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HomeMy WebLinkAboutBoard Documents LAIN OFFICES OF !" PORTER. SIMON. GRAHAM AND PHELPS PROFESSIONAL. CORPORATION JAMES L. PORTER, JR. MASONIC BUILDING DAMES L. PCRTER, JR. (CALIFORNIA b NEVACA) COMMERCIAL ROW MICHAEL E. GRAHAM JAMES ERNEST SIMON POST OFFICE BOX 2819 NEVACA O=F,CE MICHAEL E. GRAHAM TRUCKEE. CALIFORNIA 95734 335 WEST FIRS- S-REET (CALIFORNIA IA b NEVADA) RENO. NEvA"A 69503 JOHN M. PHELPS (916) 587-3B62 002! 32 -67E7 PETER H. CUTTITTA November 2, 1987si ) HAND-DELIVERED Board of Directors COPlE.S TO: TAHOE DONNER PUBLIC UTILITY DISTRICT BOARD: Post Office Box 309 MANAGER:------------' Truckee, California 95734 Dear Director: I am writing in response to Director Cooley's memo to the Board. I believe his memo reflects a misunderstanding of what has occurred, quite possibly due to the newspaper's rather sketchy reporting. I thought it best to put my response in writing, rather than to use Board time on a rather lengthy explanation. This scenario involves two entities, which the newspaper glosses over and treats as one. The first entity is the Truckee Independence Committee (formerly the Truckee Incorporation Committee) . The second entity is a temporary subcommittee of the Independence Committee, simply called the Truckee Ad Hoc Committee. I will first discuss the Independence Committee. The Truckee Independence Committee was formed in mid-1982, for the purpose of investigating the feasibility of incorporation of Truckee. The proposal that it began with in 1982 left all special districts intact. When a financial consultant concluded in 1983 that incorporation would be feasible, with the districts intact, the Independence Committee adopted incorporation as its goal. As you know, I, and my firm, have been members and have been involved with the Truckee Independence Committee since its inception. It is important to understand that we participated on the Independence Committee as private citizens. We have never been directed by the PUD, or by any other of our four special district clients, to represent them on the Independence !^ Committee. We have never been paid for any of the time that we have spent. On the other hand, I have always tried, on my own, INCORP\history.ltr Page 1 Tahoe Donner Public Utility District Board of Directors November 2 , 1987 Page 2 to notify our firm's special district clients of anything contemplated by the Independence Committee that might affect them. From the formation of the Independence Committee in 1982 through the November 1987 election, there have consistently been strong pressures to include within the incorporation proposal the consolidation of one or more special districts. These pressures came from the Nevada County Board of Supervisors, from some of the LAFCO commissioners, from members of the public, and finally from the leaders of the opposition to incorporation. Those that advocated consolidation of the districts had different motives. Some proponents, as well as some opponents of incorporation, argued persuasively that without consolidating the districts, we were just creating a shell of a city, one more additional fragmented governmental entity in Truckee. They argued that consolidating the city with the districts would make a single, strong, financially sound entity that could better serve the community. Others' motives, in my opinion, were less commendable. The Nevada County Supervisors wanted to force the new city to take over the districts, at the outset, because they knew that the districts would then fight incorporation, and it would never pass. For a number of reasons, at numerous Independence Committee meetings, public "town hall" meetings, LAFCO meetings, and county supervisor meetings, I consistently opposed the new city taking over any special districts at the outset against their will. That was the proposal we took to LAFCO, that LAFCO approved, but that the voters narrowly rejected at last November' s election. After the November election defeat, the Independence Committee decided to try again. It decided to ask opponents of incorporation to assist in drawing up the next incorporation proposal. It formed a new, temporary subcommittee called the "Truckee Ad Hoc Committee", for the sole purpose of drafting the new incorporation proposal. The Truckee Ad Hoc Committee consists of twelve members, six of whom are incorporation supporters, and six of whom formerly were opposed to, or were skeptical of, incorporation. The Ad Hoc Committee members are as follows: INCORP\history. ltr Page 2 Tahoe Donner Public Utility District Board of Directors November 2, 1987 Page 3 Incorporation Supporters Opponents or "Skeptics" Dave Giacomini Joe Aguera Robert Crippen Donna Spieler Zina Krakowski-Davidson Jack McCormick Dianne Jones Don Hossack Dorie Guy Wally Stevens John Phelps Norm Traverso We asked all five of the successful city council candidates to be on the Ad Hoc Committee. Three, Giacomini, Crippen and Aguera, agreed. Two, Kathy Krieger and Pat Sutton, declined. The Ad Hoc Committee held three public meetings in April and May, 1987, where it discussed such topics as special districts, boundaries; fire protection, etc. All special districts were invited to each meeting, but