Dr. William White Presents: The History of Sierra Madre Community Hospital Details on Page 2

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Dr. William White Presents: The History of Sierra Madre Community Hospital Details on Page 2


 SATURDAY, JULY 28, 2018 

VOLUME 12 NO. 30



"I am proud we were able to come to a solution 
without having to eliminate services or having to ask 
our residents to pay another tax. This Council has 
been committed to achieving a sustainable budget 
and invest in our infrastructure. Mayor Pro Tempe 
Harabedian was correct, the sustainable pension 
plan is another investment investment in our City. "

Sierra Madre Mayor Denise DelMar

Sierra Madre City Council approved a 
Pension Rate Stabilization Plan, Tuesday, 
which would require the City to pay a lump 
sum pre-payment to CalPERS for Unfunded 
Accrued Liability (UAL), and also authorize 
the establishment of a trust fund to help 
alleviate expenditures. 

 Pension costs are expected to increase over 
time, triggering the City to look at options that 
would not include depending on residents 
to foot the bill, or cutting or outsourcing 
services. For fiscal year 16-17 UAL payments 
increased from $754,000 to $1 million and 
another increase of 32% is expected for fiscal 
year ending 18-19. 

 Paying CalPERS UAL rates above the annual 
requirements is one of the targeted goals 
suggested by City Management. Staff suggests 
a $5 million payment for UAL to be paid by 
July 31, 2018, which will increase pension 
expense for this fiscal year, but will result 
around $6.9 million in interest savings. The 
sources for the pre-payment of the $5 million 
of the UAL include: 

1. General Fund balance above 50% ($1.8
2. Sale of SCE underground credits
3. Close out of accounts/transfers 
4. Revision of General Fund balance from
50% to 25% ($2.5 million). 

 During the July 24, 2018 meeting, Council 
did approve Resolution 18-40, to revise the 
General Fund Balance Policy from 50% 
operating revenues to 25%. This will free 
up approximately $2.5 million for pension 

 In addition, a 115 Trust Fund is expected to 
receive subsidy at a later date and the City will 
earmark $600,000, which is one year’s PERS 
Rate payment to be deposited down the road. 
The City is expected to receive greater returns 
using the 115 Trust than they would with 
their current investment policy. And, these 
funds can be used to offset pension costs. 

 Local California government setting up 115 
Trust Funds is a pretty recent idea. The hope is 
this funding will also improve Sierra Madre’s 
credit rating, while the City continues to 
maintain local control over assets. The funding 
would also be available for emergencies such 
as fires, wind storms, etc. 

 Authorization of the lump sum payment to 
UAL, the establishment of the 115 Trust Fund, 
and the passing of Resolution 18-40, were 
all unanimously approved by Council. All 
members were present. 

 A few Council Members vocalized their 
displeasure over having to pre-pay $5 million, 
all took time to praise the efforts of the 
City Manager, Gabriel Engeland, Assistant 
City Manager, Marcie Medina and staff for 
constructing a “creative” pension stabilization 
plan that did not included raising taxes 
on Sierra Madre residents. “I do have to 
commend our City Manager and Assistant 
City Manager, and the staff and whole finance 
department for coming up with what we feel 
is a solution to a problem that we didn’t think 
had a solution,” Mayor Delmar said at the 
close of the meeting. 

 City Council will meet on July 31, 2018, 
at 6:30 p.m. for a public hearing to discuss 
Proposition 218, on Water and Sewer Rate 
Adjustment, before they break for the 
summer. K. McGuire/MVNews


On Sunday, speed and running a stop sign have been attributed as the cause of the crash pictured above 
according to SMPD Sgt. Amos. Two people were injured when their southbound vehicle barreled through 
the stop sign at Santa Anita and Grandview hitting another vehicle. The driver and passenger, both in their 
20s from El Monte who were leaving Chantry Flat, were taken to the hospital and released. The other 
vehicle’s passengers were from Arcadia. Photo courtesy SMPD 

City of Sierra Madre


From: The City of Sierra Madre

Subject: Public Hearing: Conclusion of Proposition 218 Process for Water and Sewer Rate 

 Adjustments – Second Notice 

Notice is hereby given that on July 31, 2018, at 6:30 PM, or soon thereafter, the Sierra Madre City Council will conduct a Public 
Hearing to hear testimony on the Conclusion of the Proposition 218 Process for Water and Sewer Rate Adjustments.

The City began Proposition 218 proceedings on June 12, 2018. The City Council has set July 31, 2018 at 9:30 am as the day and 
time for the public tabulation of protests. The tabulation will be conducted at Sierra Madre City Hall Council Chambers, located 
at 232 W. Sierra Madre Blvd., Sierra Madre, CA 91024. The City Council has also set July 31, 2018 at 6:30 pm as the day and 
time for the Public Hearing as required by Proposition 218. The Public Hearing will be held in Sierra Madre City Hall Council 
Chambers, located at 232 W. Sierra Madre Blvd., Sierra Madre, CA 91024. 

Please contact Assistant City Clerk Laura Aguilar at (626) 355-7135 or at LAguilar@cityofsierramadre.com if you have any 
questions about this matter.

Mountain Views News 80 W Sierra Madre Blvd. No. 327 Sierra Madre, Ca. 91024 Office: 626.355.2737 Fax: 626.609.3285 Email: editor@mtnviewsnews.com Website: www.mtnviewsnews.com

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