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HomeMy WebLinkAbout02/11/2003 - Regular MeetingCITY OF NEWPORT BEACH City Council Minutes Regular Meeting February 11, 2003 - 7:00 p.m. - 4:00 p.m CLOSED SESSION - Cancelled. INDEX t *xwxat�� *+aaa:r * +xt A. RECESSED AND RECONVENED AT 7:00 P.M. FOR REGULAR MEETING B. ROLL CALL Present: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Absent: Proctor (excused) C. CLOSED SESSION REPORT - None. D. PLEDGE OF ALLEGIANCE - Mayor Pro Tern Ridgeway. E. INVOCATION - Reverend Dr. Dennis Short, Pastor of Harbor Christian Church, Chair of Newport Mesa Irvine Interfaith Council. GOD BLESS AMERICA - Sung by Dawn Bohas. F. PRESENTATION - None. G. NOTICE TO THE PUBLIC H. CITY COUNCIL ANNOUNCEMENTS OR MATTERS WHICH COUNCIL MEMBERS WOULD LIKE PLACED ON A FUTURE AGENDA FOR DISCUSSION, ACTION OR REPORT (NON - DISCUSSION ITEM): Council Member Webb reported that he and his wife attended the "Eye on the Arts" performance on February 1. He announced that the next performances will be held on March 8 and April 12. Council Member Heffernan announced that he will be appealing Modifications Permit No. PA2003 -005 for properties located at 1530 and 1532 Ocean Boulevard. In response to Mayor Bromberg's question, Assistant City Manager Wood confirmed that the loan agreement for the Lower Bayview Senior Affordable Housing project will be on the February 25 agenda and that the Planning Commission will hear the issue on February 20. Mayor Bromberg asked that staff make sure that Council reviews the land use Volume 55 - Page 615 City of Newport Beach City Council Minutes February 11, 2003 and development applications at the same time. Mayor Bromberg displayed a Valentine's card that Council received from the children at the Grant Howald After School Program. He noted that they also gave Council and staff Valentine's candy. I. CONSENT CALENDAR READING OF MINUTESIORDINANCES AND RESOLUTIONS 1. Removed by a member of the audience. 2. READING OF ORDINANCES AND RESOLUTIONS. Waive reading in full of all ordinances and resolutions under consideration, and direct City Clerk to read by title only. ORDINANCE FOR INTRODUCTION S. Removed by a member of the audience. ORDINANCE FOR ADOPTION 4. ORDINANCE EXTENDING NON - EXCLUSIVE FRANCHISES WITH ADELPHIA & COX CABLE TELECOMMUNICATIONS. Adopt Ordinance No. 2003 -3. RESOLUTION FOR ADOPTION 5. MODIFICATION TO THE COMPOSITION OF THE COUNCIL /CITIZENS AD HOC AVIATION COMMITTEE. Adopt Resolution No. 2003 -11 modifying the composition of the Council/ Citizens Ad Hoc Aviation Committee. CONTRACTS AND AGREEMENTS 6. BALBOA PENINSULA STREETLIGHT MODIFICATIONS (C -3416) - COMPLETION AND ACCEPTANCE. 1) Accept the work; 2) authorize the City Clerk to file a Notice of Completion; 3) authorize the City Clerk to release the Labor and Materials bond 35 days after the Notice of Completion has been recorded in accordance with applicable portions of the Civil Code; and 4) release the Faithful Performance Bond 1 year after Council acceptance. 7. DOVER DRIVE ZONE II WATER MAIN REPLACEMENT AND STREET REHABILITATION FROM CLIFF DRIVE TO WEST COAST HIGHWAY (C -3394) - COMPLETION AND ACCEPTANCE. 1) Accept the work; 2) authorize the City Clerk to file a Notice of Completion; 3) authorize the City Clerk to release the Labor and Materials bond 35 days after the Notice of Completion has been recorded in accordance with applicable portions of the Civil Code; and 4) release the Faithful Performance Bond 1 year after Council acceptance. Volume 55 - Page 616 INDEX I Ord 2003 -3 Adelphia & Cox Cable (42) Res 2003 -11 Council/Citizens Ad Hoc Aviation Committee (24) C -3416 Balboa Peninsula Streetlight Modifications (38) C -3394 Dover Drive Zone II Water Main Replacement and Street Rehabilitation (38) City of Newport Beach City Council Minutes February 11, 2003 8. ZONE V EMERGENCY BACKUP GENERATOR (C -3506) — COMPLETION AND ACCEPTANCE. 1) Accept the work; 2) authorize the City Clerk to file a Notice of Completion; 3) authorize the City Clerk to release the Labor and Materials bond 35 days after the Notice of Completion has been recorded in accordance with applicable portions of the Civil Code; and 4) release the Faithful Performance Bond 1 year after Council acceptance. 9. Removed by a member of the audience. MISCELLANEOUS ACTION 10. RELEASE OF SURETIES FOR THE MACARTHUR BOULEVARD WIDENING RELATED TO TRACT NO. 12105 AND TRACT NO. 14533. 1) Authorize the City Clerk to release the Labor and Materials Bond and the Faithful Performance Bond for the construction of MacArthur Boulevard Improvements along the residual parcel adjacent to Tract No. 12105 (Bond No. 5241 0025); and 2) authorize the City Clerk to release the Labor and Materials Bond and the Faithful Performance Bond (Bond No. 17- 64 -49) for the construction of MacArthur Boulevard Improvements along Tract No. 14533 frontage. 11. RELEASE OF SUBDIVISION BONDS FOR NEWPORT BLUFFS APARTMENTS, TRACT NO. 15584. 1) Authorize the City Clerk to release the Faithful Performance Bond for the construction of street and storm drain improvements in Tract No. 15584 (Bond No. 21- 36 -20); and 2) authorize the City Clerk to release the Labor and Material Bond for the construction of on -site street and storm drain improvements (Bond No. 21- 36 -20) in six months, provided no claims have been filed. 12. Removed by Council Member Heffernan. Motion by Mayor Pro Tem Ridgeway to approve the Consent Calendar, except for those items removed (1, 3, 9 and 12). The motion carried by the following roll call vote Ayes: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: Proctor J. ITEMS REMOVED FROM THE CONSENT CALENDAR 1. MINUTES OF THE ADJOURNED REGULAR AND REGULAR MEETING OF JANUARY 28, 2003. City Clerk Harkless reported that the recommendation is to approve the Adjourned Regular (Study Session) minutes; however, the Regular Meeting minutes are being continued to February 25, 2003. She noted that the Regular Meeting minutes cannot be discussed since they are not before Council at this time. Volume 55 - Page 617 I1►193 IWXI Zone V Emergency Backup Generator (38) Tract 12105 Tract 14533 MacArthur Blvd Widening TRM 12105 TRM 14533 Tract 15584 Newport Bluffs Apartments TRM 15584 City of Newport Beach City Council Minutes February 11, 2003 Dolores Otting asked why the minutes are not here. Ms. Harkless explained that they were not done in time to include in the packet. Jim Hildreth believed that, the way the agenda is written, it does not state Study Session minutes. In response to Mr. Hildreth's question, Mayor Bromberg confirmed that he will be able to speak on the Regular Meeting minutes for January 28 and February 11 at the next meeting. Motion by Mayor Pro Tem Rideeway to waive reading of subject minutes, approve Adjourned Regular Meeting minutes as written and order filed and continue approval of Regular Meeting minutes until February 25, 2003. The motion carried by the following roll call vote: Ayes: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: Proctor 3. MODIFICATION OF PROVISIONS OF CHAPTER 17.28 OF TITLE 17 OF THE NEWPORT BEACH MUNICIPAL CODE (NBMC) RELATING TO VEHICLE USAGE ON PIERS AND PLAZAS. Jim Hildreth indicated that he meant to pull Item No. 4. Motion by Mayor Pro Tern Ridgeway to re- introduce Ordinance No. 2003 -2 amending Chapter 17.28 of Title 17 of the NBMC and pass to second reading on February 25, 2003. The motion carried by the following roll call vote Ayes: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: Proctor 9. TEMPORARY EMPLOYMENT AGREEMENT WITH TONY MELUM. Jim Hildreth stated that he agrees with this agreement because he has asked the City to conduct an audit of Mr. Melum's office prior to his departure. He believed that Mr. Melum has not totally retired and will be allowed to continue so the items he is asking for can be found. Referencing Municipal Code Title 17, he indicated that the City is responsible for maintaining files and records of all pier permits. He noted that he has asked for documents, but they have yet to be found. He stated that he would like Mr. Melum to itemize /audit his office. Volume 55 - Page 618 FIT" Ord 2003 -2 Vehicle Usage on Piers and Plazas (85) BA -042 C -3598 Temporary Employment (38/40) City of Newport Beach City Council Minutes February 11, 2003 Mayor Pro Tern Ridgeway requested a point of order since this item is only for a temporary employment contract and not an audit of Harbor Resources. Mr. Hildreth believed that Mr. Melum should clean up his office during his temporary employment. He added that the City's money would be well spent during his part -time service to have him determine where the records are that he should have maintained. Mayor Bromberg clarified that this item is for the approval of a temporary employment agreement and that this is the issue that should be discussed. Mr. Hildreth believed that Mr. Melum's employment will be beneficial if he follows some guidelines and does what he is supposed