This agenda contains a summary of each item of business which the Council may discuss or act on at this meeting. The complete staff report and all other written documentation relating to each item on this agenda are on file in the office of the City Clerk and the reference desks at the three libraries and are available for public inspection and review. If you have any question about any matter on the agenda, please call the office of the City Clerk at (818) 238-5851. This facility is disabled accessible. Auxiliary aids and services are available for individuals with speech, vision or hearing impairments (48 hour notice is required). Please contact the ADA Coordinator at (818) 238-5021 voice or (818) 238-5035 TDD with questions or concerns.

CLOSED SESSION ORAL COMMUNICATIONS IN COUNCIL CHAMBER:

Comments by the public on Closed Session items only. These comments will be limited to three minutes.

For this segment, a PINK card must be completed and presented to the City Clerk.

CLOSED SESSION IN CITY HALL BASEMENT LUNCH ROOM/CONFERENCE ROOM:

a. Conference with Legal Counsel � Existing Litigation:

Pursuant to Govt. Code �54956.9(a)

1. Name of Case: In the matter of the application of Burbank-Glendale-Pasadena Airport Authority � Administrative (Variance) Hearing conducted by Cal Trans.

Case No.: OAH No. L2001-110412

Brief description and nature of case: Administrative review of Airport noise variance standards.

2.  Name of Case: City of Burbank v. Burbank-Glendale-Pasadena Airport Authority.

Case No.: BC259852

Brief description and nature of case: Declaratory Relief.

b. Conference with Legal Counsel � Anticipated Litigation (City as possible plaintiff):

Pursuant to Govt. Code �54956.9(c)

Number of potential case(s): 1

c. Conference with Legal Counsel � Anticipated Litigation (City as potential defendant):

Pursuant to Govt. Code �54956.9(b)(1)

Number of potential case(s): 3

d. Public Employee Appointment:

Pursuant to Govt. Code �54957

Title of Position: City Manager.

Brief description of position to be filled: Administrative Head of Burbank City Government.

Pursuant to Govt. Code �54957.6

Position Title of Unrepresented Employee: City Manager.

Summary of labor issues to be negotiated: Compensation and benefits.

f. Conference with Real Property Negotiator:

Pursuant to Govt. Code �54956.8

Agency Negotiator: Community Development Director/Susan M. Georgino.

Property: 1000 South Flower Street Southeasterly Corner of Alameda Avenue and Flower Street.

Parties With Whom City is Negotiating: Jane M. Jennings and Anna Jennings, Co-Trustees of the Gladys M. Blanchard Trust.

Terms Under Negotiation: Possible acquisition.

6:30 P.M.

INVOCATION: Reverend Tania Kleiman, Olive Branch Ministries.

The Courts have concluded that sectarian prayer as part of City Council meetings is not permitted under the Constitution.

FLAG SALUTE:

ROLL CALL:

ANNOUNCEMENT: WEDNESDAY NIGHT PRIME TIME PROGRAMS.

COMMENDATION: RETIRED FIRE FIGHTERS.

PROCLAMATION: RED CROSS MONTH.

COUNCIL COMMENTS: (Including reporting on Council Committee Assignments)

INTRODUCTION OF ADDITIONAL AGENDA ITEMS:

At this time additional items to be considered at this meeting may be introduced. As a general rule, the Council may not take action on any item which does not appear on this agenda. However, the Council may act if an emergency situation exists or if the Council finds that a need to take action arose subsequent to the posting of the agenda. Govt. Code �54954.2(b).

REPORTING ON CLOSED SESSION:

AIRPORT AUTHORITY MEETING REPORT:

1. AIRPORT AUTHORITY COMMISSIONER REPORT:

At the request of the Burbank representatives to the Airport Authority, an oral report will be made to the City Council following each meeting of the Authority.

The main focus of this report will be issues which were on the Airport Authority meeting agenda of March 3, 2003. Other Airport related issues may also be discussed during this presentation.

Recommendation:

Receive report.

FIRST PERIOD OF ORAL COMMUNICATIONS: (One minute on any matter concerning City Business.)

There are four segments of Oral Communications during the Council Meeting. The first precedes the Closed Session items, the second and third segments precede the main part of the City Council�s business (but follow announcements and public hearings), and the fourth is at the end of the meeting following all other City business.

Closed Session. During this period of oral communications, the public may comment only on items listed on the Closed Session Agenda(s). A PINK card must be completed and presented to the City Clerk. Comments will be limited to three minutes.

