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HomeMy WebLinkAbout12-08-2015 Charter Committee Agenda & Backup City of San Bernardino Volunteer Citizen-Based Charter Committee Agenda Time: 5:00 p.m. Date: Tuesday, December 8, 2015 Place: EDA Board Room 201 N. E Street, San Bernardino, CA 92418 The City of San Bernardino recognizes its obligation to provide equal access to public services to those individuals with disabilities. Please contact the City Clerk's Office (909) 384-5102) one working day prior to the meeting for any requests for reasonable accommodation,to include interpreters. Anyone who wishes to speak on a numbered agenda item will be required to fill out a speaker slip. Speaker slips should be turned into the City Clerk before the item is taken up by the Committee. The Clerk will relay them to the Committee Chair person. Public comments for agenda items are limited to three minutes per person, a total of 15 minutes per item, comments to be received from the public before discussion of the item by Committee members. ROLL CALL PLEDGE OF ALLEGIANCE CHAIR'S COMMENTS PUBLIC COMMENT(LIMIT 30 MINUTES) ACTION ITEMS(subject to time available with meeting scheduled to end by 7:30 p.m.) 1. Approval of minutes from December 1, 2015 meeting(to be distributed at meeting) 2. Special Presentations 3. Procedural Matters a. Review Timeline (attached) b. Present& Review Preliminary Governmental Skeleton(attached) 4. Review and Consider Treatment of Compensation for Mayor and Councilpersons and Full-Time Mayor(Management Partners' updated white paper and PMS analysis attached) 5. Compare and Consider General Law vs. Charter for San Bernardino (PMS revised comparison and Management Partners' memo and table attached). 6. Start work on Specific Language for Charter ADJOURN Unless changed at the December 8th meeting, the next meeting of the Volunteer Citizen-Based Charter Committee will be S:00 p.m., Tuesday, December 22, 2015, in the EDA Board Room, 201 N. E. Street. Attendees are encouraged to park on the top floor of the City Hall parking structure and access the EDA building from there. i DRAFT Charter Review Committee Tuesday,December 1,2015 Minutes Committee Members Present: Phil Savage, Tom Pierce,Michael Craft, Gloria Harrison, Casey Dailey, Dennis Baxter, and Hillel Cohn. Committee members absent:Vicki Lee,Gary Walborne Staff/Committee Consultants Present: Cathy Standiford,Management Partners; Gigi Hanna,City Clerk; Gary Saenz,City Attorney Call to Order: Chair Savage called the meeting to order at 5:00 p.m. Chair's Comment: Mr. Savage said he would send his proposed Op-Ed piece to the newspaper. Public Sneakers Jim Smith, resident,thanked the committee for its work and said he thought the community forums were productive. Stephen Johns,resident and City Sewer worker, spoke about the water department providing water to the city at no charge in the past and said a current benefit of the water department is that they are competitive compared to other agencies in terms of pay and benefits and there is little turnover. Stacey Aldstadt, general manager of the water department,spoke about annual transfers from the department to the city in form of cash and free water to the city for many years.She explained the history of water department and her position in advocating that the city not participate in illegal transfers of funds from enterprise funds to the general fund. Minutes A motion was made by Cohn, seconded by Baxter,to approve the minutes of the December 1,2015 meeting. The motion unanimously carried. Special Presentation • Pat Morris, former mayor of San Bernardino spoke about the history of the Water Department and said he believed the council needs to be involved in water resource decisions. Currently,there is redundancy in having different human resources, accounting and finance systems for the City and the Water Department. • Susan Lien Longville,resident and SBVMWD board member, spoke about the water department, suggesting they give authority to the council or create a water commission of citizens to review the department annually. Action Items The committee voted: • To add the following language to the skeleton,under : "The Charter shall make reference to a department responsible for water, wastewater and sewer functions and an oversight Board of Commissioners for the Department, with their specific powers and authority to be determined by the Council with the Commissioners to be appointed by the Council(including the Mayor). The Board shall recommend rates (for water and waste water disposal and sewer rates to the Council"as well as amend Section 1.7 to include the amended definition found in Section 1.5. The motion was made by Harrison, seconded by Baxter, and passed 5-2,with Cohn and Craft opposing. • By consensus the committee reaffirmed that the Mayor should get a vote and the council shold be reduced to six members and a mayor. • Add the following language concerning natural resources to the skeleton: "The City shall continue to own,possess and control all rights and property of every kind and nature, owned, possessed or controlled by it at the time this Charter takes effect and shall be subject to all its debts, obligations and liabilities."The motion was made by Cohn seconded by Harrison and carried unanimously. Next Meeting Date and Time: The next meeting date of the Volunteer Citizen-Based Charter Committee will be 5:00 p.m.,Tuesday, December S,2015. The meeting adjourned at 7:29 p.m. Respectfully submitted by Gigi Hanna City Clerk Charter Committee Working Timeline— December 8, 2015 The purpose of this Timeline is to document the San Bernardino Charter Committee's progress and capture additional tasks and activities that should be considered by the Committee in the future. Comments/Status Meeting Date Task or Activity 5/12/15 Developed Input Questionnaire (Survey) Complete 5/26 Receive Input from Survey Agreed to continue to receive input on survey Request Council approval for Complete; professional assistance provided effective 7/7/15 professional input Discuss plan to develop Timeline Draft was available, but was not discussed Discuss plan to deal with Charter topics Draft was available, but was not discussed 6/9 Discuss approach to Charter Review Agreed upon approach, including focusing on Charter skeleton before specific topic details Received and reviewed information on Discussed professional and public input Approve plan