Table of Contents Agenda 2 Request for Letter of ... - City of Kerman

Table of ContentsAgenda 2Request for Letter of Support for I-5 Social ServicesRequest for Letter of Support 6Draft Letter of Support 7Request for Letter of Support for AB 300 (Perea) Funding LocalEmergency ServicesAB 300 Fact Sheet 8Draft Letter of Support 10Request for Letter of Support for AB 327 (Perea) Rate PayerEquity ActAB 327 Fact Sheet 11Draft Letter of Support 15MinutesJune 5, 2013 17PayrollPayroll 20Overtime 23Warrant Nos. 37194-37281: $96,306.63AP-Detail-06-19-13 24Monthly Investment Report for the month ending May 31, 2013Investment Report May 31, 2013 32Resolution Confirming Diagram and Assessments for theLandscaping and Lighting District No. 1 2013-14 Annual LevyStaff Report - LLD No 1 36Emergency Abatement of Public Nuisance Pursuant to Section14.02.20 of the Kerman Municipal CodeEmergency Abatement 41Resolution Awarding Bid for First Street and Middleton AvenueReconstruction ProjectStaff Report - First Street Reconstruction 46Resolution Approving Hourly Engineering Rates for CityEngineering ServicesStaff Report - Engineer Fees 491

Gary Yep - MayorDoug Wilcox – Mayor Pro-TemRaj Dhaliwal – Council MemberCharlie Jones – Council MemberNathan Fox – Council MemberAGENDAKERMAN CITY COUNCILREGULAR MEETINGKerman City Hall850 S. Madera AvenueWednesday, June 19, 20136:30 PMAGENDA PACKET AVAILABLE FORREVIEW 72 HOURS PRIOR TOTHE CITY COUNCIL MEETING ATTHE CITY CLERK’S OFFICE ANDON THE CITY WEBSITEITEMS RECIEVED AT THEMEETING WILL BE AVAILABLEFOR REVIEW AT THE CITYCLERK’S OFFICEALL MEETING ATTENDEES ARE ADVISED THAT ALL PAGERS, CELLULAR TELEPHONES AND ANY OTHERCOMMUNICATION DEVICES SHOULD BE POWERED OFF UPON ENTERING THE COUNCIL CHAMBERS,AS THESE DEVICES INTERFERE WITH OUR AUDIO EQUIPMENT.OPENING CEREMONIES• Welcome – Mayor Gary Yep• Call to Order• Roll Call• InvocationAt this time the Council wishes to provide anyone an opportunity to give a brief invocation orinspirational thought. In accordance with law, we would request this opportunity not be used torecruit converts, to advance any one, or to disparage any other faith or belief. If no one stepsforward, we will observe a moment of silence so that we may all focus our thoughts on how bestto serve our community.• Pledge of Allegiance – City ClerkAGENDA APPROVAL/ADDITIONS/DELETIONSTo accommodate members of the public or convenience in the order of presentation, items onthe agenda may not be presented or acted upon in the order listed.1. CEREMONIAL MATTERSA. Special Recognition for Glenn Rudolph of Rudolph Auto Body for his time and materialsinvolved in the painting of the new Kerman Police Department's DARE Car (JKB)B. Kerman Youth Leadership Academy Presentation (PG)C. Request for Letter of Support for I-5 Social Services (MR)ATTACHMENTS: Request/Draft Letter of SupportD. Request for Letter of Support for AB 300 (Perea) Funding Local Emergency Services (MR)ATTACHMENTS: AB 300/Draft Letter of SupportE. Request for Letter of Support for AB 327 (Perea) Rate Payer Equity Act (MR)ATTACHMENTS: AB 327/Draft Letter of Support2

REQUEST TO ADDRESS COUNCILThis portion of the meeting is reserved for members of the public to address the Council on itemsof interest that are not on the Agenda and are within the subject matter jurisdiction of theCouncil. Speakers shall be limited to three minutes. It is requested that no comments be madeduring this period on items on the Agenda. Members of the public wishing to address the Councilon items on the Agenda should notify the Mayor when that Agenda item is called, and theMayor will recognize your discussion at that time. It should be noted that the Council isprohibited by law from taking any action on matters discussed that are not on the Agenda.Speakers are asked to please use the microphone, and provide their name and address.2. CONSENT CALENDARMatters listed under consent calendar are considered routine and will be enacted by one motionand one vote. There will be no separate discussion of these items. If discussion is desired, amember of the audience or a Council Member may request an item be removed from theConsent Calendar and it will be considered separately.A. SUBJECT: MinutesMinutes - June 5, 2013RECOMMENDATION: Council approve minutes as presented.ATTACHMENTS: June 5, 2013B. SUBJECT: PayrollMay 26, 2013 - June 08, 2013: $121,249.07; Retro Pay: $563.04; Overtime: $7,123.20;Standby & FTO: $1,107.63: Uniform Pay: $5800.00; Holiday Pay: $18,416.76RECOMMENDATION: Council approve payroll as presented.ATTACHMENTS: Payroll, Overtime ReportATTACHMENTS:C. SUBJECT: WarrantsWarrant Nos. 37194-37281: $96,306.63Excepting: Kerwest Newspaper #37255 - $510.00RECOMMENDATION: Council approve warrants as presented.(Pursuant to Government Code Section 37208)ATTACHMENTS: AP-Detail-06-19-13Cons ent Cale ndarD. SUBJECT: Monthly Investment Report for the month ending May 31, 2013 (TLP)RECOMMENDATION: Council accept the Monthly Investment Report for May 2013 aspresented.ATTACHMENTS: Investment Report May 31, 20133

3. PUBLIC HEARINGSThese hearings are scheduled at the time stated, and will be heard by the Council as close tothe time stated as possible.A. SUBJECT: Resolution Confirming Diagram and Assessments for the Landscaping andLighting District No. 1 2013-14 Annual Levy (GH)RECOMMENDATION: Council conduct a public hearing, receive public testimony andadopt resolution confirming the diagram and assessments for the Landscaping andLighting District No. 1 2013-14 annual levy in the amounts specified.ATTACHMENTS: Staff Report - LLD No. 14. DEPARTMENT REPORTSA. SUBJECT: Emergency Abatement of Public Nuisance Pursuant to Section 14.02.20 of theKerman Municipal Code (CK)RECOMMENDATION: Council declare dead and dried-out redwood trees located at15838 W. E Street a public nuisance posing an immediate threat of property damageand injury pursuant to Section 14.02.20 of the Kerman Municipal Code and authorizethe Building Official to immediately abate said nuisance.ATTACHMENTS: Emergency AbatementB. SUBJECT: Resolution Awarding Bid for First Street and Middleton Avenue ReconstructionProject (GH)RECOMMENDATION: Council adopt the attached resolution awarding the bid to thelowest responsible bidder based on the outcome of bids opened Tuesday, June 18 andpresented at the Council meeting.ATTACHMENTS: Staff Report - First Street ReconstructionC. SUBJECT: Resolution Approving Hourly Engineering Rates for City Engineering Services (GH)RECOMMENDATION: Council consider approving revised rate schedule for engineeringservices provided by Yamabe & Horn Engineering, Inc.ATTACHMENTS: Staff Report - Engineer FeesD. SUBJECT: Update on Appeal of AT&T Cell Tower (LP)RECOMMENDATION: Council to receive verbal update from staff on the action taken bythe Fresno County Board of Supervisors regarding the appeal of the proposed AT&T celltower project within the sphere of influence.4

E. SUBJECT: Resolutions Adopting the City of Kerman Fiscal Year 2013/2014 Budget (TP)RECOMMENDATION: Council adopt the following resolutions:1. Resolution Adopting the Fiscal Year 2013/2014 Operating and Capital Budget2. Resolution Establishing the Appropriations Limit for Fiscal Year 2013/20143. Resolution Amending the Fiscal Year 2013/2014 Employee Positions and SalaryScheduleF. SUBJECT: Change of City Council Meeting Date for Wednesday, July 3, 2013 (MR)RECOMMENDATION: Council consider a) rescheduling the July 3, 2013 meeting toanother date, or b) cancelling the meeting and resume the next regularly scheduledmeeting on July 17, 2013, due to possible conflict with the Chamber of CommerceFestival of American Fireworks Show.5. CITY MANAGER/STAFF COMMUNICATIONSA. Update on Repairs at the Madera Avenue Railroad CrossingB. Retirement Party for Nancy Moore, Thursday, June 27, 4:30-6:30 p.m. CTC6. MAYOR/COUNCIL REPORTSA. KSEE 24 at Blue Turtle Express; June 27, 4:30-7:00 a.m.B. Festival of the American Spirit Fireworks Show - Wednesday, July 3, 6:00 p.m.C. City to Consider Sending a Representative to Kannami, Japan in 2014COUNCIL RECESS TO CONVENE THE PUBLIC FINANCE AUTHORITY (Separate agenda attached)7. CLOSED SESSIONA. Government Code Section 54956.95 - Claimant: Janale Valdez; Agency Claimed Against:City of KermanB. Government Code Section 54957.6 - Conference with Labor Negotiators; AgencyDesignated Representatives: City Manager Luis Patlan; Employee Organizations: City ofKerman Miscellaneous Employees Group and Kerman Public Safety EmployeesAssociation.COUNCIL RECONVENE FROM CLOSED SESSION & REPORT ANY ACTION TAKEN8. ADJOURNMENTIn compliance with the American with Disabilities Act (ADA), if you need special assistance toparticipate at this meeting, please contact the City Clerk at (559) 846-9380. Notification of 48 hoursprior to the meeting will enable the City Clerk to make reasonable arrangement to ensure accessibilityto this meeting. Pursuant to the ADA, the meeting room is accessible to the physically handicapped.5

