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MINUTES REGULAR CITY COUNCIL MEETING August 24, 2010 4:34 P.M. City of Watsonville Council Chambers 275 Main Street, 4th Floor CONTENTS 1.0 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 8.1 5.0 Roll Call Motion Approving Disbursements Resolution Reject Claims: --138-10 Subrogation Mercury InsDora L. Garcia --139-10 Francisco/Maria Gonzalez Reso 140-10 Award Bid/Terra Renewal Services Inc/WW-10-01 Reso 141-10 Award Bid/Turnupseed Electric Service/WA-10-01 Reso 142-10 Approve Associate Membership/CEDA Motion Approve Council Response/Grand Jury Report See Item 5.0 Joint Reso 143-10 (CM)/15-10 (RA) Affirm Façade Imprvmt Grant Prog Bulk Pkng, Residential, Educational Programs --Reso 144-10 Establish/Adopt 5-Yr Bulk Pkng Prog --Reso 145-10 Establish/Adopt Educ Pkng Permit -Reso 146-10 Establish/Adopt Resid Parkg Permit Items Removed from Consent Agenda 10.0 1.0 2.0 3.1 3.2 3.3 8.2 6.1 6.2 6.3 6.4 6.5 4.7 Mot Approve Attend Request/2010 League of CA Confer Report Closed Session 6:45 P.M. Session Roll Call Pledge of Allegiance Oral Communications Proclamation/”Let’s Move Cities & Towns” Report Out of Closed Session Limits Temp Pub Prkng/570 Main --147-10 Amend Off-Street Pkg Jennings Business Park/Applicant Withdrew Application/Item Not Considered by Council Overrule Object/Abate Nuisance/45 & 45A Packard --Reso 148-10 Overrule Object/Abate Nuisance/612 Peartree Reso 149-10 Cigarrette Outlets (Tobacco Retailing Licence) --Ord Intro Add Chapter 46 Tobacco Retailer License --Reso 150-10 Establish/Set Fee PG&E SmartMeter Moratorium Ord 1262-10 Establish Moratorium 4:34 P.M. 1.0 ROLL CALL: Mayor Alejo (arrived at 4:58 P.M.), Mayor Pro Tempore Bilicich, and Council Members Caput, Martinez, Petersen (arrived at 4:39 P.M.), and Rivas were present. Member Bersamin was absent. 4.0 CONSENT AGENDA MOTION: It was moved by Member Rivas, seconded by Member Caput, and carried by the following vote that Consent Agenda Items 4.1 through 4.6 and Item 4.8 be approved: AYES: MEMBERS: Bilicich, Caput, Martinez, Rivas Vol 59 Min-C08-24-10.docx 337 NOES: ABSENT: 4.1 MEMBERS: MEMBERS: None Bersamin, Petersen, Alejo APPROVING REPORT OF DISBURSEMENTS It was reported that the City Manager had recommended favorably on claims for the warrants for various funds, which were referred to Council as follows: --August 24, 2010 Trust Fund 933.06 Employee Cash Deduction Fund 595,620.57 General Fund 219,651.06 Investment Fund 3,109.28 CDBG 20,405.16 Cal Home Grant 7,511.76 Police & Rec Gang Prevention Grant 30.24 Library Fund 46,544.32 Special Grants 211.22 PEG Grants 389.21 Parks Development Fund 0.00 Gas Tax Fund 22,590.73 Parking Garage Fund 3,438.84 Public Facilities Impact Fees 20,377.92 Impervious Area Impact Fee Fund 0.00 Special District Funds 561.58 Capital Projects Fund 242.00 Sewer Service Fund 97,169.50 Water Operating Fund 82,732.35 Airport Fund 3,509.17 Waste Disposal Fund 277,950.23 Landfill Closure Fund Workers Compensation/Liability Fund Health Insurance Fund 13,998.32 Narcotics Forfeiture Pending 128,231.07 Total 4.2 $1,545,207.59 RESOLUTIONS REJECTING CLAIMS FOR DAMAGES: (a) RESOLUTION NO. 138-10 (CM): A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE REJECTING CLAIM OF SUBROGATION BY MERCURY INSURANCE GROUP, ON