few sent representatives. The Ad Hoc Committee then directed me to draft a new proposal, using the feedback from the public meetings, and present it to the Ad Hoc Committee. I therefore drafted a detailed incorporation proposal, and presented it to the Ad Hoc Committee for discussion at meetings on September 24 and October 1, 1987. A copy of the proposal that I drafted is attached to this letter. You can see that at page 8, item number 10 of the proposal, as an Ad Hoc Committee member, I again proposed that special districts be left intact, with the exception of the Cemetery District, which formally asked that LAFCO investigate the feasibility of combining it with the city. At the Ad Hoc Committee meeting on October 1, 1987, nearly all of the members that were present objected to leaving all of the districts intact. They cited a number of reasons for their objection, including the following: A. The voters had previously rejected the same proposal. B. It was a timid approach to incorporation. INCORP\history. ltr Page 3 s^~ Tahoe Donner Public Utility District Board of Directors November 2, 1987 Page 4 C. We would only be creating a shell of a city. D. It would leave Truckee fragmented between eleven separate government entities, and dilute the quality of services received by Truckee people. E. Consolidation of one or more districts would strengthen the city and the former district by combining their resources and achieving economies of scale. The Ad Hoc Committee discussed combining with several districts. They rejected combining with the Truckee Sanitary District, in part, because its boundaries are significantly different from the proposed city's. They decided against proposing to combine with the Recreation and Park District, because it was perceived as a good but relatively poor district that would not strengthen the new city. They rejected combining with the Fire District because that district had previously displayed horror at the prospect of being taken over, and because it had little to offer the new city. The members preferred consolidating with the PUD for several reasons, including the following: A. It was perceived as the most modern and most progressive district, and the most likely to be open- minded to the idea of combining with a new city. B. It was perceived as the strongest, most financially stable district, and therefore the best partner for the new city. C. It was perceived as well run, with new equipment and facilities. D. Its building could possibly serve as city offices. E. The city and the district could share overhead on such expenses as managerial salaries, office space, computer and data processing, vehicle acquisition and maintenance, and similar expenses. F. If the PUD and the city combined smoothly and efficiently, with no diminution in services, it would reassure the remaining districts, so that they might �.. consider consolidation at a later date. INCORP\history.ltr Page 4 �— Tahoe Donner Public Utility District Board of Directors November 2, 1987 Page 5 G. It would appeal to the voters when they consider incorporation. At the October 1 Ad Hoc Committee meeting, I argued for one and one-half hours against combining the PUD and the city. I predicted that the PUD Board would strongly oppose its consolidation with the city, and that if LAFCO approved consolidation, the PUD would strongly oppose incorporation itself. I was out-voted. I was successful in persuading the Ad Hoc Committee to back off proposinq an outright takeover, and to instead propose a study and recommendation by LAFCO. Due to my efforts, the draft proposal reads: 10. That the financial feasibility consultant analyze the advantages and disadvantages of combining the new city with the Truckee Donner Public Utility District, at the time of incorporation, and make a recommendation for or against such combining. If the consultant recommends a combination, we propose that the issue be submitted to the voters when they vote on incorporation. 11. That at some point after incorporation, the City Council meet with the various boards of the other special districts within the area, to determine whether combining with any such districts would be mutually advantageous to the City and the district. If so, the issue should be presented to the voters at a later election. Within a week to ten days of the October 1 Ad Hoc Committee meeting, I individually spoke with Peter Holzmeister, Jim Maass, Joe Aguera, Pat Sutton, and John Corbett, and informed them of the Ad Hoc Committee's draft proposal. They expressed varying degrees of concern, but none seemed alarmed, and none chose to place the issue on the Board's agenda. It is important to understand that what the Ad Hoc Committee came up with and published in the newspaper is still a draft. Two public meetings are scheduled for November 5 and November 111 to discuss the draft. It can be amended. It has never been submitted to the Truckee Independence Committee for discussion or approval. It has always remained at the Ad Hoc subcommittee �., level. The Truckee Independence Committee anticipates that after INCORP\history.ltr Page 5 Tahoe Donner Public Utility District Board of Directors November 2 , 1987 Page 6 the two scheduled public meetings, the Ad Hoc