For City Council Meeting [September 27, 2022]
TO: Honorable Mayor and City Council
APPROVAL: Marcus Fuller, City Manager
FROM: Eric S. Vail, City Attorney
Algeria R. Ford, Assistant City Attorney
Title
Request City Council to Introduce Ordinance No. 1671, Amending Section 1.14.030 of Chapter 1.14 of the Rialto Municipal Code, Provide First Reading by Title and Waive Further Reading.
(ACTION)
Body
BACKGROUND
In accordance with Section 935 of the California Government Code, the City Council is authorized to establish procedures for all claims against the City for money or damages which are exempted from or not otherwise governed by Government Code Section 900 et seq. Section 935.4 of the California Government Code further permits a City Council, by resolution or ordinance, to authorize a City employee to perform certain functions with respect to the processing of claims, including reviewing such claims for sufficiency, rejecting claims, as well as compromising and settling such claims not in excess of $50,000.
The City Manager currently has $15,000 in settlement authority to allow, compromise, or settle claims. This authority was approved by the City Council in 2001.
ANALYSIS/DISCUSSION
The following table summarizes the authorization levels of surrounding jurisdictions:
Based on the length of time the current settlement authority has been in place and in comparison to authorization limits in other jurisdictions, staff recommends that City Council introduce the proposed ordinance amending Section 1.14.030 providing the City Manager with the authority to settle claims against the City up to $50,000. Claims that exceed $50,000 will require City Council approval. Increasing the settlement authority is consistent with state law and allows for the processing of claims more efficiently and expeditiously. This amendment also supports early settlement assessment and keeps more claims from becoming lawsuits requiring legal expenses to assess and defend.
ENVIRONMENTAL IMPACT
The proposed actions do not constitute a “project” as defined by the California Environmental Quality Act (CEQA). Pursuant to Section 15378(b) of the State CEQA Guidelines, a project does not include organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.
GENERAL PLAN CONSISTENCY
This action is consistent with Guiding Principle 3A of the General Plan:
Our City government will lead by example, and will operate in an open, transparent, and responsive manner that meets the needs of the citizens and is a good place to do business.
LEGAL REVIEW
The City Attorney has prepared and supports this Staff Report and Ordinance.
FINANCIAL IMPACT
Operating Budget Impact
Adopting the Resolution as proposed will have no impact on the Fiscal Year 2022-2023 operating budget.
RECOMMENDATION
Staff recommends that the City Council Introduce an Ordinance Amending Section 1.14.030 of Chapter 1.14 of the Rialto Municipal Code, Provide First Reading by Title and Waive Further Reading.