HomeMy WebLinkAbout2008-07-07 City Council Summary Minutes
07/07/08 103-275
Special Meeting
July 07, 2008
CLOSED SESSION .................................................................................278
1. Public Employment........................................................................278
1A. Public Employment........................................................................278
STUDY SESSION...................................................................................278
2. Mayor’s Advisory Group Presentation on Citywide Broadband Project....278
SPECIAL ..............................................................................................279
3. Resolution 8843 stating “Resolution of the Council of the City of Palo
Alto Expressing Appreciation to Richard James Upon His Retirement”. ..279
4. Selection of Candidates to be Interviewed for the Utilities Advisory
Commission. ................................................................................279
5. Selection of Candidates to be Interviewed for the Planning &
Transportation Commission. ...........................................................279
ORAL COMMUNICATIONS.......................................................................279
APPROVAL OF MINUTES .........................................................................281
CONSENT CALENDAR.............................................................................281
6. Adoption of Resolution 8844: (1) Resolution of the Council of the City
of Palo Alto Adopting a Compensation Plan for Management and
Professional Personnel and Council Appointees and Rescinding
Resolution Nos. 8748, 8799, 8821, 8832, and Resolution 8845 (2)
Resolution of the Council of the City of Palo Alto Amending Section
1701 of the Merit System Rules and Regulations to Incorporate the
2008-2009 Compensation Plan for Management and Professional
Personnel ad Council Appointees.....................................................282
07/07/08 103-276
7. Approval of Master Agreement for Installation of Underground Facilities
with Pacific Bell Telephone Company dba AT&T California and Comcast
of California IX, Inc.......................................................................282
8. Annual Public Review and Approval of Compliance of Development
Agreement with Stanford University for the Sand Hill Corridor Projects. 282
9. Approval of an Area Median Income-Based Resale Price Formula for
the Below Market Rate Ownership Program......................................282
10. Adoption of an Ordinance Amending Chapter 9.79 (Newsracks)
of Title 9 (Public Peace, Morals and Safety) of the Palo Alto
Municipal Code to Create a Special Newsrack Area in the
California Avenue Commercial Area and Approval of Newsrack
Regulations for California Avenue Special Newsrack Area....................282
11. Ordinance 5011 stating “Ordinance of the Council of the City of Palo
Alto Amending the Zoning Map of the City of Palo Alto to Change the
Zone Designation for Approximately 0.45 Acres, Located at 2995
Middlefield Road, from Planned Community (PC 3779) to Neighborhood
Commercial (CN) Zone District with a Retail Shopping (R) Combining
District”.......................................................................................282
11a. (former No.9) Approval of an Area Median Income-Based Resale Price
Formula for the Below Market Rate Ownership Program......................282
11b. (former No. 10) Adoption of an Ordinance Amending Chapter 9.79
(Newsracks) of Title 9 (Public Peace, Morals and Safety) of the Palo
Alto Municipal Code to Create a Special Newsrack Area in the California
Avenue Commercial Area and Approval of Newsrack Regulations for
California Avenue Special Newsrack Area. ........................................283
REPORTS OF OFFICIALS.........................................................................284
12. Review of Polling Results for Library/Community Center Bond Measure
and Direction to Staff on a November 2008 Bond Measure..................284
COUNCIL MATTERS ...............................................................................288
13 Acceptance of Transmittal of Police Auditor Semi-Annual Report.
288
14. Approval of Scope of Services and Agreement for Not to Exceed
$50,000 for a One Year Term with Police Auditor (OIR Group) to
Investigate Children’s Theatre Police Investigation.............................288
07/07/08 103-277
15. Review and Direction on Proposed Scope of Services for Citywide Cash
Handling and Travel Reimbursement Audit and Discuss Possible
Referral of the Audit to the City Auditor’s Office or to a Qualified
Outside Accounting or Audit Consultant............................................291
ADJOURNMENT: The meeting adjourned at 12:00 A.M...............................293
07/07/08 103-278
The City Council of the City of Palo Alto met on this date in the Council
Conference Room at 6:02 p.m.
