Stockton City Council/Successor Agency Concurrent Meeting – December 3, 2024

On December 3, 2024, the Stockton City Council/Successor Agency to the Redevelopment Agency/Public Financing Authority/Parking Authority held a concurrent meeting in the Council Chamber at City Hall, 425 N. El Dorado Street, Stockton. The closed session began at 4:30 PM and the regular session convened at 5:30 PM, adjourning at 7:12 PM. All seven council members were present; Vice Mayor Kimberly Warmsley participated by teleconference from Alexandria, Virginia. City Attorney Lori Asuncion reported no reportable action from closed session. No agenda was available, so this summary is based on the posted minutes and the meeting transcript.

Consent Calendar

• The consent calendar was approved 7-0 with one item pulled. The minutes state Item 12.6 (Townsend Public Affairs federal legislative advocacy contract) was removed and heard separately, but the transcript and the separate minutes entry show Item 12.16 (Alexandria Place sewer repair) was the pulled item; no separate outcome for 12.6 is shown in the provided materials.
• 12.1 – Resolution 2024-12-03-1201 authorizing a legal services agreement with Atkinson, Andelson, Loya, Ruud & Romo.
• 12.2 – Resolution 2024-12-03-1202 reappointing Gary Lambdin to the San Joaquin County Mosquito and Vector Control District Board through December 31, 2028.
• 12.3 – Resolution 2024-12-03-1203 reappointing Michael Duffy to the Stockton Port Commission for January 16, 2025 through January 15, 2029.
• 12.4 – Resolution 2024-12-03-1204 rescinding and replacing the City's Conflict of Interest Code and updating designated positions.
• 12.5 – Resolution 2024-12-03-1205 authorizing a $875,900.55 subagreement with Amelia Ann Adams Whole Life Center for the Skilled Through Alternative Routes (STAR) youth workforce development program, including a competitive bidding exception finding.
• 12.7 – Resolution 2024-12-03-1207 authorizing MLB-required Banner Island Ballpark renovations with Haggerty Construction, Inc. for $6,100,000, funded by $1,500,000 from the Venues Fund, $2,500,000 from the General Fund, and $100,000 in ARPA funds; also approving CEQA Notice of Exemption No. NOE21-24.
• 12.8 – Motion 2024-12-03-1208 approving a $427,500 contract with Mark Thomas & Company, Inc. for the Downtown Stockton Multimodal Transportation Network and Land Use Compatibility Action Plan, funded by a Caltrans Sustainable Transportation Grant.
• 12.9 – Resolution 2024-12-03-1209 authorizing a new lease with Basketball Development LLC (Sacramento Kings) for the Stockton Kings G League team to use Adventist Health Arena.
• 12.10 – Resolution 2024-12-03-1210 authorizing a grant application to the California Division of Boating and Waterways Waterway Connections Initiative for a Louis Park boat launch, with CEQA Notice of Exemption No. NOE 55-24.
• 12.11 – Motion 2024-12-03-1211 approving Amendment No. 2 to Visionary Home Builders' Villa D'Flore Homekey grant, adding up to $407,500 in HHAP Round 4 funds for a total grant not to exceed $6,479,780.
• 12.12 – Resolution 2024-12-03-1212 adopting the CalPERS-required publicly available bi-weekly salary schedule for FY 2024-2025.
• 12.13 – Resolution 2024-12-03-1213 establishing a new Transportation Manager classification in Public Works and setting a salary range.
• 12.14 – Resolution 2024-12-03-1214 changing specified unrepresented classifications from classified to unclassified service.
• 12.15 – Motion 2024-12-03-1215 approving a cooperative purchasing agreement with Dell Marketing L.P. through California DGS/NASPO, not to exceed $4,801,301, with bidding exception findings.
• 12.16 – Resolution 2024-12-03-1216 ratifying final expenses of $624,765 to Soracco Inc. for the Alexandria Place sanitary sewer pipeline repair; pulled by Councilmember Blower and approved separately 7-0. Blower noted the sinkhole was reported August 5, 2024 and the repair was completed ahead of schedule during fall break.
• 12.17 – Resolution 2024-12-03-1217 approving a two-year contract extension with Aqua-Science LLC for aquatic toxicity testing.
• 12.18 – Motion 2024-12-03-1218 authorizing a one-time purchase from Wooldridge Boats for a shallow water boat with accessories, not to exceed $110,000.
• 12.19 – Ordinance 2024-12-03-1219 amending Stockton Municipal Code Title 8, Chapter 8.44 to correct inconsistencies and improve administration and enforcement.
• 12.20 – Motion 2024-12-03-1220 authorizing Professional Services Contract Amendment No. 3 with Design Workshop, Inc. for $1,306,000 for additional design services for the Van Buskirk Municipal Golf Course.

