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Home My WebLink About01 - MinutesJuly 10, 2018 CITY OF NEWPORT BEACH Agenda Item No. 1 City Council Minutes Study Session and Regular Meeting June 26, 2018 I. ROLL CALL - 4:32 p.m. Present: Council Member Brad Avery, Council Member Diane Dixon, Council Member Jeff Herdman, Council Member Kevin Muldoon, Council Member Scott Peotter, Mayor Pro Tem Will O'Neill, Mayor Duffy Duffield II. CURRENT BUSINESS SS1. Discussion Relating to Amending the City Charter Regarding Majority Voter Approval of Certain Debt City Manager Kiff noted the election item on the purpose of the proposed Charter amendment., and threshold, if the amount should be adjusted amn.uzal Larry Tucker, Finance Committee member Out. the proposal was not brought before the Finaice,. be handled, if reserves would be used in the futu bind future City Councils. meeting agenda, reviewed the Council can decide on a dollar there should be exemptions. Eg a i an individual, expressed concern it.tee. He asked how a campaign would void going to a vote, and how it would Jim Mosher believed the proposal has not been reviewed thoroughly, suggested postponing placing this on thb November ballot, questioned the deadlines outlined in the staff reports, suggested creating'a legislative committee, and raised questions and concerns with the Charter amendment. Bob McCaffrey discussed Proposition 13, believed taxpayers should decide on large City spending, and suggested a 2/3 voter approval threshold. Council Member Muldoon noted this was discussed two years ago, staff did not take it to the Finance Committee, Council should decide these types of issues, costs can be estimated to see if there is voter support for the project., discussed when Certificates of Participation (COP) would be used, discussed the purpose of the proposal, agreed it should not bind future Councils on unreasonable projects, suggested placing a 55% voter approval with a $25 million threshold, and agreed that an emergency exemption should be included. Council Member Peotter indicated he has been a supporter of this since 2014 due to the cost of the city hall and park project, believed the past Council obligated future voters to pay the debt on this project, took issue with growing government, expressed support for the suggested thresholds, and suggested amending the ballot description language. Volume 63 - Page 540 City of Newport Beach Study Session and Regular Meeting June 26, 2018 In response to Council questions, City Clerk Brown discussed election deadlines. City Manager Mff confirmed most of the current. Council Members will not be seated when 18 of the 19 large projects will be considered, reported on city hall and park project payment amounts and subsidies, and thatit represents about 4.7% of the general fund expenditure budget. Bond Counsel Brian Forbath, Stradling, Yocca Carlson & Rauth, confirmed COPS could be used for the sea wall project and discussed the possible need for an asset transfer for that. project. Council Member Dixon suggested exempting police and fire facilities, and having a $30 million or $40 million threshold with a 2/3 vote. Mayor Pro Tem O'Neill indicated he could support a $50 million threshold due to funding concerns, noting Facilities Financing Plan (FFP) funding is associated with development.. He noted City Councils set aside money every year for Harbor capital improvements; however, expressed concerns with drawing clown the FFP to a point that the City would need to use general fund money or reserves. Mayor Duffield discussed the concerns he heard fro the city hall and park project and indicated the proj a vote. Council Member Avery emphasized Coun than necessary for the city hall and park and expressed his reticent, support fox a 5! annual adjustments. Council Member Peotter discussed a dollar threshold. City Manager more time to review the suitaresdol The following straw consideration durint • $50 million iW ty about the daily cost to pay for t have been smaller if it went to ufiy, believed the City spent, more what a campaign would look like, -al and $50 million threshold, with of the general fund budget rather than rney Harp indicated they would need ducted in order to draft language and bring it back for eting (It.em 23): Member Dixon, Council Member Avery, Mayor Pro Tem 2/3 of the oleetors voting on the proposition — Council Member Muldoon, Council Member Peotter and.:M vor Duffield 55% of the electors voting on the proposition — Council Member Muldoon, Council Member Dixor,.,0ouncil Member Avery and Mayor Pro Tem O'Neill Exemption for police and fire facilities — Council Member Dixon and Council Member Avery City Attorney Harp indicated he and City Manager Kiff would also draft, an amended ballot description and bring it back for consideration during the regular meeting. III. PUBLIC COMMENTS Jim Mosher suggested prohibiting omnibus Charter amendments and instituting some type of run- off election. He referenced his written comments about the noticing of Closed Session items and commended the description for Item IV.D, but believed the City Attorney's legal analysis of what could be discussed should be made public. Larry Tucker discussed including an exemption to the proposed Charter amendment regarding emergencies that could ultimately cause damage to someone else's property. Nancy Skinner asked what the proposed Charter amendment's $50 million threshold would cost per household and the definition of disaster and emergency. Volume 63 - Page 541 City of Newport Beach Study Session and Regular Meeting June 26, 2018 Keith Curry calculated the per household amount on the $50 million threshold and believed it would represent. about: 2.5% of the City's budget. Lesley Miller discussed the agreement between the City and residents relative to the alley between Ocean