June 28, 2011 - Laguna Hills City Council Meeting
All Council Members were present
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*** City Council Meetings have now officially advanced one more step to Video as well as Audio on the City Web Site - There was no announcement about this but we were able to see video of this meeting on July 1, by clicking on http://www.ci.laguna-hills.ca.us/  then clicking on "agendas and minutes," then "city council," then choose the June 28 meeting and click on "audio" to see and hear the meeting. - Continue to see information for Win-Win -Wednesdays under - INFORMATION, COMMENTS QUESTIONS and CONCERNS from Watch Dog Readers: Contact Laguna Hills City Council Members at - ccouncil@ci.laguna-hills.ca.us  
Headline for tonight's meeting - The Final Report from the City of Laguna Hills Employee Compensation Study - see below under Administrative Reports Item 7.2.1

PRESENTATIONS and PROCLAMATIONS – None

PUBLIC COMMENTS - Paul Stanislaw, Laguna Hills Resident since 1993 stated he had a request. He said he has been coming to these meetings for 3 or 4 months and enjoys the presentations but after he hears them and has questions or comments he doesn't get to make them because of the way the meetings are set up.  It always seems he has to make comments prior to hearing the information. He added he would like to see the procedure changed so that the public could make comments and ask questions after hearing the presentation. Mayor Songstad responded that when an item is on the agenda there is a staff report, then the council asks questions and then the public can ask questions or make comments. Mr. Stanislaw made a point about the last meeting and the signage application confusion that was not clarified until the presentation was actually completed by the applicant. Mayor Songstad continued that the public can fill out a "Request to Speak" and make comments to staff after the report and after the council members have asked their questions. He added that you don't get to ask a question of an applicant who is applying for something like a Conditional Use Permit. Mayor Pro-Tem Carruth pointed out that people who come here frequently check the agenda posted on the City web site, prior to coming, where they can also get the staff reports. Then when they get here they can check the final printed agenda, fill out a request to speak and speak when the item comes up. However, if you here listening to the meeting and are struck by something that was said and want to speak about that you can approach the dais, ask to be recognized and fill out the request to speak at that time. Mr. Stanislaw thanked the Council for their time and said he was glad to know this. Council Member Lautenschleger added that the public can comment on every item in the agenda as the item comes up except the consent calendar which can only be commented on in the beginning "Public Comments" section of the Agenda unless one of those items is pulled from the agenda and then comments can be made at time.

(**Editor's Note - We are also very glad to hear this stated publically and will keep it in mind because we have previously seen members of the public denied the opportunity to speak at times other than the times listed in the agenda for "Public Comments.")

LHHS STUDENT LIAISON REPORT by Kylie West alternate Jeena Bonutto. - No more reports until school resumes in the Fall.

MINUTES - Recommendation that the City Council Approve the Minutes of the previous City Council Meeting for publication on the city web site. The minutes from tonight's meeting will not be approved for publication until the next city council meeting so there is a long delay for the public related to timely documentation of information from the city.

CONSENT CALENDAR - Warrant Register = $806,911.42

Items of interest from the Warrant Register - None

Items of Interest from the Consent Calendar: **Items on the Consent Calendar are placed there by City Staff:

Item 4.3- Records Retention Management (Annual destruction of City Records) more than 2 years old that are no longer required by the City, are not court records, required to be kept by statute, not in the minutes, ordinances or resolutions. This year there is an online listing of the records to be destroyed.
Staff Recommendation - No longer retain records with disposal date of June 29, 2011

Item 4.4 - Adoption of Annual Appropriations Limit for FY 2011-2012 CA. State Constitution placed limits on the amounts of revenue that could be spent by public entities from proceeds of taxes through the Gann Initiative/Prop. 4 in 1979 Article XIIIB

City Staff has determined the City will be under that limit by $18,686 for FY 2011/12. Staff Report says - In the City's 1st year of Operation voters approved an Appropriations Limit of $9,102,336 which is adjusted by the City annually based on population and inflation. The allowable appropriations for FY 2011-12 is stated to be $29,022,451 which is to be made available to the public for 15 days prior to its adoption. City says that requirement has been satisfied. Section 9710 was added in 1980. Proposition 111 was approved in June 1990 to address complaints by Govmt. Agencies providing local governments with adjustment formulas. Staff Recommendation - Adopt the appropriations limit for 2011/12

Item 4.5 - Renewed Measure M2 Compliance Reporting - Staff report says City anticipates receiving $500,000 in annual revenues, for streets, sidewalks, traffic signals, highways, under Measure M through 2015-16
Staff Recommendation - Comply with requirements

Item 4.6 - 1st Amendment to Joint Cooperative Agreement for pilot commercial food waste diversion pgrm.
Only 4 food establishments are participating - King's Fish House, Saddleback Memorial Medical Ctr., In-N-Out burger, Farmer's Market at Laguna Hills Mall on Fridays. Staff Report states no fiscal impact to the City because there is a grant for this now but in the future funding will expire. The participating food service organizations are not charged now. CR&R has issued a proposal to the City for a future rate structure for commercial food waste collection.

Item 4.7 - Governmental Accounting Standards Board - (GASB) a new Fund Balancing Component Designation Title "assigned fund balance" replaces the old designation title of "unreserved, designated" in the general fund. The amount in this fund has been historically designated in this City by the City Manager. There are 4 other new fund balance components to replace older components - Nonspendable Fund Balance, Restricted Fund Balance, Committed Fund Balance, and Unassigned Fund Balance.
Staff Recommendation - Delegate the authority to the City Manager to assign amounts to be used for specific purposes for the purpose of reporting in the annual financial statements and balance amounts to be used as reserves.

Item 4.8 City Views Publication Consulting Services Agreement with Faubel Public Affairs - Annual Cost for the production, development and design of the Quarterly Publication of City Views 9x12 inch, 28 page, full color, glossy City Magazine without the cost of postage to 14,000 residences in the City is $105,000 or $26,250 per issue.
Staff Recommendation - Another 2 year contract for $210,000 with $95,000 annually coming from the General Fund and the remaining $10,000 from Recycling Accounts related to the environmental-related public information contained in City Views. The first 8 to 10 pages are dedicated to the City, the rest is dedicated to Community Services.

Item 4.9 - Sports Complex Snack Bar Agreement with Laguna Hills High School Music Boosters - City Report says the Snack Bar has been run by the Music Boosters since 2004 and they made a profit of almost $800 in May of 2011. Staff says the Music Boosters provide them with a monthly report but there is no mention of any fiscal impact to the City or any profits for any other months or years, etc.?
Staff Recommendation is to extend their agreement for another year.

Item 4.10 - OCRA Senior Mobility Prgm. Funds for the Dial-A-Taxi transportation Program for Seniors.
Staff Recommendation - Continue to participate in the program with a new 5 year agreement for eligible participants who are 80 years or older or 65 years or older and are disabled or 60 years or older with a revoked license or otherwise unable to drive. One way rate of $5 (customer co-pay) within the service area. To date only 24 seniors are eligible to use the program and only 8 seniors have actually used it since it started on August 1, 2010 through May 30, 2011. Staff says they have dropped off flyers at the Florence Sylvestor Memorial Senior Center, included information in 2 issues of City Views, hosted a Senior Transportation Fair in Oct. of 2010 (7 months before the program started). Fiscal impact to the City - from $4000 to $6000 over the current year. Because usage is so low some Transportation Development Act funding may have to be returned in the amount of approximately $27,300.
Staff says they will continue to monitor the use of the program to determine of program requirements should be modified or services enhanced.

Item 4.11 - Progress Payment for La Paz widening at I-5 of $133,699.74

Item 4.12 - License Agreement with So. CA. Edison to allow the attachment of City Signs that are non-electrified traffic regulations signs and related equipment to streetlight Poles. So. CA. Edison owns the street light poles. Fiscal Impact to the City - None if the agreement passes but City could be required to remove all their signs currently on street light poles which would be a significant cost related to removal and re-installation of signs. Staff Report states that in the past So. CA. Ed. has allowed the City to attach signs to their street light poles but is now requiring a formal license agreement. The report continues that the City recently reviewed their internal records and determined that the City never had a formal agreement with the utility company. There is a list of specific regulations (terms and conditions) in the agreement for the installation and maintenance of each type of sign/banner attached to a pole to protect the poles and the City cannot make any money from any of the signs.
Staff Recommendation - Approve the Agreement.

Item 4.13 - Trauma Intervention Program Agreement - $3,641.28 for FY 2011-1
Staff Recommendation - Execute the Agreement.

Items Pulled from the Consent Calendar for Discussion - Items 4.8 - City Views and 4.11 La Paz Rd. widening were pulled by Council Member Kogerman
Vote - The rest of the Consent Calendar was passed 5 - 0.

Council Member Kogerman asked about using social networking in addition to City Views to notify the citizens about what is going on in the community. Assistant City Manager Don White responded people seem to really like City Views and don't seem to like to social network with the City. Vote - Item was passed 5 - 0


(**Editor's Note - Question - Does City Views need to be a 9x12 inch, 28 page, full color, glossy City Magazine? Could taxpayers not save money by reducing the size of the oversized City Views, eliminating the "glossy" and decreasing the number of professional photographs, and are Citizens paying too much for 28 pages, some of which are less informational and more PR for the City Council?)

Council Member Kogerman asked about the contaminated soil in the La Paz Rd. widening project. Ken Rosenfield, City Engineer explained that during the excavation comtaminated soil was found but the nearby Arco Gas Station responded and agreed to accept responsibility for that soil. There remains a need for more careful work and better equipment to protect the workers. The contamination took 10 days to clean up so the project is currently set back about 30 days considering the previous set backs. Vote - Item was passed 5 - 0

(**Editor's Note - No one pulled Item 4.10 - OCRA Senior Mobility Prgm. Funds for the Dial-A-Taxi transportation Program for Seniors which has been in effect for almost a year with only 8 seniors using it. Staff says they will continue to monitor the use. Other than counting to 8 what does that mean? Why are they not checking with seniors to find out if the majority of the seniors in the City are aware of this program and if perhaps program challenges that make it less than useful for a majority of citizens require changes, etc.? If the City assists to provide programs should those programs not be useful for the targeted citizens?)

PLANNING AGENCY PUBLIC HEARINGS -
Item 5.4.1 - Conditional Use Permit to establish a K-Grade 2 Charter School at 25201 Paseo de Alicia in the Alicia Office Park, a Neighborhood Mixed Use Zoning District. School will be doing business from 7 am to 6 pm Monday through Friday with 100 students.
** This item is to be continued to the July 12 City Council Meeting.

ADMINISTRATIVE REPORTS - **These Items are authored by City Staff

Item 7.3.1 - Santa Maria Ave. Improvement Project - Staff report says this project is under construction by the City of Laguna Woods and Laguna Hills is participating in less than 25% of the project. The project covers pavement rehab. of the street and construction of a raised median island to complete a continuous median island along the length of Santa Maria Ave. 4 travel lanes will remain with completion of the projects and will eliminate parking over a portion of Santa Maria Ave where the existing road narrows. The street improvement project is consistent with the policies of the City of Laguna Hills for raised median islands on all arterial highways and eliminating parking along most arterial highway locations. The City of Laguna Woods is also constructing a cart path within their jurisdiction and has agreed to evaluate the need for a stop sign at 2 intersections with Santa Maria Ave. - San Remo Dr. and Santa Vittoria Dr. There was a lengthy discussion of the problems with this construction among the council members and the City Engineer, Ken Rosenfield, The City Engineer stated there is no reason for people to park on Santa Maria because there is so much parking on Santa Vittoria and reasonable parking on Barbera in front of the school and near Santa Vittoria park.
Staff Recommendation - Receive and file this report.

Public Comments - Ed Krause, Laguna Hills Resident said when you turn onto Santa Maria from Moulton that stretch of sidewalk they built is too big.  They put 2 lanes in there and he said he drives a large tool truck and hit a sign and a tree making a turn with his large truck because there is so little room to turn now. He also noted Semi Truck tire tracks on the side walk. He said the side walk is too big so there is not enough room to make that turn. He added that everything should be put back the way it was because he can foresee larger trucks than his having more problems there and hitting other cars and golf carts, etc.  He also noted that stop signs are needed not for volume of traffic but for safety. Stop Sign at Santa Maria and San Remo needed because vegetation, construction, trucks, etc. block the view and his daughter was almost struck by a car there just the other day. Ed also mentioned in response to Council Member Kogerman's question, there was no notification to him prior to this construction by Laguna Woods. He said the single lane down by the school will work but on the other side of the street there are constantly big trucks because the retaining wall is always falling apart. He added that people are using that big sidewalk for golf carts. Council Member Bressette noted that in the future we need to be more sensitive and cautious about street construction on our borders in the future.
Vote was 5-0 to accept and file this report.


Item 7.2.1 - Final City Employee Compensation Report presented by Doug Johnson from Ralph Anderson and Associates (This 167 page report was posted online prior to the City Council Meeting.)
Staff recommendation - Receive and file the report

Brief Synopsis of Doug Johnson's (from Ralph Anderson & Assoc.) Final Report from the City of Laguna Hills' $24,500 Employee Compensation Study - The other Cities studied in this study were: Yorba Linda, Tustin, San Juan Capistrano, San Clemente, Rancho Santa Margarita, Orange, Newport Beach, Mission Viejo, Lake Forest, Laguna Niguel, Laguna Beach, Irvine, Fountain Valley, Dana Point, Cypress, Buena Park, and Brea. 

(**Editor's Note - Because this is a 167 page report with layers of often confusing information, many of which are strongly tied to charts that you cannot see here we will start with only a brief synopsis of the conclusions, however if anyone wishes to review the entire report the Laguna Hills Watch Dog has saved it in a file and we will e-mail it to you as an attachment if you specifically request it at BlandMJ@AOL.com  or you can request it at City Hall or check to see if it is still posted on the City Web Site. Also you can listen to the complete report in the Audio portion of the council meeting on the City's web site. Relevant information in Doug Johnson's report is revealed through the following dialogue with questions from Council Members and answers from Mr. Johnson that will give readers a good idea of presentation points and arguments for and against them.)

