CITY OF ELK GROVE Incorporated July 1, 2000  MINUTES OF THE CITY COUNCIL REGULAR MEETING Wednesday, August 28, 2013  CALL TO ORDER/ROLL CALL  Mayor Davis called the regular City Council meeting of August 28, 2013 to order at  6:04 p.m. Present: Absent:  Mayor Davis, Vice Mayor Detrick and Council Members Cooper, Hume  and Trigg. None.  Council Member Hume led the Pledge of Allegiance.  Vice Mayor Detrick noted the passing Michael Chappelle, member of the Disability Advisory Committee, and requested the meeting be closed in his honor. Mayor Davis asked that a moment of silence be observed.  APPROVAL OF AGENDA  Motion: M/S Detrick/Hume to approve the agenda as presented. The motion passed  by the following vote: Ayes: 5; Noes: 0.  CLOSEDSESSION None.  PRESENTATIONS/ANNOUNCEMENTS  4.1 Cosumnes River College presentation by Dr. Deborah Travis  With the aid of an overhead presentation (filed), and informational brochures (filed), Dr. Travis provided an overview of the Cosumnes River College (CRC) Elk Grove Center. The facility was the first phase of three at the site, with each phased building approximately 15,000 assignable square feet for a planned total build-out of 45,000 square feet of space, providing access for students in Elk Grove to link to the CRC system. The current Phase 1 facility had eight instructional rooms and a learning resource center. The dedication ceremony for the opening of the facility would be held  September 12, 2013. PUBLIC COMMENT  Mike Barnbaum introduced the organization Here We Ride founded with the goal to educate, train, and assist people in utilizing public transportation, particularly in relation  Elk Grove City Council Regular Meeting, August 28, 2013 Pageiof12    to the entertainment sports complex contemplated in downtown Sacramento. He voiced support to coordinate e-tran services in relation to the future downtown Sacramento entertainment sports complex, considering connectivity to the Blue Line extension that would go to Cosumnes River College, and consider additional reverse commuter night service back from Sacramento to Elk Grove in conjunction with events at the future Lynn Wheat requested that the East Stockton Sound Wall be dedicated to former City Louis Britton relayed his experience with the City regarding an initial $10 rental registration fee that evolved into a $580 Code Enforcement inspection fee, which he believed was a result of the City not using reasonable means to contact the home owner. He stated he had never received mailed or posted notices regarding the matter, and believed the City should send such notices to the utility billing address on file, in addition to other address sources used currently for code enforcement notifications. Mr. Britton did not believe due diligence was used to contact him regarding the matter. Council Member Hume suggested Mr. Britton file a request for relief with the City to By consensus the City Council requested the policies be reviewed regarding mailing of Mike Monasky compared Elk Grove projects designed to attract visitors to the commercial retail center of Scheels sporting goods store in Sparks, Nevada. He believed funding should not be used to pursue ideas for destination amenities without having a financing source identified, and that cultural amenities should be prioritized Barbara Sloan thanked the City for holding the Multicultural Festival, and shared her  complex.  Council Member Sophia Scherman.  have the matter looked into.  code enforcement notices for violations.  over commercial ventures.  positive experience taking part in event. GENERAL ADMINISTRATION INFORMATION  City Manager Laura Gill reviewed the August 28, 2013 Administrative Report (filed). Regarding the planned schedule of oak tree removal, Public Works Director Richard Shepard noted signs would be posted at the location one week prior to tree removal, and notices would be mailed to neighboring residents. He responded that the signs could stay up longer after a tree was removed, and confirmed replaçement trees were  scheduled to be planted.  COUNCIL COAMENEIREPOABINIURE AGENDA ITEMS  Vice Mayor Detrick attended the ribbon cutting for Kobe Steak & Sushi, attended various National Night Out events on August 6 in neighborhoods throughout the community, attended the Camden "Music By the Lake" concert event on August 11, and attended the Multicultural Festival event on August 24. He noted the Sacramento  Elk Grove City Council Regular Meeting, August 28, 2013 Page2of12    Metropolitan Cable Television Commission meeting for the previous month was canceled, and the City State Office subcommittee met with various state offices including the Board of Equalization, continuing efforts to improve the jobs to housing ratio, noting the state was considering release of a request for proposals for locating state