for disseminating survey Complete Review working timeline Complete. Timeline will be updated regularly as changes occur Consider form of Government for Preliminary Recommendation: Council—Manager Form of Charter skeleton Government in Charter Skeleton Discuss skeleton City Council structure Preliminary Recommendation: Maintain a Ward System and powers Council representation for Charter skeleton 6/23 Meeting Cancelled 7/7 Discuss professional advisors and scope Complete of work Introduce new participants to Charter Welcomed Committee Member Vicki Lee Committee Complete discussion of skeleton City Preliminary Recommendation: City Council powers should Council structure and powers 1 be limited to legislative and policy making, not administrative and operational Discuss skeleton Mayor provisions Preliminary Recommendation: Mayor should be elected at- large. Powers,voting privileges and impacts on ward system deferred to next meeting 7/14 Continue discussion of skeleton Mayor Preliminary Recommendation: Retain the current number provisions of wards (7) Preliminary Recommendation: Mayor should have no administrative, appointment or removal powers except as otherwise provided in the Charter Deferred consideration of Mayor's voting rights until input is received from the Mayor and Council members Agreed to provide meeting summaries to Mayor and Council following each Committee meeting. Agreed to periodically provide progress reports to the Mayor and Council at their regularly scheduled meetings San Bernardino Charter Committee Timeline Page 2 Meeting Date Task or • Begin discussion of skeleton City Manager Preliminary Recommendation: Majority vote of all provisions members of the Common Council and Mayor required for appointment of City Manager 7/28 Continue discussion of City Manager Discussed. Recommendations deferred until August 11 Charter Skeleton Discussions meeting (to consider results from elected official interviews) Begin discussion of skeleton provisions for Discussion regarding City Attorney begun; City Clerk, City Attorney, City Treasurer recommendations deferred until August 11 8/11 Review common themes from Elected Reviewed Official Interviews Review applicability of Operating Guidelines Discussion continued, but not completed. for Good Governance to Charter Skeleton Preliminary recommendation that the Mayor have the Complete discussion on Mayor, Council, same voting privileges as Common Council members. City Manager interrelationship, roles and Preliminary recommendation that the roles of Mayor authorities as reflected in the Operating Practices for Good Government(OPGG) be incorporated into the Charter skeleton Complete Charter skeleton discussion Presentations by City Treasurer Kennedy and Mayor regarding City Attorney, City Clerk, City Davis Treasurer 8/25 Complete discussion on Mayor, Council, Preliminary recommendations: City Manager interrelationship, roles and • Reduce number of wards from 7 to 6 authorities . Incorporate recommended roles for City Manager, Common Council and Mayor and Common Council (combined)from OPGG into the Charter skeleton Complete Charter skeleton discussion Not discussed regarding City Attorney, City Clerk, City Treasurer Charter Skeleton Discussion on Not discussed Establishment of City Departments, Commissions and Committees; City Officers and Fiscal Management Discuss plans for progress report to Mayor Confirmed scheduling for September 21 M/CC meeting and Council on skeleton 9/8 Meeting Rescheduled to September 15 9/15 Charter skeleton discussion regarding City Preliminary recommendations: Attorney, City Clerk, City Treasurer • Duly qualified City Attorney to be appointed by Mayor and Common Council • Incorporate OPGG language re: City Attorney into the Charter Skeleton • Duly qualified City Clerk to be appointed by Mayor and Common Council • Charter will contain no references to City Treasurer San Bernardino Charter Committee Timeline Page 3 Meeting Date Task or Discuss Charter skeleton Preliminary recommendation: Charter not specifically mention provisions related to City departments except as otherwise provided or delineated departments and their establishment 9/15 Review and Discuss survey Discussed results Finalize plans for progress Discussed report to Mayor and Council on skeleton 9/21 Present Progress Report at Presented Mayor Common Council Meeting 9/22 Discuss input from Mayor and Discussed, no change in skeleton based on input from Mayor and Council from 9/21 Progress Council at this time Report presentation, modify Discussion of whether to reconsider alternatives for ensuring odd skeleton as desired number of voting members—Deferred to next meeting agenda Discuss specific departments Preliminary recommendations: referenced in the charter to • No reference to School Districts in Charter determine whether language • Include reference to Library Board of Trustees,with should be included in charter specific powers and authority to be determined by the City Council Discuss other department or Discussion of whether services to be provided should be included in agency language to include in the Charter— Deferred to next meeting agenda charter Identify other topics to be Not discussed covered by the Charter skeleton, i.e., elections, fiscal matters, code of ethics, etc. 10/13 Discuss reconsideration of Discussed, but deferred to obtain input through public forums alternatives to ensure odd number of voting members Discuss whether to add Discussed. Alternative options to be discussed at 10/27 meeting language on services to be provided without specifying departments Discuss potential Police and Fire Preliminary recommendation: Department skeleton • No reference to Police or Fire Department in Charter provisions, if any Discuss potential civil Not discussed service/personnel system skeleton provisions, if any Review plans and content for Discussed upcoming public forums 10/27 Discuss potential civil service/ Preliminary recommendation: personnel system skeleton • No specific reference to Civil Service Board or Department provisions in the Charter. Instead, include language that the City shall establish a personnel system. San Bernardino Charter Committee Timeline Page 4 Meeting Date Task or Discuss potential Water Not discussed—deferred to November 10 meeting Department skeleton provisions, if any. Finalize plans for public forums Discussed Review potential language Preliminary recommendations: (possibly in