to be doing before his departure from the department. He stated that it is within the City's and a resident's right to make sure a City employee has done the service he is supposed to have done. Motion by Mayor Pro Tern Ridgeway to 1) approve a temporary employment agreement with Tony Melum in the amount of $65/hour and authorize the City Manager to execute the agreement; and 2) approve a budget amendment (BA -042) transferring $50,000 from Account No. 2371 -7010 (Salaries -- Safety) to Account No. 2371 -7020 (Salaries — Part - time). The motion carried by the following roll call vote Ayes: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: Proctor 12. REFILLING OF VACANCIES ON THE GENERAL PLAN ADVISORY COMMITTEE. Assistant City Manager Wood reported that the resolution that established the General Plan Advisory Committee (GPAC) indicates that one of their duties is to review General Plan policies and make recommendations to the Planning Commission and Council. However, when GPAC members were recruited at the start of the visioning process, they were told that there would be a shorter term than what is needed to complete the General Plan Update process. She reported that staff polled GPAC to see how many were interested in continuing service. She noted that 27 responded that they could continue, but there are eight vacancies with a potential for two more. Ms. Wood stated that staff looked at the original applications and asked those in the districts that had vacancies if they were still interested in serving. She noted that they provided Council with a list of the 50 individuals and believed that this was a good pool of applicants. She stated that they recommend that Council ask the General Plan Update Committee Volume 55 - Page 619 INDEX General Plan Advisory Committee (24) City of Newport Beach City Council Minutes February 11, 2003 INDEX (GPUC) to review the applications and make recommendations to fill the vacancies. She noted that GPUC does not have a meeting scheduled at this time because they were waiting to see how this would unfold. Mayor Bromberg asked if a special meeting should be called. Council Member Adams, GPUC chair, suggested that GPUC hold a meeting during its next regular date (March 3). Ms. Wood reported that the scoping subcommittee is waiting to schedule their next meeting to see if the full GPUC is going to take the time slot on March 24 from 4:00 p.m. to 6:00 p.m. She believed that this time will now be used to deal with the appointments. Council Member Adams indicated that it would be helpful if GPUC was prepared to go through the same exercise that was done previously which involved the matrix and cards. Motion by Council Member Adams to direct the General Plan Update Committee to review previously submitted GPAC applications and make recommendations for the City Council to fill vacancies. The motion carried by the following roll call vote: Ayes: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: Proctor K. PUBLIC COMMENTS Jim Hildreth, The Grand Canal, stated that Tony Melum's title was Director of Harbor Resources, but now there is a Harbor Resources Manager. He indicated that, in the beginning of the year, the City provides a notice of City staff positions and asked if this was going to happen. He stated that he is going to continue to ask for the records since, according to the municipal code, pier permits are supposed to be on file with the City. He noted that he has asked for some of the ones in The Grand Canal but they have yet to be found. He believed that, if the City's municipal code states that the City is supposed to maintain and keep records, they need to be there. He added that Mr. Melum mentioned that the records are being microfiched, but they have yet to be found. Mr. Hildreth reported that the City has put together a website citing a letter complaining about a platform, but the platform had a Sea -Doo on it and had nothing to do with the access rights which he believed is a pier permitted location under the guidelines for The Grand Canal. He believed that there is no difference between the access rights for that location and the other locations in The Grand Canal. He stated that he needs to do more research into the City's history and thanked Council for allowing him to gain all this knowledge because it has been a nice and fruitful learning experience. He expressed his hope that his knowledge will keep growing and added Volume 55 - Page 620 City of Newport Beach City Council Minutes February 11, 2003 U7 that he is looking forward to becoming more intelligent as time goes on. Dolores Otting asked what the status is regarding the Big Canyon Reservoir cover. Ms. Otting noted that, two weeks ago, there was discussion about how some Council Members are being too picky about what goes on with the Planning Commission agenda and took issue that the public cannot get an audio tape of the Planning Commission meetings. She believed that people have to ask a lot of questions because there is no other way to get information. She asked that the City spend money to allow the public to have access to information, especially since the visioning festival will go on for another year. She believed that no one can get information unless they set up an appointment to listen to the tape at City Hall. City Manager Bludau reported that, while the City is still hoping to get $1 million of Federal funding, it is moving forward with the Big Canyon Reservoir cover specifications. He also clarified that the visioning festival for the General Plan will not be continuing since it has concluded. Council Member Heffernan clarified that the City thinks there is a possibility that Federal money will be available, but emphasized that no money will be available if the City commences work since people will think that the City has the money to pay for the cover. He stated that, given the State budget, the $1 million is worth a lot this year. He assured everyone that the City is not dropping the ball or trying to put the water in jeopardy, but is trying to let the Federal process go through to get the funding to assist with the cost. Council Member Nichols stated that Council minutes are on the City's website and asked if the Planning Commission minutes can also be available online. Mayor Bromberg indicated that they are. City Clerk Harkless believed that the problem Council Member Nichols might be facing is that he needs to go back to the archived minutes for 2002. City Manager Bludau indicated that staff can work with him on this. Lindsay D'Agostino presented Council with a letter. She indicated that she has a full-time job, but does freelance work out of her home which only generates about $2,000. She reported that she received a letter asking for a business tax license registration, but requested an exemption. Mayor Bromberg indicated that City Manager Bludau or City Attorney Burnham will contact her. L. ORAL REPORTS FROM CITY COUNCIL ON COMMITTEE ACTIVITIES Ad Hoc General Plan Update Committee (GPUC). No report. Local Coastal Program Certification Committee. No report. Southern California Association of Governments (SCAG). Mayor Pro Tern Ridgeway indicated that he will be making at least once a month reports about SCAG starting next month. He reported that SCAG is a bureaucratic Volume 55 - Page 621 City of Newport Beach City Council Minutes February 11, 2003 INDEX organization out of Los Angeles which represents Los Angeles, Riverside, San Bernardino, Orange, and Imperial Counties. He stated that its main focus as a regional organization is to filter all transportation plans. He announced that the Federal government, before it gives transportation funds, requires that transportation plans go through a regional agency. He indicated that all cities and transportation agencies come together to discuss the overall regional plan. He added that, every three years, a Regional Transportation Plan and a Regional Transportation Implementation Plan cycles through. He stated that all of the subvention monies that are received through the State or Federal government starts at SCAG. He announced that there are 75 members on the Board who look at the airport plans and integrate it into the regional transportation plans. Mayor Pro Tern Ridgeway added that SCAG is also responsible for affordable housing and determining each community's obligations. He reported that they create the Regional Housing Needs Assessment (RHNA) every three years. He noted that SCAG also touches on water issues. He announced that he is a part of SCAG's aviation task force. Newport Coast Advisory Committee. Council Member Heffernan reported that Newport Coast is a difficult area because of its land mass, canyons, and fire zones. He stated that he just discovered that Newport Coast Drive and San Joaquin Hills Corridor are not owned in fee, other than by the two homeowners associations. He announced that they are not public roadways and the City does not