CITY OF ELK GROVE Incorporated. July 1, 2000  MINUTES OF THE CITY COUNCIL  REGULAR MEETING Wednesday, May 22, 2013  CALL1 TO ORDER/ROLLCALL  Mayor Davis called the regular City Council meeting of May 22, 2013 to order at  6:07 p.m. Present: Absent:  Mayor Davis and Council Members Cooper, Hume and Trigg.  Vice Mayor Detrick.  The Pledge of Allegiance was led by a Boy Scout from the audience. Mayor Davis asked that a moment of silence be observed.  APPROVAL OF AGENDA  Motion: M/S Cooper/Hume to approve the agenda as presented. The motion  passed by the following vote: Ayes: 4 Noes: 0 Absent: 1 (Detrick).  CLOSED SESSION None.  PRESENTATIONS/ANNOUNCEMENTS  4.1 Mayor Davis presented the quarterly "Best in Business" Award to Matt Ryan, 4.2 American Public Works Association (APWA) Chair Cheryl Creson presented the APWA Manager of the Year Award in Engineering, Technology, and Water Resources for the Sacramento Region to Darren Wilson, Engineering Services  General Manager of Niello BMW Elk Grove.  Manager of the City of Elk Grove.  PUBLIC COMMENT  Ken Johnston, President of the 56th annual Elk Grove Western Festival, presented a recognition plaque thanking the City for its support of the Western Festival event. Sofia Matrosova Khalil, speaking as a member of the Children's Coalition of Sacramento County, shared plans to open a museum of children's art in Elk Grove. She noted current efforts were seeking financial support from agencies, such as the City, Lynn Wheat requested consideration of a campaign contribution limitation ordinance.  and locating a building to house the art collection.  Elk Grove City Council Regular Meeting, May 22, 2013 Page1 1of12    GENERAL ADMINISTRATION INFORMATION  City Manager Laura Gill reviewed the May 22, 2013 Administrative Report (filed). COUNCIL COMMENTS/REPORTS/FUTURE AGENDA ITEMS  Council Member Cooper attended the Sacramento Regional County Sanitation Board of Directors meeting which reviewed plans and costs for the wastewater treatment facility, noting the facility would have a total cost of $1.5 billion, with on-going annual maintenance costs of approximately $50 million. He noted that District Engineer Stan Dean would be leaving his position with the Sacramento Regional County Sanitation Council Member Hume attended the Capital SouthEast Connector Joint Powers Authority (JPA) Board meeting which received a presentation on the proposed 2013-14 Budget, noting that for the coming year no monies would be allocated from the Sacramento Transportation Authority (STA) to the Connector Project either for administration or for construction, and project construction funding was tied to the adoption of the South Sacramento Habitat Conservation Plan (SSHCP) or other alternative conservation plan approach. He attended the Sacramento Regional Transit District (RT) Board meeting where discussion arose of charging for parking along the Blue Line light rail route, including the recent extension and parking facilities located at Cosumnes River College. He noted attending a staff meeting to discuss the funding issues of the Connector JPA, STA and the SSHCP. Mr. Hume attended the Relay for Life event, the American Legion "Hometown Heroes" barbecue event providing information on support and resource networks for returning veterans, and attended the grand opening, flag raising, and building dedication ceremony of the Veterans of Council Member Trigg reported on attending two meetings with City staff regarding general Code Enforcement issues and on collective bargaining issues in the City, and Mayor Davis invited residents to participate in the Sacramento County Fair May 22 to May 26, noting a substantive presence of Elk Grove participants in the competitions and contests of the fair. Mr. Davis invited residents to attend Memorial Day ceremonies held  District, and interviews were being conducted for a new district director.  Foreign Wars state headquarters located at 9136 Elk Grove Boulevard.  attended a meeting with the County Superintendent of Schools.  at the Elk Grove Cemetery. CONSENT CALENDARITEMS PUBLIC COMMENT None.  Council Member Trigg noted he would abstain from voting on Item 8.2 regarding past Motion: M/S Hume/Cooper to approve the Consent Calendar as presented (noting Council Member Trigg's abstention on Item 8.2). The motion passed by the following  minute sets for meetings he had not attended as a Council Member.  vote: Ayes: 4 Noes: 0 Absent: 1 (Detrick).  