facilities. Mr. Detrick reported meeting individually with representatives of the Howard Hughes Corporation to discuss the regional mall, noting their development Council Member Cooper reported meeting individually with representatives of the Howard Hughes Corporation to discuss the regional mall plans. He attended National Night Out festivities and the Multicultural Festival event. Mr. Cooper reported that Sacramento Regional County Sanitation District Board of Directors meeting discussed continued efforts to modernize their facilities to meet requirements of the National Council Member Hume continued the report in regards to the Sacramento Regional County Sanitation District (SRCSD) Board of Directors meeting noting that a flow equalization basin project had excavated 1.5 million cubic yards of dirt which was stockpiled on the site, and noted staff could coordinate with the agency if dirt was needed for particular projects. He noted the SRCSD's Sewer Bank Credit Program was being revised reducing the cost for infill projects compared to new projects, and for the City to file for eligibility for the credits and promote the program for businesses. The Capital SouthEast Connector Joint Powers Authority (Connector JPA) Board meeting adopted a draft Plan of Finance and received an update on the South Sacramento Habitat Conservation Plan. A property consisting of 200 acres off of Sloughhouse Road had been identified by the Connector JPA for use as a potential mitigation bank, and the Connector JPA would be working with partnering agencies to consider pooling resources to purchase the property. The Sacramento Regional Transit District (RT) Board had two meetings since the last reporting period, though there were no Elk Grove specific items, he did note attending the ground breaking ceremony for the Blue Line at Cosumnes River Boulevard, and noted RT had been working with federal and state agencies to resolve issues with the Public Employees' Pension Reform Act (PEPRA) and federal grant eligibility. He reported meeting individually with representatives of the Howard Hughes Corporation to discuss the regional mall plan. He expressed thanks to staff for the completion of sidewalk infill projects in Old Town and the completion of the East Stockton Sound Wall. Mr. Hume requested staff evaluate clearing vegetation out of creeks later in the year when the environment is drier and the weather is cooling Council Member Trigg reported meeting individually with representatives of the Howard Hughes Corporation to discuss the regional mall plan. He attended the Multicultral Festival event, and attended the Sacramento Public Library Authority Board meeting noting a personnel item was discussed, and that the agency was a recipient of the Raley's nickelAid program. He attended the Elk Grove Regional Scholarship Foundation meeting and invited the community to attend the Spotlight Elk Grove annual Mayor Davis thanked the Multicultural Committee and staff for their work on the Multicultural Festival event. The Sacramento Transportation Authority (STA) Board  team was working towards a plan for the project area.  Pollutant Discharge Elimination System (NPDES) permit.  down, to see if that aids in controlling overgrowth.  fundraiser event to be held at the S.E.S. Hall on September 12, 2013.  Elk Grove City Council Regular Meeting, August 28, 2013 Page3of12    meeting received a report on conducting initial outreach for to consider a tax measure, similar to an extension of the Measure A Transportation Sales Tax. He relayed a suggestion that project numbers be added to the Planning Department on-site application notice signs for projects in the City. He invited the community to attend spaghetti dinner fundraisers, the first at Cassidy's Restaurant on September 12, 2013t to raise funds to purchase a van for a citizen with multiple sclerosis, and the second was the annual spaghetti feed fundraiser event for Project RIDE that would be held September 21, 2013. Mayor Davis shared the observation that a significant amount of retail space was filling with unique retailers, and overall retail vacancy rates were going  down.  CONSENT CALENDARITEMS PUBLIC COMMENT None.  