Front and East Ocean Boulevard, and requested that, before the City deems the project complete, it require the developer or contractor to restore the alley and replace the pavers. City Attorney Harp announced that the City Council will not be meeting relative to Item IV.D; however, reported the City Council would adjourn to Closed Session to discuss the remaining items as listed in the Closed Session agenda and read the titles. IV. CLOSED SESSION A. CONFERENCE WITH LABOR NEGOTIATORS (Government Code § 54957.6): 1 matter Agency Designated Representatives: Dave Kiff, City Manager, Carol Jacobs, Assistant City Manager, Barbara Salvini, Human Resources Director, and Peter Brown; Labor Negotiators. Employee Organizations: Newport Beach Lifeguard Marqement Association (NBLMA); Newport Beach City Employees Association (NBG'EA) New po7rt Beach Firefighters Association (NBFA); Newport Beach Fire Management. Association (NBFMA); Newport Beach Police Association (NBPA); Newport Beach Police Management Association (NBPMA); Newport Beach Professional and Technical Employee Asaoci.ation (NBPTEA); and Newport Beach Employees League (NBEL). B. CONFERENCE WITH LEGAL COUNSEL ANTICIPATED LITIGATION.-,,;INITIATI('lN`OF LITIGATION (Government Code § 54956.9(d)(4); 1 matter C. CONFERENCE WITH LEGAL COUNSEL ANTICIPATED LITIGATION (Government Code 54966 9(d)(2) and § 54956.9(e)(1)): 1 matter D. PUBLIC EMPLOYEE APPOINTMENT (Government Code 54957 (b)(1)): 1 matter Title: City Manager.:: -Th City Council will consider all matters authorized by Government. Code Section 54957 (b)(1) related to the appointment of a new City Manager; however, the City Council will not be appointing a new City Manager at this meeting. V. RECESSED - 5:44 p.m. VI. RECONVENED AT 7:00 P.M. FOR REGULAR MEETING VII. ROLL CALL Present: Council Member Brad Avery, Council Member Diane Dixon, Council Member Jeff Herdman, Council Member Kevin Muldoon, Council Member Scott Peotter, Mayor Pro Tem Will O'Neill, Mayor Duffy Duffield VIII. CLOSED SESSION REPORT - None IX. INVOCATION - Council Member Peotter X. PLEDGE OF ALLEGIANCE - Mayor Pro Tem O'Neill Volume 63 - Page 542 City of Newport Beach Study Session and Regular Meeting June 26, 2018 XI. NOTICE TO THE PUBLIC XII. CITY COUNCIL ANNOUNCEMENTS (NON -DISCUSSION ITEM) Council Member Peotter: • Announced increased enforcement to keep dogs out of the Santa Ana River Jetty area by the City and County due to the least tern habitat Council Member Dixon: • Attended the opening day of the Newport Beach Junior Lifeguard program and thanked all staff involved • Announced the upcoming Finance Committee meeting on June 28, 2018, the 4,h of July is for Families Bike Parade and Community Festival in Channel Place Park Council Member Herdman: • Attended the 54,h Annual Newport Beach Art Exhibition, the June 18, 2018 Aviation Committee meeting, and a Vietnam Veterans Hero Day with Council Member Muldoon • Announced upcoming Concerts on the Green performers • Recognized Finance Director Matusiewicz and his staff far receiving a Certificate of Achievement for excellence in financial reporting from the Goverj� ent Finance Officers Association Council Member Muldoon: • Attended the Vietnam Veterans Hero participation at the event commended Council Member Herdman for his y Council meeting, the Living History luncheon leek 2018 Banquet. honoring Trey Quinn, the ceremony, and the Chapman Economic Forecast XIII. PUBLIC COMMENTS +CSN CONSENT CALENDAR the City and encouraged everyone to have Jim Mosher questioned the amount of the new pay structure for K-9 Officers in Item 5, took issue with the Water Quality/Coastal Tidelands Committee not properly being informed of Items 11 and 12, and commented on the "process taken by the Community Development Director regarding the Coastal Development Permit: waiver for the De Minimis Development (Item 15). In response to Mr. Mosher's comment, Council Member Herdman indicated that the Water Quality/Coastal Tidelands Committee was well aware of both Items 11 and 12 and had been working on reaching the two agreements with the County of Orange for over a year. XIV. CONSENT CALENDAR READING OF MINUTES AND ORDINANCES 1. Minutes for the June 12, 2018 City Council Meeting [100-20181 Waive reading of subject minutes, approve as written, and order filed. 2. Reading of Ordinances Waive reading in full of all ordinances under consideration, and direct. the City Clerk to read by title only. Volume 63 - Page 543 City of Newport Beach Study Session and Regular Meeting June 26, 2018 ORDINANCES FOR INTRODUCTION 3. Creation of a Harbor Department [100-20181 a) Determine that the action is exempt from the California Environmental Quality Act. (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because it will not result in a physical change to the environment, directly or indirectly; b) Introduce Ordinance No. 2018-10, An Ordinance of the City Council of the City of Newport Beach, California, Creating a Harbor Department and Folding the Harbor Resources Division into the Engineering Services Division of the Public Works Department, and pass to second reading on July 10, 2018; c) Introduce Ordinance No. 2018-11, An Ordinance of the City Council: of the City of'Newport, Beach, California., Amending the Title and Introductory Table of Chapter 2.12, Section 2.12.010 and Adding Section. 