Present: Barton, Burt, Drekmeier, Espinosa, Kishimoto, Klein, Schmid, Yeh
Absent: Morton
CLOSED SESSION
1. Public Employment
Title: City Auditor
Authority: Government Code section 54957(b)
1A. Public Employment
Title: City Manager
Authority: Government Code section 54957(b)
Council reconvened from Closed Session at 7:08 p.m.
Mayor Klein advised no reportable action taken
STUDY SESSION
2. Mayor’s Advisory Group Presentation on Citywide Broadband Project.
Bern Beecham, a member of the Mayor’s Broadband Committee, explained
to Council the purpose of the Fiber Optics Utility Enterprise, including current
limitations and the City’s objective for the past decade. He discussed the
Request for Proposal RFP issued in September 2006. Additional discussion
was focused on the proposal of the Consortium including funding, building,
owning and operating an open access, wholesale fiber network throughout
residential and commercial areas of Palo Alto. He went on to explain that
the Consortium members included PacketFront, 180Connect, and Axia.
The City’s obligation included providing the Consortium 36 fibers of the
City’s 144-288 fiber loop, turn over management of, support of, and revenue
from existing dark fiber customers, and seek competitive bids from network
service providers where applicable for city needs. He explained why the
proposal could potentially work and that previous proposals for Fiber to the
Home (FTTH) have had too many risks for the City. He went on to state that
several of the risks for the City now included; absence of retail service
providers, litigation from others, risk if no project. The Consortium believes
that the proposal is reasonable and realistic and they concur with Staff that
there should be no General Fund contribution nor liability.
07/07/08 103-279
SPECIAL ORDERS OF THE DAY
3. Resolution 8843 stating “Resolution of the Council of the City of Palo
Alto Expressing Appreciation to Richard James Upon His Retirement”.
Council Member Burt read the Resolution and Mayor Klein presented it to
Richard James.
MOTION: Council Member Burt moved, seconded by Council Member
Barton to approve the Resolution expressing appreciation to Richard James
upon his retirement.
MOTION PASSED: 8-0 Morton absent
4. Selection of Candidates to be Interviewed for the Utilities Advisory
Commission.
5. Selection of Candidates to be Interviewed for the Planning &
Transportation Commission.
MOTION: Council Member Barton moved, seconded by Council Member
Burt to interview all candidates for the Utilities Advisory Commission and the
Planning and Transportation Commission.
MOTION PASSED: 8-0 Morton absent
ORAL COMMUNICATIONS
Bob Evans, 2635 Park Blvd., spoke regarding the broadband study session.
Arthur Keller, 3881 Corina Way, spoke regarding the broadband study
session.
Robert Moss, 4010 Orme St., spoke regarding the broadband study session.
Robert Smith, 2291 Greer Road, spoke regarding the broadband study
session.
Lucy Erman spoke regarding the Palo Alto Children’s Theatre.
Mary Carlstead, 147 Walter Hayes, spoke regarding Pat Briggs & Richard
Curtis.
Alpha Crews, 2221 Louis Road, spoke regarding Children’s Theatre.
07/07/08 103-280
Sally Nordlund, 764 Garland Drive, spoke regarding Palo Alto Children’s
Theatre.
Bonnie Bernstein, 2114 Bellview Drive, spoke regarding choices the city had
made with the Children’s Theatre.
Ellen Freiberg, 842 Clara Drive, spoke regarding the Children’s Theatre.
Carolyn Munson, 4620 Blue Ridge Drive, San Jose, spoke regarding the
Children’s Theatre.
Stephanie Munoz, 101 Alma, #701, spoke regarding the city employees of
the Children’s Theatre.
Diane Savage, 1165 San Mateo Drive, Menlo Park, spoke regarding the
Children’s Theatre.
Brandon Savage, 1472 Magnolia Avenue, San Carlos, spoke regarding the
Children’s Theatre.
Andy Hayes, Cupertino, spoke regarding the Children’s Theatre.
Jeremy Erman, Cowper Street, spoke regarding Pat Briggs and Richard
Curtis.
Kathlee Walkup, 233 Marmona Drive, Menlo Park, spoke regarding the
Children’s Theatre.
