY CAN BEGIN ENFORCEMENT ACTION AGAINST JURISDICTION BEGINNING JANUARY 1ST, 2022, AND THERE'S NO GOOD FAITH EFFORT REVIEW WHEN CAL RECYCLE BEGINS TO MONITOR FOR ENFORCEMENT.

SO EITHER WE IMPLEMENTED IT OR WE DIDN'T.

REGULATIONS ARE NOT FINALIZED CURRENTLY, HOWEVER, MAJOR COMPONENTS ARE NOT EXPECTED TO CHANGE. SO BY TWENTY TWENTY TWO, WE AS A CITY ARE EXPECTED TO PROVIDE ORGANIC WASTE COLLECTION SERVICES TO ALL RESIDENTS AND BUSINESSES.

THIS MEANS FOR ALL ORGANIC WASTE, INCLUDING GREEN WASTE, WOOD WASTE FOOD WASTE MANURE, FIBERS, ETC..

CONTAINERS HAVE PRESCRIBED COLORS AND LABELING REQUIREMENTS.

SO CURRENTLY, WE NEED TO ASSESS OUR CURRENT COLLECTION PROGRAMS AND DETERMINE WHAT MAY NEED TO BE EXPANDED OR CHANGED, AND RS3 CAN HELP THE CITY WITH THIS PROCESS.

WE'RE ALSO REQUIRED TO ESTABLISH EDIBLE FOOD RECOVERY PROGRAMS FOR ALL COMMERCIAL EDIBLE [INAUDIBLE].

THIS MEANS ENSURING THAT OUR EDIBLE FOOD RECOVERY ORGANIZATIONS THAT HAVE ENOUGH CAPACITY TO SERVICE OUR LOCAL DEFICITS.

WE ALSO HAVE TO CONDUCT EDUCATION AND OUTREACH TO ALL GENERATORS.

AND THIS WILL REQUIRE EDUCATION TO BE PROVIDED TO EVERYONE AND WHEN APPLICABLE, PROVIDED IN SEVERAL DIFFERENT LANGUAGES.

OUR JURISDICTION WILL ALSO BE REQUIRED TO PROCURE CERTAIN LEVELS OF COMPOST RENEWABLE GAS, ELECTRICITY, HEATING APPLICATIONS OR ELECTRICITY FROM BIOMASS CONVERSION PRODUCED FROM ORGANIC WASTE.

WE'RE ALSO REQUIRED TO PLAN AND SECURE ACCESS FOR RECYCLING AND EDIBLE FOOD RECOVERY CAPACITY AND WILL BE REQUIRED TO MONITOR COMPLIANCE AND CONDUCT ENFORCEMENT WITH MONITORING AND EDUCATION BEGINNING IN 2022.

AND ENFORCEMENT MUST BEGIN JANUARY ONE OF TWENTY TWENTY FOUR.

IN ORDER TO DO THIS, WE'LL NEED TO ADOPT AN ORDINANCE OR ANY SIMILARLY ENFORCEABLE MECHANISM THAT'S CONSISTENT WITH THE REGULATION REQUIREMENTS OUTLINED BY SB 1383.

NEXT SLIDE. SO KERN COUNTY IS CURRENTLY IN THE PROCESS OF DEVELOPING A COMPOSTING FACILITY.

NEXT SLIDE SORRY. AT THE SHAFTER WASCO LANDFILL, THIS WILL PROVIDE THE OPPORTUNITY FOR OUR STAFF TO HAUL ORGANIC WASTE INCLUSIVE OF FOOD WASTE TO THE SHAFTER WASCO LANDFILL.

THIS IS A SNAPSHOT OF LOCAL REQUIREMENTS THAT WE'LL NEED TO MEET.

OUR JURISDICTION WILL HAVE TO MAINTAIN ALL INFORMATION ASSOCIATED WITH ORDINANCES, CONTRACTS AND FRANCHISE AGREEMENTS.

WE'LL HAVE TO PERFORM COMPLIANCE MONITORING AND EDUCATION, AND WE'LL ALSO HAVE TO BE THE ENFORCEMENT AGENCY.