Doug Johnson concluded that Laguna Hills maintains a market position at approximately the 62 percentile related to the other cities in the study. He said the Health Insurance Benefits Costs paid by the City were higher than commonly found in the market place even after the City found lower Health Insurance Premium Rates this year. He said cash benefits were consistent with the market place. Labor rates aren't moving right now but in the short answer is maintain your position as long as it's something you can afford. He said he didn't think it was an unreasonable market position, other agencies are moving and you are just always maintaining that 62 percentile position with about 38% of the market above you and 60% below. He said he thinks there is a cost advantage to being fair and not having to deal with the problems of labor relations/unions that you might have if you suddenly go back to the 40th percentile.

Council Member Bressette - When you talk about Public Data only table 3 talks about private sector data, is there anywhere else in the report that private sector data has been considered?
Johnson - There's only 2 spots, a base salary analysis which is table 3 and our objective there is to respond to a common question I'm getting these days which is how do private sector wages compare to public sector? We compared the data from the 17 cities in our study with the data base published by the Economic Research Institute which in the report says there is a 2.9% difference. The 2nd place is Car Allowance.
Bressette - In the Executive Summary under core benefits point 3 it says when benefits are added to the base salary the City's compensations were 6.5% above market average this is primarily due to higher Health Insurance premiums paid by the City. Does the report consider the new lower Health Ins. Premiums we are paying effective July 1?
Johnson - Yes.
(Editor's Note - See more about Health Insurance Benefits for Laguna Hills City Council Members at - http://www.latimes.com/news/local/la-me-medical-costs-20110704,0,6684658.story  Many small cities pay officials hefty health benefits - Laguna Hills council members, for example, receive medical benefits worth an average of $24,300 a year. Some other cities don't offer any health benefits.)

Bressette - As I understand it the current range maximum of base salaries from cities is what we are using in the majority of the data.
Johnson - That's correct, we are looking at the full value of the job after a 3 to 5 year period somebody through satisfactory performance has attained because 90% of our employees are at range maximum.
Bressette - Please explain base plus cash.
Johnson - Base is just base salary. Plus cash is deferred compensation that's paid by the employer and retirement pick up and those are often treated as cash. It's important to treat PERs pickup as cash because some organizations, as they do market surveys, they "PERs up" the base salary such that when the employee pays their retirement contribution, which they're normally supposed to pay, they have a salary that's equivalent to market. So the common practice is to add it in to all numbers. So it's base salary, deferred compensation and retirement pick up paid for the employee by the employer.
Bressette - So we would commonly refer to retirement pickup as the employer's portion of PERs.
Johnson - It's the employee's portion that's paid on behalf of the employee by the employer. Bressette - and deferred comp is that like a PARs plan?
Johnson - NO, It's like the 457 additional compensation plan.
Bressette - Since we do pay PARs contribution why wouldn't that be part of the cash that's in this?
Johnson - We analyzed that and it's because by design you created a way to address a difference between your retirement program - 2% at 60 and what the vast majority of market agencies are doing. You had a choice of increasing your formula with PERs or giving this PARs supplement and this looks brilliant when you look at it now in terms of minimizing those long term obligations so we though it was important to include it in that analysis.
Bressette - but you did not include it in this table.
Johnson - No, it's not in that table, it's in a later table because we are treating retirement as a separate component to look at.
Bressette - As you described it we chose PARs as a retirement benefit in lieu of a decision for a different PERs retirement formula, so I still don't understand why it would not be included in cash as a retirement benefit.
Johnson - We could have and if you look at the series of tables in appendix C. I could move the PARs contribution column over to cash and re-run the numbers but the end result isn't going to change.
Bressette - What was omitted in table 4B, that is crossed out, is what we look at as the employee retirement contribution by City. There is a footnote mission and the footnote says in addition to a 3.5% a 6.5% PARs contribution is provided by the City. Now that changes that 10.3% number from 13.8% to 16.8%.
Johnson - That's correct.
Bressette - So that would not make us one of the lowest cities in employee retirement contribution, but if you used the highest number which you used in prior tables that would make us perhaps the 3rd highest. Why isn't that number relevant?
Johnson - My objective was to show that these percentages are all influenced by these factors which are PERs controlled or decisions that you made years ago or workhorse demographic related. PARs is a pure defined contribution and that's it. You don't care about any of these factors and none of them are relevant to it. So my point is we can't use PERs contributions with any comfort that it has some equating value to what the retirement formula is. We see agencies that have a 2.7% at 55 that have an almost 25% contribution rate. There is a lot of variability there and that's what's frustrating is that column does not equate to what we know the benefit value is. Table 5 shows the combined impact of PARs and PERs retirement benefits and that's more frustrating because you have the percentages that you correctly stated and still with those combined you are still about 11.8% off the market in terms of that current value and that's what employees look at.
Bressette - The first assumption you made on page 24 was that retirement age is 55 but isn't our work force again and aren't people generally retiring generally later than age 55?
Johnson - Possibly not if they have a 2% at 55 not only in terms of an earlier retirement on the golf course but 5 more years of getting that defined benefit in the future. If we used 60 it would soften it a bit and make it more advantageous to you but we would completely lost out on capturing those 2 elements - the value of early retirement and the value of those 5 years of additional pay received.
Bressette - Did staff tell you that over the years we have created some of our benefits to retain our valuable employees. We have a 10 year anniversary date where a sizeable amount of money is put into retirement health savings for the particular objective of retaining our employees. I would suggest if you look at retiring employees you would find a greater number retiring at ages 60 and 62 simply because in the calPERs formula that percentage at age 60 is substantially higher than at age 55.
Johnson - My value is that if I have 5 more years to play golf, I'd leave a lot on the table for that. It's hard to capture a personal decision like that. People who have a defined benefit program may want to retire earlier than the general population that retires later but does not have the defined benefit program.
Bressette many of my clients are public employees and still choose to retire at 60 or 62 because that's how the system rewards them and would you please tell me what assumptions you used for the supplemental retirement - I see it's a 5% return - how many years and what percentage of salary?
Johnson - We are looking at that 5% at age 79

Council Member Lautenschleger asked if the 2% Cost of Living Allowance built into the budget was a logical way to approach things or should there be a dollar amount?
Johnson answered 2% is very reasonable. Many cities had done years of furloughs or salary freezes and are now coming back with increases they can afford. From 1 to 2.5% is a very common figure being bandied around. If it's going to be something defined by market parameters he suggested a percentage base.

(**Editor's Note - Fact Check - In the new biennial budget adopted June 14, 2011, the Cost of Living Adjustments (COLAs) for 2011-12 were adjusted to 2% and for 2012-13 to 2.2%)  plus defunding the Management Incentive Program (bonuses) for the next 2 years but Nothing Was Noted or Mentioned About Raises and according to Resolution #2009-06-23-2 the City Manager, at his discretion may grant up to a 5% salary adjustment for meritorious performance to any employee who has reached the top pay range in his /her position. The City Manager, at his discretion, may grant up to a 5% increase in salary and cost of living adjustments effective July 1, 2010. City Manager is authorized to create and administer a Management Incentive (bonus) Program for management employees ranging from 0-10% of annual salary at the end of each calendar year.  ** At the June 23, 2009 City Council Meeting Council Members Carruth and Bressette called for city council approval or at least for a report to the City Council when the City Manager gives employees raises and bonuses in the interest of transparency but the vote was against them 3 to 2. The 3 who were not in favor of City Council approval or even a report to the City Council were Songstad, Lautenschleger and Craig Scott. )

Mayor Songstad asked - If we were to eliminate something like the PARs program would that have an effective on our competitiveness in the market?
Johnson - It wouldn't have an effect on incoming employees who had never worked for a City but would impact getting anyone from another City and for management positions he questioned whether this City could get a highly skilled top level manager because he had trouble in the past recruiting especially older top level employees for City's with 2% at 60. He said having a defined contribution element in the retirement program sends a very positive message.

Council Member Kogerman - Is there any issue in this City with employee turnover?  Did anyone leave and in their exit interview say they were leaving related to retirement benefit issues or compensation or have we tried to hire anyone and failed because of compensation or retirement benefits issues?
Johnson - We did not look at that or ask that question, did not get into that.
Kogerman - Seems that one of your major conclusions was that the retirement benefits make us less competitive so would like to have seen data to back that up especially in today's environment with all the unemployment issues.
Kogerman - Related to comparability with other cities studied you say in the report you would look at Historical Practices, Geographic Proximity and if additional information is required you would look at Numbers of Employees and Operating Budgets, did you do that?
Johnson - For this study we focused more on population, we do look at Numbers of employees and Operating Budget but 9 times out of 10 the Operating Budget, not the number of employees, correlates fairly strongly with the population. The number of employees won't show if you have contract services like this City does so it will make your City look low compared to the market in terms of services provided by a city that are more like larger cities with more employees.

(**Editor's Note - An example of this would be full service City such as Laguna Beach that was compared with Laguna Hills in this study. In Laguna Beach the City employees provide most of the services compared with a Contract City such as Laguna Hills where most of the services are contracted out to service providers. The 2010 population count for Laguna Beach was about 22,700 and the 2010 population for Laguna Hills was about 31,000 - Laguna Beach's City Manager John Pietig recently citied the different levels of service provided in Orange County cities related to compensation levels in his City. Laguna Beach, he said, Laguna Beach is a full-service city, providing not only its own public safety services but also transportation, sidewalk sweeping, an animal shelter, a community center and more. In other cities, “these services, if provided at all, are handled by special districts, service contracts, or homeowner associations, which were not considered in the report,” Pietig added that additional complexities were that beaches and attractions draw tourists year round – sometimes up to 100,000 people a day, then add the high cost of living, and staff responsibilities of working with active resident advisory committees and a clearer picture of employee compensation emerges. http://taxdollars.ocregister.com/2011/06/23/laguna-beach-responds-to-pay-report/86659/

Newport Beach was also one of the 17 Cities compared with Laguna Hills in this study. Newport Beach's 2010 Population was about 70,000 and it is also a full service city. Newport Beach's City manager David Kiff stated Wherever you live in Orange County, you likely receive the same menu of basic municipal services – drinking water delivery, wastewater collection, fire suppression, legal services, police protection, and access to public libraries, parks, senior services and community centers. In Newport Beach, the city government provides most of these services plus lifeguarding, trash collection, disaster preparedness, and a number of other services due to our coastal location and the expectations of our citizens. If you live in a “contract city” such as Lake Forest (with a 2010 population of about 77,000 this City is included in the Laguna Hills Employee Compensation Study) or Aliso Viejo (with a 2010 population of 48,000 this City was NOT included in the Laguna Hills Employee Compensation Study) , the city government provides fewer of these services. http://taxdollars.ocregister.com/2011/06/21/newport-beach-fires-back-on-pay-report/86239/  )

Kogerman - expressed that she was not aware, when the 17 cities were chosen for this study that their budget, population and employee numbers were not going to be relevant.
Johnson - We have a balance, some smaller, some larger, and some about the same size. (**Editor's Note - of the 17 Cities studied only one was smaller in population than Laguna Hills and that was Laguna Beach which is full service City. 16 of the 17 cities studied were larger (Dana Point (2010 population of 37,000) and San Juan (2010 population of 34,593), though larger were closest in size to Laguna Hills (2010 population of 31,178) . Johnson said the numbers of employees were not relevant so the study looked at Operating Budget and Population. He said what they did not do was look at any correlation by budget, by employees or by population that quantifies adjustments in salary. There is another type of study that considers the most cost effective ways of delivering services but for doing a market survey of wages we do not look at those factors.
Kogerman - asked why did this study use a control point at the top of the compensation range for each employee position studied in all the cities?
Johnson - answered that the object was to see how this city's pay ranges compared to the pay ranges in the market.  It's possible to do an average of actuals type of survey that is commonly done in the private sector but in a situation like this you have a set of organizations like this with pay ranges that look relatively similar then you look at that. You are trying to measure the competitiveness of your pay range. He added that these agencies are not set up for and very resistant to giving us "per employee" types of information.
Kogerman - said her concern is Senior Management employees and that is a major reason for doing this study.
Johnson - Many of those employees have contracts with contract rates so a salary range could not be used. In a couple of agencies there is a wide pay band for senior employees then we would get individual salaries for those managers because that is a more reliable indicator of what they are paying those individuals. We are not focused on individuals as much as functions such as Community Development, Public Works, Finance, etc.
Kogerman - How many cities have the 5% above market average practice as Laguna Hills does for the non-exempt employees?
Johnson - We did not ask that question. He said some cities in OC choose to be at the 60th or 75th percentiles, etc. but we did not survey that.
Kogerman - Some cities are requiring employees to pay all or a portion of the employee's contribution to the retirement benefit. How many cities are doing this as opposed to Laguna Hills that pays the entire employee's contribution for the employee?
Johnson - Agreed that is a trend that is happening but will take a while to put in place and he did not know how many cities are doing this now or what the recent changes have been.

(**Editor's Note - We have some of the answers to Kogerman's question about the changes in employee contributions to retirement plans from recent Newspaper Stories in the OC Register.   From Newport Beach regarding employee contributions to retirement benefit plans. Additionally, base compensation has been impacted (generally lowered since 2009) thanks to additional pension contributions from employees that are directly deducted from base salary. Non-safety employees will pay 8% of their salary towards pension costs in January 2012. Some safety employees (our lifeguards) may begin to pay 9% (up from 3.5%) of their base salaries in July 2011. This is more than $3.7 million in FY 2011-12 coming off of base salaries, and it’s not part of the Grand Jury’s analysis either.
http://taxdollars.ocregister.com/2011/06/21/newport-beach-fires-back-on-pay-report/86239/

From Mission Viejo and other Cities regarding employee contributions to retirement benefit plans - The new plan also lowers the required share of retirement contributions paid into the California Public Employees' Retirement System, to 7 percent from 8 percent. Existing employees give a 3 percent share of their pension contributions with the city paying 5 percent. Future employees will be responsible for a 4.25 percent share, with the city contributing 2.75 percent. City staff estimated the annual cost savings of the new plan would be approximately 4 percent of payroll once all employees are in the second tier. Using a 5 percent turnover rate, it is estimated to take about 20 years before all city employees are on the new tier.

