HomeMy WebLinkAbout2020-09-28 City Council Summary MinutesCITY OF PALO ALTO CITY COUNCIL
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Special Meeting
September 28, 2020
The City Council of the City of Palo Alto met on this date in Virtual
Teleconference at 5:04 P.M.
Participating Remotely: Cormack, DuBois, Filseth, Fine, Kniss, Kou, Tanaka
Absent:
Closed Session
1. CONFERENCE WITH CITY ATTORNEY-POTENTIAL LITIGATION Subject:
Threatened Litigation by San Jose/Silicon Valley NAACP et al Regarding
Non-Resident Access to Foothills Preserve Authority: Potential Exposure to Litigation Under Government Code
Section 54956.9(d)(2) and (e)(5)
One Potential Case, as Defendant.
Molly Stump, City Attorney announced a lawsuit had been filed and the correct
title for Agenda Item Number 1 was “CONFERENCE WITH CITY ATTORNEY-
EXISTING LITIGATION, Subject: Gasque v. City of Palo Alto, Santa Clara
County Superior Court, Case No. 20CV370681, Authority: Government Code
Section 54956.9(d)(1).”
MOTION: Council Member Kniss moved, seconded by Council Member
Cormack to go into Closed Session.
MOTION PASSED: 7-0
Council went into Closed Session at 5:06 P.M.
Council returned from Closed Session at 7:24 P.M.
Mayor Fine announced that the Council would return to Closed Session at the
end of the meeting.
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Study Session
2. Update on City of Palo Alto's Race and Equity Work and Discussion of
Next Steps.
Ed Shikada, City Manager reported the Police Policy Manual, Data and Hiring
Ad Hoc Committee, the Public Safety Alternative Models Ad Hoc Committee,
the Police Accountability and Transparency Ad Hoc Committee and the
Citywide Diversity and Inclusion Ad Hoc Committee continued to meet and
advance work on racism and inclusion. Staff suggested the Council consider
identifying gaps in policies and processes and changes to fill those gaps.
Chantal Cotton Gaines, Assistant to the City Manager presented a process
through which the Ad Hoc Committees could address areas of concern and
options for each policing and Citywide practice.
Michael Gennaco, OIR Police Auditor advised that OIR began working with the
City in 2008 because of the City's interest in oversight of the Police
Department. The Independent Police Auditor's (IPA) primary responsibility
was to review complaints against the Police Department. The Police
Department investigated complaints and forwarded reports to the IPA. The
IPA reviewed the reports, interacted with the Police Department, prepared
their own draft reports, reviewed the draft reports with the Police Department,
the union and the City Attorney's Office and released final Reports to the
public. The IPA's Report contained findings regarding the thoroughness and
objectivity of the Police Department's investigation and the Police Department
basing their dispositions on evidence and principles. The Report set out the
IPA's agreement or disagreement with the Police Department's Report and
comments regarding areas in which the Police Department was able to
improve. The Council assigned special tasks to the IPA over the years.
Steve Connolly, OIR Police Auditor indicated he was involved in much of the
IPA's direct interaction with the Police Department and appreciated the Police
Department's openness, responsiveness, receptivity and professionalism.
Mr. Gennaco explained that in most jurisdictions, the IPA's review of use of
force incidents was broader than the review in Palo Alto. Typically, the IPA
sampled minor use of force incidents over the course of the auditing period or
reviewed specific classes of use of force. In Palo Alto, the IPA reviewed use
of force incidents only if they were officer-involved shootings, if they involved
Taser use, and if an external complaint was filed. In other jurisdictions, he
had conducted audits of hiring practices, background investigations,
recruitment and promotion processes, employee evaluations, claims and
lawsuits, and internal complaints.
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Winter Dellenbach remarked that the IPA was underutilized in Palo Alto. The
IPA was able to review and recommend policies. The IPA rather than the Human Resources (HR) Department needed to handle harassment and race
complaints.
Aram James inquired whether the IPA interviewed complainants and whether
the City needed to review the use of tasers in light of evidence that they were
more dangerous than originally thought.
