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HomeMy WebLinkAboutS15 - Proposed Association of Orange County CitiesCITY OF NEWPORT BEACH CITY COUNCIL STAFF REPORT Agenda Item No. S15 November 9, 2010 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: City Manager's Office Dave Kiff, City Manager 949 - 644 -3000, Dkiff @newportbeachca.gov SUBJECT: Proposed Association of Orange County Cities RECOMMENDATION: Direct the City Manager to express the City's formal: 1. Support of a new Association of Orange County Cities as a replacement entity to the Orange County Division of the League of California Cities; and 2. Support of the City of Newport Beach's continued membership in the League of California Cities. DISCUSSION: The League of California Cities (State League) provides legislative advocacy, professional development and education services to member cities. The State League is divided into sixteen (16) Regional Divisions, one of which is Orange County. The Orange County Division - League of California Cities (OC Division) is the only Regional Division with a full -time staff and a separate dues structure. OC Division staff are considered employees of the State League. Division dues are paid to the State League which provides administrative support services (i.e. payroll, accounting, human resources) for the separately budgeted activities of the OC Division. For philosophical and /or economic reasons, several Orange County cities have dropped their State League memberships and have stopped paying State League dues. As a result, the State League does not allow these cities to formally participate in the activities of the Orange County Division or pay Division dues. Several other Orange County cities have stated their intent to drop out of the State League in 2011, some for political and some for economic reasons. The impact of the current and prospective withdrawals from the State League threatens the financial capability of the OC Division to continue to support a full -time staff and provide the Association of California Cities - Orange County November 9, 2010 Page 2 broad range of Division membership and representation services, educational programs and collaborative opportunities that currently exist. The OC Division elected officials have proposed the formation of a new 501(c)(3) non- profit organization that may be known as the Association of Orange County Cities. The new Association would provide essentially the same services and programs of the current OC Division; however, it would be legally and financially separate from the State League. Benefits to the formation of the new Association: • Any Orange County city could continue to pay dues to, and fully participate in the policy development, legislative advocacy and educational programs of, the State League. • Any Orange County city that declines State League membership could choose to pay dues to and be a member of the new Association. That is not possible under current State League administrative policy. If some or all of the current and prospective State League non - member OC Cities chose to join the new Association, the financial position of the new Association and its ability to continue to provide a broad range of services to its members would be strengthened. • The current OC Division staff would be removed from the position of being State League employees who are primarily accountable to a Regional Division and Board who sometimes find themselves in conflict with State League legislative priorities and positions. • The new Association could take a legislative position on behalf of Orange County cities that is in conflict with the State League, and communicate that position without violating State League By -Laws. FISCAL IMPACT: None. It is proposed that the dues structure for the new Orange County Association be that same as the 2010 dues structure for the OC Division of the State League. The 2010 membership dues to the OC Division for the City of Newport Beach was $16,562. Association of California Cities - Orange County November 9, 2010 Page 3 Public Notice: This agenda item may be noticed according to the Ralph M. Brown Act (72 hours in advance of the public meeting at which the City Council considers the item). Submitted by: Dave ff City Manager