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FE BRUARY 2017 |

The Monthly Magazine of the League of California Cities®

®

In Desperate Need California’s Crumbling Streets and Roads p.12 California Voting Rights Act Reform Spurs Collaboration p.9 What Cities Should Know About the Adult Use of Marijuana Act p.17

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CONTENTS Calendar of League Events 2  3 President’s Message  Local Infrastructure Conditions: A Crisis Situation

In Desperate Need: 12 

California’s Crumbling Streets and Roads

By Eva Spiegel

 recent report underscores A the critical need in California to develop a transportation funding solution that will keep residents and the economy moving forward.

By JoAnne Mounce

We can either pay to fix and maintain  our infrastructure today or pay much more in the future to replace it.

6 City Forum

 Building Communications Infrastructure for First Responders

By Jeanette Kennedy

 he ability to communicate is critiT cally important for first responders in emergency situations. The First Responder Network Authority is working to deliver a broadband network for public safety agencies.

8 News From the Institute for Local Government

 Hayward’s Water Facility Ranked in Top 30 for On-Site Green Power Production The facility produces excess energy equivalent to approximately $400,000 annually and offsets energy costs for other city facilities.

California Voting Rights 9  Act Reform Spurs Collaboration

By Dane Hutchings

 he League and stakeholders T negotiated a reform package that balances increased civic outreach with cost mitigation for cities.

W hat Cities Should Know 17 

About Proposition 64, the Adult Use of Marijuana Act

By Tim Cromartie

 hanges in the law related to C marijuana raise many concerns for cities.

Job Opportunities 19  Professional Services 27  Directory

Cover photo: Street repairs in Hesperia. Photo courtesy of the City of Hesperia.


®

President JoAnne Mounce Council Member Lodi

1400 K Street Sacramento, CA 95814 (916) 658-8200 Fax (916) 658-8240

Second Vice President Rich Garbarino Council Member South San Francisco

Immediate Past President L. Dennis Michael Mayor Rancho Cucamonga

Executive Director Carolyn Coleman

For a complete list of the League board of directors, visit www.cacities.org/board.

Magazine Staff Editor in Chief Jude Hudson, Hudson + Associates (916) 658-8234; email: editor@westerncity.com Managing Editor Norman Coppinger (916) 658-8277; email: ncoppinger@cacities.org Contributing Editor Eva Spiegel (916) 658-8228; email: espiegel@cacities.org Advertising Sales Manager Pam Maxwell-Blodgett (916) 658-8256; email: maxwellp@cacities.org Administrative Assistant Kimberly Brady (916) 658-8223; email: kbrady@cacities.org Contributors Rony Berdugo Dan Carrigg Melissa Kuehne Corrie Manning Jennifer Whiting Patrick Whitnell

leaguevents February 8–10

City Managers’ Department Meeting, Monterey Geared to the unique needs of city managers, this conference covers issues affecting cities throughout California.

23–24

Board of Directors’ Meeting, Lodi The League board reviews, discusses and takes action on a variety of issues affecting cities, including legislation, legal advocacy, education and training, and more.

March 1–3

Associate Editors Carol Malinowski Carolyn Walker

Planning Commissioners’ Academy, Los Angeles Tailored to meet the needs of planning commissioners, planning directors, planning staff and other interested officials, the academy offers sessions on the major planning and land-use issues facing cities.

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22–24

Public Works Officers’ Institute & Expo, San Diego Designed for professionals at every career level, this conference covers the latest developments in public works.

Advertising Design ImagePoint Design For photo credits, see page 20. Western City (ISSN 0279-5337) is published monthly by the League of California Cities, 1400 K St., Sacramento, CA 95814. Subscriptions: $39.00/1 year; $63.00/2 years; student: $26.50; foreign: $52.00; single copies: $4.00, including sales tax. Entered as periodical mail January 30, 1930, at the Post Office, Los Angeles, CA 90013, under the Act of April 13, 1879. Periodical postage paid at Sacramento, Calif.

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Postmaster: Send address changes to Western City, 1400 K Street, Sacramento, CA 95814. Western City Trademark Reg. U.S. Pat. Off. ©2017 League of California Cities. All rights reserved. Material may not be reprinted without written permission. This issue is Volume XCIII, No. 2.

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First Vice President James Goodhart Council Member Palos Verdes Estates

League of California Cities

30–31

Policy Committee Meetings, Ontario The League’s policy committees review issues of interest to cities statewide and make recommendations to the League board of directors.

31

Legal Advocacy Committee Meeting, Ontario The committee reviews and recommends friend-of-the-court efforts on cases of significant statewide interest to California cities.

April 19

Legislative Action Day, Sacramento Get the latest updates on legislation affecting your city, and meet with your legislators.

20

Board of Directors’ Meeting, Sacramento The League board reviews, discusses and takes action on a variety of issues affecting cities, including legislation, legal advocacy, education and training, and more.

Event and registration information is available at www.cacities.org/events.

www.cacities.org


President’s Message by JoAnne Mounce

Local Infrastructure Conditions:

A Crisis Situation From the moment we open our front door to drive to work, bike to school or walk to the bus stop, Californians depend on safe, reliable local streets and roads. Concerns about the crumbling conditions of our streets, roads, bridges and transportation networks compelled the League to include infrastructure in its annual strategic goals every year since 2013. This year, the strategic priority addressing infrastructure has expanded to cover not only the transportation network, but also water-related needs:

The local roads we all rely on are deteriorating at an alarming rate. As the biennial 2016 California Statewide Local Streets and Roads Needs Assessment Report explains, on a pavement condition index (PCI) scale of zero (failed) to 100 (excellent), the average condition of California’s streets and roads is just 65, which is considered “at risk.” (For more about the report’s findings, read “In Desperate Need: California’s Crumbling Streets and Roads” on page 12.)

Dollars and Sense The 10-year funding shortfall to repair and maintain our roads is approximately $73 billion. The existing funding mechanisms to maintain state and local transportation and other infrastructure and accommodate a growing population have not kept pace with the demand. Furthermore, additional challenges constrain continued

Increase Funding for Critical Transportation and Water Infrastructure. Provide additional state and federal funding and local financing tools — such as reducing the vote threshold for local initiatives — to support California’s economy, transportation (streets, bridges, trade corridors, active transportation and transit) and waterrelated needs (supply, sewer, stormwater, flood control, beach erosion, etc.) including maintenance and construction. Support appropriate streamlining of stormwater regulations and CEQA to avoid duplication and reduce litigation.

Bridges statewide suffer from deterioration. The historic Sixth Street Bridge, built in 1932, crossed the Los Angeles River; it was demolished in 2016. A replacement bridge is slated for completion in 2020.

Western City, February 2017

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Local Infrastructure Conditions: A Crisis Situation, continued

local governments that want to fund infrastructure: constitutional provisions require two-thirds voter approval. These limitations are more restrictive than those imposed on state investments or school construction. State and federal funding to fix and maintain local roads and bridges has been inadequate for many years. Current state, local and federal revenue available to cities and counties totals about $1.9 billion per year. We need $3.5 billion per year just to maintain local roads in their current condition; approximately $7 billion per year is needed to bring roads into compliance with industry best practices. Without new revenues, the average condition of local roads will fall to 56 on the PCI scale — approaching failure. The projected backlog will grow by $20 billion in just 10 years.

Californians have a choice: We can either pay to fix and maintain our streets and roads today or pay much more in the future to replace them. To put this investment in context, Californians on average pay $540 for internet services, $780 for coffee drinks, $852 for a cell phone, and $1,032 for cable every year. By contrast, a motorist pays only $350 in taxes used to maintain the roadways crucial to everyday life, yet incurs an average of approximately $700 in vehicle maintenance costs as a result of driving on roads in poor condition. It makes fiscal sense to preserve and maintain our roads and bridges in good condition rather than allow them to deteriorate and then pay more to fix them.

Public Safety Implications The condition of our streets and roads is a matter of public safety. Police, fire and emergency medical services providers

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Reliable local streets and roads increase the safety and livability of our communities, whether you’re young or old, on foot or in a car, riding a bicycle, using a wheelchair or taking the bus. Repairs to local roadways cover more than just fixing potholes. Such repairs include improvements for sidewalks, stormwater control, gutters, curb ramps, traffic signs and medians, all of which make our roads and communities safer.