Nancy Ferguson, 721 Forest Avenue, spoke regarding the Children’s Theatre.
Leif Erickson, 4075 Laguna Way, spoke regarding Pat Briggs.
Carl Gillespie, Jr., 4142 Amaranta Court, spoke regarding the Children’s
Theatre.
Suzan Stewart, 1550 Middlefield, spoke regarding Pat Briggs’ termination.
Trudi Reinhardt, 3440 Kenneth, spoke regarding the Children’s Theatre.
Ernest Kinsolving, 402 Roosevelt Avenue, Redwood City, spoke regarding
the Palo Alto Children’s Theatre.
Jay Moon spoke regarding Pat Briggs.
07/07/08 103-281
Heather Vickery, 727 Colorado Avenue, spoke regarding the Children’s
Theatre.
Sanford Forte, 280 College Avenue, spoke regarding Fiber to the Home.
Marie Huang, spoke regarding the Children’s Theatre.
Kent Vickery, 727 Colorado, spoke regarding the Children’s Theatre.
Council took a break at 9:03 p.m., and returned at 9:08 p.m.
APPROVAL OF MINUTES
MOTION: Council Member Barton moved, seconded by Council Member Yeh
to approve the minutes of May 19 and June 02, 2008.
MOTION PASSED: 8-0 Morton absent
CONSENT CALENDAR
Council Member Barton advised that he would not be participating in Agenda
Item Number 8 per Government Code Section 1090 due to being on faculty
at Stanford University.
Mayor Klein advised that he would not be participating in Agenda Item
Number 8 per Government Code Section 1090 due to his wife being on
faculty at Stanford University.
MOTION: Council Member Kishimoto moved, seconded by Council Member
Barton to pull Consent Calendar Item No. 9 to become Agenda Item No.
11A.
MOTION: Council Member Burt moved, seconded by Council Member
Schmid to pull Consent Calendar Item No. 10 to become Agenda Item No.
11B.
MOTION: Vice Mayor Drekmeier moved, seconded by Council Member
Espinosa to approve Consent Calendar Item Nos. 6-8, 11.
6. Adoption of Resolution 8844: (1) Resolution of the Council of the City
of Palo Alto Adopting a Compensation Plan for Management and
Professional Personnel and Council Appointees and Rescinding
Resolution Nos. 8748, 8799, 8821, 8832, and Resolution 8845 (2)
Resolution of the Council of the City of Palo Alto Amending Section
07/07/08 103-282
1701 of the Merit System Rules and Regulations to Incorporate the
2008-2009 Compensation Plan for Management and Professional
Personnel ad Council Appointees.
7. Approval of Master Agreement for Installation of Underground Facilities
with Pacific Bell Telephone Company dba AT&T California and Comcast
of California IX, Inc.
8. Annual Public Review and Approval of Compliance of Development
Agreement with Stanford University for the Sand Hill Corridor Projects.
9. Approval of an Area Median Income-Based Resale Price Formula for
the Below Market Rate Ownership Program.
10. Adoption of an Ordinance Amending Chapter 9.79 (Newsracks)
of Title 9 (Public Peace, Morals and Safety) of the Palo Alto
Municipal Code to Create a Special Newsrack Area in the
California Avenue Commercial Area and Approval of Newsrack
Regulations for California Avenue Special Newsrack Area.
11. Ordinance 5011 stating “Ordinance of the Council of the City of Palo
Alto Amending the Zoning Map of the City of Palo Alto to Change the
Zone Designation for Approximately 0.45 Acres, Located at 2995
Middlefield Road, from Planned Community (PC 3779) to Neighborhood
Commercial (CN) Zone District with a Retail Shopping (R) Combining
District”.
MOTION PASSED for Item Nos. 6, 7, 11: 8-0 Morton absent
MOTION PASSED For Item No. 8: 6-0 Barton, Klein not participating,
Morton absent
11a. (former No.9) Approval of an Area Median Income-Based Resale Price
Formula for the Below Market Rate Ownership Program.
Council Member Kishimoto asked staff to comment on the depreciation
process of the Below Market Rate (BMR) units.
