HomeMy WebLinkAboutMinutes-06-02-78-Adjourned Regular MeetingMINUTES OF THE CITY COUNCIL
OF THE CITY OF DOWNEY
ADJOURNED REGULAR MEETING
DUNE 2, 1978
The City Council of the City of Downey held an adjourned regular meeting at
7:30 a.m., June 2, 1978, in the Council Chamber of the Downey City Hall, Mayor
William L. Greene presiding.
PRESENT: Council Members:
Theodore H. Jackman
Kenneth J. Miller Mayor Pro Tem
Milton R. Mackaig
Lyell W. Swearingen
William L. Greene Mayor
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ALSO PRESENT: Charles W. Thompson, City Manager
Royal M. Sorensen, City Attorney
Martin F. Wynne, Director of Finance
Robert L. Shand, City Clerk -Treasurer
Mayor Greene announced the purpose of the adjourned meeting is to discuss the
tal Rate Increase.
Councilman Jackman commented the City Council has a responsibility when approv-
ing the Hospital Budget and that last year he received several questions from
citizens regarding the room rate increase. He said when acting on a budget he
requires information before arriving at a decision.
Councilman Miller agreed with Councilman Jackman.
Councilman Mackaig indicated he is satisfied with the information received. He
recommended Councilman Jackman's suggestion be followed through to where the re-
quested information be provided without entering into an open confrontation.
Councilman Swearingen said he has been involved with the Hospital for four
years. He moved to approve the Hospital Budget. No second.
Mayor Greene asked Councilman Jackman what he requested about salaries.
Councilman Jackman replied he requested a breakdown of one item for
administrative costs amounting to $442,000.
Mayor Greene commented that as long as the Hospital is operating successfully
and showing a profit, he does not feel the Council should get involved in the area
that Councilman Jackman is discussing. However, he would be concerned if the
Hospital was not showing a profit.
Councilman Miller stated he would like to have answers to questions when
attempting to justify a rate increase.
Mr. Brainard, Chairman of the Hospital Board, speaking on behalf of the
Hospital Foundation Board of Directors, does not disagree with most of what
Councilman Jackman has requested. He said the problem probably focuses on what
the City is entitled to know under the lease and what the Hospital is required to
submit. The Hospital Board feels in its interpretation and its legal counsel's
interpretation of the lease that this is an encroachment on the Hospital's duties
and responsibilities and perhaps at times a reflection on the Board's integrity.
The $442,000 is comprised of secretarial staff, administrator's staff, their fringe
benefits, consultant's fees for hospitals, legal fees, accounting and audit fees
f (annual), administrative supplies, postage, other services, insurance applying to
administration, dues and subscriptions, travel and conferences. Mr. Brainard
recommended the Budget be approved as is; that the City Council instruct the City
Attorney and Hospital Board instruct its legal counsel to immediately get together
with the City Manager and Hospital Administrator to come up with an interpretation
of what the City is entitled to and what the Hospital is required to present so
that this problem does not occur every year.
Discussion followed regarding which persons have access to Hospital salary
information.
Mr. Robert Rosenfeldt legal counsel for the Hospital Board, stated that, in
his opinion, ex-officio members have a right to attend Board meetings.
Council Minutes 6/2/78 (adjourned) -1-
City Attorney Sorensen referred to the Hospital lease agreement and said the
lease provides that in addition to the regular members of the Board, the Mayor,
City Council, and City Manager shall serve as ex-officio members of the Board with-
out right to vote. Mr. Sorensen said City Council Members would be meeting as
ex-officio members of the Board and not taking any actions as members of the City
Council.
Mr. Brainard said the City Council.has been notified of all regular Hospital
Board meetings and that some Council Members have been in attendance from time to
time. Board meeting agendas are also sent to the Council.
Councilman Jackman asked if the Council would be privy in a confidential way
to salary information if it attended the next quarterly Hospital Board meeting.
Mr. Rosenfeldt replied this might be an issue to be discussed between himself
and City Attorney.
Mr. Sorensen indicated his opinion is that an ex-officio member is entitled to
receive some information as regular Board Members and has same rights of Board
members except voting rights. The interest of the City Council is to make certain
the Hospital is run as a "public institution" because it is a public hospital and
the requirements of the lease are met in order to perform that function.
Mr. Brainard said he will be glad to call a special meeting of the Hospital
Board and ask that information requested by the City Council be made available in
an effort to bring about approval of the Hospital Budget. The City Council is
invited to this meeting.
Mrs. Mary Hollis, member of the Hospital Board, addressed the City Council to
explain the Board had voted that the information it has rendered to the Council is
in accordance with the lease.
Councilman Miller said he will still have to see the information requested by
the City Council before he can vote on the issue.
Mr. Rosenfeldt asked if the City Council would.be willing to vote on the
issue subject to decision of the legal counsels.
Councilman Mackaig inquired if Councilman Jackman would vote to approve the
Hospital Budget if he was given a satisfactory answer on the one item.
Councilman Jackman replied yes.
Councilman Miller does not want to vote until he has information on hand.
Mayor Greene adjourned the meeting to 4:00 p.m, June 7, 1978, in the Council
Chamber of the Downey City Hall, for Budget study session.
Robert L. Shand, City Clerk -Treasurer
William L. Greene, Mayor
Council Minutes 6/2/78 (adjourned) -2-