maintain San Joaquin Hills Corridor because the homeowners association will not allow the City on the property. Council Member Heffernan reported that the committee is dealing with the fuel modification zones. He indicated that Council received a briefing during the study session about how it will soon start policing the fire hazard zones to get them into compliance. He stated that this will cost about $500,000. He noted that the City's annexation agreement does not require the City to step in and pay for maintenance of those areas until they are up to code. He indicated that the residents thought they had paid for compliance for years through their association dues, but have not gotten it. He emphasized that the City needs to bring them up to a standard which will minimize fire danger in a very high fire hazard area. Council Member Heffernan announced that the Sage Hill traffic signal is scheduled to be operational on April 15. He added that the pre- annexation agreement is going to be amended because of everything that is being discovered about Newport Coast. This will be discussed at the next committee meeting on March 3. Telecommunications Committee. Council Member Heffernan reported that the committee met yesterday and part of their agenda was to extend the existing franchises. He noted that Adelphia provides 2/3 service to the residents and Cox 1/3. He stated that there are about 27,000 cable subscribers in the City. He indicated that Adelphia's bankruptcy compounded their issues. He stated that they are dealing with a franchise agreement which allows the City a 5% fee of the residents' total cable bill. He added that, since they also use part of the City's right -of -way, the City has a say in the franchise agreement. He indicated that part of what the committee negotiates is the three public channels, access to them, and how they are used. He stated that the concerns about not being able to view Planning Commission meetings, etc. may be included by the cable company or the City can use part of its 5% fee to Volume 55 - Page 622 City of Newport Beach City Council Minutes February 11, 2003 provide this to the residents. Further, they are looking at the school district to use part of the time for their services through their production facilities. He indicated that the key issue is that the money be used for City purposes since the City will be receiving money. He stated that the needs assessment will try to define the residents' needs, prioritize them, and then negotiate the contracts. Finance Conunittee. Referencing an article in the newspaper about the property tax appeal from Mr. Pool in Seal Beach, Council Member Heffernan stated that this may mean that the City will need to pay back $5.7 million the first year, plus $2.3 million to $5 million per year if the litigant prevails. He reported that the school district may need to pay back $15 million to $18 million its first year. He stated that this has to do with the right of the assessor to reassess properties back up once they reduce its values. However, according to this lawsuit, the assessor can only increase the value on a 2% per year basis. He added that this does not include the State issues regarding the Vehicle License Fees (VLF) or the retirement contribution through PARS which could double and then triple in the next two fiscal years. Council Member Heffernan stated that it is not business as usual and there will have to be some tightening because of things that are imposed on the City. Regarding Mr. Pool's lawsuit, Mayor Pro Tern Ridgeway explained that there was a rollback of taxes over the years. He agreed that the tax assessor is limited to a 2% increase per year, but once values started to go back up, the assessor reached back and compounded the 2 %. He indicated that the constitutional limitation of 2% per year and reaching back is in question, not the fair market value. He noted that the Superior Court Judge indicated that once the annual raise is started again, they have to start with that property value and only raise it 2 %, and not include the other two percents that were waived in the prior years. Council Member Heffernan concurred and added that, since Proposition 13 is part of the constitution and not a law passed by the legislature, it can only be fixed the way it was created if it is wrong. Jim Hildreth, The Grand Canal, stated that, ever since Newport Coast has been annexed, not many people are trying to defend themselves. He asked if Cox or Adelphia is able to reach them and if the homeowners associations are getting a copy of the committee's report. M. PLANNING COMMISSION AGENDA AND ORAL STATUS REPORT 13. PLANNING COMMISSION AGENDA FOR FEBRUARY 6, 2003 [MEETING CANCELLED]. N. PUBLIC HEARING 14. CODE AMENDMENT CA 2002 -007 - LANDMARK BUILDINGS (PA 2002 -218) - AMENDMENT TO TITLE 20 OF THE NBMC TO DESIGNATE CERTAIN TYPES OF BUILDINGS AS "LANDMARK BUILDINGS" AND MODIFY RESTRICTIONS ON NONCONFORMING USES IN LANDMARK BUILDINGS. Council Member Nichols recused himself as a Council Member since he lives within 500 feet. He indicated that he does not have a financial Volume 55 - Page 623 INDEX Planning (68) PA2002 -218/ Code Amendment CA2002 -007/ Landmark Buildings (68) City of Newport Beach City Council Minutes February 11, 2003 INDEX interest in the project, but will testify as a member of the audience. Planning Director Temple stated that this was generated at the direction of former Council Member O'Neil a couple of months ago. She indicated that this would add a new definition in the municipal code and create a category for "landmark buildings ". She emphasized that this designation does not constitute an official historic designation of a property that would limit a property owner's ability to tear down a building or make significant modifications. She reported that the purpose of the amendment is to allow changes of use within the landmark buildings by way of an increase or change in operational characteristics that may, under normal zoning code provisions, be considered an intensification. Ms. Temple indicated that the initial principal criteria that staff presented to the Planning Commission which would allow this type of change of use within these buildings was that there be no change or increase in the amount of required parking, unless the increase in parking was provided in association with the change. She reported that the Commission expressed concerns about how far change of use could go within the structures. She noted that this amendment would only apply to four properties in the City (Balboa Theater, Port Theater, Lido Theater, and Balboa Pavilion). She stated that the only way other properties would be included is if historic registered properties were added that were also nonconforming. Due to Commission concerns, Ms. Temple reported that staff looked at the proposed code change and added a provision in which no more than 25% of the gross floor area of the existing nonconforming building could be converted or intensified in the change of use and operational characteristics. She stated that, with this change, the Commission recommended approval to Council. She reported that a theater is a use that currently requires a use permit and noted that none of the theaters previously mentioned have use permits because they were established before it was a requirement of the code. She explained that, if a property owner wanted to add an additional characteristic, like enhanced food service, or if they wanted to intensify a type or style of live entertainment, they can do so but only if the portion of the property that is intensified is no more than 25% of the floor area. This change can be done without the approval of a new use permit. Council Member Adams stated that entitlements are usually done through a use permit process which allows the City to include conditions that provide remedies for problematic uses. He asked if addressing the change in designation would limit the City's ability to have a remedy for a future problem, i.e. parking, noise, and hours of use. Ms. Temple stated that the Commission was concerned about the potential for these problems and wanted to ensure that certain types of permits that the City would normally require would still be required despite not needing a use permit for the establishment of the use. She clarified that, if a restaurant was added to a theater, this could be done but requires a use permit pursuant to the Alcoholic Beverage Outlet (ABO) ordinance if they wanted to serve alcohol. Further, they need a Eve entertainment permit if they wanted live entertainment. She Volume 55 - Page 624 City of Newport Beach City Council Minutes February 11, 2003 INDEX emphasized that the code provisions regarding offenses and nuisances would still be applicable and be dealt with through normal channels. She added that the establishment of the use would not have a use permit but, if a use became problematic, the City would