Mission Viejo is not the first Orange County city to implement a two-tiered pension plan; it follows models adopted by other cities including Cypress, Costa Mesa, Fountain Valley and Rancho Santa Margarita. City staff indicated Fullerton is also considering a similar pension reform. For Mission Viejo - The changes are expected to go into effect on July 6. (By the fiscal year 2014-15, all employees will be paying their entire shares of CalPERS contributions, with none coming from the city. The change will begin with the 2011-12 fiscal year. Existing employees will begin paying an additional 1.25 percent share each fiscal year until they are paying their full 8 percent in 2014-15. Future employees will begin paying an additional 1.25 percent share each fiscal year until they are paying their full 7 percent in 2013-14.
OCREGISTER: Mission Viejo OKs pension reform, employee raises http://www.ocregister.com/news/-300803--.html )

Kogerman - About the Assistant City Manager are you telling me now that these are the actual figures paid to the Assistant City Managers?
Johnson - These control points could be a maximum, a defined point within a pay range, a contract amount or an actual salary. In this case these are all pay ranges. Kogerman - So we don't have actual salaries for the Assistant City Managers?
Johnson - No
Kogerman - What about the City Clerk? Did you use the actual amount or a range on that one?
Johnson - Two of the agencies only have an actual figure, they don't have a range and the rest apparently have ranges.
Kogerman - So we don't know if the figures are correct?
Johnson - Some of these agencies may have a true maximum, some have a working and a performance maximum, so there may be some of that in here and we don't look at bonuses at all because it's a very uncommon practice. We are not here to ascertain individual performance or employee salaries we are here to look at salary range structures.
Kogerman - In our case the City Manager got a bonus every year except 2010 and all of the other Management Team are subject to annual performance based increases so it's common here so questioning why bonuses given in all cities are not included in the study?
Johnson - Trends within organizations are inconsistent. It's intended for high performance but if in practice everybody gets it, I would question the value in that. Bonuses were not included because I don't think they are applicable to you current salary range structure. We are not looking at what somebody made in a calendar year or a fiscal year we are looking at what the range structure and policies provide for in terms of pay. If you start mixing a City Manager contract with salary range and salary administration there are going to be differences. If you hired us to provide apples to apples knowledge of City Manager's Pay with the full value of all the elements in their contract that is a different study that what we did here. We are focusing on the standard or macro policies and practices for pay within the organization.
Kogerman - So is that the same for City Engineer/Public Works Director, City Manager, Community Development Director, Community Services, etc.?
Johnson - Yes all those are contract rates except 2.
Kogerman - Regarding the 17 Cities in the study according to what you said we are basically looking at geographical location here.
Johnson - Yes, because that is the market you are competing in.
Kogerman - Related to Auto Allowance our City Manager reports the taxable value of his auto but no auto allowance, so I don't know if that includes maintenance, gas, insurance and everything else the City pays for him. In the study you just say "provided" regarding the auto but provide no value there whereas there is a value provided for car allowances. Johnson - We are looking at 22 jobs here, so getting the potential auto allowance value for all those jobs that have some kind of auto reimbursement or assigned auto use is difficult and too difficult to compare with other cities when we can't pin them down to get their information. Johnson closed with saying there was not enough detail in the Grand Jury Report or the State Controller's Report for him to see why his numbers did not match with their numbers.

(**Editor's Note City Resolution # 2009-06-23-2 states Auto Allowances will range from $200 - $750 per month are at the discretion of the City Manager as is the practice of providing a city owned/leased vehicle or a mileage reimbursement.)

Council Member Lautenschleger asked if in the opinion of Doug Johnson from Ralph Anderson & Assoc. was our compensation reasonable and competitive.
Johnson responded that he thought the totality of the package is a good balance of what your community wants and what the political pressures are and what is reasonable in trying to balance your costs.
Mayor Songstad - Are your conclusions based on your experience in the industry?
Johnson - Yes, I've shared my experience as a recruiter. He continued that his company is going though tremendous challenges now with working with city councils in hiring city managers, and "there's a great amount of attention to City Manager Contracts and so I think there's a lot of discussion, a lot of negotiation going on interestingly in 2 categories, one is trying to be more responsive to those things that people have raised concerns about and the other is finding creative ways to hide money".
Council Member Kogerman stated she agreed and said she has heard from people all over the County that certain employees are asking for more in benefits than salaries because that compensation is more difficult to ferret out. She also asked how much time he spent with the staff and with the council members in this process.
Johnson - responded the scope of his work was well defined so there were no discussions about that and he spent about 30 minutes with each employee and no real time with City Council Members.

Public Comments - Bill Enholm, Laguna Hills Resident and Community Banker and past President of the Nellie Gail Ranch Homeowners Association HOA had plenty to say after listening to the Compensation Report from Doug Johnson of Ralph Anderson & Associates. He said he comes from an environment where people are asking him for loans to keep small businesses afloat and in this room he is surrounded by people who at age 60 are going to get 6 figure lifetime retirement benefits. He said he is an expert on private industry compensation and the amount of attention given to private industry compensation in this report is laughable. He asked to share some real numbers such as the City Clerk gets $116,000 a year and a total of $164,000 in benefits, The Deputy City Manager $128,000 in salary + $174,000 in benefits, Community Development Director $162,000 in salary + $235,000 in benefits, Director of Public Services $169,000 salary and $241,000 in total compensation, Assistant City Manager $193,000 salary and $273,000 in total compensation, The City Manager $233,000 in wages and $341,000 in total benefits. He said he can answer the question from the $20,000+ study, the amount of turnover we have in this City is Zero. He noted that the City Manager and Assistant City Manager have been here 20 years and most of the others for many years as well but he is supposed to believe that they could easily go the private sector or some other public sector job and get more pay. He said that is unbelievable and regarding the report all he could say is the overused quote there are lies, damn lies and statistics and we just listened to a bunch of statistics that were damn lies.

Mr. Enholm then offered suggestions to balance Public Compensation with the Private Sector. Cap wages at $150,000 a year + benefits, Increase the retirement age to 65 years, lets give any future increases in the form of discretionary bonuses, end Cost of Living increases and award only merit increases, stop the practice of the City paying all the Employee Contributions to retirement plans, cap sick day accrual at 60 days and stop allowing cash outs for excess sick days or of contributing them to your health care account such as a recent incident of the $60,000 the City contributed to an employee's retirement savings account because the employee had been with the City for 10 years. Change to use it or lose it vacation days and cap carry over to 2 weeks. Eliminate all City owned vehicles and car allowances and pay only reimbursement for actual business miles. Cap contributions to employee health insurance and fund future increases with employee contributions or seek out lower cost alternatives. He noted that his wife runs a business with 300 employees and told him our insurance costs $15,000 a year, why is the City paying $24,000 a year for Mayor Songstad's insurance? Eliminate supplemental health and life insurance benefits and enhanced long term disability from the management benefits and cap severance benefits at 6 months salary and 6 mos. health insurance as opposed to the half million dollar package that our City Manager has today and cap employer paid life insurance at 1 times the annual salary. He ended with one last question for the presenter from Doug Johnson of Ralph Anderson & Associates, "When have you ever conducted a survey where you determined that a City was in fact overpaying their employees and can I please see that report?"


Mayor Songstad said he assumed that last question was rhetorical. Mr. Enholm stated It was not rhetorical.  Mayor Songstad then asked Mr. Johnson if he had a response and Mr. Johnson responded "No, thank you, I'm good". Mr. Enholm questioned why we could not get an answer to a question like that.

Mayor Pro-Tem Carruth responded to Doug Johnson of Ralph Anderson & Associates - While there were a couple of things where I would want to make a few adjustments, your conclusions reinforced all the policies and philosophies that we established 20 years ago when we established the City. Thank you and I particularly enjoyed the data.

Council Member Kogerman handed out graphs and other information she prepared for the Council Member's related to discrepancies between this City's Compensation Report from Ralph Anderson & Associates and the other 3 compensations reports, one done by Council Member Kogerman with help from the Bradman University grad students who won the Public CEO's Service to the State Award for the Study, The State Controller John Chaing's Office Report and the 2011 Grand Jury's Report of OC Cities Employee Compensation.

Kogerman pointed out that in her study, the State Controller's Study and the 2011 Grand Jury Study Laguna Hills compensation was reported as higher than all of the 17 cities (studied in the Ralph Anderson & Assoc.Study) for the Laguna Hills City Manager, Assistant City Manager, City Engineer/Public Works Director and Community Development Director. She also noted that the average variance in the Anderson Report was about $21,000 less than what was reported by the other 3 other studies. The variance in the Anderson Report related to the City Manager was about $99,000 under what was reported in the other 3 studies. She said this suggests to her that there was significant under reporting in the Anderson Study. She also noted a failure to compare complexity measures in other cities studied such as other cities being full service cities compared to a Contract City like Laguna Hills, cities with significantly larger budgets - which were all of the Cities studied except Rancho Santa Margarita, and last she noted that, unlike Anderson & Assoc., she was able to obtain the City Manager Compensation packages for all the Cities and she recorded them for the City Council to see. Council Member Bressette asked what conclusion did she reach and Kogerman stated, Laguna Hills is at the low end of the scale related to complexity, population, size of the City in land area, budget, etc. and this needs to be recognized in a compensation study especially when compensation that is provided is higher than in other cities.

(**Editor's Note - Thanks to a very alert reader it was noted that at the November 9, 2010 Laguna Hills City Council Meeting a labor negotiator for the annual performance evaluation of the City Manager was chosen by 2 members of the City Council and that labor negotiator, John Goss, was from the same company that did this City Employee Compensation Study - Ralph Anderson & Associates. Many citizens spoke out against a raise and bonus for the City Manager in 2010 and after some time in closed session it was announced that there would be no bonus and no increase in salary. In a public statement City Manager Channing concluded it would be "unwise and imprudent to expect" a bonus and a raise. Though he noted council members have said he has met or exceeded their expectations on "85% or more of the goals. To that point, I believe that I have clearly 'earned' a bonus," he said. "Nevertheless, I am certainly cognizant of the reality that two members of this present City Council and Council Member-elect Mrs. (Barbara) Kogerman are steadfastly opposed to the City Council conferring upon me a reward for the high achievement of my employment related goals." http://www.ocregister.com/news/city-275655-channing-council.html  The 3 council members who asked that the City Manager not accept a raise or bonus were Kogerman, Bressette and Carruth.)
Vote was 4 to 1 to Receive and File the Report. The No vote was Council Member Kogerman

CITY COUNCIL PUBLIC HEARINGS – None

OTHER BUSINESS - **These Items are authored by Council Members - From Council Member Kogerman - Item 8.1.1 - Appointment of Labor Negotiator for the terms and conditions of the City Manager's Employment Contract.

Council Member Barbara Kogerman said in earlier discussions the Council Stated stated that when we received the City Compensation Report we would look at the City Manager's Contract and that time has come. She said that could be done in a open session such as a City Council Meeting or appointing a labor negotiator or negotiators has been suggested or possibly 2 council members could speak informally with the City Manager to see if he would be willing to voluntarily scale down some of his total compensation. She suggested that Council Member Bressette be one of the 2 council members to speak with the City Manager. Council Member Bressette said he had to respectfully decline due to an urgent family situation that we later learned was a significant and urgent medical complication for his elderly mother. Bressette explained that there could be a friendly discussion with 2 council members and the City Manager. Council Member Lautenschleger declined without stating a reason as did Mayor Songstad who argued against doing this, said this process was supposed to be done at the end of the year Performance Evaluation for the City Manager and if done the City would have to pay for legal representation for the City Manager. Mayor Pro-Tem Carruth said she realized that the community wants the City Manager's Contract reviewed and asked some questions of the City Attorney, Greg Simonian. After much discussion involving the triggers in the city manager's contract that allow him to begin looking for another position or begin a count down to a large severance package, etc. A motion was eventually made that the City Attorney will return with 3 names of labor negotiator attorneys and a procedure for doing the contract review.
Vote was 3 - 2 in favor  The 2 No Votes were Lautenschleger and Songstad.

MATTERS PESENTED by MAYOR & CITY COUNCIL MEMBERS -
Council Member Lautenschleger stated he had attended a Sustainable Community Strategy Meeting put together by OCTA.

CLOSED SESSION – Conference with Legal Council re. anticipated litigation - 2 cases.

Next regular City Council Meeting is Tuesday July 12, 7 pm, at City Hall. The City Council is take a recess on July 26 and August 9. Contact Laguna Hills City Council Members at - ccouncil@ci.laguna-hills.ca.us  
================================
City Council & City Manager Report Card - Categories - (T) Transparency for Citizens, (A) Accountability to Citizens, (CI) Championing Citizen Related Issue, (AG) Achieving Citizen Related Goal Grades - (P) Pass, (A) for Authoring a Citizen Friendly Item, (F) Fail, (A+) Extra Credit. City Manager will be scored related to online and agendized Staff Reports and Requests.

Bressette - P - Voting for Citizen Friendly Item of Reviewing the City Manager's Contract for possible changes.

Carruth - P - Voting for Citizen Friendly Item of Reviewing the City Manager's Contract for possible changes.

Kogerman - A for authoring Citizen Friendly Item of reviewing the City Manager's Contract for possible changes. P for voting for that item. A+ for getting that item passed.

Lautenschleger - F for voting against Citizen Friendly Item of Reviewing the City Manager's Contract for possible changes.

Songstad - F for voting against Citizen Friendly Item of Reviewing the City Manager's Contract for possible changes.

City Manager -   F for continuing the OCRA Senior Mobility Prgm. Funds for the Dial-A-Taxi transportation Program for Seniors as is (Item 4.10 above under the Consent Calendar) without learning why more seniors are not using it. Services are supposed to be useful for Citizens.