Vice Mayor DuBois indicated the Council may want to consider increasing the
IPA's scope of work for use of force incidents. In the past, the IPA had
presented their reports to the Council and worked with the Human Relations
Commission (HRC). The Ad Hoc Committee discussed the timeliness of IPA
Reports. He inquired about the extent of OIR's work on internal complaints.
Mr. Gennaco explained that OIR often reviewed a sample of investigations into
internal complaints for large jurisdictions. In jurisdictions the size of Palo Alto,
OIR reviewed all investigations. The IPA reviewed all HR complaints that
resulted in an investigation.
Vice Mayor DuBois expressed interest in the IPA conducting an annual audit
of various aspects of Police Department performance.
Council Member Kou requested the method Staff anticipated using to bring
the Mission Statement to fruition.
Mr. Shikada explained that the Mission Statement set an aspirational
expectation for the end product. The Council was in the initial phase of
building a work plan for change.
Council Member Kou noted the County of Santa Clara (County) developed an
equity framework called the Government Alliance on Race and Equity (GARE)
and suggested the Council utilize that framework.
Mr. Shikada advised that the City of Palo Alto was a member of GARE, and
Staff was exploring ways to operationalize the principles contained in the
framework and whether it was the right framework for the City.
Council Member Kou indicated the Council may want a presentation of GARE.
GARE addressed budgeting as well as policymaking. Perhaps the IPA needed
to analyze the applicability of 8 Can't Wait initiatives to City policies.
Mr. Shikada recalled that the Council had referred 8 Can't Wait to Staff, and
Staff was drafting policy changes to comply with the Council's directions.
Council Member Kou asked if the OIR audited union contracts.
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Mr. Gennaco stated that OIR audited contracts with respect to their impacts
on reform and accountability.
Council Member Cormack asked if the recommendations from the IPA's June
2020 Report had been implemented.
Mr. Shikada clarified that following Police Department, City Attorney Office
and bargaining unit review, the Audit Reports were provided to the City Clerk
for distribution to the Council. The City Manager's Office did not have an
approval role in the process.
Robert Jonsen, Police Chief reported the Police Department almost
immediately implemented the IPA's recommendations, which were often
worked out prior to the Report being finalized.
Council Member Cormack inquired regarding the status of School Resource
Officers (SRO).
Mr. Jonsen advised that the Palo Alto Unified School District (PAUSD) Board
of Education terminated the contract for SROs.
Council Member Cormack wanted to understand the scope of work and process
for the IPA's work in other cities prior to considering changes to the IPA's
scope of work for Palo Alto.
Council Member Kniss inquired about the Council's role in IPA Reports.
Mr. Shikada clarified that the IPA's Report to the Council was informational.
Council Member Kniss inquired about the Council having an active role in the
review process and about ways Council Members were able to actively observe
and interact with Police Officers without interfering in their work.
Mr. Jonsen noted many Council Members participated in ride-alongs with
Police Officers over the past few months.
Mayor Fine concurred with expanding the IPA's scope of work for an Annual Performance Audit and requested the types of expanded oversight utilized in
other cities.
Mr. Gennaco reported the City of Davis had a Police Accountability
Commission, and the City of Anaheim had a Police Review Board. Previously,
the IPA reported regularly to the Palo Alto HRC and Council.
Mr. Jonsen hoped reforms were well thought out, and review bodies were
coordinated.
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Mr. Connolly added that a hybrid model of oversight allowed community
involvement.
Council Member Tanaka requested an update regarding the Stanford open
data project.
Mr. Shikada advised that the initial big data project was complete. The Police
Department was talking with Stanford University about participating in a
secondary or follow-up project. The Police Department was implementing
data collection required by new State law.
Ms. Cotton Gaines added that Staff was talking with the Stanford Spark
Program about participating in its work.
Council Member Cormack listed the problems the Council was attempting to
solve and proposed Inclusion Training for City Staff, Council and Boards and
Commissions, accelerated implementation of the State's Racial and Identity
Profiling Act, an employee survey, and the use of social workers for welfare
checks. She referred the public to Pages 6 and 7 of the August 26, 2020
Report for good information.