YOU CAN GO TO THE NEXT SLIDE. SO BECAUSE OF THE COMPLEXITY OF THE UPCOMING LEGISLATION, CITY STAFF IS REQUESTING THAT THE CITY COUNCIL AUTHORIZE THE CITY MANAGER TO ENTER INTO AND NEGOTIATE AN AGREEMENT WITH R3 CONSULTING TO BETTER ASSIST CITY STAFF IN PLACING THE CITY IN THE BEST POSITION TO IMPLEMENT THE LEGISLATIVE REQUIREMENTS SURROUNDING ORGANICS RECYCLING MANDATES.

R3 CONSULTING WILL BE ASSISTING THE CITY WITH PROVIDING TRAINING AND EDUCATION OF THE CITY COUNCIL AND STAFF MEMBERS AS WELL AS THE PUBLIC.

R THREE CONSULTING WILL ALSO ASSIST THE CITY WITH DEVELOPING A 10 YEAR FINANCIAL MODEL AND PROVIDE A FIVE YEAR SANITATION GRADE ADJUSTMENT MODEL TO ENSURE APPROPRIATE COST RECOVERY. ALSO IN 2014 IDENTIFIED THE CITY PROCURED R3 CONSULTING TO PERFORM AN EFFICIENCY ANALYSIS OF THE SANITATION DEPARTMENT.

UNFORTUNATELY, THIS STUDY WAS NEVER FINALIZED AS CITY STAFF BECAME UNRESPONSIVE.

SO AS PART OF THIS ANALYSIS, STAFF WOULD LIKE THE OPPORTUNITY TO FINALIZE THIS REPORT.

STAFF REQUESTED PROPOSALS FROM TWO ORGANIZATIONS AND VERIFIED REFERENCES R THREE CONSULTING OFFERED THE MOST COST EFFECTIVE BALANCE PROPOSALS AND METHODS [INAUDIBLE].

AND R3 CONSULTING HAS PROVIDED SERVICES TO THE CITY OF SHAFTER, AND THE COUNTY OF KERN, AND BOTH WERE VERY SATISFIED WITH THEIR SERVICE.

R3 CONSULTING ALSO HAS EXPERIENCE WORKING WITH CAL RECYCLE AND HAS ESTABLISHED A GOOD RELATIONSHIP WITH THEM.

THEY HAVE A GOOD GRASP OF SOLID WASTE RECYCLING AND ORGANICS MANDATES, AND STAFF IS CONFIDENT THAT R3 CONSULTING WILL GUIDE STAFF IN DEVELOPING ACTION PLANS APPROPRIATE NEEDED TO MEET THE CAL RECYCLE REQUIREMENTS.

YOU GUYS HAVE ANY QUESTIONS?

[01:05:19]

THERE WE GO, I CAN'T UNMUTE MYSELF EITHER.

WE'RE HAVING TECHNICAL DIFFICULTIES TODAY.

OK, AUDIENCE PARTICIPATION IS LIMITED TO TWO MINUTES PER SPEAKER.

IF YOU WOULD LIKE TO MAKE A VERBAL COMMENT USING ZOOM, PLEASE USE THE RAISED HAND BUTTON TO REQUEST TO SPEAK.

IF YOU'RE USING A TELEPHONE, PLEASE DIAL STAR NINE ON YOUR TELEPHONE KEYPAD.

YOU'LL BE CALLED UPON BY THE NUMBER YOU'RE CALLING FROM WHEN IT'S YOUR TURN TO SPEAK.

PLEASE STATE YOUR NAME FOR THE RECORD BEFORE YOU BEGIN YOUR COMMENT.

ONCE YOUR TIME IS EXPIRED, YOU WILL BE MUTED.

AT THIS TIME DO WE HAVE ANY COMMENTS FROM THE PUBLIC, MADAM CLERK.

AND YOU'RE MUTED. MADAM CLERK. NO COMMENTS AT THIS TIME.

THANK YOU. COMMENTS FROM THE MEMBERS WE WILL START WITH MEMBER REYNA.

THANK YOU MAYOR. I HAVE A QUESTION, IS THERE ANY FUNDING FROM THE STATE TO IMPLEMENT THIS PROGRAM'S. [INAUDIBLE] FUNDING THAT I'VE SEEN THAT IS AVAILABLE IS TO DEVELOP THE INFRASTRUCTURE FOR COMPOSTING.