F for 20 years of never checking with CA. Edison to see if the City needed a License agreement or some form or written agreement to hang City Signs including Traffic Signs on their poles. License Agreement with So. CA. Edison to allow the attachment of City Signs (Item 4.12 above under the Consent Calendar)


INFORMATION, COMMENTS QUESTIONS and CONCERNS from Watch Dog Readers:


COMMENTS ON COMPENSATION & COMPENSATION STUDY & THE BUDGET

Send kudos to Kogerman for her position on health plan enrollment. Let's get rid of the golden plans. Let's get the plan recipient to pay for their family and why should anybody get 100 % coverage for a part time job? Private industry doesn't even have health insurance for part time jobs in most cases. We need to cap pensions at 70% as in Europe. Cities cannot sustain 90% of highest year earned for pensions. We all know its manipulated by cashing in sick days and vacation days which should also be illegal. It's a matter of plain math, let outsiders determine what is healthy financially, get the Brandman graduate students back again to look into this.

Maybe Caruth and the 2 other old boys should remind themselves of past deeds that need to be undone and are no longer just forgotten. Since we now have more transparency and we've learned more about how the system works regarding taxpayers and their goals. Prudent spending includes not pension painting us all into a corner. We've experienced what it's like to have a different perspective in favor of citizens with consistency behind the decision making process. Citizens are looking deeper at long term ramifications and the rainy day periods we now have. The 2012 election is coming soon and look at what happened last time, we got some accountability on the city council and we WILL get more. I personally think more fresh fruit in the basket would be a good thing. Right now the fruit flies are hovering because the fruit's over ripe. Mr. C

My, My, My….It seems our Mayor Pro Tem is doing what most insincere politicians do, say anything to get elected and then forget the platform they campaigned on and who elected them. I have a long memory and her vote on the budget without all the information, we the people paid for, will be remembered by the citizens of Laguna Hills and especially by me. The apple doesn’t fall far from the Nellie Gail Tree does it? Dr. “J”

As newly elected Mayor at the Dec. 14 City Council Meeting - Songstad said his next goal was to increase transparency and trust and that out of this challenging election cycle will come new and good ideas - How's he doing with that? I would also like to thank Council Member Bressette for his citizen advocacy which is what the majority of Laguna Hills voters voted for in the last election but have seen little of this year outside of Kogerman and Bressette. The At A Glance Compensation Report on the City web site is still a humorless joke on the voters in this City. Kathryn

Another excellent report on the goings on of our City Council and City Management. Council Members Bressette and Kogerman should be applauded for their effort to watch out for the citizenry of Laguna Hills - the rest of the council certainly doesn't appear to be doing so, especially on the budget. Alan, Joel and Channing's touting "that we have had surpluses, so what's the beef?" attitude is troublesome at best. Carruth's comments about shifting surpluses from one budget category to another, is certainly not in the best interest of the City. I have a thought....if there is a budget surplus, let's reduce the budget, reduce fees on residences and businesses and provide more services (like to seniors). Why is it that people "infected" with the Government bug, feel it necessary to spend everything, all the time....then feign surprise when money isn't there for serious issues?

Alan, Joel and Melody....you can't possibly be serious on the compensation study and budget, can you? You have each said that everything for Laguna Hills compensation looks OK, based on the preliminary report given by the consultant, therefore let's go ahead and pass the budget without further considerations or debate....you can't be serious. Come on, that was one low level admin position.....one. That is not where the residents of Laguna Hills have issues and concerns. You know what they say, "as fish smells from the head down", so let's examine the head. I have supported this council for many years, but now I feel that they don't have their priorities right anymore. I think it is now time for a change...bye, bye Alan and Joel. A long time Laguna Hills Resident

I especially liked a comment in the OC Register Story about the Grand Jury Report - Rob Goodfellow said - Can anyone explain to me why these fat cat city managers deserve more than anyone employed by the federal government, except for the President? The only reason I can see is that elected city government officials are temporary and not really familiar with the running of a small city so in order, in their minds, to make sure they don’t look stupid by not keeping or getting the “best city manager” to cover their butts would ruin them. This naivety allows these managers’ tactics to hoodwink these part-time council members into believing they are worth it. And, they got away with it during those years of plenty before the recession. Now, the cities tax bases are eroding and finally somebody is paying attention. So, it there anyone out there who can tell me why any city manager of an Orange County city mentioned in this article deserves more than our senior fed officials like the head of the FBI or DEA? Please, someone enlighten me. Please! LHBlog Reader

COMMENTS ON COUNCIL'S REACTION TO GRAND JURY REPORT and other ISSUES

This kind of compensation is not deserved for running the City of Laguna Hills. I'm going to remember Alan Songstad's quote, "this budget is about a ceiling not a floor" when it comes time to cut some fat. A few observations follow:

Why should the City of Laguna Hills spend even one penny on a 20th Anniversary Celebration? Lapel Pins? Really?

Coming in "at budget" does not equal prudent fiscal management, if the budget is flawed'

If the City wasn't spending so much on compensation we could have a model Animal Shelter.

How do you think I can find out over the last 5-years how many building permits were issued in Laguna Hills and their dollar value, by year and month? I'll bet some months not a single building permit is pulled. I'm wondering why existing staff can't process building permit applications and do plan check?

Does anyone go to the Laguna Hills mall?

Bruce Channing certainly has his story and he's sticking to it.

It's not management's fault it is the City Council's fault if no action is taken based on the Grand Jury report.

Why are we eliminating Senior Management's incentive based compensation? They should cut base pay and keep the discretionary incentives. Why don't we start some baby steps toward executive compensation parity with the private sector?

Cashing in Vacation Pay isn't a one time event when you get 6 paid weeks (sometimes more) and cash some in every year.

Barbara Kogerman is impressing me and the rest of the council seems to be waking up.
Bill Enholm

WIN WIN Wednesday! - Make it a habit!  - Here's the lineup for - WWW Global Cuisine - Please Download your flyers to give to each restaurant to get the 20% for Win-Win-Wednesday's Safe & Sane Grad Night for LHHS at http://www.winwinwednesdays.com/  
July - Summer's Theme
July 6 - Flamingo's Mexican (LH) on McIntyre at La Paz
July 13 - Cafe Rio (LF) El Toro and Rockfield
July 20 - Subway (LH) at McIntyre/La Paz
July 27 - Genghis Khan Mongolian BBQ (LF) El Toro Rd.

This year’s LHHS PTSA Grad Nite was a huge success thanks to the tireless effort of so many people. Thank you Stacey Ellis and Melissa Koch for your leadership and dedication. Anyone who was a committee chair, donated boxers, constructed decorations, participated in WWW!!, came to Preview Nite, helped sell tickets, volunteered the night of, and all who helped clean up made PTSA Grad Nite 2011 a night our graduating class will never forget! Also, many local businesses and the City of Laguna Hills were very gracious with their donations, services and equipment. Please support all the people who supported us! Here is a long list of the families and businesses that contributed to PTSA Grad Nite 2011 (PTSA Grad Nite Corporate and Family Sponsors). A special thanks to US Marine, Sgt. Freddie Real who kept a watch over our event. Thank you! Alice would be proud (Natalie Gregory LHHS Alumni ’94, 1988 CBS Movie Alice in Wonderland). Meg Gornham

HOW TO SUPPORT THE 3rd BATTALION, 5th MARINE DIVISION - Adopted by the City of Laguna Hills
Donation checks can be made specifically to "Laguna Hills Team Dark Horse" and mailed to - Team Dark Horse, 27251 Lost Colt Dr., Laguna Hills, CA. 92653. The Non-profit Corporation 501 (C) (3) status has been approved so all donations are tax deductible. E-mail Mike Bland at 35bland@gmail.com  with questions, suggestions, etc. The city's e-mail for the 3/5 is 3/5-support@ci.laguna-hills.ca.us  City Clerk Peggy Johns is the City Liaison to the 3/5 Support Committee. Go to the City web site by clicking on this link - http://www.ci.laguna-hills.ca.us/  

Please see the Laguna Hills 3/5 Adopted Marines Facebook page by clicking on this link - http://www.facebook.com/pages/Laguna-Hills-Team-Darkhorse/132765660119128  and share it with your friends!!



NEWS STORIES AND BLOGS ABOUT LAGUNA HILLS: Click on the links below to see the stories.
LA Times: Laguna Hills City Manager Salary
http://www.latimes.com/news/local/la-me-oc-salaries-20110621,0,1126677.story 

In O.C., city pay can be steep, but it’s not ‘abusive’ June 20th, 2011 http://taxdollars.ocregister.com/2011/06/20/in-o-c-city-pay-can-be-excessive-but-its-not-abusive/85631/#comment-165059

June 9, 2011 ORANGE COUNTY GRAND JURY REPORT - Compensation Study of Orange County Cities http://www.ocgrandjury.org/pdfs/comp-study-oc-cities/Compensation-Study-of-Orange-County-Cities.pdf  

City manager says compensation is fair
http://www.ocregister.com/news/city-303264-channing-compensation.html

Political rebel faces an uphill battle
http://www.ocregister.com/news/city-303262-kogerman-channing.html  

Councilwoman: Public pay report inaccurate, self serving
http://www.ocregister.com/news/city-299908-report-council.html  

OC Watchdog Lavish health benefits slashed in Laguna Hills, Tustin http://taxdollars.ocregister.com/2011/05/12/lavish-health-benefits-slashed-in-laguna-hills-tustin/82833/  

After attacks, city-manager-compensation sleuths win state award March 21st, 2011, posted by Teri Sforza, Register staff writer
http://taxdollars.ocregister.com/2011/03/21/after-attacks-city-manager-compensation-sleuths-win-state-award/78545/#comment-139633  Click on http://www.publicceo.com/  for more of this story.

No more $60,000 SUVs for city manager?
http://taxdollars.ocregister.com/2011/02/09/no-more-60000-suvs-for-city-manager/75030/  

Gold-plated benefits? New councilwoman just says ‘no’ http://taxdollars.ocregister.com/2011/01/18/gold-plated-benefits-new-councilwoman-just-says-no/72532/  

OCREGISTER: Laguna Hills councilwoman says no to health benefits http://www.ocregister.com/news/city-282972-benefits-council.html  

O.C. cities lavished health benefits on council members http://taxdollars.ocregister.com/2010/12/06/oc-cities-lavished-health-benefits-on-council-members/69544/

Who has the best-paid city council in California? (updated) http://taxdollars.ocregister.com/2010/12/02/who-has-the-best-paid-city-council-incalifornia/69418/   In Laguna Hills the Taxpayers pay the entire cost of heath care premiums for the elected part time city council members and their families. In addition, the City Manager's contract states "To the extent that payment of all or any portion of the dependent rate of premium, is not approved by the city council for all city employees, Channing shall be entitled to a salary increase or cash payment sufficient to cover the amount of premium or rate for dependent coverage not provided by the City plus applicable income taxes on that amount."

OCREGISTER: Kenneth Frank: In defense of city managers http://www.ocregister.com/opinion/city-277030-manager-laguna.html  "Citizens, in turn, must do their part to foster civic pride. They should demand that city council and planning meetings be televised and streamed online. And they need to become involved. In Laguna Beach, we have numerous homeowners associations and environmental, business and labor groups that encourage the exchange of ideas and enhance the interactivity between residents and elected officials.

OCREGISTER: Chris Norby: Local officials susceptible to 'Bell syndrome http://www.ocregister.com/opinion/elected-276253-city-syndrome.html  "Bell syndrome thrives where elected boards vote in lockstep, where groupthink is elevated, and skeptics are ostracized, and where top staff are seen as irreplaceable experts – with rubber-stamped salaries to prove it. Bell syndrome thrives when self-congratulation trumps self-examination."

OC has two of state’s best-paid city managers
http://taxdollars.ocregister.com/2010/09/17/oc-has-two-of-states-best-paid-city-managers/64492/  


CITY COUNCIL MEMBERS SAY the DARNDEST THINGS IN PUBLIC? Memorable and surprising Public Quotes from City Council Members

June 10, 2008 - Mayor Allan Songstad said "We have to go through a bidding process and sometimes the low bidder is not always the best contractor, but sometimes that's what we're stuck with."
Thank you Mayor Songstad, that is exactly what we have been trying to tell you about the Laguna Hills City Council "sticking " the residents with the same bad vendor - The Orange County Animal Shelter for the past 19 years.

October 25, 2005 - Mayor Allan Songstad, speaking about the Laguna Hills City Council said, "When you've been doing business in a certain way for 13 years you're not likely to change that."
So true, Allan, so unfortunately true unless you change members of the city council.

August 19, 1994 - LHCC Member Allan Songstad - From the Los Angeles Times Newspaper Article Collections - Orange County Focus - August 19, 1994 LYNN FRANEY - Laguna Hills Councilman Declines to Run for Reelection With Councilman L. Allan Songstad Jr. declining to run for reelection, at least one newcomer will gain a seat on the City Council this fall. Songstad said he never intended to run for a second council term and that he is not a "career politician." That leaves space for at least one of the challengers, Cindy Greengold, Saeid Hariri, Grant R. Marcus or Charmane Riggs.

Now, in 2011 with 18 years on the Laguna Hills City Council we are guessing Council Member Songstad has changed his mind about being not being a "career politician."


CRIME IN YOUR NEIGHBORHOOD


For a roundup of Laguna Hills police calls - published May 11, 2011 click on: http://www.ocregister.com/news/block-300013-disturbance-drive.html  and go to - www.ocregister.com/saddleback  for more.


** See this June 29,2011 News Round Up of selected Items from the OC Sheriff's Dept. for the most recent Crime in Laguna Hills. - OCREGISTER: Neighborhood flyers raise suspicion - click on http://www.ocregister.com/news/block-306419-caller-disturbance.html


WRITE A LETTER TO THE EDITOR of the Orange County Register

Letters to the Editor: E-mail to letters@ocregister.com Please provide your name, city and telephone number (telephone numbers will not be published). Letters of about 200 words will be given preference. Letters will be edited for length, grammar and clarity.