KERMAN CITY COUNCIL850 S. Madera AvenueKERMAN, CA 93630Mayor – Gary YepDoug WilcoxCharlie JonesNathan Fox Phone: (559) 846-9380Raj Dhaliwal Fax: (559) 846-6199June 19, 2013Honorable Tom TorlaksonState Superintendent of Public Instruction1430 N StreetSacramento, CA 95814-9501Re: Support Letter for I-5 Social Services CorporationDear Mr. Torlakson:I-5 Social Services Corporation has a longstanding history of working effectively to support many of ourneediest families in western Fresno County. Their facility in Kerman offers quality services to familieswho normally would not be able to afford childcare.The loss of State Contracts has forced I-5 Social Services to close the doors at all eight of their EarlyChildhood Education Centers including their facility in Kerman. These facilities serve farm-workers andlow-income families and will create harm and disruption to the parents and children who so depend onchildcare services.We encourage you to rescind the action taken by the Child Development Division and re-issue a neworder restoring the childcare contract funding to I-5 Social Services Corporation for Fiscal Year 2013-14.Thank you in advance for your consideration of this request.Sincerely,Gary YepMayorCc: Kerman City CouncilAlex Valdez”COMMUNITY COMES FIRST”7

AB 300 (Perea)Funding Local Emergency Services(As amended 6/3/13)SUMMARYAB 300 would ensure state and localgovernments receive the necessary resourcesfor E911 programs by developing a statewidemechanism to include prepaid services in thealready-established collection of fees applied towireless communication services.BACKGROUNDIn California there are several statesurcharges, taxes and fees assessed ontelecommunication services. These arecollected by telephone service providers fromtheir service customers, and then paid toeither the California Public UtilitiesCommission (CPUC) or the Board ofEqualization (BOE).For traditional, postpaid services, carrierscollect the required fees from end-users byincluding it in their monthly bill. Thismechanism does not work for prepaidconsumers because the users pay for prepaidservices before they use any services. Nomonthly bill is sent to the customer androughly 80% of prepaid services are notpurchased from the carrier. They arepurchased from a retailer (e.g. Target, BestBuy, Wal-Mart) and there is no means ofcollecting the fees from the customer after theyleave the retailer.Postpaid Services Payment CycleMonthly Bill Used to CollectExisting fees and surcharges:• Emergency Telephone Users Surcharge Act(E911)• The six CPUC-mandated end-usersurcharges: Universal Lifeline Telephone,Deaf and Disabled TelecommunicationsProgram, California High Cost Fund-A,California High Cost Fund-B, CaliforniaTeleconnect Fund, California AdvancedSeries FundPrepaid Services Payment CycleNo Collection Mechanism• Local 911, access line, and utility usertaxes• CPUC User FeeCurrently in California, there is no statewidemechanism to collect the same fees fromprepaid wireless customers that are currentlycollected from postpaid customers. As a result,state and local governments lack reliablemeans for ensuring collection of theserevenues.Prepaid services are growing rapidly inpopularity. Out of 330 million U.S. wirelessOffice of Assemblymember Henry T. Perea • AB 300 Fact Sheet • 6/3/2013 11:00 AM8

consumers, almost 20% use prepaid services.The estimated growth rate of the industry isexpected to increase 10% annually andCalifornia’s share of the national wirelessmarket is around 12%. By creating amechanism to collect the required fees fromthis industry, it would help createpredictability and enhanced revenue for stateand local governments.Arizona, Nebraska, Utah, North Carolina and25 other states have adopted the point of saleapproach for 911 fees.THIS BILLSpecifically, AB 300 would:• Create a uniform, statewide point of salecollection for prepaid services administeredby the BOE that is uniformly administeredand transparent to consumers, similar topostpaid services.• Require that fees collected will bedistributed to the State 911 fund, CPUCPublic Purpose Fund and LocalGovernments.BoostSprintT-MobileTracFone WirelessVerizonVirgin MobileOPPOSITIONPublic Utilities CommissionCalifornia Grocers AssociationTURNGreenlining InstituteFOR MORE INFORMATIONJonathan ArambelAssemblymember Henry T. PereaPhone: (916) 319-2031Fax: (916) 319-2131Jonathan.Arambel@Asm.Ca.Gov• AB 300 would not affect current taxes orfees on postpaid services.SUPPORTCalifornia Professional FirefightersMuni ServicesCalifornia Hispanic Chambers ofCommerceChambers of Commerce Alliance of Venturaand Santa Barbara CountiesFresno Chamber of CommerceGreater Bakersfield Chamber of CommerceLancaster Chamber of CommerceLos Angeles Chamber of CommerceSan Francisco Chamber of CommerceSouth Bay Association of Chambers ofCommerceTorrance Chamber of CommerceValley Industry and Commerce AssociationCTIA-The Wireless Association (Sponsor)AT&TOffice of Assemblymember Henry T. Perea • AB 300 Fact Sheet • Page 2 2/4/2013 11:00 AM9

KERMAN CITY COUNCIL850 S. Madera AvenueKERMAN, CA 93630Mayor – Gary YepDoug WilcoxCharlie JonesNathan Fox Phone: (559) 846-9380Raj Dhaliwal Fax: (559) 846-6199June 10, 2013The Honorable Henry T. PereaAssembly Member 31 st DistrictState Capitol, Room 4112Sacramento, CA, 95814Re: Support for AB 300 (Perea) Funding Local Emergency ServicesDear Assembly Member Perea:This letter is to express support for AB 300 – which would ensure state and local governments receive thenecessary resources for E911 programs by developing a statewide mechanism to include prepaid services in thealready-established collection of fees applied to wireless communication services.By creating a mechanism to collect the required fees from the prepaid wireless service, it would help createpredictability and enhanced revenue for state and local governments. Programs and services that would receiveadditional revenue by modernizing collection of existing taxes and fees on prepaid wireless consumers include:state and local E911 call centers, California LifeLine, The California Teleconnect Fund, The Deaf and DisabledTelecommunications Program, The California High Cost Funds, The California Advance Services Fund, and thePublic Utilities Commission Reimbursement Account.AB 300 would create a uniform, statewide point of sale collection for prepaid services administered by the BOEthat is uniformly administered and transparent to consumers, similar to postpaid services. It also requires thatfees collected be distributed to the State 911 fund, CPUC Public Purpose Fund and Local Governments.I strongly support AB 300 (Perea,) which would modernize the collection of existing wireless taxes and fees tomaximize revenue and help fund critical programs.Thank you in advance for your consideration of this request.Sincerely,Gary YepMayorCc: Kerman City CouncilAlex Valdez”COMMUNITY COMES FIRST”10

AB 327 (Perea)Rate Payer Equity Act(As amended 04/23/13)SUMMARYAB 327 would eliminate provisions in AB1 Xand SB 695 relating to residential rate designretuning the code to the language thatexisted prior to the energy crisis, whichallowed the CPUC to do ratemaking withminimal statutory restriction.BACKGROUNDDuring the energy crisis, the Legislatureenacted ABX1 1 (Keeley) Chapter 4, Statutesof 2001, First Extraordinary Session, whichincluded a provision that capped residentialelectricity rates for investor-owned utilitiesfor usage up to 130 percent of baseline,meaning that the rates for Tier 1 and 2 usagecould not increase. This rate cap remained inplace until the enactment of SB 695 (Kehoe)Chapter 337, Statutes of 2009, which allowedfor modest increases in rates in Tiers 1 and 2as well as customers on the CaliforniaAlternate Rates for Energy (CARE) program.Specifically, SB 695 allowed for non-CARErates in Tiers 1 and 2 to increase by 3-5percent annually based on the ConsumerPrice Index (CPI), and CARE rates to increaseby 0-3 percent annually based on the CalWORKS index.Over the course of the AB 1X rate cap, theincreased cost of electricity shifted completelyto the upper tiers (over 130 percent ofbaseline) usage, setting those rates at levelsfar above the actual cost of providing serviceto those customers. The increase in the costof service was a result of higher costs undervarious public policies including enactment ofthe Renewable Portfolio Standard (RPS), theCalifornia Global Warming Solutions Act (AB32), reliability and safety investments,infrastructure replacement and inflation.In addition, Tier 1 and 2 rates are not keepingpace with the increased costs mentionedabove. Without an ability to keep pace withthe increase in costs in the lower tiers, theupper tier usage is saddled with theadditional cost burden resulting in thoserates being even higher than the costs toserve the customers paying those rates. Forexample, the gap between Tier 2 and Tier 3rates actually grew after enactment of SB 695going from 13.0 cents per kWh to 15.3 centsper kWh currently.Currently, the CPUC has an open proceeding-Order Instituting Rulemaking (OIR)-on policyguidance for rate design. This measure doesnot interfere with that proceeding instead itprovides the CPUC authority to actuallyimplement the policies that they ultimatelyadopt before there is a residential ratepayerrevolt as a result of the punitive upper tierrate structure.THIS BILLSpecifically, AB 327 would:• Repeal limitations to raising residentialrates adopted during the energy crisisthereby getting the Legislature out ofthe ratemaking business, which theCPUC is best equipped to do.• Requires the CPUC, when approvingchanges to rates, that the changes arereasonable and necessary.• Requires the CPUC to report to theLegislature findings andrecommendations related to tieredrates in a specified rulemaking byJanuary 21, 2014.SUPPORT1 st Guaranty Mortgage and Realty100 Black Men of Long BeachAge Well Senior Services5/20/2013 1:02 PM Office of Assemblymember Henry T. Perea • AB 327 Fact Sheet • Page 111

American Family HousingAngel View, Inc.Antelope Valley board of TradeAssured Coin and LoanBarstow Community Hospital AuxiliaryBarstow Unified School DistrictBlong Xiong, Councilmember, City of FresnoBorder Transportation CouncilBuilding Industry Association ofFresno/Madera CountiesBuilding Industry Association of the GreaterValleyBusiness Resource GroupC&C Development (Affordable Housing)CTI Environmental, Inc.California Apartment AssociationCalifornia Asian Pacific Chamber ofCommerceCalifornia Association of CommunityManagersCalifornia Biomass Energy AllianceCalifornia Black Chamber of CommerceCalifornia League of Food ProcessorsCalifornia Manufacturers & TechnologyAssociation (CMTA)California Retailers AssociationCement Masons (Local 500)Central Valley Opportunity Center, Inc.City of CoalingaCity of LivingstonCity of MendotaCity of ReedleyCity of SelmaCoalition of California Utility Employees(CCUE)Cody Campbell, Council Member, City ofVistaCommunity Advocates for People withChoices (CAPC), Inc.Community Women of San Gabriel ValleyCongress of California SeniorsCortez Communications, LLC.Costa Mesa Chamber of CommerceCyber Risk Insurance BrokersDelhi CenterDowntown Pomona Owners’ AssociationEd Gallo, Council Member, City of EscondidoEl ConcilioEnergy Communications CorporationErnest Ewin, Council Member, City of LaMesaFresno Metro Black Chamber of CommerceFOCUSCOM, Inc.Fresno Barrios UnidosGardena Valley Chamber of CommerceGary Kendrick, City Council, City of El CajonGi and AssociatesCity Fabric (Business)5/20/2013 1:02 PM Office of Assemblymember Henry T. Perea AB 327 Fact Sheet • Page 212