Infrastructure and Creating Jobs Modernizing local streets and roads will create well-paying construction jobs. Bringing such jobs into a community means the employees who are hired for these positions spend their dollars locally, boosting the local economy and contributing to tax revenues that support their city’s vital services. California businesses rely on local streets and roads to connect with clients, vendors and customers. Investing in road infrastructure is paramount to our continued economic recovery.

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all need safe, reliable roads so they can respond quickly to calls. A few minutes’ delay can be a matter of life and death.

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The local streets and roads system is critical to California’s economy — the sixth largest in the world. The “last mile” for moving goods from rail, airports and seaports occurs on the local system. An efficiently functioning, well-maintained local transportation network promotes economic sustainability and vitality.

The Environmental Connection California is a leader in the fight against climate change. Cities and counties are doing their part to build communities that provide multimodal transportation options for people to walk, bike and take transit. This reduces stress on local roads and promotes an active, healthy lifestyle. Modernizing local streets and roads will mean shorter driving time and less traffic

www.cacities.org


We can either pay to fix and maintain our streets and roads today or pay much more in the future to replace them. congestion for commuters and those making local trips, improve bicycle safety and make walking more appealing — all of which help reduce vehicle emissions. Furthermore, cars sustain less damage and use less fuel on well-maintained streets. Restoring roads before they fail will reduce construction time, which means less air pollution from heavy equipment and water pollution from site runoff.

Seeking Solutions Although voters in 51 of 56 cities and three counties that put add-on sales tax rates on the ballot in November 2016 approved these measures (including some that extended an existing “sunsetting” tax without an increase), locally generated revenues are invested in a variety of modes and new capacity projects, so local governments in California still need a statewide solution to address maintenance needs. Everyone who benefits from local streets and roads — including those using personal and commercial vehicles and transit, bicyclists and pedestrians — should help bear the cost of restoring them. In 2016, the League and other members of the Fix Our Roads Coalition (www.Fix CARoads.com) participated in many meetings, social media campaigns, press conferences and legislative briefings focused on the issue of our deteriorating infrastructure. Some progress appeared imminent when the chairs of the Senate and Assembly Transportation Committees, Sen. Jim Beall (D-San Jose) and Assembly Member Jim Frazier (D-Oakley), introduced legislation into the Special Session on Transportation

www.westerncity.com

that would have generated $7.4 billion annually for the state’s transportation network, but ultimately no deal was reached.

comprehensive transportation reform and funding package. Ideally, this package would:

In an unprecedented move, however, Gov. Brown, the speaker of the Assembly and the Senate president pro tem sent a letter to stakeholders that indicated their commitment to tackling this issue in early 2017. Sen. Beall and Assembly Member Frazier each introduced their own proposals on the first day of the new legislative session, as SB 1 and AB 1 respectively, sending a strong signal that the Legislature and administration are committed to a transportation solution.

• Increase revenue adequately to improve local streets and roads and state highways;

The League and the Fix Our Roads Coalition continue to work with Sen. Beall and Assembly Member Frazier, other legislators and stakeholders to pass a

• Include reforms to ensure the money is spent wisely; and • Guarantee the revenue is dedicated to transportation. By investing in our local road system, we are investing in the safety and well-being of all Californians and safeguarding an essential component of our economy. I urge you to stay focused on the transportation issue and visit www.cacities.org for the latest updates. ■

Western City, February 2017

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Building Communications Infrastructure for

First Responders by Jeanette Kennedy

Think back to the 2013 Boston Marathon bombing when police were searching for the suspects and paramedics were trying to communicate with hospitals to help the injured. The local Copley Square command center personnel stopped using cell phones due to congestion on commercial networks caused by thousands of residents who were simultaneously trying to reach their loved ones. Instead, public safety officials used land mobile radios to communicate with each other, but they acknowledged they could have benefitted from access to graphics, maps and other data that are available to the public every day.

FirstNet Addresses the Need for a Dedicated Broadband Network The ability to communicate is critically important for first responders during manmade or natural disasters, when incident commanders need to quickly convey vital data to every first responder and learn what resources are available from neighboring jurisdictions. The First Responder Network Authority (FirstNet) is working to deliver a broadband network with built-in interoperability to enhance public safety agencies’ ability to protect and serve. FirstNet was launched as the result of years of lobbying by public safety and state and local governments demanding reliable, high-speed interoperable communications. Created by Congress under the Middle Class Tax Relief and Job Creation Act of 2012 to ensure the establishment of a nationwide public safety broadband network, the act provides for licensing 20 MHz of dedicated spectrum to FirstNet for use by public

safety entities. The act also provides startup funding to create the network and the authority to ensure it comes to fruition.

Technology Can Untether Law Enforcement Officers From Their Vehicles “Today we have body-worn cameras and portable radios; the next step is a FirstNet smartphone that becomes the hub for technology,” says Los Angeles Sheriff ’s Department Chief Scott Edson. “That means I can take my mobile data computer out of the car; I can put in a touchscreen monitor and wirelessly replicate the screen of my smartphone on the screen inside the car — when I get in the car I have access to a big screen that talks to my FirstNet smartphone. When I get out of the car, I’m still connected to the FirstNet network, so whether I’m detaining someone next to or blocks away from my car or in someone’s house, I still have access to the network to do my job.”

Bridging Gaps in Communications In an initial meeting with FirstNet, Craig Johnson, manager of the Response Resources Unit at the California Emergency Medical Services Authority, shared some of the interoperable communications gaps the agency has had, including many different radio channels and the inability to transmit data, voice and images over the same network. The state’s goal is to have interoperable communications and health information exchange among all 3,600 ambulances, 60,000 emergency medical technicians and 20,000 paramedics. Ambulance teams also need more paramedicine and telemedicine capabilities, which could be possible through a dedicated public safety broadband network.

The additional benefits of implementing tech innovations in public safety include: • Directing personnel more precisely and efficiently to help improve responses to emergency situations; • Managing technology resources and personnel more effectively by providing intelligent insight into areas where they’re needed most; • Increasing responders’ situational awareness and maintaining their safety during emergencies to speed up the decision-making process; and • Sharing information across jurisdictions to help improve interagency communications and collaboration.

Next Steps “Just about everything we’re doing now is data driven. When I talk to the mayor, chief operating officer, city council or residents, anything I say has to be backed up with data,” San Diego Fire Chief Brian Fennessy told FirstNet staff at the International Association of Fire Chiefs Annual Conference and Expo in August 2016. “Our performance is being measured — whether it’s response times, dispatch times or how often we’re meeting with a community.” Smart mobile technology holds great promise for public safety as first responders strive to make communities safer places to live. First responders nationwide will benefit from using the next generation tools that a wireless network — with spectrum capacity dedicated to public safety — can provide. Collaboration among public safety agencies at the federal, state and local levels as well as public-private partnerships are

Jeanette Kennedy is government affairs executive for FirstNet and can be reached at Jeanette.Kennedy@firstnet.gov.

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League of California Cities

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key to the success of this effort. As cities and towns continue to think innovatively about how to improve the safety and well-being of their communities, FirstNet hopes to work with them to be part of the solution. For more information, visit FirstNet.gov and reach out to your state single point of contact, William D. Anderson, acting assistant director, California Governor’s Office of Emergency Services; phone: (916) 657-9482; email: william.anderson @CalOES.ca.gov. ■

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Western City, February 2017

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Hayward’s Water Facility Ranked in Top 30 for On-Site Green Power Production Cities of all sizes face pressure to make calculated infrastructure investments to balance community priorities with growth and environmental impacts while complying with regulations and legislation. The City of Hayward is addressing all of these challenges in award-winning style.

Council recognizes the importance of sustainability in all aspects of our practices and projects. In fact, ‘being green’ is one of the city council’s top four priorities. We are delighted to continue to be among the U.S. EPA’s top 30 entities nationwide for on-site green power generation.”

The Hayward Water Pollution Control Facility, a net producer of green energy, won an Acterra Environmental Award, the California Water Environment Association’s San Francisco Bay Wastewater Treatment Plant of the Year Award and the U.S. Environmental Protection Agency’s Green Power Leadership Award. The facility also contributed significantly to the quantifiable metrics that earned the city a 2015 Beacon Award from the Institute for Local Government.