Elk Grove City Council Regular Meeting, May 22, 2013 Page 2of12    Agenda Item No. 8.1: Received April 2013 Treasurer's Report regular meeting; and 2) January 23, 2013 regular meeting  Agenda Item No. 8.2: Approved City Council Meeting Minutes: 1) January 9, 2013 Agenda Item No. 8.3: Received report on City Manager approved purchases and contracts authorized by Elk Grove Municipal Code Chapter 3.42 Contracts and Agenda Item No. 8.4: Received report on Requests for Proposals, Qualifications, and Agenda Item No. 8.5: Resolution No. 2013-89 adopted authorizing the City Manager to dispense with the competitive bid process and execute an eighteen (18) month contract extension with Phoenix Group Information Systems for parking citation Agenda Item No. 8.6: Resolution No. 2013-90 adopted authorizing the City Manager toexecute an agreement with VeriPic for electronic evidence software for the Elk Grove Agenda Item No. 8.7: Resolution No. 2013-91 adopted authorizing the City Manager to enter into a three-year contract with University Enterprises, Inc. for student assistant services not to exceed $80,000 per year [for a total compensation amount over the term Agenda Item No. 8.8: Resolution No. 2013-92 adopted approving a Use Agreement for use of the Old Town Plaza during the Old Town Elk Grove Foundation's annual Chili Agenda Item No. 8.9: Resolution No. 2013-93 adopted authorizing the renewed designation of the Sacramento Regional Recycling Market Development Zone Agenda Item No. 8.10: Authorized recruitment to fill one vacancy on the Affordable  Purchasing, filed through May 15, 2013  Bids  processing  Police Department in an amount not-to-exceed $87,000  of the contract not to exceed $240,000]  Festival  Housing Loan Committee PUBLIC HEARINGS  Agenda Item No. 9.1: A public hearing to consider the Madeira South Lot A - Specific Plan Amendment, Rezone, Tentative Subdivision Map, and Design Review for subdivision layout located at the northwest intersection of Poppy Ridge Road and Big  Horn Boulevard [EG-12-047; APN: 132-0050-105 (portion)I  RECOMMENDATION:  The Planning Commission recommends (3-0): the California Environmental Quality Act (CEQA);  1) Adopt resolution finding the Madeira South Lot A project (EG-12-047) exempt from 2) Adopt resolution approving the Specific Plan Amendment for the Madeira South Lot  A project (EG-12-047);  Elk Grove City Council Regular Meeting, May 22,2013 Page 30f12    3) Introduce and waive the full reading, by substitution of title only, an ordinance amending the City of Elk Grove Zoning Map from RD-10 to RD-8 for the Madeira South Lot A Project, Assessor Parcel Number: 132-0050-105 (portion); and 4) Adopt resolution approving a Tentative Subdivision Map and Design Review for subdivision layout for the Project, subject to the Findings in the Resolution. With the aid of an overhead presentation (filed), Sarah Kirchgessner, Senior Planner, presented an overview of the staff report and recommendation. The Planning Commission voted 3-0 to recommend approval of the project, but was hesitant to approve the proposed four foot side yard setbacks without seeing proposed designs for the homes, recommending that the design review for the master home plans be evaluated by the Planning Commission for review and approval for the architecture of the houses as well as the setbacks. As a separate matter, staff was preparing a discussion item for an upcoming Planning Commission meeting to address design concerns that have been raised over the medium density housing projects, such as RD- 7a and RD-8 products. The Madeira South Lot A project was part of a previous entitlement approved by the Planning Commission in 2006, the current project was located on Lot A of the previously approved Madeira South Project and was consistent with the preapproved subdivision. The current land use designation and zoning for project site was RD-10, and the proposed specific plan amendment and rezone would amend the land use designation to RD-8, consistent with the General Plan land use designation of medium density residential. The proposed tentative map would subdivide the parcels into 75 single family lots. The proposed project did not require any further environmental review as it was consistent with the previously approved Laguna Ridge  Specific Plan Environmental Impact Report. Mayor Davis declared the public hearing open.  Rich Balestreri, project applicant, noted he had been in contact with the City regarding issues raised regarding the four foot side yard setbacks, noting his willingness to accept the Planning Commission's findings and present the product to the Planning Director  and Planning Commission as needed to receive needed approvals.  