First Period of Oral Communications. During this period of Oral Communications, the public may comment on any matter concerning City Business. A BLUE card must be completed and presented to the City Clerk. NOTE: Any person speaking during this segment may not speak during the third period of Oral Communications. Comments will be limited to one minute.

Second Period of Oral Communications. This segment of Oral Communications immediately follows the first period, but is limited to comments on agenda items for this meeting. For this segment, a YELLOW card must be completed and presented to the City Clerk. Comments will be limited to four minutes.

Third Period of Oral Communications. This segment of oral communications follows the conclusion of agenda items at the end of the meeting. The public may comment at this time on any matter concerning City Business. NOTE: Any member of the public speaking at the First Period of Oral Communications may not speak during this segment. For this segment, a GREEN card must be completed and presented to the City Clerk. Comments will be limited to three minutes.

City Business. City business is defined as any matter that is under the jurisdiction of the City Council. Although other topics may be of interest to some people, if those topics are not under City Council jurisdiction, they are not City business and may not be discussed during Oral Communications.

Videotapes/Audiotapes. Videotapes or audiotapes may be presented by any member of the public at any period of Oral Communications or at any public hearing. Such tapes may not exceed the time limit of the applicable Oral Communications period or any public comment period during a public hearing. The playing time for the tape shall be counted as part of the allowed speaking time of that member of the public during that period.

Videotapes must be delivered to the Public Information Office by no later than 10:00 a.m. on the morning of the Council meeting in a format compatible with the City�s video equipment. Neither videotapes nor audiotapes will be reviewed for content or edited by the City prior to the meeting, but it is suggested that the tapes not include material that is slanderous, pornographic, demeaning to any person or group of people, an invasion of privacy of any person, or inclusive of material covered by copyright.

Printed on the videocassette cover should be the name of the speaker, the period of oral communication the tape is to be played, and the total running time of the segment. The Public Information Office is not responsible for "cueing up" tapes, rewinding tapes, or fast forwarding tapes. To prevent errors, there should be ten seconds of blank tape at the beginning and end of the segment to be played. Additionally, the speaker should provide the first sentence on the tape as the "in cue" and the last sentence as the "out cue".

As with all Oral Communications, videotapes and audiotapes are limited to the subject matter jurisdiction of the City and may be declared out of order by the Mayor.

Disruptive Conduct. The Council requests that you observe the order and decorum of our Council Chamber by turning off or setting to vibrate all cellular telephones and pagers, and that you refrain from making personal, impertinent, or slanderous remarks. Boisterous and disruptive behavior while the Council is in session, and the display of signs in a manner which violates the rights of others or prevents others from watching or fully participating in the Council meeting, is a violation of our Municipal Code and any person who engages in such conduct can be ordered to leave the Council Chamber by the Mayor.

Once an individual is requested to leave the Council Chamber by the Mayor, that individual may not return to the Council Chamber for the remainder of the meeting. BMC �2-216(b).

Individuals standing in the Council Chamber will be required to take a seat. Also, no materials shall be placed in the aisles in order to keep the aisles open and passable. BMC �2-217(b).

Your participation in City Council meetings is welcome and your courtesy will be appreciated.

COUNCIL AND STAFF RESPONSE TO FIRST PERIOD OF ORAL COMMUNICATIONS:

SECOND PERIOD OF ORAL COMMUNICATIONS: (Four minutes on Agenda items only.)

COUNCIL AND STAFF RESPONSE TO SECOND PERIOD OF ORAL COMMUNICATIONS:

CONSENT CALENDAR: (Items 2 through 4)

The following items may be enacted by one motion. There will be no separate discussion on these items unless a Council Member so requests, in which event the item will be removed from the consent calendar and considered in its normal sequence on the agenda. A roll call vote is required for the consent calendar.

2. APPROVAL OF AMENDMENT NO. 1 TO THE MAGNOLIA POWER PROJECT SITE LEASE AND SERVICES AGREEMENT BETWEEN THE SOUTHERN CALIFORNIA PUBLIC POWER AUTHORITY AND THE CITY OF BURBANK:

In April 2002, the Council approved the Magnolia Power Project Site Lease and Services Agreement (Lease Agreement) between the Southern California Public Power Authority (SCPPA) and the City. The Lease Agreement gives SCPPA the right to use three acres in the north-easterly quadrant of the Burbank Water and Power (BWP) facility for an initial term expiring in December 2035, with a right to renew until 2057, a maximum term of 55 years. It also granted SCPPA an option to expand the leasehold area by up to an additional acre. Rent during the initial thirty-year term is $27,000 per month for the three-acre site, subject to a pro-rated increase for any additional area. If the right to renew is exercised, the rent will be adjusted according to an agreed-upon formula.