Reducing Potable Water Usage and Waste

Facility Generates Excess Energy While most wastewater treatment facilities are energy intensive, requiring vast amounts of power to run pumps and equipment, this facility generates 11 million kilowatt hours (kWh) of power annually from solar and biogas energy systems, which produce power at 129 percent of its needs. This has earned the facility the distinction of being the highest generating account in the California Renewable Energy Self-Generation Bill Credit Transfer (RES-BCT) program, which allows local governments with one or more eligible renewable generation facilities to export energy to the grid and receive generation credits. In this case, the Hayward Water Pollution Control Facility produces excess energy equivalent to approximately $400,000 annually; this offsets energy costs for other city facilities, including City Hall. The money saved is invested in additional efficiency improvements, such as digesters that produce biogas for energy production. Hayward Mayor Barbara Halliday says, “Like many other cities, our budgetary challenges are ongoing. The Hayward City

In addition to its impressive energy production, the plant supplies 2.5 to 4 million gallons a day of treated wastewater as cooling water to a nearby natural gas power plant. This has reduced the power plant’s potable water use by the amount typically used by 13,000 to 21,000 homes annually. Another environmentally beneficial aspect of the Hayward Water Pollution Control Facility is the Fats, Oils and Grease (FOG) receiving station, which was constructed five years ago. The FOG station accepts over 100,000 gallons of waste per week that would otherwise be disposed in landfills or trucked to distant processing stations.

Addressing Workforce Development Hayward is also taking a leadership role in training the next generation of wastewater treatment operators. After experiencing a shortage of qualified candidates to work at the facility, the city instituted an operator-in-training program to help develop its own qualified plant staff. “Training is high on the priority list,” says Jeff Carson, manager of the Hayward Water Pollution Control Facility. “Staff is our main resource and critical to the operation.” For more information on the Hayward Water Pollution Control Facility and the city’s other sustainability initiatives, visit www. ca-ilg.org/hayward. ■

Join the Beacon Program The Beacon Program provides a framework for local governments to share best practices that create healthier, more vibrant and sustainable communities. It recognizes local governments that are reducing greenhouse gas emissions, saving energy and adopting policies that promote sustainability. For more information, visit www.ca-ilg.org/ BeaconProgram.

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League of California Cities

The Hayward Water Pollution Control Facility produces a significant amount of energy beyond its needs. This energy is used to offset energy costs for other municipal buildings.


A voter turns in his ballot in the California 2016 primary election at the Ventura polling station.

California Voting Rights Act Reform Spurs Collaboration by Dane Hutchings The adage “Don’t let the perfect be the enemy of the good” is often heard in policy-making. In other words, when it comes to addressing public policy issues, a legislative step in the right direction is often better than no step at all. Taking legislative steps to address challenging public policy issues requires that stakeholders from across the political spectrum come together in a concerted effort to achieve a common goal. The League works to protect local control and strike a balance that preserves local flexibility while creating workable, practical solutions for cities. In the 2015–16 legislative session, the League joined

several stakeholders to take steps toward addressing public policy challenges posed by the California Voting Rights Act of 2001.

to many factors, including voter turnout and voter registration, the disparity is nevertheless clear.

The California Voting Rights Act

The California Voting Rights Act (CVRA) was enacted in 2001 to address this disparity. The CVRA provides a legal cause of action for a protected “class” or minority group to challenge an at-large election system — one in which all voters in the city vote for the entire city council — if the system results in “racially polarized voting” in which there is a difference in the election choices of a minority group compared with the rest of the population.

As California becomes more diverse, one might assume that the composition of local elected officials would reflect that diversity. But statistics show that is not always the case. A 2015 report released by the Leadership California Institute revealed that Latinos make up nearly 39 percent of California’s population but hold only 16.5 percent of elected offices statewide. Though this may be attributed

continued

Dane Hutchings is a legislative representative for the League and can be reached at dhutchings@cacities.org. Corrie Manning, senior deputy general counsel for the League, also contributed to this article. www.westerncity.com

Western City, February 2017

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California Voting Rights Act Reform Spurs Collaboration, continued

Some argue that district-based elections — in which city council candidates from specified geographic districts are elected only by voters within their district — allow for the most equitable form of elections. Civil rights proponents assert that this method gives protected classes a better chance to elect a candidate of their choice because ethnic population is one of the factors considered when determining district boundaries, and transparency groups believe this method allows candidates to rely on a grassroots approach rather than outside interests to fund their campaign. Cities that conduct district-based elections currently cannot be sued under the CVRA.

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Over the past several years the League has fended off several attempts at the state level to expand various provisions of the CVRA. Private law firms have turned CVRA litigation into a cottage industry. These well-funded firms have been known to find unsuspecting plaintiffs, file lawsuits against agencies and quickly settle out of court — often for large sums of money. Since 2010, there has been a surge in lawsuits specifically targeting cities that has resulted in many cities converting to district-based elections. The number of cities conducting elections by district could jump by 155 percent in 2018, according to a recent study published by the Rose Institute of State and Local Government. The CVRA provides generous recovery for attorneys’ fees. Local agencies in recent years have paid an estimated $20 million in legal fees to plaintiffs’ attorneys; this number does not include internal costs expended by the agency during CVRA litigation. This type of unencumbered litigation constrains local governments and hampers their ability to provide critically important public services affecting health and safety.

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The methods that communities should use to increase voter turnout have been widely debated. State lawmakers have repeatedly rejected proposed methods ranging from ranked choice to cumulative voting. In 2016, Gov. Brown vetoed SB 1288 (Leno), which would have permitted general-law cities to adopt ranked-choice voting. It appears the state Legislature continues to believe that district-based elections are the best and most equitable election method; however, the League firmly believes that a one-size-fits-all approach to local governance simply does not work. Cities’ ethnic composition and population size vary from city to city and, therefore, local voters should determine their city’s voting method. But the CVRA remains the law, and to date, a local agency has never prevailed in a single CVRA lawsuit. Local agencies have either lost the suit or have been forced to settle out of court, often assuming liability for all attorneys’ fees expended on the case. In many cases, the city ultimately converted to district-based elections.

Legislative Steps When the 2016 legislative year began, two CVRA expansion measures remained “alive” from the previous year. AB 350 (Alejo) would have expanded litigation under the CVRA by allowing plaintiffs to sue a local agency even if it was conducting district-based elections. AB 278 (Hernández) would have abolished local control by mandating that every local jurisdiction with a population of over 100,000 convert to district-based elections. Both measures had strong momentum. “It was going to be challenging,” says Randi Johl, city clerk for the City of Temecula and legislative director for the City Clerks Association of California. “These measures were on their way to the governor’s desk and would have been devastating for cities. We needed to find a workable solution.” Johl and members of a CVRA group comprising city attorneys and League staff worked closely on strategizing a compromise to modify these measures and make them viable for cities.

After months of working with stakeholders that included the Governor’s Office, American Civil Liberties Union, Mexican American Legal Defense and Education Fund, Common Cause and others, the League succeeded in negotiating a CVRA reform package that achieved a balance of increased civic outreach with cost mitigation for cities attempting to switch from an at-large election system to a districtbased election system. AB 350 (Alejo) was amended from its previous form to a measure that provides a safe harbor period for cities to convert to a district-based system through the ordinance process. This measure also caps potential costs for cities that use the ordinance process to switch to a district-based system after receiving a demand letter from a potential plaintiff threatening suit under the CVRA. Upon receiving the letter, a local government has an initial 45-day safe harbor from litigation; during this time it can assess its needs and determine whether it wishes to contest the alleged violation or convert continued on page 27

when it comes to addressing public policy issues, a legislative step in the right direction is often better than no step at all.

Western City, February 2017

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In Desperate Need: California’s Streets and by Eva Spiegel

Street and road conditions in California continue losing ground without a significant investment from the state of California, according to the most recent California Statewide Local Streets and Roads Needs Assessment. The local portion of California’s transportation system comprises 81 percent of the state’s transportation network and moves the people, businesses and visitors in the world’s sixth largest economy.

The League, California State Association of Counties (CSAC) and the state’s regional planning agencies have now conducted six biennial assessments of the local road system, documenting its current status and the dollars needed to bring streets and roads into good condition. Released in late 2016, the survey once again confirms the continual decline of the system and underscores a severe funding shortfall.