PUBLIC COMMENT:  Lynn Wheat expressed dismay that the project presented a deviation from the Laguna Ridge Specific Plan. She believed the change was initiated by the developer to meet current market demand, and felt that allowing numerous changes and exceptions to planned areas based on current demands would diminish the planning effectiveness,  value, and cohesion of the community. Mayor Davis declared the public hearing closed.  Inr reply to Council Member Hume, Ms. Kirchgessner noted the width of the paseo on Lot C of the subdivision map was 10 feet, and that the project had been routed to the Council Member Hume wished to see projects pursuing densities of RD-10 or higher, preferring those layouts and designs over those at RD-7 and RD-8 densities. He  Police Department for review and approval.  Elk Grove City Council Regular Meeting, May 22, 2013 Page 4of12    believed creative design in working with street frontage could create a more visually appealing streetscape, incorporating reduced side yard setbacks, suggesting not splitting setbacks at four feet per side, but entertaining three-foot setbacks on the bedroom sides of the homes and five-foot setbacks on the garage sides, and Motion #1: M/S CooperfTrigg to adopt Resolution No. 2013-94 finding the Madeira South Lot A project (EG-12-047) exempt from the California Environmental Quality Act (CEQA). The motion passed by the following vote: Ayes: 4 Noes: 0 Absent: 1 Motion #2: M/S Cooper/Trigg to adopt Resolution No. 2013-95 approving the Specific Plan Amendment for the Madeira South Lot A project (EG-12-047). The motion passed by the following vote: Ayes: 4 Noes: 0 Absent: 1 (Detrick). Motion #3: M/S Cooper/Hume to introduce and waive the full reading, by substitution of title only, Ordinance No. 7-2013 amending the City of Elk Grove Zoning Map from RD-10 to RD-8 for the Madeira South Lot A Project, Assessor Parcel Number: 132- 0050-105 (portion). The motion passed by the following vote: Ayes: 4 Noes: 0 Motion #4: M/S Cooper/Hume to adopt Resolution No. 2013-96 approving a Tentative Subdivision Map and Design Review for subdivision layout for the Project, subject to the Findings in the Resolution. The motion passed by the following vote:  considering alternate, larger front yard areas to expand usable space.  (Detrick).  Absent: 1 (Detrick).  Ayes: 4 Noes: 0 Absent: 1 (Detrick).  REGULAR AGENDA ACTION ITEMS /RECOWMENDATIONS  Agenda Item No. 10.1: Presentation of the Proposed Fiscal Year 2013-14 Annual  Budget  RECOMMENDATION: 2014-15 Fiscal Plan; and 2) Receive the Annual Budget Message.  1) Receive and file the Proposed Fiscal Year 2013-14 Annual Budget and Fiscal Year  The budget document for Fiscal Year (FY) 2013-14 plan of service and accompanying Financial Plan for Fiscal Year 2014-15 was distributed at the meeting (filed). Laura Gill, City Manager, provided an overview of the staff report. The FY 2013-14 budget across all funds was $164 million. The proposed General Fund budget was $54.8 million. The budget would maintain current levels of service, and fund balance was only appropriated for one-time, discrete programs and initiatives which for FY 2013-14 included special planning projects, economic development incentives, and police department overtime if needed for an extraordinary event. This proposed budget included five new positions including a Dispatch Manager in the Police Department, a Finance Analyst, and three positions in the Development Services Department (two positions converted from current contract services to new positions, and adding the position of a Compliance Specialist to assist with implementation of the City Climate  Action Plan and Sustainability Element).  Elk Grove City Council Regular Meeting, May 22, 2013 Page 5of12    The budget's five-year projection indicates that revenues will cover projected operational costs over the next two years, however, in FY 2015-16 employment benefit issues will arise to address changes in the California Public Employees' Retirement System (CalPERS) and future health care costs. Regarding CalPERS, their board approved a plan to recover recent market losses over a shorter amount of time, equating that employer contributions to CalPERS will increase substantially, raising rates in FY 2015-16. The second issue regarded uncertainty over the impact of the Affordable Care Act on health insurance premiums, the budget projected an annual increase of 16% on health insurance premiums, though actual costs were still undetermined until actual implementation of the Act. Considering that CalPERS payments would be increasing substantially in 2015-16, the budget plan assumed the concessions made by unrepresented police in the current fiscal year would remain in place for the next two years, however, the proposed budget included a one-time