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Meeting Notes/Attendees .. 1II 8 p.. - 0- :fl: Pi 0 ~ H ~ ~ " 0 ~ U UI Q) !:: 0 .c: PI 5 " H 8 ~{3 'f) H !.... ~ , " ~ 1II '" 1II " ~ gJ t'l \b 0 r ~ ~ . ~ - ,I t ~ Lt) <.r t'-l .. () ~ :>i ~ .J u V ffi l.? oct; 0 <Xl (') (") <Xl OJ Ol (") rD ..t III N III (") U'i ", <D :;: ~ ~ ~ 8 oct; o Ul Q) ~c :J Q) ca oE ._ CJ) Q) C\J c [;'& ~ ~ o C'-C LO :: ~'*~ OJ iij <( 3: '0 <( o ~og<XlU ... ~c~~.8 o ~Q)oXa5 .! Q)"sC:SE ca a: m'~ ,~ _ Q) a. ,- 0 u o ~~6ci~ === c: ,2 ti Q) .(/) II! 8 Q. ,- -10 .c > u ~ .- Q) u Ul .. Q) CD ~ ..,0.. . >- c( <tI - ~ _'0 o 0 U 0 0iI Ol N :;: Ol >- <( 0 0 z w ci Cl 0 <( (JJ I- 0 Z Z Z w <( 0 ~ a: (J) w LL Cl a.. <(x z ~ z- <( <(z (JJ 0 ~ 0 LL J: >-<3 0 ~ ow 0 .J za: 15 w Ui Cl ::.&:: a: w w a: > ~ a. w -' <( III a: ;::> w 0 Cl w Z LL 15 -' :J m SUBJECT: MINUTES OF DISASTER COUNCIL MEETING OF 25 MARCH 1986 1. The Disaster Council meeting was called to order at 5:05 p.m. on 25 March 1986. The following persons were present: Chairman - Member Member Member Member Paul V. Kloecker Don Gage Larry Mussallem Jay Baksa Skip Kover Jim Mantz and Jeff Miller were present as public attendees. 2. Chairman Kloecker welcomed Skip Kover as newly appointee Public Member and discussed the prior meeting of 11 March 1986. Members previously approved meetings on Tuesday at 5:00 p.m. at City Hall until initial Disaster Plan review was completed, estimated at 60-90 days. Jay Baksa completed his prevsentation of the salient features of the Disaster Plan, the Staff Critique notes and other Disaster Plans which staff had assembled. 3. Mr. Jim Mantz advised the Council that he was offering his assistance and experience as needed to review the Disaster Plan or to comment on the Plan as completed by the Council. Chairman Kloecker thanked Mr. mantz for his interest and indicated that his assistance would be requested if deemed necessary. 4. Chairman Kloecker asked each member to discuss individual items of interest regarding the Disaster Plan, how the Council should proceed, and suggestions for near term agenda items. After discussion by all members on Disaster Plan format, General Content, Existing Annexes, etc., it was decided that succeeding meetings should discuss each subject area of the Staff Critique and review the present Plan against those items. It was agreed that the next meeting should focus on Alert/Warning, Rescue, Shelters and Press Relations (time permitting). 5. It was also agreed in discussion that the Disaster Plan should be generic in nature with Annexes of pertinent information to support each type of disaster, e.g. Flood, Hazardous Spill, Earthquake, etc. The Council members considered that inital effot should be devoted to an objective review, a critique of Staff's opinions, a Disaster Plan update, Disaster awareness, assignment of duties. 6. Attendee Jeff Miller provided comments during the preceedings to assist the Council members. 