Motion: M/S Cooper/Detrick to approve the Consent Calendar as presented. The  motion passed by the following vote: Ayes: 5; Noes: 0. Agenda Item No. 8.1: Received July 2013 Treasurer's Report  Agenda Item No. 8.2: Received Automatic Clearing House Nos. 7292 through 7394 dated July 1, 2013 through July 31, 2013, General Warrant Nos. 73482 through 73838, Agenda Item No. 8.3: Approved City Council Regular Meeting Minutes of March 27, Agenda Item No. 8.4: Received report on City Manager approved purchases and contracts authorized by Elk Grove Municipal Code Chapter 3.42 Contracts and Agenda Item No. 8.5: Received report on Requests for Proposals, Qualifications, and Agenda Item No. 8.6: Ordinance No. 12-2013 adopted amending Elk Grove Municipal Code Section 4.04.035 relating to conditions on solicitation license and permit (Second Agenda Item No. 8.7: Resolution No. 2013-148 adopted amending the Fiscal Year 2013-14 Information Technology Fund Budget to reflect revenue and expenditures related to funds awarded from the Sacramento Metropolitan Cable Television Agenda Item No. 8.8: Resolution No. 2013-149 adopted authorizing the City Manager to execute the Sub-recipient Agreement with the Sacramento Area Council of Governments (SACOG) for the Transportation Management Association (TMA) services  and Electronic Fund Transfer Nos. 2014001 through 2014016  2013  Purchasing, filed through August 21,2013  Bids  Reading)  Commission in the amount of $96,621.37  and to submit for reimbursement of expenses  Elk Grove City Council Regular Meeting, August 28,2013 Page 4of12    Agenda Item No. 8.9: Resolution No. 2013-150 adopted authorizing the City Manager to enter into a lease agreement with MV Transportation, Inc. for use of the City facility at Agenda Item No. 8.10: Resolution No. 2013-151 adopted authorizing the City Manager to execute the Sub-recipient Agreement with the Sacramento Area Council of Governments (SACOG) and submit for allocation for the replacement of three transit Agenda Item No. 8.11: Resolution No. 2013-152 adopted authorizing the City Manager to execute a three year agreement with Foothill Transcription Company, Inc. for police transcription services, with an option to renew for one additional year, for a Agenda Item No. 8.12: Resolution No. 2013-153 adopted authorizing the City Manager to accept grant funding from the Allstate Foundation and execute all Agenda Item No. 8.13: Resolution No. 2013-154 adopted authorizing the City Manager to execute a two year agreement with Miwall Corporation and a two year agreement with ProForce Marketing for the supply of ammunition to the Elk Grove Police Department, with options to extend both contracts for an additional two years each, in amounts not to exceed $172,000 and $240,800 respectively for each contract Agenda Item No. 8.14: Resolution No. 2013-155 adopted joining the Northern California Cities Self Insurance Fund (NCCSIF), a Joint Powers Authority (JPA); and Resolution No. 2013-156 adopted joining NCCSIF's workers' compensation program Agenda Item No. 8.15: Resolution No. 2013-157 adopted declaring intention to: annex territory to Community Facilities District No. 2006-1 (Maintenance Services) and to levy a special tax to pay for certain landscaping and maintenance services (Annexation No. 25); Resolution No. 2013-158 adopted declaring intention to annex territory to Community Facilities District No. 2003-2 (Police Services) and to levy a special tax to pay for infrastructure and police services (Annexation No. 25); and Resolution No. 2013-159 adopted to levy Street Maintenance District No. 1, Zone 3-1 Agenda Item No. 8.16: Resolution No. 2013-160 adopted authorizing the City Manager to execute a three year Master Agreement, with the option for one three year extension, with Ray Morgan Company for the Lease and Maintenance of Multi-function Printers, and Maintenance of Wide Format and Laser Printers, and authorizing the City Manager to execute related documents for a total amount not to exceed $678,424 over Agenda Item No. 8.17: Resolution No. 2013-161 adopted amending the Fiscal Year 2013-14 Budget and Fiscal Years 2013-18 Capital Improvement Program for the Elk Grove-Florin Road and East Stockton Boulevard Intersection Realignment Project (PT0085); and finding the Elk Grove Florin Road and East Stockton Boulevard  10250 Iron Rock' Way to provide public transportation services  buses  total amount not to exceed $180,000 over four years  documents necessary to receive $6,000 in grant funding  over four years  (Annexation No. 20)  six years  Elk Grove City Council Regular Meeting, August 28, 2013 Page 5of12    Intersection Realignment Project (PT0085) exempt from the California Environmental Agenda Item No. 8.18: Resolution No. 2013-162 adopted: 1) accepting the Elk Grove Boulevard at Elk Grove-Florin Road Bus Turnout Project as complete, and authorizing the City Engineer to prepare and the City Clerk to file the Notice of Completion with the Sacramento County Recorder; and 2) authorizing the City Engineer to approve change Agenda Item No. 8.19: Resolution No. 2013-163 adopted accepting the amended 2013 Citywide Curb Ramp Accessibility Improvement Project (WAC005) as complete, and authorizing the City Engineer to prepare a Notice of Completion and the City Clerk Agenda Item No. 8.20: Resolution No. 2013-164 adopted accepting the School Street Alley Storm Drainage Improvements Project (WDR007) as complete, and authorizing