Stark Numbers Show Road Risk The survey uses a zero to 100 point scale called the Pavement Condition Index (PCI) to quantify road conditions. Roads in the 71–100 range are considered “good,” those in the 50–70 range are “at risk” and 49 or below are ranked “poor.” The report presents findings both statewide and by county. Each county’s rating comprises all the city streets and county roads within that county.

Eva Spiegel is communications director for the League and can be reached at espiegel@cacities.org.

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League of California Cities

www.cacities.org


Crumbling Roads A few numbers from the 2016 report provide some startling insights about the status of California’s streets and roads: • 65 — the average condition of California’s local streets and roads on a scale of zero to 100; • $70 billion — the amount of additional revenue needed over the next decade to bring local streets and roads into a good and safe condition; • 56 — the average condition projected of California’s local streets and roads in 2026 if funding levels remain at the same level as 2016; and

• 6 percent and 22 percent — the number of roads in failed condition today and in 10 years without new investment in the system. The 2016 report surveyed California’s 58 counties and 482 cities and captured data from 99 percent of the state’s local streets and roads. It examined pavement as well as sidewalks, storm drains, traffic signs and bridges. The findings underscore the critical need in California to develop a transportation funding solution that will keep residents and the economy moving forward. The

Special Session on Transportation called by Gov. Jerry Brown in 2015 ended on Nov. 30, 2016, without action; however, lawmakers vowed to work on a transportation funding proposal in early 2017.

Data Reflects Worsening Conditions Over Eight Years The League, CSAC and the state’s regional planning agencies first collaborated in 2008 to conduct research that put accurate numbers on what was already evident. California’s local transportation system was in serious decline, and this coalition continued

www.westerncity.com

Western City, February 2017

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In Desperate Need: California’s Crumbling Streets and Roads, continued

believed a technical study conducted by engineers was needed to raise awareness of the system’s shortfalls and advocate for greater investment in the backbone of the statewide system. The 2008 assessment found the local street and road system had an average PCI of 68. That number dropped to 66 by 2014 and now stands at 65, according to the 2016 results. In the eight years of the survey, the number of counties with good pavement condition dropped from 16 in 2008 to just six in 2016. Today, 52 counties have pavement conditions in the poor or at-risk range, compared with 42 in 2008. The engineers conducting the analysis project that by 2026, 22 percent of all local streets and roads will be in failed condition if funding does not substantially increase for this infrastructure.

Fiscal Outlook for Roads Remains Treacherous The 2016 report found that over the next decade, without a significant new public investment, the local system faces a $73 billion funding shortfall to bring pavements into

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good condition, address deficient bridges and fix essential components such as storm drains, sidewalks and signage. An estimated $3.5 billion is needed annually just to maintain local streets and roads in their present condition; however, current funding lags at $1.9 billion per year. To bring local streets and roads to optimal condition would take an estimated $7 billion annually. The report forecasts that without any legislative action to increase transportation funding, the unmet funding need will grow by $20 billion in the next two decades. Readers of the 2014 report may notice that current funding has increased by $2 billion, which can be attributed to the fact that in recent years many jurisdictions have passed local revenue measures to support their local streets and roads because state and federal support is insufficient. Although the estimated 10-year shortfall has dropped from $78.3 billion in 2014 to $73 billion in 2016, road funding is still drastically lower than what is needed. The shortfall remains staggering, and even if the Legislature passes a transportation

package, it will not be enough to completely turn this tide. The estimated shortfall has shrunk for a number of reasons. Local agencies remain committed to being as careful and prudent with their resources as possible when completing public works projects. In addition, the technology of road construction continues to improve, with newer techniques being developed and implemented that save money and employ state-of-the-art recycling methods.

Setting the Stage for the Future of California’s Local Road System The Extraordinary Session on Transportation called by Gov. Jerry Brown in 2015 ended on Nov. 30, 2016, without the Legislature and the governor reaching an agreement on how to fund state and local highways, streets and roads. Just two weeks before the 2017–18 Legislature was sworn into office, Gov. Brown, Senate President Pro Tem Kevin de León (D-Los Angeles) and Assembly Speaker Anthony Rendon (D-Lakewood) sent a letter (at www.ca cities.org/roadsletter) to all transportation


stakeholders, in which they committed to tackling transportation funding early in the coming session.

Fix Our Roads Coalition that California is close to having a bipartisan sustainable transportation funding package.

The fulfillment of that promise began on Dec. 5, 2016, when the new Legislature came to Sacramento for a one-day session to take the oath of office and introduce some legislation. The 113 bills introduced that day included two addressing transportation funding; Senate Transportation Committee Chair Jim Beall (D-San Jose) introduced SB 1 and Assembly Transportation Committee Chair Jim Frazier (D-Oakley) introduced AB 1.

Additional details about SB 1 and AB 1, including the breakdown of funding, can be found at www.cacities.org/AB1SB1 Analysis. The League’s Transportation Hot Issues web page (www.cacities. org/TransportationFunding) offers additional resources.

The proposals include many of the core principles the League adopted with its partners in the Fix Our Roads Coalition (www.FixCARoads.com). Each proposal would generate approximately $6 billion annually for transportation, with $2.14 billion dedicated to local streets and roads.

Transportation affects almost every aspect of daily life, and a reliable transportation system is essential for public safety and the health of California’s economy. Local governments, transportation advocates and other stakeholders have been advocating for action in discussions with legislators and plan to keep this important effort going until a funding agreement is reached.

The proposals would also provide funding for the state highway system, self-help counties, active transportation programs, goods movement, loan repayment, transit and intercity rail. The early introduction of these proposals is a positive sign to the

A Reliable Transportation System Is Essential to California’s Future

Press Conferences Highlight Urgent Need The League’s New Mayors and Council Members’ Academy, held Jan. 18–20, 2017, in Sacramento, presented an opportunity for the newly elected city officials to hit the ground running as advocates for their cities. Shortly after the academy sessions began on Jan. 18, hundreds of newly elected California mayors and council members joined representatives from the California State Association of Counties and business and labor organizations in a press conference to discuss transportation funding with reporters. Members of the Fix Our Roads Coalition spoke about the dire consequences of not adequately funding California’s transportation infrastructure network. The League and the Fix Our Roads Coalition also conducted two similar press conferences that week in Los Angeles and San Jose.

The full report and interactive maps showing the street and road conditions for every California city and county can be found at www.SaveCaliforniaStreets.org. ■

Today, 52 counties have pavement conditions in the poor or at risk range, compared with 42 in 2008.

Western City, February 2017

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What Cities Should Know About

Proposition

64,

the Adult Use of Marijuana Act by Tim Cromartie

About This Article This article is provided as general information and not as legal advice. The law is constantly evolving, and attorneys can and do disagree about what the law requires. City officials interested in pursuing strategies described in this article should consult their city attorney.

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In November 2016, California voters approved the legalization of recreational marijuana use. This article presents some basic information for city officials on how the law has changed.

Personal Cultivation Under Proposition 64, cities can no longer ban indoor cultivation for personal use and must allow such cultivation of up to six plants per residence. However, cities can “reasonably regulate” indoor cultivation for personal use, if they are willing to undertake the responsibility. This may be an intimidating prospect, given that personal cultivation will in many instances be occurring in people’s homes, but a city may want to actively regulate this activity due to public safety and public health considerations. A key concern for cities will be whether local regulations are “reasonable” as specified in Prop. 64. Examples of reasonable regulations include but are not limited to: • Enacting a requirement for a residential cultivation permit, with an appropriate fee;

• Requiring as a condition of the permit that the permit holder agrees to periodic inspections (upon appropriate notice) to ensure that cultivation does not: Exceed the six-plant limit; Draw more electrical power from the grid than the building is designed to carry, thereby causing a fire hazard; Present a health hazard, such as mold accumulation; or Use more water than is reasonably required to cultivate six plants; and • Requiring compliance with the Fire Code and imposing reasonable limitations on the use of water. The issues of excessive water and electricity use could be doubly important if a city has levied a utility tax related to those resources, because spikes in such use may not be easily attributed to a specific residence — and thereby appropriately taxed — without the assistance of the relevant utility.

Other Cultivation and Commercial Recreational Marijuana Businesses Under Prop. 64, cities retain the authority to regulate and ban all other cultivation and all recreational marijuana businesses. Cities can decide whether to allow any recreational businesses in their communities. A decision to allow these businesses

should be accompanied by a relatively detailed plan for regulating them, which is addressed later in this article.