7. The meeting adjourned at 6:30 p.m. Next meeting 1 April 1986 at 5:00 p.m. 07/01/86 RECAP OF WORKSHOP UVAS LEVEE FUiANCING ALTERNATIVES On Monday, June 23, the Gilroy City Council met to discuss the various options available to the City to finance the Uvas Creek Levee Project. Present for the meeting were the total City Council; Jay Baksa, City Administrator; Cecil Reinsch, Assistant Administrator; Bob Smith, Flood Control Manager, Santa Clara Valley Water District; and Phil Assaf, Bond Counsel. To raise the $6 million needed to finance the Uvas Creek Levee Project, three major financing alternatives were identified and discussed: 1) Federal and State Grants; 2) General Obligation Bonds; and 3) Assessment District Bonds. The following will be a brief recap of each alternative. FEDERAL/STATE GRANTS Mr. Bob Smith of the S.C.V.W.D. stated that the House and the President's budgets have $500,000 in them for the U.S. Corps of Engineers Uvas Creek Levee Project. The big fight will again be in the Senate. The final outcome will not be known until this fall. However, everyone felt that if we did not get the funding this year, we would have a poorer chance in future years. State grants for land and right-of-way acquistions are only available after Federal construction funding is secured. GENERAL OBLIGATION BONDS With the passage of the June 86 ballot propositions, for the first time since 1978, California cities may utilize General Obligation Bonds to finance capital improvement projects. To issue G.O. bonds, the total City electorate must pass the issue by a two-thirds majority. The bond repayments are made by all City real property owners. Phil Assaf presented three scenarios using G.O. bonds issued at 8% interest for 15 years, 20 years and 25 years. The following relates the annual debt service payments for each scenario: 15 years..$700,000+ 20 years..$610,000+ 25 years..$561,000+ The assessed valuation for the City of Gilroy is approximately $700 million. Therefore, for every $1000 of assessed valuation, $1 of tax is needed to pay the 15 year G.O debt service. In other words, a $100,000 home would have to pay $100 per year for 15 years. For the 20 year and 25 year scenarios, the homeowner would have to pay $87 and $80 per year respec- tively. As the total assessed valuation of the City increases, the cost to the individual property owner would decrease. ASSESSMENT DISTRICT BONDS The third option would be to establish a traditional assessment district. The only participants in the payment of the A.D. bonds would be those landowners who receive a benefit from the improvement. Since the project cost would be the same, but the payment area lessened, the cost per landowner would be substantially higher than the cost per home outlined above. -1- V /;4 ' As with any assessment district an election is not necessary; however, before the city council votes to form an assessment district and issue a bond, a series of public hearings must be held to hear objections, concerns, and protests. Property owner's payments would vary based on the specific benefit they receive (based on an engineer's formula) from the capital improvement. TIMING For a G.O. bond issue to be on the November ballot, the issue would have to be certified to the County Clerk by the first part of August. According to Phil Assaf, the City still can make it from a procedural point of view. OTHER FACTORS SCVWD is probably going to have a maintenance assessment fee increase on the November ballot. This increase will be for several projects including the frontend cash requirements for the Uvas and the Llagas Projects. Having two tax increase issues on the same ballot for generally the same projects might spell the doom for both. The Federal funding is at a critical point in Congress at this time. Any indication of the availability of