payment to the City's unrepresented employees, except those employed under an employment contract, in a payout amount to all recipients not to exceed $135,000 total. This payment would be made once the final FY 2012-13 financial activities had been recorded with an accurate accounting of fund balance. The payment was proposed in order to recognize the ongoing contributions and service of employees towards maintaining the City's financial health, as well as to retain and attract high-quality Included was the proposed Capital Improvement Program covering FY 2013-14 through 2017-18. Projects included the design and construction of the aquatics facility, land acquisition for the soccer complex, the Grant Line Road Widening, and intersection improvements and drainage projects. Consideration of the budget for final adoption was scheduled for the regular meeting of June 12 (and June 26 as needed). Copies of the budget were available at the Office of the City Clerk and on the City website.  employees and remain competitive in the labor market.  PUBLIC COMMENT: None.  Mayor Davis requested that preliminary plans for increasing public safety staffing be evaluated once the City begins to realize increases in revenues sufficient to consider Council Member Hume received confirmation that future five year projections of appropriations for one-time, discrete programs and initiatives from fund balance had not yet been committed, those figures were estimates based on current fiscal year spending, but projected for future fiscal planning. The operational deficit identified in two years' time would be from increased CalPERS and health care costs. He requested further clarification on the negative fund balance identified for the Development Services Fund. Mr. Hume believed expectations for "normal operations" to resume to cover overhead would not assist in removing an operational deficit, and believed the Assistant City Manager Rebecca Craig stated the Development Services Fund was established in the budget starting in 2009, and it was anticipated the fund would find a median average after fluctuating during low and high development activity years. Since 2009 the fund had only encountered low development activity years, it was expected  adding additional officers.  Development Services Fund should be more self-sustaining.  Elk Grove City Council Regular Meeting, May 22,2013 Page 6of12    that the fund would run negative until development activity leveis returned to or The City Council received the Proposed Fiscal Year 2013-14 Annual Budget, for consideration for final action on the budget to be considered at the regular meeting of Agenda Item No. 10.2: Request for Relief of Fees Related to Code Enforcement Case  exceeded normal activity to make the difference up.  June 12, 2013. at 4620 Story Way RECOMMENDATION: assessed.  Staff recommends denying the property owner's request and reaffirming the fees Shane Diller, Code Enforcement Manager, presented an overview of the staff report and recommendation. The relief of fees was brought at the request of the resident at 4620 Story Way. Currently three Code Enforcement cases had been initiated in the last year, to date one case resulted in an assessment of fees related to a recreational vehicle violation, the only fee assessed so far. The other two cases on the property were currently open, one for high weeds and one for an inoperable vehicle, on those cases no fines or fines had yet been assessed, and the property owner had contacted staff noting they would bring the matters into compliance by the next inspection.  PUBLIC COMMENT: None.  Council Member Hume believed that the timeline presented of the cases displayed that the City provided ample opportunity for the property owner to become compliant, and now multiple issues were underway, with no pattern of compliance or reason for the Motion: M/S Cooper/Trigg to deny the property owner's request and reaffirm the fees assessed. The motion passed by the following vote: Ayes: 4 Noes: 0 Absent: 1 Agenda Item No. 10.3: Consider resolution approving a Use Policy for the Old Town Plaza and authorizing the City Manager to execute Use and License Agreements for  request of relief of fees accrued to date.  (Detrick).  