Committee will vote on a final proposal, which will then be presented to the Truckee Independence Committee for approval. At the upcoming November 12 LAFCO meeting, the Truckee Independence Committee has asked LAFCO to waive the two-year waiting period for an incorporation proposal, and to permit the Independence Committee to apply to LAFCO this year. That is all that LAFCO will decide on November 12. If LAFCO waives the two- year waiting period, then in order to actually initiate incorporation proceedings, the Independence Committee will have to submit to LAFCO petitions signed by 25% of the registered voters. Then and only then can an actual incorporation proposal be submitted to LAFCO. In summary, neither I nor my firm has ever supported the new city taking over the PUD. We have consistently opposed it. The Truckee Independence Committee itself has never supported the new city taking over the PUD. What has happened is that a temporarv, ad hoc subcommittee has proposed, in a draft proposal, for public consideration, that LAFCO' s financial consultant consider the feasibility of combining the city and the district, and make a recommendation that could ultimately be voted upon. My firm and I believe strongly in participating in community organizations that have as their goal the betterment of our community. Individual firm members have assumed leadership roles in the Truckee Rotary Club, the Truckee Lions Club, the Excellence in Education Foundation, the Downtown Merchants Association, the Truckee Donner Chamber of Commerce, the North Tahoe Fine Arts Council, the Truckee Donner Historical Society, as well as the Truckee Independence Committee. Although we serve as leaders in those organizations, we certainly don't control them; nor should we. We do not agree with all positions that these organizations take, and are often out-voted on particular issues. Our firm also represents four special districts and several hundred individuals and businesses in Truckee. It would be unfortunate for our firm and the community if we were unable to participate as members in any community organization for fear that the organization might take a position against, or disagree with, one of our clients. INCORP\history. ltr Page 6 Tahoe Donner Public Utility District Board of Directors November 2 , 1987 Page 7 I hope this assists you in understanding what has happened, and what has not. I would be happy to answer any questions that you might have. Very truly yours, PORTER, SIMON, GRAHAM AND PHELPS Professional Corporation J4HN M. PHELPS JMP:lf Attachment cc: Peter Holzmeister INCORP\history. ltr Page 7 INCORPORATION PROPOSAL - Draft 5 (9/25/87) 1. We propose that the boundaries of the new City be as shown on the map attached hereto as Exhibit A. Agree Disagree 2 . We propose that, at the incorporation election, voters be given the choice of naming their community the "City of Truckee" or the "Town of Truckee. " Agree Disagree 3 . We propose that a City Manager form of government be adopted. Agree Disagree 4 . We propose that the initial election of the City Council be held at the earliest possible date following the approval of incorporation by the voters. Agree Disagree INCORP\Proposal .doc Page 1 5 . We propose that the initial election of City Council members be an "at large" election. Agree Disagree 6. We propose that the question be submitted to the voters, at the time of the incorporation election, as to whether future elections should be at large or by district. Agree Disagree 7 . We propose that the only elected officials would be the five City Council members, and that the City Secretary and i^ - Treasurer be appointed by the City Council . Agree Disagree 8 . We propose that LAFCO conduct an initial study pursuant to the California Environmental Quality Act, and that upon completion of such initial study, a Negative Declaration be issued. Agree Disagree INCORP\Proposal .doc Page 2 9 . We propose that LAFCO hire an independent feasibility consultant to determine and advise LAFCO with respect to the following matters: a. The independent feasibility consultant's report should include the financial feasibility of incorporation, those matters set forth in this paragraph and elsewhere herein, and any additional matters determined by LAFCO to require study. Agree Disagree b. Determine whether the incorporation of Truckee, as proposed herein, is financially feasible, with the new City being able to provide those services presently provided by the County at a level equal to or greater than the level the County provides, without imposing any new taxes or fees. Agree Disagree C. Summarize the general condition of roads within the proposed City limits, review County road maintenance for the last five years and the County' s current projected road maintenance projects for the next several years, and compare the County' s INCORP\Proposal .doc Page 3 past and projected performance to the performance that the City will be capable of. Agree Disagree d. Make the investigation and recommendations with respect to Police Protection as set forth herein. Agree Disagree e. Make the investigation and recommendations with respect to Snow Removal as set forth herein. Agree Disagree f. Make the investigation and recommendations