06/12/1995 (2)
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WORKSESSION
City Commission Worksession Minutes
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1
CITY COMMISSION WORK SESSION
June 12, 1995
The City Commission of the City of Clearwater met Monday, June 12, 1995, at City Hall
with the following members present:
Rita Garvey
Sue A. Berfield
Fred A. Thomas
J. B. Johnson
Mayor/Commissioner
Vice-Mayor ICommissioner
Commissioner
Commissioner
Also present:
Elizabeth M. Deptula
William C. Baker
Kathy S. Rice
Pamela K. Akin
Cynthia E. Goudeau
Patricia Sullivan
City Manager
Assistant City Manager
Deputy City Manager
City Attorney
City Clerk
Board Reporter
The meeting was called to order at 1 :00 p.m.
Service Awards
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Three service awards were presented to City employees.
The Commission recessed at 1 :06 p.m. to meet as Pension Trustees and the
Community Redevelopment Agency and reconvened at 1 :50 p.m.
GAS GAS SYSTEM
The agenda item regarding a contract to install polyethylene gas mains in Pasco
County has been pulled.
GS GENERAL SERVICES
Contract for custodial services to Tri~Angle Maintenange Services, St. Petersburg, FL, for
the period 07/15/95 -07/14/96, at an estimated $71,357.28 (Consent)
In March 1995, bids were solicited for custodial services at the following facilities:
City Hall: City Hall Annex; General Services Complex; Gas Services; Gas Sales Office;
Public Works Complex; Marina building; Purchasing Division; Sailing Center; and the
Marshall Street Water Pollution Control Plant offices. For custodial purposes. these
facilities total 134,1 77 square feet. The City reserves the right to add or delete square
footage to this contract as may be required. When the new construction projects are
completed, the custodial services contract will be re-evaluated.
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Concern was expressed that the cost for these services had increased substantially.
The City Manager said the contract includes costs for a portion of fiscal year 1994/95.
Costs are difficult to compare as buildings are added and deleted throughout the year.
General Services Director, Bill Baird, said he would provide square foot costs before
Thursday's meeting. The City Manager pointed out that staff will be added in lieu of the
Libraries, Police Department and Solid Waste Complex being included in this contract.
IA INTERNAL AUDIT
Second ReadinQ Ord. #5757~95 ~ Grantina to GTE Florida Inc. permission to occupy
municipal streets & rights-ot-way in the City, as a means of providing telecommunication
services; prescribing terms & conditions accompanying the grant of franchise; and
prescribing penalties for the violation of its provisions; providing for severability of
provisions
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GTE of Florida, Inc. has agreed to abide by the terms ot Franchise Ordinance
#5757~95. The Franchise Highlights are: 1) The Franchise term is for ten years; 2) The
ordinance does not include a non competition clause. The City could provide local
telephone service and compete with GTE during the Franchise period; 3} Franchise fees for
local service are limited by F.S. 337.401(3)10 1 % of local recurring revenue. Included in
the ordinance is a "favored nation's clause" which stipulates that in the event either a
larger percentage or broader base is permitted, the City will be entitled to the additional
revenue; 4) Any sale or transfer of GTE of Florida, Inc. must be approved by the City
Commission; 5) Penalties for non performance and/or poor service of the franchisee are
stipulated; 6) Required City permits, notification to the City before working in the right-of-
way, etc. are stipulated; 7) A provision requiring GTE to reimburse the City for audit costs
is stipulated in the ordinance; 8) GTE has agreed to have underground over 90% of all of
their telecommunication facilities; 9) GTE must obtain the City's permission to provide
Wireless Communication services (PCS system through the use of the public right-of-way.)
The City Attorney is working on ordinances that address wireless communications and
private facilities installed by companies for their own use; 10) The required provision for
the option to purchase GTE facilities is included in the Franchise ordinance; 11) As verified
by a field inspection of all traffic signal poles throughout the City, there is no longer a joint
use of facilities. As a result, the joint facilities' agreement previously approved on February
2, 1995 by the City Commission will not be executed; and 12) The City has settled the
revenue audit with GTE and received $415,000. Currently, the City is auditing AT&T for
the 7% public service tax on intrastate long distance calls.