June 14, 2011 - Laguna Hills City Council Meeting
All Council Members were present
==============================

SPECIAL ANNOUNCEMENTS - NEW ORANGE COUNTY GRAND JURY REPORT - Compensation Study of Orange County Cities confirms Laguna Hills has highest paid City Manager in the County. http://www.ocgrandjury.org/pdfs/comp-study-oc-cities/Compensation-Study-of-Orange-County-Cities.pdf  

**HELPERS NEEDED FOR THE 3/5 MARINES AT THE CITY'S JULY 4TH EVENT!!
see below under HOW TO SUPPORT THE 3rd BATTALION, 5th MARINE DIVISION - Adopted by the City of Laguna Hills Please call Micki as soon as you can to let her know how you can help on July 4th. at Work 949-582-5652 or Home 949-859-1962

*** See the June and July Line Up for Win-Win-Wednesdays at http://www.winwinwednesdays.com/  See more under - INFORMATION, COMMENTS QUESTIONS and CONCERNS from Watch Dog Readers:

Contact Laguna Hills City Council Members at - ccouncil@ci.laguna-hills.ca.us  

PRESENTATIONS and PROCLAMATIONS – Mayor Songstad presented Lyndsey Kaan, LHHS Student Liaison for the Spring Semester with a Certificate of Recognition for service with dedication and distinction. The City of Laguna Hills established a Student Liaison Program in 1993. The new LHHS Student Liaison for the Fall Semester will be Kylie West and the alternate will be Jeena Bonutto. They took the oaths of office and received certificates of appointment

Dan Meehan, Community Services Superintendent received a 10 year Anniversary Award Certificate of Recognition and gift. Congratulations to Mr. Meehan!

PUBLIC COMMENTS -

Garon Sammi, Laguna Hills resident since 1987 on Califia Dr. (We apologize for the incorrect spelling of this citizens name, he left before we could obtain the correct spelling) spoke about serious parking problems on his street, Califia Dr., and asked about the possibility of extending his driveway to get his 2nd car off the street. He was referred to Vern Jones, Community Development Director.

Bob Dickson, Laguna Hills Resident - Bob gave an update from the Marine Support Committee. He noted 3 e-mails received from the 3/5. From Lt. Col. Morris, Commanding Officer of the City's 3/5 Adopted Marines - Thank you for re-energizing Laguna Hills' support of its battalion and just ask and we will support the committee however we can. We just need some time to plan ahead because Lt. Col. Griffin (the next CO for the 3/5 Marines) is beginning to train the battalion for its next deployment. Please thank the Laguna Hills City Council as well, I sense we are gaining momentum in the relationship and want it to continue. Regarding a static display for the City's July 4th event Col. Morris said I'm sure the battalion can support the committee on the 4th and will let Lt. Col. Griffin know that the details are forthcoming. From Kim Reese the Family Readiness Officer - This is wonderful news and excellent pictures, thank you for sharing and thank the Committee for all their work, dedication and loyalty that is making a tremendous impact on the lives of so many. From Major Bobo, who ran in the race and got all the other Marines to run - I want to thank the committee for the hospitality they extended to the Marines, the hotel rooms, the goodie bags, and the beer, even though everyone declined the beer, it was a first class event. I think all the Marines enjoyed the course, mostly the scenery, not the length. It was enjoyable for my family and the Marines. I look forward to next year's race.

Bob Dickson also noted that Laguna Hills Team Darkhorse will be at the 4th of July celebration with our booth and another static display and we hope our booth can be next to the display this time. Council Member Bressette asked Bob to speak about the popularity of the Memorial Day Static Display from the 3/5 Marines. Bob responded that for everybody and even for him who had never been in a jeep it was really awesome. It was crowded the whole time, the kids and adults loved it and we will be doing the same thing at the 4th of July Celebration. Council Member Bressette added, bringing the Marines to our Memorial Day Event turned a race into a patriotic event. Bob gave a special thanks to Mike Bland who has done so much work for the committee.

Ed Krause, Laguna Hills Resident spoke about the traffic safety problems and problems for small business owners due to the ongoing construction on Santa Maria Blvd. He said he is also a small business owner and the PTA President for San Joaquin Elem. School and said he would like to have a carnival at the school to raise funds but parking is impacted by the construction. He noted that he had talked with Ken Rosenfield, City Engineer and Public Services Director who advised him that some of the parking on Santa Maria will be permanently lost. Mayor Songstad advised him that the construction on that street is being done by Laguna Woods. Council Member Carruth referred him to the Laguna Hills Traffic Commission (that meets only every 2 months) but will be meeting again on July 20 for assistance and for a better overview of this problem, for him and for her as well. Council Member Bressette agreed with getting more information about the problems in this area back to the City Council as soon as possible. Ken Rosenfield, City Engineer and Public Services Director said Ridge Route is planned to be 4 lanes but that could be many years away. Council Member Kogerman agreed with Bressette.

Meg Gorham, Laguna Hills Resident announced the Grad Nite Safe and Sober Preview Event - a sneak peek, for everyone in the community, of the tightly guarded secret theme of this year's Grad Nite 2011 on Monday, June 20th, from 5 - 7:30 pm. The cost of admission is $2 or a returned invitation (that you will receive at the door) with completed contact information. Donations of any size are greatly appreciated. All are invited, the public, local schools, businesses, and community members to tour the venue on the LHHS campus and see first-hand the remarkable transformation from school to extraordinary. LHHS is one of only three south county high schools that continue to do Grad Nite ON campus. Follow signs to the Aux Gym (on the Stadium side of the campus) at LHHS, 25401 Paseo de Valencia. Food samples will be offered by the following Win-Win Wednesdays partners: Mangia Bene (Laguna Niguel), Peppino's (Aliso Viejo), Pizza Store (Laguna Hills), Romeo Cucina (Laguna Niguel) and Villa Roma (Laguna Hills) as well as samples from Costco and It's A Grind Coffeehouse (Laguna Hills). At this Preview Event we will hand out a special "SUPER" flyer with all five of the restaurants highlighted above on one page for June 22's Super Win-Win-Wednesday OR people can download the individual flyers above as we do every week.

Then on Wednesday, June 22nd, those same five restaurants will host a "SUPER" Win-Win Wednesday!! When patrons download a flyer from ANY of these restaurants and return the flyer to the restaurant where they pay for a meal each restaurant will return 15% of the proceeds to LHHS PTSA's Grad Nite! (all flyers are available at www.winwinwednesdays.com ) NEXT we begin working on LHHS PTSA's Grad Nite June 14, 2012. Mark your calendars now!

Rita Rembolt, Laguna Hills Citizen, confirmed Ed Krause's comments about Santa Maria Blvd. where it appears they are creating chaos. She thanked Council Member Kogerman for all of her efforts for Term Limits and Melody Carruth for bringing up Term Limits in the past. She said she was here 2 years ago regarding the budget concerning the Senior Citizen's Center. At that time you had nothing available for the seniors. Since then you have filed for federal funds but the City has not put aside any money from their budget for the Senior Center. Today and going forward the Seniors are the population with the most growth. I read in the paper after I had approached the council for money for the seniors that they refused and learned there was a $30,000 bonus and a $60,000 car given to the City Manager. Playgrounds are being upgraded for 10s of thousands of dollars as well as Sports Complexes, landscaping, etc. She said she is here again to ask the Council to consider their senior population, noting that most of the council members are seniors. She said the Grants don't cover actual services for the seniors who are a growing population of voters in the City.

LHHS STUDENT LIAISON REPORT by Lyndsey Kaan - This is the last report from Lyndsey who will be graduating and going to UC Santa Barbara in the fall majoring in Environmental Studies. She noted that the Elephant Bar is the Win-Win-Wednesday pick for tomorrow and has the best sweet potato fries in town. She said LHHS Students have made a really cool video -"Party Hawk Anthem", that the original band tweeted about and now thousands of people have seen. This has been a great accomplishment for the LHHS film team. Senior Awards were presented last Tuesday for National Honor Society, Valedictorians, and all seniors who have won scholarships. Over $3 million has been awarded in scholorships to the LHHS senior class in total which is substantially more than last year. This Friday the Jazz ensemble is playing at the Spectrum in the courtyard area by the fountain from 6 to 7 pm. Next Tuesday is the last day of school. Senior Picnic is on Friday. She closed with, "This has been the highlight of my Tuesday nights." Everyone laughed with Lyndsey.

Minutes - Recommendation that the City Council Approve the Minutes of the previous City Council Meeting for publication on the city web site. The minutes from tonight's meeting will not be approved for publication until the next city council meeting so there is a long delay for the public related to timely documentation of information from the city.

CONSENT CALENDAR - Warrant Register = $584,820.08

Items of interest from the Warrant Register - Over $6000 paid for program supplies for the 1/2 marathon, 5K Memorial Day event to Ashworth Awards and $1500 to Five Star Tours? (Editor's Note - Maybe instead of billing the Marines who volunteered to run the City should look at cutting some expenses?) $104 for a typewriter repair for administrative Services paid to Newport Office Equipment - (Editor's Note - What??? The City Manager gets a $60,000 car from taxpayers but an employee in City Administration is still using a typewriter

Items of Interest from the Consent Calendar: **Items on the Consent Calendar are placed there by City Staff:
Item 4.3 - Progress payment #3 for Community Center and Sports Complex and Costeau Park Playground Refurbishment and Lighting. $91,528.74
Item 4.4 - Professional Services Agreement with Wolfe Engineering and Design, Inc. located in Tustin for on-call engineering and design and staff support services. This is one of 7 engineering firms under contract with Laguna Hills to provide design, construction administration and technical engineering services as needed. Agreement states this is a 5 year contract. until 2016, and their services should not exceed $150,000 over the 5 year period of the contract unless the City orders extra work beyond that which is specified in this contract
Item 4.5 - Amendment to agreement with State of CA. Dept. of Transportation for La Paz Road widening at I-5. Current agreement expires on June 30, 2011 and work is not expected to be completed for another year. Therefore an extension of this agreement is requested until Dec. 29, 2013 Contract is for "an additional lane Eastbound at I-5/La Paz Re. under crossing, add one additional lane at SB off-ramp to a standard loop ramp." Fiscal Impact to the City? City fails to state a cost in this report, stating only that the cost for these services in included in the FY 2010-2011 Capital Improvement Program Budget. Report does state that the City is willing to fund 100% of all capital outlay and staffing costs, except costs of State's quality assurance of environmental, design and right of way activities. State's funds will not be used to finance any of the capital and support costs for project.
Item 4.6 - Professional Services Agreement with Charles Abbott Assoc. for Building and Safety Services to augment and support existing City Staff to provide approx. 10 hours a month plan check services, back-up inspection and counter services as needed. This agreement includes a cost proposal which allows CAA to retain 65% of the Plan Check fees collected by the City and separate hourly rates for the Building Official, Building Inspector, Counter Technician and other relevant staff on a as-needed basis. The City says tenant improvements and room additions will now be plan checked within 7 working days as opposed to 10-15 working days previously. Fiscal Impact to the City is estimated at $300,000 annually but costs will fluctuate.
Item 4.7 - Consulting Services Agreement with OROS Consulting Services for Computer Desktop and Network Administration Support. 2 year agreement for 2 onsite days a week not to exceed $110,240. OROS has been doing computer consulting services for this city for 9 years to date.

Items Pulled from the Consent Calendar for Discussion - NONE
Vote - the Consent calendar was passed 5-0

PLANNING AGENCY PUBLIC HEARINGS -

Item 5.4.1 - Site Development & Conditional Use Permits for Parking, Master Sign Program (at the Taj Mahal Building) by Nadel Commercial, Inc. for signs and to create joint use of parking for buildings and properties at 23521 Pasel de Valencia and 24181 Ronda del Rossmoor. Property owners of Taj Medical Center and Capital Source Bank are seeking to enclose 6,159 sq. ft of underground parking to create additional office space and to convert offices from business to Medical. To construct a 6,300 sq ft Plaza immediately east of the Taj Medical Center, to construct parking and landscape improvements to both properties to gain 385 parking spaces and to modify parking and striping on the private street Calle de la Plata resulting in 29 parking spaces. They want to create joint use of parking facilities between both properties and establish a sign program for the Taj Medical Center and parking lot areas. The owner will pay fees for public art and for traffic mitigation.
Staff Recommendation - Approve the requested Permits.
VOTE - This passed 5 - 0 with compliments from Council Members.

Item 5.4.2 - Request from Site Development and Master Sign Program to renovate the Mission Hills Plaza at 25260 La Paz Rd. Corner of La Paz and McIntyre across the street from the Courtyard Center where the Claim Jumper used to be. New building facades, new landscaping and new signs plus improvements to parking lot.
Staff Recommendation - Approve the requested Permits

The Center Identification Sign was a sticking problem for this project because as Mr. Ron Bamburger, retail developer, speaking for the project, explained to the council this small center has tenant vacancies and the tenants are struggling. The new monument signs, would cost the center owners $30,000 to $40,000 to construct. Also this center, with no anchor businesses, has space for 18 small businesses that cannot be seen from the street so visibility and Identity from the street are essential for business success here. City code allows only 2 signs with a maximum of only 4 tenant names on a sign, so the restrictions placed on the signs by the city code make the cost/benefit analysis unworthy. The old sign looks dated but conforms with City Code at the 20 foot height limit so will be left as is unless the City might be willing to look at the possibility of allowing some exceptions for this location. He emphasized that he did not mean to be disrespectful in any way and this was simply an economic reality.

Mayor Songstad and Mayor Pro-Tem Carruth said they were confused and thought the Sign ID for the center was withdrawn from the discussion for tonight. Mr. Bamburger explained they had withdrawn the sign proposal but wanted to this opportunity to ask about an exception. One monument sign with 6 tenant panels is now being proposed. Mayor Songstad said this needs to be re-submitted at another time. Mr. Bamburger said he would do that but wanted to emphasize that the magnitude of the sign issue offering visibility to the tenants affects the viability of the whole project that will cost well over a million dollars. Mayor Pro-Tem Carruth responded with, "I just feel as though that's some kind of threat." I hope that's not the case. Council Member Bressette added it was essential to give the applicant the council member's comments and thoughts about what he has proposed for signage. Mr. Bamburger said he was sorry for all the confusion but is asking the council to approve the project without the signs and he will receive information from the council about their thoughts on the signs tonight and come back with the proposal for the signs another night. Council Member Kogerman said what Mrs. Carruth sees as a threat, I see as a realistic assessment of the cost benefit analysis regarding putting this much money into something when the signage is not going to reflect the improvements made. She said signage is a major issue for merchants throughout this city.
VOTE was 5-0 to approve the project without the proposed new signs and keeping the old sign.