GRCN Connecting Communities, Inc. (Childand Youth Services)Greater Antelope Valley Association ofRealtorsHabitat for Humanity San DiegoHarvey L. Hall, Mayor, City of BakersfieldHawthorne Chamber of CommerceHelpline Youth Counseling (HYC)Hilltop Group, Inc.Hispanic Outreach Task ForceH.O.P.E. of the Mountain EmpireIndependent Energy Producers AssociationInland Valley Business AllianceInternational Brotherhood of ElectricalWorkers (IBEW Local 47)International Brotherhood of ElectricalWorkers (IBEW Local 465)International Brotherhood of ElectricalWorkers (IBEW Local 569)James Dahl, Mayor, City of San ClementeJess E. Van Deventer, Sweetwater AuthorityBoardJohn F. Simon, Lumber Estimating ServiceKathleen J. DeRosa, Mayor, Cathedral CityMainStreetChamber RanchoCucamonga/UplandMark Muir, Council Member, City ofEncinitasMartinez SupplyMeals on Wheels West (Los Angeles)Mercado Business AssociationMike Murphy, Council Member, City ofMercedMountain Health & Community ServicesOliver L. Baines, Council Member, City ofFresnoOrange County Hispanic Chamber ofCommerceOrange Senior CenterP&P Pools, Inc. (San Diego)Pacific Gas and Electric Company (PG&E)Pringle Insurance Services, Inc.Saddleback College FoundationSam Abed, Mayor, City of EscondidoSan Diego Gas & Electric (SDG&E)San Diego Port Tenants AssociationSan Diego Regional Minority SupplierDevelopment CouncilKern Council of GovernmentsKern County Board of SupervisorsKern County Taxpayers AssociationLedford Enterprises (LE)Leticia Perez, Supervisor, Kern CountyLifeHOUSE Management ServicesSan Joaquin Valley Clean EnergyOrganizationSanta Ana College FoundationSave our Rural Community (S.O.R.E.)SELAC Educational FoundationSenior Advocates of the DesertSepulveda Group Enterprises, Inc.5/20/2013 1:02 PM Office of Assemblymember Henry T. Perea AB 327 Fact Sheet • Page 313

Sierra Dawn Estates (Mobile Home Park)Southern California Edison (SCE)Stalwart CommunicationsThe Center Long BeachThe Center Palm SpringsThomas W. Amend Drywall ContractorTrilogy PR GroupTulare CountyUnited Association of Food Trucks of SanDiegoUnited Association of Plumbers andSteamfitters, Local Union 230United Cambodian CommunityUnited Communities NetworkWestern Region Asians inTelecommunications and Energy (WRATR)Whittier Uptown AssociationAARPOPPOSITIONAmerican Federation of State, County andMunicipal Employees (AFSCME)Division of Ratepayer Advocates (DRA)The Greenlining InstituteThe Utility Reform Network (TURN)FOR MORE INFORMATIONCelia Mata, Legislative DirectorAssemblymember Henry T. PereaPhone (916) 319-2031Fax (916) 319-2131Celia.Mata@asm.ca.gov5/20/2013 1:02 PM Office of Assemblymember Henry T. Perea AB 327 Fact Sheet • Page 414

KERMAN CITY COUNCIL850 S. Madera AvenueKERMAN, CA 93630Mayor – Gary YepDoug WilcoxCharlie JonesNathan Fox Phone: (559) 846-9380Raj Dhaliwal Fax: (559) 846-6199April 5, 2013The Honorable Henry T. PereaAssembly Member 31 st DistrictState Capitol, Room 4112Sacramento, CA, 95814Re: Support for AB 327 (Perea) Rate Payer Equity ActDear Assembly Member Perea:This letter is to express support for AB 327 – which would eliminate the rate caps and restrictions adoptedas part of ABX1 1 and SB 695, and would allow the California’s Public Utilities Commission (CPUC) toconsider and approve residential rate structure modifications, which are fair and reasonable, and are inline with the State’s energy policy goals and objectives.During the energy crisis in 2001, the Legislature passed ABX1 1 to protect California ratepayers fromrampant price fluctuations due to a dysfunctional wholesale electricity market. ABX1 1 capped rates in thelowest two tiers of residential electric service in addition to rates for low income customers on theCalifornia Alternate Rates for Energy (CARE) program. Since the energy crisis, the cost of electricity hasincreased due to rising fuel prices and State mandated and CPUC-created programs. As a result of the ratecaps in tiers 1 and 2, these increased costs have shifted to customers in the upper tiers. SB 695 providedlimited relief by allowing rates in Tier 1 and Tier 2 to increase by 3 to 5 percent annually through 2018based on the Consumer Price Index (CPI). A separate formula was established for CARE customers.However, this gradual rate increase does not address the issue of the increased costs of providing electricserviceAbsent reform, the gap between Tier 1 and Tier 2 rates and the upper tier rates will continue to widen,causing tens of thousands of customers to pay rates significantly higher than the actual cost of electricity.Before the energy crisis, the highest tiered rate was only 20 percent higher than the lowest tiered rate.Today, the highest tiered rate is between 2-3 times higher than the actual cost of service. Withoutlegislative changes, the CPUC has only very limited ability to fix this unfair residential electric ratestructure.15

Perea Letter – AB 327Page 2AB 327 would eliminate the rate restrictions adopted during the energy crisis and would provide the CPUCthe flexibility to implement what they determine to be the appropriate course of action on rate design andapprove rate structure modifications, which are fair and reasonable, and are in line with the State’s energypolicy goals and objectives. The City of Kerman strongly supports AB 327 (Perea,) which would allow CPUCto consider rate reform recommendations from all parties.Thank you in advance for your consideration of this request.Sincerely,Gary YepMayorC: Kerman City CouncilAlex Valdez”COMMUNITY COMES FIRST”16

MINUTESKERMAN CITY COUNCILREGULAR MEETINGKerman City Hall850 S. Madera AvenueWednesday, June 05, 20136:30 PMPresent: Mayor Yep (GY) Dhaliwal (RD), Fox (NF), Jones (CJ) Wilcox (DW)Absent: NoneAlso Present: City Manager/Planning & Development Director Patlan, City Attorney Blum,Community Services Director, Chief of Police, Public Works Director, City Engineer, Finance DirectorGary Yep - MayorDoug Wilcox – Mayor Pro-TemRaj Dhaliwal – Council MemberCharlie Jones – Council MemberNathan Fox – Council MemberVoting: Yes, No,Absent (Abstain ifneeded)OPENING CEREMONIES• Welcome – Mayor Gary Yep• Call to Order• Roll Call• Invocation• Pledge of Allegiance – City Clerk6:30 p.m.All presentexcept *NFarrived at 7:25p.m.PerformedAGENDA APPROVAL/ADDITIONS/DELETIONS1. CEREMONIAL MATTERSNoneApproved CJ/DW(4-0-1) NFREQUEST TO ADDRESS COUNCIL2. CONSENT CALENDARA. SUBJECT: Minutes - May 15, 2013RECOMMENDATION: Council approve minutes as presented.Alex Valdez - I5SSJasmine RameroApprovedCJ/DW(4-0-1) NFB. SUBJECT: Payroll - April 28 - May 11; May 12 - May 25RECOMMENDATION: Council approve payroll as presented.C. SUBJECT: Warrants Nos. 37086-37193: $240,383.22RECOMMENDATION: Council approve warrants as presented.D. SUBJECT: Resolution Declaring 2013 the Year of the Child (LP)RECOMMENDATION: Council adopt resolution declaring 2013 as "The Yearof the Child" as requested by the Children's Movement of Fresno.E. SUBJECT: Final Acceptance of Del Norte Trunk Sewer Main Improvements,Community Development Block Grant (CDBG) Project No. 11371 (GH)Res 13-26Addressed CCLinda GleasonRes 13-27RECOMMENDATION: Council adopt the attached resolution accepting thework performed by Halopoff and Sons, Inc. on the Del Norte Avenue TrunkSewer Main Improvements and authorize the City Engineer to file theNotice of Acceptance.17

F. SUBJECT: Accept the Stanislaus Ave. Reconstruction Project (GH)Res 13-28RECOMMENDATION: Council should adopt the attached resolutionaccepting the work performed by A. J. Excavation, Inc. and authorizing thefiling of the Notice of Acceptance.3. PUBLIC HEARINGSA. SUBJECT: Public Hearing on Proposed Utility Rates for FY 13/14 (TP)RECOMMENDATION: Council open the public hearing, receive publictestimony, close the public hearing, and adopt resolution approving utilityrates for fiscal year 2013/14.4. DEPARTMENT REPORTSA. SUBJECT: Participation in a Joint Law Enforcement Memorandum ofUnderstanding (MOU) to Use State Grant Funds for Front Line LawEnforcement Activities (JKB)RECOMMENDATION: Council authorize the City Manager enter into a JointMemorandum of Understanding (MOU) between the County of Fresno, allfifteen cities in the County, and the California Board of State andCommunity Corrections (BSCC) accepting $1,019,594 in grant funds fromthe State of California for front-line law enforcement activities.B. SUBJECT: Fresno County Regional Enterprise Zone Targeted EmploymentArea Application (LP)RECOMMENDATION: Council adopts attached resolution approving theEconomic Development Corporation serving Fresno County to submit aTargeted Employment Area application to the California DepartmentHousing and Community Development (HCD) on behalf of the FresnoCounty Regional Enterprise Zone.C. SUBJECT: Cities May Prohibit Medical Marijuana Dispensaries (MB)RECOMMENDATION: Council provide direction regarding the amendmentof Kerman's existing ordinance concerning medical marijuana dispensariesto prohibit such dispensaries in all land usezones of the City.Opened/ClosedPH *NF arrived7:25 pmApproved CJ/DW(4-1-0) GYAddressed CCRon GarciaEdward VallejoFrank McClureRes 13-29Approved byMinute OrderCJ/DW (5-0-0)Approved CJ/DW(5-0-0)Res 13-30Approved CJ/NF(5-0-0)Instruction givento City Attorneyto draft languagefor councilreview at a latermeeting.5. CITY MANAGER/STAFF COMMUNICATIONS6. MAYOR/COUNCIL REPORTSA. Sebastian Founders Day; June 14, 11 a.m., Plaza Park18