I HAVEN'T SEEN ANYTHING [INAUDIBLE] IMPLEMENTATION.

AND THIS STUDY THAT WAS THAT INCOMPLETE BECAUSE OF A LACK OF RESPONSE FROM OUR STAFF, YOU SAID THERE IS AN OPPORTUNITY TO COMPLETE IT AT THIS POINT.

WILL IT COST ANY ADDITIONAL MONEY ASIDE FROM THE SEVENTY ONE THOUSAND DOLLARS PROPOSED? IT IS INCLUDED IN THEIR PROPOSAL.

AND SO WHAT THEY WILL DO IS REVISIT OUR CURRENT OPERATIONS AND BRING THAT STUDY UP TO DATE. OK, SO BECAUSE THAT'S, YOU KNOW, IT'S FROM 2014, YOU SAID, RIGHT? SO THAT IS SIX YEARS OLD IS THE DATA GOING TO BE USABLE, YOU KNOW, SIX YEARS LATER? THEY'RE GOING TO UTILIZE CURRENT DATA [INAUDIBLE].

ALL RIGHT. AND WHAT ARE THE CONSEQUENCES OF NONCOMPLIANCE? DO WE KNOW? AND THAT WOULD BE DEPENDENT ON CAL RECYCLE'S DECISION SO THEY COULD FINE US.

I DON'T KNOW WHAT THOSE FINES LOOK LIKE AT THIS TIME.

HOWEVER, THEY HAVE ALLUDED TO THAT.

OK, I HAVE NO FURTHER QUESTIONS.

THANK YOU. THANK YOU, MEMBER PALLARES.

NO QUESTIONS. THANK YOU.

ALL RIGHT. MEMBER GARCIA? HE'S MUTED. ALL RIGHT.

CLERK THE ONE WITH THE POWER NEEDS TO LET IT GO.

NO, I MEAN, I JUST IT SEEMS LIKE THERE'S MORE REGULATION COMING DOWN FROM THE STATE WITHOUT THE TECHNICAL SUPPORT AS BUT IT MEETINGS AND WITH WHICH IT SEEMS LIKE MANY OF THE OTHER BIGGER CITIES AND NEIGHBORING CITIES HAVE ALREADY DONE WHAT WE'RE TEEING UP TO DO SO YOU HAVE MY RESOUNDING SUPPORT FOR ALL RIGHT THANK YOU.

AS FAR AS MY COMMENTS, BASICALLY, WE'VE HAD A, I WOULDN'T SAY, CONTENTIOUS RELATIONSHIP WITH CAL RECYCLE OVER THE LAST DECADE OR SO.

BUT, YOU KNOW, PART OF MY ARGUMENTS FOR MY POSITION WAS WE'VE MET THEIR DIVERSION RATES SINCE OUR DISCUSSIONS HAD BEGUN WITH CAL RECYCLE.

AND SO BUT I LOOK AT THE CARDBOARD BINS THAT WE HAVE PLACED OUT IN THE COMMUNITY.

RIGHT. THE ONES OVER ON POSO AND OVER BY THE BASEBALL DIAMOND NOW OVER OFF OF [INAUDIBLE] I BELIEVE. AND THOSE THINGS ARE FULL EVERY WEEK.

THEY'RE FULL WITH CARDBOARD AND PEOPLE ARE USING THEM.

AND I THINK IT'S BEEN A GOOD PROGRAM.

AND SO I THINK WE NEED TO HAVE A FULL THROATED EFFORT TO TRY TO IMPLEMENT AS MANY PROGRAMS AS WE CAN. I THINK THE BLUE CANS ARE GREAT IDEAS, BUT I DON'T WANT TO TANGLE WITH CAL RECYCLE ANYMORE.

I THINK IN THE PAST THEY'VE THREATENED US WITH TEN THOUSAND DOLLAR A DAY FINES FOR NONCOMPLIANCE. SO LET'S GET IT GOING THAT'S THE WAY I LOOK AT IT SO THOSE ARE MY COMMENTS. MR. MAYOR, IF I CAN ADD AND THIS TOPIC AND THIS ISSUE WITH CAL RECYCLE IS ON EVERY CITY'S PRIORITY LIST.