Taxation Prop. 64 pre-empted all state and local sales tax on medical marijuana; such taxes are no longer allowed. This is based on the assumption that marijuana used for truly medical purposes is not different from conventional pharmaceuticals, which are not subject to federal, state or local taxes. However, a host of other excise taxes may still be levied on medical marijuana, including taxes on cultivation and manufacturing. Prop. 64 imposes a state excise tax of 15 percent on recreational marijuana, so new local taxes on recreational marijuana should take the cumulative tax rate into account. Any pre-existing local sales taxes, including the 1 percent Bradley-Burns tax and transaction and use taxes, will apply to all recreational marijuana sales. Any business license taxes will also apply. A cumulative tax rate that is too high will stimulate black market activity and deny cities whatever revenue they anticipate from local marijuana taxes. For this reason, cities should ideally examine which other existing local taxes can produce marijuana-related revenue streams before levying a new marijuana-specific tax.

New Rules on Possession Prop. 64 makes it legal for any adult to possess up to 28.5 grams of cannabis or up to 4 grams of concentrated cannabis. Any person possessing an amount over these limits may be arrested and charged with a misdemeanor.

Deliveries Cities retain the ability to ban deliveries as a reasonable regulation on the operations of retailers, microbusiness and nonprofits — or any other recreational marijuana continued

Tim Cromartie is a legislative representative for the League and can be reached at tcromartie@cacities.org. Western City, February 2017

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What Cities Should Know About Proposition 64, the Adult Use of Marijuana Act, continued

Cities considering regulatory fees for marijuana businesses should take into account the actual costs of properly regulating such a business for one year, including issuing permits and conducting inspections and audits.

business licensed by the state under Prop. 64. Such a regulation would be within the scope of cities’ constitutional police power, which the courts have interpreted broadly and upheld consistently. As a fail-safe, cities also have the option of prohibiting the local permitting of the categories of licensees that are authorized to make deliveries, should that

become necessary as the only avenue to prevent deliveries within a city’s jurisdictional boundaries. However, cities that have enacted delivery bans cannot prevent the transport of marijuana through their jurisdiction using public roads if the transport originates from and ends in a location outside the jurisdiction.

Meet the Challenge of New Marijuana Laws

Matrix Consulting Group can help guide you through the changing regulatory environment in California for marijuana cultivation and retail sales.

It is critical for local governments to be prepared for changes in: Codes ■ Permitting and inspection processes ■ Fees

Courtney Ramos Senior Manager

cramos@matrixcg.net 650.858.0507

matrix consulting group

If there is no local prohibition on deliveries, Prop. 64 clearly allows for home deliveries of recreational marijuana. Delivery is included in the initiative’s definition of commercial marijuana activity, which is defined as “the commercial transfer of marijuana or marijuana products to a customer.”

Licensing State licensing of medical and recreational marijuana businesses is slated to begin in January 2018. The Medical Marijuana Regulation and Safety Act (MMRSA) requires evidence of local approval for a licensed activity to be submitted with an application for a state-issued medical marijuana business license; this is known as the dual licensing requirement. Prop. 64 differs from the MMRSA because it does not require evidence of local approval to be submitted with an application for a state-issued recreational marijuana business license. Instead, Prop. 64 simply provides that a state license cannot be issued if the activity is in violation of local ordinances. However, because evidence of local approval need not be submitted when applying for a state license for a recreational business, continued on page 21

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Display Advertising Call Pam Maxwell-Blodgett at (800) 262-1801 to place a display (boxed) ad or for rate and deadline information, or email admanager@westerncity.com. Website Job Postings

Just announced . . .

Public Works Director City of Signal Hill

Teri Black • 424.296.3111 Bradley Wardle • 650.450.3299

Display ads are posted on our website at no additional charge. But if you miss the deadline for getting your job opportunity ad into the magazine, you can post it on the Western City website right away. To post your job opportunity ad on our automated website, visit www.westerncity.com or contact Kimberly Brady, Western City’s administrative assistant; email: kbrady@ cacities.org; phone: (916) 658-8223.

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William Avery & Associates Management Consultants 31/2 N. Santa Cruz Ave., Suite A Los Gatos, CA 95030 408.399.4424 Fax: 408.399.4423 email: jobs@averyassoc.net www.averyassoc.net

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Police Chief, City of Fullerton, CA The City of Fullerton, CA (population 140,000) is a dynamic city with a vibrant downtown located in Orange County, approximately 25 miles southeast of downtown Los Angeles and 11 miles northwest of Santa Ana. The City is now seeking a strong, steady, and experienced leader to serve as its next Chief of Police. The successful candidate must possess a Bachelor’s degree from an accredited four-year college or university in Police Science, Law, Management, Business Administration, Public Administration, or a related field, and have eight (8) years of recent, continuous, progressively responsible municipal police service experience, including three (3) years at the Captain level in an organization comparable to Fullerton in terms of the scope of activity. A master’s degree or some completed graduate level coursework in a related field is preferred. Possession of a Peace Officers Standards and Training (POST) Management Certificate is required, as is a valid Class C California Driver’s License and acceptable driving record at time of appointment and throughout employment in this position. Candidates must be able to work flexible and extended hours to accommodate City needs and must successfully pass a POST pre-employment screening process. The City of Fullerton’s Conflict of Interest Code requires that the Chief of Police file financial disclosure statements in accordance with state and local laws. The current salary range for this terrific opportunity is up to $206,779 with a control point of $172,316, and is supplemented by a competitive benefits package. If you are interested in this outstanding opportunity, please visit our website at www.bobmurrayassoc.com to apply online. If you have any questions, please do not hesitate to call Mr. Fred Freeman at (916) 784-9080. Closing date February 3, 2017.

phone 916•784•9080 fax 916•784•1985 www.bobmurrayassoc.com

Western City, February 2017

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CITY OF SOUTH EL MONTE

City of Lake Forest City Manager Located in the heart of South Orange County, the City of Lake Forest has the charm of a small community with the convenience of a large metropolitan city. The City Manager serves as the administrative head of the City under the direction of the City Council. Functioning as the Chief Executive Officer, the City Manager is responsible for the daily operations of the City and services to the community. The new City Manager will work with the City Council in their effort to update the City’s vision and priorities for the future. The City will be updating its General Plan and 5-Year Strategic Business plan in 2017. It is a very exciting time in Lake Forest for a professional who wants to help lead the City towards an even brighter future. Candidates must have a Bachelor’s degree in public administration, business administration, or a related field from an accredited college or university. A minimum of ten years prior local government experience as a City Manager, Assistant City Manager, or Executive in a comparable city is preferred. Experience in a nonprofit or private organization that provides relevant background will be considered. A Master’s degree in public administration or business administration is desirable. The salary for the position is established by the City Council and will be dependent on the qualifications and experience of the selected candidate. Interested candidates should submit a resume, compelling cover letter, at least 5 work related references, and current salary via email to apply@ralphandersen.com by February 20, 2017. Confidential inquiries welcomed to Dave Morgan at 916-630-4900. Detailed brochure available at www.ralphandersen.com. Ralph Andersen & Associates

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South El Monte, “The City of Achievement,” is a vibrant and thriving community, located in the heart of the San Gabriel Valley, just minutes from downtown Los Angeles. The City has lived up to its motto, “Growing Our Future,” in the last several years; the mid-size City has significantly flourished with a spur of community developments. South El Monte is a tight knit community, which offers a diverse age of residents with the same dedication and spirit that the City was founded upon.

CITY MANAGER

The new City Manager will work closely with the City Council and will provide exceptional service to residents of the City and will focus on quality of life considerations that are vital to the community. A relationship based, active and engaged leadership style will be essential in this role, as the Manager will is expected to work cohesively with city staff in the delivery of city services.

William Avery & Associates Management Consultants 31/2 N. Santa Cruz Ave., Suite A Los Gatos, CA 95030

Ideally, the new City Manager will be a seasoned public sector 408.399.4424 professional with strong management and administration skills and Fax: 408.399.4423 will possess and model the highest level of integrity. Familiarity email: jobs@averyassoc.net with diverse communities and their issues along with background www.averyassoc.net as a City Manager, Assistant/Deputy City Manager or other public sector executive are highly desirable for this position. For more details, please see the formal job announcement, which includes salary and benefits details and final filing date at www.averyassoc.net.