Public Comments & Testimony

• Carol Ornelas, President/CEO of Visionary Home Builders, expressed profound disappointment with the lack of transparency and collaboration in the recent housing fund award process. She formally requested the official scores for Visionary Home Builders' application and said being characterized only as a community housing development organization was dismissive of the organization's broader capability.
• Valentino Silva, Chief Aide for Visionary Home Builders, said the organization has served Stockton for over 40 years but often has to fight harder to perform in Stockton than in neighboring cities. He called for genuine collaboration, layered financing, and partnership between developers and public agencies.
• Maria Alvarado, a project manager with Visionary Home Builders, Stockton resident, charter school founder, and Marine veteran, said the funding process lacked transparency, that not all projects appeared to receive fair and equal opportunity, and that funding was concentrated in one project. She urged transparent and equitable decision-making.
• Rosa Mesa, a member of the Visionary Home Builders development team, said the Economic Development Department took away 50% of the organization's total points for alleged noncompliance even though the application showed a maximum possible deduction of 10 points, and without a formal breakdown. She cited 168 homes built and fully leased by Visionary Home Builders in the last three years.
• Vernal Hill, CEO of Service First and a local Stockton developer, said he requested $5 million in city funding for the Hunter House project in February 2024. He stated that with that funding the project would have had a tiebreaker score of 82.654 versus the 81.887 awarded to the recommended Central Valley senior project, adding 120 units. He said the city was pulling $3 million of committed funds and that this was wrong.
• Isak Cosene, Jerry Wilson, and Waidee spoke in support of a neighborhood store obtaining a beer license, citing convenience and avoiding longer trips.
• For hearing 16.1 (2208 East Main Street): Darwin Drew supported the applicant, describing Mi Ranchito as a full market in a food-desert area with ample parking and foot traffic. Anthony Berry, a former ABC employee with 30 years of licensing experience, said no protests were received after notifications to residents, schools, churches, and parks within 500 feet; he said the store has 16 cameras and beer/wine would be roughly 10% of gross sales. Mary Elizabeth, the appellant, said Census Tract 19 is a disadvantaged community already containing eight liquor licenses in a 1.1-square-mile area, that Stockton is the only San Joaquin County community with a moratorium on beer/wine licenses due to overconcentration, and she urged denial. Esperanza Vielma also urged denial, citing research linking alcohol outlet oversaturation to crime and public health harms and noting that Oakland, San Francisco, and Los Angeles have used moratoriums or caps in high-density neighborhoods.

Discussion Items

• 15.1 Ava Community Energy (informational item; no action): Alex DeGiorgio, Senior Manager for Public Engagement at Ava Community Energy, presented. Ava is a not-for-profit joint powers authority, and service to Stockton and Lathrop will begin in April 2025. The default Bright Choice option is approximately 55% renewable and 5% below PG&E rates; a 100% renewable option costs about $3–5 more per month; customers may opt out. Outreach will begin February 2025 with legally required notices, advertising, community events, office hours, and a local Stockton outreach coordinator. Councilmember Wright said Ava provides true renewable sources, unlike PG&E's nuclear energy from Diablo Canyon, and called the project a passion of his since 2016.
• 15.2 Transformative Climate Communities (informational item; no action): Grant Kirkpatrick, Environmental and Sustainability Officer, reported on Stockton Rising. Round 3 was awarded $10.8 million in June 2020 and Round 4 was awarded $24.2 million in 2022, for a total of $35 million within a strict five-square-mile South Stockton project area. Round 3 results included more than 250 homes served with energy and water efficient devices, solar installed at 52 single-family homes and 4 multifamily sites generating 554 kW, over 1,400 trees planted, over 6,000 community-supported agriculture boxes distributed, and over 100 jobs supported. Round 4 targets include 400 homes served with efficiency devices, 87 single-family solar homes plus one multifamily site, about 1,500 more trees, approximately 19,200 CSA boxes, 250 asthma-mitigation visits, one hybrid electric bus costing about $1.2 million, and about 250 job opportunities. He also noted $7 million in Prop 68 Statewide Parks Program funds and a $7 million ORLIP federal grant, together providing $14 million for Van Buskirk Park phase one.
• 15.3 Miracle Mile Public Safety, Maintenance Substation and Parking Improvement Development Project: Chad Reed, Public Works Director, requested approval of a $3,100,000 grant award to the Miracle Mile Community Improvement District. State funds appropriated through Caltrans would fund property acquisition at 230-250 Dorris Place and 231 Bedford Road for $975,000, property renovations for $525,000, public safety improvements for $750,000, and parking and maintenance improvements for $850,000. The city would retain $550,000 for parking lot improvements. Councilmember Lenz asked what the maintenance substation would be; staff explained it would house district offices and equipment.
• 15.4 Fiscal Year 2023-24 Fourth Quarter Budget Status Update: Emil DeRoyo, Budget Officer, presented preliminary unaudited results. General Fund revenues were $325.6 million versus a $305.4 million budget, up $20.2 million or 6.6%. The largest variance was investment/interest income coming in about $5.1 million above budget; business license tax was $4.1 million higher, program revenues were $4.3 million higher, and property tax was $2.7 million higher. General Fund expenditures were $335.3 million versus a $352.2 million budget, down $16.9 million or 4.8%. Police savings were $10.4 million and Fire savings were $2.4 million, largely from vacancies; the total General Fund vacancy rate fell to 12.3% from 15.4%. The net position was negative $9.7 million, with a favorable budget variance of $37.04 million. Staff recommended a $1,073,000 reserve for increased Assured Guaranty settlement contingent payments, bringing that total reserve to $3,010,000; $13.8 million to reserves; and $23.225 million for Council priority projects. The priority allocations included $11.7 million for the new City Hall, $2.8 million for a satellite animal shelter and veterinary clinic, $2.5 million for Banner Island Ballpark, $2 million for redevelopment, $1 million for the Westlakes fire station property, $125,000 for the Stockton Yes program, and $100,000 for a classification and compensation study. The item also included a $25,310 Downtown Marina Fund budget amendment, a $59,410 CDBG Revolving Loan expense increase, continuation of up to $404,681 in appropriations to FY 2024-25, and one new full-time Fire Prevention Inspector I/II position effective January 1, 2025.