with respect to Road Maintenance as set forth herein. Agree Disagree g. Make the investigation and recommendations with respect to Building Inspection as set forth herein. Agree Disagree INCORP\Proposal.doc Page 4 r-, h. Make the investigation and recommendations with respect to Animal Control as set forth herein. Agree Disagree i. Make the investigation and recommendations with respect to appropriations limit as set forth herein. Agree Disagree j . Make the investigation and recommendations with respect to property tax transfer as set forth herein. Agree Disagree k. Review all effects of incorporation on the Truckee Fire Protection District, and in particular its ability to prevent and fight wildland fires. Calculate the average additional annual cost to the City or to the Truckee Fire Protection District, as appropriate, of fighting wildland fires, and of maintaining crews and equipment, and training, for fighting wildland fires. In consultation with the California Department of Forestry, the Truckee Fire Protection District, the United States Forest Service, all other responsible agencies, and other cities similarly situated, determine the actual responsibility of each, INCORP\Proposal.doc Page 5 r and how such responsibilities would be affected by incorporation of Truckee. If appropriate, recommend an amount to be budgeted yearly by the City for wildland fire protection, and a reserve amount to be maintained for extraordinary expenses. Agree Disagree 1. The Truckee Cemetery District has previously asked that the Truckee Independence Committee ask LAFCO to investigate whether there are any possible advantages to the District of absorption by the City upon incorporation. We propose that the independent feasibility consultant first confirm that the Truckee Cemetery District still desires such an investigation, and if so, determine if incorporation provides any possible advantages to the District. Agree Disagree M. Report on the availability and cost of comprehensive liability insurance for the new City, its council members, officers , and employees ; and analyze and report on the availability and effectiveness of the various existing co- insurance pools made up of cities and other local governments, such as the Small Cities Organized Risk Effort (SCORE) or the INCORP\Proposal .doc Page 6 California Municipal Insurance Authority (CMIA) . Agree Disagree n. Determine if the new City could afford a vehicle abatement program, and the approximate cost of an adequate program. Agree Disagree o. Determine if the new City could afford a litter removal program, and the approximate cost of an adequate program. Agree Disagree P. Determine if the new City could afford a snow-berm removal program, at the time of snow-plowing, and the approximate cost of an adequate program. Agree Disagree q. Prepare, as an introduction to the financial feasibility study, a summary of the study, which summary shall be limited to three pages and shall present the consultant's conclusion INCORP\Proposal.doc Page 7 regarding the financial feasibility of incorporation. Agree Disagree 10. We propose that all special districts located in the Truckee area, including the Truckee Fire Protection District, the Truckee Tahoe Airport District, the Tahoe Truckee Sanitation Agency, the Truckee Sanitary District, the Truckee Donner Public Utility District, the Truckee Donner Recreation and Park District, the Truckee Cemetery District, the Tahoe Truckee Unified School District, and the Tahoe Forest Hospital District, be left intact and unaffected by incorporation. Agree Disagree 11. We propose that LAFCO's independent legal counsel determine and advise LAFCO with regard to which districts could, at some point in the future, come under the jurisdiction of the City, and which could not. We propose that LAFCO legal counsel analyze and advise LAFCO on the different possible methods of combining, in the future, the City with various special districts, including the designation of a district as a INCORP\Proposal .doc Page 8 "subsidiary district, " which would leave district boundaries intact. Agree Disagree 12 . We propose that, as to those special districts that could, at some point in the future, come under the jurisdiction of the City, that at a point at least three years after the effective date of incorporation, the City Council explore with the elected board of each district, whether the combining of such district with the City would be mutually advantageous to the residents of the City and to the residents of the district. If, and only if, the combination is determined to be mutually advantageous, the issue should be submitted to the voters of the City and of the district, and the two should combine only if a majority of the City voters and a majority of the district voters approve. Agree Disagree 13 . We propose that County Service Areas ("CSAs") 5 (Olympic Heights) , 6 (Blitz Tract) , 8 (Blitz No. 5) , 10 (Martis Valley) , 11 (Ponderosa Palisades) , 19 (Donner View) , 4 (Tahoe Donner) , and 9 (Glenshire) , be retained through Adoption of Findings required by Government Code Section 56375 (p) . Further, upon incorporation, all CSAs described above should be converted r^ INCORP\Proposal .doc Page 9 from County service areas