The City Manager indicated the difference between the ordinance approved on first
reading and this version is the recision of the joint facilities' agreement. Concern was
expressed that the City not be disadvantaged. Internal Audit Director Dan Katsiyiannis said
the City was aggressive in negotiation. GTE had not realized the City had proposed to use
GTE's duct work, etc. for City communication and competition. An audit indicated the
City does not use much of GTE's equipment. The contract will not allow the City to use
GTE facilities free of charge for the City's benefit. Mr. Katsiyiannis said if GTE wishes to
provide cable services in the City, which is allowed by law, they will have to negotiate a
franchise agreement with Clearwater. Concern was expressed regarding the term "not
withhold unreasonable." The City Attorney indicated that language is defined in case law.
Commissioner Thomas requested a copy of the definition.
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Concern was expressed the City maintains a tickler file to remind staff when leases
need to be addressed. Deputy City Manager Kathy Rice indicated the City Clerk has a
contract lease tracking program. It was suggested that all departments establish tickler
files for contract renewals. The City Manager said most department directors already
accept that responsibility. Problems occurred with contracts outside the responsibility of
specific departments. Staff will make special efforts in this area.
MR MARINE
Direction reQuested re DroDosed Marina Building Rental Policy (WSO)
As directed by the City Commission, staff has reviewed the current Marina Building
Rental Policy. On April 11, 1995, the Marine Advisory Board approved the proposed
policy. Building tenants had the opportunity to comment on the current and proposed
policies. The gift shop owner requested remaining with a five-year lease agreement.
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Staff proposes to negotiate leases based on the rate and mix of tenant services.
Staff suggests a rental rate range from $9/square foot to $12/square foot for second floor
rooms and from $1 2/square foot to $18/square foot for first floor rooms. Current building
tenants will receive the first opportunity to rent vacant space. Staff recommends
continuing the policy of negotiating the lease with the tenant and considering the tenant's
record during the ending lease period. The City Manager and Harbormaster will review and
approve the business assigned to the space.
Staff recommends adapting an ordinance to allow the City Manager to approve' and
execute lease agreement renewals for three year periods. Current building tenants would
have the option of a City Manager approved three year lease or a five~year lease approved
by the City Commission. Staff recommends continuing with a percentage of gross sales
with the leases for the marina gift shop and restaurant. Other Marina businesses that sell
merchandise will have either a percentage of gross sales or yearly Consumer Price Index
(CPJ) increase added to their lease Agreement. Staff recommends eliminating the
requirement that all for~profit tenants provide either three years of audited statements or a
guaranty letter for the full amount of the lease. With the City Manager's ability to approve
three year leases. little or no vacant space should occur in the building.
Marina building tenants will continue to pay for improvements, maintenance, taxes,
insurance and utilities in the rented space. First floor tenants also will continue to provide
plate glass insurance with their policy. Each new lease will require a one month security
deposit. The rental space will be used only for the purposes identified in the lease
agreement and there will be no Uautomatic extension" of the term of the lease. Marina
building tenants. their employees and customers will continue to pay for parking at the
Marina.
Concern was expressed that leases are not revocable if the space is not occupied.
Harbormaster Sill Held said the lease states the merchant must be in business each day of
the lease. He said staff has given some leeway to a new tenant and indicated the business
will be in operation this week.
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Consensus was to allow the City Manager to renew three-year leases for current
tenants.
Mr. Held said language will be added to the standard lease regarding how soon
tenants must begin operations. Concern was expressed that conflicts of interest could
arise if all leases do not go out to bid. The City Manager said staff completes periodic
market analysis and recommended negotiating leases instead of bidding them. She noted
no bids were received on one recently offered space.
The majority of the Commission agreed the City Manager and Harbormaster should
have the option to bid or negotiate leases.
Concern was expressed regarding how the City Manager and Harbormaster review
and determine the appropriateness of a potential tenant. It was recommended that staff
issue a statement outlining the appropriate tenant mix for the marina.
Consensus was to not require three-years of audited financial statements before a
lease is approved. It was noted that a financial statement would still be required.