SIGN DISCUSSION with input from City Council Members
Mr. Bamburger then stated he is asking for 2 new center identification monuments signs with 6 tenant panels on the sign that is on La Paz and 2 tenant panels on the 2nd monument sign to be placed diagonally to the 1st sign. He noted that the Courtyard Center across the street has one sign with 4 tenant panels on La Paz and 6 tenant panels on their tower element visible from the 2 main streets. Council Member Lautenschleger said he was concerned that the one sign was very large with a height of 19 feet and he could not support 6 tenant panels on a sign, but had no problem with the other sign. Mr. Bamburger argued that the Courtyard has 10 tenant signs. Council Member Bressette said the old sign that is there now is 20 feet tall and the new proposed sign is about 18 1/2 ft. tall. Staff is recommending 13 1/2 feet for this sign. He continued that he does not object to the height or having the name of the center at the bottom of the sign rather than at the top but wants fewer than 6 tenant panels. Mayor Pro-Tem Carruth offered that to draw attention to the center you need to change to a low profile upscale monument sign. She also suggested changing the name of the center to La Paz Plaza instead of Mission Hills which sounds like Mission Viejo. Mr. Bamburger said his concern was that someone driving West would not see a lower sign. He asked if we use a lower sign would you support 6 tenant panels? Carruth's answer was that people going West would eventually come back driving East and no to the 6 tenants signs which are throw backs to older times. Mayor Songstad suggested the draws in that center are the 2 restaurants so feature them. Sign code here is low profile, modern and upscale. Council Member Kogerman said she doesn't like to debate with someone who has really studied retail and knows how it works and she thinks the original sign proposed looks very good with just the 4 tenants and the other proposed sign looks good to her.

ADMINISTRATIVE REPORTS - **These Items are authored by City Staff

Item 5.5.1 - Capital Improvement Program Conformity with the General Plan. CA. Code sections 65401-402 require that a CIP (Capital Improvement Program be submitted to the City Planning Agency for review and determination of its conformance with the adopted General Plan.
Staff Recommendation - Adopt a Resolution determining that the fiscal year 2011/2012 Capital Improvement Program is consistent with the General Plan
VOTE this passed 5 - 0

CITY COUNCIL PUBLIC HEARINGS –

Item 6.1 - This is the Public Hearing for the adoption of the City's Biennial Budget for 2011-13. The public was referred to the Budget Binder at the City Clerk's desk for information about the budget. City Staff/City Manager are requesting Adoption of the budget although there has been no final report of the findings from the City Employees' Compensation Study. (** Editor's Note - City Staff and Council Commissioned the study as part of this process in a 4 - 1 vote with only Council Member Kogerman voting no because she wanted to address City Salary Policies first.)

The proposed biennial budget consists of Operating Expenditures of $34,290,656, special fund appropriations of $787,930 and debt service appropriations or $3,601,574. 12 Capital projects with estimated total of $3,654,000 for 2011-2013. Recommended total appropriations for the biennial cycle are $42,314,160.

City Staff report says some Major changes are:
1. Defunding the Management Incentive Program (bonuses) for the next 2 years
2. Annual health insurance savings of approx. $187,000 from finding a new health Insurance Vendor. (Editor's Note - According to the staff report this reduced rate vendor has been available since 2003, so a lot of money was lost over the 8 years they waited to make this change after these huge costs were exposed in the Orange County Watchdog in Nov. of 2009 - It's the Health Insurance, Stupid  http://taxdollars.freedomblogging.com/2009/11/05/its-the-health-insurance-stupid/42089/  as part of the Compensation Study done by Barbara Kogerman.)
3. Staff proposes employee Cost of Living Adjustments in 2011-12 of 2% and in 2012-13 of 2.2%
4. Community Development fee based building inspections related to development activity in the next 2 years (+150,000/ +150,000).
5. Community Development fee based planning services in each of the next 2 years (+80,000/ +80,000).

Staff Report states the City Council commissioned a comprehensive Compensation Study this past March and at the May 10, 2011 City Council meeting a preliminary presentation from the City's Consultant for the Employee Compensation study was heard. It is staff's assessment that any changes in the City's compensation policies or practices can be accommodated within the proposed budget.

Staff says the purpose of the Compensation Study was to insure the City's compensation policies and practices are "both fair and competitive over the long run." (**Editor's Note - what staff actually said on Jan. 11, 2010 when they requested this study was the purpose of this study was to look at how this City compares with others related to providing reasonable, fair and competitive compensation to its Full Time Employees.) Staff continues,"It is also expected that any changes would be implemented over a reasonable period of time to avoid an undue disruption to the City or its employees. Therefore, the Compensation Study is not expected to have a significant impact in the next 2 years, (**Editor's Note - Staff did not say anything about making changes over a 2 year period when they requested this study) especially since the proposed budget already includes significant savings from the defunding of the MIP (Management Incentive Plan) and the City Council approved change in health insurances." (Editor's Note - This defunding of management bonuses is a temporary measure - proposed for only 2 years and management raises are not excluded here. Management staff has received raises, bonuses and COLAs in the past.) The COLAs of 2 and 2.2% may or may not be evenly applied to employees and must 1st be authorized by the City Council in the Salary and Benefits Resolution to be presented at the July 12, 2011 City Council meeting that will include any other recommended changes to employee compensation.
Staff Recommendation - Adopt the Operating Budget, Capital Improvement Program and other appropriations.

Public Hearing Comments - Bob Dickson, Laguna Hills Citizen and CPA stated he felt the council should not vote on adopting this budget until we hear the results of the City Employee Compensation Study that the council wanted. He added it was great that Bruce Channing got that health insurance savings, but the flip side on that is we've been spending between $100,000 and $300,000 on that for the past 19 years so we overspent in the past.

Mayor Songstad responded that the City has achieved a surplus in the budget for the past 20 years. "So, I don't agree that we've over spent." (**Editor's Note - Following that line of reason, it should not be lost on Mayor Songstad that the City could have achieved much more if they had paid attention to overspending for their own health care premiums and that savings could have been used for services for citizens.) Songstad continued we did have a presentation from the Compensation study that said the compensation was either at or below other targeted cities so we do have information. (**Editor's Note - Songstad is referring to May 10, 2011 when Doug Johnson of Ralph Anderson & Assoc. presented a preliminary incomplete report from the City Employee Compensation Study and stated he looked at only one job, "Administrative Assistant" for this report as a tool to illustrate the use of comparisons with other cities and found this one job seemed to be just under the percentile mark for most of the target cities in the study) Songstad continued that his 2nd point is that unless the council wants to substantially increase salaries, this budget puts a ceiling on it not a floor. (**Editor's Note - We are talking about compensation that is received by management staff in this city in a wide variety of forms, not just salaries, so the 2 years of no bonuses and 2% COLAs are not a ceiling as far as we can see.) Songstad insisted we are not the State we have to adopt a budget.

Council Member Kogerman said the presentation we had focused on the Administrative Assistant position. She said one of the things she was elected to address was Senior Management Compensation and it's doubtful that we'll need to cut compensation for non-management staff, but the serious concerns addressed in the recent Grand Jury report should be addressed in our compensation study. She said the deadline to pass the budget is the 30th of this month so we have another meeting before the deadline and could call a special meeting as well. She also reminded Songstad that the council said they were not going to discuss compensation until they got the compensation report and there is compensation material in this budget. She then made a motion to address specific compensation items and postpone the vote tonight until a special meeting or the next scheduled meeting on June 28. Council Member Bressette seconded Kogerman's motion. Songstad replied the Grand Jury report was looking at 2009 salaries not current ones. Mayor Pro-Tem Carruth asked Kogerman if her objective was to swap out items such as finding a savings in one area and then applying that savings to an item in another area of the budget. Kogerman gave examples explaining one example might be a COLA of 2.2% applied differently by taking that percent of the entire personnel budget and apportioning it evenly among all employees so everyone gets the same amount instead of employees making much higher salaries getting more than those making less. She then asked why we don't have that compensation report tonight, but received no answer.  

Council Member Bressette said the only compensation study report we had to date was incomplete, as the consulted admitted it was. He added this is not the first time we have bulldozed through a financial decision without getting all the information. We are paying for 3 retirement plans in addition to CalPERS and I don't like to vote without all the information. We keep talking about 2% at 60 but we pay more than that into other retirement accounts. Maybe it's customary to pay retirement benefits for management employees that average 20.75% of salary but we don't know that. Mayor Songstad continued to repeat, "This is a ceiling it's not a floor, so I don't see the problem." Mayor Pro-Tem Carruth said from the report we had before we seem to be well within the average, what jumped out at you? (**Editor's Note - the Grand Jury appears to believe that their report should have jumped out at all of us!) Bressette responded there are some things I've heard that I don't think are accurate, but I don't know. I want the spread sheet to see that the conclusions are accurate. It's disingenuous to say our retirement plan of 2% at 60 is the most conservative in the County unless you also include all the other things in the retirement benefits.

Songstad interrupted Bressette with, "Do you have a spread sheet on that Mr. Bressette, so I can look at it?" "How do I know that yours is anymore accurate than anybody elses?" Songstad continued that he didn't like the word disingenuous because it's a synonym for dishonest. (**Editor's Note - disingenuous - not straightforward or candid; giving a false appearance of frankness. Generally, it means "insincere" and often seems to be a synonym of cynical or calculating - from the Free Dictionary by Farlex - on the Internet), Songstad escalated exclaiming that he was being accused of dishonesty, and began talking about unfunded liabilities, etc., in defending the city's retirement system. Songstad ended by stating - It's not disingenuous and if I hear that word again we're gonna take a recess. Bressette continued that our management retirement benefits have been very generous in the past but we may not be able to do that anymore.
(**Editor's Note - Council Member Bressette is correct and we applaud him for bringing those facts to light for citizens. See OC Register - Cities want action on pensions - by Robert Ming, Laguna Niguel City Council Member and President of Association of CA. Cities please click on - http://www.ocregister.com/opinion/cities-304037-pension-support.html  This story reports - "in a recent poll for ACCOC (Assoc. of CA. Cities, Orange County) 83% of OC voters support requiring employees to contribute the same amount as their employers to their pensions" (In Laguna Hills that is not happening with pensions or with health insurance premiums) and "73% support capping the amount a public employee can receive from a pension.")

Council Member Lautenschleger contributed that the compensation study is not just for this year, it's for the future. I don't buy the reasoning that we need this compensation study. We have a surplus so if you want to make adjustment upward you can do that (**Editor's Note - Songstad doesn't appear to agree related to his frequently repeated "Ceiling" comments regarding this budget?) He continued with the Grand Jury didn't say anything was "abusive" about us, It asked us to do a compensation study which we've already done. Kogerman said, again, the incomplete report we had on the Compensation Study was on one relatively low level position only, the question is what's the rush tonight we have another meeting before the deadline to make and informed decision. Kogerman added we have not been conservative with management as the Grand Jury report shows. Songstad continued to state, "We cannot wait on the budget" and if what you're suggesting is a contract modification that is a whole different procedure with 2 employees (City Manager and Assistant City Manager) and a confidential memo as to what those 2 contracts said. Songstad continued to argue with Council Member Kogerman about voting now to adopt the budget. Kogerman asked why can we not wait until the next meeting and Songstad replied, "There's no point in waiting till the next meeting." Songstad finally said, What if we don't get it (referring to the Compensation Study Report). Kogerman asked why would we not get the report and Songstad answered I don't have the answer to that. (Editor's Note - Mayor Songstad The looming question is why don't you or the City Manager know why the results of the City Employees Compensation Study are not being reported tonight as promised?  According to the Agenda Report of Feb. 22, 2011 addressing "Award of Contract for Comprehensive Compensation Study", the total estimated cost to taxpayers for the study is $24,500. According to the report from the Assistant City Manager on 4-19-2011, 27% of the City's Annual Operating Budget is for personnel costs with 27 full time employees and 36% to 41% of that amount is for management staff, so why is no one checking on the reason the results of this study were not reported on time?  It is understandably suspicious that neither the Mayor nor the City Manager offered any explanation for why the results of this study were not presented on time, especially in view of the strong push from the Mayor to get this budget approved before the results of the study were reported and in view of the negative findings of the new and completely independent Grand Jury City Compensation Report.)
1st VOTE - was 2 in favor and 3 against Kogerman's motion to wait for the City's Compensation Report findings so that motion failed. The 3 NO votes were Songstad, Lautenschleger and Carruth.
2nd VOTE - was 3 in favor and 2 against adopting the budget tonight and that passed. The 2 NO votes were Kogerman and Bressette.

ADMINISTRATIVE REPORTS (again) - Item 7.2.1 - City of Laguna Hills 20 year Anniversary - A work program in the next 2 year budget is to advertise and celebrate the City of Laguna Hills 20th Anniversary. Staff is developing a timeline exhibit to display at the information booth at the City's July 4th Event displaying the major accomplishments of the City over the last 20 years. Staff is also considering ordering pins to be passed out to promote the theme of the City's anniversary. Staff also suggests a ceremony at a City Council Meeting on Dec. 13. Parks and Rec. Committee suggested Installing banners on light poles and at entrances to the community and one at the Community Center to advertise the 20th Anniversary, and offer glasses/mugs with proceeds to charitable donations. There is a $7000 budget for the promotion of the City's 20th Anniversary.
Staff Recommendation - Provide ideas related to how to celebrate the City's 20th Anniversary. After discussion council members gave ideas such as hanging banners and agreed to spend very little money on something like this in this economy

OTHER BUSINESS - **These Items are authored by Council Members - None

MATTERS PESENTED by MAYOR & CITY COUNCIL MEMBERS -

Council Member Bressette thanked David Reynolds Community Services Director and Dan Meehan Community Services Superintendent for their great work on the Memorial Day Event. He added that the Marines enjoyed our hospitality and the community enjoyed having the Marines.