the City Engineer to prepare and the City Clerk to file a Notice of Completion with the Agenda Item No. 8.21: Resolution No. 2013-165 adopted accepting the Tree and Vegetation Removal on the Laguna West Levees east of Interstate 5 and south of Elk Grove Boulevard Project (WDR020) as complete, and authorizing the City Engineer to prepare and the City Clerk to file a Notice of Completion with the Sacramento County Agenda Item No. 8.22: Resolution No. 2013-166 adopted accepting the Library Stair and Exterior Waterproofing Refurbishment Project (WFM001) as complete and authorizing the City Engineer to prepare and the City Clerk to file a Notice of Completion Agenda Item No. 8.23: Resolution No. 2013-167 adopted accepting the Willard Parkway-Elk Grove Boulevard Median Landscaping Project (PT0110) as complete and authorizing the City Engineer to prepare and the City Clerk to file the Notice of Agenda Item No. 8.24: Resolution No. 2013-168 adopted authorizing the City Engineer to approve change orders not-to-exceed $176,712 for the construction contract with Martin General Engineering for the Emerald Park Drive Storm Drain Agenda Item No. 8.25: Authorized recruitment to fill a vacancy on the Disability  Quality Act and directing the filing of a Notice of Exemption  orders not-to-exceed $30,000  to file the Notice of Completion with the Sacramento County Recorder  Sacramento County Recorder  Recorder  with the Sacramento County Recorder  Completion with the Sacramento County Recorder  Improvement Project  Advisory Committee, for an October 9, 2013 appointment  PUBLIC HEARINGS  Agenda Item No. 9.1: A public hearing to consider introduction of an ordinance amending portions of Elk Grove Municipal Code Title 23 (Zoning) related to Business  Center Signs  EIK Grove City Council Regular Meeting, August 28,2013 Page 6of12    Vice Mayor Detrick stated he would recuse himself from the discussion of the item, noting his home was within 500 feet of the boundary area being considered for the Business Center District Sign (BCS) Overlay Zone under the proposed action.  Note: Vice Mayor Detrick left at 7:00 A p.m.  RECOMMENDATION:  Introduce and waive the full reading, by substitution of title only, an ordinance amending portions of Elk Grove Municipal Code Title 23 (Zoning) relative to establishment of a With the aid of an overhead presentation (filed), Christopher Jordan, Planning Manager, provided an overview of the staff report and recommendation. The ordinance would amend the municipal code relative to permitting signs along highways. Based on the direction provided by the City Council in March 2013 the proposed ordinance sought to provide a district wide benefit rather over a single property benefit, provide for the ability of a third party vendor to establish and manage signage, and allow for the use of remnant parcels rather than be exclusively sighted on commercially zoned parcels. The BCS Overlay Zone was established as defined areas surrounding the six freeway intersections in the City, allowing two business center signs per district, one northbound and one southbound, with flexible language to address unique situations of each interchange. Any sign under the program would require a Major Design Review which would have a public process for review. Requirements included: the sign be placed on al legal lot, maximum height would be determined through the design review process based on specific characteristics of each site, a minimum sign height of 20 feet was required, the message sign area would have an overall limitation of no more than 450 square feet, and be divided to no larger than 50 square foot sub-panels, a distribution plan would be supplied by the applicant indicating how signage would be allocated within the overall district, design review would require integration with on-site development, and there would be a 100 foot distance requirement between any other freeway fronting freestanding signs. Public comment correspondence (filed) had been received, including requests from businesses further east on Elk Grove Boulevard to be  Business Center Sign Overlay District  included in the overlay district.  