need to use other parts of the code to deal with it. Council Member Adams asked if the City could use this process to impose blanket conditions on the land use designation. Ms. Temple indicated that Council can add limitations in order to qualify for this exemption. She stated that the Commission wanted to ensure that they will not lose the ability to approve /deny an ABO or live entertainment use permit, so they crafted the language so those types of permits would still be applicable. She stated that, if there were other specific operational characteristics that Council did not want to exempt, they need to be specified in the ordinance. Council Member Adams asked if exceeding a certain hour for alternative uses over the status quo requires discretionary approval by the Commission. Ms. Temple indicated that Council would need to state that the exemption would only apply up to the designated hour and they would have to come back for a conventional use permit anytime after that. Mayor Bromberg stated that the Balboa Theater was built around 1928. Ms. Temple indicated that she is unsure when the Port or Lido Theaters were built, but noted that the three theaters were built before December 12, 1950. Council Member Webb reported that the Lido Theater was built in 1939. Mayor Bromberg noted that the Port and Balboa Theaters have not operated for a while, but asked if their uses ever changed while they were operating. Ms. Temple believed that all three theaters fall in the "cinema" use classification in the zoning code, but there is question as to whether one or more of them may have had live entertainment. She indicated that, if the property owner wanted to claim that as an existing nonconforming use, they would have to present the City with evidence proving that this was an already authorized nonconforming use. She reported that the Port Theater and Lido Theater are in retail service /commercial districts and the Balboa Theater is in the Balboa Specific Plan. In response to Council Member Heffernan's questions, Ms. Temple reiterated that staff was requested to work on this by former Council Member O'Neil, but he did not suggest the four properties being discussed tonight. She explained that staff was given broad direction and came up with this strategy as a way to address the request. She stated that one of the reasons they suggested this strategy was to limit the number of properties it would apply to. Regarding the 25% provision, she stated that staff wanted to make the number large enough to allow a realistic supplemental use, but smaller than 50 %. She noted that the Commission was concerned about the additional use overtaking and becoming the principal use. Council Member Heffernan asked, if a theater removes a mezzanine, whether the 25% applies to what they end up with or what they started with. Ms. Temple indicated that this would need to be clarified. Council Member Heffernan asked what the existing rule is about how long a building can go dark and still have the permits in place for the Volume 55 - Page 625 City of Newport Beach City Council Minutes February 11, 2003 INDEX use rights. Ms. Temple indicated that nonconforming rights would go away after 180 days, but they can maintain their nonconforming right if the property owner made efforts to continue the use. She noted that the Balboa Theater has different circumstances because it is a City property and the City has been actively pursuing changes to the building. She indicated that staff would document the situation related to the provisions and make sure it qualifies for the exemption. She confirmed that, since the root of the exemption applies to the preexisting cinema use, a condition of the alternative 25% use is that they maintain the principal nonconforming use. She also confirmed that the Port Theater does not have to comply with the 3:1 parking ratio that applies to a new cinema and would be allowed to open the cinema as is. Dick Nichols, Corona del Mar, referenced Exhibit A of the proposed ordinance (handwritten page 8). He stated that items 1 to 4 are parallel but are subject to interpretation, and that it is not clear if item 1 applies to items 2 to 4. Further, it is not clear if items 2 to 4 are subordinate to item 1 because of the exception and it is not clear if they are independent phraseologies. He reported that the Port Theater opened in 1949, has 900 seats, and has to be able to park up to 300 cars. He indicated that, if they went beyond that with some new use and need 400 cars, then they would have to have parking for another 100 cars. Mr. Nichols stated that the City went through a community development process for a General Plan and noted that this was not included in any of the hearings. He indicated that, during the visioning process, definitions were generated and comments were gathered about what people wanted in their communities. He added that workshop participants commented that they wanted to limit the growth of business in Corona del Mar. He noted that the theaters would be able to change its design, which is different than the historic model which states that it is the building that is being preserved. Mr. Nichols stated that the visioning process also looked at areas needing revitalization, but noted that Corona del Mar was not included. He indicated that, if this is part of Corona del Mar's revitalization, no one asked for it. He noted that mixed use areas were discussed and believed that this would combine more business with residential areas. He added that Corona del Mar was excluded from these discussions. Shirley Conger believed that Paris, France, is probably the most beautiful city in the world because of the many imposing public buildings, art galleries, museums, and large public gardens. She noted that this publicly financed beautification attracts tourists that support the many businesses. She stated that the Corona del Mar business district does not reflect the quality of the surrounding residential area and is pedestrian unfriendly. Further, traffic speeds through and frequently runs red lights. She reported that she attended the charrette a few years ago in which alternatives were presented, like sidewalk cafes and roadside parks with no impedance of traffic. She stated that she appreciates that the City has done some improvements, like add trees, and that the businesses have modernized some of the buildings; however, she feels more needs to be done. She believed that Volume 55 - Page 626 City of Newport Beach City Council Minutes February 11,2003 INDEX a reopened Port Theater can become the crown jewel and attract more visitors, especially in the evening when there is no parking problem. She stated that, even though the building is closed, the Port Theater is an attractive building, but with some renovation could become a magnet to come to Corona del Mar. She believed that the Port Theater deserves landmark status and public support from the City. Oliver Winn, 422 Heliotrope Avenue, presented Council with a copy of a letter highlighting his position and a copy of his comments. He indicated that he has no objection to the Balboa, Lido, or Port Theaters, noting that he attends the Lido Theater regularly as he did the Port Theater when it was operating. He stated that the theaters present carefully selected out -of- the - mainstream films of high quality and entertainment value. Further, films are shown over a long period of time so viewers are spread over time rather than being concentrated in a few days. He pointed out that the Balboa and Lido Theaters have adequate parking; however, Corona del Mar has developed over the years to the point where there is no public parking near the Port Theater. He expressed concern that the "landmark" designation has nothing to do with the protection of the theaters, but is a relaxation of zoning /development rules and is misleading. He stated that, considering the concentrated nature of Corona del Mar, the City should never relax any rule. He noted that the rules are not forbidding and are the ones that Council handles everyday. He took issue with how this got started and believed that this should not have come before Council. He reitereated that, if there is no protection for the buildings, this is just a relaxation of rules. He requested that the City use its full review prerogative to give the public a chance to comment on each location. He suggested that Council reject this for the Port Theater. Luvena Hayton, 235 Poppy, stated that there is a Corona del Mar posse in attendance tonight to ensure justice is served and the Port Theater is saved. She indicated that the theater has sentimental value and will help the business community. Further, it will be great to get it cleaned up. Donald Glasgow, Corona del Mar businessman, stated that he has been an active member of the Corona del Mar Chamber of Commerce for 12 years, owned /operated a business on East Coast Highway for ten years, and is the