a Preamble) • Add "The City shall ensure fundamental services are regarding fundamental services provided to protect and promote the public health, safety to be provided and welfare,"to the Charter Preamble. • Add "The Common Council may establish departments and assign departmental functions in order to meet the needs of the community in the most effective and efficient manner.The Common Council may also establish advisory or independent boards or commissions to provide guidance regarding the provision of City services.Any services, boards or commissions in existence at the time of the adoption of the Charter shall continue unless and until changed by the Council"to the skeleton section for Common Council 11/4 Public Forum, Golden Valley Held Middle School, 6:30 p.m. 11/5 Public Forum:Arroyo Valley Held High School, 6:30 p.m. 11/9 Public Forum, Indian Springs Held High School, 6:30 p.m. 11/10 Discuss potential Water Discussed. Action postponed to next meeting Department skeleton provisions Review input received at public Discussed forums Reconsider Mayoral voting and Discussed. Action postponed to next meeting options for ensuring odd number of voting members Review and discuss how charter Not discussed issues would be treated under general law 11/24 No Meeting Meeting rescheduled to December 1, 2015 12/1 Discuss potential Water Preliminary recommendations: Department skeleton provisions • The Charter shall make reference to a department responsible for water, wastewater and sewer functions with an oversight Board of Commissioners;with their specific powers and authority to be determined by the Council; and with the Commissioners to be appointed by the Council (including the Mayor). The Board shall recommend rates for water, wastewater and sewer services to the Council. The City Manager shall have responsibility and supervision of the department. • Include a section on Rights, Succession and Liabilities to read:The City of San Bernardino shall continue to own, San Bernardino Charter Committee Timeline Page 5 Meeting Date Task or Activity Comments/Status possess,and control all rights and property of every kind and nature, owned, possessed or controlled by it at the time this Charter takes effect and shall be subject to all its debts,obligations and liabilities. Reconsider Mayoral voting and Discussed. Decided to retain current charter skeleton provisions for options for ensuring odd Mayoral voting rights and a six-ward Council system. number of voting members Compare and consider general Not discussed. law vs. charter options for San Bernardino Review and discuss other Discussed. Will discuss compensation and employment status of elements to be considered in Mayor and Council (full-time vs. part-time) at next meeting. No the skeleton other elements to be considered in the skeleton. 12/8 Review compensation and employment status for Mayor and Council members Compare and consider general law vs. charter options for San Bernardino Begin discussing specific charter language 12/22 Continue work on specific language Discuss potential public forum School District has requested 4 weeks' notice dates 1/12 Continue work on specific language Discuss progress report to Tentatively schedule progress report for Feb 1 Mayor and Council 2/1 Present progress report at Mayor/Common Council meeting 2/9 Incorporate comments from Mayor and Common Council into charter details Discuss content and format for Committee's report to Mayor and Common Council TBD Hold second round of public forums 2/23 Review and revise Charter proposal 3/8 Review draft report to Mayor Note: Report contents should contain summaries of each and Common Council; discuss Committee recommendation and rationale (for use during presentation format education and outreach); Management Partners studies(white papers) will be attachments to the report 3/22 Finalize draft report to Mayor San Bernardino Charter Committee Timeline Page 6 Meeting Date Task or Activity Comments/Status and Common Council, presentation format 4/4 Present recommendations to Mayor and Common Council 4/18 Present recommendations to Mayor and Common Council (alternative date) Additional Charter topics to consider(in no particular order): Departments, Commissions, Committees,Agencies and Reporting Relationships; Preamble; Municipal Powers/Authority; Elections; Fiscal Administration (i.e., fiscal year, budget submission,tax limits, public works contracts, claims, audit; Franchises; Code of Ethics; Initiatives, Referendums and Recalls; Severability,Transition and Municipal Code Issues Resulting from Charter Revisions, Charter Amendments; Charter violations SAN BERNARDINO GOVERNMENTAL STRUCTURE PRELIMINARY SKELETON (12/1/15) Preamble to include the following language: The City shall ensure fundamental municipal services are provided to protect and promote the public health, safety and welfare. r I. Council - Manager Form of Govt. 11. City Council 2.1 Based on a 6 Ward System 2.2 The role of the Common Council is legislative in character, which includes the power to set policy, approve contracts and agreements and undertake other obligations consistent with the Charter and Code, while deferring to the discretion of management and staff to choose the appropriate means to achieve the Council's goals. 2.3 The Common Council shall perform its duties and exercise its powers in a manner that serves the best interests of the entire City, rather than any particular geographic area or special interest. 2.4 The Common Council may establish departments and assign departmental functions in order to meet the needs of the community in the most effective and efficient manner. The Common Council may also establish advisory or independent boards or commissions to provide guidance regarding the provision of City services. Any services, boards or commissions in existence at the time of the adoption of this Charter shall continue unless and until changed by the Council. III. Mayor 3.1 Elected from Citizens at-large 3.2 To have no administrative, appointment or removal powers except as otherwise provided in Charter 3.3 The Mayor should have a full vote with the Council. 3.4 The Mayor will build consensus with the Common Council to create and implement a shared vision and plan of implementation to restore the City's fiscal integrity. 3.5 The Mayor will establish and maintain partnerships and regional leadership roles to advance the City's interest. 