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HomeMy WebLinkAbout01 - MinutesLk City Council Minutes Study Session May 14, '2013 — 4:00 p.m. I. . ROLL CALL 4:00 p.m II. CURRENT BUSINESS 1. CLARIFICATION OF ITEMS ON THE CONSENT Council Member Daigle noted that she serve-' on t Governments (SCAG) and was advised that dise'ussio' during Closed Session. City Attorney Harp reportedNihat but that labor negotiations can occur during Closed S se sib subcommittee to advise on salary issues and added that C Closed Session if it is agendized in an appropriate manner. 2. CORONA DEL MAR ENTRYWAY Agenda Item No. 1 May 28, 2013 JJ• ENDAR `��, A he* Southern Californi ,,Association of ne on compensation cannot -be conducted the matter is not agendized at this time, ns. He indicated that Council can form a ouncil can talk about compensation during Deputy Public Works Director. Thomas provided ='a PowerPoint presentation addressing the background, the purpose ,of the project, the pr'i'or, traffic study, and action by Council regarding the matter. He detailed the = details of revised concepts for the area, addressed landscaping and signage, the results from meetings witbr the Corona del NI ar Business Improvement District (BID) and resident associations, a'nil, prof ided alternative? ,plans and concerns raised by the BID. He highlighted the revised concept plans, including landscaping and parking. Discussion ensued regarding the`width of the number three lane between McArthur and Carnation. Deputy`Public Works Director Thomas addressed the benefits of changing Carnation to a one -way street'between Coast Highway and 4tb-Avenue, alternatives for replacement of eight lost parking spaces on;Coast Highway, preliminary cost estimates for the improvements and maintenance, and presented recommendations , including directing staff to proceed with Concept 3. In response to Mayor Pro Ten; Hill's question regarding parking on Carnation, Deputy Public Works Director Thomas reported that staff has not finalized parking but noted that there is one section on the curb on Carnation,designated for 30- minute parking which sets precedence for time - restricted parking in the area. �t Council Member Gardner stated that the BID has contributed funds toward this project and asked about maintenance responsibilities.. Deputy Public Works Director Thomas reported that once improvements are installed, maintenance would be the City's responsibility since improvements are within the City's right -o£ -way. Council Member Sehcb expressed the opinion that the maintenance allocation seems high for the amount of landscaping in the area. Deputy Public Works Director Thomas estimated that landscaping would be approximately 5,000 square feet. He added that decorative paving is planned for the pedestrian corridor area. Bernie Svalstad, Corona del Mar BID Chair, expressed appreciation to the City and staff for Volume 61 - Page 153 City of Newport Beach City Council Study Session May 14, 2013 considering the project and expressed concerns regarding the proposed one -way street and parking. He noted that the BID would be willing to assist the City with the proposed program and agreed that $20,000 for maintenance seems high. He spoke in support of expediting the project as much as possible, Jim Walker, Corona del Mar BID Member, spoke in support of the project but expressed concerns with parking on Carnation, noting that deliveries for nearby restaurants are made from Carnation with trucks often parking in the red zone. He stated that parking on the east side of Carnation may pose a problem because of the unusually high curb. He believed that having Carnation as a one -way street is a good idea and would help with traffic flow. He suggested taking a closer look at Old School Park for parking options. � Robert Hawkins indicated that there is no allocation in the budgetTor environmental documentation for this project and believed it needs to be added. Additionally, he believed that Coastal Commission review is needed since the project is within the Coast Zone. Council Member Gardner commented on the importance of parking and noted review by the BID, but not by nearby neighbors. She believed that residents have been impacted�by restaurants and there has been a concern that this is not Aeautification project but rather\ a� project to allow restaurants to have outdoor dining. he indicated that it is important to make a g. p greater effort to reach out to the residents in the area to ensure thalthey are aware of the project and obtain their input so that they do not feel that the project has been iinposed upon them. Mayor Curry agreed with Council community input is needed through i Public Works Director that there are decision Council direction is bei In response to within the com the parkineres 3. BUDGET OVERVIEW in Henn's construction. and believed that additional conth ue to work with the community; noted Sing with the budget for this project, and that regarding whether the project is constructible ector Webb stated that it may be, depending on on. He reported the need for Council's guidance FY 2013 -14 PROPOSED CIP [100 -2013) City Manager Kiff addressed the presentation process as well as next steps. He noted that there will be otheropportunitiestfor Council to review the budget with the goal of adopting the budget on June 11, 2013'.-\`N l In response to CoZi c\ t Member Gardner's question, City Manager Kiff reported that individual departmental presentations are not planned but that he will keep track of items needing follow -up and added that Department Directors are available to respond to questions. Finance Director Matusiewicz noted that the budget is balanced while increasing the City's investment in community servicing facilities and beautification projects; and also puts more police officers on the streets while reducing total staffing levels. He addressed compliance with Charter requirements, and discussed the budget process and the remaining budget calendar. He presented an overview of the total budget, including all restricted revenue sources and Capital Improvement Projects (CIPs) and pointed out that General Fund revenues are increasing at a rate of 2.19% and General Fund operating expenditures at 1.6 %. He projected the General Fund budget surplus to be at $2.6 million and recommended additional transfers to the Facilities Financing Planning (FFP) Reserve, as well as towards a Facilities Maintenance Plan, which would leave a net surplus of Volume 61 - Page 154 City of Newport Beach City Council Study Session May 14, 2013 approximately $1.1 million. Discussion followed regarding transfers -in, all funding sources, and monies set aside for assignments. Finance Director Matusiewicz reported that 47% of revenues are generated. from property taxes and