7. CLOSED SESSION8:55 p.m.A. Government Code Section 54956.9(a) - Conference with Legal Counsel -Existing Litigation; Name of case: California Court of Appeal for the FifthAppellate District, Case No. F060148, City of Clovis, City of Fowler, City ofKerman, City of Kingsburg, City of Sanger and City of Selma v. County ofFresnoB. Government Code Section 54957.6 - Conference with Labor Negotiators;Agency Designated Representatives: City Manager Luis Patlan; Employeeorganization: City of Kerman Miscellaneous Employees Group, and KermanPublic Safety Employees Association.COUNCIL RECONVENE FROM CLOSED SESSION & REPORT ANY ACTION TAKENNo reportableaction.Instructions tonegotiator.9:45 p.m.8. ADJOURNMENT9:46 p.m.19

CITY OF KERMANPAYROLL REPORTRETRO PAY OVERTIMESTANDBY & FTO GROSS COMP TIMEEMPLOYEE SALARY & Other HOURS AMOUNT HOURS AMOUNT SALARY EARNEDADMINISTRATIONPAY PERIOD: May 26, 2013 - June 08, 2013414 Patlan, Luis $ 4,442.31 $ - - $ -- $ - $ 4,442.3115 Gonzalez, Diana $ 1,747.85 $ - - $ -- $ - $ 1,747.8587 Madruga, Lydia $ 1,966.15 $ - - $ -- $ - $ 1,966.15299 Przybyla, Tim $ 3,882.92 $ - - $ -- $ - $ 3,882.92332 Alvarez, Josefina $ 1,473.23 $ - - $ -- $ - $ 1,473.23350 Jones, Toni $ 2,411.54 $ - - $ -- $ - $ 2,411.54375 Reyes, Marcia $ 2,346.00 $ - - $ -- $ - $ 2,346.00435 Nazaroff, Helen $ 1,609.85 $ - - $ -- $ - $ 1,609.85TOTAL $ 19,879.85 $ - - $ -- $ - $ 19,879.85 0.00REC/SOCIAL11 Gallegos, Philip $ 3,630.92 $ - - $ -- $ - $ 3,630.9235 Arredondo, Barbara $ 1,433.54 $ - - $ -- $ - $ 1,433.5476 Wright, Judy $ 112.00 $ - - $ -- $ - $ 112.0097 Gonzalez, Jose Felix $ 295.11 $ - - $ -- $ - $ 295.11233 Moore, Nancy $ 1,858.15 $ - - $ -- $ - $ 1,858.15237 Salvador, Mark $ 1,810.15 $ - - $ -- $ - $ 1,810.15292 Silva, Jessica $ 430.13 $ - - $ -- $ - $ 430.13405 Sidhu, Nirmal $ 1,408.15 $ - - $ -- $ - $ 1,408.15361 Lujan, Vanessa $ 475.00 $ - - $ -- $ - $ 475.00431 Laurissa, Gallardo $ 1,602.00 $ - - $ -- $ - $ 1,602.00341 Temores, Veronica $ 24.75 $ - - $ -- $ - $ 24.75347 Quintana Pedro $ 127.19 $ - - $ -- $ - $ 127.19373 Arredondo, Marissa $ 70.00 $ - - $ -- $ - $ 70.00383 Rodrigues, Manuel $ 24.06 $ - - $ -- $ - $ 24.06388 Arredondo, Michelle $ 66.00 $ - - $ -- $ - $ 66.00447 Gonzalez, Devonna $ 140.00 $ - - $ -- $ - $ 140.00473 Tailor, Abigail $ 35.00 $ - - $ -- $ - $ 35.00482 Silva, Joel $ 68.00 $ - - $ -- $ - $ 68.00497 Arredondo, Raquel $ 407.25 $ - - $ -- $ - $ 407.25498 Ayala, Adrien $ 200.00 $ - - $ -- $ - $ 200.00502 Gallegos, Yenifer $ 172.00 $ - - $ -- $ - $ 172.00TOTAL $ 14,389.41 $ - - $ -- $ - $ 14,389.41 0.00POLICE29 Rodrigues, Mary $ 1,691.08 $ - - $ -- $ - $ 1,691.0859 Madruga, Ron $ 2,850.92 $ - - $ -- $ - $ 2,850.9269 Chapman, Tom $ 2,167.85 $ - - $ -- $ - $ 2,167.85101 Cubillos, Teresa $ 2,922.00 $ - - $ -- $ - $ 2,922.00245 Barbosa, Isaias $ 2,167.85 $ - 16.00 $ 650.35 - $ - $ 2,818.20291 Ramirez, Donald $ 1,691.08 $ - 6.00 $ 190.25 - $ - $ 1,881.32296 Mendoza, Sandra $ 2,116.15 $ - 23.00 $ 912.59 12.00 $ 7.94 $ 3,036.68343 Davis, Jeff $ 2,586.00 $ - - $ -- $ - $ 2,586.00354 Ness, Lee $ 2,191.72 $ - 3.00 $ 121.94 - $ - $ 2,313.66363 Barcoma, Wilbert $ 2,462.77 $ - 20.00 $ 923.54 - $ - $ 3,386.31369 Ramer, Joseph $ 1,231.38 $ 377.98 8.00 $ 184.71 - $ - $ 1,794.07402 Nevis, James $ 2,167.85 $ - 3.00 $ 121.94 - $ - $ 2,289.79Page 1 of 320

CITY OF KERMANPAYROLL REPORTPAY PERIOD: May 26, 2013 - June 08, 2013RETRO PAY OVERTIMESTANDBY & FTO GROSS COMP TIMEEMPLOYEE SALARY & Other HOURS AMOUNT HOURS AMOUNT SALARY EARNED423 Magallon, Peter $ 2,116.15 $ - 34.00 $ 1,349.05 77.00 $ 80.68 $ 3,545.88425 Belding, Jeff $ 2,005.38 $ - - $ -- $ - $ 2,005.38442 Antuna, Eric $ 1,828.15 $ - - $ -- $ - $ 1,828.15458 Nelson, Christopher J $ 2,715.23 $ - 5.00 $ 254.55 - $ - $ 2,969.78459 Milchovich, Lindsay $ 1,783.38 $ - - $ -- $ - $ 1,783.38468 Tiwana, Manpreet $ 1,740.92 $ - 23.50 $ 767.09 - $ - $ 2,508.02474 Blohm, Joseph $ 3,671.08 $ - - $ -- $ - $ 3,671.08476 Rodriguez, Erika $ 1,740.92 $ - 12.00 $ 522.28 2.00 $ 10.88 $ 2,274.08478 O'Bar, Joshua $ 1,617.70 $ - 9.00 $ 272.99 - $ - $ 1,890.68485 Lehman, Dustin $ 45.00 $ - - $ -- $ - $ 45.00487 Antuna, Miguel $ 384.00 $ - - $ -- $ - $ 384.00500 Bitter, Nathaniel $ 696.00 $ - - $ -- $ - $ 696.00501 Ledezma, Linda $ 768.00 $ - - $ -- $ - $ 768.00503 Kroeger, Brent $ 285.00 $ - - $ -- $ - $ 285.00504 Labetiaux, EJ Medina $ 864.00 $ - - $ -- $ - $ 864.00TOTAL: $ 48,507.57 $ 377.98 162.50 $ 6,271.28 91.00 $ 99.49 $ 55,256.32 0.00PUBLIC WORKS8Gonzales, Ruben $ 1,888.15 $ - - $ -- $ - $ 1,888.1520 Rodriguez, Joe $ 1,842.92 $ - 1.00 $ 34.55 - $ - $ 1,877.4825 Prieto, Ruben $ 1,654.62 $ - - $ -- $ - $ 1,654.6226 Gruce, Robert $ 2,382.00 $ - - $ -- $ - $ 2,382.0027 Hearld, Douglas $ 2,783.54 $ - - $ -- $ - $ 2,783.54134 Ramirez, Manuel $ 1,716.46 $ 185.06 6.00 $ 225.29 21.00 $ 450.57 $ 2,577.38172 Chavez, Fernando M. $ 2,220.92 $ - - $ -- $ - $ 2,220.92290 Gastelum, Humberto $ 1,848.92 $ - - $ -- $ - $ 1,848.92298 Barajas, Michael $ 1,754.31 $ - 16.00 $ 592.08 23.25 $ 509.85 $ 2,856.23322 Castro, Joseph $ 1,595.08 $ - - $ -- $ - $ 1,595.08349 Arechiga, Pastor $ 1,575.69 $ - - $ -- $ - $ 1,575.69378 Sanchez, Daniel $ 1,408.15 $ - - $ -- $ - $ 1,408.15389 Zapata, Domingo $ 1,747.85 $ - - $ -- $ - $ 1,747.85329 Moore, Ken $ 3,853.85 $ - - $ -- $ - $ 3,853.85418 Medeiros, Cheryl $ 1,756.62 $ - - $ -- $ - $ 1,756.62460 Vallejo, Edward $ 1,696.62 $ - - $ - 2.25 $ 47.72 $ 1,744.33486 Palacios, Jesus $ 290.00 $ - - $ -- $ - $ 290.00495 Valdivia III, Gregorio $ 290.00 $ - - $ -- $ - $ 290.00TOTAL $ 32,305.69 $ 185.06 23.00 $ 851.92 46.50 $ 1,008.13 $ 34,350.81PLANNING37 Pimentel, Olivia $ 2,063.54 $ - - $ -- $ - $ 2,063.54234 Kufis, Chris $ 2,299.85 $ - - $ -- $ - $ 2,299.85326 Fonseca, Monica $ 1,178.17 $ - - $ -- $ - $ 1,178.17TOTAL $ 5,541.56 $ - - $ -- $ - $ 5,541.56 0.00PLANNING COUNCILEpperson, R $ -Dhaliwal $ 125.00Lopez, Michael $ -Wilcox $ 125.00Bandy, Robert $ -Yep $ 125.00Harris, Jordan $ -Jones $ 125.00Melgoza, G $ -Fox $ 125.00Nehring, K $ -Nijjer, B $ -Total $ -Total $ 625.00GRAND TOTAL: $121,249.07 $563.04 185.50 $7,123.20 137.50 $1,107.63 $ 130,042.94 0.00Page 2 of 321