co- founder and immediate past chairman of the Corona del Mar Business Improvement District (BID). He noted that two questions he is asked are, "When is something going to be done about the Port Theater?" and "What is the status of Vision 2004?" Regarding the Port Theater, he indicated that he responds that his hope is your hope. He added that he does not know of a more important subject in the Corona del Mar village than to see that the Port Theater reopen for film showings and other performing arts. He believed that he speaks for an enormous number of people when he requests to get on with the show by remodeling the Port Theater and reopening it to the public as soon as practical. He emphasized that they have seen enough of how it should not look, noting that it has been a blight on the community for too many years. He stated that this is the opportunity to do something Volume 55 - Page 627 City of Newport Beach City Council Minutes February 11, 2003 INDEX positive for this local community treasure. He requested that Council approve the landmark building designation which includes the Port Theater. Ray Halowski, Corona del Mar resident, stated that he is a fan of the Port Theater, but asked what the benefit of the amendment is to the owner and if this means they will actually open it. He also asked what the benefit is to the residents and the City. He requested that these questions be considered before voting on this issue. Mayor Bromberg announced that he received a letter today from the Corona del Mar Chamber of Commerce supporting this because they feel that the Port Theater would bring much needed business to Corona del Mar. BJ Johnson, 23 Canyon Crest Drive, stated that she is the chair of the resident's association. She noted that she sent the Commission a letter and received confirmation that Council also received a copy. She indicated that, at their November 1, 2002 meeting, the Corona del Mar Residents Association voted to support the landmark theater zoning code amendment. She emphasized that the Port Theater is not asking for financial support. She reported that, while getting new tires in Corona del Mar, the owner's son told her that he was neutral about the theater but would like them to figure out how they would clean up their parking lot if they use it at night. She pointed out that there are parking lots that could be used by the theater at night and assumed that the theater would use some of these spots so it does not impact residents. Ms. Johnson noted that, if the Port Theater is torn down, then a new building would be built and parking would still need to be contended with during the day and night. She reported that, if the theater reopens, she heard that the plan is not to have a 900 seat theater. She expressed her hope that Council support this. Council Member Heffernan stated that this all presupposes that the existing use permit for cinema use is valid and that the owner can prove that it was used as a cinema within the last six months. He asked if this has happened because, if it has not, this designation does not apply. Ms. Temple indicated that it is her understanding that, from time -to -time, films are run in the Port Theater but staff still needs documentation. Council Member Heffernan noted that the property owner is not here asking for this. Ms. Temple reiterated that staff prepared the ordinance based on a request by Council. She stated that she has not heard from the property owner of the Port Theater, but they were noticed. She reported that the owner of the Lido Theater testified at the Commission meeting. City Attorney Burnham noted that Council Member Heffernan mentioned a use permit for the Port Theater, but clarified that they have nonconforming rights. Mayor Bromberg announced that he received a telephone call today from the Executive Director for the Balboa Theater who indicated Volume 55 - Page 628 City of Newport Beach City Council Minutes February 11, 2005 support for the ordinance. INDEX Mayor Pro Tem Ridgeway clarified that the proposal is not to give 25 %+ floor area, it is in lieu of, which means that, if they go to another use, they have to delete part of the existing use. He asked, if an applicant surpassed the 25 %, whether that person comes in under a use permit application. Ms. Temple confirmed that they would need to apply for a use permit since they exceeded the limits of the exclusion. John Loper, Fritz Duda Company, 3425 Via Lido, stated that he is Vice President of the California Division and that they are the managers and owners of Via Lido Plaza, which includes the Lido Theater. He noted that he spoke at the first Commission meeting. He reported that the theater was built in 1939, the Fritz Duda Company is the second owner, and he managed the renovation of the theater after Edwards Theaters closed it. He stated that the theater is a historic structure and they are proud that the renovation was completely done via private money so they could reopen the theater to provide first -run movies that can only be seen in the City. He reported that they support the landmark buildings code amendment and feel it will be beneficial for their operators and the other theaters because it will allow them the flexibility to operate the theater in order to compete with the multiplexes. He emphasized that it is difficult to make a single screen theater work because taxes, insurance, and maintenance expenses are often more than the rent. He believed that allowing flexibility without going through an extensive, expensive public hearing process for minor changes to a small amount of square footage for full- service food use or additional entertainment venues in conjunction with showing a movie would be helpful in keeping the Lido Theater and the other theaters open and a viable business. Mr. Loper reported that, when they were renovating for two months, the restaurants in the shopping center and surrounding area saw a noticeable affect. He emphasized that any changes in the code will not increase the overall parking that was required if it was just run as it is now. Mr. Loper noted that the Lido Theater has varying hours of operation depending on the movie. He stated that it could open prior to 11:00 a.m. and, if there are longer movies, they play past midnight. He added that they are also one of the homes for the Newport Beach Film Festival and the largest venue for their major screenings. Further, their stage has historically been used for live performances in conjunction with a movie. He stated that they would like to continue to do this. Val Skoro stated that he is a longtime Corona del Mar resident and has been involved with many of the resident associations, the BID, and the Chamber. He stated that the Port Theater has been sitting as it is for years and believed that it is time a decision is made. He expressed the opinion that the code amendment is a vehicle where they can do something and urged Council to pass the ordinance. Dolores Otting read a letter from Novell Hendrickson that was in the Daily Pilot today. She stated that the question is not whether the Port Theater is to remain or be demolished, but the real issue is the Volume 55 - Page 629 City of Newport Beach City Council Minutes February 11, 2003 INDEX proposed zone code amendment. She continued by stating that the property owners did not initiate the process and that only a Lido Theater representative responded at the Commission meeting. She asked if the nonconforming structures and use code should be short circuited by the amendment which would give the three theaters special status by bestowing "landmark" on the buildings. She stated that the most troubling part is the elimination of the use permit process that allows public hearings. She asked if the owners of the theaters should be able to use a portion of their building as a cabaret, cyber cafe, nightclub, arcade, restaurant, bar, or other similar uses that could present noise, parking, and police problems without having to obtain a use permit. If Council approves the proposed amendment, she believed it would mean that any of these uses can be put in place without input from the neighbors, there would no longer be a review by an elected body, and the Planning Department would make all the decisions. Further, the visioning process which allowed for public involvement appears to be very important to Council; however, this proposed amendment disenfranchises the public who may be impacted by changes in their village's character or neighborhood. Noting that Council denied a driveway widening at 433 Fernleaf two weeks ago, Ms. Otting took issue that the City is going to let anyone open a bar, etc. without a use permit. Council Member Adams stated that he received an email from the author of the letter. He indicated that the short circuiting of the public process was a concern to him, but this is just like lumping together four use permits at one time. He stated that the City