Council Member Kou suggested the City advocate for reintroduction of Senate
Bill (SB) 731 and SB 776 and expand the IPA's scope of work to the previous
level.
Vice Mayor DuBois inquired regarding the Council's ability to amend the IPA's
scope of work.
Molly Stump, City Attorney understood the IPA was open to amending their
contract with the City. At the Council's direction, Staff was able to initiate
negotiations.
Council Member Kou inquired about the IPA's work with community
engagement.
Mr. Gennaco indicated on behalf of the County, the IPA facilitated two 90-
minute listening sessions for the community, which 500 people had attended.
Council Member Kniss asked if residents could participate in Police Department
ride-alongs.
Mr. Jonsen reported ride-alongs were part of the Citizens Academy, but the
program was put on hold during the pandemic.
Council Member Kniss wanted the community to feel as comfortable with
police officers as with firefighters.
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Mr. Shikada related that an updated version of the Police Policy Manual was
available to the public.
Agenda Changes, Additions and Deletions
Mayor Fine noted the Closed Session would continue following completion of
Action Items.
Oral Communications
James Hindery believed the City was being sued because the Council chose to
impose conditions on access to Foothills Park.
Minutes Approval
3. Approval of Action Minutes for the September 14, 2020 City Council
Meeting.
MOTION: Mayor Fine moved, seconded by Council Member Cormack, to
approve the Action Minutes for the September 14, 2020 City Council Meeting.
MOTION PASSED: 7-0
Consent Calendar
Council Member Tanaka registered a no vote on Agenda Item Number 6.
MOTION: Council Member Kniss moved, seconded by Council Member
Cormack to approve Agenda Item Numbers 4-9.
4. Approval of Contract Number C21177400 With BKF Engineers for a
Maximum Not-to-Exceed Amount of $329,689 for Design and
Construction Support Services Related to Churchill Avenue and Alma
Street Railroad Crossing Safety Improvements, Capital Improvement
Project (PL-20000).
5. Resolution 9916 entitled “Resolution of the Council of the City of Palo
Alto Approving and Attesting to the Veracity of the City's 2019 Annual
Power Source Disclosure and Power Content Label Reports”.
6. Approval of Amendment Number 2 to Contract Number S20178094 With
Management Partners, Inc., to Extend the Term Through March 31,
2021 and Increase Compensation by $85,000 for Procurement Advising
Services for a new Not-to-Exceed Amount of $170,000.
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7. Designation of the Voting Delegate for the League of California Cities
Annual 2020 Conference, to be Held Virtually October 7-9, 2020; and Approval of Staff’s Recommendation to abstain on the League
Resolution.
8. Authorization to Amend the Existing Agreement for Litigation Defense
Services With the Law Firm of Jarvis Fay & Gibson (Contract S17168652)
to Increase the Contract Amount by an Additional $15,000 for a Total
Not-to-Exceed Amount of $130,000.
9. Interim Ordinance 5505 Entitled, “Ordinance of the Council of the City
of Palo Alto Amending Chapters 18.28 (Special Purpose PF, OS and AC
Districts) and 18.42 (Standards for Special Uses) of Title 18 (Zoning) of
the Palo Alto Municipal Code (PAMC) to Adopt Temporary Regulations
Relating to Safe Parking in PF Districts (FIRST READING: September 14,
2020 PASSED 7-0).
MOTION PASSED FOR AGENDA ITEM NUMBER 6: 6-1 Tanaka no
MOTION PASSED FOR AGENDA ITEM NUMBERS 4-5, 7-9: 7-0
Council Member Tanaka opposed the contract in Agenda Item Number 6
because he did not see the schedule of rates.
Beth Minor, City Clerk explained that the schedule of rates was attached to
the original contract, which was not distributed in the Packet.
Ed Shikada, City Manager clarified that the schedule of rates was part of the
original contract. The item before the Council was a contract amendment that
did not change the schedule of rates.