Interim Director of Planning and Community Environment Curtis Williams
stated the formula brought the sale points closer to that of a new unit;
however the intent was to maintain a moderate income level of the units.
Council Member Kishimoto asked staff to provide a cost plan for updating an
older unit in preparation for sale.
07/07/08 103-283
Mr. Williams stated the highest cost spent had been fifty thousand dollars
although the average cost was much lower.
Council Member Kishimoto asked whether the retroactivity applied only to
the new units.
Mr. Williams stated yes.
Council Member Kishimoto asked whether staff had concerns of units not
selling.
Mr. Williams stated there was not a large concern although there was always
a potential.
MOTION: Council Member Kishimoto moved, seconded by Vice Mayor
Drekmeier to refer this item to the Policy and Services Committee for
review.
Council Member Schmid stated Council was looking for an alternative pricing
scheme between the CPI program and the median income. The use of
median income was based on ABAG’s guidelines and target goals in the BMR
housing criteria. The original direction from Council was to substitute Area
Median Income (AMI) for CPI.
Council Member Yeh asked the number of potential units in within the year
and the terms of unit turnover.
Manager of Planning and Community Environment Cathy Siegel stated there
were on average 6 to 10 resale units per year and new construction
determined the number of units coming.
Council Member Kishimoto stated the agreed formula for the selling price of
the units was eighty percent of the AMI including depreciation.
MOTION PASSED: 5-3 Espinosa, Klein, Schmid no, Morton absent
11b. (former No. 10) Adoption of an Ordinance Amending Chapter 9.79
(Newsracks) of Title 9 (Public Peace, Morals and Safety) of the Palo
Alto Municipal Code to Create a Special Newsrack Area in the California
Avenue Commercial Area and Approval of Newsrack Regulations for
California Avenue Special Newsrack Area.
07/07/08 103-284
MOTION: Mayor Klein moved, seconded by Council Member Barton to
move Agenda Item No. 11b (former No. 10) to the July 14, 2008 Council
agenda.
MOTION PASSED: 8-0 Morton absent
REPORTS OF OFFICIALS
12. Review of Polling Results for Library/Community Center Bond Measure
and Direction to Staff on a November 2008 Bond Measure.
Interim Deputy City Manager Kelly Morariu stated the polling results were
sent to Council earlier in the day.
David Metz, representative of Fairbank, Maslin, Maullin & Associates
overviewed the methodology of the polling process and presented the
findings.
Mayor Klein stated the numbers represented during the findings were not
accurate.
Mr. Metz stated each election resulted differently and he acknowledged the
numbers presented were possible outcomes.
Vice Mayor Drekmeier asked which libraries currently did not meet
earthquake safety standards.
Director of Public Works Glenn Roberts stated all of the libraries met the
code standards at the time they were built or retrofitted. He stated none of
them met the current code.
Vice Mayor Drekmeier asked whether it would was a fair statement to say
the object was to bring the libraries up to the current safety code.
Mr. Roberts stated yes.
Vice Mayor Drekmeier asked whether the polling had increased in favor of
the bond from 2007.
Mr. Metz stated yes, however the numbers were still within the margin of
error.
Vice Mayor Drekmeier asked whether there had been an adequate education
campaign after the completion of the first polling.
07/07/08 103-285
Ms. Morariu stated there was always more that could be accomplished,
however, the education effort was made on the needs component and the
advocacy effort focused on the bond measure.
Council Member Schmid asked whether it was possible to identify voters who
may have changed their vote in the polling from last time.
Mr. Metz stated no, the voter files had not been updated as of yet.
Council Member Schmid asked whether the survey had critical information
that could be used to gain knowledge in an effort to alter the outcome of the
voters opinion.
Mr. Metz stated the data could be analyzed to find what was appealing or
concerning about the proposal to the voters.
Council Member Schmid asked whether cross-tabs to evaluate survey
research were available and where they could be viewed.
Ms. Morariu stated yes, they were kept in the City Managers’ office.
Council Member Burt asked for clarification on the survey numbers.
Mr. Metz stated each set of numbers listed signified both the positive and
negative arguments.