needs to ensure it is considering all the impacts just as if this was a use permit. He believed that this is not short circuiting the process because this guarantees a Council hearing; however, if these were use permits, this would stop with the Commission unless it was appealed. Council Member Adams expressed the opinion that the benefit to the public is that the landmark buildings could be restored with private money and be a viable use to the communities in the same way they were years ago. He stated that using the buildings as theaters is not financially viable so some flexibility needs to be given in terms of land use to motivate the owner to make a significant investment in the structure and make it usable. Council Member Adams indicated that he is generally in favor of this, but expressed concern regarding the parking impacts, particularly in Corona del Mar. He stated that, if the Port Theater opened as a 900 seat theater and was well attended, it would overwhelm the neighborhoods and there would be nothing the City could do; however, this is not occurring now. He indicated that, if the owner decides to invest in the theater, there will be a significant change in parking. He believed that the City needs to think about what it needs to do to mitigate this. He stated that, if he supports this, he would like some confidence that the parking issue will be addressed in some way. Mayor Pro Tem Ridgeway agreed that the benefit to the community at large is the saving of a building that was built in 1949. He stated that he attended the Port Theater on numerous occasions and reported that Volume 55 - Page 630 City of Newport Beach City Council Minutes February 11, 2003 INDEX it is used as a venue for the Newport Beach Film Festival. He believed that the days of 900 seat theaters are gone, but he wants to create an environment where the Port Theater building could be saved. He reported that he has seen a plan, which did not come from the owner, to rehabilitate the building. He indicated that the plan reduces the seats from 900 to 300, provides for a small bar and eating area upstairs to be patronized by the people going to the movie theater, and possibly with a small coffee shop downstairs. He noted that, with a 300 seat theater, the maximum number of parking spaces needed is 100. After reading the inventory of parking, Mayor Pro Tem Ridgeway believed that there is more than ample parking for the theater in and around the Corona del Mar village, especially after 6:00 p.m., but may be more problematic during the weekend. He reported that the Lido Theater runs more art films and foreign films, and that they draw about 150 people. He believed that the same amount of people will patronize the Port Theater. He agreed that the theater needs revitalization and that he would support the plan he saw since it renovates the entire theater and does not put a severe demand on the parking in the neighborhood. Mayor Pro Tem Ridgeway indicated that he has concerns about the hours of operation. He stated that he is supportive of the landmark status, noting that he talked to the owner of the Balboa Pavilion and briefly with the owner of the Lido Theater. He believed that this is a benefit, but emphasized that this does not ensure that the buildings will be saved. He added that he is pleased that the residents association and business district supports this. Council Member Heffernan expressed concern that the applicant is not here. He stated that the City is trying to entice an absent owner to do something when he does not have to do anything. He believed that, if the City is going to do this, there should be conditions added that ensure that the theaters qualify under the preexisting cinema license, that cinema use be continued, and that the 25% provision be the modified floor area which leaves 75% for cinema use. He stated that he assumes that, within the cinema use, they could split the area and make a two screen cinema out of the single screen theater since it is still a cinema use. He expressed concern that this is all for nothing because the owner cannot justify that the theater has been used intermittently to sustain the prior cinema use right. He indicated that he understands that there would be no preexisting entitlements and they would need to come back with a new plan and qualify as a permitted use. Ms. Temple explained that the code does have that as part of the provision, but there are other provisions that allows the continuation of a nonconforming use if the owner has shown a diligence in maintaining the use. Council Member Heffernan asked if there is anything that prevents the City from creating a landmark ordinance for the Port Theater for a specific redevelopment plan/use when the owner brings in a detailed plan. Mr. Burnham reported that Council can adopt zoning ordinances that confer a substantial public benefit and apply it to similarly situated properties; however, the courts have been reluctant to approve "spot zoning" in which specific zoning provisions are applied to a single parcel. Volume 55 - Page 631 City of Newport Beach City Council Minutes February 11, 2003 71 1 Council Member Adams asked if this ordinance can grant continuance of nonconformance for these uses. Mr. Burnham stated that Council would have to reintroduce and renotice. He believed that Council can do that if it were included as part of the notice but Council would need to apply standards Citywide to whatever properties would be affected. He added that Council can develop a new standard for nonconforming uses as the legislative body. Council Member Adams asked if Council could override the continuation of nonuse provision if it was determined that there was public interest in retaining the uses of these buildings as a theater. Mr. Burnham confirmed that Council can establish special provisions for theaters. Council Member Adams agreed with Council Member Heffernan that this seems inappropriate to be considering this without at least concurrence from the property owners of all four parcels. He stated that considering a land use change for these buildings without at least having a letter from the Port Theater or Balboa Pavilion is odd. Mayor Bromberg indicated that the discussions seem to be focusing on the Port Theater and asked those in attendance regarding the theater to raise their hand. He expressed hope that the Port Theater building is saved because so much of the evidence of the City's history is disappearing. He noted that the theater is about 18,000 square feet and is zoned retail- commercial. He expressed concern that, if it is torn down, 18,000 square feet of retail- commercial can be built which means that it might be bad for parking in the area. He emphasized that there is no project before them. He noted that the Balboa and Lido Theaters indicated support. Mayor Pro Tem Ridgeway added that he spoke to Mr. Black of the Balboa Pavilion who indicated his support, but pointed out that this was not an important issue to him because he has other statuses that protect him. Mayor Bromberg believed that the project Mayor Pro Tern Ridgeway described earlier sounded great and would mitigate any traffic concerns. He indicated that he could support this tonight but suggested continuing this in order to get a letter from the Port Theater owner. Council Member Adams supported a continuance to get a letter, but added that he would also like to see the 25% gross floor area condition clarified. Further, he recommended that the theaters remain one screen cinemas, that the owners be required to retain the substantial preservation of the building facade or at least the essence of the look and feel of the facade, that some type of discretionary approval of a parking plan be explored, and that any hours of operation past midnight require discretionary approval to protect the Corona del Mar neighborhoods. Mayor Bromberg stated that he is looking forward to supporting this, but he needs to hear from the owner, not an intermediary unless it is their legal representative. He indicated that the owners do not need to provide a project. He noted that a phone call also works. Mayor Bromberg indicated that he is unsure whether he wants to tell a business how to keep its facade, but he is open to listening to anything. Volume 55 - Page 632 City of Newport Beach City Council Minutes February 11, 2003 INDEX Regarding the ordinance, Council Member Webb explained that the restrictions on nonconforming uses and structures are defined to discourage the demolition of landmark buildings and to encourage their adaptive uses. He stated that this tells him that the City is trying to do something to keep the buildings around. He also agreed with Council Member Adams' comment that, if the buildings have a significance to the community, the City should try to preserve the fagade. Mayor Bromberg asked if any of the buildings would lose its landmark status if it were torn down. Ms. Temple stated