Assistant City Manager, City of Vacaville, CA The vibrant City of Vacaville is seeking an Assistant City Manager. A diverse population of 93,899 residents call Vacaville home, work to retain its “small town feel”, and pride themselves on a high level of community involvement. The ideal candidate is a dedicated professional who established positive working relationships with staff, department heads, elected officials, and the community. The City is looking for a candidate who will display a high degree of political sophistication, while remaining apolitical, with a strong sense of personal and professional ethics and integrity. Candidates must possess the equivalent to a Bachelor’s degree in business or public administration, or a closely related field. Possession of a Master’s degree is desirable. At least seven (7) years of executive level municipal management experience is required. A background that includes work in the economic development and/or planning field(s) is desirable. Experience in the negotiation of development agreements and exposure to the municipal budget process would be beneficial. The annual salary range for the Assistant City Manager is $179,081-$217,658; placement within this range is dependent upon qualifications. If you are interested in this outstanding opportunity, please apply online at www.bobmurrayassoc.com. Contact Regan Williams at (916) 784-9080 should you have any questions. Closing date February 17, 2017. phone 916•784•9080 fax 916•784•1985 www.bobmurrayassoc.com

Photo/art credits

Page 12: Courtesy of the City of Hesperia

Cover: Courtesy of the City of Hesperia

Page 13: Rootstock/Shutterstock.com

Page 3: Philip Pilosian/Shutterstock, Inc.

Page 14: Vadim Gouida/Shutterstock.com

Page 5: Top, Andrei Stanescu/Shutterstock.com; bottom, Thad Zajdowicz/Shutterstock.com

Page 15: Vodograj/Shutterstock.com

Page 7: Anton Prado Photo/Shutterstock.com Page 8: Courtesy of the Institute for Local Government and City of Hayward Page 9: Graphic, Milena_Bo/Shutterstock.com; photo, Joseph Sohm/Shutterstock, Inc. Page 11: Barbara Kalbfleisch/Shutterstock.com

Page 16: Graphic, ILeysen/Shutterstock.com; photo: Yarygin/Shutterstock.com Page 18: Roxana Gonzalez/Shutterstock.com Page 21: Joshua Rainey Photography/Shutterstock, Inc. Pages 22–23: Mary981/Shutterstock.com Page 25: Roxana Gonzalez/Shutterstock.com

www.cacities.org


What Cities Should Know About Proposition 64, the Adult Use of Marijuana Act, continued from page 18

there is no clear mechanism for providing state agencies the required information, namely whether the activity for which the license is sought is in violation of local ordinances. Prop. 64’s approach places the responsibility on state agencies to do additional legwork to obtain this information and adds an unnecessary hurdle to the state licensing process. The League plans to ask for legislation requiring evidence of local approval to be included with all applications for recreational marijuana business licenses, consistent with the dual licensing regulatory protocol established in the MMRSA.

Regulating Marijuana Businesses: A Local Regulatory Checklist

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Director of Planning & Community Development City of Santa Cruz, CA

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he popular seaside community of Santa Cruz (pop. 64,632) lies 75 miles south of San Francisco along the San Lorenzo River between the Santa Cruz Mountains and Monterey Bay. The Planning & Community Development Department is supported by a staff of 36.5 FTE and an annual operating budget of $7.2 million. The department is organized across four divisions: Current Planning, Advance Planning, Code Compliance, and Building & Safety. The ideal candidate will be a dynamic and highly strategic leader. In addition, he/she will be an empowering and energizing people manager with exceptional interpersonal skills and a history of effective relationship building. Deep knowledge of contemporary planning principles will be expected. Six (6) years of progressively responsible experience in urban planning, which includes at least two years of management experience, is required. A Bachelor’s degree in Planning, Public Administration, or related discipline is required. A Master’s degree and/or AICP certification is preferred. Salary range $142,068 - $181,284 (additional 2% increase pending). Compensation also includes competitive benefits package. This recruitment will close at midnight on Monday, February 20, 2017. For detailed brochure and to apply online, visit www.tbcrecruiting.com.

Cities have some basic issues to consider when contemplating whether to adopt a local regulatory structure for recreational marijuana. First, there is little appreciable difference between medical marijuana ordinances and those for recreational marijuana, other than the adjective used continued

Teri Black • 424.296.3111 Bradley Wardle • 650.450.3299

CITY OF EL SEGUNDO El Segundo, a Los Angeles County beach city of almost 17,000, is located on the Santa Monica Bay. Residents enjoy classic California living with ocean breezes and a healthy outdoor lifestyle. El Segundo balances an ideal business environment with a small town community to provide a high quality of life for its residents and employers. There are tree-lined neighborhoods with award winning schools, parks and athletic fields. A wealth of dining and retail experiences are thriving that range from historic Main Street to recently constructed lifestyle shopping centers.

CHIEF OF POLICE

The Chief of Police will oversee a high service level department and will direct and manage the development of comprehensive plans to meet the City’s future needs for public safety services. The Chief is an at-will employee reporting to the City Manager. The new Chief will have William Avery & Associates a Bachelor’s degree in Police Science, Public Administration or a directly Management Consultants related field, and at least 10 years of professional crime prevention, law enforcement, and police administration experience including five or more 31/2 N. Santa Cruz Ave., Suite A years of police management and supervisory experience (or an equivalent Los Gatos, CA 95030 combination of education and experience). 408.399.4424

Fax: 408.399.4423 The Public Works Director oversees a department that provides the full array email: jobs@averyassoc.net www.averyassoc.net of public works services including water and wastewater, streets, facilities, equipment and vehicle maintenance, and engineering. The new Public Works Director will have at least five years well-rounded experience in municipal Public Works activities including four years tenure at the division management level or higher, including familiarity of the full range of public works and requires a BS/BA degree in a related field. Registration as a Professional Engineer is desirable.

PUBLIC WORKS DIRECTOR

INFORMATION SYSTEMS DIRECTOR

The Information Systems Director is a newly created role that requires an innovative and service oriented business partner that provides pragmatic and timely technology and business solutions to city operations. The Director will work closely with other city executives in defining, prioritizing and addressing city information technology needs. The position will require a background that includes six or more years of progressively responsible experience in the administration of IT systems with at least three of those years at the supervisory or management level. A Bachelor’s degree in a related field is required. For more details, please see the formal job announcements, which include salary and benefits details and final filing dates at http://www.averyassoc.net/current-searches/.

www.westerncity.com

Western City, February 2017

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What Cities Should Know About Proposition 64, the Adult Use of Marijuana Act, continued

Adopting Local Regulations Other Than Bans

to describe marijuana. Second, some of the rules are different for recreational marijuana — principally that indoor cultivation for personal use can no longer be banned, and the state now pre-empts the imposition of local sales tax on medical marijuana.

Any city considering adopting a regulatory ordinance for medical marijuana should look at Oakland’s ordinance, which when first enacted was relatively comprehensive but has recently been updated to reflect

the various licensing categories in the MMRSA. You can find Oakland’s original ordinance at www.cacities.org/Medical Marijuana (click the Ordinances tab). The League website also provides ordinances from several other cities, which represent a variety of local regulatory approaches.

