Politics & Government
City Council: City Manager Gets a Raise, No More RDA, New Planning Commissioners
The City Council took action on several issues of public interest Tuesday night.
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After posting in quite a while, the Milpitas City Council crossed several items off its to-do list during its first official meeting of 2012 Tuesday night.
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City Manager's Raise Draws Objections
In a 4-1 vote with Councilmember Armando Gomez dissenting, the Council approved City Manager Tom Williams' employee evaluation and new employment agreement, complete with a pay raise - but not before several people objected.
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Councilmember Debbie Giordano opened the discussion saying, "I asked to do City Manager Tom Williams' evaluation and process. Blame me, not him," clarifying that Williams had not come forward requesting the evaluation and raise, as some Milpitians had speculated.
"He's been employed in this position since 2006 with no raise. His evaluation was stellar, without the assistance of an assistant city manager," she continued. "Tom was entry-level when hired, and is a bargain for us. That's key - his compensation is well below what others are making."
Councilmember Althea Polanski said, "I just want to concur with my colleague. Tom has no step increases, no [cost of living increase], no longevity pay. Normally, increases for other employees are about 5 percent."
Vice Mayor Pete McHugh added, "The proposed compensation is merited and I support it."
Many who have voiced opinions in opposition of the City Manager's pay raise - at a time when many city employees are being forced to take pay cuts - said it was not only the raise, but the fact that the City implied the raise would also be calculated retroactively, back two and a half years, that really rubbed them the wrong way.
However, the City Council seems to have found itself a loophole in that regard.
When a former city employee, Steve Bunnell, stood up at Tuesday night's meeting and asked if Williams would refuse the back pay, Vice Mayor McHugh clarified the proposal by saying, "There is no back pay. The calculations are for going forward only."
It was further explained that Williams' raise would not include back pay going back two and a half years like the meeting's agenda packet implied, but rather, the Council calculated what a cost of living increase would have been if he had received one that long ago, and factored that amount into his new pay going forward.
Councilmember Armando Gomez was the sole voice of dissent.
"I want to commend Tom for his service and for getting us through the problems and deficits. But I can't support the increase at this time," he said.
Mayor Jose Esteves said he supports the recommendations of the Council and Williams' raise.
However, Ellis Miller, business agent for the United Public Employees of California Local 792 which represents some of the city's employee groups, including the Milpitas Employees Association (MEA) and Milpitas Supervisors Associations (MSA), commented on the issue.
"I'm here for fairness. I'm against the increase and the 12-month 'golden' severance," he said, referring to a clause in Williams' new employment agreement that guarantees him a full year of severance pay if he is fired for any reason.
"It's not wise to change from 'at will' to 'for cause' removal," he continued. "We protest, and object to having 16 percent pay cuts for our members."
Giordano sparred with him briefly, adding, "There was not one MEA layoff, and outsourcing their jobs would have saved the city $700,000."
Milpitas resident Robert Marini agreed with Miller and said, "You can't justify this total compensation with 16 percent cuts to employees."
In the end, Williams' new agreement was approved, with an additional provision, as well - at Giordano's request, his retroactive cost of living adjustment was calculated back three years, instead of just two and a half, because Giordano argued that the Council should have discussed this matter several months ago, but kept pushing the item out repeatedly due to other pressing City issues.
RDA to Be Dissolved as of Feb. 1
Cities all over California - including Milpitas - are scrambling to come up with back-up plans now since all redevelopment agencies (RDAs) in the state were ordered to fold last week.
"Redevelopment agencies in California will cease to exist, with provisions to wind down," explained Milpitas Assistant City Attorney Brian Otake in his report on the December 29 California Supreme Court decision dissolving the state's 400 RDAs. "We must continue suspension of any new activity for new projects."
"Our Milpitas Redevelopment Agency must dissolve by Feb. 1, 2012 and the Council must adopt a resolution designating successor agencies by Jan. 12, 2012," he added.
In other words, with the City no longer receiving state funds for the Milpitas Redevelopment Agency - which was most often used to renovate the most unsightly parts of town - the City must decide where that money will come from past Feb. 1.
The Council approved the resolution and announced its plans for successor agencies during its special meeting on Wednesday night, following a staff report by Otake.
"Subject to the Oversight Board, the City of Milpitas will become the successor agency for 80 percent of the RDA funds, and the Milipitas Housing Authority will be the successor agency for the [remaining] 20 percent of funds," Otake announced.
The Oversight Board is made up of five county-level officials and two city-level mayoral appointees, according to Otake, and it must be formed by May 1, 2012.
Oversight Board decisions can be appealed to the State Finance Committee.
Planning Commission Appointments Made Without Discussion
The Council approved the mayor’s recommendations for three new appointments and one reappointment to the Milpitas Planning Commission Tuesday night. Giordano was the only one opposed.
Councilmember Gomez succeeded in putting the item on the consent calendar, meaning members would vote with no discussion. Vice Mayor McHugh objected.
Rajeev Madnawat from the Community Advisory Commission was appointed as a new Planning Commissioner for a term that expires in December, 2012, replacing former Commissioner Mark Tiernan, who initiated by Mayor Esteves last month.
Planning Commissioner Larry Ciardella was reappointed to a term that expires in December, 2014.
Local real estate developer John Luk's position was changed from that of an Alternate Planning Commissioner, which he has been serving in for some time, to a full, regular Planning Commissioner, in the seat formerly held by Noella Tabladillo. Luk's term will expire in December, 2014.
Garry Barbadillo from the Parks, Recreation and Cultural Resources Commission was appointed as the new alternate member, taking Luk's place, to a term that will expire in December, 2014.
An application for the Planning Commission from former Planning Commissioner Carmen Montano was included in the agenda attachments, but the Mayor did not suggest appointing her to the Commission.