3.6 The Mayor will be the key"face" and chief spokesperson for the City. 3.7 The mayor will be the presiding officer at meetings of the Common Council and will fully participate in discussions. 3.8 The Mayor will not interfere with the discretion of the City Manager in the exercise of his powers and performance of his duties. IV. Mayor and Council Interactions 4.1 The Mayor and Common Council will jointly develop clear expectations of the City Manager and hold him or her accountable by conducting periodic performance evaluations. 4.2 The Mayor and Common Council will develop and implement norms (Code of Conduct)to guide and direct their interactions and duties, including measures to hold one another accountable for deviations from the goals and principles set forth in the City Charter and City Code. 4.3 Neither the Mayor nor the Common Council will interfere with the judgement and discretion of management staff with respect to the duties that are typically managerial in nature, such as the appointment, removal, and supervision of subordinate staff. 4.4 Neither the Mayor nor the Common Council will direct departmental staff, other than those in their own department. V. City Manager 5.1 The City Manager will be the sole authority for managing City operations and appointing and directing City staff, except as otherwise provided in the Charter 5.2 The City Manager will make business and policy recommendations based solely on his or her independent professional judgement and best practices in the interests of the City, rather than political considerations, and to this end shall strictly guard against interference with the performance of his or her duties. 5.3 The City Manager will be accountable for the implementation of Council goals and policy and the overall performance of the City. 5.4 The City Manager will be responsible for ensuring that the Common Council and Mayor are fully informed on all aspects of important emerging issues, and as part of that responsibility will fully brief the Common Council at their Council Meetings on business matters before them. VI. City Treasurer 6.1 The Charter should contain no language about a City Treasurer. VII. City Clerk 7.1 A duly qualified person should be appointed as City Clerk by the Mayor and Council. VIII. City Attorney 8.1 A duly qualified person should be appointed as City Attorney by the Mayor and Council. 8.2 The City Attorney will focus his/her attention and resources on the performance of his/her duty as chief legal officer to provide legal advice to the Mayor, Council and City Manager, and the management of his/her office, and shall leave the formulation of policy and managerial matters exclusively to those officials charged by the Charter with those duties. IX. Departments & Commissions 9.1 Specific City departments and agencies shall not be designated in the Charter, except as otherwise provided in the Charter. 9.2 Library - Charter should require a Library Board of Trustees with its specific powers and authority to be determined by the Council. 9.3 No specific provisions in Charter about - a. Schools or Education; b. Parks & Recreation;9 C. Fire Dept or services; d. Police Dept or services; 9.4 The City shall establish a personnel system. 9.5 The Charter shall provide for a department responsible for water, waste water and sewer functions, with an oversight Board of Commissioners; with their specific powers and authority to be determined by the Council, with the Commissioners to be appointed by the Council(including the Mayor). The Board shall recommend rates for water, waste water and sewer services to the Council. The City Manager shall have responsibility and supervision of the Department. X. Other 10.1 The City of San Bernardino shall continue to own,possess, and control all rights and property of every kind and nature, owned,possessed or controlled by it at the time this Charter takes effect and shall be subject to all its debts, obligations, and liabilities. 9But it should say that the City's Municipal Code will provide for parks &recreation. Management Partners To: Volunteer Citizen-Based Charter Committee From: Cathy Standiford, Partner Subject: Mayor and City Council Employment Status and Compensation Date: December 8, 2015 The Charter Committee is considering elements pertaining to the Mayor and City Council that should be included in the Charter "skeleton." At its July 14, 2015 meeting, the Charter Committee expressed an interest in discussing whether the Mayor and City Council members should be full- or part-time. More recently, the Committee decided to consider whether the Charter should address compensation for the Mayor and Council members. This memorandum provides information regarding employment status and compensation Committee members may wish to consider in developing specific recommendations. Background Section 14 of the existing San Bernardino Charter establishes a four-year term for the Mayor and staggered four-year terms for City Council members. The Charter contains no term limits for any elected office. Charter Section 24 specifies that the Mayor be a full-time position and establishes compensation at 50% of the salary for a San Bernardino County Superior Court Judge. Based on the current average salary for such judges the Mayor's current salary is approximately$92,305 per year, or $7,692 per month. The Charter establishes compensation for each City Council member of$600 per year or$50 per month. The Mayor and Council members also receive an auto allowance of$600 per month, although this form of compensation is not specified in the Charter. Retirement,health and other benefits are provided as required by state and federal law and the California Public Employees Retirement System, Employment Status Comparisons Management Partners conducted telephone interviews with the city clerks of 17 comparable charter cities to determine whether the mayors and council members function in a full-or part- time capacity and to confirm current compensation. We also reviewed charter language for each city. 1730 MADISON ROAD • CINCINNATI,OH 45206 • 513 8615400 • FAx 513 8613480 MANAGEMENTPARTNERS.COM 2107 NORTH FIRST STREET,SUITE 470 • SAN JOSE,CALIFORNIA 95131 • 408 437 5400 • FAx 408 453 6191 3152 RED HILL AVENUE,SUITE 210 • COSTA MESA,CALIFORNIA 92626 • 949 222 1082 • FAx 408 453 6191 Mayor and City Council Employment Status and Compensation Page 2 Table 1 summarizes the employment status for the