Consensus was to continue requiring a personal guarantee.
Sixth Amfi)ndment to Clearwater Ferrv Service. Inc. License & Agreement to orovide
pedestrian ferry service between Clearwater Beach & Sand Kev while the Clearwater Pass
Bridge is closed to vehicular traffic. at an estimated $80,000 (Consent)
This amendment to the Clearwater Ferry Service, Inc. License and Agreement will
fll.~~,~ provide temporary free pedestrian ferry service between Clearwater Municipal Marina and
~ the Community Sailing Center of Sand Key while the Clearwater Pass Bridge is closed to
vehicular traffic. The bridge is expected to close for approximately 80 days starting
August 10, 1995. The ferry service, free to citizens and tourists, will operate daily from
8:00 a.m. until 10:00 p.m. The Clearwater Ferry Service, Inc. will have backup boats
available to ensure reliable ferry service. Each boat will be operated by a US Coast Guard
certified captain and a fully trained mate. The ferry service will be fully insured, as
required by the City, and will purchase fuel from the Clearwater Municipal Marina. Ferry
service disruption caused by Acts of God will be considered "down time" and will not be
charged to the City. Jolly Trolley trips will be coordinated at Clearwater Marina when the
ferry service is operating. Citizens and tourists can park at the Sailing Center and use the
ferry service. The Jolly Trolley will not serve Sand Key during the bridge's closure.
Under terms of this amendment, the Clearwater Ferry Service, Inc., will be paid
$965 per day for the ferry service: 1) boats; 2) crew; 3} fuel; 4) maintenance; and 5)
insurance. Upon learning of the contractorts date of completion and discontinuance of the
temporary ferry service, the City will inform the Clearwater Ferry Service, Inc. immediately.
Funding for the ferry service for an estimated $80,000 will be provided by a third quarter
budget amendment appropriating $80,000 from Bridge Revenue.
Support for the proposal was questioned. It was noted the original plan included
Jolley Trolley service on Sand Key to not overburden the limited number of parking spaces
at the Sailing Center. Concern was expressed that the plan was not worth $80,000. A
suggestion was made to impose a charge of $0.25 or $0.50 for the ferry ride.
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Assistant City Manager William Baker said neither the City nor Jolley Trolley staffs
think service will be needed on Sand Key. An agreement was reached with the Radisson
to use the northern part of their parking lot should the Sailing Center lot fill. Part of the
Sheraton lot will also be available. It was noted residents on the south end of Sand Key
will probably drive south and around the detour. Other Sand Key residents will drive their
cars to the ferry. The hotels have vans to transport guests to the ferry. The Jolley Trolley
would have overtime expanses to operate a trolley on Sand Key coordinated with the
ferry's hourly schedule.
EN ENGINEERING
C.O.#1 to 1995 Sidewalk Contract to MTM Contractors. Inc., Pinellas Park, FL, increasing
the amount by $51 ,047.50for a new total of $240,677.50,and approve a time extension
of 30 days (Cons~nt)
The purpose of Change Order 1/1 is to reduce flooding that reaches depths up to 12
inches during storms at the Eastland Blvd./Landmark Drive intersection. Stormwater
drainage collects there from several acres of the surrounding Northwood Estates
subdivision instead of being conveyed to existing stormwater retention areas west of
Landmark Drive. Eastland Blvd. often closes for extended periods due to flooding.
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Concern was expressed that this would not solve the entire problem which the City
caused. It was suggested the City dig out the ditch and stormwater retention area. City
Engineer Rich Baier reported the City held two public meetings regarding this problem. In
this area, Clearwater does not own the land but has easements. In the past, the City
allowed the homeowners to install pipe and fill in the ditches. He indicated several
homeowners do not want the ditch reopened or pond expanded including one with a
structure illegally built in the easement. He said the consensus of the neighborhood was
that the City has more pressing issues to address. Concern was expressed that flooding
will move from one area to another.
The Commission recessed from 3:05 to 3:20 p.m.
Mr. Baker noted the retention pond and ditch wers originally constructed by the
developer in the 1970's. Because of algae problems in the shallow ditch, the City allowed
pipes to be installed which created a loss of detention. He said it would be best to have
water overflow into Mullet Creek instead of ponding in the intersection.