In reply to questions by the City Council, Mr. Jordan replied as follows:  Requirements allowing two signs per intersection only required one sign to be oriented north, and one south. Given particular conditions at the various interchanges, the language provided flexibility to allow consideration of the location of a sign provided it maintained the restriction on the orientation. As an example, he noted a sign could be proposed on the east side of a freeway Currently a sign constructed with a single support pole could be submitted for Major Design Review, as long as it had architectural platting around it; The depth of the BCS Overlay Zone districts was based on a general one mile radius, and in certain circumstances that was trimmed or expanded out. On Elk Grove Boulevard staff selected the next intersection at that one mile distance; Regarding the example of the State Route 99 and Bond / Laguna Interchange, existing signage would remain, and the additional two signs under this program  oriented to southbound traffic;  Elk Grove City Council Regular Meeting, August 28, 2013 Page7of12    could be added. The ordinance gave a property owner the ability to change an existing sign into a larger sign under the program, and any exiting signs that were freeway fronting signs would continue to be subject to the 100 foot separation requirement, though there could be consolidation in order to comply. Traditionally signs were not required to have minimum heights, the request for a height minimum came from a stakeholder with the intent that height be determined as appropriate for the location and surrounding environment, including the interchange, and would be matters for consideration during design  and environmental review.  Mayor Davis declared the public hearing open.  PUBLIC COMMENT:  Tom Oley, representing Carl's Jr. Restaurant located along Elk Grove Boulevard, requested the district area be expanded to include his business in the BCS Overlay Zone, and noted there were several restaurants in his vicinity up to Emerald Park Bruce Bishop voiced support for the staff recommendation. He believed the businesses noted by Mr. Oley should be included in the BCS Overlay District. Mr. Bishop believed the proposed ordinance enabled installation of effective freeway signage, while maintaining the City's ability to regulate sign placement and impose design guidelines to Jeroen Gerrese supported effective freeway signage, citing benefits of motorist wayfinding, business benefits to advertise to traffic volumes that pass each day on the freeways, increased jobs and taxes, and improving Elk Grove's reputation as a business friendly community. Mr. Gerrese believed the design review process and location Ar representative of Kobe Steak & Sushi restaurant addressed the City Council that he had been told to remove signage at the restaurant. Mayor Davis requested staff Angela Perry, representing the Elk Grove Chamber of Commerce, Marc Strauch, Susan Green, representing the McDonald's Corporation, Gil Moore, John Hodgson, and Steve Matthew Keasling, representing Tsakopoulos Investments, submitted a letter (filed) in  Avenue and only three were currently in the overlay area.  ensure a quality product was proposed.  decisions remained under the decision making authority of the City.  discuss this separate matter directly with the speaker.  Ramirez voiced support for the proposed ordinance.  support of the recommendation.  Mayor Davis declared the public hearing closed.  Council Member Hume believed the BCS Overlay Zone benefitted a breadth of property owners and businesses, and applauded the process to revise the program and come to a consensus that met the needs of the various stakeholders. He felt the product to date maintained the City's control under the design review process. He opposed the language that allowed installation of a monopole sign, and believed enhancing existing  Elk Grove City Council Regular Meeting, August 28, 2013 Page 8of12    signs should be encouraged, noting the 100 foot spacing would likely incentivize potential applicants to look at exiting signage sites. Mr. Hume agreed that the district boundary on Elk Grove Boulevard should extend to the intersection and surrounding Motion: M/S Hume/Davis to introduce and waive the full reading, by substitution of title only, Ordinance No. 13-2013 amending portions of Elk Grove Municipal Code Title 23 (Zoning) relative to establishment of a Business Center Sign Overlay District as amended to encourage collocating signs with existing signage sites, to not allow signs under the program to be monopole signs, and extending the overlay zone to the surrounding businesses along and up to the intersection of Elk Grove Boulevard and Williamson Drive. The motion passed by the following vote: Ayes: 4; Noes: 0;  businesses at Elk Grove Boulevard and Williamson Drive.  Recused: 1 (Detrick).  Note: Vice Mayor Detrick retumed at 7:42 p.m.  