mayors of comparable peers. It shows the more common practice is for the mayor to serve on a part-time basis, consistent with the council-manager form of government. City council members are considered to be part-time in all 17 of the comparable agencies. Table 1. Mayor Employment Status in Comparable Cities Full- Pa rt- Population Time Time Comments 200,000 to 299,000 2 2 Chula Vista and Stockton charters specify the mayor is to function on a full-time basis 300,000 to 399,000 0 4 No charters specify the mayor is to be full-time 150,000 to 199,000 Mayors in Glendale and Oceanside are not directly elected and have 0 9 same powers and compensation as council members TOTAL 2 15 Compensation Comparisons California Constitution Article XI, Section 5(b) authorizes charter cities to establish compensation for council members. Some charters state that compensation for elected officials will be established by municipal code, ordinance or resolution. A few identify a specific amount of compensation within the charter itself. In these cases, the compensation may only be changed by a charter amendment approved by the electorate. Several cities (such as Irvine, Anaheim, and Oceanside), have charter provisions stating compensation will be set in accordance with the Government Code as applicable to general law cities. Government Code §36516 establishes salary limits for mayors and council members salary limits based on population size. For example, cities with populations between 150,000 and 250,000 may provide a maximum salary of$800 per month. The limit for general law cities with populations greater than 250,000 is$1,000 per month. However, the salary cap may be increased by local ordinance so long as the amount of the increase does not exceed 5%per calendar year. Table 2 summarizes whether specific salary information for each elected position is contained in the charter. It shows that 12 of the 17 agencies do not specify the amount of compensation. Mayor and City Council Employment Status and Compensation Page 3 Table 2. Summary of Charter Provisions for Mayor and Council Member Compensation Salary Salary Not Specified Specified by Population Charter Charter Comments 200,000 to 299,000 1 3 The Chula Vista Charter specifies mayor's compensation is to be 66%of the salary of a superior court judge and councilmembers are to receive 40%of the mayor's salary. Irvine charter states compensation will be set based on Government Code provisions for general law cities.Compensation in Modesto and Stockton is set by ordinance based on recommendations from a Citizen's Salary Setting Commission following a public hearing. 300,000 to 399,000 2 2 Bakersfield and Santa Ana charters provide a specific salary amount. Anaheim follows compensation requirements for general law cities. Riverside establishes amounts by ordinance following a public hearing. 150,000 to 199,000 2 7 Torrance and Salinas charters specify a compensation amount. However,Salinas is in the process of updating its charter and may remove this provision. TOTAL 1 5 1 12 Table 3 summarizes the current compensation for mayors and council members in the 17 comparison charter cities. It shows the monthly compensation for mayors ranges from $100 to $10,154,while monthly compensation for council members ranges from $100 to $4,061 per month. Table 3. Comparison of Monthly Compensation for Mayors and City Council Members City Mayor Council Member 200,000 to 299,000 Population San Bernardino $7,692 $50 Chula Vistal $10,154 $4,061 Irvine $880 $880 Modesto $3,600 $2,000 Stockton $6,032 $1,377 300,000 to 399,000 Population Anaheim $1,500' $1,500' Bakersfield $2,000 $1003 Riverside $6,569 $3,284 Santa Ana $200 $125 150,000 199,000 Population Glendale° $1,430 $1,420 Hayward $3,330 $2,081 Mayor and City Council Employment Status and Compensation Page 4 City Mayor Council Member Lancaster5 $600 $600 Oceanside6 $1,644 $1,644 Palmdale $2,065 $759 Pomona $1,638 $819 Salinas $800 $600 Santa Rosa $1,200 $800 Torrance $100 $100 Mayor receives 66%of salary for a superior court judge;council members receive 40%of mayor's salary 2Plus$50 per meeting CCity Council members also receive$20 per budget session meeting. MMayor appointed by city council,not directly elected. Compensation follows Government Code provisions for general law cities. sCompensation set by ordinance;requires super-majority vote of mayor and city council MMayor appointed by city council,not directly elected. Compensation set by municipal code. Conclusion The following conclusions can be made from the peer agency and related research: • San Bernardino's Council members are compensated well below the norm for elected officials, and in fact, receive less compensation than any of the peer agencies. • Setting the Mayor's compensation based on the salary of a superior court judge is an antiquated practice that only one of the peer agencies follows (Chula Vista). • Following the compensation provisions for general law cities would result in improved compensation for Council members,but reduced compensation for the Mayor. • Most peer agencies do not specify a salary amount for elected official compensation in the charter document itself. 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N c °° Ur r° L ra i x r- c tv _ E Q G L' V Q u FM-- ran ou 3 C m > m O C N N O d m X d u c c 3 M C N LL "A v�-i a u � o Le) nn cu c 3 0 O L Q u I U c ..O � 'o O a U O E 00 O n E to a O •j -n U O 0 N -0 O O U Y L cU T Q) CL = O +- a Z � Y a c o w aco aaii a y a cc u s E v > a O vii a a cco w > C) 0 o u� y m a. -O L a O Ol 'a to N ` M m toll a fl- c c C U Ql c a - a U �+ ` o O n °- o 7 C o N O �" ut L ti_ Q N d C a 00 C u o V) �_ UQ a E � U v om O G Q w 0 a� O M ^ m u to) L N N Q "O � U Ol "6 of r ca U C ,� N CO O C ?� t"� O ` a U C 0 L C O O m v U �+ n ) 3 Q � L a tw .� u °- E '3 pQ u Q - ., c Ln a) u > o �c a' � v L a s u c � t � a � u _ v a .� a c t c o � a o � � � � ns a 'c c Y In Q a U c^ O N = LL +L.