addressed General Fund revenue comparisons, sales tax, impacts of the dissolution of redevelopment, and annual growth. He reported on expenditures and noted that the vast majority of expenditures occur in the area of Public Safety. He presented expenditure comparisons, annual growth, increases in Capital Improvement expenditures, as well as to the FFP Reserve. He addressed the City Council priorities around which the budget was built around, including public safety; a smarter, smaller budget; and a high quality physi al, environment. He reported that included in the budget are a new Crime Suppression Unit, reis nvestment in the 800 Mhz system for improved interagency communications, increases in IT Strategic Investments, outsourcing certain applications, - including parking systems and printing, reductions in workforce, increases in employee pension contributions, lower- tiered benefits to new employees and accelerated payments to the unfunded pension liability and on retiree iiisurance )unfunded liabilite:l Finance Director Matusiewicz also addressed neighborhood be utificatio , community servixig' facilities, General Fund Update, Airport EIR, and reforestation efforts'.' Regarding the FFP Re erve, he addressed specific projects to be funded including a proposed budget amount and estimated total costs. Discussion followed regarding funding the varicus`prcjects through General Fund cash -. contributions, . developer contributions, and,interest earnings:` Council Member Henn pointed out that spending for he-various CIPs is cash funded. ` Ji -<:- Council Member Petrosrstaessed that paymentsgto unfunded'-Liabilities are being accelerated and that Council has set forth a strategy to pay off^uhfunded liabilities by a specific deadline. Council Member Daigle addressed the addition of police officers and expressed her support. In response to Council Member-Daigle's question, City Manager Kiff reported that staff is waiting for Request for Proposals (ftFPs ' to returif, from a number of firms, and is conducting meet and confer meetings -v rtl"o— Custody Officers. He` stated that additional information will be provided at an upcoming City Couneil'�meeting -." Publik Works Director Webb presented details of the CIP and provided a description of the program, goals met,dming the current year, performance measures, and Council- approved contingencies. Discussion followed regarding plans for Newport and Balboa Boulevards. Public Works Director Webb reported on work in progress, selection of projects for the CIP, Council priorities in terms o:f neighborhood revitalization, tidelands management, and budget details. He addressed projects, programs and supplemental expenses, and noted that the total budget is $61 million with $35 million in new funding and $26 million in re- budgets. Regarding re- budgets, he reported that it is a revolving budget within the calendar year and presented details of four significant projects within that category. He addressed the CIP funding history and highlighted proposed projects within the FFP budget, including starting design efforts on the Corona del Mar fire station. He reported that there will be an upcoming review of fire stations by the Fire Department. Regarding street improvements, Public Works Director Webb discussed associated grants, the Pavement Management Plan, the Pavement Condition Index (PCI) history, improvements in residential streets, and the City's ranking relative to the County. He also reported on efforts to maintain pavement, including slurry seal, pavement overlay, the possibility of using lighter - colored Volume 61 - Page 155 City of Newport Beach City Council Study Session May 14, 2013 materials, and complete reconstruction, as well as related costs. He discussed arterial street projects, .modifications and rehabilitation, and local/residential street improvement projects. He presented a proposed additional program related to 15th Street and Balboa reconstruction and addressed opportunities for improvement and benefits, including additional parking and landscaping and the potential for increasing pedestrian safety. He reported that the project will need to be presented to the Coastal Commission. Public Works Director Webb reported on traffic improvement efforts, 'including signal synchronization, East Coast Highway rehabilitation, staff efficiencies, and traffic signal modernization. He addressed projects for parks, the Harbor and beaches, including tideland and pier improvements, Harbor area fees, significant park improvements and related permits, plans for Back Bay View Park, Sunset View Park, and a Corona del Mar;pucket park. Council Member Selich provided a brief overview of the Corona del Mar pocket park. /-- t Public Works Director Webb addressed water quality�e_nvllronmental projects, the status of the Big Canyon Reservoir, water system and wastewater system improvements, and "miscellaneous projects. He presented a summary of the CIP budget and.pxoposed:CIP funding by source and by category. He requested Council direction on the Corona del 'Max entry project, est Cos st,.Highway landscape enhancements, selenium sediment removal` at' -.Big Canyon Lakes, and street light circuit rehabilitation. r\ Discussion followed regarding programir the coming year's budget. Council Me`m contributing to the project. Ensuing disc be reviewed by the Coastal Commission, project within the coming year's budget, for the construction part of_tle,project. - �,�, that design will be allocated within the budget, including BID a budget `adjustment can be made to include construction. the design of`the Corona del Mar'entry project within Gardner notedAhat the BID has indicated support for on- pertained to whether or not the project will need to possibility-of including money for construction for the the poesibiliWof doing a mid -year budget adjustment Public Works Dire contributions and, Discussion so far, add n." st-Coast.Highway landscape enhancements, including steps taken and having-.staff move expeditiously to move the project forward. ,proceed with the project while exercising caution relative to the schedule. P blic"Works Director Webb addressed selenium sediment removal at Big Canyon Lakes, noting that Big Canyon has indicated an interest in cooperating with the City by paying for half of the removal cost`s for one of the lakes. He noted the funding needs and addressed the source of the selenium sediment. Discussion followed regarding costs for sediment removal from the additional lakes, opportunities for regional funding, completion of the design concept, and the possibility of proceeding with div re sion of the lake for which Big Canyon will contribute. Public Works Director Webb believed that i e recommendation will reduce the allocation to $100,000 and will show progress on the matter. Public Works Director Webb addressed streetlight circuit rehabilitation and noted efforts thus far. He indicated that he will bring the item back at the next Council meeting for detailed review. Council Member Petros wondered regarding primary barriers to the proposed re- budgets. Public Works Director Webb responded that permitting seems to be the biggest hurdle, particularly Coastal permits. He noted that many of the projects are regulatory- driven and expressed his appreciation to Council and staff. He addressed the possibility of hiring additional management staff to help with moving some of the projects forward. Volume 61 - Page 156 City of Newport Beach City Council Study Session 'May 14, 2013 Mayor Pro Tem Hill commended staff for the report and the project list. Jim Mosher took issue with the concept of re- budgeting of funds. 