CITY OF KERMANPAYROLL REPORTPAY PERIOD: May 26, 2013 - June 08, 2013RETRO PAY OVERTIMESTANDBY & FTO GROSS COMP TIMEEMPLOYEE SALARY & Other HOURS AMOUNT HOURS AMOUNT SALARY EARNEDPoliceUniform Pay29 Rodrigues, Mary $ 275.0059 Madruga, Ron $ 275.0069 Chapman, Tom $ 275.00101 Cubillos, Teresa $ 275.00245 Barbosa, Isaias $ 275.00291 Ramirez, Donald $ 275.00296 Mendoza, Sandra $ 275.00343 Davis, Jeff $ 275.00354 Ness, Lee $ 275.00363 Barcoma, Wilbert $ 275.00369 Ramer, Joseph $ 275.00402 Nevis, James $ 275.00423 Magallon, Peter $ 275.00425 Belding, Jeff $ 275.00442 Antuna, Eric $ 275.00458 Nelson, Christopher J $ 275.00459 Milchovich, Lindsay $ 275.00468 Tiwana, Manpreet $ 275.00474 Blohm, Joseph $ 300.00476 Rodriguez, Erika $ 275.00478 O'Bar, Joshua $ 275.00GRAND TOTAL: $ 5,800.00Holiday Pay59 Madruga, Ron $ 1,425.4669 Chapman, Tom $ 1,083.92101 Cubillos, Teresa $ 1,461.00245 Barbosa, Isaias $ 1,083.92296 Mendoza, Sandra $ 1,058.08343 Davis, Jeff $ 1,293.00354 Ness, Lee $ 1,083.92363 Barcoma, Wilbert $ 1,231.38402 Nevis, James $ 1,083.92423 Magallon, Peter $ 1,058.08425 Belding, Jeff $ 1,002.69442 Antuna, Eric $ 914.08458 Nelson, Christopher J $ 1,357.62459 Milchovich, Lindsay $ 891.69468 Tiwana, Manpreet $ 870.46476 Rodriguez, Erika $ 870.46478 O'Bar, Joshua $ 647.08GRAND TOTAL: $ 18,416.76Page 3 of 322

CITY OF KERMANOVERTIME SUPPLEMENTAL PAYROLL REPORTPOLICE DEPARTMENTPAY PERIOD - 5-26-13 - 06-08-13Regular Training Shift SID Detail Avoid the SpecialOvertime Coverage 21 Grant Events Total27.5 27 36 7.5 52.5 150.5(see note below) (see note below) (see note below) (see note below) (see note below)DOUBLE TIME: (Sunday)12 (see note below) 12PUBLIC WORKS DEPARTMENT Sub Total 162.5Overtime Categories - Number of HoursWater Sewer AnimalSpecial Other On CallService Emergencies Control Events Duties Total4 5 1 4 14(see note below) (see note below) (see note below) (see note below)DOUBLE TIME: (Sunday)3 6 9COMMUNITY SERVICES DEPARTMENT Sub Total 23.0Regular After HourOvertime Event TotalFINANCE / PLANNING DEPARTMENTS0Sub Total 0Regular Utility Payroll Dog Clinic Year EndOvertime Billing Audit Total0Sub Total 0Total Hours (All Departments) 185.5POLICE DEPARTMENT:Double time- 12 hours/cover a shiftPUBLIC WORKS DEPARTMENT:Water Service - Includes 4 hrs overtime for shut-off and turn-on of service, all water related emergencies.Animal Control - Vicious or dead animals. (not normally used for stray animals)Special Events - Harvest Festival, Pagentry of Lights, National Night Out Water Conservation booth, Portuguese Parade, 3rd of July, including set up and clean up.Other - 1 hr overtime for on-call to remove downed tree limb.Anything not covered in other categories.COMMUNITY SERVICES DEPARTMENTRegular Overtime – On occasion, but very rare due to the amount of part-time employees.After Hour Event – Occurs only if a full-time employee would have to stay for clean-up or as a facility attendent.FINANCE / PLANNING DEPARTMENTSRegular Overtime - Only as needed.Utility Billing - Completed on the 1st of each month.Payroll - Completed bi-weekly.Dog Clinic - Once a year clinic held after business hours.Overtime Categories - Number of HoursOvertime Categories - Number of HoursOvertime Categories - Number of HoursRegular Overtime – 27.5 hours-late reports/arrest/explorer meeting.When an incident occurs at the end of a shift and officer needed extra time, i.e. tocomplete a call for service, late arrest, report writing, etc.Shift Coverage – 36 hours-shift coverage due to Chapman, Nevis & Davis on vacation/comp time off. When officer is called in to cover an absence due tovacation, a recent vacancy, or injury of an officer who is out on medical leave.Special Investigation Division (SID) – Special police action is required such as a search warrant, surveillance, and other crime patterns, etc.Training – 27 Hours total/ 24 hours are POST reimb. For CPT training/3 hrs for PEBT training. Officers instructing or attending classes. Overtime mayoccur when officers cover the shift of those in training.Grant – 52.5 hours for AVOID the 21. Officers conducting Special Enforcement Control. Avoid the 21, Click It or Ticket, and Special Project. The City getsreimbursed for overtime through the Grant Programs.Detail- 7.5 HOURS for Kerman High School graduationSewer Emergencies - 5 hrs Overtime and 3 hrs Double time for SCADA problems/Sewer emergencies. (SCADA controls pumps, wells and sewer, liftstations, all sewer and storm drain related issues)On-Call Duties 4 hours overtime and 6 hours double time for reading and recording flow meters on wells and sewer plant; feed and clean kennels,verify WWTP running effectively, etc. OT is for two weekends. and/or any holidaysYear-End Audit - Completed over a period of time at the end of each fiscal year.Gen Share/Finance Shared/Payroll/Council Overtime Report23

CITY OF KERMANCD/Securities PortfolioAs of May 31, 2013 6/30/2012 6/30/2013 FY to DateInterest Rate/ Opening Maturity Book Additions/ Book InterestInstitution Account Number Trans. Date Date Date Balance (Deletions) Cashed In Balance Fair Value PaidCD's:Pacific Mercantile Bank 80900343 0.95% 1/22/08 1/22/13 99,000.00 99,000.00 99,000.00 779.52Spiritbank - Tulsa Oklahoma 615-030525-245 1.35% 6/17/10 12/17/12 98,000.00 (98,000.00) - 663.30Firstbank of Puerto Rico 615-030525-245 2.05% 2/24/10 2/25/13 196,000.00 (196,000.00) - 2,708.01JP Morgan (Formerly WAMU) 615-030525-245 4.30% 3/12/08 3/12/13 97,000.00 (97,000.00) - 4,171.00CIT Bank 615-030525-245 3.25% 3/25/09 3/25/13 98,000.00 (98,000.00) - 3,185.00American Express Centurion Bank 615-030525-245 2.05% 3/31/10 4/1/13 98,000.00 (98,000.00) - 2,014.51Doral Bank Cantano PR 615-030525-245 2.15% 5/14/10 5/14/13 98,000.00 (98,000.00) - 1,928.05Banco Popular De Puerto Rico Hato Rey 615-030525-245 1.05% 6/8/11 6/7/13 248,000.00 248,000.00 248,009.92 1,305.57Capmark Bank - Midvale Utah 615-030525-245 5.05% 7/30/08 7/30/13 97,000.00 97,000.00 97,679.97 2,469.38Discover Bank 615-030525-245 0.95% 9/14/11 9/16/13 98,000.00 98,000.00 98,151.90 469.33Bank of China 615-030525-245 1.05% 10/31/11 11/1/13 248,000.00 248,000.00 248,634.88 2,604.00American Express Bank 615-030525-246 4.75% 12/24/08 12/24/13 95,000.00 95,000.00 97,249.60 2,262.43Spiritbank - Tulsa Oklahoma 615-030525-245 2.00% 6/17/10 2/18/14 99,000.00 99,000.00 99,846.45 1,811.81Scotiabank De Puerto Rico 615-030525-245 1.40% 3/11/11 3/11/14 196,000.00 196,000.00 197,442.56 2,744.00BMW Bank of North America 615-030525-245 1.35% 4/27/11 4/28/14 248,000.00 248,000.00 250,093.12 3,348.00GE Capital Financial 615-030525-245 1.45% 5/13/11 5/13/14 248,000.00 248,000.00 250,008.80 3,596.00American Express Centurion Bank 615-030525-245 1.20% 8/11/11 8/11/14 52,000.00 52,000.00 52,509.60 625.71CIT Bank 615-030525-245 1.15% 8/10/11 8/11/14 46,000.00 46,000.00 46,000.00 530.45World Financial Network NB 615-030525-245 1.25% 8/31/11 8/29/14 200,000.00 200,000.00 200,982.00 2,287.68Ally Bank 615-030525-245 1.75% 10/8/10 10/8/14 100,000.00 100,000.00 101,696.00 1,750.00CIT Bank, Salt Lake City, UT 615-030525-245 1.50% 5/4/11 11/4/14 99,000.00 99,000.00 99,000.00 1,485.00GE Money Bank 615-030525-245 1.70% 11/5/10 11/5/14 97,000.00 97,000.00 98,325.99 1,649.00GE Money Bank 615-030525-245 1.70% 1/21/11 1/21/15 100,000.00 100,000.00 101,486.00 1,704.66State Bank of India 615-030525-245 2.00% 3/24/11 3/24/15 98,000.00 98,000.00 100,097.20 1,960.00Ally Bank, Midvale 615-030525-245 1.80% 6/8/11 6/8/15 147,000.00 147,000.00 150,497.13 1,326.62EverBank 615-030525-245 0.70% 12/14/12 6/15/15 98,000.00 98,000.00 98,410.62 -Mercantile Bank of Michigan 615-030525-245 2.00% 1/21/11 7/21/15 150,000.00 150,000.00 153,877.50 3,008.22GE Money Bank 615-030525-245 1.50% 8/5/11 8/5/15 50,000.00 50,000.00 50,638.00 752.05Sallie Mae Bank 615-030525-245 1.10% 8/8/12 8/10/15 97,000.00 97,000.00 97,737.20 537.88Discover Bank 615-030525-245 1.55% 9/14/11 9/14/15 99,000.00 99,000.00 101,402.73 1,996.17State Bank of India 615-030525-245 2.25% 9/29/10 9/29/15 100,000.00 100,000.00 103,092.00 3,384.25Discover Bank Greenwood 615-030525-245 1.35% 2/1/12 2/1/16 51,000.00 51,000.00 52,163.31 690.39Goldman Sachs Bank 615-030525-245 1.40% 2/1/12 2/1/16 48,000.00 48,000.00 48,521.76 673.84Safra NB of New York 615-030525-245 1.20% 4/4/12 4/4/16 98,000.00 (98,000.00) - 1,449.93Doral Bank San Juan PR 615-030525-245 1.20% 6/28/12 6/28/16 99,000.00 99,000.00 100,179.09 595.63State Bank of India 615-030525-245 2.00% 8/12/11 8/12/16 47,000.00 47,000.00 48,394.96 942.57Goldman Sachs Bank USA 615-030525-245 1.85% 8/31/11 8/31/16 200,000.00 200,000.00 204,754.00 3,700.00Firstbank of Puerto Rico 6-15-030525-245 1.10% 1/25/13 1/25/17 - 53,000.00 53,000.00 53,015.37 191.68Firstbank of Puerto Rico 615-030525-245 0.90% 3/1/13 3/1/17 196,000.00 196,000.00 195,351.24 294.81CIT Bank 615-030525-245 0.90% 3/27/13 3/27/17 98,000.00 98,000.00 97,711.88 -Safra NB of New York 615-030525-245 1.50% 5/31/12 5/31/17 150,000.00 (150,000.00) - 1,115.75American Express Centurion Bank 615-030525-245 1.70% 7/26/12 7/26/17 98,000.00 98,000.00 99,841.42 839.85Sallie Mae Bank 615-030525-245 1.70% 8/22/12 8/22/17 150,000.00 150,000.00 152,860.50 1,285.48Provident Bank 615-030525-245 4.85% 8/1/08 8/1/12 97,000.00 (97,000.00) - 2,345.81Bank of Baroda 615-030525-245 1.25% 3/8/13 3/8/18 248,000.00 248,000.00 247,253.52 -Wells Fargo Bank in SD 615-030525-245 1-3 Years 1%; Year 4-1.25%; Year 5-2%3/28/13 3/29/18 248,000.00 248,000.00 247,221.28 -32