City Manager Comments
Ed Shikada, City Manager reported the County Public Health Officer had
provided guidance for Halloween activities. Staff was developing a webpage of resources and were going to hold a virtual neighborhood resource meeting
on September 30, 2020. Fire personnel were deployed to the Glass Fire and
returned from the North Complex Fire. The Community Respite Center at
Mitchell Park Community Center was open during the week. Staff was working
with the City of Menlo Park and the San Francisco International Airport (SFO)
to identify a site for a temporary airplane noise monitor. Enforcement of time
restrictions in Residential Preferential Parking Permit (RPP) districts were
going to resume on October 15, 2020. October was National Cybersecurity
Month.
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Council Member Kniss requested Staff discuss the coverage area of Fire
Station Number 8.
Mr. Shikada advised that Station 8 was staffed on red-flag warning days.
Council Member Kniss asked if in past years Fire Station 8 had been staffed
during the fire season regardless of red-flag warnings.
Mr. Shikada noted staffing for Station Number 8 was reduced.
Council Member Kou requested Staff respond to community complaints that
obtaining permits for RPPs was not easy.
Council Member Tanaka inquired regarding a date for Council discussion of the
RPP Program for the Old Palo Alto neighborhood.
Mayor Fine indicated the Council would review the RPP prior to October 31,
2020 when it was set to expire.
Council took a break at 9:01 P.M. and returned at 9:08 P.M.
Action Items
10. Status Report and Direction Regarding Continued Participation in the
San Mateo County Tourism Business Improvement District (TBID) or
Adoption of Resolution 9917 to Withdraw Participation entitled,
“Resolution of the Council of the City of Palo Alto to Withdraw the City
of Palo Alto from the Boundaries of the San Mateo County Tourism
Business Improvement District.”
Kara Apple, Police Lieutenant reported in 2010, the Council adopted a
Resolution that began the City's participation in the San Mateo County Tourism
Business Improvement District (TBID). In December 2019, Palo Alto
stakeholders requested the City withdraw from TBID. At that time, the Council
directed Staff to obtain feedback from stakeholders and to conduct a survey
of hotels. Staff surveyed 26 of 27 hotels and found 20 supported withdrawal from TBID. The 27 hotels provided 2,112 rooms and paid the TBID
assessment, which totaled slightly less than $310,000. If the City withdrew
from TBID, they were not going to be represented in the regional travel and
tourism market and the Palo Alto Chamber of Commerce were to lose
approximately $32,000 in funding.
David Dworkin, One Stop Integration advised that Palo Alto hotels had
contributed almost $1.8 million to TBID over six years, which allegedly
generated 4,460 room nights for Palo Alto hotels. At a room rate of $225 per
night, the rate of return was about 56 percent, when hotels expected a 600
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percent rate of return. Hotels needed to rent rooms from Thursday to Sunday,
but TBID generated leads for weeknight rentals. Of the 27 hotels, 21 supported withdrawal from TBID, 2 opposed withdrawal, and 4 abstained. The
largest contributors/benefactors of TBID supported withdrawal. Only one
motel opposed withdrawal. Motels did not received any leads or room nights
from TBID. Over the past year, the Convention and Visitors Bureau attempted
to improve the situation for Palo Alto hotels. Approximately 50 percent of Palo Alto hotels chose not to pass the TBID assessment to customers in order to
remain competitive with Mountain View and Sunnyvale hotels. The purpose
of TBID was to generate room nights. Hotels were losing money because of
the pandemic.
John Hutar, San Mateo County/Silicon Valley Convention and Visitors Bureau
(CVB) indicated the CVB invested in local advertising, created a landing page
on their website, and restructured their sales team to focus on Palo Alto hotels.
In response to the pandemic, the CVB's Board of Directors reduced
Assessment Fees by 50 percent. The CVB advocated on behalf of hotels with
elected officials, facilitated the development and training of new safety and
sanitation protocols, eliminated 50 percent of their staff and reduced
expenses. The CVB modified their business model to attract leisure visitors,
to intensify use of social media, and to partner with State tourism agencies.
Since 2015, the CVB generated $2.7 million in economic impact for Palo Alto.