2.12.120 to Title 2 of the Newport. Beach Municipal Code, Pertaining to the Harbor Department. and pass to second reading on July 10, 2018; and d) Adopt Resolution No. 2018-40, A Resolution: of the City Council of the City of Neu;port Beach, Californ-ia, Creating Positrons and Amending and Establishing Position Classifications and Salary Ranges for the Harbor Depa.r•tm.en.t. Mayor Duffield recused himself on Item 3 due to bust#4* interest and source of income conflicts. RESOLUTIONS FOR ADOPTION 4. Proposed Creation of a Civilian Fire Marshal Nsi tion [100-20181 a) Determine that the action is exempt fx6m the California Environmental Quality Act (CEQA) pursuant. to Sections 1.5060(c)(2) and 15060(e)(3) of the CEQA Guidelines because it will not result in a physical change to the enVftWn1e� t, directly or indirectly; b) Adopt Resolution No. 2018-41,A Resolution rbf the City Council of the City of Newport Beach., California, Creating a ChWiah Fire" Ma.rsh:al Position and Establishing the Position Classification and Salary' Ralzge. ............................................... 5. Resolution No. 2018-42: Adapting Memorandum of Understanding with the Newport Beach Police Association (NBPA) and Associated Salary Schedule (C-2056) [38100- 20181 a.) Determine that the acti6n is exempt from the California Environmental Quality Act. (CEQA) pursuant to §§150 60(c)(4): 15060(c)(3) of the CEQA Guidelines because it will not result in a physical chaxge to the environment, directly or indirectly; and b) Adopt Resolution'N 2018-42, A Resolutionof the City Council of the City of Newport Beach, California, Adopting a Memorandum of Understanding Bet.0.,een the City of Newport Beach and the Newport Beach Police Association: and Associated Salary Schedule. 6. Update of Council Policy F-14 (Authority to Contract) [100-20181 a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; and b) Adopt Resolution No. 2018-43, A Resolution of the City Council of the City of Newport Beach, California, Amending City Council Policy F-14, Authority to Contract. 7. Formation of Community Facilities District for Uptown Newport [100-20181 a) Determine this the action is exempt, from the California Environmental Quality Act (CEQA) pursuant to §§15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because it will not result in a physical change to the environment, directly or indirectly; and b) Adopt Resolution No. 2018-44, A Resolution, of the City Council of the City of Newport Beach, Ca.liforni.a: (1) Authorizing the California Statewide Communities Development Authority (`Authority) to Form a Community Facilities District with.irt. the Territorial Limits of the City of Newport Beach to Finance Certain Public Improvements; (2) Embodying a Joint Coinnuinity Facilities Agreentent. Setting Forth the Terris and Conditions of the Cominunity Volume 63 - Page 544 City of Newport Beach Study Session and Regular Meeting June 26, 2018 Facilities District. Financing; (.3) Approving an Acqu.i.siti.on. Agreeinen.t among the Au.th.ority, the City anal the Developer; and (4) Au.thori..zing Staff to Cooperate with the Aut.hordy anal its Consultants in. Cowtection. Th.erewi.th.. CONTRACTS AND AGREEMENTS 8. Corporation Yards Painting Project — Notice of Completion for Contract No. 7153-1 (18F02) [38/100-20181 a) Accept the completed work and authorize the City Clerk to file a Notice of Completion for the project.. On October 24, 2017, City Council found this project exempt from the California Environmental Quality Act (CEQA); b) Authorize the City Clerk to release the Labor and Materials Bond 65 clays after the Notice of Completion has been recorded in accordance with applicable portions of the Civil Code; and c) Release Faithful Performance Bond one (1) year after acceptance by the City Council. 9. Citywide ADA Curb Access Ramp Improvements — Notice of Completion for Contract No. 7154-1 (181111) [38/100-20181 a) Accept the completed work and authorize the City Clerk to rile a Notice of Completion for the project.. On November 14, 2017, the City Council' fo:and this project exempt from the California Environmental Quality Act. (CEQA) pursuant to Class 2 Section 15302(c); b) Authorize the City Clerk to release the Labor an 1Vlaterialr Bond 65 days after the Notice of Completion has been recorded in accordance W" Applicahlo portions of Civil Code; and c) Release Faithful Performance Bond one year after ace,eptance by the City Council. 11. Water Quality Educational Outreach Program — Approval of Professional Services Agreement with Orange County Department of Education (C-8270-2) [38/100-20181 a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; and b) Award and approve, via single source selection, a five (5) year Professional Services Agreement (PSA) with Orange County Department of Education, a public agency by and through the Orange County Superintendent. of Schools, to provide educational outreach services, for a not -to -exceed amount, of $225,000.00, and authorize the Mayor and City Clerk to execute the agreement. 12. Cooperative Agreement to Implement Total Maximum Daily Load Programs for Nutrients, Fecal Coliform Bacteria and Toxics in the Newport Bay Watershed (C-8559- 1) [38/100-20181 Volume 63 - Page 545 City of Newport Beach Study Session and Regular Meeting June 26, 2018 a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant. to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; and b) Authorize the Mayor and the City Clerk to execute Cooperative Agreement M.A-080- 18011416 with the County of Orange and other upstream partners to implement these water quality improvements, studies, monitoring, shared funding, and maintain compliance with the TMDL mandates. 