[01:10:01]

AND WE REQUESTED ASSISTANCE AND WITH THE HOPE THAT WE CAN BE DEFERRING SOME OF THESE RECYCLE POLICIES UNTIL A POST COVID WORLD.

UNFORTUNATELY, CAL RECYCLE IS COMMITTED TO MOVING FORWARD AND FOR THE PUBLIC AND FOR THE COUNCIL TO BE MINDFUL AND AWARE THAT CAL RECYCLE AND THE STEPS AND ACTIONS THAT THE CITY HAS TO TAKE UNDOUBTEDLY WILL LIKELY RESULT IN FEE INCREASES, TO OUR CUSTOMERS.

THERE IS NO DOUBT ABOUT IT.

THERE'S NO WAY AROUND IT.

WE EITHER PASS ON THE COST TO KEEP OUR SANITATION DEPARTMENT FINANCIALLY STABLE OR WE FACE THE WRATH OF CAL RECYCLE AND THE FEES AND PENALTIES THAT WOULD IMPOSE ON US THAT WOULD STILL BE PASSED ON TO OUR CUSTOMERS.

AND SO FOR OUR CUSTOMERS THAT ARE GOING TO BE FEELING THIS PAIN DOWN THE ROAD, THIS IS SOMETHING THAT UNFORTUNATELY THE CITY HAS NO POWER OR CONTROL OVER.

AND IF THEY REALLY WANT TO SPEAK TO SOMEONE AND VOICE THEIR CONCERN, WE ENCOURAGE THEM TO CONTACT THEIR ASSEMBLY MEMBER THEIR STATE SENATOR AND VOICE THEIR CONCERNS AND THEIR OPINIONS NOW, BEFORE CAL RECYCLE IMPLEMENTS THESE POLICIES AND THEN FORCES ALL THE CITIES TO GO DOWN A PATH THAT FORCES FEE INCREASES FOR EVERYONE.

ALL RIGHT, THANK YOU.

MAYOR I'D LIKE TO SAY SOMETHING IF I MAY.

YOU MAY.

THIS OUR POLICIES THAT THE STATE IS IMPOSING UPON US CAL RECYCLE, BUT WE CAN ALSO ALLEVIATE SOME OF THESE ISSUES THROUGH EDUCATION.

AND I KNOW THAT'S ONE OF THE ASPECTS OF THIS PROGRAM THAT IS GOING TO BE IMPLEMENTED.

BUT I CAN TELL YOU FROM MY OWN EXPERIENCE, WE RECYCLE A LARGE AMOUNT OF WHAT WE USE HERE AT OUR HOUSEHOLD.

AND OUR DIRECTOR MENTIONED THAT FOOD IS ONE OF THE BIGGEST WASTE, 18 PERCENT, AND ALL OF THAT CAN BE COMPOSTED.

AND SO I THINK THAT IF EVERYBODY GETS ON THE BANDWAGON, WE MIGHT BE ABLE TO ALLEVIATE SOME OF THOSE COSTS, IF NOT AS MUCH WASTE IS GOING INTO OUR TRASH BINS.

SO I JUST WANTED TO BRING THAT UP.

AND IF THERE ARE NO FURTHER DISCUSSIONS I MOVE TO APPROVE.

SO THAT'S A MOTION MEMBER REYNA.

YES. PALLARES SECONDS.

SO THAT'S A SECOND BY MEMBER PALLARES.

WE WILL ENTERTAIN A VOTE BY ROLL-CALL MADAM CLERK.

MAYOR CORTEZ. CORTEZ, AYE. COUNCIL MEMBER GARCIA.

CAN YOU HEAR ME.

HE'S ON MUTE. HE'S FRUSTRATED. LET'S UNMUTE HIM THERE WE GO.

NOT A FROZEN SPACE THAT WAS ANYWAYS, THAT'S A YES, BUT JUST FY IT SAYS THAT THE HOST IS NOT ALLOWING ME TO UNMUTE.

I DON'T KNOW. AND SO.

COUNCIL MEMBER PALLARES.

PALLARES, AYE.

COUNCIL MEMBER REYNA.

REYNA YES.