Mayor Fine requested the deadline for the Council to take action.
Ms. Apple explained that a Resolution to withdraw needed to be submitted to
the City of Burlingame for a first reading on October 19, 2020 and a second
reading on November 2, 2020. On November 2, 2020, the City of Burlingame
were going to set the assessment for 2021.
Charlie Weidanz commented on the mutual support between the Palo Alto
Chamber of Commerce and the CVB and requested the Council direct Staff to
identify a source of funding to replace what was lost by the Chamber of
Commerce.
1 650 ***287 Hotel Parmani remarked that the hoteliers were in the best
position to determine the value of TBID and hoped the Council planned on
withdrawing from TBID.
Stephanie Wansek, Cardinal Hotel noted support for withdrawing from TBID
increased 10 percent since 2019.
Barbara Gross hoped the Council would respect the wishes of the hoteliers and
suggested the City and the Chamber of Commerce discuss City funding for a
convention and Visitors Bureau within the Chamber of Commerce.
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Mayor Fine believed the Council's direction to staff in 2019 resulted from an
inability to read the data about hotels' wishes. The current data clearly indicated 75 percent of hotels, hotel rooms and revenues supported
withdrawal from TBID.
Council Member Kniss proposed the Council consider funding for the Chamber
of Commerce.
Ed Shikada, City Manager recommended the Council consider such funding
when they received a Budget update in mid-October 2020.
MOTION: Council Member Tanaka moved, seconded by Council Member
Filseth to Adopt the Resolution and direct Staff to transmit the Resolution to
the City of Burlingame with a request to take all steps necessary to implement
withdrawal from the San Mateo County Tourism Business Improvement
District effective January 2021; and to Authorize the City Manager to negotiate
and pay necessary and reasonable administrative costs of the City of
Burlingame to effectuate the request.
Council Member Tanaka believed hotels would support TBID if they felt it was
beneficial. Compelling hotel participation when hotels were receiving little
benefit was not appropriate, especially with the pandemic causing financial
losses.
Council Member Filseth felt the City's role in TBID was operational. He thought
the Council should not oppose the will of the hotels.
Council Member Cormack noted many aspects of business, travel and the
economy changed since the City joined TBID in 2010.
Council Member Kou inquired about reasonable costs for the City of
Burlingame.
Ms. Apple reported the City of Burlingame charged a fee for their City Attorney's Office to draft an Ordinance and submit it to Burlingame's City
Council.
Council Member Kou suggested hotels and the Chamber of Commerce discuss
funding a convention and Visitors Bureau, but she was amenable to a Council
discussion.
MOTION PASSED: 7-0
11. Approval of a Contract With Baker Tilly US, LLP for Internal Auditor
Services in an Amount Not-to-Exceed $1,300,000 for a Term
Commencing October 1, 2020 through June 30, 2022, Including
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Approval of Four Initial Task Orders; Resolution 9918 entitled,
“Resolution of the City Council of the City of Palo Alto Appointing Kyle O’Rourke, Senior Consulting Manager with Baker Tilly US, LLP, as the
Palo Alto City Auditor”; and Amendment of the Table of Organization to
Eliminate 4.0 Positions in Various Funds.
Council Member Filseth reported the term of the agreement with Baker Tilly
US, LLP was 21 months in order to align the contract with the City's fiscal
year. The Council was able to terminate the agreement with ten days' written
notice and were then able to extend the contract with Baker Tilly's agreement.
The contract amount was $750,000 per year with a prorated amount for the
first year. Baker Tilly was then to bill the City for time and materials, and the
total amount for 21 months was not to exceed $1.3 million. Baker Tilly was
to provide the full array of internal auditing services and was expected to
provide six audits per year and handle several smaller projects. The number
of audits and projects was slightly higher than the number provided in recent
years with a slight decrease in cost. The Policy and Services Committee was
to supervise auditor operations, and the Council was to oversee the Auditor.