Council Member Kogerman thanked Mav Bressette for all she did being Grandmother to the Marines' children and getting the teams mobilized. Kogerman also noted the recent Grand Jury Report on their Compensation Study of Orange County Cities. She asked the City Attorney how the City is going to respond to the recommendations from the Grand Jury that were specifically to the City of Laguna Hills. City Attorney, Greg Simonian responded the City is familiar with the process, traditionally the Administrative staff prepares the responses and brings them to council for approval.  

Council Member Carruth asked, "Is it ever possible for us to determine who the Grand Jury brought in a witnesses, where they got the information." Greg Simonian responded he would have to research the question of an interested member of the public being able to get that information.

Mayor Songstad injected that Laguna Hills was requested to do a compensation study so we have that covered. Council Member Bressette added that the Grand Jury recommendations call for Laguna Hills to conduct a Compensation Study of Top Officials, and he understands that our compensation study did not focus just on top officials. (**Editor's Note - On May 10, 2011 Doug Johnson of Ralph Anderson & Assoc. presented a preliminary incomplete report from the City Employee Compensation Study and stated he would break the report into management and non-management to see different trends and needed further analysis of the benefits for management including autos, etc. He concluded that the final report should be in about 2 weeks but the City Manager said that report could not be brought back until the 1st meeting in June which is tonight - June 14.)

Council Member Kogerman also noted the average to poor ratings, from the Grand Jury, of the online Compensation Report for the City of Laguna Hills and she noted the need for review of the senior management contract excesses.

(Editor's Note - Synopsis of the 6-9-11 Grand Jury Compensation Study of Orange County Cities stated on page 1 of their report they did a comprehensive review of information submitted from cities because compensation of public officials and employees has long been a subject of concern and recent allegations of gross abuses have created a firestorm of media, governmental and prosecutorial attention and recent revelations from cities outside of OC have led to charges of lavish salaries and benefits at taxpayer expense.

On pages 17-18 the report notes that it was done to determine if there were any compensation abuses in Orange County. It explained that the term "abuse" is highly subjective. The report quotes the CA. Attorney General's announcement that he would look into any city official's salary that exceeds $300,000, then states, "Based on the data submitted to the Grand Jury of all 34 Orange County cities, the highest paid city employee or official of the 1,847 positions so reported is the Laguna Hills City Manager, with a base salary of $233,592 and total compensation of $378,427. (It is important to note that this compensation amount reported by the Grand Jury does NOT include the $60,000 car taxpayers bought for the City Manager in 2009 because there is NOTHING mentioned about the cost of the car, or any car allowance in the City Manger's Compensation Report from the City. We wanted to know why the car was not reported in the City's online Compensation Report for the City Manager and we learned at the April 19, 2011 City Council Meeting that the City Manager's car is not considered a personnel cost so its cost, according to the Assistant City Manager, is budgeted under "Capital Outlay" as an asset of the City although the paper work for the car states it is for the personal use of the City Manager. In our opinion the car was buried in the budget where it would not be found so it would not show up in the City Manager's Compensation Report.) The Grand Jury Report continues, "It is clear that this is a substantial compensation level. As a point of reference in that regard, the Chief Executive Officer for the County of Orange received total compensation of $324,535, according to the State Controller website."

The report notes in a chart on page 17 the $296,769 compensation for the Laguna Hills "Finance" postion (which is the Assistant City Manager) and states, "In this comparison, Laguna Hills is far higher for the City Manager and the Finance positions" and "also on the high side for other positions compared."

Under FINDINGS the Grand Jury report states on page 26, "The compensation of the City Manager and Assistant City Manager/Finance Director in the City of Laguna Hills exceeds levels in other comparably sized cities both inside and outside of Orange County," and under RECOMMENDATIONS R.4: Compensation Levels - The City of Laguna Hills conduct a compensation review of top officials."

Last on pages 21 and 22 the report rated Laguna Hills Online Compensation Report on the City web site as "C-Average" for Content, "D-Poor" for Clarity and "B-Good" for accessibility - so you can find information but the information you find is average to poor which we have all, including citizens and Council Members Bressette and Kogerman, repeatedly told the City Manager, Mayor Songstad and Council Member Lautenschleger who have refused to make additional changes. To see the entire report click on http://www.ocgrandjury.org/pdfs/comp-study-oc-cities/Compensation-Study-of-Orange-County-Cities.pdf )

Don White, Assistant City Manager/Finance Director - reported last month he attended the International Council of Shopping Centers Recon Convention in Las Vegas cosponsored by the City and Oakbrook Village. Largest retail convention in the country attended by developers, shopping center owners, brokers, etc. Laguna Hills had a booth and met with some of the major property owners in town and marketed brochures from centers in town who have spaces they are trying to lease out. There is also a San Diejo Convention in Sept. they plan to attend.

CLOSED SESSION – With legal counsel re. anticipated litigation and conference with real property negotiator for leases on offices at City Hall.

Next regular City Council Meeting is Tuesday June 28, 7 pm, at City Hall. The City Council is take a recess on July 26 and August 9. Contact Laguna Hills City Council Members at - ccouncil@ci.laguna-hills.ca.us  
================================

City Council & City Manager Report Card - Categories - (T) Transparency for Citizens, (A) Accountability to Citizens, (CI) Championing Citizen Related Issue, (AG) Achieving Citizen Related Goal Grades - (P) Pass, (A) for Authoring a Citizen Friendly Item, (F) Fail, (A+) Extra Credit. City Manager will be scored related to online and agendized Staff Reports and Requests.

Bressette - A - for Voting for the Citizen Friendly Motion to delay Adoption of the City's Biennial Budget until the next Council Meeting when results of City Employee Compensation Study should be available.  A - for voting against adoption of the City's biennial Budget without the results of the City Employee Compensation Study.

Carruth - F - for Voting against a Citizen Friendly Motion to Delay Adoption of City's Biennial Budget until the next Council Meeting when results of City Employee Compensation Study should be available. F - for voting for adoption of the City's Biennial Budget without the results of the City Employee Compensation Study.

Kogerman - A - for Voting for the Citizen Friendly Motion to delay Adoption of the City's Biennial Budget until the next Council Meeting when results of City Employee Compensation Study should be available. A - for voting against adoption of the City's biennial Budget without the results of the City Employee Compensation Study.

Lautenschleger - F - for Voting against Citizen Friendly Motion to Delay Adoption of City's Biennial Budget until the next Council Meeting when results of City Employee Compensation Study should be available. F - for voting for adoption of the City's biennial Budget without the results of the City Employee Compensation Study.

Songstad - F - for Voting against Citizen Friendly Motion to Delay Adoption of City's Biennial Budget until the next Council Meeting when results of City Employee Compensation Study should be available. F - for voting for adoption of the City's biennial Budget without the results of the City Employee Compensation Study and, as Mayor not reporting why the results of that study were not back as promised.

City Manager - F - for requesting a Vote to Adopt the City's Biennial Budget without results of City Employee Compensation Study and  F - for not presenting any information regarding when the results of that Study will be available or why they were not presented tonight as he has stated they would be. Who is monitoring this Compensation Study that was requested by City Staff?

INFORMATION, COMMENTS QUESTIONS and CONCERNS from Watch Dog Readers:

NEW GRAND JURY REPORT - COMPENSATION STUDY OF ORANGE COUNTY CITIES
6-9-11 - Confirms that Laguna Hills City Manager is the highest paid in Orange County and singles out Laguna Hills from 34 cities for special findings and recommendations.
Click here to see the new Orange County Grand Jury Report:
http://www.ocgrandjury.org/pdfs/comp-study-oc-cities/Compensation-Study-of-Orange-County-Cities.pdf  
p.17 of the report states, "Based the data submitted to the Grand Jury by all 34 Orange County cities, the highest paid city employee or official of the 1,847 positions so reported is the Laguna Hills City Manager, with a base salary of $233,592 and a total compensation of $378,427. It is clear that this is a substantial compensation level. As a point of reference in that regard, the Chief Executive Officer for the County of Orange received total compensation of $324,535 according tot the State Controller website."

The Orange County Grand Jury replicated the study done by Council Member Barbara Kogerman and proved she was right. When you consider the size of the city, this is quite disgusting. While the Grand Jury could not call it abuse, because it does not meet the legal definition, it clearly is taxpayer abuse. The smoking gun can be found on pages 17 and on 19. And look at not just the finding but the recommendation which specifically recommends that compensation disclosure for the City of Laguna Hills should be made because right now it does not pass the smell test, my words. When the Grand Jury is looking at 34 cities and Laguna Hills is coming out far and away too high as compared to 33 other cities, and this city is named by the Grand Jury throughout this report, how could any reasonable intelligent person not see this as anything but outrageous? Since so many of the council members have been on the council for the better part of 20 years and they were the ones approving this salary and compensation, they should be very ashamed and all of us who are taxpayers in Laguna Hills should be very upset. We have had to listen to ridiculous denials about this from city council members and the City Manager for way too long. Way to go Grand Jury! Thank goodness there are still some honest people left who will take a stand on abuses like this and clarify them for the public. It takes courage to stand up in the face of opposition from the council and the City Manager.  Good for Council Member Barbara Kogerman and the Grand Jury for doing that. Great job!  Kathryn

My comment on the Grand Jury Report - While they were filling your potholes they were filling their pockets. Tom

1. How does the City of Laguna Hills 2011-2013 budget compare to the 2009-2011? It would be interesting to know how the LH budget compares to similar cities in OC, especially given the report you cited regarding overall salaries for LH management, etc. Does it really cost approximately $21+ million annually to manage what is essentially a bedroom community of just 31,000?
2. I found the comments from the City Staff regarding salaries that are "fair" and "competitive over the long run" to be absurd. Do these people really think they would get a better offer elsewhere? Don't think so...are they so unaware of the major layoffs throughout the state, counties and cities over the last six months and those projected for the next year?
3. You referenced the staff's concern regarding "a disruption" if changes are not gradual. I would posit that such a disruption could be, in fact, a benefit. Thrifty Laguna Hills Citizen

Dear Mayor Songstad, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous, Disingenuous.
Is it time for recess yet?    A Voter who listened to the City's audio tape of the June 14, Council Meeting re. the Adoption of the Biennial Budget and strongly recommends that others do the same.


COUNCIL MEMBER KOGERMAN REFUSES NEW HEALTH INSURANCE PLAN
While gratified that the City has finally selected a reasonably-priced insurance program, for all our employees, I’m opposed to the City providing and paying 100 per cent of the health insurance premium for part-time City Council members and their dependents, I will not participate in any city-provided medical insurance plan until the City requires its part-time City Council members and full-time employees to pay a fair share of their insurance premiums. The city pays 100% of the CalPERS retirement contributions for employees, a practice I also oppose. When I think of how much money the city could have saved over the years if they had been sensitive to these expenses, I decry the lack of services we could have provided our residents that most Orange County cities provide. Laguna Hills City Council Member Barbara Kogerman

ABOUT THE 3/5 MARINES AT THE CITY's MEMORIAL DAY EVENT
Team Darkhorse needs YOU!! Laguna Hills' July 4th Celebration will be graced this year with the presence the United States Marines! Battalion 3/5 will be on hand at our city's festivities, giving our citizens a unique opportunity to mingle, meet and speak with Heroes who protect our Nation. What better way to celebrate our Nation's Birth? How can you help? Team Darkhorse will be on hand to raise funds to benefit the Marines/Sailors and their families. When our country is at War, it is these Heroes who stand and fight. Be part of those who show their support and appreciation this July 4th! Come help support our troops!     Laguna Hills Marine Supporter

God bless these men and women! They are awesome and an inspiration to us all! Cynthia

Memorial Day was so much more meaningful with the Marines there. I think the static display was just great. It seemed like the public really enjoyed it too. If they can come next year, maybe we can have the booth closer to the static display to connect the two. DD

WIN WIN Wednesday! - Make it a habit!
Here's the lineup for - WWW Global Cuisine - Please Download your flyers to give to each restaurant to get the 20% for Win-Win-Wednesday's Safe & Sane Grad Night for LHHS at http://www.winwinwednesdays.com/  

June - Saluting Seniors 2011
Everyday through June - GOLDEN BAKED HAMS (Laguna Hills on Alicia Pkwy behind the Chevron Car Wash)
June 20 LHHS PTSA's Grad Nite Preview Night Event at Laguna Hills High School
June 22 Special SUPER WWW with 5 ITALIAN FOOD VENDORS - Mangia Bene (Laguna Niguel), Peppino's (Aliso Viejo), The Pizza Store (Laguna Hills), Romeo Cucina (Laguna Niguel), Villa Rom (Laguna Hills)
June 29 Deemer's American Grill (LN) La Paz and Pacific Park

July - Summer's Theme
July 6 - Flamingo's Mexican (LH) on McIntyre at La Paz
July 13 - Cafe Rio (LF) El Toro and Rockfield
July 20 - Subway (LH) at McIntyre/La Paz
July 27 - Genghis Khan Mongolian BBQ (LF) El Toro Rd.


HOW TO SUPPORT THE 3rd BATTALION, 5th MARINE DIVISION - Adopted by the City of Laguna Hills

***Special Request for helpers at the City's July 4th Event for the 3/5 Marines Support Committee's Booth - Team Dark Horse.


Team Dark Horse Committee NEEDs LOTS OF HELPERS TO STAFF THEIR BOOTH with the 3/5 Marines at the City's July 4th Celebration!!  We will be collecting for donations for shirts, hats, flags and new items to help raise funds to support the City's 3/5 Adopted Marines. The 3/5 Marines will again have a display like the one the public enjoyed so much on Memorial Day, but so many people are on vacation or gone for the day on the 4th that there aren't enough helpers to staff the booth. The celebration starts at 4:00 pm with carnival rides, activities, music, food, other booths and the Marine's Support booth located at the 3/5 Marine's display. Fireworks start at 9:10 pm. Lots of helpers are needed to hand out the "I love the 3/5" stickers and to collect donations for the items in the booth. Team Dark Horse Committee member, Micki Zettel, will head up the activities and work with volunteers on assignments and times you will be needed. Please come out on the 4th to help make this a success not just for the committee but for the 3/5 Marines. It will be a lot of fun to hang out with the Marines and a great way to say thank you to them!