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CITY MANAGER

City of Diamond Bar, California Annual Salary: DOQ + Excellent Benefits

Incorporated in 1989, Diamond Bar is a financially stable, culturally diverse community (population of 57,000) on the eastern edge of Los Angeles County within minutes of Orange, Riverside and San Bernardino counties. With an operating budget of $26 million, the City has award-winning school districts, abundant recreational opportunities, and an unparalleled commitment to public safety. The ideal candidate will be a public sector generalist, strong communicator and a diplomatic leader responsive to the City Council and public. The position requires at least five years of progressively responsible municipal government experience, preferably in California, in the planning, organization, coordination and administration of city operations at the Department Head level or higher. A Bachelor’s Degree and the possession of a driver’s license is required. For a detailed job brochure and to submit an online application, cover letter and resume please visit the City’s website at: www.diamondbarca.gov by 11:59 p.m. on March 12, 2017. EOE

Police Chief California State University, San Marcos, CA California State University, San Marcos (CSUSM) is seeking a Police Chief who will provide leadership, management, and supervision. Today, more than 15,000 students attend the 304-acre, state-of-the-art main campus, which is nestled in the foothills of San Marcos, California (norther San Diego County). CSUSM Police Department is the primary agency for reporting and investigating criminal activity occurring on the CSUSM campus. The selected Chief is required to have a Bachelor’s degree in police science, criminology, public administration, or a related field, plus eight (8) years of progressively responsible law enforcement or public safety work experience including a minimum of four (4) years leading and/or managing the work of others at the level of a Lieutenant or higher. A Master’s degree, completion of the FBI National Academy or POST Command College is preferred. Current Advanced POST certification is also preferred or the Chief must be able to satisfy all POST standards within the first two years of employment. Experience in university policing is preferred, but not required. Salary is commensurate with the background and experience of the individual selected. If you are interested in this outstanding opportunity, please apply online at www.bobmurrayassoc.com. Contact Joel Bryden at (916) 784-9080 with any questions. Filing deadline is February 24, 2017. phone 916•784•9080 fax 916•784•1985 www.bobmurrayassoc.com

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League of California Cities

A local regulatory fee must be established at the outset. It is a good idea to survey what other cities are doing in this area. The regulatory fee may take the form of an annual business license fee and should be linked as much as possible to the city’s actual cost of regulating one of these businesses for one year. For example, the City of Oakland’s marijuana business license fee is $60,000 per year, and the city can document that this amount is what it costs the city to properly regulate one marijuana business for one year; the fee covers issuance of permits, inspections, audits and so forth.

Law Enforcement and Fire Services Input City officials should discuss with the local Police Department and local Code Enforcement Department their responsibilities under any local regulatory scheme and their comfort level related to executing those responsibilities. The local Marijuana businesses deal in large amounts of cash, which presents unique challenges for cities that opt to regulate them.


Fire Department should also be consulted if there is any possibility that the city will permit manufacturing facilities. In general: • Law enforcement agencies tend to advise against allowing mobile dispensaries or delivery services because it is difficult to track their movements and activities; • Police may prefer a designated brickand-mortar dispensary, whether for medical or recreational marijuana; and • If a city opts to allow delivery services, they should be under the ownership and control of a dispensary, as required by the MMRSA.

Managing the Local Regulatory Burden Any city thinking about adopting regulatory ordinances for marijuana businesses should consider first adopting a per capita formula or a numerical limit on how many dispensaries it will ultimately have — for example, it can be one per 15,000 residents or some other formula. Limiting the number of marijuana businesses in its jurisdiction, by whatever means, will automatically make it easier for the city to regulate them, including conducting audits.

Prop. 64 pre-empted all state and local sales tax on medical marijuana; such taxes are no longer allowed.

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City of Mendota

DIRECTOR OF ADMINISTRATIVE SERVICES Salary: $60,010 – $72,942 (currently under review) annually, plus excellent benefits The City of Mendota is pleased to announce it is recruiting for the position of Director of Administrative Services. Mendota is nested in the heart of California’s Central Valley and located in Fresno County. The City has a population of over 11,000 residents and bears the destination Cantaloupe Center of the World as agriculture is an important part of the City’s economy. The Administrative Director will be a highly motivated individual with knowledge of and experience in administrative services and have the ability to adeptly manage a multitude of departments simultaneously. Ideal Qualifications: » Three (3) years of increasingly responsible professional, supervisory, and administrative experience in personnel or closely related field. » Bachelor’s Degree in Public Administration, Business Administration or related field. » Knowledge and experience in human resources, risk management, municipal aviation, and grant management. » Ability to provide leadership of the department with a clear focus on the duties and responsibilities of administrative services for the City. Obtain an application online at www.cityofmendota.com. Final filing date: Open until filled. EOE/ADA

continued

Current opportunities . . .

Public Works Director City of Signal Hill

Finance Director City of Napa

Deputy City Managers Assistants to the City Manager City of Palo Alto

Check our website for detailed information – www.tbcrecruiting.com Teri Black • 424.296.3111 Julie Yuan-Miu • 925.820.8436 Bradley Wardle • 650.450.3299

Western City, February 2017

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What Cities Should Know About Proposition 64, the Adult Use of Marijuana Act, continued

businesses deal only in cash and will continue to do so until the federal government reclassifies marijuana as something other than a Schedule 1 drug. Audits can determine or verify gross revenues, provide a fairly accurate picture of the volume of business and extrapolate how much revenue a local tax will yield for the city.

This is important because it accomplishes two things immediately: 1. Automatically limits the city’s overall regulatory burden; and 2. Makes it less onerous to perform audits of marijuana businesses. This is a critically important activity. Marijuana J

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CITY OF MONTE SERENO Monte Sereno is located approximately 50 miles southeast of San Francisco and just minutes from the heart of Silicon Valley. Because of the City’s beauty, location and superior schools many Silicon Valley executives have chosen Monte Sereno as their home. The community remains entirely residential, with no commercial zoning and 99% single-family housing, and is an upscale Silicon Valley bedroom community with a population of about 3,400 residents. The City Manager is appointed by the City Council and is responsible for carrying out the policy direction of the City Council in accordance with municipal law for the benefit of City residents. Specific duties of the City Manager include overseeing the departments, CITY preparation and administration of the annual William Avery & Associates MANAGER City budget and other key projects. The new Management Consultants City Manager will be a collaborative manager who effectively delegates to and develops and empowers a small, close- 31/2 N. Santa Cruz Ave., Suite A Los Gatos, CA 95030 knit staff; works well with partner agencies and contractors who provide key services to the community; and places a high value on communication 408.399.4424 with Council, community, partner agencies, and staff. Fax: 408.399.4423 email: jobs@averyassoc.net

The new City Manager will be an experienced and accessible public www.averyassoc.net sector executive with excellent management and administration skills and an unquestionable reputation for integrity and transparency. A background as a City Manager, Assistant/ Deputy City Manager or other public sector executive is highly desirable for this position. For more details, please see the formal job announcement, which includes salary and benefits details and final filing date at www.averyassoc.net/current-searches/.

Seeking Government Real Estate Professional Carpenter/Robbins Commercial Real Estate, Inc., located in San Ramon, CA, specializes in government real estate and seeks an individual to work with Cities and Counties to execute real estate projects on their behalf. The ideal candidate should understand the internal workings of the city and county real estate, planning, economic development departments as well as an understanding of real estate transactions and consulting services. Work includes, but is not limited to, lead and/or assist in the execution of government RE assignments including acquisitions, dispositions, consulting, feasibility studies, report preparation, and property searches. Strong written and verbal communication a must, current CA Real Estate License a plus. Please provide salary requirements and resume to: Alyce Rados, President at arados@crcre.com.

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All-Cash Payments: A Bona Fide Security Issue Cities that opt to regulate medical or recreational marijuana businesses should have a procedure in place for receiving and depositing large all-cash payments from them. This must include making appropriate security arrangements for payment of annual business license fees and tax payments. It may also include surveying local financial institutions to see which ones are willing to accept money from marijuana businesses. Credit unions may be more receptive than banks, but they too are regulated by a federal entity, the National Credit Union Administration, and may be reluctant to take any action that could be perceived as violating federal law or regulations. (For more information, read “Why Banks Don’t Serve Marijuana Businesses” at www.westerncity.com.)

