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HomeMy WebLinkAbout2024-17 - Creating the Destination Marketing Services Ad Hoc CommitteeRESOLUTION NO. 2024-17 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH, CALIFORNIA, CREATING THE DESTINATION MARKETING SERVICES AD HOC COMMITTEE WHEREAS, Section 200 of the City Charter, of the City of Newport Beach ("City"), vests the City Council with the authority to make and enforce all laws, rules and regulations with respect to municipal affairs subject only to the restrictions and limitations contained in the City Charter and the State Constitution, and the power to exercise, or act pursuant to any and all rights, powers, and privileges or procedures granted or prescribed by any law of the State of California; WHEREAS, on May 12, 2004, the City entered into an agreement with Visit Newport Beach Inc., a California nonprofit corporation ("VNB"), for tourism promotion, branding, and marketing services ("Original Agreement"), pursuant to which, VNB would receive a portion of the City's transient occupancy tax ("TOT") to fund marking efforts for the promotion of tourism within the City; WHEREAS, on March 10, 2009, the parties amended the Original Agreement to extend the term and clarify the taxes that comprise TOT under the Original Agreement; WHEREAS, on September 27, 2011, the parties terminated the Original Agreement, as amended, and entered into a new agreement for tourism promotion, branding, and marketing services ("Agreement"), pursuant to which, VNB would receive eighteen percent (18%) of the annual total TOT collected by the City to fund marking efforts for the promotion of tourism within the City; WHEREAS, on January 28, 2014, the parties entered into Amendment No. One to the Agreement, which, in part, extended the term of the Agreement to December 31, 2024; WHEREAS, the Agreement, as amended, includes unique terms and conditions, including but not limited to, a City appointed board member to the VNB Executive Committee, designation of the City Manager as an ex-officio non -voting member of VNB's Board of Directors, a marketing plan and budget submitted for review to the City Council, annual reporting and audit obligations, compliance reviews, and the adoption of policies and procedures for transparency and contracting in line with public agency requirements; WHEREAS, the Agreement, as amended, will expire on December 31, 2024; Resolution No. 2024-17 Page 2 of 3 WHEREAS, at the February 27, 2024, City Council Meeting, the City Council approved placing an item on a future agenda regarding the formation of an ad hoc committee to review and negotiate the terms of the City's destination marketing services, including details of the scope of work related thereto; and WHEREAS, the City Council desires to create an Ad Hoc Committee to review and negotiate the City's destination marketing services, including details of the scope of work related thereto. NOW, THEREFORE, the City Council of the City of Newport Beach resolves as follows: Section 1: The City Council hereby creates the Destination Marketing Services Ad Hoc Committee ("Committee") which shall be comprised of three (3) Council Members appointed by the Mayor and confirmed by the City Council. Section 2: The sole purpose and responsibility of the Committee shall be to review and negotiate the terms and conditions, including but not limited to, the details of the scope of work, of the City's destination marketing services and make recommendations to the entire City Council related thereto. Section 3: The Committee shall be advisory and shall expire upon the making of a recommendation to the City Council, or December 31, 2024, whichever occurs earlier, unless terminated sooner by action of the City Council. Section 4: The Committee shall not be subject to the Brown Act; however, the recommendation of the Committee to the City Council shall be considered at a meeting of the entire City Council noticed in accordance with California Government Code Section 54950 et seq. Section 5: The recitals provided in this resolution are true and correct and are incorporated into the operative part of this resolution. Resolution No. 2024-17 Page 3of3 Section 6: If any section, subsection, sentence, clause or phrase of this resolution is, for any reason, held to be invalid or unconstitutional, such decision shall not affect the validity or constitutionality of the remaining portions of this resolution. The City Council hereby declares that it would have passed this resolution, and each section, subsection, sentence, clause