Council Member Burt asked if the turnout on the November election could
impact the likelihood of success.
Mr. Metz stated the turn-out was likely to be close to a record and a large
factor would be based on the young, renters, and lower income voters.
Ms. Morariu stated there had been refinement of costs for custodial,
maintenance, utilities, and painting. The basis for the cost per facility was on
the incremental square footage increase where the Mitchell Park library
would be a larger collection.
Alison Cormack, 3487 Ross Road, read a list of surrounding city’s who had
newer libraries built since 2000. She shared her encouragement for the
probability of reaching the two-thirds votes necessary to further the library
bond.
07/07/08 103-286
Pat Markevitch, Chairperson of the Parks and Recreation Commission
(PARC), 231 Emerson, stated the PARC supported the measure and urged
Council to move forward.
Susie Thom, 753 Maplewood Place, stated the library vision the city was
working towards was to be the future for the community. She stated the
work being done now would be a gift left for the next thirty or more years.
Valerie Stinger, Chairperson of the Library Advisory Commission (LAC), 721
Christine Drive, stated the LAC was prepared to examine the polling results,
the findings in general and any specific question Council may have then
return with a response for Councils’ future deliberation.
Arthur Keller, 3881 Corina Way, stated as the level of assessed value went
up the property tax amount lowered over time.
Sanford Forte, 280 College Avenue, stated the focus had been on cost rather
than the rate of benefit return to citizens and businesses.
Vice Mayor Drekmeier requested staff to confer with other cities where
similar restructuring had occurred with the use of natural resources.
Mr. Roberts stated staff would pursue further detail as the project entered
into the design phase.
Vice Mayor Drekmeier asked whether the language in the bond could be
flexible.
City Attorney Gary Baum stated he would confirm with the Bond Counsel and
suggested the Motion reflect the language probability.
Vice Mayor Drekmeier supported the Measure and moving forward with the
LEED Gold standard.
Council Member Espinosa stated his encouragement for the upcoming library
advocacy campaign.
MOTION: Council Member Espinosa moved, seconded by Council Member
Barton that; 1) the Council move forward with November 2008 bond
measure, to include verbiage that the bonds are issued up to a total of $75
million in case of a major donation by a private donor, and 2) Staff to pursue
LEED Gold building standards for the new Mitchell Park Library/Community
Center, and 3) Staff to include design costs spent to date ($1.5 million) on
the library/community center projects in the bond measure.
07/07/08 103-287
Council Member Barton stated the data received was positive and
encouraging.
Council Member Schmid stated he was encouraged by the strength of the
community willing to move forward with the bond.
AMENDMENT: Council Member Schmid moved, seconded by XXXX to
delete Item Nos. 2 and 3 from the Motion.
Amendment failed for lack of second.
Mayor Klein stated his support for the Motion, moving forward with the LEED
Gold standard.
AMENDMENT: Mayor Klein moved, seconded by Council Member Burt to
delete Item No. 3 from the Motion.
City Manager Frank Benest stated the Council had previously authorized staff
to incorporate the design costs into the bond election.
Mayor Klein stated his concern was the design costs had not been included
throughout the process and therefore to include them at the end would take
funding away from the project.
Council Member Burt stated incorporating the LEED Gold standard was
fiscally prudent.
Council Member Kishimoto asked whether the increase in the utility cost was
due to the increase in square footage.
Ms. Morariu stated yes, as the design and LEED Gold elements were refined,
the cost estimates may change, however at present staff had presented the
most accurate estimate.
Council Member Kishimoto asked whether the estimated five full-time
employees (FTE) mentioned in the report was larger than the original
estimate.
Director of Libraries Diane Jennings stated the number of FTE’s required
depended on which conceptual model was adopted. The consultant
recommended three FTE for the two-story library, one for the community
center and one facility mechanic.
07/07/08 103-288
Council Member Kishimoto supported the Amendment.
Council Member Yeh supported the Amendment.
Council Member Espinosa supported the Motion, did not support the
Amendment.