Hearings

• 16.1 Appeal of the Planning Commission approval for off-sale beer and wine at 2208 East Main Street: Stephanie Ocasio, Community Development Director, presented staff's recommendation to deny the appeal and affirm the Planning Commission's July 25, 2024 approval. The appeal was filed by Mary Elizabeth on August 5, 2024, citing overconcentration in Census Tract 19. The site is an existing market, Mi Ranchito; two off-sale establishments exist within 500 feet, triggering a waiver. The proposal is for a Type 20 ABC license limited to beer and wine, with no more than 20% of floor area devoted to those products and no distilled spirits. Stockton Police Department Captain Cobbierce reported 14 total incidences over a two-year period at 2208 East Main Street, some non-criminal. Council discussion addressed the difference between ABC census-tract overconcentration standards and municipal code location standards, as well as enforcement of the 20% floor-area limit. After closing the hearing, the Council denied the appeal by a 4-3 vote.
• 16.2 Appeal of the Planning Commission's approval of a Use Permit, specifically Condition of Approval No. 8, for an ABC license upgrade at 2910 West Eight Mile Road: The applicant withdrew the appeal. The public hearing was opened and closed with no council action taken.
• 16.3 Appeal of the Planning Commission approval of a Commission Use Permit for a cannabis retail storefront at 1748 West Fremont Street: The applicant requested a continuance because they were unable to be present. The Council closed the hearing and voted 7-0 to continue the item to the next available date.

Announcements & Council Comments

• City Manager Harry Black announced the city's annual Holiday Tree Lighting on December 7, 2024, from 3:00 PM to 7:00 PM, with the tree lighting at 5:30 PM and the lighted boat parade at 6:30 PM.
• Councilmember Padilla highlighted winter break camps and winter theater camps offered by Parks and Recreation, and noted ongoing work with Fish and Game regarding Pixie Slough.
• Councilmember Blower reminded the public that the Stockton Lantern Festival runs December 4, 2024 through January 19, 2025, with tickets available at StocktonLive.com.
• Councilmember Villapudua thanked his colleagues and referenced recent wins in South Stockton, McKinley Park, Van Buskirk, and Banner Island.
• Councilmember Lenz said public comment raised concerns about housing fund distribution and asked the City Manager to review the process to ensure it is fair, inclusive, and transparent.
• Councilmember Wright said the municipal code and ABC code should be more aligned on alcohol overconcentration, acknowledged the difficulty of small-business liquor votes, and praised the County Be Well Center and the infusion of mental health services.

Key Outcomes

• Consent calendar approved 7-0, with Item 12.16 approved separately 7-0. The discrepancy regarding Item 12.6 versus 12.16 is noted above.
• Resolution 2024-12-03-1503 approving the $3,100,000 Miracle Mile grant award and grant agreement passed 7-0.
• Resolution 2024-12-03-1504 accepting the FY 2023-24 fourth quarter budget status update, authorizing budget amendments, making reserve allocations, and appropriating $23.225 million for Council priority projects passed 7-0.
• Resolution 2024-12-03-1601 denying the appeal and affirming the Planning Commission's approval for off-sale beer and wine at 2208 East Main Street passed 4-3. Yes: Michael Blower, Susan Lenz, Kevin J Lincoln II, and Daniel Wright. No: Brando Villapudua, Michele Padilla, and Kimberly Warmsley.
• The appeal for 2910 West Eight Mile Road was withdrawn by the applicant; no action taken.
• Motion 2024-12-03-1603 to continue the cannabis retail storefront appeal for 1748 West Fremont Street to the next available date passed 7-0.