REGULAR AGENDA ACTION TEMS/RECOMMENDATONS release draft plan for 30-day Public Comment Period  Agenda Item No. 10.1: Short Range Transit Plan (SRTP) update and authorization to  RECOMMENDATION:  Release the draft Short Range Transit Plan for a 30-day public comment period. With the aid of an overhead presentation (filed), Jean Foletta, Transit Manager, presented an overview of the staff report and recommendation. Staff sought authorization to release the Short Range Transit Plan (SRTP) for a 30 day comment period. The SRTP was a requirement of the state through the Transportation Development Act to guide what and how transit services should be implemented. SRTPS were typically updated every five to seven years, the City last amended its SRTP in 2011 to include some capital projects. The Sacramento Area Council of Governments (SACOG) had provided grant funding for the City to update the SRTP, and SACOG had been working cooperatively with staff on the project. This current Sharon Sprowls, Project Coordinator with SACOG, reviewed the data collection process and public outreach involved in putting together the SRTP for the City. The document projected revenues over the next seven years to approximate potential operating and capital expenditures over the next period, and developed recommendations, options, and alternatives on routes, fares, staffing, reporting, marketing, and service delivery configurations. She noted e-van was a particularly higher cost service and was being provided in excess of Americans with Disabilities Act (ADA) requirements, and noted recommendations to seek alternatives for ADA service, and evaluating such service in Ms. Foletta noted that with the opening of the 30 day public comment period there would be continued public outreach, including two public workshops scheduled to be held in the morning and evening on September 17, 2013. Comments received during  SRTP for the City would cover Fiscal Years 2014 to 2020.  relation to the region, including travel for medical care.  Elk Grove City Council Regular Meeting, August 28, 2013 Page 9 of12    the public comment period would be incorporated into the SRTP for return for  consideration by the City Council in October for a formal adoption.  PUBLIC COMMENT:  Mike Barnbaum, representing the organization Here We Ride, believed e-tran services should utilize Cosumnes River College and the future light rail line as a regional transit link hub, and plan to provide services in conjunction with events planned for the sports complex contemplated in downtown Sacramento (including consideration of reverse commuter service). He advocated for a route between the Cosumnes River College and Sacramento State, and for Bus Rapid Transit routes, to consider a route operating By consensus the City Council directed staff to release the draft Short Range Transit Agenda Item No. 10.2: Consider a resolution approving revisions to the Economic Development Incentive Program and provide direction on a proposed Small Business  along the contemplated Capital SouthEast Connector. Plan for a 30-day public comment period.  Loan Program RECOMMENDATION:  1) Adopt resolution revising the existing Economic Development Incentive Program; and 2) Review and provide direction on a proposed Small Business Loan Program With the aid of an overhead presentation (filed), Heather Neff, Economic Development Coordinator, presented an overview of the staff report and recommendations. The first part of the recommendation regarded revisions to the existing economic development incentive program to update criteria and to shift the timing of payments after a period of time allowing for verification that criteria had been met. The new criteria included that new businesses seek free counseling from the Smail Business Center, that the program would give additional consideration to firms that brought their own private capital, and revisions to submittal requirements. The revisions to the eligible categories to apply under the program were updated as follows: 1) for the job creator category, the number of jobs required remain the same (creating 20 jobs at median or 50-75% of median income), but now would include an incentive for businesses to fill those jobs with Elk Grove residents (defined as somebody who has lived in the City for one year), 2) for the tax revenue generator category, the program would seek a minimum of $5,000 in new tax revenue to qualify, and businesses underrepresented in the community would be given consideration priority, 3) for the relocation into vacant spaçe category, the space must have been vacant for two years, and must have been occupied in the past (removing newly constructed shell buildings from being considered "vacant" space), and the relocation must be an expansion of activities, and 4) for the targeted industries category, those were identified as green or clean technology, medicine, education, or The Small Business Loan Program was proposed to be Community Development Block Grant (CDBG) funded. The program would primarily be administered by staff, though the underwriting portion was proposed to be done under contract (the fees to such a  funded by Community Development Block Grant (CDBG) funds  agricultural support.  