+ N OU U -0 N C c a.2 a U _ L U iii o a •3 QamC'm f° c a a n 3 > u O 0 a ., m -C E u m v ni � O °1 3 `O' u ° "-° ° o a, o c ,n 00 _ N Ln Ln OQ N U — C L L a o U l0 C +-+ u O N O r+ LL tole to U i C C Q O a a� ° a ` O cv t O L a u .Q m Q v- *Z O OA C O L C7 yO O ate+ q tto O O F- U c E °' a c " a) t U 'n � u ° Y •L-' u a u n oa a c L C to �+ a O U m •� O a`)) c 0. o " � ° C7 ns c "n 0 C cs_v M L L a , c U ° O L L - L a u C L on a a 3 ° >. a 3 > 0 -°o v ^ c ° ca - to L L L O M c 0 3 Q U °u Q vai _0O L m m � N m N H a as =' s Y U C d0 7 C O d f0 N Management Partners To: Volunteer Citizen-Based Charter Committee From: Cathy Standiford, Partner Subject: General Law City vs. Charter City Characteristics and Authorities in California Date: November 10, 2015 The Charter Committee is developing recommendations for a new or substantially modified Charter to be brought to the Mayor and Common Council for consideration. The need for a new or substantially modified Charter has been identified as critical to the success of the City's Bankruptcy Recovery Plan. Although discussions have continued to focus on core elements of a new Charter (the "skeleton"), Committee members are also interested in the possibility for San Bernardino to become a general law city. The purpose of this memorandum is to provide information on the similarities and differences between general law and charter cities to help Committee members understand what might be gained (or lost)by such a change. Information on the inclusion of general law provisions in peer agency charters also is provided. Background The California State Constitution gives cities the power to become charter cities (Article XI, § 3(a)). This allows cities to adopt a charter and ordinances that replace state laws in areas related to "municipal affairs," subject to the limitations within the charter. At all times, the City, whether a charter or general law city, is subject to the United States Constitution, federal laws, the California Constitution, and state laws regarding matters of statewide concern. The primary difference between a charter city and a general law city is who gets to make decisions regarding "municipal affairs," i.e., the State Legislature or the City Council. The California Constitution does not specifically define "municipal affairs," but does identify four "core" categories that are,by definition, municipal affairs. These are (1) regulation of the "city police force," (2) "sub-government in all or part of a city," (3) conduct of city elections, and (4) the manner by which municipal officers are elected. Other than these categories, it has been left to the courts to determine what is or is not a municipal affair. There are some areas courts have consistently determined to be municipal affairs. These include: • Municipal election matters • Land use and zoning decisions (with some exceptions) 1730 MADISON ROAD • CINCINNATI,OH 45206 • 513 8615400 • FAx 513 8613480 MANAGEMENTPARTNERS.COM 2107 NORTH FIRST STREET,SUITE 470 • SAN JOSE,CALIFORNIA 95131 • 408 437 5400 • FAx 408 453 6191 3152 RED HILL AVENUE,SUITE 210 • COSTA MESA,CALIFORNIA 92626 • 949 222 1082 • FAx 408 453 6191 i Characteristics of General Law and Charter Cities Page 2 • How a city spends its tax dollars • Municipal contracts, provided the charter or a city ordinance exempts the city from the Public Contract Code, and the subject matter of the bid constitutes a municipal affair. Consequently, a charter may exempt a city from the state's competitive bidding statutes.' Courts have also consistently classified traffic and vehicle regulation, tort claims against a government entity, and regulation of school systems as matters of statewide concern.2 A charter city is not required to exercise local control over all municipal affairs or set out every municipal affair the city would like to govern. In fact, some city charters include provisions that the city will function as a general law city, except for a few areas specified in the charter. Characteristics of General Law and Charter Cities The following table summarizes characteristics of municipal governments and how they apply under general law and charter city models in the State of California. Table 1. Characteristics of General Law and Charter Cities3 Characteristic General Law City Charter City Ability to Govern Bound by the state's general law, regardless of Has supreme authority over"municipal Municipal Affairs whether the subject concerns a municipal affair affairs" Cal.Constitution (CC)Article XI, §5(b) Form of Described by state law. For example,the Charter can provide for any form of Government California Government Code(CGC)§36501 government, including the "strong mayor" authorizes general law cities to be governed by a and "city manager"forms. See CC Article XI, city council of five members, a city clerk, a city §5(b); CGC§34450 et seq. treasurer, a police chief,a fire chief and any subordinate officers or employees as required by law. City electors may adopt an ordinance providing for a different number of council members(CGC§ 34871).The CGC also authorizes the"city manager"form of government(§34851) Elections, Municipal elections conducted in accordance with Not bound by the California Elections Code. Generally the California Elections Code(CEC)(CEC§ 10101 May establish own election dates,rules and et seq.) procedures.See CC Article Xl, §5(b);CEC§ 10101 et seq. League of California Cities,"Charter Cities:A Quick Summary for the Press and Researchers,"(undated). www.cacities.org 2 Ibid. 3 City of El Cerrito City Council Presentation,October 3,2011;California League of Cities Website Characteristics of General Law and Charter Cities Page 3 Characteristic General Law City Charter City Methods of Generally holds at-large elections whereby voters May establish procedures for selecting Elections vote for any candidate on the ballot. Cities may officers(i.e., Mayor,City Council and other also choose to elect the city council "by"or officers to be elected). May hold at-large or "from" districts,so long as the election system has district elections(CC Article XI,§5(b) been established by ordinance and approved by the voters(GCG §34871). Mayor may be elected by the city council or by vote of the people(CGC§ 34902) City Council Minimum qualifications are: Can establish own criteria for city office Member 1. United States citizen provided it does not violate the U.S. Qualifications 2. At least 18 years old Constitution.CC Article XI,§5(b),82 Cal.Op. 3. Registered voter Attorney General 6,8(1999) 4. Resident of the city at least 15 days prior to the election and throughout his or her term 5. If elected by or from a district, must be a resident of the geographical area comprising the district from which he or she is elected CEC§321; CGC§§34882, 36502;87 Cal.Op. Attorney General 30(2004) Public Funds for No public officer shall expend and no candidate Public financing of election campaigns