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HomeMy WebLinkAbout2014 Item 2 - Mooring RevocationsCITY OF °� mz NEWPORT BEACH C9CF00.NP Harbor Commission Staff Repo TO: HARBOR COMMISSION rt Agenda Item No. 2 July 21, 2014 FROM: Public Works Department Chris Miller, Harbor Manager 949 - 644 -3043, cmiller @newportbeachca.gov PREPARED BY: Shannon Levin, Harbor Analyst 949 - 644 -3041, Shannon @newportbeachca.gov TITLE: Mooring Permit Revocations For Failure to Pay Annual Rental Fees: A -094, B -043, H -410, H -813, J -0053, and J -0073 ABSTRACT: Six mooring permittees have failed to pay the annual mooring rental fees despite repeated attempts by City staff to collect the fees. Mooring permits may be revoked due to failure to pay annual rental fees. Annual rental fees are initially invoiced in January with late— payment notices in March and April. According to Newport Beach Municipal Code (NBMC) Chapter 17.70, the Harbor Commission shall conduct a hearing prior to revoking a mooring permit. RECOMMENDATION: 1. Hold a public hearing, consider the relevant evidence, and if justified under NBMC Sections 17.60.040(L)(1) and 17.70.020(A)(5), revoke mooring permit A -0094 for failure to pay annual rental fees. 2. Hold a public hearing, consider the relevant evidence, and if justified under NBMC Sections 17.60.040(L)(1) and 17.70.020(A)(5), revoke mooring permit B -043 for failure to pay annual rental fees. 3. Hold a public hearing, consider the relevant evidence, and if justified under NBMC Sections 17.60.040(L)(1) and 17.70.020(A)(5), revoke mooring permit H -410 for failure to pay annual rental fees. 4. Hold a public hearing, consider the relevant evidence, and if justified under NBMC Sections 17.60.040(L)(1) and 17.70.020(A)(5), revoke mooring permit H -813 for failure to pay annual rental fees. A -094, B -043, H -410, H -813, J -0053, and J -0073 July 21, 2014 Page 2 5. Hold a public hearing, consider the relevant evidence, and if justified under NBMC Sections 17.60.040(L)(1) and 17.70.020(A)(5), revoke mooring permit J -0053 for failure to pay annual rental fees. 6. Hold a public hearing, consider the relevant evidence, and if justified under NBMC Sections 17.60.040(L)(1) and 17.70.020(A)(5), revoke mooring permit J -0073 for failure to pay annual rental fees. FUNDING REQUIREMENTS: The mooring permittee shall be entitled to recover all of the permittee's mooring equipment within thirty (30) days of reversion. If the mooring permittee does not recover his equipment, the permittee shall be entitled to payment from the City of the fair value of the mooring equipment as depreciated by use in an amount to be determined by the Harbor Resources Manager as set in the City's master fee resolution, NBMC 17.60.040(M)(2). DISCUSSION: The City of Newport Beach ( "City ") manages the tidelands pursuant to various legislative grants from the State of California. The City leases the tidelands to third parties through a series of permits, franchises, and leases. One of those permits administered by the City is the mooring permit. A mooring permit is a temporary use of a specific location within Newport Harbor, and the Harbor Resources Manager may issue a mooring permit to allow the mooring permittee to temporarily use a portion of the waters of Newport Harbor for the mooring of a vessel. On January 22, 2014 the City's Revenue Division invoiced all mooring permittees for the 2014 Mooring Permit. The Second and Third Notices were issued on March 10, 2014 and April 8, 2014 respectively. Additionally both Harbor Patrol staff and Harbor Resources staff attempted contact with the permittees by telephone or email in an effort to collect the annual rental fees. Originally, the list of delinquent fees had ten names and has been trimmed to six names. On June 12, 2014, Harbor Resources staff sent letters to each permittee noticing the revocation hearing and advising of the process of revocation due to failure to pay the associated mooring fees for a period of sixty (60) calendar days or more pursuant to Newport Beach Municipal Code ( "NBMC ") Sections 17.60.040(D), 17.60.040(L)(1), and 17.70.020(A)(5). According to NBMC Sections 17.60.040(L)(2) and 17.70.020(B) a revocation hearing is scheduled before the Harbor Commission to provide a forum for the permittee to present written and verbal evidence to the Harbor Commission explaining why the mooring permit should not be revoked. The Harbor Commission presides over the hearing, receives relevant evidence, and renders a decision. A -094, B -043, H -410, H -813, J -0053, and J -0073 July 21, 2014 Page 3 Mooring Permit Conditions The mooring permit is subject to permit requirements and the permittee shall be responsible for all activities related to that mooring permit. According to Newport Beach Municipal Code Section 17.60.040(B)(2)(b), the permittee shall agree to be responsible for permit fees, maintenance, and repair of mooring equipment. Grounds for Revocation NBMC Sections 17.60.040(L)(1) and 17.70.020(A)(5) provide that when a mooring rental fee is in arrears for a period of sixty (60) days or more, the Harbor Commission may revoke the permit. Additionally NBMC Section 17.70.020(A)(5) authorizes the Harbor Commission to revoke the permit upon the grounds of failure to pay fees and breach of terms of the permit. Should the Harbor Commission render a decision to revoke the mooring permit(s), staff will send a Notice of Decision to the permittee. The decision to revoke a permit shall become final fourteen (14) days after the date of the decision unless appealed. Decisions of the Harbor Commission may be appealed to the City Council by a member of the City Council within fourteen (14) days of the decision per NBMC Chapter 17.65. The following mooring permits are subject to revocation for unpaid 2014 mooring fees: Mooring Permittee Past Due Fees Mooring Length A -0094 Michael Ruffatto $4525.80 95 ft. B -043 Richard Jacks $2143.80 45 ft. H -410 Robert White $1905.60 40 ft. H -813 David Panknin $2143.80 45 ft. J -0053 David Evans $2143.80 45 ft. J -0073 Ashley Lowy $2382.00 50 ft. Moorings Reverted to the City Should the Commission decide to revoke one or more of the mooring permits, those moorings will revert back to the City, per NBMC Section 17.60.040(M). Should a mooring revert back to the City, the mooring permittee shall be entitled to recover all of the permittee's mooring equipment within thirty (30) days of reversion. If the mooring permittee does not recover his equipment, the permittee shall be entitled to payment from the City of the fair value of the mooring equipment as depreciated by use in an A -094, B -043, H -410, H -813, J -0053, and J -0073 July 21, 2014 Page 4 amount to be determined by the Harbor Resources Manager as set in the City's master fee resolution, NBMC 17.60.040(M)(2). The mooring then may then be offered to an individual from the interest list. No mooring that reverts to the City for assignment off of the interest list shall have any right to a later assignment by a mooring permittee whatsoever. 1. Staff recommends to Harbor Commission to revoke mooring A -094. 2. Staff recommends to Harbor Commission to revoke mooring B -043. 3. Staff recommends to Harbor Commission to revoke mooring H-410. 4. Staff recommends to Harbor Commission to revoke mooring H -813. 5. Staff recommends to Harbor Commission to revoke mooring J -0053. 6. Staff recommends to Harbor Commission to revoke mooring J -0073. ENVIRONMENTAL REVIEW: Staff recommends the Harbor Commission find this action is not subject to the California Environmental Quality Act ( "CEQA ") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. NOTICING: This agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the Harbor Commission considers this item). Submitted by: Shann evin Harbor Analyst