BEHALF OF DORA L. GARCIA, FOR DAMAGES (b) RESOLUTION NO. 139-10 (CM): Vol 59 Min-C08-24-10.docx 338 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE REJECTING CLAIM OF FRANCISCO J. GONZALEZ AND MARIA C. GONZALEZ FOR DAMAGES 4.3 RESOLUTION NO. 140-10 (CM): A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE AWARDING $97,615 BID TO TERRA RENEWAL SERVICES, INC., A CORPORATION, FOR THE REMOVAL OF BIOSOLIDS FROM THE CITY’S WASTEWATER TREATMENT FACILITY, PROJECT NO. WW-10-01 (FUNDED FROM WATER ENTERPRISE FUND) 4.4 RESOLUTION NO. 141-10 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE AWARDING $331,500 BID TO TURNUPSEED ELECTRIC SERVICE, A CORPORATION, FOR THE WELL WATER SYSTEM MODIFICATIONS, PROJECT NO. WA-10-01 (FUNDED FROM THE CAPITAL IMPROVEMENT PROGRAM WATER ENTERPRISE FUND) 4.5 RESOLUTION NO. 142-10 (CM): A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE APPROVING ASSOCIATE MEMBERSHIP BY THE CITY OF WATSONVILLE IN THE CALIFORNIA ENTERPRISE DEVELOPMENT AUTHORITY AND THE EXECUTION OF AN ASSOCIATE MEMBERSHIP AGREEMENT RELATING TO ASSOCIATE MEMBERSHIP OF THE CITY IN THE AUTHORITY 4.6 MOTION APPROVING CITY COUNCIL RESPONSE TO FINDINGS & RECOMMENDATIONS CONTAINED IN 2009-2010 FINAL RESPONSE FROM THE SANTA CRUZ GRAND JURY PERTAINING TO CITY OF WATSONVILLE 4.7 SEE ITEM 5.0 JOINT CITY COUNCIL/REDEVELOPMENT AGENCY MEETING 4.8 RESOLUTION NO. 143-10 (CM): RESOLUTION NO. 15-10 (RA): JOINT RESOLUTIONS OF THE REDEVELOPMENT AGENCY AND CITY COUNCIL OF THE CITY OF WATSONVILLE AFFIRMING THE FACADE IMPROVEMENT GRANT PROGRAM AND ADOPTING THE SIXTH AMENDED AND RESTATED GUIDELINES—AUGUST 2010 5.0 ITEMS REMOVED FROM CONSENT AGENDA 4.7 MOTION APPROVING ATTENDANCE REQUEST BY MEMBER RIVAS TO ATTEND 2010 LEAGUE OF CALIFORNIA CITIES ANNUAL CONFERENCE, SEPTEMBER 15-17, 2010, SAN DIEGO, CA ($1,138.33, $353.33 Will be Reimbursed by Member Rivas) The above resolution was introduced by Member Martinez, seconded by Member Rivas, and failed by the following vote: AYES: MEMBERS: Bilicich, Caput, Martinez, Rivas NOES: MEMBERS: None ABSENT: MEMBERS: Bersamin, Petersen, Alejo Vol 59 Min-C08-24-10.docx 339 City Manager Palacios stated that the motion failed for lack of four affirmative votes. City Manager Palacios recommended that the item be reconsidered when the entire Council was present. 8.0 NEW BUSINESS 8.1 ESTABLISH A FIVE-YEAR BULK PARKING PERMIT PROGRAM, RESIDENTIAL, & EDUCATIONAL PARKING PERMIT PROGRAM WITHIN THE DOWNTOWN PARKING DISTRICT (a) Staff Report The staff report was given by Sr. Administrative Analyst Vides and Deputy City Manager Maldonado. (b) City Council Questions & Discussion Sr. Administrative Analyst Vides and Deputy City Manager Maldonado answered questions from Council Members. Mayor Pro Tempore Bilicich stated that she did not have a conflict of interest as Director of Aptos-Watsonville Adult Education because she was not deriving a financial gain. (c) Public Input Rhea DeHart, Chair of the Watsonville/Aptos Adult Education Advisory Committee, expressed her concern with parking for night staff and students at the Institute of Language & Culture (ILC). Stella Romo, owner of 28 Second St. & 315 Main St. buildings, expressed concern with only providing parking discounts to ILC and not all of the other businesses. William Hansen expressed his support