In addition to the three-acre site and the one-acre expansion area, the Lease Agreement allows SCPPA to construct a services and control building where the old Magnolia 1 and 2 generators are located. Burbank and SCPPA will occupy the completed structure.

Lastly, the Lease Agreement sets terms for the provision of utility service for the facility by the City.

Proposed Amendment

The proposed Amendment No. 1 would make several minor changes to the Lease Agreement. Two changes are substantive:

• First, the initial term would be extended by one year, as requested by the Project�s underwriters. They require that the initial term coincide with the term of the bonds, and recently decided that the bonds should mature in 2036 rather than 2035. Extending the initial term does not extend the overall 55-year maximum term; that is, the Lease Agreement will still expire in 2057 (if the renewal option is exercised).

• Secondly, the Lease Agreement contains an early termination clause, which provides automatic termination if all the other Project documents are not executed by April 1, 2003. In view of the slight delay the Project has experienced in licensing and funding, it is probable that this date cannot be met. Amendment No. 1 would change this date to May 1, 2003, and give each party the right to extend that date for an additional 90 days.

The other four changes are for purposes of clarification and do not change the original intent of the parties.

Recommendation:

Adoption of proposed resolution entitled:

A RESOLUTION OF THE COUNCIL OF THE CITY OF BURBANK APPROVING AND AUTHORIZING THE EXECUTION OF AMENDMENT NO. 1 TO THE MAGNOLIA POWER PROJECT SITE LEASE AND SERVICES AGREEMENT BETWEEN THE SOUTHERN CALIFORNIA PUBLIC POWER AUTHORITY AND THE CITY OF BURBANK.

3. DEMOLITION OF MAGNOLIA 1 & 2 POWERHOUSE AND MAGNOLIA 3 & 4 DUCTWORK TO MAKE ROOM FOR THE MAGNOLIA POWER PROJECT:

The Southern California Public Power Authority (SCPPA) has agreed to reimburse Burbank for its costs associated with a Professional Services Agreement (PSA) with Cleveland Wrecking Company to demolish and dispose of the Magnolia 1 & 2 building superstructure and Magnolia 3 & 4 ductwork with asbestos and lead abatement for a total cost not to exceed $775,192; and, a PSA with Industrial Hygiene Management to manage the industrial and safety concerns involving the asbestos and lead abatement activities for a cost not to exceed $30,000.

The intent of the requested authorizations is to allow SCPPA to reimburse Burbank Water and Power (BWP) for timely work required to clear the Magnolia Power Project (MPP) site for construction, at no cost to BWP. An amendment to the BWP Fiscal Year 2002-03 Budget will authorize expenditure of the SCPPA funds for both items.

BWP, as the Project Manager of the MPP, is demolishing the superstructure of Magnolia 1 & 2 and a large portion of the ductwork in Magnolia 3 & 4 to prepare the site for timely construction of the MPP. The existing powerhouse, built in 1941, is being converted to a service building for the MPP that will have workspace and storage at ground level, offices and a control room on the second floor, with a third floor for BWP�s use. The new service building will be characterized with the same overall appearance as the existing structure.

The abatement of asbestos and lead is necessary to reduce the risk of hazardous exposure in the areas in and adjacent to the new construction. Industrial hygiene and safety concerns necessitate removal of the rear portion of the abandoned ducting in Magnolia 3 & 4, and the plan calls for this work to be accomplished prior to the start of construction of the MPP in June 2003.

Three bids were received by SCPPA in response to a Request for Proposals (RFP) for the combined scope of work. Union labor was required in order to conform with the intent of the MPP Labor Agreements, a project that will be constructed with union labor. All three bids were technically qualified, and the bid results were as follows:

• Cleveland Wrecking Company $766,000

• Fox Construction $950,550

• Gonzales Construction $987,989

BWP as Project Manager for the MPP has received approval from SCPPA to secure a contract with Cleveland Wrecking Company to perform the work. While SCPPA will directly fund and perform the construction of the MPP, pre-construction work under the Planning and Pre-Construction phase of the project is conducted by Burbank at SCPPA expense. In order to perform such work, BWP requires approval of the PSAs and corresponding spending authority from the Council. This resolution approves those PSAs and spending authority.