Mr. Baier presented a plan to reclaim the retention pond's capability of 50,000
cubic feet. Gabions will allow lateral water migration. Xeriscaping will be installed to
relieve maintenance demands on owners. He noted the pond was designed to meet the
needs of original development. New developments now also convey water. The planned
pond will be five feet deep and 35 feet wide. Mr. Baier stated most of the property
owners who expressed opinions said they did not want the pond reconstructed.
Concern was expressed that the pond now floods consistently. Mr. Baier said the
curbing plan will shed water away from the intersection to sheet across Enterprise to
Mullet Creek. He said extending Landmark Drive will alleviate some flooding as the ability
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to store a larger volume of water occurs. He said when staff proposed the retention pond
project. residents objected adamantly. It was noted the City's easements would permit a
ditch 50 to 75 feet wide and no homeowners want their backyards dug up. Mr. Baier
suggested the sidewalk construction be the first step of a two-step solution. It was
suggested that a total solution be realized. Mr. Baier recommended the proiect as
presented but referred to resident opposition.
Concern was expressed regarding flooding on Deer Run. Mr. Baier noted no
habitable areas there flood. He said this project will help that flooding concern. Mr. Baker
noted the design will carry most storms, but not all. Concern was expressed that Mullet
Creek could handle added stormwater. Mr. Baier said that should not be an increased
problem. He noted the Landmark extension will improve drainage.
A video of the area was presented.
Consensus was for staff to come back with a plan and the cost of a project that will
address the entire drainage problems in this area.
SW SOLID WASTE
,Joint Particioation Agreement with FOOT to orovide 50% reimbursable funding for the
construction of 3 new hanQars on Clearwater Airoark (Consent)
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The Florida Department of Transportation (FOOT) has agreed to provide 50 %
reimbursable funding for the construction of three new hangars at Clearwater Airpark. The
City must pay for the project, estimated to cost $600,000, to provide funding on a timely
basis. FOOT has programmed incremental funding providing $75,000 in the State's Fiscal
Year (FY) 1994/95 and $100,000 in FY 1995/96. FOOT will endeavor to shift $125,000
into the FY 1995J96 budget to cover the balance of the construction funds required
should FOOT funding not be in place by the desired construction date, hangars will be
constructed in increments as funding is available. By the time the Florida Department of
Environmental Protection (FOEPI permitting is accomplished, sufficient time should have
elapsed to permit FOOT to provide their half of the project funding.
Concern was expressed that Clearwater should not have to spend City money for
the hangars and wait years for State reimbursement. Robert Brumback, Director of Solid
Waste, said the State will reimburse the money when the construction meets State
satisfaction. He stated money from other projects may be available to provide all funds
immediately. He noted if the money is not reimbursed immediately, it can be borrowed
from the central fund.
CP CENTRAL PERMITTING
Public Hearing & First Readina Ord. #5841-95- Amending Ch. 29, relatim;) to occuDation~1
licenses; (re tax structure and appendix A, Fees, Rates & Charges) Res. #95-52-
dissolving the Equity Study Commission
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On June 2, 1994, the City Commission adopted Resolution #94-11, establishing the
Occupational License Equity Study Commission to study the City's occupational license tax
classification system and rate structure. Florida State Statute 205.0535 requires
municipalities to reclassify businesses, professions, and occupations and establish new
rate structures by October 1, 1995.
The Equity Study Commission concentrated their efforts in two areas: 1) to
determine and correct inequities in the current fee structure, with associated increases and
decreases in fees, within the thresholds required by State Law and 2) to streamline and
reorganize the fee structure.
The fee structure was streamlined and reorganized. Fees were adjusted as allowed
by State law. The annual revenue generated from the amended fees is estimated to be
$1.490,743,a 9.6% increase above the $1,359, 719.30collected last fiscal year. Staff
created a directory as a guide in determining business categories. Legal staff recommends
moving the occupational license fee structure from Chapter 29 to Appendix A, Fees, Rates
and Charges. Associated housekeeping changes are included in the ordinance.