for bulk permit parking and suggested designated parking for ILC after 5:00 p.m. Marcia Poms, Teacher at ILC, asked Council for designated parking for ILC staff. Magdalena, ILC evening staff member, expressed support for designated parking. McKenzie, Owner of Second St. Café, expressed support for reduction in parking fees and said she does not support designated parking. Glen Kramer, BK Real Estate, property management company for the Kalich Building, expressed concern with providing reduced parking for staff at ILC. MOTION: Mayor Alejo introduced a motion to approve staff recommendation with an amendment to allow parking in Lot 14 for educational permit holders after 6:00 p.m. Member Petersen seconded the motion. Council Member Rivas and Mayor Pro Tempore Bilicich requested that the time be from 5:00 p.m. Vol 59 Min-C08-24-10.docx 340 Council Member Caput and Mayor Pro Tempore Bilicich expressed concerns regarding safety in the parking garage. Mayor Alejo stated that 5:30 p.m. would be a good compromise. Council Member Martinez requested the motion be amended to remove the four (4) twenty-minute parking spaces. City Manager Palacios recommended that the Council not remove the four (4) twenty-minute parking spaces without consulting with the businesses. MOTION AMENDED: Mayor Alejo amended the above motion to allow parking in Lot 14 for educational permits holders after 5:30 p.m. and directing staff to return to Council in six (6) months for review. Mayor Pro Tempore Bilicich asked if everyone in the Lot 14 would need a permit. Deputy City Manager Maldonado explained that enforcement would continue until 8:00 p.m. for non-students and staff. Educational permit holders would not be cited after 5:30 p.m. The above motion and resolutions carried by the following vote: AYES: MEMBERS: Bersamin, Bilicich, Caput, Martinez, Petersen, Rivas, Alejo NOES: MEMBERS: None ABSENT: MEMBERS None (d) RESOLUTION NO. 144-10 (CM): A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE ESTABLISHING AND ADOPTING A FIVE-YEAR BULK PARKING PERMIT PROGRAM WITHIN THE DOWNTOWN PARKING DISTRICT EFFECTIVE SEPTEMBER 1, 2010, THROUGH DECEMBER 31, 2015 (e) RESOLUTION NO. 145-10 (CM): A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE ESTABLISHING AND ADOPTING AN EDUCATIONAL PARKING PERMIT PROGRAM FOR STAFF AND STUDENTS AT THE INSTITUTE OF LANGUAGE AND CULTURE (ILC) AT A REDUCED RATE OF $20 PER SCHOOL SEMESTER (4 MONTHS) (f) RESOLUTION NO. 146-10 (CM): A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE ESTABLISHING AND ADOPTING A RESIDENTIAL PARKING PERMIT PROGRAM THAT PROVIDES PERMITS AT 50% OF THE STANDARD PERMIT RATE FOR THOSE WHO LIVE WITHIN THE DOWNTOWN PARKING DISTRICT Mayor Alejo announced that in consideration of time Item 8.2 would be moved to the 6:30 p.m. session THE MEETING RECESSED TO CLOSED SESSION AT 6:04 P.M. Vol 59 Min-C08-24-10.docx 341 6:05 P.M. 10.0 CLOSED SESSION (City Council Conference Room, 275 Main Street—4th Floor) Closed Session Announcement: (a) Public Comments regarding the Closed Session agenda will only be accepted by the City Council at this time. (b) Closed Session Announcement Mayor Alejo called the Closed Session meeting to order. He called for public comment. Nick Bulaich spoke in regards to item A.1 regarding California Department of Public