local funding might jeopardize the federal funding. Bob Smith and the Council discussed many technical details that would have to be thoroughly addressed before the levee were built. For example, who would assume responsibility for the levee maintenance (SCVWD would if it were their project) and acquiring the downstream induced flooding easements? Is there enough time to completely workout the details before the August deadline? $100 per year per $100,000 assessed valuation is a substanial amount, quite possibly more than the voters would approve. A voters survey should be conducted to discover the voters' feelings, before the City expends the money on an election. A large and effective citizens committee would have to be formed to campaign for the passage of the bond issue. CONCLUSION It was the consensus of the Council to give the Federal funding one last chance. If no Federal and State funding is forthcoming this budget year then a Bond issue could be considered for the November 1987 election. This would allow enough time to work out the multitude of details, strategies, and the like. Also, during this time the City could negotiate with the State and SCVWD to possibly secure some joint funding or work out a cost sharing formula to help reduce the local property owners share. -2- CITY OF GILROY, SANTA CLARA COUNTY TENTATIVE ELECTION TIME SCHEDULE SPECIAL MUNICIPAL ELECTION CONSOLIDATED WITH GENERAL ELECTION NOVEMBER 4, 1986 = Days prior to Election G.C. = Government Code E.C. = Elections Code (Assume City Council meets 1st & 3rd Mondays) Date July 21, 1986 August 4, 1986 August 4, 1986 August 4, 1986 August 4, 1986 August 4, 1986 V I ~ ft. ~ ~t{ . Action Adopt Resolution of Public Necessity (must have a 2/3rds vote of all council persons) and introduce the Ordinance Calling the Election. (G.C. 43607) Adopt Ordinance Calling Election (requires 2/3rds vote of all council persons). (G.C.43608) --- Adopt Resolution Requesting Consolidation with Statewide Election. Note: The Ordinance Calling Election and Resolution Requesting Consolidation must be adopted on same date. Transmit to Board of Supervisors and County Clerk. (E.C. 23302) Adopt Resolution, optional, Authorizing Members of City Council-to file written arguments. (E.C. 5013) Adopt Resolution, 2Pti2~~!, Directing City Attorney to Prepare Impartial Analysis of Measure. (E.C. 5011) Adoot Resolution, oPtional, Allowing Rebuttal Arguments:--To-be effective must be adopted no later than the date of adoption of the Ordinance calling the election. (E.C. 5014.5)' County Clerk's timing will control August 8, 1986 (1r) August 14, 1986 August 21, 1986 (75 ) November 4, 1986 Publish and/or post notice re time for filing arguments. (Check wi th County Clerk on timing.) E.C. 5015 Absolute last day to file Ordinance Calling Election and Resolution Requesting Consolidation with Board of Supervisors and County Clerk. (E.C. 23302) Recommended last day to start Publication of Ordinance calling Election per Government Cod e . (G . C. 43611 ) Last day to publish Notice of Election and Measure, to be voted upon. (Once a week for two consecutive weeks.) (E.C. 22830, 22835 and G.C. 6066) Election Day. NOTE: It is recommended that contact be made with the Elections Department of the Santa Clara County Reqistrar of voters as soon as it has been decided to go for the November General Election. -2- Rates Year- 