The Auditor was going to report to the Council quarterly and annually. Kyle
O'Rourke of Baker Tilly was to be appointed as the onsite representative, and
the Council Appointed Officers Committee (CAO) was to conduct an annual
Performance Review of Mr. O'Rourke. The CAO recommended the Table of
Organization reflect the elimination of four positions due to the outsourcing of
the City Auditor's Office. The CAO prepared and issued a Request for
Proposals (RFP) and received six qualified proposals, which were narrowed to
two candidates. The Council had interviewed both candidates twice and
selected Baker Tilly. Baker Tilly had extensive experience in government audits, deep knowledge of fraud, waste, construction, and purchasing, and
particularly deep knowledge of utilities and cybersecurity. Baker Tilly's and
Mr. O'Rourke's references were outstanding. After execution of the contract,
the Auditor was to conduct a comprehensive Citywide Risk Assessment,
prepare an Annual Audit Work Plan, oversee the Independent Financial
Auditor, and manage the Fraud and Waste Hotline.
Sharon Erickson recommended the Council reject the CAO's recommendation
and direct Staff to hire an individual to fill the position of City Auditor. This
was not the time to reduce City accountability and transparency.
Council Member Kniss noted the extensive vetting of Baker Tilly and Mr.
O'Rourke.
Vice Mayor DuBois requested Mr. O'Rourke introduce himself and his team.
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Kyle O’Rourke, Baker Tilly US introduced team members and highlighted their
experience.
Vice Mayor DuBois asked if the Auditor was expected to participate in Policy
and Services Committee meetings.
Council Member Filseth indicated he would when audits were the topic of
Agenda Items.
Mr. O’Rourke added that the quarterly and annual meetings were formal status
updates. The Auditor was to attend key weekly and monthly meetings.
Mayor Fine remarked that Mr. O'Rourke impressed the Council with his
experience in local government auditing and familiarity with the Palo Alto
community.
Council Member Cormack concurred with prior comments.
Council Member Kou asked if Mr. O'Rourke was required to be a member of
the Association of Local Government Auditors and inquired about the purpose
of the group.
Mr. O’Rourke advised that Baker Tilly was a member of the Association of
Local Government Auditors. To comply with the requirement for peer review,
the City of Palo Alto was able to be the relevant party or the City was able to
engage an independent third party for peer review.
MOTION: Council Member Kniss moved, seconded by Council Member
Cormack to:
A. Approve and authorize the Mayor or his/her designee to execute the
attached professional services contract with Baker Tilly US, LLP for
internal auditing services in an amount not to exceed $1,300,000 for a
term commencing October 1, 2020 through June 30, 2022, including
approval of four initial task orders detailing initial work commencing on
October 1, 2020;
B. Adopt a resolution appointing Kyle O’Rourke of Baker Tilly US, LLP,
Certified Internal Auditor (CIA), as Palo Alto’s City Auditor; and
C. Amend the Table of Organization to Eliminate 4.0 positions, 1.0 City
Auditor position in the General Fund, and 3.0 Senior Performance
Auditor positions (2.0 from the General Fund and 1.0 from the Utilities’
Enterprise Funds).
MOTION PASSED: 7-0
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Mr. O’Rourke appreciated the Council's support, the in-depth selection process
and the warm welcome. He summarized his experience, engagement in the
auditing industry, and passion for public service.
Council Member Filseth noted the excellent assistance of Management
Partners.
Council Member Questions, Comments and Announcements
Mayor Fine noted the death of Pat Robinson, who taught kindergarten in Palo
Alto for 35 years.
Council Member Kou announced September 15 to October 15, 2020 was
National Hispanic Heritage Month.
Closed Session
1. CONFERENCE WITH CITY ATTORNEY-POTENTIAL LITIGATION; Subject:
Threatened Litigation by San Jose/Silicon Valley NAACP et al Regarding
Non-resident Access to Foothills Preserve; Authority: Potential Exposure
to Litigation Under Government Code Section 54956.9(d)(2) and (e)(5);
One Potential Case, as Defendant.)
Council went into Closed Session at 10:22 P.M.
Adjournment: The meeting was adjourned from the Closed Session at 11:36
P.M.