CITY OF KERMANCD/Securities PortfolioAs of May 31, 2013 6/30/2012 6/30/2013 FY to DateInterest Rate/ Opening Maturity Book Additions/ Book InterestInstitution Account Number Trans. Date Date Date Balance (Deletions) Cashed In Balance Fair Value PaidAmerican Express Centurion Bank 615-030525-245 1.15% 5/16/13 5/16/18 98,000.00 98,000.00 97,278.72 -Government Securities:Average Rate 1.99%Subtotal - CD's 4,489,000.00 354,000.00 - 4,843,000.00 4,886,416.22 73,183.34Subtotal - Government Securities - - - - - -Central Valley Comm Bank CD 1.13 6/21/11 9/21/12 505,689.60 1,440.31 (507,129.91) - - 1,440.311.34 6/8/12 6/8/17 200,000.00 200,000.00 200,000.00 2,232.11Total CD and Government Securities Investments 5,194,689.60 355,440.31 (507,129.91) 5,043,000.00 5,086,416.22 76,855.76Chandler Asset ManagementBeginning Balance - -(City of Kerman) 146,893.43 146,893.43 144,000.00- -Chandler Ending Balance Total Chandler Investments 146,893.43 - - 146,893.43 146,893.43 -Central Valley Money Market Acct 015030960Beginning Balance 6/30/12 2,669,483.07 2,669,483.07Interest 7/31/12 905.58 905.58 905.588/31/12 675.04 675.04 675.049/30/12 388.97 388.97 388.9710/31/12 404.87 404.87 404.8711/30/12 278.68 278.68 278.6812/31/12 237.03 237.03 237.031/31/13 224.56 224.56 224.562/28/13 378.91 378.91 378.913/31/13 327.51 327.51 327.514/30/13 201.25 201.25 201.255/31/13 282.83 282.83 282.83Transfers In/(Out) -7/30/12 (60,000.00) (60,000.00)8/21/12 (90,000.00) (90,000.00)8/23/12 (161,000.00) (161,000.00)9/12/12 (500,000.00) (500,000.00)9/26/12 (200,000.00) (200,000.00)9/26/12 507,129.91 507,129.9110/23/12 (244,000.00) (244,000.00)11/20/12 (110,000.00) (110,000.00)12/13/12 (150,000.00) (150,000.00)1/25/13 (53,000.00) (53,000.00)2/1/13 900,000.00 900,000.002/8/13 (100,000.00) (100,000.00)2/20/13 (200,000.00) (200,000.00)3/8/13 (98,000.00) (98,000.00)3/14/13 (100,000.00) (100,000.00)3/28/13 (151,000.00) (151,000.00)4/3/13 (150,000.00) (150,000.00)4/30/13 600,000.00 600,000.005/3/13 (100,000.00) (100,000.00)-2,669,483.07 (455,564.86) - 2,213,918.21 2,213,918.21 4,305.23SBI, CA Money Market AccountBeginning Balance 6/30/12 248,483.69 248,483.6933

CITY OF KERMANCD/Securities PortfolioAs of May 31, 2013 6/30/2012 6/30/2013 FY to DateInterest Rate/ Opening Maturity Book Additions/ Book InterestInstitution Account Number Trans. Date Date Date Balance (Deletions) Cashed In Balance Fair Value PaidInterest 7/31/12 157.85 157.85 157.858/31/10 157.95 157.95 157.959/30/12 139.01 139.01 139.0110/31/12 141.48 141.48 141.4811/30/12 132.70 132.70 132.7012/31/12 137.21 137.21 137.211/31/13 137.65 137.65 137.652/28/13 124.40 124.40 124.403/31/13 137.80 137.80 137.804/30/13 133.43 133.43 133.435/31/13 137.95 137.95 137.95Transfers In/(Out) - -- -- -248,483.69 1,537.43 - 250,021.12 - 1,537.43Ending Balance - Money Market Accts 2,917,966.76 (454,027.43) - 2,463,939.33 2,213,918.21 5,842.66Subtotal All City Investments 7,912,656.36 (100,027.43) - 7,306,939.33 7,100,334.43 82,698.4234

CITY OF KERMANCD/Securities PortfolioAs of May 31, 2013 6/30/2012 6/30/2013 FY to DateInterest Rate/ Opening Maturity Book Additions/ Book InterestInstitution Account Number Trans. Date Date Date Balance (Deletions) Cashed In Balance Fair Value PaidSUCCESSOR AGENCYTotal - CD's - - - - - -CVCB Money Market Accts 015029549Beginning Balance 6/30/12 340,855.84 340,855.84Interest 7/31/12 50.91 50.91 50.918/31/12 31.18 31.18 31.189/30/12 26.17 26.17 26.1710/31/12 22.69 22.69 22.6911/30/12 14.57 14.57 14.5712/31/12 5.25 5.25 5.251/31/13 4.72 4.72 4.722/28/13 4.27 4.27 4.273/31/13 3.94 3.94 3.944/30/13 3.80 3.80 3.805/31/13 3.54 3.54 3.54Transfers In/(Out) 7/12/12 (110,666.11) (110,666.11)8/31/12 (10,000.00) (10,000.00)9/12/12 (10,000.00) (10,000.00)9/26/12 (10,000.00) (10,000.00)10/9/12 (10,000.00) (10,000.00)10/23/12 (10,000.00) (10,000.00)11/20/12 (120,000.00) (120,000.00)12/11/12 (10,000.00) (10,000.00)12/13/12 (4,000.00) (4,000.00)-Subtotal CVCB Money Market 340,855.84 (294,495.07) - 46,360.77 46,360.77 171.04Subtotal SBI Money Market - - - - - -Ending Balance - Money Market Accts 340,855.84 (294,495.07) - 46,360.77 46,360.77 171.04Subtotal All Successor Agency Investments 340,855.84 (294,495.07) - 46,360.77 46,360.77 171.04Total Investments 8,600,405.63 (393,082.19) (507,129.91) 7,700,193.53 7,293,588.63 82,869.46Market Value Adjustment (406,604.90)(900,212.10)(900,212.10)-35

City of Kerman“Community Comes First”MAYORGary K. YepMAYOR PRO-TEMDoug WilcoxCOUNCIL MEMBER COUNCIL MEMBER COUNCIL MEMBERRaj Dhaliwal Nathan Fox Charlie JonesDEPARTMENT: Public WorksSTAFF REPORTCITY COUNCIL MEETINGCOUNCIL MEETING DATE: June 19, 2013To:From:Subject:Mayor and City CouncilGary D. Horn, City EngineerPublic Hearing and Approval of Resolution Confirming Diagram and Assessments for the Annual Levy,2013-2014 Landscaping and Lighting District No. 1RECOMMENDATIONCouncil should:1. Conduct a public hearing to receive testimony regarding the proposed 2013-2014 assessments for Landscapingand Lighting District No. 1; and2. Adopt the attached Resolution which will confirm the diagram and assessments for the annual levy ofLandscaping and Lighting District No. 1 for 2013-2014 in the amounts specified.EXECUTIVE SUMMARYThe Landscape and Lighting District maintains public landscaping in median islands and landscape strips alongmajor streets. The revenue from the district also pays for street lighting costs for areas with the district. All newdevelopments are annexed into the district and charged an annual assessment that is collected with property taxes.DISCUSSIONThe Landscape and Lighting Act of 1972 requires that certain actions be completed by Council prior to levyingassessments upon properties within Kerman's Landscaping and Lighting District No. 1 (LLD). The Council haspreviously adopted resolutions initiating the proceedings and authorizing the preparation of the Engineer’s Report.The final action required of Council is to conduct this public hearing to consider protests to the proposed assessment,to confirm the diagram, and to approve the assessments. The Engineer’s Report for the LLD is on file with the CityClerk and contains a detailed description of the improvements being maintained, the boundaries of the LLD, and theproposed assessment for each property within the LLD. There have been no annexations to the LLD this past year.Attached is a map showing the various assessment areas. The assessments for Areas 1 through 5 were establishedprior to the passage of Proposition 218 and therefore cannot be raised without a vote of the property owners. Theassessments for Areas 6 through 12 are adjusted annually by the change in the Consumer Price Index (CPI). TheCPI increased 2.1% in 2012.36