AMENDMENT PASSED: 7-1 Espinosa no, Morton absent
MOTION AS AMENDED PASSED: 8-0 Morton absent
COUNCIL MATTERS
13. Acceptance of Transmittal of Police Auditor Semi-Annual Report.
MOTION: Council Member Barton moved, seconded by Council Member
Kishimoto to accept the semi-annual report of the Police Auditor.
MOTION PASSED: 8-0 Morton absent
14. Approval of Scope of Services and Agreement for Not to Exceed
$50,000 for a One Year Term with Police Auditor (OIR Group) to
Investigate Children’s Theatre Police Investigation.
Vice Mayor Drekmeier stated his concern for the cost of the investigation, he
asked whether the detail being requested was the cause for the cost.
Michael Gennaco stated yes, a more simplified report would be more cost
effective.
Council Member Kishimoto asked for comments regarding the scope of the
questions being asked.
Mr. Gennaco stated without review of the questions he could not explain
whether they could be combined.
Council Member Kishimoto asked whether it seemed reasonable to lower the
proposed dollar amount and return with a request for more funding if it was
necessary.
Mr. Gennaco suggested maintaining the original cost with returning to
Council halfway for a revisit of the investigation and funding status.
07/07/08 103-289
Council Member Burt asked if the questions were presented in a more
focused manner could the cost estimate be refined to a not to exceed
proposal.
Mr. Gennaco stated yes.
Susan Phillips-Moskowitz stated the investigation was unnecessarily
prolonged and the employees needed to be reinstated.
Robert Smith, Greer Road, requested the investigation be performed
accurately at any cost and available for public viewing.
Jeremy Orman stated the Yore Report was compelling and conflicting.
Bernard Cohen urged the Council to pursue the Police Audit.
Rick Saul suggested Council request the audit pay special attention to Mr.
Parsons letter.
Justine Franklin stated the importance of the investigation was to reinstate
trust between the community and the justice system of the city.
Bob Moss stated no matter how thorough the audit in question was, there
would be concern from some.
Herb Borock stated if an audit of the police investigation was required,
Council should request it through the Department of Justice in Sacramento
and not the same Police Auditor who was investigating the police
department.
Jonathon Erman stated the Police Auditor should be seen as a positive step
opposed to another attack.
Mary Carlstead stated the cost was insignificant compared to the lives and
reputations being held in limbo.
Susan Adams stated the cost of the investigation should not be a discussion
while the lives of people had been hanging in the balance for several
months.
MOTION: Council Member Burt moved, seconded by Mayor Klein for the
Mayor to appoint a 3 member Ad Hoc Sub-committee to; 1) refine scope of
services, 2) negotiate the terms of the agreement with the Police Auditor,
and 3) to return to Council with recommendations on how to proceed.
07/07/08 103-290
Mayor Klein stated the questions needed to be refined and combined to a
reasonable number.
Council Member Espinosa supported the Motion.
City Attorney Gary Baum stated the Council could give authority to the
Committee to move forward therefore bypassing a return visit to the
Council.
Council Member Schmid stated the Police Auditor’s role appeared to be
reviewing the same information reviewed by the police which seemed
redundant and time consuming. He recommended the Police Auditor review
the policy and procedures, and report requirements, and oversights.
Council Member Yeh recognized the importance of the ongoing process
however; the focus of the Police Auditor should be to uncover how the
matter occurred and what could be done to prevent a reoccurrence. He
stated he did not support the Motion.
Council Member Espinosa stated understanding the mistakes made was
required in order to understand necessary changes to the processes.
Mayor Klein stated the audit of the police action was designed to determine
whether the Police Department acted properly. The accounting procedures
were a separate issue and were to be reviewed separately.
MOTION PASSED: 7-1 Yeh no, Morton absent
MOTION: Council Member Espinosa moved, seconded by Council Member
Barton to have the Ad Hoc Committee have the authority to move forward
with the agreement without returning to Council.
Council Member Barton stated due to the importance of the matter, it
needed to move forward.
Council Member Schmid stated due to the importance of the matter, the
Committee results needed to be returned to Council for review.