'He believed that once funds are allocated for CIPs, there is an implicit commitment that the funds will be used for that project regardless of the length of time needed to complete the project. He addressed Charter provisions and requested clarification. City Manager Kiff indicated that items needing to be brought back to Council include employee position counts, allocations from discretionary accounts, reserves, CouLil checklist items, the film liaison issue, BID support, NBTV, special event support, a summary of tidelands allocation, Back Bay View Park, streetlight circuits, the Civic Center; and the FFPyr III. PUBLIC COMMENTS Jim Mosher took issue that the Airport Settlement Agreement was not negotiated in public. He addressed completion of the EIR and asked Council to hold firm on the 'no project" alternative:, IV. ADJOURNMENT - Adjourned at 5:55 p.m. to Closed Session The agenda for the Stud Session was posted on Ma ,•9, 2013, at 4:00 g y p y� , p.m on the City's website; on May 10, 2013, at 9:51 a.m., on the CityjHall Bulletin Board located in the entrance of the City Council Chambers at 100 Civic Center Drive; and on May,10, 2013, at 7:30 a.m., on the City Hall Electronic Bulletin Board located in they n'trance of the City Council Chambers at 100 Civic Center Drive. The supplemental agenda for the Study Session was posted on May 10, 2013, at 10:20 a.m., on the City Hall Bulletin Board located,in. the entrance of the City Council Chambers at 100 Civic Center Drive; on May,, 10, 2013, at 1O:30-a.rr , on the City Hall Electronic Bulletin Board located in the'entrance of the�City %Council Chambers at 100 Civic Center Drive; and on May 10, 2013, at 10.30 a.mjon the City's website. �I 1 Recording Secretary City Clerk Mayor Volume 61 - Page 157 City Council Minutes Regular Meeting May 14, 2013 — 7:00 p.m.. I. STUDY SESSION - 4:00 p.m. II. CLOSED SESSION - 5:55 p.m. - i A. PUBLIC EMPLOYEE PERFORMANCE EVALUATION (Government Code § 54957): Title: Dave Kiff, City Manager ! - B. CONFERENCE WITH LEGAL COUNSEL \,EXISTING LITIGATION (Government Code § 54956.9(d)(1)): 1 matter Newport Beach Dochowners Associdtiofc u. Newport Beach City Council Orange County Superior Court Case No. 30=2013 - 00630,'119 III. RECESS IV. RECONVENED AT 7.00 P.M. FOR REGULAR'MEETING V. ROLL CALL >>`; Present: Council Member Gardne4 Council Member Petros, Mayor Pro Tem. Hill, Mayor Curry, Council Member Selich, Council Member Henn, Council Member Daigle VI. CLOSED SSESSION REPORT - City Attorney Harp announced that no reportable actions were takeri; but reported' -that Council Member Selich recused himself from Closed Session Item II.B,(Newport beach Dochowners Association u. Newport Beach City Council). VII. PLEDGE OF ALLEGIANCE - Mayor Pro Tern Hill VIII. INVOCATION -Mayor Curry IX. Proclamation Designating May 12 to May 18, 2013 as Poppy Week Mayor Curry read the proclamation and presented it to American Legion Auxiliary Post 291 President Kendall Matson. Miss Poppy, Rachel Heidemen, recited the poem, "In Flanders Field "; and she and Jr. Miss Poppies handed out poppy boutonnieres. Volume 61 - Page 158 City of Newport Beach City Council Minutes May 14, 2013 Proclamation Designating May 2013 as Lupus Awareness Month Mayor Curry read the proclamation and presented it to the parents of Bridget Hood. Mr. and Mrs. Hood explained that their daughter, Bridget, is in Sacramento speaking on the topic of Lupus. Mrs. Hood reported that Bridget has suffered from Lupus for the last twenty years. She added that her disease attacked her kidneys and she has received a kidney transplant from her brother. She indicated that Bridget feels she has received a second chance and has committed herself to spreading the word regarding this devastating disease. Mrs. Hood reported that great strides are being made in the treatment of Lupus. Mr. Hood commented on the need for increased information and thanked Council forhe Proclamation increasing awareness and promoting hope in finding a cure. Proclamation Designating May 19 to May 25, 2013 as National Public Works Week Mayor Curry invited Public Works Director Webbsto the podium and presented him with the Proclamation. Public Works Director Webb exp'r'essed his appreciation \for, the Proclamation and commented on the importance of public works; infrastructure. He thanked the City's Municipal Operations and Utilities staff. Mayor Curry announced that the City was recognized by Senator Mimi Walters and Supervisor John Moorlach on the new, City Hall faeility and expressed his appreciation for the recognition. X. NOTICE TO THE PUBLIC XI. CITY COUNCIL ANNOUNCEMENTS OR MATTERS WHICH COUNCIL MEMBERS REPORT (NON- DISCUSSION ITEM) r � Council Member Petros commented on the devastating effects of cancer on the community and announced the upcoming Relay,fCr ife•.e%•eut.at Newport Harbor High School on Saturday, May 18, 2013. He encouraged`the public,fo_participate ' ondonate to the American Cancer Society through the Relay for.L`i website. Mayor -Pio Tem Hill announced that the Council Member Henn, staff, and himself attended the American Association event where the City's Planning Division received the Outstanding Planning Award for the Newport Beach Banning Ranch Project. C`1 it Council Member Daigle reported on a recent meeting of the Eastbluff Community Association in which the airport, public safety, and school traffic and parking were discussed. She provided an update on the meeting: and addressed progress made on airport departure and curfew issues. Additionally, she reported /that residents are experiencing students park_ ing issues in front of their homes and noted the need to take stronger action on the matter. Council Member Henn mentioned the American Planning Association awards and noted that the City also received an award for Community Involvement and Outstanding Engagement for its Neighborhood Revitalization Program. He commended the Community Development Department. Council Member Selich announced that the Balboa Art Walk will be held on Sunday, May 19, 2013, from 9:00 a.m. to 5:00 p.m. Mayor Curry reported on the recent Newport to Ensenada Yacht Race, Newport Beach Film Volume 61 - Page 159 -City of Newport Beach City Council Minutes May 14, 2013 Festival, the Donate Life Run/Walk, the Jewish Federation Open House, the Scholarship Breakfast, the Orange County Tourism Conference, the Orange County Marathon, and the Yacht Club Open House. He also discussed the Grand Opening of the new Civic Center and thanked staff, the restaurants, Armstrong Nursery, and the U.S. Marines for their participation in making it such a special event. )II. PUBLIC COMMENTS ON CONSENT CALENDAR - None ' )III. CONSENT CALENDAR A. READING OF MINUTES AND ORDINANCES 1. MINUTES FOR THE APRIL 23, 2013 STUDY SESSION AND REGULAR MEETING. [100 -2013] Waive reading of subject minutes, approve as amended, and order filed. 