13. Agreements for As -Needed Building Maintenance and Repair Services (C-8560) [381100-2018] a) Determine this action is exempt from the California Environmental Quality Act. (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; and b) Approve on-call agreements for as -needed maintenance and repair services for a three-year term with R.AMCO General Engineering Contractors (C-8560-1) for a not -to -exceed amount of $300,000, John M. Rabun (C-8560-2) for a not-to-exeeed amount of $365,000 and TL Veterans Construction (C-8760-3) for a not -to -exceed ar oUnt of $300,000, and authorize the Mayor and City Clerk to sign the agreements. MISCELLANEOUS 14. Planning Commission Agenda for the June Receive and file. 16. Removed from the Consent Calendar 17. Removed from tW C.onsent Calendar [100-20181 Development Located at defined and is exempt from the California t to Sections 15060(c)(2) and 15060(c)(3) of the receive and file only and will not result in a or indirectly; and Motion by Mayor Fro `l'ew O'Neill, seconded by Council Member Herdman, to approve the Consent. Calendar, except for the items removed (Items 16 and 17); and noting the recusal by Mayor Duffield on Item 3, recusal by Mayor Pro Tem O'Neill on Item 7, and recusal by Council Member Muldoon on Item 7. The motion carried by the following roll call vote: Ayes: Council Member Herdman, Council Member Muldoon, Council Member Dixon, Council Member Peotter, Council Member Avery, Mayor Pro Tem O'Neill, Mayor Duffield ITEMS REMOVED FROM THE CONSENT CALENDAR 16. Support for AB 448 — OC Housing Trust [100-20181 Council Member Dixon acknowledged what an important milestone AB 448 is, not only for Newport Beach but also for all 34 cities in Orange County, explained how these funds would be utilized to assist with the increased homelessness population, and introduced Jenn Lowe from the Association of California Cities, Orange County (ACC -OC). Volume 63 - Page 546 City of Newport Beach Study Session and Regular Meeting June 26, 2018 Jenn Lowe, ACC -OC Member Services Manager, provided a brief update on how ACC -OC was involved in creating a Joint. Powers Agreement (JPA) - Orange County Housing Trust and explained the approval process of AB 448, what it will do, and how the funds will be used to help those that have been homeless for more than one year. She indicated the committee is moving quickly due to a large housing bond on the November 6, 2018 ballot and confirmed that participation in the JPA is voluntary. Council Member Dixon reiterated the importance of this movement with all the Orange County cities working together, indicated Senator John Moorlach, and the Orange County Board of Supervisors, are in support of the bill, advised how the housing trust repository would work, explained the gap funding process for participating cities, and confirmed there would be no cost to the City to participate. Motion by Council Member Dixon, seconded by Council Member Peotter, to a) determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; and b) authorize the Mayor to send a letter in support, of AB 448 (Daly, as amended June 14, 2018) as shown in the staff report. Jim Mosher discussed the legislative analysis of voting to create the JPA itself, which can be fort allow the JPA to issue bonds to itself and go into The motion carried by the following roll Ayes: Council Member Herdman, Cc Member Avery, Mayor Pro Tem Noes: Council Member Muldoon,., fled that, Council would not be station, but would be voting to Council Member Peotter, Council 17. Confirm Annual Appointments �'the 'Finance Committee [241100-20181 Council Member Muldoon indicated it has been an honor to serve on the Finance Committee, announced he will be relinquishing his seat to Council Member Peotter, and suggested naming Mavor Pro Tem t'Neill asthe Chair. Motion by Council Member Muldoon seconded by Council Member , to a) determine this action is exempt from the California Environmental Quality Act. (CEQA) pursuant to Sections .......................... 15060(c)(2) and 1506(1-0") of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; and b) confirm Mayor Duffy Duffield's and individual City Council Members' appointments to the Finance Committee: (1) Mayor Pro Tem Will O'Neill, who will serve as Chair; (2) City Council Member Diane Dixon; (3) City Council Member Scott Peotter; (4) William Collopy based upon Mayor Duffield's recommendation; (5) Joe Stapleton based upon City Council Member Brad Avery's recommendation; and (6) Larry Tucker based upon City Council Member Jeff Herdman's recommendation. Council Member Kevin Muldoon's citizen member appointment will proceed at a future City Council meeting by separate action. The citizen appointees will serve a one-year term ending June 30, 2019. The motion carried by the following roll call vote: Ayes: Council Member Herdman, Council Member Muldoon, Council Member Dixon, Council Member Peotter, Council Member Avery, Mayor Pro Tem O'Neill, Mayor Duffield XVI. PUBLIC COMMENTS ON NON -AGENDA ITEMS Lesley Miller expressed concerns over the enclosures for the Snowy Plovers and questioned why they are needed, reported trash is piling up on the beach, and suggested the City create a contact number to report excessive trash. She indicated there are ocean front houses negotiating with the Coastal Volume 63 - Page 547 City of Newport Beach Study Session and Regular Meeting June 26, 2018 Commission to make improvements on their homes, believed the City is cooperating with the attorneys of the home owners, indicated this will diminish property values on Peninsula Point, and requested neighboring residents be notified of any increased paving or parking that may take place. XVII. ORAL REPORTS FROM CITY COUNCIL ON COMMITTEE ACTIVITIES Mayor Duffield reported on the Executive Watershed Committee meeting and indicated issues with sediment trash and vegetation collecting in the Harbor are being addressed by beach cities upstream. He announced that an agreement has been made so those cities will be contributing funds to assist in paying for a. $70 million harbor dredging project, which could take some of the financial burden off Newport. Beach. XVIII. PUBLIC HEARINGS Motion by Uouncil Member Herdman, seconded by Council Member Peotter, to a) adopt Resolution No. 2014-45, A Resolution. of th.e� Cowi.cil of the City of Newport Beach. Confi.rining the Leaving of Assessments fgrr the Fiscal Fear of July 1, 2018 to Jn.n .30, 2019 for the Newport Beach Restaurant