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 MATURITY SCHEDULE CITY OF GILROY Pr-incioal: $6.000.000.00 Pr-inc Calc Rate: 8.00% # of Matur-ities: 25 Denomination: 5.000 Discount: 0.00% Bond Date: 1st Inter-est: 1st Matur-ity: Closing Date: Pr-incioal $80.000.00 90.000.00 95.000.00 105.000.00 110.000.00 120.000.00 130.000.00 140.000.00 150.000.00 165.000.00 175.000.00 190.000.00 205.000.00 225.000.00 240,000.00 260.000.00 280.000.00 305.000.00 330,000.00 355,000.00 385,000.00 415.000.00 445.000.00 485,000.00 520.000.00 Year- 1986 1987 1987 1986 Balance $6.000.000.00 5.920.000.00 5.830.000.00 5.735.000.00 5.630.000.00 5,520.000.00 5.400.000.00 5.270.000.00 5.130.000.00 4.980,000.00 4.815.000.00 4.640,000.00 4.450.000.00 4.245.000.00 4,020.000.00 3,780,000.00 3,520.000.00 3.240.000.00 2.935.000.00 2.605.000.00 2.250.000.00 1.865.000.00 1.450,000.00 1,005.000.00 520.000.00 t10nth 6 6 6 6 Inter-est $480.000.00 473.600.00 466.400.00 458.800.00 450.400.00 441.600.00 432.000.00 421,600.00 410.400.00 398,400.00 385.200.00 371.200.00 356.000.00 339.600.00 321.600.00 302.400.00 281.600.00 259,200.00 234,800.00 208.400.00 180.000.00 149,200.00 116,000.00 80.400.00 41,600.00 Dav ....,'"'" ..::...;, ,.,"":!' "':"_, ,.,~ ",-,_" 23 Debt Service $560.000.00 563,600.00 561.400.00 563.800.00 560.400.00 561.600.00 562,000.00 561.600.00 560.400.00 563.400.00 560.200.00 561.200.00 561.000.00 564.600.00 561.600.00 562.400.00 561,600.00 564.200.00 564.800.00 563.400.00 565.000.00 564.200.00 561.000.00 565,400.00 561,600.00 ----------------------------------------------------------------------------- ar- Value: iscount: ecr-. Inter-est: ur-chase Pr-ice: $6.000.000.00 $6,000.000.00 (0.00) 0.00 $6.000.000.00 --------------.-- ---------------- $8.060.400.00 $14.060,400.00 Total Bond Year-s: Net Inter-est Cost: Effective Inter-est Rate: Date of Sale: Reser-ve Fund: Bond Buver- Indexes: 20 G.O. Bond --, '= h' ......., I c-.", . r.'.\ '0 ~-. ~ ,1 1 ()()755. 00 $:8 . 060 . 400. 00 8.0000% Year 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 DEBT SERVICE SCHEDULE Principal 23-Jun $80.000.00 90.000.00 95.000.00 105.000.00 110.000.00 120.000.00 130.000.00 140.000.00 150.000.00 165.000.00 175.000.00 190.000.00 205.000.00 225.000.00 240.000.00 260.000.00 280.000.00 305.000.00 330.000.00 355.000.00 385.000.00 415.000.00 445.000.00 485.000.00 520,000.00 CITY OF GILROY Interest 23-Jun $480.000.00 236.800.00 233~200.00 229,400.00 225.200.00 220.800.00 216.000.00 210,800.00 205.200.00 199.200.00 192.600.00 185.600.00 178.000.00 169.800.00 160.800.00 151.200.00 140,800.00 129.600.00 117.400.00 104.200.00 90.000.00 74.600.00 58.000.00 40,200.00 20,800.00 Interest 23-Dec $236.800.00 233,200.00 229.400.00 225.200.00 220.800.00 216.000.00 210.800.00 205.200.00 199.200.00 192.600.00 185.600.00 178.000.00 169,800.00 160,800.00 151,200.00 140.800.00 129.600.00 117.400.00 104.200.00 90.000.00 74,600.00 58.000.00 40,200.00 20.800.00 0.00 Total $796.800.00 560.000.00 557.600.00 559.600.00 556,000.00 556.800.00 556.800.00 556.000.00 554.400.00 556.800.00 553,200.00 553.600.00 552,800.00 555,600.00 552.000.00 552,000.00 550,400.00 552.000.00 551.600.00 549.200.00 549.600.00 547,600.00 543.200.00 546.000.00 540.800.00 ----------------------------------------------------------- $6.000.000.00 $4.270.200.00$3.790.200.00 $14.060.400.00 RESERVE FUND LIMITS CITY OF GILROY Initial Deposit Percentage: 0.00% Amount: $0.00 Year 23-Jun Reserve Fund Limit* 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 $565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 565.400.00 561.600.00 *Exceotions: The amounts set forth herein must be revised ln the event of the occurence of either or both ot the following: 1) The call and redemption of bonds prlor to maturity. 