or phrase hereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. Section 7: The City Council finds the adoption of this resolution is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. Section 8: This resolution shall take effect immediately upon its adoption by the City Council, and the City Clerk shall certify the vote adopting the resolution. ADOPTED this 12th day of March, 2024. Will 6146ill Mayor ATTEST: Aft�4 Leilani I. Brown City Clerk APPROVED AS TO FORM: CI74CI-1 TTORNEY'S OFF (� CITY 10 Aaron C. Harp City Attorney ORDINANCE NO. 2024-5 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH, CALIFORNIA, ADDING CHAPTER 10.75 (PROHIBITION OF THE SALE AND DISTRIBUTION OF KRATOM) TO TITLE 10 (OFFENSES AND NUISANCES) OF THE NEWPORT BEACH MUNICIPAL CODE WHEREAS, Section 200 of the City Charter, of the City of Newport Beach ("City"), vests the City Council with the authority to make and enforce all laws, rules and regulations with respect to municipal affairs subject only to the restrictions and limitations contained in the City Charter and the State Constitution, and the power to exercise, or act pursuant to any and all rights, powers, and privileges or procedures granted or prescribed by any law of the State of California; WHEREAS, the U.S. Drug Enforcement Administration ("DEA") has stated that consumption of kratom produces both stimulant effects (in low doses) and sedative effects (in high doses), and can lead to psychotic symptoms, psychological and physiological dependence, addiction, hallucinations, delusion, confusion, nausea, itching, sweating, dry mouth, constipation, increased urination, loss of appetite, anorexia, weight loss, and insomnia, and has labeled kratom a Drug of Concern; WHEREAS, the U.S. Food and Drug Administration ("FDA") has stated that an estimated 1.7 million Americans used kratom in 2021, often to self -treat conditions without medical supervision, despite FDA warnings that kratom is not appropriate for use as a dietary supplement, and has been found to be associated with serious health risks including, but not limited to, seizures, liver toxicity, physical dependence, substance abuse disorder, and neonatal abstinence syndrome in which newborns exposed to kratom prior to birth experienced withdrawal signs such as jitteriness, irritability, and muscle stiffness, and even death; WHEREAS, the FDA has not approved any prescription or over-the-counter drug products containing kratom or its two main chemical components, mitragynine and 7-hydroxymitragynine; WHEREAS, on April 12, 2019, the U.S. Center for Disease Control and Prevention ("CDC") published a report, "Notes from the Field: Unintentional Drug Overdose Deaths with Kratom Detected - 27 States, July 2016 - December 2017," which states that: (1) kratom use has recently increased in the United States where it is usually marketed as a dietary or herbal supplement; (2) studies suggest that kratom has Ordinance No. 2024-5 Page 2 of 5 the potential for creating user dependence and abuse; and (3) reports have documented several overdose deaths involving kratom; WHEREAS, kratom products are not federally regulated in the United States and are not subject to government -mandated safety checks, resulting in a lack of oversight and accepted safety standards for use, regulation of ingredients, purity levels, and dosage; WHEREAS, states, local governments, and municipalities have prohibited the sale or possession of kratom within their respective jurisdictions, including but not limited to, the states of Alabama, Arkansas, Indiana, Rhode Island, Vermont, and Wisconsin; and WHEREAS, in the interest of the health, welfare, and safety of the people of the City of Newport Beach, the City Council desires to prohibit the sale and distribution of any product containing kratom within the jurisdictional boundaries of the City. NOW THEREFORE, the City Council of the City of Newport Beach ordains as follows: Section 1: The Table of Contents for Title 10 (Offenses and Nuisances) of the Newport Beach Municipal Code is hereby amended to read as follows: Title 10 OFFENSES AND NUISANCES Chapters: 10.04 Intoxicating Liquor 10.06 Human Waste 10.08 Interference With Public Access 10.12 Interfering With Law Enforcement 10.14 Prohibition Against Camping in Public Places 10.16 Gambling 10.24 Discharge of Weapons 10.26 Community Noise Control 10.28 Loud and Unreasonable Noise 10.32 Sound -Amplifying Equipment 10.36 Minor's Curfew 10.48 Weed and Rubbish Abatement 10.50 Public Nuisance Abatement 10.52 Abandoned or Wrecked Vehicles 10.54 Public Nudity Ordinance No. 2024-5 Page 3of5 10.58 Police Services at Large Parties, Gatherings or Events on Private Property 10.59 Graffiti 10.60 Regulation of Display of Material, Which is Harmful to Minors, in a Public Place 10.64 Construction and Maintenance Projects in Residential Districts 10.66 Loud and Unruly Gatherings 10.68 Targeted Residential Picketing 10.70 Cannabis Regulations 10.75 Prohibition of the Sale and Distribution of Kratom Section 2: Chapter 10.75 (Prohibition of the Sale and Distribution of Kratom) is hereby added to Title 10 (Offenses and Nuisances) of the Newport Beach Municipal Code to read as follows: Chapter 10. 