Associatipra Bus mess lits ovement Distri.ct., since protests represented less than 50 percent of the total'assessrnent anloiInt; b) determine that the action is exempt from the California Environmental Quality Art (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA GxQ1'dW1I1ne&i.beCause it will not result in a physical change to the environment., directly or indirectly; and e) apppint the following Newport Beach Restaurant Association Business Improvieiment District members to serve as the Newport. Beach Restaurant Association Business Improvement District's Advisory Board of Directors for Fiscal Year 2018-2019: Phil Crowley, Molo Miry ......................... Thaddeus Foret, The Winery Restaurant and Bar Juan Carlos Godinez, Pizza Nova Matthew Meddock, Sessions West Coast. Deli Jordan Otterbein, A Restaurant. and Market. Kenyon Parr, Five Crowns and Side Door Eunjoo Pluenneke, Balboa Lily's Christopher Roman, Fork, Knife + Spoon Talia Samuels, representing Moulin Ron Schwartz, Muldoon's Irish Pub Jim Walker, The Bungalow Restaurant. The motion carried by the following roll call vote: Ayes: Council Member Herdman, Council Member Muldoon, Council Member Dixon, Council Member Peotter, Council Member Avery, Mayor Pro Tem O'Neill Recused: Mayor Duffield 19. Resolution Confirming the Levying of Assessments and Appointment of the Advisory Board of Directors for the Corona del Mar Business Improvement District's Fiscal Year 2018-2019 [100-20181 Volume 63 - Page 548 City of Newport Beach Study Session and Regular Meeting June 26, 2018 Administrative Analyst Locey provided the staff report and City Clerk Brown announced no protests were received. Mayor Duffield opened the public hearing. Hearing no testimony, he closed the public hearing. Motion by Council Member Herdman, seconded by Council Member Dixon, to a) adopt Resolution No. 2018-46, A Resolution of the City Council of the City of Newport. Beach Confirming the Levying of Assessments for the Fiscal Year of July 1, 2018 to June 30, 2019 for the Corona del Mar Business Improvement District, since protests represented less than 50 percent of the total assessment amount.; b) determine that the action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because it will not result in a physical change to the environment., directly or indirectly; and c) Appoint the following Corona del Mar Business Improvement District members to serve as the Corona del Mar Business Improvement District's Advisory Board of Directors for Fiscal Year 2018-2019: Ernie Caponera, Newport. Properties Keith Dawson, Dawson & Dawson Edward Hanley, Hanley Investment Group Hamid Kianipur, 76 Gas Station Scott LaFleur, representing Cafe Jardin Scott Laidlaw, Laidlaw Schultz Architects Shawn Lim, Rose Bakery Cafe Jasmin Mortazavi. Mathnasium Bernie Svalstad, Upland Stor King. The motion carried by the following, roll Ayes: Council Member Member Peotter, 20. Resolution An Holiday Period mber Muldoon, Council Member Dixon, Council Mayor Pro Tem O'Neill, Mayor Duffield Temporary Closure of Selected Streets for the 4th of July Police Chief Lewis and Deputy Police Chief Birch utilized a PowerPoint presentation to discuss the goal for the July 4t.xholiday, display the Safety Enhancement Zone, highlight the increased police presence, report on enforcement., citation and arrest data, and contact, and discuss where the public can receive and provide the Police Department information. Mayor Duffield and Council Member Dixon commended former Mayor Mike Henn for all his work to change the atmosphere on the Peninsula during the July 4th holiday. In response toCouncil questions, Police Chief Lewis encouraged residents and visitors to be proactive if they know of upcoming issues or see problems on the Fourth of July, and reported on the Police Department's increased enforcement relative to fireworks, especially on the beach. Deputy Police Chief Birch explained that San Joaquin Hills Road is being closed so emergency vehicles have access to the road. Council Member Avery commended the Police Department and discussed the difference in the holiday compared to 10 years ago. Lesley Miller requested more trash containers at the Wedge during the holiday. Volume 63 - Page 549 City of Newport Beach Study Session and Regular Meeting June 26, 2018 Recreation Manager Harmon utilized a PowerPoint to highlight City -sponsored July 4th celebrations, thank the citizen planning committee members and sponsors, and announce the hours of operation for the Peninsula trolley service. Nancy Skinner thanked the City and asked if Mayor Duffield was participating in the Mariners parade. Motion by Mayor Pro Tem O'Neill, seconded by Council Member Peotter, to a) determine that the action is exempt from the California Environmental Quality Act (CEQA) pursuant. to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because itwill not result in a physical change to the environment, directly or indirectly; and b) adopt Resolution No. 2018-52, A Resolution of the City Council of the City of Newport Beach., California, Authorizing the Closure of Back Buy Drive, the 100 Block of Orange Street from, Pacific Coast Highi.oay Traffic, Via Oporto from. Via. Lido to 32,,d Street., San. Joaquin. Hills Road Between Back. Buy Drive and the Entrance to Park Newport Apartments, and Via Malaga Between. Via Oporto and Via Lido. The motion carried by the following roll call vote: Ayes: Council Member Herdman, Council Member Member Peotter, Council Member Avery, Mas 21. Public Meeting on the Proposed Mod Improvement District's Management Mayor Duffield recused himself Member Dixon, Council Mayor Duffield Beach Tourism Business and source of income conflicts. 