use of the property RECOMMENDATION:  Adopt resolution approving the Old Town Plaza Use Policy and authorizing the City Manager to execute Use and License Agreements for temporary use of the property. Heather Neff, Economic Development Coordinator, presented an overview of the staff report and recommendation. The Old Town Plaza property recently purchased by City had received several requests from community groups to use the property for various events. Until such time as a long term use of the property was determined, staff planned to make the site available to groups for events at low to no cost to the City. Policy highlights included users submit a security deposit fee to cover the utility costs,  Elk Grove City Council Regular Meeting, May 22,2013 Page7of12    required users to provide insurance coverage based on the requested use, and users had to provide all set-up and clean-up of their event. The requested action included delegating the authority to execute use agreements for the property to the City Council Member Cooper requested staff reach out to other public agencies to inform  Manager.  them of the availability to use the property for events.  PUBLIC COMMENT: None.  In reply to City Council questions staff provided the following responses:  Use of the site required execution of a Use Agreement, which included proof of For the insurance coverage, it was required for the City to be named as an The City had a matrix developed by staff to determine risk levels of certain types ofe events, and requisite insurance requirements that would then be required of an If an event organizer intended to serve alcohol, the Police Department had particular security plan requirements based on the type of event held.  payment of insurance; additional insured; applicant;  Motion: M/S Trigg/Hume to adopt Resolution No. 2013-97 approving the Old Town Plaza Use Policy and authorizing the City Manager to execute Use and License Agreements for temporary use of the property. The motion passed by the following Agenda Item No. 10.4: Consider resolution authorizing the City Manager to execute a Release and Assignment Agreement to reimburse expenses up to $155,000 to qualified entities responding to a Request for Proposals for Design /Build IC Operation of the Civic  vote: Ayes: 4 Noes: 0 Absent: 1 (Detrick).  Center Aquatics Complex RECOMMENDATION:  Adopt resolution authorizing the City Manager to execute a Release and Assignment Agreement to reimburse expenses up to $155,000 to each qualified Entity for a responsive submittal for the Civic Center Aquatics Complex that does not conclude in Rebecca Craig, Assistant City Manager, presented an overview of the staff report. The City had been in process to release the Request for Proposals (RFP) for Design/ /E Build/ Operation of the Civic Center Aquatics Complex, however a request was received from the remaining qualified team of P3 International to consider a reimbursement agreement to cover their investment in legal and design expenses if they submitted their RFP in good faith but the pursuit of the project did not come to fruition on the part of the City. Mayor Davis inquired if the City could provide the feasibility analysis for the project at  an executed contract.  this point in time.  Elk Grove City Council Regular Meeting, May 22, 2013 Page 80 of12    Ms. Craig noted if the scope of the project was altered it may require returning the item to the Request for Qualifications stage. The current Design / Build / Operate model was intended to share risk with an applicant to foster a cohesive team and delivery process. Restarting the project could result in a more traditional delivery model, commencing with feasibility studies for council consideration, and likely would continue then as a more traditional delivery model where each stage of development was bid. A traditional delivery model had the potential to create more competition, but could disrupt having a cohesive team throughout project delivery, and would extend the project delivery  timeline.  PUBLIC COMMENT:  Steve Newsom, representative of the applicant team P3 International, noted the team wanted the project to move forward, but the concern was if the project were to be halted by the City due to external circumstances outside of the applicant team's control, then The City Council expressed wanting the project to move forward, noting the substantial investment by the City in the project providing funding and the land for the project. They held reservations of entering into a reimbursement agreement, and believed the private investor should share in the risk for delivery of the project, but they would ultimately benefit from the market draw that Elk Grove and surrounding region would provide for a  they would want reimbursement for expenses incurred.  family oriented entertainment center.  No action was taken by the City Council on the matter. Assessments for Street Maintenance District No. 1.  