MOTION PASSED: 5-3 Yeh, Drekmeier, Schmid no, Morton absent
07/07/08 103-291
15. Review and Direction on Proposed Scope of Services for Citywide Cash
Handling and Travel Reimbursement Audit and Discuss Possible
Referral of the Audit to the City Auditor’s Office or to a Qualified
Outside Accounting or Audit Consultant.
City Manager Frank Benest stated the Scope of Services included reviewing
the Fire Department cash handling procedures; at satellite city facilities
identifying the practicality of cashiering stations, reviewing cash drawer
accountability, evaluating deposit policy and procedures; reviewing the
travel policy enforcement including audit travel reimbursements, reviewing
city expense reimbursement policies and enforcement, reviewing
agreements with outside non-profit Friends’ groups and evaluating whether
appropriate financial controls exist within the agreements.
Council Member Burt asked for clarification on the last sentence in item 7 of
the Scope of Services.
Interim Deputy City Manager Kelly Morariu stated the section was in
references to the friends groups. If there were funds exchanged; how were
the procedures or invoices being handled.
Council Member Burt stated for clarification, the section was for remittances
between the city and the Friends’ groups.
Ms. Morariu stated yes.
Herb Borock, P.O. Box 632, stated the City Charter provided the duty of the
City Auditor was to provide the Council with an annual work plan. He
suggested waiting until the new City Auditor was hired.
Bob Smith, 2291 Greer Road, stated concern with the monitoring of the
Friends’ groups. The problems appeared to come from within the city’s
handling of funds.
Council Member Barton stated the Scope of Services was written so the audit
was for the City Manager to run the city. He stated the concept needed to be
clear whether the Council was tweaking or taking over the audit.
MOTION: Council Member Schmid moved, seconded by Mayor Klein for the
City Council to authorize the City Auditor to study citywide cash handling
and travel reimbursements, oversight procedures and City Auditor’s history
of audits on cash services.
07/07/08 103-292
Council Member Schmid stated the goal was to have the City Auditor, who
reports to the Council, be the responsible party.
Mayor Klein stated the City Manager was in charge of the day-to-day
administration of the city and if he deemed it necessary to secure a
consultant to improve the function of the government, he had the authority.
The duplication of having the City Manager and the City Auditor review was
a checks and balances system.
Council Member Yeh asked if the audit was assigned to the City Auditor’s
office what the current capacity for the office was.
Senior Auditor Renata Khoshroo stated there were two current audits in
process and two beginning. She asked whether the question of assignment
would be after the City Auditor was onboard or moving forward at present
time.
Council Member Yeh asked whether the City Auditor’s office was to oversee
an outside firm, would that be less disruptive to current staff projects.
Ms. Khoshroo stated yes, that would be more feasible.
Council Member Burt stated he did not see the need for duplication of
expense and effort between the Auditor and Managers’ office. He wanted to
be assured policies were being followed through appropriate administration.
Mr. Benest stated yes.
Council Member Espinosa asked for clarification on the Motion in reference to
the use of the City Auditor’s office.
Council Member Schmid stated it had been the responsibility of the City
Auditor to review the policies in question. He stated the incoming City
Auditor would be given the authority to contract out or maintain the project
in-house.
Mayor Klein stated contracting out was an unwarranted expense and
expressed that was the reason the city had an Auditor’s Department.
Council Member Yeh stated moving forward with an outside Auditor would be
a budget neutral event with the current salary savings of not having a City
Auditor.
07/07/08 103-293
Council Member Burt stated the timeline of hiring an outside audit firm with
that of hiring the City Auditor was the same.
MOTION PASSED: 8-0 Morton absent
COUNCIL COMMENTS, ANNOUNCEMENTS, AND REPORTS FROM CONFERENCES
None
ADJOURNMENT: The meeting adjourned at 12:00 A.M.
ATTEST: APPROVED:
City Clerk Mayor
NOTE: Sense minutes (synopsis) are prepared in accordance with Palo Alto
Municipal Code Sections 2.04.180(a) and (b). The City Council and Standing
Committee meeting tapes are made solely for the purpose of facilitating the
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Committee meeting tapes are recycled 90 days from the date of the
meeting. The tapes are available for members of the public to listen to
during regular office hours.