City Council Staff Report Page 2 of 5The proposed assessments for single family residential lots are as follows:AREAASSESSMENT1 $50.462 83.563 30.484 83.565 94.006 125.467 125.468 128.229 124.8810 38.7611 124.8812 124.88Assessments for large lots vary and are included in the Engineer’s Report.FISCAL IMPACTThe total proposed assessments for this year are $207,281.04.PUBLIC HEARINGA public hearing is required by law.REASON FOR RECOMMENDATIONIn order for the assessments to be placed on the County tax roll, City Council must hold a public hearing and approvethe attached Resolution confirming the assessments.Attachments:A. ResolutionB. Map37

City Council Staff Report Page 3 of 5Attachment ‘A’RESOLUTION NO. 13-___A RESOLUTION OF THE COUNCIL OF THE CITY OF KERMAN, CALIFORNIA,CONFIRMING DIAGRAM AND ASSESSMENT FOR THE ANNUAL LEVYFOR 2013-2014 OFLANDSCAPING AND LIGHTING DISTRICT NO. 1WHEREAS, on May 15, 2013 pursuant to Part 2 of Division 15 of the Streets and Highways Code, the Landscapingand Lighting Act of 1972, the Council of the City of Kerman did adopt a Resolution of Intention to Levy and Collect the AnnualAssessment for Landscaping and Lighting District No. 1 of the City of Kerman (herein “LLD No. 1”); andWHEREAS, the Council did declare in said Resolution of Intention its intention to levy and collect the annualassessment for the maintenance and operation of the landscaping and lighting facilities in LLD No. 1; andWHEREAS, said Resolution of Intention was duly published and notice given of the hearing as provided by law.NOW, THEREFORE, IT IS RESOLVED AND ORDERED, as follows:1. The Council hereby determines that the territory within the LLD No. 1, whose boundaries are set forth in theEngineer’s Report of the City of Kerman LLD No. 1 dated MAY 2013, and on file with the City Clerk of the City of Kerman will bethe territory benefited by the maintenance and servicing of the improvements described in said Engineer’s Report.2. The hearing on said annual levy of assessment was held in accordance with law, all persons filing protests orrequesting to speak and who appeared were heard.3. The Engineer’s Report, the diagram for the assessment district, and the assessment of the estimated costs ofthe improvements contained therein and each and every part of said report, is adopted and approved; and the assessment uponthe land in LLD No. 1 being found to be in proportion to the benefits to be received from the improvements, are finally approvedand confirmed as the assessment to pay the costs of said improvements and the expenses incidental thereto.4. The Council hereby orders the levy of the assessments described in said Resolution of Intention and theEngineer’s Report,5. The assessment diagram showing the assessment district referred to in said Resolution of Intention and alsothe subdivisions of land within the District, as contained in said Engineer’s Report, is the diagram of the properties that are to beassessed to pay the District costs.6. The City Clerk shall file the diagram and assessment, as confirmed, or a certified copy thereof, with theRecorder of the County of Fresno no later than the 26 th day of June 2013 and all assessment information required by theCounty Auditor to the Auditor’s office no later than July 29, 2013.38

City Council Staff Report Page 4 of 5BE IT FURTHER RESOLVED THEREFORE that the City Council of the City of Kerman finds as follows:A. That the assessment imposed hereby is an assessment imposed exclusively to finance the capital costs ofmaintenance and operation expenses for sidewalks, streets and integral portions of each of the above-described facilities;B. That the assessment imposed is hereby imposed at the assessment rate according to the methodology adoptedpursuant to a petition signed by the persons owning all of the parcels subject to the assessment was initially imposed, or thatthe assessment imposed hereby is imposed at the assessment rate and according to the methodology adopted pursuant tomajority voter approval from the voters voting in an election on the issue of such assessment.BE IT FURTHER RESOLVED that the City Council of the City of Kerman determines, upon the basis of the foregoingfindings, that the assessment adopted hereby is imposed pursuant to the provisions of Proposition 218, California ConstitutionArticle XIII D, and pursuant to exemptions contained therein.BE IT FURTHER RESOLVED, that the City Council of the City of Kerman will indemnify, defend and hold harmless theCounty, the Board of Supervisors and the Auditor-Controller/Treasurer-Tax Collector, their agents and employees againstpayment of any and all costs and expenses, claims, suits, losses, damages and liability arising from or arising out of anynegligent or wrongful acts or omissions of the City, including its council members, officers, agents and employee’s in levyingand collecting the assessment.The foregoing resolution was introduced and adopted at a regular meeting of the City Council of the City of Kermanheld on the 19 th day of June, 2013, by the following vote, to wit :AYES:NOES:ABSENT:ABSTAIN:The Resolution is hereby approved.ATTEST:___________________________GARY YEPMAYORMARCI REYESCITY CLERK39

City Council Staff Report Page 5 of 5Attachment ‘B’40

City of Kerman“Community Comes First”MAYORGary K. YepMAYOR PRO-TEMDoug WilcoxCOUNCIL MEMBER COUNCIL MEMBER COUNCIL MEMBERRaj Dhaliwal Nathan Fox Charlie JonesDEPARTMENT: PLANNING & DEVELOPMENTSTAFF REPORTCITY COUNCIL MEETINGCOUNCIL MEETING DATE: JUNE 19, 2013To:From:Subject:Mayor and City CouncilChris Kufis, Building OfficialEmergency Abatement of Public NuisanceRECOMMENDATIONCouncil declare dead and dried-out redwood trees located at 15838 W. E Street a public nuisance posing animmediate threat of property damage and injury pursuant to Section 14.02.20 of the Kerman Municipal Code andauthorize the Building Official to immediately abate said nuisance.EXECUTIVE SUMMARYProperty located at 15838 W. E Street has approximately seven (9) redwood trees located in the rear yard that aredead and dried-out. These trees are about 50 feet tall and pose an immediate fire hazard and danger to life andproperty. Two of the trees have fallen and seven remain standing. Section 14.02.20 of the Kerman Municipal Code(KMO) allows for the emergency abatement of such a public nuisance where there is an immediate threat of propertydamage or injury.OUTSTANDING ISSUESStaff has contacted several tree service companies to provide a quote for the removal of the trees and all debris.Staff expects to receive estimates on June 18. The quotes will be presented to the Council the night of meeting.DISCUSSIONThe Planning and Development Department received a complaint about potential fire hazard caused by nine (9) deadand dried-out mature redwood trees in the rear yard of the residence located at 15838 W. E Street. On April 15,2013, staff sent a registered thirty day (30) Notice and Order to Abate the trees. Staff did not receive a response fromthe property owners. Staff made contact with the property owners on June 13. The property owners indicated thatthey understood the hazard, but were not in a position to pay for the abatement of the trees.Staff is considered that the approaching Fourth of July holiday poses a serious threat of fire due to the dead anddried-out redwood trees. Redwood trees are highly flammable when dry. The adjoining homes to the west and east ofthe subject property have a wood shake roof that would be highly susceptible to catch on fire should the redwoodignite.41

City Council Staff ReportEmergency Abatement – 15838 W. E Street Page 2 of 5FISCAL IMPACTThe cost to abate the redwood trees will be presented to the Council the night of the meeting. Staff scheduled threetree service companies to provide a cost estimate for the removal of the redwood trees and all debris. The cost ofabatement will be funded from the weed abatement account.Should the City authorize the abatement, staff will bring back an abatement cost report at the next regularlyscheduled meeting for the Council to authorize staff to submit the cost of abatement to the County Treasurer as aspecial assessment against the real property.PUBLIC HEARINGNone required.REASON FOR RECOMMENDATIONTo emergency abate a public nuisance that is an imminent threat to property damage and injury.Attachments:A. Photographs of Trees42

City Council Staff ReportEmergency Abatement – 15838 W. E Street Page 3 of 5Attachment ‘A’Photographs43

City Council Staff ReportEmergency Abatement – 15838 W. E Street Page 4 of 544

City Council Staff ReportEmergency Abatement – 15838 W. E Street Page 5 of 545

City of Kerman“Community Comes First”MAYORGary K. YepMAYOR PRO-TEMDoug WilcoxCOUNCIL MEMBER COUNCIL MEMBER COUNCIL MEMBERRaj Dhaliwal Nathan Fox Charlie JonesDEPARTMENT: PUBLIC WORKSSTAFF REPORTCITY COUNCIL MEETINGCOUNCIL MEETING DATE: JUNE 19, 2013To:From:Subject:Mayor and City CouncilGary D. Horn, City EngineerResolution Awarding Bid for First Street Reconstruction, Federal Project No. STPL-5291(016) andMiddleton Avenue Reconstruction, Federal Project No. STPL-5291(017)RECOMMENDATIONCouncil adopt the attached resolution awarding the bid to the lowest responsible bidder based on the outcome of thebids opened Tuesday, June 18, 2013 and presented at the Council Meeting.EXECUTIVE SUMMARYThe City has received Federal funds for the reconstruction of First Street and Middleton Avenue. Due to the Project’sproximity to Kerman High School, the City is expediting the Project to complete the majority of construction duringsummer recess in order to minimize the impacts to the High School. We have met with KUSD personnel tocoordinate the project schedule with them. A delay in the project review by Caltrans necessitated the opening of bidson Tuesday, June 18, 2013 and the award of the project at the Council Meeting the following day. The bid results willbe presented at the Council Meeting.OUTSTANDING ISSUEThe bids were originally scheduled to be opened the morning of June 14, 2013; however, the bid opening wasrescheduled to June 18 due to an unanticipated delay in obtaining an authorization to proceed from Caltrans. It isimportant to award the bid on June 18 in order for the selected contractor to begin construction as soon as possibleto avoid any conflicts with the start of the new school year at the high school in mid-August. Staff hopes that thecontractor would be completed with the project before the school year starts to limit disruptions to early morning andafternoon traffic at the high school.DISCUSSIONThe First Street and Middleton Avenue Reconstruction consists of the reconstruction of First Street from KearneyBoulevard to Whitesbridge Road and the reconstruction of Middleton Avenue from Del Norte Avenue to First Street.The existing pavement along these streets is in poor condition and needs to be reconstructed to correct deficienciesin the pavement surface, pavement structural section, and drainage. The Project will also include the replacement ofdamaged curb and gutter, valley gutter, sidewalk, and other concrete improvements. New handicap ramps will beinstalled at intersections to meet ADA accessibility requirements.46