2) The issuance of any subsequent series of this issue. Rates Year 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 MATURITY SCHEDULE CITY OF GILROY Princioa1: 56.000.000.00 Princ Calc Rate: 8.00% # of Maturities: 20 Denomination: 5.000 Discount: 0.00% Bond Date: 1st Interest: 1st Maturity: C10sinq Date: Princioal 5130,000.00 140.000.00 155,000.00 165,000.00 180,000.00 195.000.00 210.000.00 225.000.00 240.000.00 260.000.00 285.000.00 305.000.00 330.000.00 355.000.00 385.000.00 415.000.00 450.000.00 485.000.00 525.000.00 565.000.00 Year 1986 1987 1987 1986 Balance 56.000.000.00 5.870,000.00 5.730.000.00 5.575,000.00 5.410.000.00 5.230.000.00 5.035.000.00 4.825.000.00 4.600.000.00 4.360,000.00 4.100.000.00 3.815.000.00 3,510.000.00 3,180.000.00 2.825.000.00 2.440,000.00 2.025.000.00 1,575.000.00 1.090.000.00 565.000.00 Month 6 6 6 6 Interest 5480.000.00 469.600.00 458.400.00 446.000.00 432.800.00 418.400.00 402.800.00 386,000.00 368.000.00 348.800.00 328.000.00 305.200.00 280.800.00 254.400.00 226.000.00 195.200.00 162.000.00 126,000.00 87.200.00 45.200.00 Day ~7 ~0 23 ~~ ~~ ~7 ~~ Debt Service '5610.000.00 6()9.600.00 613.400.00 611.000.00 612.800.00 613.400.00 612.800.00 611,000.00 608.000.00 608,800.00 613.000.00 610.200.00 610.800.00 609.400.00 611.000.00 610.200.00 612.000.00 611.000.00 612.200.00 610.200.00 ------------------------------------------------------------------------------- Par Value: Disceunt: Accr. Interest: Purchase Price: 56.000,000.00 56.000.000.00 (0.00) 0.00 56.000,000.00 ---------------- ---------------- 56.220.800.00 512.220,800.00 Total Bond Years: 77760.00 Net Interest Cost: 56.220.800.00 Effective Interest Rate: 8.0000% Date of Sale: Reserve Fund: Bond Buyer Indexes: 20 G.O. Bend 25 Revenue Bond Year 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 DEBT SERVICE SCHEDULE Princioal 23-Jun $130.000.00 140.000.00 155.000.00 165.000.00 180.000.00 195.000.00 210.000.00 225.000.00 240.000.00 260.000.00 285.000.00 305.000.00 330.000.00 355.000.00 385.000.00 415,000.00 450.000.00 485.000.00 525.000.00 565.000.00 CITY OF GILROY Interest 23-Jun $480.000.00 234.800.00 229.200.00 223.000.00 216,400.00 209,200.00 201,400.00 193.000.00 184,000.00 174,400.00 164.000.00 152,600.00 140.400.00 127.200.00 113.000.00 97.600.00 81.000.00 63.000.00 43.600.00 22.600.00 Interest 23-Dec $234.800.00 229.200.00 223,000.00 216,400.00 209.200.00 201.400.00 193.000.00 184,000.00 174.400.00 164.000.00 152.600.00 140.400.00 127.200.00 113.000.00 97.600.00 81.000.00 63.000.00 43.600.00 22.600.00 0.00 Total $844.800.00 604,000.00 607,200.00 604.400.00 605,600.00 605,600.00 604,400.00 602.000.00 598.400.00 598.400.00 601.600.00 598.000.00 597.600.00 595.200.00 595.600.00 593.600.00 594.000.00 591.600.00 591.200.00 587.600.00 ----------------------------------------------------------- $6.000.000.00 $3.350.400.00 $2.870.400.00 $12.220,800.00 RESERVE FUND LIMITS CITY OF GILROY Initial Deoosit Percentage: Amount: 0.00% $0.00 Year 23-Jun Reserve Fund Limit* 2004 2005 2006 $613.400.00 613.400.00 613.400.00 613.400.00 613.400.00 613,400.00 613.000.00 613.000.00 613.000.00 613.000.00 613.000.00 612.200.00 612,200.00 612.200.00 612.200.00 612.200~00 612.200.00 612.200.00 612.200.00 610.200.00 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 *Exceptions: The amounts set forth herein must be revised in the event of the occurence of either or both of the following: 1) The call and redemption of bonds prior to maturity. 