HomeMy WebLinkAboutMinutes-08-29-77-Adjourned Regular MeetingZ0333
MINUTES OF THE CITY COUNCIL
OF THE CITY OF DOWNEY
ADJOURNED REGULAR MEETING
AUGUST 29, 1977
The City Council of the City of Downey held an adjourned regular meeting at
7:30 p.m., August 29, 1977, in the Council Chamber of the Downey City Hall, Mayor
Richard M. Jennings presiding.
PRESENT: Council Members:
Kenneth J. Miller
._ William L. Greene Mayor Pro Tem
Theodore H. Jackman
Hazel N. Scotto
Richard M. Jennings Mayor
ALSO PRESENT: Donald B. Robison, Assistant City Manager
Ervin Spindel, Director of Community Development
John T. Neavill, Director of Parks & Recreation
Edwin H. Wood Fire Chief
Terence Middlebrooke, Manager of Revenue
James Funk, Principal Planner
Robert L. Shand, City Clerk -Treasurer
Mayor Jennings announced the purpose of the meeting.
The Invocation was delivered by Councilman Jackman, followed by the Flag Salute
led by Councilman Greene.
Mayor Jennings stated the first item of discussion will be the Utility Users'
Tax as it affects the Property Tax Rate.
Councilman Miller commented regarding significant changes that have occurred
since the Utility Users' Tax was adopted in 1970 concerning increases in homeowners'
exemptions, increase in the Senior Citizen Property Tax Assistance Program, and busi-
ness inventory exemptions. He remarked regarding the benefits received from property
taxes and reviewed the City's tax rate. Councilman Miller displayed charts for the
benefit of the Council and audience while explaining his findings concerning the
City's Utility Users' Tax and Property Tax. He compared revenue from the Utility Tax
against that received from Property Tax and how they affect homeowners, renters, and
businesses in the City. He also commented on the benefits of State subventions.
Councilman Miller pointed out the figures he has presented are the result of the Tax
Incident Study.
Mayor Jennings asked if there was anyone present who wished to speak in favor of
rescinding the Utility Users' Tax.
Mr. J. W. Lightner, 9239 Guatemala, said he is opposed to the Utility Tax and
would prefer paying a higher Property Tax.
Mr. Richard Crowe, 9117 Hasty Avenue, indicated certain businesses do not have to
pay Utility Taxes, which he feels is unfair. He favored repealing the Utility Tax.
Ms. Bea Bickers, 7934 Melva, member of the Tax Committee, stated that as a member
of the committee many figures were considered, and she feels the Property Tax for
single related services is the only way to go. She offered a further comparison of
Property Tax vs. Utility Tax for the Council's consideration.
Mr. Stan Kyker, 10343 Dolan Avenue, favored repealing the Utility Tax.
Mrs. Betty Kenley, 9028 Manzanar, prefers rescinding the Utility Tax completely.
Mr. Jack Davis, 12072 Smallwood, as a member of the Tax Committee commented re-
garding the Committee's review of the Utility Users' Tax.
Mrs. Lilian Mulley, 9244 Gainford, member of the Tax Committee, feels the
Property Tax is a better form of taxation than the Utility Tax.
Mr. Joel Lubin, 7820 Allengrove, reviewed Downey's tax rate with other cities.
There being no one else wishing to speak in favor of rescinding the Utility
Users' Tax, Mayor Jennings then asked if there was anyone present who wished to speak
in favor of retaining the Tax.
Council Minutes 8/29/77 (adjourned) -1-
a634
Mr. Wendell Wiser, 10921 Paramount Boulevard, explained his reasons for favoring
retention of the Utility Users' Tax.
There were no other speakers in favor of retaining the Utility Users' Tax.
MLLyor Jennings then requested a roll call vote as to whether the Council wishes
to hear rebuttal comments.
AYES: 3 Council Members: Miller, Greene, Scotto
NOES: 2 Council Members: Jackman, Jennings
Mayor Jennings asked if there was anyone present wishing to speak again in favor
of eliminating the Utility Users' Tax and putting the burden onto the Property Tax.
Ms. Alta Lennox, 8566 llth Street, said she hopes everyone understands Council-
man Mi.11er's presentation.
As there were no other speakers in rebuttal, Mayor Jennings closed the public
portion of the meeting.
The Council discussed the Minutes of the last Tax Committee Meeting.
A recess was held from 8:55 p.m, to 9:05 p.m. The meeting resumed with all
Council Members present.
Councilman Greene asked how the Tax Consultant was selected.
Mr. Robison replied the Tax Consultant was selected following information re-
ceived from the number of sources, including the League of California Cities. He
said it was recommended the USC Center could do the best job.
Councilman Greene suggested attempting to obtain another study prior to any
action on the Utility Users' Tax. He indicated he is not ready to change the status
of the Tax at this time.
Councilman Miller said he would like Ms. Funk to state his opinion, based on the
tax study, as to which Tax would be less burdensome on the taxpayers.
Mayor Jennings said Mr. Funk has provided the Council with the facts involved.