Elk Grove City Council Regular Meeting, August 28, 2013 Page 100 of12    contractor for underwriting services could be paid out of the CDBG funds). With the program funded by CDBG, the target clientele would require that 51% of jobs provided through the program must be available to low-income persons, and for every $35,000 loaned at least one job must be created. The program did allow for part time jobs to be compliant as equivalent to one full time position. The terms would depend on each individual loan, the amount, use of proceeds, collateral, but in no event would a loan exceed five years. Funding could be used for initial start-up costs such as furnishing, fixtures, or purchasing of manufacturing equipment, but could not be used for long term operating costs. Interest rates would be based on the Local Agency Investment Fund (LAIF) rate plus up to 2 percent based on the credit of the business (a credit check fee would be charged of $35, requiring a credit score of 600 or higher). Staff sought direction on collateral options and in particular whether the City would consider accepting personal or corporate guarantees for loans that utilized CDBG funding, noting that under the deferral program many potential applicants were unable to provide a security for the program, as often small business owners leased space, and did not own  property to place a lien. PUBLIC COMMENT: None.  Staff responded to City Council inquiries that if an applicant defaulted on a loan based on CDBG funds, they City would initiate steps for recovery, and likely the federal government would take action as well, including reporting of the defaulting party to By City Council consensus, direction was provided to allow consideration of personal and corporate guarantees for the Small Business Loan Program funded by Community Motion: M/S Hume/Detrick to adopt Resolution No. 2013-169 revising the existing Economic Development Incentive Program. The motion passed by the following Agenda Item No. 10.3: Consider Introduction of an Ordinance amending Chapter 3.70 of the Elk Grove Municipal Code and adopting policy associated with Chapter 3.70 entitled "Utility Billing Services" and consider a resolution approving the Service Interruption Policies and Procedures and a Cost Recovery Fee for Service Interruptions 1) Introduce and waive the full reading, by substitution of title only, an ordinance amending Elk Grove Municipal Code Chapter 3.70 relating to Utility Services Billing; and 2) adopt a resolution approving the Service Interruption Policies and Procedures and a With the aid of an overhead presentation (filed), Andrew Keys, Accounting Manager, presented an overview of the staff report and recommendations. The item updated procedures for utility billing services that had been in place since 2010. Three main changes were proposed as follows: 1) account activation and deposits would only be required for residents who fell delinquent in their account, not for initially starting  credit reporting agencies.  Development Block Grant (CDBG) funds.  vote: Ayes: 5; Noes: 0.  RECOMMENDATION:  Cost Recovery Fee for Service Interruptions.  Elk Grove City Council Regular Meeting, August 28, 2013 Page 11of12    service, so when the property was first transferred service would start immediately, 2) the service interruption policy added language for a cost recovery component with a fee of $35.70 for the Code Enforcement inspection, and the City would no longer process retroactive requests for service interruption, and 3) the last provision was turning on service under hardship cases to allow residents that would be suspended to have services. In the last three years, Code Enforcement dealt most closely with these residents when they come on suspended service, with less than five cases that have been identified by staff for consideration of use of this provision. Staff would still try to collect the delinquent amounts through a levy revenue process, but the General Fund would be the source of the subsidy if the levy process did not work for collecting the revenue, estimated at a cost of $1,900 annually if all five accounts could not be  remedied or levied. PUBLIC COMMENT: None.  Motion #1: M/S Hume/Detrick to introduce and waive the full reading, by substitution of title only, Ordinance No. 14-2013 amending Elk Grove Municipal Code Chapter 3.70 relating to Utility Services Billing. The motion passed by the following vote: Ayes: 5; Motion #2: M/S Hume/Detrick to adopt Resolution No. 2013-170 approving the Service Interruption Policies and Procedures and a Cost Recovery Fee for Service Interruptions. The motion passed by the following vote: Ayes: 5; Noes: 0.  Noes: 0.  ADJOURNMENT  With no additional business to conduct, the August 28, 2013 regular City Council  meeting was adjourned at 8:22 p.m. in memory of Michael Chappelle.  L a JASON LINDGREN,CITY    ATTEST:  GARY DAVIS,MAYOR  Dohs  Elk Grove City Council Regular Meeting, August 28, 2013 Page 12of12