2) The issuance of any subsequent series of this issue. Rates Year 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 ar Val U~?: i SCOLlnt: ccr. Interest: urchase Price: Principal: Prine Calc Rate: # of t1atLlri ti es.: Denomination: Discount: Bond DCl.te: 1st Interest: 1st Maturity: Closina Date: Princioal $220.000.00 240.000.00 260.000.00 280.000.00 300.000.00 325.000.00 350.000.00 380.000.00 410.000.00 440.000.00 475.000.00 515.000.00 555.000.00 600.000.00 650.000.00 $6.000.000.00 $6.000.000.00 (0.00) 0.00 $6.000.000.00 ---------------- ---------------- MATURITY SCHEDULE CITY OF GILROY $6.000.000.00 8. OOi'~ 15 5.000 0.001. Year 1986 1987 1987 1986 Balance $6.000.000.00 5.780.000.00 5.540.000.00 5.280.000.00 5.000.000.00 4.700,000.00 4,375.000.00 4.025.000.00 3.645.000.00 3.235.000.00 2.795.000.00 2.320.000.00 1.805.000.00 1,250,000.00 650.000.00 Month 6 6 6 6 Interest $480.000.00 462.400.00 443.200.00 422,400.00 400.000.00 376.000.00 350.000.00 322,000.00 291 .600. 00 258.800.00 223.600~00 185,600.00 144.400.00 100,000.00 52.000.00 Dav 23 ,..,~ ..:.,.._1 23 23 Debt Service $700.000.00 702.400.00 703.200.00 702,400.00 700.000.00 701,000.00 700,000.(1) 702,000.00 701.600.00 698.800.00 698.600.00 700,600.00 699.400.00 700,000.00 702.000.00 $4,512.000.00 $10.512.000.00 Total Bond Years: Net Interest Cost: Effective Interest Rate: Date of Sale: Reserve Fund: Bond Buver Indexes: 20 G.O. Bond 25, Revenue Bond 56400.00 $4.512.000.00 8.00001. DEBT SERVICE SCHEDULE CITY OF GILROY Year- Pr-incioal Inter-est Inter-est 23-,J Lln 23-,J Lln 23-Dec 1987 $220.000.00 $480,000.00 $231 .200.00 1988 240.000.00 231 .200.00 221 .600.00 1989 260.000.00 221 .600.00 211 .200.00 1990 280.000.00 211 .200.00 200.000.00 1991 300.000.00 200.000.00 188.000.00 1992 325.000.00 188.000.00 175.000.00 1993 350.000.00 175.000.00 161 .000.00 1994 380.000.00 161 .000.00 145.800.00 1995 410.000.00 145.800.00 129.400.00 1996 440.000.00 129.400.00 111 .800.00 1997 475.000.00 111 .800.00 92.800.00 1998 515,000.00 92.800.00 72.200.00 1999 555.000.00 72.200.00 50,000.00 2000 600.000.00 50.000.00 26,000.00 2001 650,000.00 26,000.00 0.00 Total $931.200.00 692.800.00 692.800.00 691.200.00 688.000.00 688.000.00 686.000.00 686.800.00 685.200.00 681.200.00 679,600.00 680,000.00 677,200.00 676.000.00 676.000.00 56.000.000.00 52.496.000.00 $2.016.000.00 510.512,000.00 .. \ , - RESERVE FUND LIMITS CITY OF GILROY Initial Deposit Percentage: Amount: 0.001. $0.00 Year 23-,J un Reserve FLlnd Limit* 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 $703.200.00 703.200.00 703.200.00 702.400.00 702.000.00 702.000.00 702.000.00 702.000.00 702.000.00 702.000.00 702.000.00 702.000.00 702.000.00 702.000.00 702.000.00 *E;,:cepti ons: The amounts set forth herein must be revised in the event of the occurence of either or both of the following: 1) The call and redemption of bonds prior to maturity. 2) The issuance of any subsequent series of this issue.