2. READING OF ORDINANCES. Waive reading in full of all oid nances under consideration, and direct the City Clerk to read by title only. C. ORDINANCE FOR ADOPTION �. 5. ADOPTION OF ORDI NO. CA2013 -001 FOR PENINSULA (PA2011 Ordinance No. 20: Approving ,Code Area /Density Star Cannery Village < (PA2013 -020) KE l for MU -V O 15th Street), 201379 APPROVING CODE AMENDMENT ZONING DISTRICTS ON THE BALBOA .013] C6nd'uct second reading and adopt §'the City Council of the City of Newport Beach CA2013 -001 Modifying the Minimum Lot d -Use Vertical), MU -CV 115th Street (Mixed -Use i MU -W2 (Mixed -Use Water) Zoning Districts 6.1.. PLAYGROUNDCIMPROVEMENTS PROJECT - NOTICE OF COMPLETION `FOR CONTRACT NO. 5392. [381100 -2013] a) Accept the completed work and authorize the City7Clerk to file a Notice of Completion for the project; b) authorize the Cilyy.`Clerk to release the Labor and Materials Bond 65 days after the Notice of Completion has teen recorded in accordance with the applicable portions of the Civil Code; and?c) release the Faithful Performance Bond one year after Council acceptance. CENTRAL LIBRARY HVAC SYSTEM UPGRADES - AWARD OF CONTRACT NO. 5277. [381100 -2013] a) Approve the project drawings and specifications; b) award Contract No. 5277 to Western Allied Corporation (Western Allied) for the total bid price of $248,741.00, and authorize the Mayor and City Clerk to execute the contract; and c) establish a contingency of $38,009.00, approximately 15 percent, to cover the cost of unforeseen work. 8. APPROVE PROFESSIONAL SERVICES AGREEMENT WITH KREUZER CONSULTING GROUP FOR OLD NEWPORT BOULEVARD AND WEST COAST HIGHWAY MODIFICATIONS - CONTRACT NO. 5244. [381100 -2013] Volume 61 - Page 160 City of Newport Beach City Council Minutes May 14, 2013 F0 Approve a Professional Services Agreement with Kreuzer Consulting Group (KCG) of Seal Beach, California, for design and construction support services at a not -to- exceed fee of $324,734.00, and authorize the Mayor and City Clerk to execute the Agreement. 9. PROFESSIONAL SERVICES AGREEMENT WITH DANIEL B. STEPHENS & ASSOCIATES, INC. (DBS &A) FOR BIG CANYON WATER BALANCE AND ACCEPT A CONTRIBUTION FROM THE COUNTY OF ORANGE FOR FUNDING (C- 5469). [381100 -2013] a) Accept a $40,000 contribution from the County of Orange to fund additional tasks for an ongoing wate!�6alance study in the Big Canyon Watershed, and authorize the Public Works Director or designee to represent the City for all matters pertaining to this contribution; a) approve Budget Amendment No. 13BA -040 recognizing a contribution of $40.000 from the County of Orange to Account No. 255 -4913 and appropriating $40,000 to Account NTo.7255- C5002004; and c) approve a Professional Services Agreement wiih &DBS &A of Newport Beach, California, at a not to exceed cost of $62,893, and authorize the Mayor aA ity Clerk to execute the Agreement. �7 E. MISCELLANEOUS 10. PLANNING file. AGENDA FORKAY 9, 2013. [100 -2014 Receive and il. BUDGET AMENDMENT k1 TO `APPROPRIATE REVENUES AND EXPENDITURES FOR OASIS FITNESS~CENTEk PERSONAL TRAINERS. 100 -2013 [ ] A pprove Budget Amendment No. 13BA =039 to appropriate $61,344 in Revenue Account 4415 -5167 and $42;9,40 in Expenditure Account 4415 -8380 r to approve the Consent Calendar, except for the items remoded,(3 and,4),_ The motion caxried'by tl e.following roll call Ayes: Council Member Gardner, Council Member Petros, Mayor Pro Tem Hill, Mayor Curry, Council Member Selich, Councl ;Member!Renn, Council Member Daigle 3. CODE AMENDMENT,+NO. CA2013 -002 AMENDING TITLE 15 OF THE NEWPORT BEACH MUNICIPAL CODE IN RESPECT TO THE PERIODIC REVIEW OF DEVELOPMEWAC.REEMENTS (PA2013 -082). [100 -2013] Council Member Gardner expressed concerns that having the Community Development Director review Development Agreements does not allow for public involvement since there will be no notices or public hearings. Community Development Director Brandt reported that the amendment presented an opportunity for the City to streamline the process for conducting periodic reviews of Development Agreements. She addressed the purpose of the periodic review, the possibility of a hiatus in development, and noted the proposed amendment would allow for the Community Development Department to conduct periodic reviews of Development Agreements. She indicated that there is no public notice requirement associated with this type of review, but Volume 61 - Page 161 City of Newport Beach City Council Minutes May 14, 2013 Council could delegate the review to the Zoning Administrator or Planning Commission as an alternative since the review would require a public hearing and notices. She added that in terms of reducing paperwork, it would be the same amount regardless of the level of review. Council Member Gardner stated that a public process is important and recommended delegating the matter to either the Zoning Administrator or the Planning Commission. Motion bV Uouncll W.Lember liardner, seconded by Uouncil Alember Daigle to introduce Ordinance No. 2013 -10, An Ordinance of the City. Councl of the City of Newport Beach Amending Chapter 15.45.080 of the Newport Beach Municipal Code Relating to the Periodic Review of Development Agreements (PA2013- 082)&a) fording that this Code Amendment is not subject to the California Environmental,Quality Act ( "CEQA ") pursuant to Section 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'i not a project as defined in Section 15378) of the CEQA Guidelines; and b) approving Code Amendment No. 2013 -0002 to allow the periodic review of Development Agreements to go before th`e Zoning Administrator, and pass to second reading on May 28, 2013. Discussion ensued regarding whether to d`elega",the review to the Zoning Administrator or the Planning Commission, and include the ability. for the Community Development Director to determine when an item should be presented to Cuncil. Jim