22. Underground Utilijty Assessment District No. 117 — Award of Contract No. 7337-1 and Authorization of Limited Obligation Improvement Bonds [38/100-2018] Council Member Muldoon recused himself due to potential business interest conflicts. Deputy Public Works Director Vukojevic and Finance Director Matusiewicz utilized a PowerPoint presentation to highlight the boundary of the resident -driven assessment district, review the cost., and discuss the project and financing schedules. City Manager Kiff pointed out that this is not normally how the City handles assessment districts and believed the City's risk is low and assists in keeping the project on schedule. In response to Mayor Pro Tem O'Neill's question, Finance Director Matusiewicz confirmed the residents already provided initial payment for the project, it would be a Council decision whether to refund the money if the project was not approved, and, if the bonding did not move forward, the City could loan the project, the money and further assess the residents. Council Member Herdman emphasized that undergrounding projects are not just for aesthetic reasons, as stated by the Southern California Edison (SCE) representative at a previous meeting, commended staff for coming up with the idea to do the civil work on this project to keep the project affordable, hoped it does this for future projects, and pointed out that this is an assessment to the residents of the assessment district, not a tax. Volume 63 - Page 550 City of Newport Beach Study Session and Regular Meeting June 26, 2018 Council Member Dixon commended staff, Council Member Peotter, and the residents of this assessment district, and discussed the lawsuits that occurred due to transformers during the Napa fire. Council Member Peotter discussed the issues with the Balboa Island undergrounding project., pointed out this is a private/public effort., expressed hope other neighborhoods would take advantage of this streamlined, less expensive process, and thanked the citizens for their efforts. Patti Gorczyca, member of the assessment district working group, listed reasons why undergrounding is important and not just for aesthetic reasons. She thanked City staff and the City Council, especially Council Member Peotter, for assisting with the process and indicated the residents are looking forward to the completion of the project. Mark Simon thanked Council and City staff for their innovative thinking and requested Council approval. Motion by Council Member Peotter, seconded by Council Member Dixon, to a) find this project exempt from the California Environmental Quality Act. (CEQA) pursuant to Class 2 Section 15302 (d) (conversion of overhead electrical utility drsfrbution lines where the surface is restored to the condition existing prior to the undergrounding) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter :3, because it vull. ,not have an adverse effect on the environment; b) approve the project plans and sApecifr&ation. v50 award Contract: No. 7337-1 to Asplundh Construction Corp. for the bid amount 0 2,167,875.00 for Underground Utility Assessment District. No. 117, and authorize. the Mayor tid City Clerk to execute the contract; d) estaldish a contingency of $325,000.00 6pproximately 15% of total bid) to cover the cost, of unforeseen work not included in the orrgrn0l e0ntrdet; e) approve Professional Services Agreement. with NV5 of Irvine, California, fnr wh6t4ta-exceed fee of $293,269.00 for Construction Administration and Residential Permit Support. Services (C-7337-2); and f) adopt Resolution No. 2018-47, A Resolutionof the C.iA, G.Uncil of the City of Newport Beach, Ca:llfornaa, Authorizing and Providing„fpr thp..Issuanee of Bonds Atrsu.an:t, to the Provisions of the Improvement Bond Act of 1 16 for City of Newport Beach Assessment District No. 117 and Approving Certain DoeZLtnen.ts a Arttlaorizi.ng Certain Actions in. Connection. Therewith. The motion carried by the fol owthe:roll call vote: Ayes: Council Member Herdman, Council Nleml_)er Dixon, Council Member Peotter, Council Member Avery`, Mayor Pro Tem O'Neill, Mayor Duffield Recused: Council MeniMuldoon 23. Calling the November 6, 2018 General Municipal Election — Proposed Charter Amendment [39/100-2018] City Manager Kiff reviewed the amendments to the resolutions and exhibit. Jim Mosher questioned the cost, to add the measure to the ballot, reminded Council to update the names in the resolution of the Council Members who will be writing ballot arguments, asked additional questions for Council to consider, believed the ballot description needs more amendments, and suggested waiting until the next meeting to approve the item. Joy Brenner discussed unintended consequences of placing a Charter amendment on the ballot and the importance of public input, believed and explained why she feels this is being done for political reasons, and emphasized candidates need to abide by the contribution limits. Nancy Skinner listed everything that was included in the city hall and park project, not just the city hall building, and reviewed the bid and financing climate at the time the project was approved. Volume 63 - Page 551 City of Newport Beach Study Session and Regular Meeting June 26, 2018 Mayor Pro Tem O'Neill noted there was a Charter amendment on the ballot in 2016 and none of the flyers had his photo on them, even though he was a proponent; however, noted independent, expenditures were spent in favor of one of his opponents. Council Member Herdman noted he received emails opposing this proposal, indicated there is no effect on the community to use COPS and no municipalities in California or possibly the country have this type of restriction, believed it is not a sound practice to restrict City Council's lease obligation debt, and supported the continued use of C,OPs at the discretion of Council. Council Member Muldoon believed this is an opportunity to give the voters more power over how their money is spent and should go to a vote. He