Health and urged the City not to comply with the order because City had never received a binding agreement. John Martinelli said he endorsed Mr. Bulaich’s letter. He stated he had not seen the contract and would like to part of the process. Theodora Carey, Santa Cruz resident, stated she supports Mr. Bulaich’s letter and Mr. Martinelli’s comments. A. CONFERENCE WITH REAL PROPERTY NEGOTIATOR (Government Code 54956.8) 1. B. Property: 240 Airport Boulevard (APN: 015-221-02) Negotiating parties: Don French (City) Ray Le Vasseur for Sage Instruments Under Negotiation: Price and terms of payment - Lease CONFERENCE WITH LEGAL COUNSEL— EXISTING LITIGATION (Government Code Section 54956.9) 1. 2. Pending litigation pursuant to subdivision (a): Name of case: Watsonville Pilots Assoc., Friends of Buena Vista v. City of Watsonville – Santa Cruz County Superior Court (Case No. CV154571 & CV154572) Name of case: Watsonville Pilots Association v. City of Watsonville (Lawton) – Santa Cruz County Superior Court (Case No. CV161350) Name of case: Compliance Order No. 02-05-03CO-001 Citation No. 02-05-10C-O12 State of California Department of Public Health v. City of Watsonville Significant exposure to litigation pursuant to subdivision (c): 1 Case Vol 59 Min-C08-24-10.docx 342 6:45 P.M. 1.0 ROLL CALL: Mayor Alejo, Mayor Pro Tempore Bilicich, and Council Members Bersamin, Caput, Martinez, Petersen, and Rivas were present. Staff members present were City Manager Palacios, City Attorney Smith, City Clerk Vázquez Flores, Deputy City Clerk C. Ibarra, Assistant City Manager Tavantzis, Deputy City Manager Maldonado, Housing and Redevelopment Director Ackerman, Parks & Community Services Director Espinoza, Public Works & Utilities Director Koch, Assistant Finance Officer Hays, Library Director Heitzig, Administrative Services Director Pimentel, Police Chief Solano, Sr. Utilities Engineer Ketley, Lt. McCartney, Sr. Administrative Analyst Mattos, Sr. Planner Aratin, Redevelopment Manager Overmeyer, Administrative Analyst Blackwood, and Interpreter Vázquez-Quintero. 2.0 PLEDGE OF ALLEGIANCE 3.1 ORAL COMMUNICATIONS FROM PUBLIC & CITY COUNCIL Gary Richard Arnold expressed his concern regarding the origin of policies which generate the actions in the City. Barbara Lyons said she would be requesting the Council’s support for a proposed project to test ten Watsonville children to measure the existing amounts of fluoride currently in their body and the level changes after the City fluoridates. She said she would be submitting a proposal requesting for $3,000 from the City to conduct the testing. Susan Carter, Watsonville Challengers League, distributed copies of a Santa Cruz Sentinel article in regards the closure of the bowling alley. She asked the Council for help to maintain Cabrillo Lanes open. Mayor Pro Tempore Bilicich expressed her disappointment with the State Department of Public Health for issuing a citation to the City for failure to fluoridate since the Ad Hoc Sub-committee had been meeting and reviewing the contract in good faith. Member Bersamin explained the timeline for the Fluoride Ad-Hoc Committee and stated the Subcommittee would be releasing its report after August 30, 2010. Member Caput expressed his condolences to the family of Gabriel Suarez who passed away recently