The resolution dissolves the committee now that their assignment has been
completed and includes language thanking the Occupational License Equity Study
Commission for their hard work. It was recommended that the resolution not be addressed
until the ordinance is passed on second reading.
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The City Attorney indicated no conflict of interest exists for the Commission
because the proposals are across the board. "
Concern was expressed that the fee schedule charges massage therapists $55 each
and the massage establishment only $25. Sandra Glatthorn, Central Permitting Manager,
indicated the committee did their best to make fees more equitable based on an old listing
of occupation licenses. She noted massage therapists are licensed while repair mechanics
are not. She agreed some inconsistencies exist but indicated changes would be difficult to
accomplish before the October 1 deadline as each business in a category would first have
to be interviewed to determine that the total increase would remain below 10%.
Ouestions were raised regarding the rates proposed for insurance agents and
companies.
The City Attorney noted the rates can be increase by 5 % in two years. She
expressed high respect for the job performed by the committee. She indicated the task
was not easy.
OTHER CITY ATTORNEY ITEMS
The City Attorney indicated an additional item will be added to Thursday's agenda
regarding Fisherman's Wharf. She said they wish to enter into an agreement to be held
harmless regarding the contamination on the property. She said the agreement will resolve
the issue with the property owner. Business damages still must be addressed.
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City Manager Verbal Reports
Florida League of Cities Convention
The City Manager indicated the Florida League of Cities has scheduled their annual
convention in Orlando from August 17-19, 1995 in Orlando. She noted a conflict with the
August 17, 1995 Commission meeting. She requested Commissioners advise of plans to
attend the convention.
Trim millage meeting
The City Manager noted the Trim millage must be reported to Pinellas County by
July 12, 1995. A meeting to address Trim millage was scheduled for July 12, 1995 at
12:00 noon.
Beach issues meeting
A meeting to address Beach issues was scheduled for July 26, 1995 at 7:00 p.m.
in Chambers.
Beach Tower
Mr. Baker distributed a simplified financial plan for a proposed beach tower. He
proposed the City borrow $1-miUion to purchase part of the tower and become partners
with Mr. Grogan. The partnership would borrow $750,000 to refurbish the tower. The
(~'~ loans would be paid from the partnership's profits. He presented three possible scenarios
'r.!!~ with ridership averaging between 1,000 and 3,000 daily. With an average daily ridership
of 2,000. Mr. Baker estimated a total gross income of $1.6B-million would result in an
annual income to the City of $602,500 after debt service and operating expenses.
Additional income could come from leasing the City's land to the tower. He said the key
to a successful tower is a high pedestrian location. The tower would not compete with
other beach businesses. He suggested tower income could be used to produce 10-minute
nightly tourist related laser shows. He said money would need to be spent to x-ray the
tower and for Post Buckley, the City's Engineer of Record, to provide an opinion.
Concern was expressed that the proposal is a gamble. It was suggested the
proposal should not be a City venture and the City should not be partners with Mr. Grogan.
It was suggested the only viable location for the tower would be on the bend on S
Gulfview Blvd. It was noted the City may not have to invest money up front if it is willing
to accept a lower annual return. It was suggested that income could be generated from
sharing rental fees on the tower for antennae. Concern was expressed that the City not
enter into risk ventures.
It was suggested the City should not be considering a $1-million Joan for the
proposal when the City has many other needs. It was noted the ridership numbers may be
inflated as estimates of interest may be unrealistic and rain days were not considered.
Concern was expressed that a 350-foot tower is not appropriate for Clearwater beach. In
response to a question, Mr. Baker estimated Adam's Mark Hotel is 100 feet tall.
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it was noted Brea residents had stated they did not want a tower in the proposed
location. It was suggested that the tower's owner, Mr. Grogan, purchase land and erect
his tower.
As interest in the tower was divided equally, no further action will occur until a fifth
commissioner is appointed.
Nominees for City Commissioner vacancy
It was requested the Commissioner's nominees be sent to the Commission again.
Consensus was that citizens wishing to nominate themselves must submit their intent in
writing to the City Clerk before 6:00 p.m., June 13, 1995. Only those who have been
nominated by the Commission or who have personally submitted their names will be placed
on the list.