Going Forward In the coming weeks and months, there will likely be at least one major piece of legislation that seeks to reconcile the MMRSA with Prop. 64. As noted earlier, the League will push for a provision that requires evidence of local approval as part of the application process for recreational businesses. Many other issues will be raised, including defining terms such as “ownership” and “premise,” establishing limits on cultivation acreage, and deciding whether to impose a requirement for independently owned distributors who will ensure the collection of the state excise tax, oversee product packaging and verify product testing. Finally, it should be noted that the result of the 2016 presidential election places the implementation of Prop. 64 in doubt. It is not yet clear whether the next U.S. attorney general will make enforcement activities against recreational marijuana a priority in the states that have legalized it. The only certainty as Western City goes to press is that bipartisan consensus remains intact in Washington, D.C., on

www.cacities.org


Butane extraction used to manufacture concentrated marijuana-derived products, such as the resin shown here, has raised health and safety concerns. the issue of continuing to deny funding to federal enforcement efforts against medical marijuana. For that reason, depending on the federal government’s actions under the Trump administration, California could see a resurgence in medical marijuana in the coming months, and all efforts to move forward with the implementation of recreational marijuana legalization could be on hold indefinitely. The League will keep its members apprised of the latest developments as the legislative session progresses. For more information, visit www.cacities.org. ■

Special Notes on Testing Facilities and Manufacturing Testing Facilities. In accordance with both the MMRSA and Prop. 64, testing facilities should not be engaged in any other activity. Manufacturing. Until recently, all forms of butane extraction in California were illegal. (Butane extraction is a process used to create a concentrated product containing large amounts of THC, the intoxicant in marijuana.) Consequently many cities were unwilling to issue permits for manufacturing of any kind and, in some cases, those that did saw those facilities swiftly shut down by law enforcement. AB 2679 (Cooley, Chapter 828, Statutes of 2016) is a new law that addresses this problem by clarifying specific requirements both for a legal form of butane extraction and for extraction using nonvolatile solvents. This clarification is important because the MMRSA clearly anticipated extraction operations would occur as part of manufacturing activities. The League and the California Police Chiefs Association supported this legislation after confirming that the California Fire Chiefs Association was not opposed to the bill.

www.westerncity.com

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Finance Director City of Napa, CA

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enowned as the seat of California’s premier winemaking region and culinary destination, the dynamic City of Napa (pop. 80,000) is also characterized by its rolling hills, near-perfect weather and beautiful open space. This full-service municipality is supported by a FY2016-17 General Fund Operating Budget of $79.2 million (total budget $188.8 million) and a workforce of approximately 460. The Finance Department is organized across five divisions: Administration, Accounting & Auditing, Revenue, Purchasing, and Information Technology divisions. Napa is seeking an inspiring and engaged professional to lead its 35-member finance team. The ideal candidate will be an exceptional people manager and mentor who is also known for being a collaborative business partner. He/she will be well-versed in contemporary uses of technology and may bring previous experience with system conversions/upgrades. Five years of local government finance experience, which includes at least three years of management experience, and a Bachelor’s degree are required. A Master’s degree and/or CPA certification is preferred. Salary range $137,093 - $165,645. Placement within the range will be DOQE. A competitive benefits package supplements salary. Closing date: Sunday, February 12, 2017. For detailed brochure and to apply online, visit www.tbcrecruiting.com. Teri Black • 424.296.3111 Julie Yuan-Miu • 925.820.8436

Economic and Development Services Director City of Costa Mesa, CA The City of Costa Mesa (population 110,000) encompasses 16 square miles and is approximately one mile from Southern California’s incomparable coastline. Costa Mesa has established a reputation as one of the area’s leading cultural and business centers. The City is now seeking a dynamic, innovative, and experienced professional to lead its Economic and Development Services Department. A Director with a proven track record of successful leadership and ability to effectively cultivate and maintain cooperative working relationships within the organization and the community will be ideal. The successful candidate will possess outstanding oral and written communication skills and be comfortable interacting with internal and external stakeholders on a regular basis. A leader who will embrace working collaboratively alongside an active Planning Commission will be valued. At minimum, candidates must possess a bachelor’s degree from an accredited four-year college or university with major course work in planning, public administration, engineering, the social sciences, or a related field, and have extensive progressively responsible experience in the fields of city planning, redevelopment, and closely related fields, with considerable supervisory and administrative experience. Certification by the American Institute of Certified Planners (AICP) is also preferred. A Master Code Professional or Certified Building Official will be a plus. The annual salary range for this position is $138,612 - $185,760, DOQ. This salary range is currently under review. If you are interested in this outstanding opportunity, please visit our website at www.bobmurrayassoc.com to apply online. Please contact Ms. Valerie Phillips at (916) 784-9080 should you have any questions. Preliminary screening will begin following the application deadline of February 17, 2017.

phone 916•784•9080 fax 916•784•1985 www.bobmurrayassoc.com

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PeckhamMcKenney &

Presents Outstanding Career Opportunities

Town Manager Town of Basalt, CO

The Town of Basalt, population 3,950, is located approximately 18 miles north of Aspen, Colorado, part of the incredible Roaring Fork Valley, including the communities of Snowmass Village, Carbondale, and Glenwood Springs. The natural beauty of the area lends itself to a plethora of outdoor experiences and adventures making the valley a world-class destination, not only in the winter but in the summer, as well. With 30 employees and a budget of just under $10 million, Basalt functions as a Council-Manager form of government. The Mayor is the Town’s chief elected official and presides over the seven-member Town Council, who set policy. The Town of Basalt is seeking an individual that is highly motivated, energetic, and a skilled strategic thinker and financial planner to serve as its next Town Manager. Bachelor’s degree required, Master’s degree preferred. Salary to be negotiated based on qualifications and experience with comprehensive benefits. Filing Deadline is March 13, 2017. Contact Phil McKenney.

City Manager

City of Centennial, CO

The City of Centennial is located in the south metro Denver area, yet its rolling hills and open space provide a welcome haven from the city bustle. Centennial is one of Colorado’s newest cities, yet with a population of over 107,000, it is the state’s 10th largest city. Residents enjoy a very high quality of life, including highly-rated public schools, over 500 acres of public parks, 60 miles of trails, and the award-winning Centennial Center Park with its popular outdoor amphitheater. Centennial is a “contract city” with only 60 core employees and a total budget of just under $70 million. The city is financially strong and debt free, recognized as a cutting-edge organization delivering effective and efficient city services. The new City Manager will have untouchable integrity, be strong in public-private partnerships, with excellent interpersonal skills and high emotional intelligence. Bachelor’s degree required, Master’s degree highly desirable. Salary in the low 200’s depending on qualifications and experience with excellent benefits. Filing Deadline is March 13, 2017. Contact Phil McKenney.

City Manager

City of Walnut Creek, CA

Walnut Creek is a thriving community of 70,000 residents that offers a distinctive blend of urban flair, suburban grace, and peaceful wilderness. With an exceptional quality of life that has become a hallmark of the city, Walnut Creek continues to show strength as a major employer; a successful retail, arts, and entertainment hub; and a safe community with attractive residential neighborhoods. With a staff of 360 and FY 2016/17 budget of $137.5M, the City Manager will work collaboratively with the 5-member City Council in addressing issues relating to traffic, parking, aging infrastructure, housing affordability, and homelessness. Proven local government leadership experience with a solid understanding of municipal budgeting and finance, workforce housing, homelessness, and funding mechanisms to address infrastructure improvement is desirable. Bachelor’s degree in public or business administration or a related field is required; Master’s preferred. Prior salary was $235,380; appointment DOQ. Filing Deadline is March 13, 2017. Contact Bobbi Peckham.

Upcoming Opportunities City Clerk, City of Redwood City, CA Assistant County Executive Officer, Placer County, CA Please send your cover letter and resume electronically to:

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California Voting Rights Act Reform Spurs Collaboration, continued from page 11

to a district-based system through the ordinance process before a lawsuit can be filed. Should the city choose to convert to a district-based system through the ordinance process, the city is afforded an additional 90-day safe harbor from litigation to comply. Thus, if a city complies with the provisions of AB 350, it will enjoy a safe harbor from litigation throughout the public hearing and ordinance process (up to 135 days if the city received a demand letter, 90 days if no demand letter was received).

district-based elections through the ordinance process. This contrasts starkly with previous legislative attempts that sought to mandate that every city convert to district-based elections. For cities that choose to place the question of switching to district-based elections on the ballot for voter approval, AB 278 (Hernández), which was amended from a district conversion mandate, now provides important guidance and changes to the ballot process that will reduce costs and improve public engagement.

The other two measures in the reform package are equally important in offering options for cities. AB 2220 (Cooper) provides all cities, regardless of population size, the flexibility to convert to

These companion measures not only create a mechanism for cities to convert quickly to a district-based election system, but also provide a fiscally responsible way for cities to convert — should they choose to do so.

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Conclusion Although this reform package does not eliminate entirely the challenges that the CVRA presents for cities, it represents a collaborative effort among a broad and diverse coalition of stakeholders, and it limits financial liability and retains local control for cities. The League applauds Gov. Brown, Assembly Members Luis Alejo and Jim Cooper and the wide range of stakeholders who came together on these measures. ■

More Resources Online For links to the studies cited in this article and related resources, read the online version of this article at www.westerncity.com.

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Bobbi C. Peckham • Phil McKenney

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Western City February 2017