CLEARLAKE, Calif. – At its last meeting in April the Clearlake City Council accepted updates to city rules for marijuana cultivation and dispensaries, and approved the next steps in projects to improve the city’s utility costs and performance.
The council held the second and final readings of the marijuana-related ordinances – which had to be updated due to changes in state law – at its meeting on Thursday, April 27. The initial readings on both had been held on April 13.
At the April 27 meeting, the council accepted the updated cultivation ordinance as part of its consent agenda – items that are noncontroversial and accepted as a slate with one vote.
However, City Manager Greg Folsom asked that they pull the dispensary ordinance due to questions that had been raised by a letter the city had received at 4 p.m. that day – just two hours before the meeting started – from the Beck Law firm of Santa Rosa on behalf of a city dispensary.
Based on the discussion, that letter raised concerns about the dispensary being able to continue to operate under the new rules. However, attorney Crystal Hodgson of the firm Jones & Mayer, which represents the city, said the dispensary’s concerns that the rules would make it an illegal operation were unfounded.
“We would not ask a coop or collective to shut down under the new ordinance,” she said, explaining that the ordinance has built in it the ability for dispensaries that already are in existence to continue to operate while they go through the city’s permitting process.
It also was noted during the discussion that existing dispensaries can continue to operate if a school or child care facility subsequently wants to locate within 600 feet of them. “The chances of that happening are slim to none,” Hodgson added.
The council ultimately approved that ordinance 3-1, with Councilman Nick Bennett maintaining his no vote from the initial vote two weeks earlier due to the allowance for people to consume marijuana products at dispensaries. Councilwoman Joyce Overton was absent from the meeting.
The council also held two public hearings, one concerning a contract with Aircon Energy Inc. and a second to adopt financing terms and loan documents for the energy updates to city facilities.
Finance Director Chris Becnel told the council that it was the third time the matter had come before them, and the city was close to being done on the work.
The item previously had come to the council in m-2016 after Aircon had performed a preliminary audit of the city’s facilities and determined there was some savings available. In October the council authorized a letter of intent to do an investment grade audit, Becnel said.
“They have completed that process,” said Becnel, with the city ready to move into the contract and financing phase.
Andy Roth, Aircon’s director of energy services, said the company’s engineers spent considerable time looking over city facilities.
He said they are suggesting light upgrades to LEDs, which are becoming more cost-efficient.
City Hall has 11 HVAC units on its roof, one of which is new. Roth said Aircon is recommending that City Hall needs a total of six smaller HVAC units – the size reduction will be from four-ton to 2.4-ton units. He said the smaller units will work well if the building’s duct systems are redone, more thermostats are placed throughout the building, and supplies and returns are fixed.
They’re also looking at more lighting at Redbud Park and ceiling fans at the community and senior center, he said.
Roth said they were looking at $800,000 in expenditures – including solar installation – with $64,000 in savings, $34,000 of which will come from solar and Pacific Gas and Electric savings.
As part of the project there is a solar installation, with options of installing them on the rooftop, on specially constructed carports or at a city-owned property on Ogulin Canyon Road. The rooftop installation was determined to be the best.
Roth said the city’s primary goal was to not have to put out any cash. The total cost of the project is just over $808,000, with a 17-year repayment.
He said money from the federal government for such projects is expended to quickly go away, since the current administration doesn’t appear to support it.
“We still see this as a winner project,” he said.
The council approved the item 4-0 before giving similar approval to the financing package that followed.
The financing package was a matter of the council directing staff to go out and pursue financing, Becnel said.
He explained that the total project cost is about $808,000, broken into two parts: half is energy efficiency, half is solar. The city was due the following day to send out documents to the Internal Revenue Service regarding bond funds.
The other financing portion is more complex and involves a lease-back agreement, likely on the community center, Becnel said. He said both financial parts of the project needed to move forward as a whole.
He said that, over time, the project will result in more positive cash flow for the city.
“This is a no-cash-out-of-the-city’s-pocket deal,” he said.
“I love the idea of saving any money,” said Vice Mayor Bruno Sabatier.
It was explained during the meeting that the city should start accruing savings six months into the project.
In other business, the council approved the Clearlake Police Department’s purchase of 18 mobile data computers, vehicle mounts and record management software for a total cost, including shipping of $30,033.98.
Acting Police Chief Tim Celli said the agency had needed the equipment for a long time, and he thanked Sgt. Travis Lenz and Sgt. Tim Hobbs, who were at the meeting, for the in-depth research they completed in order to make the purchase.
“We believe this is going to fit our needs,” as well as be ready for the department’s computer system expansion, said Celli.
In other business, the council approved a memorandum of understanding with the county for use of county-owned property located on Pond Road to temporarily store vehicles towed under the Abandoned Vehicle Authority and separately awarded Enterprise Towing the contract for the program’s tows, which Becnel said is a necessary element for the city moving forward with removing such vehicles.
The council also held a public hearing to discuss assessments on 10 properties for failing to abate public nuisances, and approved moving forward on eight of the properties.
The remaining two were continued, as the owner of 3925 Eureka Ave., who is a Clayton fire survivor, said he had just gotten the notice and had immediately begun the cleanup, producing dump receipts to prove it.
The owner of the second property at 3923 Oak Ave. was out of state and so Becnel granted an extension on the matter until May.
A city plan to demolish buildings at 5768 Crawford Ave., 2971 Sixth St., 3292 Ninth St., 3114 Eighth St., 2944 Fifth St., 3182 Park St., 3373 11th St. and 13940 Manakee Ave. will have to wait, due to the city not receiving bids that met the project criteria. Folsom suggested all five bids be rejected, which the council approved.
Folsom said the city will have to reapply for the grant funding it had received to demolish those buildings due to its already extended time for using the funds having run out. The new funding application window opens in August.
The council also declared April 2017 as Autism Awareness Month, received the Public, Education and Government Channel annual report, got the contest result for the “Gems of Clearlake” contest and heard from the Children’s Museum of Art and Science regarding its “Wildlife of Clearlake” youth public art contest.
A closed session discussion on labor negotiations with city employee organizations and negotiations for the property at 14060 Olympic Drive, next to city Hall, yielded no reportable action, the city attorney said.
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Clearlake City Council passes updated marijuana ordinances, moves forward on energy efficiency projects
- Elizabeth Larson
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