Florida Power Franchise
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Ms. Rice said due to upcoming deregulation, major sup'pliers will be able to wheel
transmission of electricity and distribute it. She predicted the face of power franchises will
change. She reported staff is requesting a great deal of information from Florida Power.
She said the City is willing to discuss a 1 5-year franchise that can be reopened every five
years. Florida Power and the City are working closely together. Ms. Rice noted concern
regarding Florida Power's rates in comparison to other parts of the country. She said the
City is also concerned that Florida Power maintain an office in Clearwater. Staff is looking
at additional revenues by expanding the base and not by increasing the franchise fee.
The Commission recessed from 5: 19 to 5:23 p.m.
Cable Franchise
Ms. Rice said the cable franchise must be completed by the end of August 1995.
She said Time Warner has indicated they will meet City demands if they can pass that
expense on to cable customers. She said some requests were included in the original
agreement and their expenses should not be upassed through.1/ She said the proposed
agreement is for 10 years with renewals. The franchise fee will increase from 3% to 4%
to 5%. She said the City and Time Warner are very close on most issues. She noted Time
Warner wants to compete with other future cable providers such as telephone companies.
The City is continuing to audit Time Warner to verify the true level of their revenues. She
noted Time Warner has retained most of Vision Cable's staff. In response to a question;
Ms. Rice said she did not know if telephone companies must go through the same
franchise negotiation because the law is new. If the City has the right to negotiate, the
new GTE franchise agreement states a separate agreement will be negotiated for cable.
Ms. Rice reported the City has a Request for Qualifications (RFQ) out for installation
of a fiber optic system. Time Warner has indicated they may submit a bid. Ms. Rice said
the organization that gets the fiber optic system in the ground first wins. She said it would
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be an impractical and expensive redundancy for two companies to lay fiber optic systems.
She said citizens would realize real savings if the City owns the fiber optic system. Ms.
Rice noted local telephone service soon will be deregulated and savings could approach
25%.
Concern was expressed that the City is requesting taxes on the credit Florida Power
provides for their management load program when a recent court decision ruled a franchise
fee can only be charged on the amount of money collected.
In response to a question, Ms. Rice indicated other cities have their own electrical
system. She did not think City analysis will suggest Clearwater take over the City's power
needs but proper rates will be revealed.
Ms. Rice said staff is reviewing if the cable company owes the City franchise fees
based on cable advertising. The City Attorney' said she will provide the Commission with
an outside legal opinion draft regarding this.
Other Commission Action
~ommissioner Johnson questioned the purpose of the Federal Railroad
administration. It was explained that the administration is involved with Maglev magnetic
transportation, the latest high speed technology. A Request for Proposal (RFP) has been
issued in Florida for a high speed rail corridor.
~/'~ Commissioner Johnson questioned the request made in a recent letter from the
~ National Conference of Christians and Jews. The letter requested permission to take
money not spent on the first campaign and roll it over for the next campaign. The City
~anager authorized the request.
Commissioner Johnson referred to a letter from Mr. Transmission regarding a bid to
provide the City with services. The City Attorney will forward the Commission a copy of
her response.
!;ommissioner Berfield questioned if a notation should be made that 'Nork Session
minutes are not approved by the Commission. The City Attorney said such notation is not
required based on Commission rules.
Commissioner Berfield submitted to the City Manager a formal complaint she had
received at home regarding the Police 'Department.
Commissioner Thomas referred to a letter from David Campbell listing a series of
recommendations to improve C-View 35. Commissioner Thomas requested staff expedite
some suggested improvements.
Commissioner Thomas referred to a request from the owners of the Marina
restaurant who wish to sell packaged alcoholic beverages. He requested an explanation
regarding why this request has been denied.
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Mavor Garvev referred to recent criticism regarding C.View 35. She noted staff
submitted a report regarding complaints. After reviewing the report; the Mayor said she
felt the City has the right kind of people running the program. The City Manager said staff
has been trying hard to make improvements. The Mayor said the station has come a long
way considering the size of the staff.
"
Adjourn
The meeting adjourned at 5:49 p.m.
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minws06a.95
11
06/012/95