is Candidate in shall accept public money for the purpose of lawful.Johnson v. Bradley, 4 Cal.4th 389 Municipal seeking elected office. CGC§85300 (1992) Elections Term Limits May provide for term limits.CGC§36502 (b) May provide for term limits.CC Article XI, § 5(b); CGC§36502(b) Vacancies and An office becomes vacant in several instances May establish criteria for vacating and Termination of including death, resignation, removal for failure to terminating city officers so long as it does not Office perform official duties, electorate irregularities, violate the state and federal constitutions. absence from meetings without permission, and CC Article XI, §5(b) upon non-residency.CGC§§ 1770,36502,36513 Council Member Salary ceiling is set by city population and salary May establish council members'salaries. See Compensation increases are set aside by state law except for CC Article XI, §5(b). and Expense compensation established by city electors. See Reimbursement CGC§36516. If a city provides any type of compensation or payment of expenses to council members, If a city provides any type of compensation or then all council members are required to payment of expenses to council members,then all have two hours of ethics training. CGC§§ council members are required to have two hours 53234—53235 of ethics training. See CGC§§53234—53235 Characteristics of General Law and Charter Cities Page 4 Characteristic General Law City Charter City Legislative Ordinances may not be passed within five days of May establish procedures for enacting local Authority introduction unless they are urgency ordinances. ordinances. Brougher v. Board of Public CGC§36394 Works,2015 Cal 426(1928) Ordinances may only be passed at a regular meeting,and must be read in full at time of introduction and passage except when,after reading the title,further reading is waived. CGC§ 36934 Resolutions May establish rules regarding the procedures for May establish procedures for adopting, adopting,amending or repealing resolutions amending or repealing resolutions. Brougher v. Board of Public Works,2015 Cal 426(1928) Quorum and A majority of the city council constitutes a May establish own procedures and quorum Voting quorum for transaction of business.CGC§36810 requirements. However, certain legislation Requirements requiring supermajority votes is applicable to All ordinances, resolutions and orders for the charter cities. For example,see California payment of money require a recorded majority Code of Civil Procedure§ 1245.240 requiring vote of the total membership of the city council. a vote of two-thirds of all the members of the CGC§36936. governing body unless a greater vote is required by charter. Specific legislation requires supermajority votes for certain actions. Rules Governing Ralph Brown Act is applicable.CGC§§54951, Ralph Brown Act is applicable. CGC§§54951, Procedure and 54953(a) 54953(a) Decorum Conflict of interest laws are applicable. CGC§ Conflict of interest laws are applicable.CGC§ 87300 et seq. 87300 et seq. May have provisions related to ethics, conflicts,campaign financing and incompatibility of office. Personnel May establish standards, requirements and May establish standards, requirements and Matters procedures for hiring personnel consistent with procedures,including compensation,terms Government Code requirements. and conditions of employment for personnel. CC Article XI §5(b) May have "civil service"system,which includes comprehensive procedures for recruitment, Meyers-Milias-Brown Act applies. CGC§3500 � hiring,testing and promotion.CGC§45000 et seq. Cannot require employees to be residents of Meyers-Milias-Brown Act applies. CGC§3500. the city, but can require them to reside within a reasonable and specific distance of their Cannot require employees to be residents of the place of employment.CC Article XI, § 10(b) city, but can require them to reside within a reasonable and specific distance of their place of employment. CC Article XI, § 10(b) Characteristics of General Law and Charter Cities Page 5 Characteristic General Law City Charter City Contracting Authority to enter into contracts to carry out Full authority to contract consistent with Services necessary functions,including those expressly charter. granted and those implied by necessity. CGC§ 37103; Carruth v. City of Madera,233 Cal.App. 2d May transfer some of its functions to the 688(1965) county including tax collection,assessment collection and sale of property for the nonpayment of taxes and assessments.CGC §§51330,51334, 51335 Public Contracts Competitive bidding required for public works Not required to comply with bidding statutes contracts over$5,000. California Public Contracts provided the city charter or a city ordinance Code(CPCC) § 20162. Such contracts must be exempts the city from such statutes,and the awarded to the lowest responsible bidder.CPCC§ subject matter of the bid constitutes a 20162. If city elects to subject itself to uniform municipal affair. CPCC§ 1100.7;see R&A construction accounting procedures, less formal Vending Services, Inc. v. City of Los Angeles, procedures may be available for contracts less 172 Cal.App.3d 1188(1985); Howard than$100,000.CPCC§§2200, 22032 Contracting, Inc. v. G.A. MacDonald Construction Company, 71 Cal.App.4th 38 Contracts for professional services such as private (1998) architectural, landscape architectural, engineering, environmental, land surveying,or Note: This exemption from competitive construction management firms need not be bidding statutes appears to be a primary competitively bid, but must be awarded on basis reason for becoming a charter city. of demonstrated competence and professional qualifications necessary for the satisfactory performance of services. CGC§4526 Payment of In general, prevailing wages must be paid on Historically,charter cities have not been Prevailing Wages public works projects over$1,000.California bound by state law prevailing wage Labor Code(CLC)§ 1771. Higher thresholds apply requirements so long as the project is a ($15,000 or$25,000) if the public entity has municipal affair,and not one funded by state adopted a special labor compliance program. CLC or federal grants. Vial v. City of San Diego, § 1771.5(a-c) 122 Cal.App. 3d 346,348(1981). However,there is a growing trend on the part of the courts and the legislature to expand the applicability of prevailing wages to charter cities based on an argument that