A PSA with Industrial Hygiene Management is required for the professional oversight of the hazardous materials handling and disposal operations.

There are two areas addressed in this site preparation work:

1. Demolish and dispose of the Magnolia 1 & 2 building superstructure.

2. Remove the Magnolia 3 & 4 boiler exhaust stack ducting and asbestos that may breech into the MPP construction area.

The contract price has been adjusted by adding $9,192 to cover the cost of requiring Cleveland Wrecking Company to obtain a payment bond. This requirement was omitted by SCPPA during its bid process. This brings the total cost of the demolition work to be performed by Cleveland Wrecking Company to $775,192.

Staff recommends that the Council approve the PSAs with Cleveland Wrecking Company and Industrial Hygiene Management, and further that it authorize the General Manager of BWP to execute, and the City Clerk to attest, the agreements.

Recommendation:

Adoption of proposed resolution entitled:

(4/5 vote required)

A RESOLUTION OF THE COUNCIL OF THE CITY OF BURBANK AMENDING RESOLUTION NO. 26,377 RELATIVE TO RECEIPT AND EXPENDITURE OF FUNDS FROM THE SOUTHERN CALIFORNIA PUBLIC POWER AUTHORITY FOR MAGNOLIA POWER PROJECT SITE PREPARATION ACTIVITIES; AND APPROVING AND AUTHORIZING THE EXECUTION OF: (1) A PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY OF BURBANK AND CLEVELAND WRECKING COMPANY FOR DEMOLITION AND DISPOSAL OF THE MAGNOLIA 1 & 2 BUILDING SUPERSTRUCTURE AND THE MAGNOLIA 3 & 4 DUCTWORK; AND (2) A PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY OF BURBANK AND INDUSTRIAL HYGIENE MANAGEMENT FOR SERVICES RELATED TO SAID DEMOLITION WORK.

4.  BOW AND ARROW ORDINANCE ENFORCEMENT DATE:

On January 21, 2003, the Council adopted Ordinance No. 3616 which extended a prohibition on the shooting of bow and arrows within city limits, with limited exceptions. The City had determined that the project would have no possible significant effect on the environment and found it exempt from review under the California Environmental Quality Act (CEQA").

No member of the public questioned the City�s CEQA determination prior to the time which the Council adopted the Ordinance. Subsequent to the adoption of the Ordinance, an attorney, on behalf of the Bowhunters Association, questioned the applicability of the exemption from CEQA.

Given the arguments presented, it is recommended that this project go through CEQA review prior to enforcement of this Ordinance, only out of an abundance of caution to avoid litigation and to provide the public with the right to participate in an evaluation of the environmental consequences of this project.

The proposed Resolution states that Ordinance No. 3616 shall not be enforced by the City until the Council considers the appropriate CEQA documentation. The Ordinance shall be reviewed at that time for compliance with the appropriate CEQA document, if so approved. In the meantime, the City Planner is authorized to conduct CEQA review and provide the Council with the result and recommendation. This matter will return to the Council with CEQA documentation for further action. Until that time, the Ordinance will not be enforced.

Recommendation:

Adoption of proposed resolution entitled:

A RESOLUTION OF THE COUNCIL OF THE CITY OF BURBANK SUSPENDING ENFORCEMENT OF THE BOW AND ARROW ORDINANCE NO. 3616 PENDING CEQA REVIEW.

END OF CONSENT CALENDAR *** *** ***

REPORT TO COUNCIL:

5. BURBANK WATER AND POWER MONTHLY OPERATING REPORT:

Staff has prepared the Burbank Water and Power (BWP) Water and Electric Monthly Report regarding water quality and power issues for February 2003.

WATER UPDATE

Water quality during January met or exceeded State and Federal drinking water standards.

Water system tests for total Chromium and Chromium 6 were not taken in January. A status report on Chromium 6 studies, monitoring results for calendar year 2002, treatment technologies and pilot projects and regulatory standards is explained in the staff report.

Fiscal Year (FY) 2002-03 Year-To-Date Water Fund Financial Results as of January 2003.

The following table shows the systemwide reliability statistics for FY 2001-02 compared to the first seven months of FY 2002-03.

• FY 2002-03 Power Financial Results (preliminary) as of January 2003.