Mosher commented on the importance of public input and agreed with designating the Zoning Administrator to review Deveiopment`rlgreements \ City Attorney Aaron H arp suggested continuing the ,,item .item -and reintroducing the ordinance after modifications have-heen made to the ordinance. to continue the iteni'to the next City Council meeting. The substitute motion" carried-by,the following roll call vote: Council Member Gardner, CouncirMember Petros, Mayor Pro Tem Hill, Mayor Curry, Council Member Selich Counch Member Henn, Council Member Daigle 4. CONSIDERATION Of, AN ORDINANCE AMENDING VARIOUS PROVISIONS OF THE, - NEWPORT BEACH MUNICIPAL CODE (NBMC). [100 -2013) Council Member Gardner noted that the handout that added language to an ordinance was actually for Item 3, not' Item 4, and noted that the matter is now clear. Motion by Council Member Gardner, seconded by Mayor Curry to introduce Ordinance No. 201'3 -11, An Ordinance of the City Council of the City of Newport Beach adding, amending and repealing various provisions of the NBMC, and pass to second reading on May 28, 2013. The motion carried by the following roll call vote: Ayes: Council Member Gardner, Council Member Petros, Mayor Pro Tem Hill, Mayor Curry, Council Member Selich, Councli Member Henn, Council Member Daigle XV. PUBLIC COMMENTS ON NON - AGENDA ITEMS Volume 61 - Page 162 City of Newport Beach City Council Minutes May 14, 2013 "t Jim Mosher referenced Measure EE relative to class action lawsuits and addressed a recent opinion by the California Supreme Court giving the power to regulate claims against local governments to the State - legislature. He believed that Measure EE gives no protection and is not valid due to this ruling. City Attorney Harp reported that the Charter update reflected the current state of the law at the time. He addressed the recent opinion by the California Supreme Court and reported that cities affected by that opinion are seeking a legislative fix of the issue. He added.that the City is in a good position going forward since the City already has a Charter provision. If:the legislature decides not to fix it, there is a severability provision in which the specific provision would not be valid without affecting other provisions within Measure EE. Gary Kutcher, Race Director for the Orange County Ma referenced the recent Boston Marathon tragedy, and tha Department for their coordination with other agencies in r; Council Member Daigle reported on a recent meeting ii soi California Association of Governments (SCAG). Addition; meeting of the Affordable Housing Task Force and addres determining housing needs. She added`that. the City's b capacity to meet the needs and addressed�'id'eas, €or using goals. She stated that the Task Force was inter s ed i encouraged staff to schedule a future meetingto discuss th a summary of the event, he Newport Beach Police afety measures. the General Assembly of,'the Southern lly, she provided an update on a recent ad the.Housing Element and policies for Lrd'en is to demonstrate that it has the unds'to help the City reach its housing a Housing Preservation Program and ;matter. Council Member Henn reported�on a recent meeting of the Balboa Village Advisory Committee (BVAC) where it considered the! work program for the proposed Urban Land Institute Technical Advisory Panel. Additionally, BVAC considered an Employee Parking Permit Program and discussed a concept that�7ill be presented for public input to both businesses and residents. He reported that the BVAC alac`discussed.the new parking meter technology being implemented for the Balboa Pier lots -ands arkiiig Field" Sur'vey-.work. Regarding yesterday's Finance Committee meeting, Council Member- ,Henn'reported thati'they discussed the budget presentation that was presented during today's Study Session and staffing levels. XVII. PUBEIC HEARINGS 12. ORDINANCE NO. 2013 -12: DISESTABLISHING THE MARINE AVENUE BUSINESS IMPROVEMENT DISTRICT. [100 -2013) City Manager Kiff pwided a brief staff report and highlighted the recommendation. Council Member Gardner expressed disappointment that the Marine Avenue Business Improvement District (BID) decided not to use Visit Newport Beach, Inc. (V1A1B) in an effort to market the City as a whole while maintain the individuality of each of the areas /villages /merchant associations. She urged them to reconsider the matter. Council Member Selich also expressed his disappointment. Council Member Henn indicated that he would vote to reinstate funding for marketing should the BID change its decision. Volume 61 - Page 163 City of Newport Beach City Council Minutes, May 14, 2013 Motion by Council Member Selich, seconded by Councli Member Henn to introduce Ordinance No. 2013 -12, An Ordinance of the City Council of the City of Newport Beach Repealing Ordinance No. 95 -50 and Ordinance No. 97 -37 and Disestablishing the Marine Avenue Business Improvement District, and pass to a second reading on May 28, 2013. Mayor Curry opened the public hearing. Hearing no testimony, he closed the public hearing. The motion carried by the following roll call vote: Ayes: Council Member Gardner, Council Member Petros, Mayor`'Pro Tern Hill, Mayor Curry, Council Member Selich, Councli Member Henn, Council-Member Daigle 13. ORDINANCE NO. 2013 -13: DISESTABLISHING THE BALBOA VILLAGE BUSINESS IMPROVEMENT DISTRICT. [100 -20131 sl City Manager Kiff provided a brief staff report aiid highlighted the recommendation. \, Mayor Curry opened the public hearing. _ Hearing no testimony, `he closed the public hearing. Motion by Councli Member Henn, seconded VV--Council Member Petros to introduce Ordinance No. 2013 -13, An Ordiii ce,,of the City Council of the City of Newport Beach Repealing Ordinance No. 95 -4 and 0r4dinar%eeNo. 98 -4 arid,Disestablishing the Central Balboa Business Improvement District, aka the Balboa ,Village Business Improvement District, and pass to a second reading on May 28, 201''-3. S\ The motion carried bythe following roll call yote': Ayes: Council Member Gardner, Council M tuber Petros, Mayor Pro Tem Hill, Mayor Curry, Council Member Selich, Counch Member Henn, Council Member Daigle y� 14. 2014 - 2021: HOUSING `ELEMENT- UPDATEv.