Agenda Item No. 10.5: Consider resolution levying the Fiscal Year 2013-14 Special  RECOMMENDATION:  Adopt resolution levying assessments in the City of Elk Grove Street Maintenance With the aid of an overhead presentation (filed), Andrew Keys, Accounting Manager, presented an overview of the staff report and recommendation. Street Maintenance Districts (SMD) were established in 2003 to provide for routine road maintenance, long- term maintenance had not been fully accounted in the SMD costs. The past few years had seen a reduced rate for the SMDs, and staff requested gradually increasing individual zone rates to the maximum to assist efforts to providing a funding plan to provide for long-term maintenance needs. Five geographic zones were established at different times since 2003, each had individualized direct benefits based on facilities provided. The assessment strategy was to maintain all service levels and to fully identify and fund long term pavement rehabilitation needs. Zones 2 and 4 had always been at the maximum levy amount, and Zones 1,3, and 5 were proposed to increase to the maximum levy over a three year period, resulting in all zones being at the maximum  District No. 11 for Fiscal Year 2013-14.  tax levy by 2016. PUBLIC COMMENT: None.  Elk Grove City Council Regular Meeting, May 22,2013 Page 9of12    Mr. Keys noted the rates in Zones 1,3, and 5 had been reduced in the past as revenues collected were in excess of programmed maintenance to meet short-term needs. When evaluating the program for long-term maintenance needs of the roads, in all cases the need in all zones was well above what the maximum rates could generate. Mr. Keys clarified that any property developed prior to the creation of an SMD did not pay such an Motion: M/S Cooper/Hume to adopt Resolution No. 2013-98 levying assessments in the City of Elk Grove Street Maintenance District No. 1 for Fiscal Year 2013-14. The motion passed by the following vote: Ayes: 4 Noes: 0A Absent: 1 (Detrick). Agenda Item No. 10.6: Consider resolution levying the Fiscal Year 2013-14 Special Taxes or Special Assessments for Six Community Facilities and Special Districts  assessment levy.  RECOMMENDATION:  Adopt resolution levying the Fiscal Year 2013-14 Special Taxes or Special Assessments With the aid of an overhead presentation (filed), Andrew Keys, Accounting Manager,  for six Community Facilities Districts and other Special Districts. presented an overview of the staff report and recommendation.  PUBLIC COMMENT: None.  Motion: M/S Cooper/Hume to adopt Resolution No. 2013-99 levying the Fiscal Year 2013-14 Special Taxes or Special Assessments for Six Community Facilities and Special Districts. The motion passed by the following vote: Ayes: 4 Noes: 0 Agenda Item No. 10.7: Consider introduction of an ordinance adding Elk Grove Municipal Code Chapter 17.06 Fireworks Violations to Title 17 relating to Fire  Absent: 1 (Detrick).  Prevention RECOMMENDATION: Prevention.  Introduce and waive the full reading, by substitution of title only, an ordinance adding Elk Grove Municipal Code Chapter 17.06 Fireworks Violations to Title 17 Fire Shane Diller, Code Enforcement Manager, presented an overview of the staff report and recommendation. The amendment would allow the City and the Cosumnes Community Services District Fire Department to administratively enforce the process and fines for illegal fireworks violations consisting of 25 pounds or less of materials. The amounts 25 pounds and greater were regularly prosecuted by the District Attorney's Office. The action under the amendment provided an extra layer of enforcement that would not burden administrative courts, and would allow local agencies to cite for violations  administratively. PUBLIC COMMENT: None.  Elk Grove City Council Regular Meeting, May 22, 2013 Page 10of12    Motion: M/S Hume/Cooper to Introduce and waive the full reading, by substitution of title only, Ordinance 8-2013 adding Elk Grove Municipal Code Chapter 17.06 Fireworks Violations to Title 17 Fire Prevention. The motion passed by the following vote: Agenda Item No. 10.8: Consider resolution amending the Fiscal Year 2013-14 Adopt resolution adopting and amending the Fiscal Year 2013-14 Investment Policy. Andrew Keys, Accounting Manager, presented an overview of the staff report and recommendation. The annual update to the investment policy included minor cleanup language and inclusion of a permissible investment category to invest in municipal  Ayes: 4 Noes: 0 Absent: 1 (Detrick).  Investment Policy. RECOMMENDATION:  securities. PUBLIC COMMENT: None.  Motion: M/S Hume/Trigg to adopt Resolution No. 2013-100 adopting and amending the Fiscal Year 2013-14 Investment Policy. The motion passed by the following  vote: Ayes: 4 Noes: 0 Absent: 1 (Detrick).  