the payment of prevailing wages is a matter of statewide concern. The California Supreme Court declined an opportunity to resolve the issue. See City of Long Beach v. Dept. of Industrial Relations,34 Cal 4th 942(2004). Characteristics of General Law and Charter Cities Page 6 Characteristic General Law City Charter City Finance and May impose the same kinds of taxes and Have the power to tax. Taxing Power assessments as charter cities. CGC§37100.5 Have broader assessment powers than a Imposition of taxes and assessments subject to general law city, as well as taxation power as Proposition 218.CC Article XIIIC determined on a case-by-case basis. Examples of common forms used in assessment Imposition of taxes and assessments subject district financing include Improvement Act of to Proposition 218,CC Article XIIIC, § 2, and 1911, Municipal Improvement Act of 1913, own charter limitations. Improvement Bond Act of 1815, Landscaping and Lighting Act of 1972, and Benefit Assessment Act May proceed under a general assessment of 1982. law,or enact local assessment laws and then elect to proceed under the local law. See May impose business license taxes for regulatory J.W.Jones Companies v. City of Son Diego, purposes, revenue purposes or both.CGC§37101 157 Cal.App. 3d 745 (1984) May not impose real property transfer tax. CC May impose business license taxes for any Article XIIIA, §4 purpose unless limited by state or federal constitutions or city charter.CC Article XI, §5 May impose documentary transfer taxes under certain circumstances California Revenue and Tax May impose real property transfer tax;does Code§ 11911(a), (c) not violate either CC Article XIIIA or CGC§ 53725. See Cohn v. City of Oakland, 223 Cal. App. 3 d 261(1990);Fielder v. City of Los Angeles, 14 Cal.App.4`h 137 (1993) Streets and State has preempted the entire field of traffic State has preempted the entire field of traffic Sidewalks control.California Vehicle Code§21 control California Vehicle Code§21 Penalties and May impose fines, penalties and forfeitures,with May enact ordinances providing for various Cost Recovery a fine not exceeding$1,000. CGC§36901 penalties so long as such penalties do not exceed any maximum limits set by the charter. County of Los Angeles v. City of Los Angeles, 219 Cal.App 2d 838, 844(1963) Public Utilities May establish, purchase, and operate public May establish, purchase,and operate public and Franchises works to furnish its inhabitants with electric works to furnish its inhabitants with electric power. CC Article XI §9(a); CGC§39732; power. See CC Article XI, §9(a); California California Public Utilities Code(CPUC)§ 10002 Apartment Association v. City of Stockton,80 Cal.App.4th 699 (2000). May grant franchises to persons or corporations seeking to furnish light,water, power, heat, May establish conditions and regulations on transportation or communication services in the the granting of franchises to use city streets city to allow use of city streets for such purposes. to persons or corporations seeking to furnish The grant of franchises can be done through a light,water, power, heat,transportation or bidding process, under the Broughton Act, CPUC communication services in the city. §§6001-6092, or without a bidding process under the Franchise Act of 1937,CPUC§§6201-6302 Franchise Act of 1937 is not applicable if the charter provides.CPUC§6205 Zoning Zoning ordinances must be consistent with the Zoning ordinances are not required to be adopted General Plan. CGC§65860 consistent with the general plan unless the city has adopted a consistency requirement by ordinance. CGC§65803 Characteristics of General Law and Charter Cities Page 7 Additional Information Management Partners reviewed 17 peer agency charters to determine whether specific reference is made to provisions applicable to general law cities. Table 2 provides a summary of the results and shows 13 out of 17 make at least one reference to following State law as applicable to general law cities in the charter itself. Four of the agency charters have language indicating the city will follow the laws of the State of California applicable to general law cities unless the charter specifies otherwise. Table 2. Provisions Applicable to General Law Cities Referenced in Peer Agency Charters Provision Number Comments No reference to provisions for general law cities in charter 4 Bakersfield, Chula Vista', Riverside,Stockton Compensation for council members follows that for general law 4 Anaheim, Irvine,Glendale, cities Santa Rosa 2 Election procedures follow those established for general law cities 4 Salinas ,Torrance, Modesto, Santa Ana Bidding procedures for public works projects follows that for 2 Salinas, Modesto general law cities Fines and penalties for charter or code violations as established by 1 Glendale State law for general law cities Ordinance publication and posting requirements follow those 1 Santa Rosa established for general law cities City powers are those as established for general law cities unless 4 Hayward, Palmdale, Lancaster, otherwise specified by charter I I Oceanside 1Chula Vista's municipal code states the City follows procedures for holding elections as applicable to general law cities. 2Salinas's charter makes similar reference to procedures for initiatives, referendums and recalls. Many of the special provisions available to charter cities have been adopted and incorporated into San Bernardino's Charter. Abandoning the charter and converting to a general law city would have a variety of implications, including but not limited to the following. • San Bernardino would be bound by the State's general law, and lose its "supreme authority" over "municipal affairs." • The City could no longer establish its own election dates, rules and procedures. • Compensation for Council members would be limited to that allowed by State law. (Note: Currently City Council member compensation is below the State salary cap, while the Mayor's compensation exceeds the salary cap.) • San Bernardino would have to follow State procedures for enacting local ordinances. • The City would lose some of its contracting authority and ability to establish its own bidding statutes for public contracts. • The City would lose the authority to impose a real property transfer tax. • San Bernardino would not be able to establish higher fines, penalties and forfeitures than those allowed by State law (currently set at$1,000).