(PA2012 -104). [100 -2013] Community Development Director Brandt introduced Associate Planner Murillo for a brief overview of the proposed Housing Element for the next cycle. She noted that it is an 8 year cycle, that the Housing�Element w,as certified by the State in 2010, and that it was updated to reflec\tAhe most recent census data and provide an update of the status of the various Associate Planner MurIllo utilized a PowerPoint presentation to address the background, description of the.Hou'sing Element, the Housing Element update process, existing housing needs, projected liou "sing needs, housing programs, and accomplishments, as well as approved housing developments. He listed new housing programs, revisions to existing housing programs, and next steps Discussion followed regarding the definition of "moderate income ", housing affordability in Newport Beach, allowed uses of in -lieu funds, covenants related to The Irvine Company units, units that will lose their affordability designation, funds expended in protection of affordable units, consequences of eliminating the Inclusionary Housing Ordinance, other incentives for housing developers to build affordable units, available options, the ability of the City to demonstrate capacity for the defined housing need, consistency of the ordinance with the City's needs, benefits of the Inclusionary Housing Ordinance, achieving desired objectives through Development Agreements, remaining opportunities for significant Inclusionary Volume 61 - Page 164 City of Newport Beach City Council Minutes May 14, 2013 Housing Ordinance benefits, related General Plan and Zoning Code allowances, and provisions and residential overlays. It was noted that the City is doing very well through the various allowed vehicles (density bonuses, development agreements, etc.) and has achieved its requirements far into the future. Brief discussion followed regarding the Inclusionary Housing Fund balance and legal or regulatory risks related to eliminating the Inclusionary Housing element. Community Development Director Brandt reported that it is one of the tools allowing the City to meet the requirements of State law; however, given the City's4owered Regional Housing Needs Assessment (RHNA) allocation and its demonstrated commitment, she expressed the opinion that it would be a problem and commented on the possibility of having that discussion with the Department of Housing and Community I evLlopment (FICD) and returning to Council if there would be a problem. t x mod_ Council Member Henn suggested the possibility of having the Planning 'Commission study the matter. Community Development Director Brandt reported that the Housing Element needs to be completed by October, 2013. She indicated thafit would be important for staff to have dialogue with the State and noted that the consideration at this time is for the submission of a draft document, not to approve the document. "She reported that the State will review the document and respond with written comments. AtAbis point, she indicated that it would be appropriate to have a dialogue with the Planning Commission for additional amendments or changes. Discussion followed regarding eliminating the Ineiasionary Housing Ordinance at this time and reinstating it in the future, if needed_ r _ Mayor Curry opened the ipubic hearing Mike Balsamo, `Buil including them in et housing to.- people of allocation to the City S/, contmuing some of f. generally improve prii the program as it exis fees in -the City and Development Agreeme Jim Mosher staled th would recommend rev Industry Association (BIA), County Chapter, thanked staff for ,Industry and noted the organization's support of providing conomica'evels,in,society. He referenced a letter to the City and iary Housing Ordinance is no longer required given the low RHNA :commented on the option of using it on rental programs and xisting, programs. Mr. Balsamo stated that new housing would in the market and believed that fees could drive up costs and that day is a disincentive to new housing. He addressed the high in -lieu ed that the City has been able to get to its end goal through t, since Council usually does the opposite of what he recommends, he aling the Inclusionary Housing Ordinance. Hearing no further testimony, Mayor Curry closed the public hearing. Mayor Curry reported that he will support repealing the Inclusionary Housing Ordinance and that, in actuality, it drives up the cost of housing in the City. He noted that density bonuses provide market -based incentives which have resulted in developers exceeding expectations. He believed that the Inclusionary Housing Ordinance provides advantages to certain developers over others. Motion by Council Member Daiale, seconded by Mayor Pro Tern Hill to a) remove the Inclusionary Housing Program from the Draft 2014 -2021 Housing Element; and b) authorize Volume 61 - Page 165 City of Newport Beach City Council Minutes May 14, 2013 submission of the Draft 2014 -2021 Housing Element Update to the Department of Housing and Community Development. Council Member Petros indicated that this is one example of the City's success in policy. The motion carried by the following roll call vote: Ayes: Council Member Petros, Mayor Pro Tern Hill, Mayor Curry, Council Member Selich, Counch Member Henn, Council Member Daigle Noes: Council Member Gardner 15. 441 OLD NEWPORT MEDICAL OFFICE BUILDING APPEAL - CONDITIONAL USE PERMIT NO. UP2011 -011. [100 -2013] Assistant Planner Whelan provided a staff report rind utilized a PowerPoint presentation to discuss the use permit request, off -site parking, ,site location, details of °the project, site plan, proposed parking layout, and on -site and off- site'�irculation. She reportedehat the agreement would be binding upon change of ownership d that - change to the use or access ess of the off -site lot would require additional review. She aaad ,essed_;tthe Planning Commission's concerns. Mayor Curry invited the applicant to address Couneil on the matter. Raquel Gillen, representing the applicant,,p esented photographs of the subject site, including the improved parking lot. Ali Parvaneh, Attorney representing the applicant;sbelieved' that the reciprocal agreement more than covers the additional parking requirement, should be considered, and provides an easement that could' handle an additional' 24 vehicles on the property. He addressed exclusivity to the,easement;and access to`Ptia1rcel B. Discussion followed',regarding the easement''running with the land until 2050, availability of the off-site-parking spaces`tluoighout the agreement and during business hours, effects of to the City Attorney Harp desig ated hours is the agreement. He � to medical 1use. if paz.1, 'Soffer ased concerns regarding whether use of the parking spots within the ive or not and what impact the bankruptcy proceedings will have on that there is a Condition of Approval that ties the parking situation the possible inclusion of a condition to reduce use or seek availability is reduced, and the effects of the bankruptcy In response to Council "questions, Community Development Director Brandt indicated that the bankruptcy e p y proceedmgs must be completed and awards given to the property owner so that building permits can be issued in order for the medical offices to move forward. She added that building permits must be issued under the authorization of the