in a plane accident. Member Rivas reminded the public that school was back in session and encouraged the students to attend school and work hard. Mayor Alejo expressed his condolences to the family of Gabriel Suarez who recently passed away. Mayor Alejo encouraged the public to contact the Watsonville Law Center for help with modifying their mortgage loans. Mayor Alejo went over the various events he attended in the City in the last two weeks. Vol 59 Min-C08-24-10.docx 343 3.2 MAYOR’S PROCLAMATION DECLARING CITY OF WATSONVILLE “LET’S MOVE CITIES & TOWN’S” AS PART OF FIRST LADY MICHELLE OBAMA’S “LET’S MOVE” CHILDHOOD ANTI-OBESITY INITIATIVE 3.3 REPORT OUT OF CLOSED SESSION City Attorney Smith reported no action out of closed session 5.0 ITEMS REMOVED FROM CONSENT AGENDA Mayor Alejo reintroduced Item 5.0 for reconsideration of Consent Agenda Item 4.7. MOTION APPROVING ATTENDANCE REQUEST BY MEMBER RIVAS TO ATTEND 2010 LEAGUE OF CALIFORNIA CITIES ANNUAL CONFERENCE, SEPTEMBER 1517, 2010, SAN DIEGO, CA ($1,138.33, $353.33 Will be Reimbursed by Member Rivas) MOTION: It was moved by Member Martinez, seconded by Member Rivas, and carried by the following vote that the above motion be approved: AYES: MEMBERS: Bersamin, Bilicich, Martinez, Rivas, Alejo NOES: MEMBERS: Caput ABSENT: MEMBERS: Petersen 8.0 NEW BUSINESS (Continued) 8.2 ESTABLISH TIME LIMITS FOR TEMPORARY PUBLIC PARKING LOT ON PROPERTY LOCATED AT 570 MAIN STREET (APN: 18-241-01) (Continued From 4:30 P.M. Session) (a) Staff Report The staff report was given by Sr. Administrative Analyst Vides and Deputy City Manager Maldonado. (b) City Council Questions & Discussion Sr. Administrative Analyst Vides and Deputy City Manager Maldonado answered questions from Council Members. (c) Public Input (None) (d) RESOLUTION NO. 147-10 (CM): A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE AMENDING THE “OFF-STREET PARKING LOT MAP, CITY OF WATSONVILLE” BY ELIMINATING LOT NO. 7 LOCATED BEHIND 310 UNION STREET AND REASSIGNING NO. 7 TO A TEMPORARY PUBLIC PARKING LOT AT 570 MAIN STREET (APN: 018-241-01) WATSONVILLE, CALIFORNIA AND ESTABLISHING TIME LIMITS The above resolution was introduced by Member Martinez, seconded by Member Bersamin, and carried by the following vote: AYES: MEMBERS: Bersamin, Bilicich, Caput, Martinez, Petersen, Rivas, Alejo NOES: MEMBERS: None ABSENT: MEMBERS None Vol 59 Min-C08-24-10.docx 344 8.3 EMERGENCY ITEMS ADDED TO THE AGENDA 6.0 PUBLIC HEARINGS, ORDINANCES, & APPEALS 6.1 APPEAL FILED BY WITTWER & PARKIN LLC., ON BEHALF OF WATSONVILLE PILOTS ASSOCIATION, OF PLANNING COMMISSION APPROVAL OF SPECIAL USE PERMIT PP2008-39 GRANTED TO LAWTON TO ESTABLISH A MASTER USE PERMIT FOR ALLOWABLE USES INCLUDING A 6,500 SQ. FT. CABINET SHOP IN 44,389 SQ. FT. JENNINGS BUSINESS PARK (APN: 015-211-09)—Applicant withdrew application; item was not considered by Council 6.2 OVERRULING OBJECTIONS, IF ANY, AND ORDERING ABATEMENT OF PUBLIC NUISANCE AT 45 & 45A PACKARD LANE (APN: 019-922-05) (a) Staff Report The staff report was given by Interim Community Development Director Tavantzis (b) City Council Questions & Discussion Interim Community Development Director Tavantzis answered questions from Council Members (c) Public Hearing (none) Mayor Alejo opened the public hearing, and hearing no comments closed the