MOTION BY COUNCIL MEMBER REYNA, SECOND BY COUNCIL MEMBER PALLARES TO APPROVE ITEM 12 C MOTION IS APPROVED WITH FOUR AYES WITH MAYOR PRO TEM ESPITIA ABSENT.

PERFECT. THANK YOU.

AND YEAH, JUST FOR THE RECORD, WE HAVE NO POWER TO UNMUTE OURSELVES SO YOU GUYS HAVE FULL CONTROL OF IT.

WELL, I KNOW WHO'S. I DIDN'T SAY YOU WERE IN POWER.

I KNOW WHO'S IN POWER CLARIFICATION.

TECHNICAL DIFFICULTIES.

WE'RE HAVING TECHNICAL ISSUES BECAUSE ON MY SITE, IT DOES SAY THAT WE'RE ALLOWING THE PANELISTS TO UNMUTE THEMSELVES. SO I'M NOT SURE WHAT'S GOING ON.

ALL RIGHT. WE'LL GET THROUGH IT THOUGH.

BUT JUST KNOW THAT YOU'RE GOING TO HAVE TO UNMUTE US.

[12) d. Adopt a Resolution Approving the Amended Salary Schedule for the Fiscal Year 2020-2021 in Compliance with the California Public Employees’ Retirement System (CalPERS) Requirement for Publicly Available Pay Schedules. (Ortiz Hernandez)]

ITEM D AS IN DAVID ADOPT THE RESOLUTION APPROVING THE AMENDED SALARY SCHEDULE FOR THE FISCAL YEAR 2020-2021 IN COMPLIANCE WITH THE CALIFORNIA PUBLIC EMPLOYEES RETIREMENT SYSTEM CALPERS REQUIREMENT FOR PUBLICLY AVAILABLE PAY SCHEDULES.

MR. ORTIZ-HERNANDEZ.

YES MAYOR AND MEMBERS OF THE COUNCIL.

THIS IS AN ITEM THAT WAS INITIALLY DISCUSSED DURING THE BUDGET PROCESS AND INCORPORATED INTO A NEW OPERATING BUDGET.

AND THE CITY HAD PREVIOUSLY OPERATED WITH ONE HYBRID POSITION THAT WAS A PART TIME BUILDING INSPECTOR, AND PART TIME CODE ENFORCEMENT OFFICER.

AS PART OF THE NEW FISCAL YEAR BUDGET THAT WENT INTO EFFECT JULY ONE, THAT POSITION WAS TRANSFERRED TO BE A FULL TIME BUILDING INSPECTOR IN ORDER TO PROVIDE AND ENSURE THAT WE

[01:15:03]

HAVE A SUCCESSION PLAN IN CONTINUITY AS WE CONTINUE TO NAVIGATE THE BUILDING INSPECTION NEEDS OF THE CITY FOR THE DEVELOPMENT THAT'S OCCURRING.

AS YOU NOTED OR AS SHOWN ON THE SCREEN BEFORE YOU, IS A COPY OF THE PROPOSED SALARY SCHEDULE HIGHLIGHTED IS THE REFERENCES TO THE BUILDING INSPECTOR ONE, WHICH IS AN HOURLY POSITION, AND THE CHIEF BUILDING INSPECTOR THAT OVERSEES ALL ASPECTS OF BUILDING INSPECTION FOR THE CITY, WHICH IS CURRENTLY IT EXEMPTS OUR SALARY POSITION.

SO IF THERE'S ANY OTHER ADDITIONAL QUESTIONS I CAN ANSWER FOR YOU REGARDING TO THAT CHANGE? ALL RIGHT.

THANK YOU. AUDIENCE PARTICIPATION IS LIMITED TO TWO MINUTES PER SPEAKER.

IF YOU'D LIKE TO MAKE A VERBAL COMMENT USING ZOOM, PLEASE USE THE RAISE HAND BUTTON TO REQUEST TO SPEAK. IF YOU'RE USING YOUR TELEPHONE, PLEASE DIAL STAR NINE ON YOUR TELEPHONE KEYPAD. YOU'LL BE CALLED UPON BY THE NUMBER YOU'RE CALLING FROM WHEN IT'S YOUR TURN TO SPEAK. PLEASE STATE YOUR NAME FOR THE RECORD BEFORE YOU BEGIN YOUR COMMENT.