noted he requested this issue be reviewed by the Finance Committee two years ago, but it never was. Council Member Peotter took issue with the cost of the city hall and park project and believed the voters would not have let the cost escalate. He stated the proposal will give voters a say when Councils are going to encumber long term debt for the City. Following a short recess, City Attorney Here` noted he has never seen more than three Council IJ Members place their names as authors to a Direct. Argument; however, the drafting of the argument could he.done €luring A ripen meeting if Council proceeds with allowing a majority of Council to write::. eargument.. He clarified that adding others to the list of authors would lose the legislative prioxity for whit#•ing arguments. motion by Uouncll Member Muldoon, seconded by Uouncil Member Peotter, to a) determine that the action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(.)(3) of the CEQA Guidelines because it will not result in a physical change to the environment, directly or indirectly; b) adopt amended Resolution No. 2018-48, A Resolution of the City Council, of the City of Newport Beach, California, Calling for the Holding of a General Mu. n.icipal Election to be Held on. Tuesday, Nouember 6, 2018, for the Submission of a. Proposed CharterArnen.dm.errt; c) adopt amended Resolution No. 2018-49, A Resolution of the City Coun.ci.l, of the City of Newport Beach, California, Requesting the Board of Supervisors of the County of Orange to Consolidate a General Municipal Election to be Held on Tuesday, November 6, 2018, ruith. the Statewide Primary Election to be Held on the Same Date Pursuant to California. Elections Code Section 10403 for the Purpose of Submitting a Proposed Charter Amendment; d) adopt amended Resolution No. 2018-50, A Resolution of the City Council of the City of Newport Beach, California, Setting Priorities for Filing Written Arguments Regarding a. City Measure, and DITectirrg the City Attorney to Prepare air Impartial Analysis; e) adopt Resolution No. 2018-51, A Resolution. of the City Council of the City of Newport Beach, California, Pr•oui.ding for the Fi.lirrg of Rebuttal Arguments for the City Measure Submitted to the Voters at the General Municipal. Election to be Held, on. Tuesday, November 6, 2018, Pursuant to California Elections Code Section. 9285; and f) designate Mayor Duffy Duffield, Council Member Kevin Muldoon and Council Member Scott. Peotter to create a Direct. Argument and Rebuttal Argument for the ballot measure. Volume 63 - Page 552 City of Newport Beach Study Session and Regular Meeting June 26, 2018 The motion carried by the following roll call vote: Ayes: Council Member Muldoon, Council Member Dixon, Council Member Peotter, Council Member Avery, Mayor Pro Tem O'Neill, Mayor Duffield Noes: Council Member Herdman 24. Newport Beach Voter Protection; Rescission of Resolution No. 2018-8 Relating to Subpoenas [100-20181 Mayor Pro Tem O'Neill suggested striking references to Elections Code Sections 9607 and 9608(1:)), emphasized the proposal focuses on paid signature gatherers, is not being used to invalidate signatures, helps ensure paid circulators are complying with State codes, and the only additional burden is to provide a copy of the certificates to the City Clerk. Council Member Dixon questioned the need to include regulations in the Newport. Beach Municipal Code (NBMC), especially since no information has been provided relative to the Orange County District. Attorney's investigation. In response to Council Member Avery's questions, City: Clerk Brown explained when the City's election official should be receiving a certificate and confirmed she has never received one. Citv Attorney Harp reiterated the intent is to ensure paid circulab*4R know the rules, is not onerous to companies to provide the certificate for each pazdbare t,or, :and read the language included in the Elections Code. Council Member Muldoon noted lie N fraud done to them and believed the City Attorney Harp reviewed from the subpoenaed compan Council Member again. He expres layer of bureaucx if he.was one of the people who had signature seta voter integrity in the City. ss, pursuant to the Charter, discussed the letter ordinance deals with the issue that occurred. proposal would prevent this from happening • layer for the citizens to redress and another In response to COunCT Meier Dixon's question, City Attorney Harp noted that every violation of the NBMC is a misdemeanor, but they would work with the City Clerk's Office to ensure people are aware of the regulation'..' Nancy Skinner stated £he problem occurred when a signature gatherer hired someone else to gather signatures. She believed Elections Code Sections 9608 and 9610 require the certificates to be submitted to the proponent. City Attorney Harp indicated the proposal is to have the company also submit the certificates to the City Clerk. Ms. Skinner believed the regulation has nothing to do with forging signatures and hoped this could be discussed during a study session. Jim Mosher agreed the regulation does not deal with forgery of signatures and the certificates only acknowledge the signatures will not be used for any other purpose other than to qualify the measure, and noted this would not affect, circulators of State petitions. He referenced the company's letter, noted the regulation does not apply to recall or referendum petitions, and believed the regulation would not be in the proper section of the NBMC and the method of rescinding the resolution is incorrect. Peggy Palmer requested regulations prohibiting the bullying of petition circulators. Mayor Pro Tem O'Neill disagreed with Mr. Mosher's interpretation of the regulation and indicated Ms. Palmer can submit proposed legislation to Council. Council Member Muldoon noted it is illegal to