Agenda Item No. 10.9: Economic Development Quarterly Update  RECOMMENDATION:  Receive the Quarterly Report on economic development activities for the First Quarter of 2013. This report will cover staff activities at trade shows and marketing events, new business openings, assistance program activities and potential economic development With the aid of an overhead presentation (filed), Randy Starbuck, Economic Development Director, presented an overview of the staff report. The report covered January through March 2013, noting openings of Designer Shoe Warehouse and the new Wal-Mart store, construction progress on The Falls Event Center and increased subdivision activity, and announcements of coming businesses of Fresh Market, Stein Mart, and the Hobby Lobby. Contacts and inquiries for targeted industries included seven Tier 1 firms, two Tier 2 firms, and seven Tier 3 firms. Staff worked with eight prospects over the first quarter of 2013, hosted a delegation from China looking to make contact in vocational training and waste to energy industries, scouted locations and released the Request for Proposals for the 2013 Ice Rink Project, and continued work with the Elk Grove Economic Development Corporation workforce working group. Marketing efforts at the regional and national level pursued new banner ads on the Sacramento Business Journal website and the Medical Device Daily website. Mr. Starbuck presented economiç data comparing Elk Grove to the Sacramento region, noting office and retail vacancy rates continued to decline, that retail rental rates along the two primary corridors in Elk Grove were second in terms of cost only to the commercial space around the Roseville Galleria, and noted industrial vacancy rates held steady over the last quarter but were still lower than the regional rate. Numerous economic forecasts were released in the first quarter and he shared forecasts from the Center for Strategic Economic Research which reported on job growth overall and a  issues and future opportunities from January through March 2013.  Elk Grove City Council Regular Meeting, May 22,2013 Page 11of12    forecast anticipating growth in the manufacturing, professional, education, and health services, all targeted industries of the City. Unemployment was on a decline, and housing permit starts was trending upwards (and housing starts did not reflect housing permits associated with the four subdivisions that commenced construction in the first quarter of 2013). Overall, these various indicators were moving in the right direction to foster economic development in the City, and supported emphasis for South East Policy Area to provide ample business park space. He noted initiatives for the coming year to attend numerous trade shows including BIO International and Cal BIO, to continue to work with the Planning Department on the South East Policy Area, and working with the City Manager Office's in exploring opportunities for the recently acquired City plaza  parcel in Old Town Elk Grove. PUBLIC COMMENT:  Mike Monasky raised concern that the report did not address the loss of Bel Air market on Elk Grove Boulevard, believing the closure of the centrally located store was a significant loss for residents in the vicinity. He inquired what efforts were being pursued to revitalize the now vacant space. Mr. Monaksy questioned the value of the economic Inr reply to Mayor Davis, Mr. Starbuck noted representatives from the Howard Hughes Corporation (HHC) were scheduled to meet with City representatives in the coming week to discuss the currently vacant Promenade regional mall. He noted HHC representatives were at the International Council of Shopping Centers (ICSC) event, Mayor Davis believed the City needed to continue to be aggressive on outreach to potential new partners and industries, and maintain active contact with current partners. He believed the City should continue its presence at industry events, including ICSC, should be actively engaged with HHC, and maintain a hands-on, proactive approach in working with land owners to bring employers to the South East Policy Area. Mayor Davis stated his appreciation for staff's engagement with the owner of the site of the  development strategies presented.  though he had not attended the ICSC event this year.  former Bel Air market to return activity to the site. The City Council received and filed the report.  ADJOURNMENT  With no additional business to conduct, the May 22, 2013 regular City Council meeting  was adjourned at 8:07 p.m.  han  JASON LINDGRENICTY CLERK  ATTEST:  A  Elk Grove City Council Regular Meeting, May2 22,2013 Page 12of12