public hearing. (d) RESOLUTION NO. 148-10 (CM): A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE OVERRULING OBJECTIONS, IF ANY, AND ORDERING ABATEMENT OF A PUBLIC NUISANCE ON PRIVATE PROPERTY AT 45 & 45A PACKARD LANE (APN: 019-922-05), WATSONVILLE, CALIFORNIA, PURSUANT TO CHAPTER 5-17 OF THE WATSONVILLE MUNICIPAL CODE The above resolution was introduced by Member Bersamin, seconded by Member Rivas, and carried by the following vote: AYES: MEMBERS: Bersamin, Bilicich, Caput, Martinez, Petersen, Rivas, Alejo NOES: MEMBERS: None ABSENT: MEMBERS: None 6.3 OVERRULING OBJECTIONS, IF ANY, AND ORDERING ABATEMENT OF PUBLIC NUISANCE AT 612 PEARTREE DRIVE (APN: 017-407-23) (a) Staff Report The staff report was given by Interim Community Development Director Tavantzis (b) City Council Questions & Discussion Interim Community Development Director Tavantzis answered questions from Council Members. Vol 59 Min-C08-24-10.docx 345 (c) Public Hearing Mayor Alejo opened the public hearing. Marge, 650 Pear Tree Lane, expressed disappointment with the house being vacant for over five years. Mayor Alejo after hearing no more comments closed the public input period. (d) RESOLUTION NO. 149-10 (CM): A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE OVERRULING OBJECTIONS, IF ANY, AND ORDERING ABATEMENT OF A PUBLIC NUISANCE ON PRIVATE PROPERTY AT 612 PEARTREE DRIVE (APN: 017-407-23), WATSONVILLE, CALIFORNIA, PURSUANT TO CHAPTER 5-17 OF THE WATSONVILLE MUNICIPAL CODE The above resolution was introduced by Mayor Pro Tempore Bilich, seconded by Member Petersen, and carried by the following vote: AYES: MEMBERS: Bersamin, Bilicich, Caput, Martinez, Petersen, Rivas, Alejo NOES: MEMBERS: None ABSENT: MEMBERS: None 6.4 CIGARETTE OUTLETS (TOBACCO RETAILING LICENSE) (a) Staff Report The staff report was given by Police Chief Solano and Deputy Police Chief Knill. (b) City Council Questions & Discussion Police Chief Solano and Deputy Police Chief Knill answered questions from Council Members. (c) Public Hearing Mayor Alejo opened the public hearing. Gary Richard Arnold stated that the proposed fee would be another burden for small businesses. The following speakers expressed their support for the Tobacco Retailing License (TRL): Peter Nichols, Alcohol and Drug Commission Chair. Katharine Herndon, retired school teacher. Kathleen Hofverdahl-Clark, Santa Cruz County Tobacco Education Coalition Cochair. She also submitted a letter from the Tobacco Education Coalition to the Council which included letters from community members. Natasha Kowalkowski, Santa Cruz County Tobacco Education Coalition. Jenny Sarmiento, Director of PVPSA. Vol 59 Min-C08-24-10.docx 346 Andrea Silva Solano, Santa Cruz County Tobacco Education Coalition. Marilyn Garrett. Gonzalo Coronado, Coalition for Tobacco Free Monterey County. Mayor Alejo after hearing no more comments closed the public input period. (d) ORDINANCE INTRODUCTION (CM): AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE ADDING CHAPTER 46 (TOBACCO RETAILER LICENSE) OF TITLE 5 (PUBLIC WELFARE, MORALS, AND CONDUCT) OF THE WATSONVILLE MUNICIPAL CODE IMPOSING A LICENSING FEE TO REGULATE AND ENFORCE THE RETAIL SALES OF TOBACCO AND TOBACCO RELATED PRODUCTS TO MINORS (e) RESOLUTION NO. 150-10 (CM): A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE ESTABLISHING AND SETTING AN ANNUAL “TOBACCO RETAILER LICENSE FEE” AT $255 TO LOCALLY REGULATE AND ENFORCE THE RETAIL SALES OF TOBACCO AND TOBACCO RELATED PRODUCTS TO MINORS MOTION: The above ordinance and resolution were introduced by Mayor Alejo and seconded by Mayor Pro Tempore Bilicich, including direction to staff to develop a reward program recognizing business that comply with the proposed ordinance for more than two (2) years. The motion carried by the following vote: AYES: MEMBERS: Bersamin, Bilicich, Caput, Martinez, Petersen, Rivas, Alejo NOES: MEMBERS: None ABSENT: MEMBERS: None 6.5 MORATORIUM ON INSTALLATION OF PG&E SMARTMETERS IN THE CITY OF WATSONVILLE (a) Staff Report The staff report was given by City Attorney Smith (b) City Council Questions & Discussion City Attorney Smith answered questions from Council Members (c) Public Hearing Mayor Alejo opened the public hearing. The following speakers support moratorium on installation of SmartMeters and expressed their concerns regarding SmartMeters safety, privacy, and rates. Gary Richard Arnold. Nina Beety. Vol 59 Min-C08-24-10.docx 347 Wendy Sarsfield, PG&E Government Relations Officer, enumerated various energy efficiency projects that the City of Watsonville has been involved and explained the benefits of SmartMeters. She urged Council to delay action until the interdependent study was completed. She also answered questions from the Council regarding SmartMeters. Analys Berra. Nick Bulaich asked if PG&E would implement a tier rate system. Marilyn Garrett. Keith Gosner. Jean Parano, Key Nielson. Mayor Alejo after hearing no more comments closed the public input period. (d) ORDINANCE INTRODUCTION (CM): AN EMERGENCY INTERIM ORDINANCE OF THE CITY COUNCIL OF THE CITY OF WATSONVILLE ESTABLISHING A MORATORIUM OF TWELVE (12) MONTHS ON THE INSTALLATION OF SMARTMETERS AND RELATED EQUIPMENT WITHIN THE CITY OF WATSONVILLE OR IN, ALONG, ACROSS, UPON, UNDER AND OVER THE PUBLIC STREETS AND PLACES WITHIN THE CITY OF WATSONVILLE, AND DECLARING THE URGENCY THEREOF MOTION: The above ordinance was introduced by Member Rivas and seconded by Member Martinez with an amendment that City will not allow installation of SmartMeters that residents may call the police to stop the installation. Member Rivas accepted the amendment from Member Martinez. City Manager Palacios stated that he could not recommend that the Police Department be directed to attempt to enforce the ordinance and would not interfere with PG&E service workers. Wendy Sarsfield, PG&E Government Relations Officer, answered questions from Council Members regarding installation of SmartMeters in Watsonville. Mayor Alejo asked her to provide the City with the timeline for deployment of SmartMeters installation in Watsonville. MOTION RESTATED: Member Martinez restated his amendment to direct Staff to research a manner to enforce the ordinance through fines or other means. The motion including Member Martinez’ restated amendment carried by the following vote: AYES: MEMBERS: Bersamin, Bilicich, Caput, Martinez, Petersen, Rivas, Alejo NOES: MEMBERS: None ABSENT: MEMBERS: None Vol 59 Min-C08-24-10.docx 348 10 .0 ADJOURNMENT The meeting adjourned at 10 :15 P .M. ATTEST: Vol 59 Min-008-24-10 .docx 349

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