property owner and that this will be needed in order for the applicant to make improvements to the adjacent parking lot. Council noted that there may be a lack of recourse should the applicant lose access to the off -site parking. Mr. Parvaneh presented a photograph showing parking lifts as an option if they lose access to off -site parking. He added that in the event they lose the off -site parking, the applicant would be in breach of the tenant lease agreements and would be responsible for providing alternative parking solutions or reducing the medical use. Ms. Gillen noted that they have Volume 61 - Page 166 City of Newport Beach City Council Minutes May 14, 2013 corroborated with staff regarding the stacked parking proposal and that valet serve will be available to park the cars in the lifts. Mayor Curry opened the public hearing. Dr. Richard Haskell, owner of buildings adjacent to the subject property, expressed concern with the lack of parking in the area and stated that they will be severely impacted by the proposed project. He noted that no existing building in the area can be parked "medical" and reported tearing down existing buildings in order to allow for sufficient medical office use. He asked that others do the same. He referenced written comments submitted to Council, noted that the subject building is not a 10,000 square foot building but a 14,900 square foot building, and that the applicant is misrepresenting the prof tct�.�. Mr. Haskell confirmed that both of his buildings are parked to code. f% \ \ Dr. Aidan Raney, adjacent property owner, believed -that the proposal is not a permanent or realistic solution. He noted that he had to abide by the same requirements in terms of parking space andsquare footage. He stated � t� liat, if Co, uncil allows this tproject to go through, there will be no incentive for anyone to redevelop/ "the old restaurant property. He urged Council to deny the project because of the`parkirig issue and noted that lis;'building is a medical building which is parked to code. `- Katherine Cordoza addressed the reciprocal parking ,\easement agreement and reported speaking with one of the bankruptcy attorneys tod'y-.who indicated that the State of California Franchise Tax Boaid recently p`'laced,.another claim against the estate, that they have closure could continue untilpSep emberaz If o� ther attorney does goes not know the long the bankruptcy will go on!She beheved that the - current proposal does not provide a permanent solution and addressed thee: issue of Dar kine!lifts. Discussion ensuea,,regarding the existing, condition of the adjacent property and the possibility of addressing the issue through Code Enforcement. Sandy,Hask6ll- repo3rted that all of the improvements have been completed and that she found no, petits issued "fa,anybf them. Community Development Director Brandt reported that there are open building permits for the existing structure and renovation of the buildings. She ,,noted that her reference was to building permits at 445 Old Newport Boulevard for parking lot improvements and landscaping, but permission of the property owner would be needed in order to issue%hose. Hearing no.further testimony, Mayor Curry closed the public hearing. Council Member ,,Selich wondered if the alternative parking solution is allowed under the code. Community Development Director Brandt reported that it would need to be reviewed by staff and needs to be screened, and noted that consideration of this would go before the Zoning Administrator which requires public notice. Motion by Council Member Gardner, seconded by Council Member Selich to adopt Resolution No. 2013 -40, A Resolution of the City Council of the City of Newport Beach Upholding the Planning Commission's Action and Denying Conditional Use Permit No. 2011- 011 to Utilize an Off -Site Parking Lot at 445 Old Newport Boulevard for an Existing Commercial Office Building Located at 441 Old Newport Boulevard (PA2011 -056). Council Member Petros commented on the need for redevelopment in the Old Newport area, but that there are too many concerns prior to approving the project. He noted the efforts of Volume 61 - Page 167 City of Newport Beach City Council Minutes May 14, 2013 others in the area in achieving the City's goals. Rick Martin, project architect, reported that the building was originally three - stories and that the square footage has not been modified. He addressed review of the renovation by staff and noted the need in the area for medical office space. He commented on the agreement with the adjacent property owner to come up with a parking solution, addressed access, and location of parking, and believed that it makes serise to approve the project. City Attorney Harp recommended that, if Council were to deny,�the project, it is denied without prejudice and that the resolution be amended to correct wofding in the last paragraph to reflect that the resolution goes into effect immediately upon adoption. Amended motion by Council Member Gardner, second d, by Council Member Selich to uphold the Planning Commission's decision to deny} Conditional -Use Permit No. 2011 -011, without prejudice, by adopting amended Resolution `No. 2013 -40 A, Resolution of the City Council of the City of Newport Beach Upholding the Planning Co nmission's Action and Denying Conditional Use Permit No, 2011- 011ct6 I Utilize an Off -Site Parking Lot at 445 Old Newport Boulevard for an Existing Commercial Offire'Building Located at,441 Old Newport Boulevard (PA2011 -056). Mayor Curry believed that additional vetting of the matter is needed. Mayor Pro Tem Hill commented onrthe)ap `appbcant's opportunity to resolve the matter. c Council Member, Selich indicated he would not -ber-amenabl6,to the proposed stacked parking solution. The amended motion:darrie''d by the following;roll call vote: Ayes: Council Member Gardner, Council Member Petros, Mayor Pro Tern Hill, Mayor Curry, Council Member Selich, Councli Member Henn, Council Member Daigle XVIII. CURRENT BUSINESS ti 16. APPOINTMENTS TO THE BICYCLE MASTER PLAN OVERSIGHT COMMITTEE. [. 