harass circulators and the police should be contacted in those instances. Volume 63 - Page 553 City of Newport Beach Study Session and Regular Meeting June 26, 2018 Motion by Pro Tem O'Neill, seconded by Council Member Muldoon, to a) determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; b) waive full reading, direct. the City Clerk to read by title only, introduce amended Ordinance No. 2018-12, An Ordinance of the City of Netcport Beach, California, Adding Section 1.26.050 to Newport. Beach Municipal Code Chapter 1.26 to Strengthen and Protect. the Integrity of Elections within, the City of Newport Beach, and pass to second reading on July 10, 2018; c) rescind Resolution No. 2018- 81 which authorized the issuance of subpoenas related to an investigation of alleged voter fraud; and d) direct City staff to turn over the documents gathered during the City's investigation of alleged voter fraud to the Orange County District. Attorney for use in their on-going investigation. In response to Council questions, City Attorney Harp reviewed State law, but pointed outthe regulation would also have the company send the certificates to the City Clerk for local issues only to show that the signature gatherers received adequate training and will obey the laws. He indicated this was a way to deal with the issues that arose recently that were admitted to by the involved company. Council Member Dixon indicated she would like Council Member Herdman asked what happens Af fl - with the certificate. City Attorney Harp noted Cheri added the regulation also protects the proponents si due to fraudulent behavior. He pointed o that he knowing what the rules are. Council Member Avery Clerk since they have 1 on the matter. y failed to provide the City Clerk luchtional component to this. He may not have enough signatures everyone would be supportive of is to provide the certificates to the City Council Member Muldoon emphasii,edthg. the volunteers, proponents, and company did not wrong and the issue way with a person who was hired by a signature gatherer. The motion failed by;the followine roll call vote: Ayes: Council MOnber Muldoon, Mayor Pro Tem O'Neill, Mayor Duffield Noes: Council Me srbOT Herdman, Council Member Dixon, Council Member Avery, Abstain: Council Member Peot.ter Motion by Mayor Pro Tem O'Neill, seconded by Council Member Muldoon, to a) determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment., directly or indirectly; b) rescind Resolution No. 2018-8, which authorized the issuance of subpoenas related to an investigation of alleged voter fraud; and c) direct. City staff to turn over the documents gathered during the City's investigation of alleged voter fraud to the Orange County District Attorney for use in their on- going investigation. The motion carried by the following roll call vote: Ayes: Council Member Herdman (changed his "no" vote after the vote was cast), Council Member Muldoon, Council Member Dixon, Council Member Avery, Mayor Pro Tem O'Neill, Mayor Duffield Abstain: Council Member Peotter Volume 63 - Page 554 City of Newport Beach Study Session and Regular Meeting June 26, 2018 25. Annual Appointments to Boards and Commissions [24/100-20171 City Clerk Brown provided the staff report and noted four votes are required in order to be appointed. Ash Kumra reviewed his qualifications to be on the Board of Library Trustees. Council Member Muldoon stated he was impressed with Mr. Kumra's application and expressed hope he would continue to apply to be on the Board if not selected tonight. City Clerk Brown read the ballot votes for the Board of Library Trustees as follows: Kurt Kost — Herdman, Muldoon, Peotter, Avery, Duffield Lisa Winter — Dixon, O'Neill City Clerk Brown announced that Kurt. Kost was appointed to the Board of Library Trustees for a four-year term. City Clerk Brown read the ballot, votes for the City Arts Commission as follows: Lili Bender — Herdman Judy Chang — Muldoon Wayan Kaufman — Dixon, Peotter, Avery, City Clerk Brown announced that. W for a four-year term. City Clerk Brown read the ballot vote for Sharon Wood — City Clerk Brown four-year term. ufman was appointed to the City Arts Commission C1VifService Board as follows: , Peotter, Avery, O'Neill, Duffield was reappointed to the Civil Service Board for a City Clerk Brown read the ballot votes for the Harbor Commission as follows: Ira Beer — Her dman. Muldoon, Dixon, Peotter, Avery, O'Neill, Duffield William Kenney-'Herdtiian, Muldoon, Dixon, Peotter, Avery, O'Neill, Duffield ......................... Don Yahn — Herdit", Muldoon, Dixon, Peotter, Avery, O'Neill, Duffield City Clerk Brown announced that Ira Beer and William Kenney were reappointed and Don Yahn was appointed to the Harbor Commission for four year terms. City Clerk Brown read the ballot votes for the Parks, Beaches and Recreation Commission as follows: Hassan Archer — Herdman, Muldoon, Dixon, Avery, O'Neill, Duffield Diane Daruty — Herdman, Muldoon, Dixon, Peotter, Avery, O'Neill, Duffield Meredith Sandland — Peotter City Clerk Brown announced that Diane Daruty and Hassan Archer were appointed to the Parks, Beaches and Recreation Commission for four-year terms. City Clerk Brown read the ballot votes for the Planning Commission as follows: Peter Koet.ting — Herdman, Muldoon, Dixon, Peotter, Avery, O'Neill, Duffield Volume 63 - Page 555 City of Newport Beach Study Session and Regular Meeting June 26, 2018 City Clerk Brown announced that. Peter Koetting was reappointed to the Planning Commission for a four year term. XX. MOTION FOR RECONSIDERATION - None XXI. ADJOURNMENT - 9:55 p.m. The agenda was posted on the City's website and on the City Hall electronic bulletin board located in the entrance of the City Council Chambers at 100 Civic Center Drive on June 21, 2018, at 4:00 p.m. Leilani I. Brown City Clerk Volume 63 - Page 556