City Council Staff Report Page 2 of 3Award of Bid - First and Middleton Street Reconstruction ProjectAs part of the Project, curb bulbouts (curb extensions) will be constructed at the intersection of First Street andStanislaus Avenue. The curb bulbouts have three primary purposes: 1)Pedestrians are able to safely move out to alocation where they have a line of sight beyond parked vehicles to check for traffic; 2)Reduced crosswalk lengthdecreases the amount of distance pedestrians are exposed to traffic; 3)Drivers instinctively slow down due to thenarrowing of the street. Curb bulbouts are also included at the intersection of First Street and San Joaquin Avenueas an Additive Alternate to the Project. The construction of the curb bulbouts will also require the extension ofexisting storm drainage facilities.The Engineer’s Estimate for the Base Bid for the Project is $1,016,555 and $70,072 for Additive Alternate No. 1.FISCAL IMPACTThe City has received Federal funds in the amount of $553,438 for the Project. The remaining funding will come fromLocal Street funds. The exact amount will be determined by the bids received for construction.PUBLIC HEARINGNoneREASON FOR RECOMMENDATIONIn order to move forward with the construction of the Project, Council must award the bid to the lowest responsiblebidder.Attachments:A. Resolution47

City Council Staff Report Page 3 of 3Award of Bid - First and Middleton Street Reconstruction ProjectAttachment ‘A’RESOLUTION NO. 13-___RESOLUTION OF THE CITY COUNCIL OF THE CITY OF KERMANACCEPTING BID FOR THE FIRST STREET RECONSTRUCTION PROJECT (FEDERAL PROJECT NO. STPL-5291(016))AND MIDDLETON AVENUE RECONSTRUCTION, FEDERAL PROJECT NO. STPL-5291(017)WHEREAS, the Invitation to Bid for the First Street Reconstruction, Federal Project No. STPL-5291(016) andMiddleton Avenue Reconstruction, Federal Project No. STPL-5291(017) Project in the City of Kerman was listed in the FresnoBee on May 30, 2013 and the Kerman News on June 5, 2013; andWHEREAS, the project will consist of the reconstruction of First Street from Kearney Boulevard to Whitesbridge Roadand Middleton Avenue from Del Norte Avenue to First Street, including concrete and storm drain improvements in the City ofKerman; andWHEREAS, the following bids for the project were publicly opened and read aloud at the Kerman City Hall on June 18,2013 at 10:00 a.m.:“BID RESULTS TO BE SUBMITTED AFTER BID OPENING ON JUNE 18”WHEREAS, the City Engineer’s estimate for the base bid was $1,016,555.NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF KERMAN RESOLVES upon the recommendation of theCity Engineer that the First Street Reconstruction, Federal Project No. STPL-5291(016) and Middleton Avenue Reconstruction,Federal Project No. STPL-5291(017) Project be awarded to: “TBD AFTER BID OPENING ON JUNE 18” in the amount of “TBDAFTER BID OPENING ON JUNE 18”, and that the City Manager is authorized to sign the City's standard form of agreement forconstruction projects, as contained in the bid package on behalf of the City of Kerman.The foregoing resolution was introduced at a regular meeting of the City Council of the City of Kerman held on the 19 th day ofJune, 2013, and passed at said meeting by the following vote:AYES:NOES:ABSENT:ABSTAIN:The foregoing resolution is hereby approved.ATTEST:GARY YEPMAYORMARCI REYESCITY CLERK48

City of Kerman“Community Comes First”MAYORGary K. YepMAYOR PRO-TEMDoug WilcoxCOUNCIL MEMBER COUNCIL MEMBER COUNCIL MEMBERRaj Dhaliwal Nathan Fox Charlie JonesDEPARTMENT: PLANNING & DEVELOPMENTSTAFF REPORTCITY COUNCIL MEETINGCOUNCIL MEETING DATE: June 19, 2013To:From:Subject:Mayor and City CouncilGary D. Horn, City EngineerRequest for Revision to Engineering FeesRECOMMENDATIONCouncil considers revising hourly rates for engineering services provided by Yamabe & Horn Engineering, Inc.EXECUTIVE SUMMARYThe City of Kerman contracts with Yamabe & Horn Engineering, Inc. for engineering related services. Yamabe andHorn is requesting an adjustment in the rates paid for engineering services for two reasons: First, the StateDepartment of Industrial Relations (DIR) has drastically increased the prevailing wage rates for land surveyors onpublic works projects, which includes our work for the City. The current rates set by the State Department of IndustrialRelations for surveyors are as follows:Classification Previous Rate Current RateChief of Party $20.36 $62.63Instrumentman $15.10 $59.54Rodman $12.99 $56.66Secondly, Yamabe and Horn has not adjusted its rates for engineering services since July of 2007. As costs havegone up, Yamabe and Horn is requesting an adjustment to its rates for engineering services based on a two-tieredschedule that has lower rates for General Fund projects, which are primarily review of development projects.OUTSTANDING ISSUESNone.DISCUSSIONWe are presenting our request in two parts. First are the fees paid for surveying services. With the increase in thePrevailing Wage rates, all companies providing public works surveying will be required to pay these wages and thecharge out rates will reflect those wages. Attached is a comparison of the rate schedules from surrounding citiesshowing that the rates for surveying range from $185 to $260 per hour for a two man crew, and $140 to $150 for aone man crew. Our proposal is for $215 for a two man crew and $125 for a one man crew.49

City Council Staff Report Page 2 of 6Y&H, Inc. – New Engineering RatesSecondly we request an increase in the fees for office engineering services. The last increase in these rates was in2007. In order to minimize the effect on the General Fund, we are proposing a two-tiered rate schedule. Projectsfunded out of the General Fund will have a lower rate than the projects paid for by enterprise funds, street funds andstate and federal grants. Having two rate schedules will not pose a bookkeeping problem since we invoice the city byindividual project. All of the development review work for subdivisions, site plans, grading plans and street planreview are funded by the General Plan. We have also expanded the categories for personnel to match the skill andexperience levels of our staff. After several years of softness in the engineering job market, we have noticed anincrease in demand for engineers. We need to keep our salaries competitive to attract the most capable engineers sothat our high quality of service to Kerman can be maintained.FISCAL IMPACTThe charges to the General Fund will vary according to the amount of development taking place. The charges to theGeneral Fund for the current fiscal year are about $14,000. If the proposed increase is adopted, the additional costfor that amount would be $700.The increase in charges to the other funds will average 16% for office work, which accounts for about 90% of the feesfor a construction project. Surveying accounts for the remaining 10%.PUBLIC HEARINGNot required.REASON FOR RECOMMENDATIONCouncil must approve any changes in contracts.Attachments:A. Comparison with Current RatesB. Comparison with other citiesC. Resolution50

City Council Staff Report Page 3 of 6Y&H, Inc. – New Engineering RatesATTACHMENT A51

City Council Staff Report Page 4 of 6Y&H, Inc. – New Engineering RatesATTACHMENT B52

City Council Staff Report Page 5 of 6Y&H, Inc. – New Engineering RatesATTACHMENT CRESOLUTION NO. 13-__RESOLUTION OF THE CITY COUNCIL OF THE CITY OF KERMANAPPROVING ENGINEERING FEE RATESWHEREAS, the City of Kerman and Yamabe & Horn Engineering, Inc. (Yamabe & Horn) entered into anAgreement for Professional Engineering Services dated October 12, 2009; andWHEREAS, Yamabe & Horn provides services as City Engineer for the City of Kerman; andWHEREAS, Yamabe & Horn has requested a revision in the Fee Schedule for said Agreement.NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF KERMAN RESOLVES that the Fee Scheduleattached as Exhibit “A” is hereby approved for engineering services provided by Yamabe & Horn for the City ofKerman, and that all other provisions of the Agreement for Professional Services shall remain in full force and effect.The foregoing resolution was introduced at a regular meeting of the City Council of the City of Kerman held on the19th day of June, 2013, and passed at said meeting by the following vote:AYES:NOES:ABSENT:ABSTAIN:The foregoing resolution is hereby approved.ATTEST:______________________________Gary YepMayor____________________________Marci ReyesCity Clerk53

City Council Staff Report Page 6 of 6Y&H, Inc. – New Engineering RatesEXHIBIT AFEE SCHEDULE – HOURLY RATESCLASSIFICATION GENERAL FUND ALL OTHER FUNDSPRINCIPAL ENGINEER $110.00 $130.00CIVIL ENGINEER III $105.00 $120.00LAND SURVEYOR $100.00 $110.00CIVIL ENGINEER II $95.00 $105.00CIVIL ENGINEER I $85.00 $95.00ASSISTANT ENGINEER II $80.00 $90.00ASSISTANT ENGINEER I $75.00 $85.00DRAFTER II $70.00 $75.00DRAFTER I $65.00 $70.00CLERICAL $48.00 $50.002-MAN SURVEY CREW $215.00 $215.00(Prevailing Wage Projects)2-MAN SURVEY CREW $135.00(Non-Prevailing Wage Projects)1-MAN SURVEY CREW $125.00 $125.00(Prevailing Wage Projects)1-MAN SURVEY CREW $90.00(Non-Prevailing Wage Projects)54