to City service areas so that all of their affairs would be supervised by the City after incorporation, and the County would be relieved of the burden of supervision. All funds, equipment and property presently held or owned by the individual CSAs would remain with the CSAs. Agree Disagree 14 . We propose that LAFCO's independent legal counsel determine and advise LAFCO and the public concerning all current restrictions on the ability of a new city to impose new taxes or fees or to raise current taxes or fees. Agree Disagree 15. We propose that the new City take over all planning, zoning, and land use decisions immediately upon election of a city council, and that, pursuant to state law, adopt a new general plan for the City within 30 months of the election. Agree Disagree 16. Police Protection a. Unless the City and the County agree otherwise, we propose that the City take over police protection within the incorporated limits at the earliest moment feasible to do so. We s� INCORP\Proposal .doc Page 10 propose that the independent feasibility consultant analyze whether it is feasible for the City to immediately create its own police force, independent of the County. If feasible, the independent feasibility consultant should recommend to LAFCO what County facilities and vehicles should be transferred to the City upon incorporation, and the appropriate price and payment terms for such facilities and vehicles. Agree Disagree b. We propose that immediately upon creation of the City police department, all permanent full-time employees of the County Sheriff' s Department serving in Truckee at the time of such creation, who would otherwise lose their jobs due to incorporation, be invited to apply to the City and shall be given first preference in hiring, in order of seniority. Any former County employees hired shall receive their current rates of pay, accumulated seniority, vacation rights and credits, holiday rights and credits, sick leave rights and credits, pension rights, and all other employee benefits. The independent feasibility consultant should recommend to LAFCO, and LAFCO approve, an equitable method for the County to reimburse the City for any vacation credit, holiday credit, or other employee liabilities assumed by the City. The City shall be free to determine the job duties of such employees once hired. In addition, the City shall be free to select its Chief of Police INCORP\Proposal .doc Page 11 from among the former County employees or through an outside search. Agree Disagree 17 . Snow Removal a. Unless the City and County agree otherwise, we propose that the City take over the snow removal within the incorporated limits at the earliest moment feasible to do so. We propose that the independent feasibility consultant analyze whether it is feasible for the City to immediately create its own snow removal department, independent of the County. If feasible, the independent feasibility consultant should recommend to LAFCO what County facilities and vehicles should be transferred to the City upon incorporation, and the appropriate price and payment terms for such facilities and vehicles. Agree Disagree b. We propose that immediately upon creation of the City snow removal department, all permanent full-time employees of the County Snow Removal Department serving in Truckee at the time of such creation, who would otherwise lose their jobs due to incorporation, be invited to apply to the City and shall be given first preference in hiring, in order of seniority. Any former County employees hired shall receive their current rates of pay, INCORP\Proposal .doc Page 12 accumulated seniority, vacation rights and credits, holiday rights and credits, sick leave rights and credits, pension rights, and all other employee benefits. The independent feasibility consultant should recommend to LAFCO, and LAFCO approve, an equitable method for the County to reimburse the City for any vacation credit, holiday credit, or other employee liabilities assumed by the City. The City shall be free to determine the job duties of such employees once hired. In addition, the City shall be free to select its department supervisor from among the former County employees or through an outside search. Agree Disagree 18 . Road Maintenance a. Unless the City and County agree otherwise, we propose that the City take over road maintenance within the incorporated limits at the earliest moment feasible to do so. We propose that the independent feasibility consultant analyze whether it is feasible for the City to immediately create its own road maintenance department, independent of the County. If feasible, the independent feasibility consultant should recommend to LAFCO what County facilities and vehicles should be transferred to the City upon incorporation, and the appropriate INCORP\Proposal .doc Page 13 price and payment terms for such facilities and vehicles. Agree Disagree b. We propose that immediately upon creation of the City road maintenance department, all permanent full-time employees of the County Road Maintenance Department serving in Truckee at the time of such creation, who would otherwise lose their jobs due to incorporation, be invited to apply to the City and shall be given first preference in hiring, in