00 -20131 i t. City Clerk Brown announced that, since only ten applications are being forwarded to the City Council,`a ?motion is needed to waive the portion of Council Policy A -2 (Board and Commission Appointrnen s) which requires two or more applications for each vacant seat. 1' Motion b - C( Selich secon_d_ed by Council Member Petros to waive the portion of Council;Policy A -2 (Board and Commission Appointments) which requires two or more applications for each vacant seat. The motion carried by the following roll call vote: Ayes: Council Member Gardner, Council Member Petros, Mayor Pro Tem. Hill, Mayor Curry, Council Member Selich, Counch Member Henn, Council Member Daigle Council Member Petros commended Council for reinstating this committee and stressed the importance of bicycle safety. Volume 61 - Page 168 City of Newport Beach City Council Minutes May 14, 2013 City Clerk Brown read the ballot votes as follows: Michael Alti - Daigle, Henn, Selich, Petros, Gardner, Hill, Mayor Curry Lou Cohen - Daigle, Henn, Selich, Petros, Gardner, Hill, Mayor Curry John Heffernan - Daigle, Henn, Selich, Petros, Mayor Curry David Huntsman - Daigle, Gardner Robert Kahn - Daigle, Henn, Selich, Petros, Gardner, Hill, Mayor Curry Greg Kline - Henn, Selich, Petros, Hill, Mayor Curry Sean Matsler - Daigle, Henn, Selich, Petros, Gardner, Hill, Mayor Curr} Frank Peters - Daigle, Henn, Selich, Petros; Gardner, Hill, Mayor�&rry Jennifer Spitler - Gardner, Hill %! City Clerk Brown announced that Michael Alti, Lou Cohen,'John Heffernan, Robert Kahn, Greg Kline, Sean Matsler, and Frank Peters are,, appointed fo�the Bicycle Master Plan Oversight Committee f 17. RESOLUTION NO. 2013 -41: REJECTION.OF PART OF THE IRREV`O,,CABLE OFFER OF DEDICATION FOR NEWPORT RIDGE PARK" AND CRESTRIDGE\PARK. [100- 20131 City Manager Kif£ addressed the location of the parks and details of the Irrevocable Offer of Dedication. ` Mayor Curry reported that the neighborhood has been maintaining the parks for a long time and that it has been a good partner with the City:,,-,, In response to Council Vl 'tuber Gardners ques ion, City Manager Kiff noted that the parks are presently private parks. City Atto %ney Harp believed that public access along the sidewalk easements near San Joaquin Hill's`and Newport Ridge should be allowed. Discussion followed ",regarding, maintenance costs, the original approval of the park development; ane Quimby Act: Dar Wampole, Pre'si'dent of4he Newport Ridge Homeowners Association, spoke in support of the recommendation and agreed with having public access along the easement. He addressed investments in the park by the Association and assured Council that they will share the park with' Ae Recreation Department and other City groups. He further discussed their efforts to have AYSO soccer andl'Little League use the parks. Council Member Gardner noted that there is public access tq�the park. Jim Mosher comments'd on the Quimby Act and the distinction between a neighborhood park and a public park, and questioned why the City is considering rejection of the offer. Motion by Mayor Curry, seconded by Mayor Pro Tom Hill to a) reject the offer for land at Newport Ridge Park labeled Parcel B and C, and all land at Crestridge Park; and b) adopt amended Resolution No. 2013 -41, A Resolution of the City Council of the City of Newport Beach Rejecting an Irrevocable Offer of Dedication for the Newport Ridge Park and Crestridge Park Properties, and authorize the City Manager to execute and file with the Office of the County Recorder a Certificate of Rejection. The motion carried by the following roll call vote: Ayes: Council Member Gardner, Council Member Petros, Mayor Pro Tem Hill, Mayor Curry, Volume 61 - Page 169 City of Newport Beach City Council Minutes May 14, 2013 Council Member Selich, Councli Member Henn, Council Member Daigle 18. APPROVAL OF AN AGREEMENT FOR THE PURCHASE OF THREE FIRE ENGINES (C- 5470). [100 -20131 City Manager Kiff noted that funds are reserved for fleet replacement. He addressed the replacement schedule and the RFP process and analysis of the proposals. In response to Council questions, Fire Chief Poster reported evaliiating the fire apparatus, indicated that the life cycles of the ones being replaced have expired, and stated that the old fire apparatus will be sold at auction. He reported on the apparatus', mileage and hours of operation. agreement with Pierce Manufacturing, Inca of three 2013 Pierce Fire Engines for a total The motion carried by the following roll Ayes: Council Member Gardner, Council Mem Council Member Selich, Councli Member 19. COUNCIL POLICY MANUAL City Manager Kiff noted that the Cour described its purpose. He reported t] proposed additions, are`iiicluded in the Council Members Gardner; noted that thanked staff foi their efforts. In response,to,C.ouncil;Member-Daigle o incil Member Selich to approve the of Appleton, Wisconsin, for the purchase ,742,368.32. tros, Mayor Pro Tem Hemayor Curry, Council Member Daigle fE FOR 2013. - 1100.20131 ;il Policy " Manual is available on the City's website and I t a summary- ofeach"policy amendment, as well as s� r staff report. many of the changes have clarified the policies and regarding Council Policy A -6 (Open Meeting ed process for Council Members to request s'be placed on agendae'for discussion and action. Mosher noted that`ithis is an on -going process and highlighted other policies that need ible revisions. Motion\bv Council Member Gardner, seconded by Council Member Selich to a) approve the-,proposed," revisions and additions to the Council Policy Manual; b) adopt Resolution &o:',,�2013 -22, A Resolution of the City Council of the City of Newport Beach. Adopting Revised City Council Policies; and c) adopt Resolution No. 2013 -43, A Resolution o/ the City Council o I the City of Newport Beach Relating to a Fiscal Sustainability Plan for Newport Beach City Government, revising Element 5 of the City Sustainability Plan to Maintain Consistency with -the changes to Council Policy F -28. The motion carried by the following roll call vote: Ayes: Council Member Gardner, Council Member Petros, Mayor Pro Tem Hill, Mayor Curry, Council Member Selich, Councli Member Henn, Council Member Daigle 20. RESOLUTION NO. 2011 -55: TOTAL COMPENSATION PHILOSOPHY. [100 -20131 Council Member Daigle addressed public review of the philosophy and believed that the best Volume 61 - Page 170 City of Newport Beach City Council Minutes May 14, 2013 timing for the review would be after the completion of the Fox Lawson study. Council Member Henn agreed with the suggestion. Mayor Curry suggested receiving and filing the item and returning with a discussion of the matter at a later date. Motion by Council Member Daigle, seconded by Council Member Gardner to receive and file. The motion carried by the following roll call vote: Ayes: Council Member Gardner, Council Member Petros, Mayor Pro Tem Hill, Mayor Curry, Council Member Selich, Councli Member Henn, Council ' Member Daigle XIX. MOTION FOR RECONSIDERATION - None XX. ADJOURNMENT - 9:47 p.m The agenda for the Regular Meeting was posted,pn May 9, 2013, at 4:00 p.m:, on the City's website; on May 10, 2013, at 7:30 a.m, on the City Hall Electronic Bulletin Board located in the entrance of the City Council Chambers at 100 Civic Center Drive; and on May 10, 2013, at 9:51 a.m. on the City Hall Bulletin Board located in the entrance of the City Council Chambers at 100 Civic CentenD' ive. \, V �l. Recording Secretary City Clerk Mayor Volume 61 - Page 171