Team Dark Horse Committee will also have a meeting at the Laguna Hills Community Center on Monday, June 27th, at 7:00 pm to finalize all the details.

Please call Micki as soon as you can to let her know how you can help on July 4th.  Micki's numbers are:  Work 949-582-5652  Home 949-859-1962

Any donation checks can be made specifically to "Laguna Hills Team Dark Horse" and mailed to - Team Dark Horse, 27251 Lost Colt Dr., Laguna Hills, CA. 92653. The Non-profit Corporation 501 (C) (3) status has been approved so all donations are tax deductible. E-mail Mike Bland at 35bland@gmail.com  with questions, suggestions, for information, or about donations, etc. The city e-mail for the 3/5 is 3/5-support@ci.laguna-hills.ca.us  The City Clerk Peggy Johns is the City Liaison to the 3/5 Support Committee. Go to the City web site by clicking on this link - http://www.ci.laguna-hills.ca.us/  

Please see the Laguna Hills 3/5 Adopted Marines Facebook page by clicking on this link - http://www.facebook.com/pages/Laguna-Hills-Team-Darkhorse/132765660119128  and share it with your friends!!


NEWS STORIES AND BLOGS ABOUT LAGUNA HILLS: Click on the links below to see the stories.

The NEW ORANGE COUNTY GRAND JURY REPORT - Compensation Study of Orange County Cities  http://www.ocgrandjury.org/pdfs/comp-study-oc-cities/Compensation-Study-of-Orange-County-Cities.pdf

NEW STORY - OCREGISTER: City manager says compensation is fair
http://www.ocregister.com/news/city-303264-channing-compensation.html

NEW STORY - OCREGISTER: Political rebel faces an uphill battle http://www.ocregister.com/news/city-303262-kogerman-channing.html

Councilwoman: Public pay report inaccurate, self serving
http://www.ocregister.com/news/city-299908-report-council.html  

OC Watchdog Lavish health benefits slashed in Laguna Hills, Tustin http://taxdollars.ocregister.com/2011/05/12/lavish-health-benefits-slashed-in-laguna-hills-tustin/82833/  

After attacks, city-manager-compensation sleuths win state award March 21st, 2011, posted by Teri Sforza, Register staff writer
http://taxdollars.ocregister.com/2011/03/21/after-attacks-city-manager-compensation-sleuths-win-state-award/78545/#comment-139633   Click on http://www.publicceo.com/  for more of this story.  

No more $60,000 SUVs for city manager?
http://taxdollars.ocregister.com/2011/02/09/no-more-60000-suvs-for-city-manager/75030/  

Gold-plated benefits? New councilwoman just says ‘no’ http://taxdollars.ocregister.com/2011/01/18/gold-plated-benefits-new-councilwoman-just-says-no/72532/  

OCREGISTER: Laguna Hills councilwoman says no to health benefits http://www.ocregister.com/news/city-282972-benefits-council.html  

O.C. cities lavished health benefits on council members
http://taxdollars.ocregister.com/2010/12/06/oc-cities-lavished-health-benefits-on-council-members/69544/

Who has the best-paid city council in California? (updated) http://taxdollars.ocregister.com/2010/12/02/who-has-the-best-paid-city-council-incalifornia/69418/
In Laguna Hills the Taxpayers pay the entire cost of heath care premiums for the elected part time city council members and their families. In addition, the City Manager's contract states "To the extent that payment of all or any portion of the dependent rate of premium, is not approved by the city council for all city employees, Channing shall be entitled to a salary increase or cash payment sufficient to cover the amount of premium or rate for dependent coverage not provided by the City plus applicable income taxes on that amount."

OCREGISTER: Kenneth Frank: In defense of city managers http://www.ocregister.com/opinion/city-277030-manager-laguna.html  "Citizens, in turn, must do their part to foster civic pride. They should demand that city council and planning meetings be televised and streamed online. And they need to become involved. In Laguna Beach, we have numerous homeowners associations and environmental, business and labor groups that encourage the exchange of ideas and enhance the interactivity between residents and elected officials.

OCREGISTER: Chris Norby: Local officials susceptible to 'Bell syndrome http://www.ocregister.com/opinion/elected-276253-city-syndrome.html  "Bell syndrome thrives where elected boards vote in lockstep, where groupthink is elevated, and skeptics are ostracized, and where top staff are seen as irreplaceable experts – with rubber-stamped salaries to prove it. Bell syndrome thrives when self-congratulation trumps self-examination."

OC has two of state’s best-paid city managers
http://taxdollars.ocregister.com/2010/09/17/oc-has-two-of-states-best-paid-city-managers/64492/  




CITY COUNCIL MEMBERS SAY the DARNDEST THINGS IN PUBLIC?  Memorable and surprising Public Quotes from City Council Members

June 10, 2008 - Mayor Allan Songstad said "We have to go through a bidding process and sometimes the low bidder is not always the best contractor, but sometimes that's what we're stuck with."
Thank you Mayor Songstad, that is exactly what we have been trying to tell you about the Laguna Hills City Council "sticking " the residents with the same bad vendor - The Orange County Animal Shelter for the past 19 years.

October 25, 2005 - Mayor Allan Songstad, speaking about the Laguna Hills City Council said, "When you've been doing business in a certain way for 13 years you're not likely to change that."
So true, Allan, so unfortunately true unless you change members of the city council.

August 19, 1994 - LHCC Member Allan Songstad - From the Los Angeles Times Newspaper Article Collections - Orange County Focus - August 19, 1994 LYNN FRANEY - Laguna Hills Councilman Declines to Run for Reelection With Councilman L. Allan Songstad Jr. declining to run for reelection, at least one newcomer will gain a seat on the City Council this fall. Songstad said he never intended to run for a second council term and that he is not a "career politician." That leaves space for at least one of the challengers, Cindy Greengold, Saeid Hariri, Grant R. Marcus or Charmane Riggs.

Now, in 2011 with 18 years on the Laguna Hills City Council we are guessing Council Member Songstad has changed his mind about being not being a "career politician."


CRIME IN YOUR NEIGHBORHOOD
For a roundup of Laguna Hills police calls - published May 11, 2011 click on:
http://www.ocregister.com/news/block-300013-disturbance-drive.html  and go to - www.ocregister.com/saddleback  for more.


WRITE A LETTER TO THE EDITOR of the Orange County Register
Letters to the Editor: E-mail to letters@ocregister.com  Please provide your name, city and telephone number (telephone numbers will not be published). Letters of about 200 words will be given preference. Letters will be edited for length, grammar and clarity.

Laguna Hills Watch Dog - Special MEMORIAL DAY HIGHLIGHTS Edition for May 30, 2011
==============================
For those of you who attended the Laguna Hills Memorial Day Event at the Community Center this year there was something very special, a Memorial Day connection. This year the event was more than just a race and booths, it was forever changed. The City's Adopted 3/5 Marines, the Darkhorse Battalion from Camp Pendleton, had just returned from almost a year in a very remote area of Afghanistan, Sangin Province, where they lost 25 of their men in combat and suffered 170 wounded. Despite all that, these Marines volunteered to bring their equipment to display in this event and 16 of the 3/5 Marines ran the 1/2 marathon. To express their gratitude to the residents of Laguna Hills and nearby communities who have shown so much support for them and for their families, the 3/5 took this time to say thank you to our City and to honor their fellow Marines who lost their lives in Afghanistan.

The 3/5 Marine's static display at the event consisted of 2 hefty combat vehicles with gun turrets on the roofs, light machine guns, and backpacks packed with the 200 lbs. of weight they actually carry in combat. The enthusiasm from the community was infectious. Kids were competing with adults for the 2 swivel seats in the combat vehicles that controlled the gun turrets and experimenting with trying on the backpacks while attempting to stand and walk. The Marines were dressed in their desert camouflage gear and Cpl. Vincente was creatively painting amazing faces, reminiscent of the movie Avatar, with camouflage paint on children and adults eagerly waiting in line.

Gunnery Sergeant Stanley was answering questions about the 3/5's deployment in Afghanistan and how they adapted. Many try to avoid imagining the real horror of combat but how many of us have thought about the details of their everyday lives in Afghanistan? One shocker was learning that the Marines drank the water in Afghanistan as soon as they arrived and endured the resulting Dysentery to build an immunity to it. Cpl. Holsey explained they were often pinned down in combat, couldn't get supplies and had to drink water where they could find it, so building resistance ahead of time could save their lives. Sgt. Stanley talked about the feelings of severe isolation especially for young Marines who had never been away from home prior to enlisting and now had maybe only one contact a month with their families. The long lasting effects on the body of dehydration in the desert was another significant problem. All of that contributed to the reasons why the seemingly little things, like Valentine cards, simple treats, small convenience items, socks and encouragement from our community were very important to them.

One of the Marines who had run the 1/2 marathon was asked by a buddy how his foot was doing. He responded that it was really acting up during the 9th mile of the race but was feeling better now. I was foolish enough to say, "It was a good thing you got out of the race when you felt the pain so you wouldn't end up with a permanent injury" and the Marine responded, "Oh, no, I just stopped for a minute and stretched it out but I got back in and finished. It was just something from an injury I got awhile back and I'll get it looked at next week". I should have known better!

There was a lot of activity at the table under Team Dark Horse's (Laguna Hills' Marine Support Committee) red easy up tent that displayed their Mission Statement "To provide encouragement, relief, and comfort to the Marines/Sailors and their families." Very special thank yous go to the tireless volunteers manning that tent from very early AM and into the afternoon. They were Dick Nagle (his wife Mary ran the 5K), Bob Dickson, Jonathan Bromberg, Evan Gost, Amy Stromer, Judy Rigdon, Mickie Zettel and Gerry Zettle who took lots of wonderful photos, and our City Clerk Peggy Johns who donates so much of her time. Dee Dee McGann-Gollwitzer, who took that beautiful classic, and now famous glowing photo, of the 3/5 Marine banner hanging on the side of the Community Center, took many early morning professional photos of the Marines their families and the activities.

We spotted Mayor Pro-Tem Melody Carruth early in the morning. Council Member Randy Bressette was helping all morning and his wife Mav was the unofficial but very effectively entertaining Grandma for the day to several children of Marines who were participating in the event. Other very supportive members of the community were Carol and John Vellema, Eileen Moore, Dawn Deshefy who ran the 1/2 marathon and Jim Deshefy. More thank yous go to Teresa Bonutto and the amazingly energetic Teen Dark Horse group who created the huge and sparklingly attractive WELCOME sign for the Marines that hung on the Hills Hotel, plus more special signs, and large balloon displays. They also served breakfast for the Marine spouses and children. In return, the Marines created a dynamite camouflage face on Teresa! Karen Robbins arranged for extra special coverage of this event featuring the 3/5 Marines on local NBC TV News. Another special thanks goes to the Hills Hotel who donated so many rooms for the Marines.

Runner Humberto Rojas won the 1/2 marathon for adults and we learned that Allyson Trussell, who was getting her face artfully decorated with camouflage was the winner of the 1/2 marathon for females under 12. She said she was from Newhart Middle School in Mission Viejo and fresh off of a full marathon on May 1st. She told us she had been training since Sept. and wanted to run in the Laguna Hills event to benefit the 3/5 Marines because she has an Uncle in the Air Force who is the younger brother of her proud mom Guinevere Trussell. Ryan Mitchell said he came all the way from Chino to run in the event to support the 3/5 Marines because he heard about this at work.

After the Memorial Day Event at the Community Center there was another very special and well attended Memorial Day Event at Mandeville Park in Laguna Hills where Eagle Scout James Purington was having a ceremony to dedicate the monument he created to all those who served, sacrificed and died for our country. Lt. Col. Morris, a 1988 Eagle Scout, and the current Commanding Officer for the 3/5 Marines attended with his son as did Major Bobo with his family. James said he looked at parks all over the city and chose this spot for the wonderful unobstructed view of the hills of Aliso Viejo and the surrounding park landscape. James' Mom read Lincoln's Gettysburg Address and noted that this holiday started as Decoration Day after the Civil War. The names of all of the 3/5 Marines killed in action in Afghanistan in 2010 were read allowed. James unveiled the memorial consisting of a large bronze plaque on a much larger natural boulder. On the bronze plaque were the words, "This memorial is dedicated to the men and women who served and fought for our freedom. As you admire the beautiful diverse terrain of Southern California, never forget that what makes this country strong are the courageous men and women who made this freedom possible. God Bless America."

Honor to soldiers and sailors everywhere whose bravery bears his country's cause - Abraham Lincoln

Speakers included Council Member Randy Bressette, and Lt. Col. Jason Morris who thanked James for memorializing those who served the nation and those from the 3/5 who lost their lives in Afghanistan and who deserve to still be remembered. He thanked Council Member Randy Bressette and Dark Horse Committee Chairman Mike Bland (also an Eagle Scout) and said they take great pride in their relationship with Laguna Hills. Council Member Bressette (Dad of an Eagle Scout) said he had seen a lot of Eagle Scout projects but this was especially meaningful as a lasting tribute to all the military and especially to our own 3/5. He then presented a Certificate of Appreciation from the City of Laguna Hills to James Purington. Mike Bland thanked all the members of Team Dark Horse and Teen Dark Horse and the 3/5 Marines who were still in Afghanistan when this memorial service was being planned but immediately agreed to participate upon their return.

Another very special guest at this event was Ernest Schimmer, a Laguna Hills resident and a Navy Sailor in WW II. He served on the USS Kalinin Bay and participated in the battle of Leyte Gulf on Oct. 25, 1944. He enlisted when he was 18 years old, is now 85 and declared that he believes he owes his continued good health to playing Badminton continuously since the age of 11. The very interesting history of the USS Kalinin Bay including the battle of the Leyte Gulf can be seen at http://en.wikipedia.org/wiki/USS_Kalinin_Bay_(CVE-68)  Jean Bland