order of seniority. Any former County employees hired shall receive their current rates of pay, accumulated seniority, vacation rights and credits, holiday rights and credits, sick leave rights and credits, pension rights, and all other employee benefits. The independent feasibility consultant should recommend to LAFCO, and LAFCO approve, an equitable method for the County to reimburse the City for any vacation credit, holiday credit, or other employee liabilities assumed by the City. The City shall be free to determine the job duties of such employees once hired. In addition, the City shall be free to select its department supervisor from among the former County employees or through an outside search. Agree Disagree INCORP\Proposal .doc Page 14 19 . Building Inspection a. Unless the City and County agree otherwise, we propose that the City take over building inspection within the incorporated limits at the earliest moment feasible to do so. We propose that the independent feasibility consultant analyze whether it is feasible for the City to immediately create its own City building inspection department, independent of the County. If feasible, the independent feasibility consultant should recommend to LAFCO what County facilities and vehicles should be transferred to the City upon incorporation, and the appropriate price and payment terms for such facilities and vehicles. Agree Disagree b. We propose that immediately upon creation of the City building inspection department, all permanent full-time employees of the County Building Inspection Department serving in Truckee at the time of such creation, who would otherwise lose their jobs due to incorporation, be invited to apply to the City and shall be given first preference in hiring, in order of seniority. Any former County employees hired shall receive their current rates of pay, accumulated seniority, vacation rights and credits, holiday rights and credits, sick leave rights and credits, pension rights, and all other employee benefits. The independent feasibility consultant should recommend to LAFCO, and INCORP\Proposal .doc Page 15 ^ LAFCO approve, an equitable method for the County to reimburse the City for any vacation credit, holiday credit, or other employee liabilities assumed by the City. The City shall be free to determine the job duties of such employees once hired. In addition, the City shall be free to select its department supervisor from among the former County employees or through an outside search. Agree Disagree 20. Animal Control a. Unless the City and County agree otherwise, we propose that the City take over animal control within the incorporated limits at the earliest moment feasible to do so. We propose that the independent feasibility consultant analyze whether it, is feasible for the City to immediately create its own City animal control department, independent of the County. If feasible, the independent feasibility consultant should recommend to LAFCO what County facilities and vehicles should be transferred to the City upon incorporation, and the appropriate price and payment terms for such facilities and vehicles. Agree Disagree b. We propose that immediately upon creation of the City animal control department, all permanent full-time employees INCORP\Proposal .doc Page 16 `^ of the County Animal Control Department serving in Truckee at the time of such creation, who would otherwise lose their jobs due to incorporation, be invited to apply to the City and shall be given first preference in hiring, in order of seniority. Any former County employees hired shall receive their current rates of pay, accumulated seniority, vacation rights and credits, holiday rights and credits, sick leave rights and credits, pension rights, and all other employee benefits. The independent feasibility consultant should recommend to LAFCO, and LAFCO approve, an equitable method for the County to reimburse the City for any vacation credit, holiday credit, or other employee liabilities assumed by the City. The City shall be free to determine the job duties of such employees once hired. In addition, the City shall be free to select its department supervisor from among the former County employees or through an outside search. Agree Disagree 21. We propose that LAFCO set an appropriations limit as recommended by the independent feasibility consultant. Agree Disagree 22 . We propose that LAFCO set the property tax transfer, pursuant to Government Code Section 56842, as recommended by the INCORP\Proposal .doc Page 17 independent feasibility consultant. Agree Disagree 23 . We propose that LAFCO determine the number of registered voters within the proposed City limits. Agree Disagree 24. We propose that LAFCO submit to the voters within the proposed incorporated limits, at the time of the incorporation election, the adoption of the same Transient Occupancy Tax (bed tax) , as is currently assessed by Nevada County within the Truckee area. Agree Disagree 25. We propose that LAFCO identify all County mitigation funds collected in Truckee or earmarked for use in Truckee, and that all of such funds be transferred to the City, to be used in the same manner as they were to be used by the County. Agree Disagree INCORP\Proposal.doc Page 18