Councilman Jackman does not concur with the Consultant's report and feels the
Council's decision should be based on information provided by staff. He also feels
the Committee should have made a recommendation to the Council. Councilman Jackman
favors repealing the Utility Users' Tax but does not favor collecting dual taxes
during the period of termination. He commended Councilman Miller for his presenta-
tion this evening.
Councilwoman Scotto stated everyone involved has done an outstanding job and
doubts whether another study could be conducted with the knowledge that has been
provided by Councilman Miller. She commented regarding the effect of increasing
Business License Fees.
Mayor Jennings stated a tax increase would be a burden for many senior citizens;
he would be opposed to using a Library Tax for any other purpose than the Library;
and he suggested placing a measure on the ballot for the next April election concern-
ing enlarging the Library building.
Councilman Miller raised further comments regarding the study on the Utility
Users' Tax and the City's Property Tax.
Discussion followed.
Councilwoman. Scotto feels everyone will pay less if the Council adopts the
suggested Business License fee without the maximum; also, the Council can allocate
a 30� tax for Parks & Recreation.
Further discussion ensued regarding the findings of Councilman Miller and the
findings of the Tax Consultant.
It was moved by Councilwoman Scotto and seconded by Councilman Miller to set a
meeting for August 30th and have the Tax Committee present to provide input.
Questions were raised regarding how moneys from the Utility Users' Tax would be
handled up to the actual cut-off date.
Councilman Miller withdrew his second to the motion.
Council Minutes 8/29/77 (adjourned) -2-
The motion then died for lack of a second.
It was moved by Councilwoman Scotto to increase the Property Tax to $1.21 and
repeal the Utility Users' Tax.
Councilman Miller said the Council should decide whether it wants to switch to
the Utility Users' Tax. He also suggested the Council might want to consider leaving
the Ordinance on the record but changing the Utility Tax rate to zero.
Councilman Jackman stated concern that if the Council raises the Property Tax
214, there would only be a certain amount left to raise before the Council would have
to either reinstate the Utility Tax or place a measure on the ballot for increasing
the taxes. He would also not be agreeable to using the Library Tax.
It was moved by Councilwoman Scotto and seconded by Mayor Jennings to repeal
the Utility Users' Tax and increase Property Tax to $1.21, contingent upon approval
of the proposed Business License increase with an open end.
Councilman Miller said $1.21 would produce more revenue than needed, and he feels
it would be more appropriate to repeal the Utility Users' Tax to zero; then, the
Council should examine how to set the tax rate.
The motion and the second were withdrawn.
It was moved by Councilman Miller, seconded by Councilman Greene, and passed by
the following vote that the Utility Users' Tax rate be reduced to zero.
AYES: 3 Council Members: Miller, Greene, Scotto
NOES: 2 Council Members: Jackman, Jennings
Councilman Miller requested staff to bring back tomorrow evening recommendations
as to the point in time the Utility Users' Tax can be reduced and the amount of
revenue needed so it can be determined what the tax rate would be.
Mr. Middlebrooke pointed out it may be necessary to adopt an ordinance in order
to change the Utility Tax rate.
It was moved by Councilman Miller and seconded by Councilwoman Scotto to set a
meeting of the Council for 6:30 p.m., August 30, 1978, in the Council Chamber of the
Downey City Hall, to establish the Property Tax rate.
Mr. Spindel said after reviewing the Utility Tax Ordinance, it appears the
Council will have to adopt another ordinance if it wishes to change the Tax.
Mayor Jennings indicated he will contact the City Attorney by telephone to see
if he can be present tomorrow evening and whether the Council can introduce an
ordinance at an adjourned meeting.
Mr. Spindel commented on the recommendation of the Parking Place Commission for
offstreet parking requirements at 8339 Firestone Boulevard. He said several months
ago the Council did approve waiver of a parking space for the business, and the
owners of the business have requested a second story be added onto the rear of the
structure. He reviewed the approval of the Parking Place Commission of the parking
requirement relief.
RESOLUTION NO. 3450
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DOWNEY
AUTHORIZING A REDUCTION OF PARKING SPACES (8339
FIRESTONE BOULEVARD)
The Resolution was read by title only. It was moved by Councilwoman Scotto,
seconded by Councilman Jackman, and so ordered to waive further reading.
it was moved by Councilwoman Scotto, seuonded by Councilman Jackman, and passed
by the following vote to adopt Resolution No. 3450.
Discussion followed.
Mr. Spindel explained the parking requirements were requested by the property
owner and the contractor at this time because the building addition is under now
under construction.
AYES: 3 Council Members: Greene, Jackman, Scotto
NOES: 1 Council Member: Jennings
ABSTAIN: 1 Council Member: Jackman
Council Minutes 8/29/77 (adjourned) -3-
603E
The Council decided to begin tomorrow night's meeting at 6:30 p.m. and to dis-
cuss the Pro Shop Agreement for the Rio Hondo Golf Course.
At 10:52 p.m., it was moved by Councilwoman Scotto and seconded by Councilman
Greene to adjourn the meeting to 6:30 p.m., August 30, 1978, in the Council Chamber
of the Downey City Hall. n
Robert L. Shand, City Clerk -Treasurer
Council Minutes 8/29/77 (adjourned) -4-