that it would depend on how the final language of the code is written. She noted that, currently, the code does not require preservation of the building. She stated that, if a building is torn down, it may not lose its nonconforming use, but in most cases they are also nonconforming with regard to floor area. She reported that the Balboa Theater is trying to save enough of the building to maintain its nonconforming right. She believed that the code could either be for preservation or refurbishment/reinstatement. She noted that staff can structure the code with as much strength or flexibility as Council desires. Motion by Council Member Adams to continue the item to February 25, 2003. Mr. Burnham indicated that he assumes that the motion will include a request of staff to draft language to deal with fagades, parking, a nonconforming use definition, and hours of operation. He reported that the ordinance will be reintroduced after a straw vote of Council to integrate those changes into the ordinance. Mayor Bromberg requested that staff also contact the owner of the Port Theater. Council Member Heffernan asked that staff also find out what prior cinema use /activity has happened to sustain the existing use right. Council Member Adams indicated that, if this is problematic for the Port Theater, he feels strongly enough about preserving the building that the ordinance deal with the nonconformance issue. Council Member Heffernan stated that this probably should be dealt with because he feels the building has not been used for a long time and that the exemption is going to be hard to get unless Council creates something within the ordinance to expand what would otherwise apply. Mayor Bromberg suggested that Council first see whether there is interest from the Port Theater owner. Council Member Webb suggested that this item be continued to the first meeting in March so staff has more time to work on the wording. Amended motion by Council Member Adams to continue the item to the March 11, 2003 Council meeting; and direct staff to redraft the ordinance for introduction to deal with fagades, parking, and hours of operation, and include a nonconforming use definition. The amended motion carried by the following roll call vote: Ayes: Heffernan, Ridgeway, Adams, Webb, Mayor Bromberg Noes: None Abstain: Nichols Volume 55 - Page 633 City of Newport Beach City Council Minutes February 11, 2003 Absent: Proctor O. CONTINUED BUSINESS 15. APPOINTMENTS BY THE CITY COUNCIL TO ENVIRONMENTAL QUALITY AFFAIRS CITIZENS ADVISORY COMMITTEE, COASTAL/BAY WATER QUALITY CITIZENS ADVISORY COMMITTEE AND THE AVIATION COMMITTEE (contd. from 1/28/03). Mayor Bromberg stated that the Aviation Committee appointments need to be cleaned up, not everyone is ready to make EQAC appointments, and EQAC is having a subcommittee meeting in two days which may provide recommendations regarding Council Members' district appointments. Motion by Mayor Brombere to 1) continue the appointments to the Environmental Quality Affairs Citizens Advisory Committee and the Coastal/Bay Water Quality Citizens Advisory Committee to the March 11, 2003 Council meeting; and 2) direct the City Clerk to solicit additional applications for the Aviation Committee and continue the appointments until March 11, 2003. Council Member Nichols asked if the rules are going to apply to every committee. He also asked whether each Council Member appoints someone from the district for both the primary and alternate positions for the Aviation Committee and whether there needs to be a majority vote of Council. Mayor Bromberg confirmed that this is the procedure for the Aviation Committee. Regarding EQAC, he clarified that each Council Member has a district appointment in which the person must live in that Council Member's district and each has an at -large appointment that can live anywhere in the City. He confirmed that those appointments are subject to majority approval by Council and added that all commission and committee appointments are voted on by Council. He indicated that, after each Council Member makes its appointments, Council generally votes on all the appointments at one time. Council Member Nichols believed that this means that the Council majority basically makes the appointments since they can cancel out anyone they do not like. Mayor Bromberg indicated that, some time ago, a Council Member made an indication that he was going to appoint someone to a committee but most of Council did not want that to happen so it did not happen. He stated that it is rare to see Council turn an appointment away. The motion carried by the following roll call vote Ayes: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: Proctor Volume 55 - Page 634 INDEX Appointments to EQAC, Coastal/Bay Water Quality, and Aviation Committees (24) City of Newport Beach City Council Minutes February 11, 2003 P. CURRENT BUSINESS 16. GENERAL PLAN AMENDMENT (GPA) INITIATION NO. 2003- 001 (PA2003 -010) — GPA TO INCLUDE SELF - STORAGE FACILITIES IN THE RANGE OF PERMITTED USES IN THE CAMPUS DRIVE AREA OF STATISTICAL AREA L4 (AIRPORT AREA). Council Member Heffernan recused himself due to a conflict of interest. He announced that his law firm represents Cardinal Development who may be a potential operator. Planning Director Temple clarified that the General Plan Amendment process starts with a procedure called initiation. She stated that initiation allows the Planning Commission and Council to look at a project concept before any detailed environmental, traffic, or parking studies are conducted. She indicated that this also assists in finding out whether the applicant can proceed with the studies in confidence knowing that consideration might be given to the amendment. She emphasized that, by choosing to initiate a General Plan Amendment, Council is not committing the City to actually approving the amendment. Ms. Temple stated that this is a request from a property owner to add self - service storage uses to the list of uses permitted in the General Plan. She noted that there are a couple of areas in the City in which the City has made this specific provision. Dan Perlmutter, 26 Mission Bay Drive, applicant, stated that he has owned the property for ten years which was once known as the Newport Industrial Complex. He added that the building was built in 1962 and has had only one tenant, Edler Industries. He reported that, 1' /z years ago, the building became vacant and they were challenged to find the best project that would be useful to the area, make financial sense, and be beneficial to the City. He stated that prospective businesses, like automotive users, brokers, etc., were brought to the site to look at the four acre property. He utilized photos from the roof of the building to show that the building is in the middle of the large jets' take off pattern at John Wayne Airport (JWA), is within 200 yards of the runway, and the smaller planes take off about 300 to 400 feet away and fly over the building. He added that the small planes are parked near them and the building rocks when the planes take off. Mr. Perlmutter reported that they tried to get an automotive dealership, but it has been difficult and they do not have an offer. He added that major retailers will not go there because there are no residents in the area and the people who work in the area leave at 5:00 p.m. He stated that 100,000 people work in the immediate area who need services. Mr. Perlmutter indicated that, when the storage facility idea was brought to the City, staff agreed to it as long as a mixed use project was built and they preserve some of the existing building. He displayed the design and indicated that they are proposing to remove the front of the Volume 55 - Page 635 Q111 WI PA2003 -010 GPI 2003 -001 Self- Storage Facilities (68) City of Newport Beach City Council Minutes February 11, 2003 INDEX existing building and connect the two sides to provide service retail, including fast food. Further, they wanted to put in self storage which is greatly needed for the businesses and the future apartments in the area. He reported that the proposal will bring in tax revenue for the City and makes sense. He noted that the facility will be state -of- the -art and will not be a metal facility. He stated that there is already self storage a block away from him but it is not in the General Plan. He indicated that this is actually just a text amendment they want to initiate. In response to Mayor Pro Tem Ridgeway's question, Mr. Perlmutter stated that businesses like Home Depot, Lowes, Office Depot, and a sporting goods store have shown an interest in the property, but when they study the area, it is determined it is not a retail area. He stated that they can put a hotel or hospital on the property, but the airport impact is still the same. Mayor Pro Tern Ridgeway stated that he spoke to Mr. Edler and asked whether Mr. Edler owned the building. Mr. Perlmutter confirmed that Mr. Edler