75 Prohibition of the Sale and Distribution of Kratom Sections: 10.75.010 Definitions. 10.75.020 Sale and Distribution of Kratom Prohibited. 10.75.010 Definitions. For the purposes of this chapter, the following words and phrases shall have the meaning set forth in this section: "Distribute" means to furnish, give away, exchange, transfer, deliver or supply, whether or not for monetary gain. "Kratom product" means the leaf of the plant Mitragyna speciosa or any food product, food ingredient, dietary ingredient, dietary supplement, or beverage intended for human consumption that contains any part of the leaf of the plant Mitragyna speciosa or any extract, synthetic alkaloid, or synthetically derived compound of such plant or its leaf including, but not limited to, any powder, capsule, pill, beverage, or other edible product intended for human consumption. "Leaf' means any or all parts of the leaf of the plant Mitragyna speciosa that contains mitragynine or 7-hydroxymitragynine. Ordinance No. 2024-5 Page 4 of 5 "Sell" or "sale" means to furnish, exchange, transfer, deliver, or supply for monetary gain. 10.75.020 Sale and Distribution of Kratom Prohibited. It is unlawful to sell, advertise for sale, offer for sale, or distribute, directly or indirectly, any kratom product in the City. Section 3: The recitals provided in this ordinance are true and correct and are incorporated into the substantive portion of this ordinance. Section 4: If any section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid or unconstitutional, such decision shall not affect the validity or constitutionality of the remaining portions of this ordinance. The City Council hereby declares that it would have passed this ordinance and each section, subsection, sentence, clause or phrase hereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. Section 5: The City Council finds the introduction and adoption of this ordinance is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. Section 6: Except as expressly modified in this ordinance, all other sections, Subsections, terms, clauses and phrases set forth in the Newport Beach Municipal Code shall remain unchanged and shall be in full force and effect. Section 7: The Mayor shall sign and the City Clerk shall attest to the passage of this ordinance. The City Clerk shall cause the ordinance, or a summary thereof, to be published pursuant to City Charter Section 414. This ordinance shall be effective thirty (30) calendar days after its adoption. Ordinance No. 2024-5 Page 5 of 5 This ordinance was introduced at a regular meeting of the City Council of the City of Newport Beach held on the 27th day of February, 2024, and adopted on the 12th day of March, 2024, by the following vote, to -wit: AYES NAYS: Mayor O'Neill, Councilmember Weigand. ABSENT: Mayor Pro Tern Stapleton, Councilmember Bloom, Grant, Councilmember Kleiman, and Councilmember WILL O'NEILL, MAYOR ATTEST: LEILANI I. BROWN, CITY CLERK APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE AARON C. HARP, CITY ATTORNEY STATE OF CALIFORNIA } COUNTY OF ORANGE } ss. CITY OF NEWPORT BEACH } I, Leilani I. Brown, City Clerk of the City of Newport Beach, California, do hereby certify that the whole number of members of the City Council is seven; the foregoing resolution, being Resolution No. 2024-17 was duly introduced before and adopted by the City Council of said City at a regular meeting of said Council held on the 12th day of March, 2024; and the same was so passed and adopted by the following vote, to wit: AYES: Mayor Will O'Neill, Mayor Pro Tern Joe Stapleton, Councilmember Noah Blom, Councilmember Robyn Grant, Councilmember Lauren Kleiman, Councilmember Erik Weigand NAYS: Councilmember Brad Avery IN WITNESS WHEREOF, I have hereunto subscribed my name and affixed the official seal of said City this 13th day of March, 2024. Aliy� ��- I Leilani I. Brown City Clerk Newport Beach, California