previously owned the building and he owned the land. He noted that Mr. Edler vacated the building in September 2001 and they purchased his rights. He added that they terminated Mr. Edler's lease almost a year ago. John Petry, 43 Royal Saint George Road, stated that he has been working as a consultant with Mr. Perlmutter for about 1'/ years. He expressed concern about waiting to make this change with the General Plan Update since the building has been vacant for over a year, providing no income, and the General Plan Update will be complete later than sooner. He requested that Council initiate this so they can move forward. He believed that a self storage facility allows about 17,000 to 18,000 square feet of outbuildings that may or may not include a fast food restaurant and is the retail that is currently approved in the zone. He emphasized that approval allows a property owner to move forward with his property. John Dewey stated that he is a commercial mortgage banker and a real estate feasibility consultant. He indicated that he is not employed by Mr. Perlmutter but may be interested in being one of his storage tenants. He stated that his office is located at 3720 Campus Drive and looks directly at the end of the runway. He added that he likes the location of his office because the rent is probably half of what it is for buildings on MacArthur and Jamboree since it rattles when the planes take off. He noted that his building has been vacant for four years probably for the same reasons that the area has been a challenge for new office developments. Mr. Dewey pointed out that his building is an older building, but his landlord does not plan to upgrade or make it more attractive to try to lease the vacant spaces for another 15 years because that is the term remaining on his deed restriction that limits density with The Irvine Company. He noted that most of the corridor between Campus and Birch has this type of deed restriction. Mayor Bromberg clarified that Council will not be voting on whether or not they will be amending the General Plan, noting that Mr. Dewey is Volume 55 - Page 636 City of Newport Beach City Council Minutes February 11, 2003 stating a case for the project. Mr. Dewey believed that there is wisdom in considering this General Plan Amendment and not delaying it for inclusion in the broader General Plan Update discussion. He stated that, when you look at the compatibility of this proposed use, it makes sense with the area's synergy and supporting commercial uses. Further, Council will find that the City is limited in the types of uses that make economic sense in that area. He indicated that it will be problematic to find tenants who will put up with the noise. Mr. Dewey added that a storage facility will have negative traffic impacts. Regarding the economic feasibility and market demand, he indicated that the City has about four square feet of storage space per capita, compared to Irvine which has about 13 square feet per capita. Motion by Council Member Adams to approve General Plan Amendment Initiation No. 2003 -001 and direct staff to include the discussed land use change in the amendment. The motion carried by the following roll call vote: Ayes: Adams, Webb, Nichols, Mayor Bromberg Noes: Ridgeway Abstain: Heffernan Absent: Proctor 17. SUTHERLAND TALLA HOSPITALITY RESORT PROJECT REVIEW AD HOC COUNCIL COMMITTEE. Assistant City Manager Wood reported that the agreement with Sutherland Talla Hospitality required them to provide the City with planning documents for their proposed project in January. She stated that, when they turned in the project, it only included 110 hotel units as opposed to the 147 that was proposed to Council when it initiated the General Plan Amendment and zone change. She indicated that Council may need to consider whether to proceed with the project at that level. Further, staff feels that they have not given themselves enough time to conduct the initial environmental study that is required for the project. She stated that they are recommending that an Ad Hoc City Council Committee be formed to look at those issues and any others they feel are appropriate, and return with a report to Council on February 25. Mayor Bromberg stated that there have been a number of revisions to the project, the Council committee will review everything that has occurred, and will bring back a recommendation to Council. He pointed out that this has to be done quickly since they are supposed to return in two weeks. He emphasized that the motion has no relationship to the project itself, but is just to appoint the committee. He reported that he will be appointing himself as the chair, along with Mayor Pro Tern Ridgeway and Council Member Webb, Volume 55 - Page 637 INDEX Sutherland Talla Hospitality Resort Project Review Ad Hoc Council Committee (24) City of Newport Beach City Council Minutes February 11, 2003 INDEX Dolores Otting asked if the meeting will be open to the public and when it will occur. She added that the committee looks like a stacked deck and does not include any residents. Mayor Bromberg indicated that a date for the meeting has not been set because there is no committee yet. He stated that the meeting is not open to the public and no residents will be on the committee. He assured everyone that there is nothing devious going on and that the committee includes three of the seven policy makers to review what has happened to date. He emphasized that nothing more or less will happen and noted that the committee is not a debatable committee. He added that Mr. Sutherland is not even invited to the meeting and that only the three Council Members, the City Attorney, and the City Manager will attend. Motion by Mayor Bromberg to appoint himself as the chair, Mayor Pro Tem Ridgeway, and Council Member Webb to the Ad Hoc Committee to review the proposed project and return to Council on February 25, 2003 with recommendations regarding any modifications to the proposed project and /or the agreement. Council Member Heffernan noted that there are two Greenlight- elected Council Members but neither of them are on the committee. He stated that this is a substantial project which has been the subject of election and Greenlight discussions. He requested that one of the members be a Greenlight- sponsored Council Member. Mayor Bromberg reported that he spoke with a member of the Greenlight Steering Committee who specifically asked that Council Member Webb be appointed. He noted that the committee was initially going to consist of only two people. He reiterated that this is not an action committee, but a committee that looks at existing documents. Council Member Heffernan took issue with Mayor Bromberg appointing Council Member Webb at the request of a Greenlight Steering Committee Member when he, as a Council Member, is asking him to appoint a Greenlight- elected Council Member. Mayor Bromberg emphasized that the project is highly controversial but the committee will not be because they will not be doing anything controversial. Tom Hyans, President of the Newport Beach Community Association, reported that he was the person who asked Mayor Bromberg to appoint Council Member Webb to the committee after he was told that the Mayor and Mayor Pro Tem were going to be appointed. He indicated that he told Mayor Bromberg that Mayor Pro Tem Ridgeway is in favor of the project, but Council Member Webb is not. He expressed the opinion that there are issues that transcend Greenlight, noting that there are ordinances that control the project from the voter's perspective that were in place long before Greenlight. He thanked the Mayor for his appointments. Mayor Bromberg stated that he is on the fence regarding this project and believed that this is a great committee since there is someone for and against the project, and a person who is on the fence. Mr. Hyans noted that he is not talking to Council today as a Greenlight representative. Volume 55 - Page 638 City of Newport Beach City Council Minutes February 11, 2003 `!4►!!L�►;! Council Member Nichols requested that at least two hearings occur regarding the committee's decision so the education can get out to the people and so there can be feedback before a decision is made. He asked that all the issues be fully heard. Mayor Bromberg stated that this is the purpose of the committee. He believed that the first meeting will get the issues out and the second can be used to get consensus since this is a controversial issue. The motion carried by the following roll call vote Ayes: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: Proctor Q. MOTION FOR RECONSIDERATION - None. R. ADJOURNMENT - at 9:45 p.m in memory of Don Means. The agenda for the Regular Meeting was posted on February 5, 2003, at 2:00 p.rrL on the City Hall Bulletin Board located outside of the City of Newport Beach Administration Building. �. XMVKi Recording Secretary Rre City Clerk 2 4 i O —'yo- CAUFO Volume 55 - Page 639