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HomeMy WebLinkAbout01 - MinutesAgenda Item No. 1 March 12, 2013 '',��r City Council Minutes City Council Study Session February 26, 2013 -- 4:00 p.m. I. ROLL CALL - 4:10 p.m. Present: Council Member Gardner, Council Member Petros, Mayor Pro Tem Hill, Mayor Curry, Council Member Selich, Council Member Henn, Council,dlember Daigle II. CURRENT BUSINESS 1. CLARIFICATION OF ITEMS ON THE CONSENT CALENDAR. In response to Council Member Daigle's questions regarding Item 5 (Engineering Design and Construction Support Services Associate with Replacement of the Big Canyon Reservoir Floating Cover), Public Works Director. Webb reported that -MWH will design the cover and be in charge of construction management. `He added.that the contract also includes a warranty. In response to Council Member Henn's questions, PubliS Works Director Webb reported that the costs associated with.Item 4 (Santa Ana Heights Pavement Restoration) relate to the properties located on the north, side of Mesa Drive where there are grade differentials, fences, and structures within the public right- of -*,ay. Regarding Item 7 (Material Testing and Inspection Services,',for Newport Beach Civic Center and Park Project), Assistant City Manager Badum reported that the do -over costs ,will be charged black to the subcontractor. In addition, he stated that work,has been added to the project and there is an additional amount relative to the expanded scope: 2. ORANGE COUNTY'. SANITATION DISTRICT (OCSD) - FUTURE PROJECT OVERVIEW. [100 -2014, Mayor Curry indicated that he is the City's representative on the Orange County Sanitation District (OCSD) Board and reported that the City completed $40 million of improvements through OCSD, and another $100 million of projects will be discussed today. Nick Kanetis, OCSD Director of Engineering, utilized a PowerPoint presentation to discuss the OCSD's Newport • Beach Construction Program. He addressed OCSD's mission, service area, governance, customer base, infrastructure, treatment plants, increasing levels of service, investments in infrastructure, and transition to rehabilitation and replacement. He discussed the six projects in Newport Beach which represent an investment of approximately $100 million and consists primarily of rehabilitation and replacement of deteriorated sewer pipelines. He addressed construction techniques, reported that the work will occur in street rights -of -ways, and addressed construction impacts to traffic patterns. Mr. Kanetis stated that a community outreach program will be implemented in order to gain community understanding and acceptance of the work. He presented examples of informational flyers and the construction hotline information. Volume 61 - Page 72 City of Newport Beach City Council Study Session February 26, 2013 Mayor Curry commented on impacts and inconveniences that will occur due to the program, but emphasized the importance of the program. Council Member Henn noted that almost every main arterial on the west side of Newport Beach will be impacted at some point. In response to Council Member Selich's questions regarding the proposed rate schedule, OCSD Assistant General Manager Jim Herberg reported that a rate increase of 4.8% is being proposed for the first year, followed by a'2.4% increase per year for the following four years. Nancy Skinner believed that whatever it costs to implement the program is worth every penny. Mayor Curry recessed the meeting at 4:25 p.m. and reconvened the meeting at 4:45 p.m. with.all Council Members in attendance. 3. RESIDENTIAL REFUSE COLLECTION REQUEST. FOR PROPOSALS (RFP). [100- 2013] Mayor Curry emphasized that there is no proposal; at this time, but clarified that ideas and options will be presented and Council will evaluate the options and provide direction to staff. He reported that hard copies of the PowerPoint presentation are available for public review. Municipal Operations Director Harmon reported that Council directed staff to develop a Request for Proposal (RFP) that would +,manage solid waste operations. He reported that staff has been working closely with HF &H`to develop- the'initial study which will look at City operations. ,' Laith Ezzet, HF &H Senior Vice President, utilized a PowerPoint presentation to provide information about HF &H -'sand his qualifications and background, the City's contract with CR &R to process residential vwaste, current' service providers, and the amount of tonnage collected.--He reported that 41 %0 of the residential waste collected by the City is recycled. He addressed" potential, residential service options for the RFP, including a proposal for the current system, a proposal with specific guidelines on any system which the proposers believe will work in the City,,a,nd a proposal for three- stream collection with separate containers for trash, recycling and green waste,'He noted that the third proposal would entail a different allocation of costs between recycling and trash compared to what currently exists. Mr. Ezzet addressed examples of other RFP requirements and transfer station tonnage. He noted that 56% of the`City's transfer station capacity is underutilized and indicated that transfer station options include allowing the proposer to use it at no charge for delivering City waste, accepting additional fee - paying waste to generate revenue for the City, or closing the transfer station and using,thE facility for other City purposes. He added that the decision regarding the transfer station needs to be made in order to obtain the RFPs. Mayor Curry expressed concern about increasing fees. Council Member Gardner believed that the issue of fees should be discussed prior to making a final decision. Mr. Ezzet noted that the RFP will not have any predisposition regarding increased costs, but rather will request costs related to each option. In response to Council questions, Municipal Operations Director Harmon, reported that the City's facility acts as a transfer facility and that the trash is then sent to CR &R to be sorted. Mr. Ezzet added that the City's current service is considered a single - stream collection with manual service, and the RFP would propose to charge the City on a monthly cost - per -home Volume 61 - Page 73 City of Newport Beach City Council Study Session February 26, 2013 basis. Regarding the. transfer station, he reported that the value of the City's transfer station could be quantified through the RFP process. Further, the issue of using the transfer station in connection with a three - stream process will need to be assessed to determine if the transfer station can handle a three - stream system versus the current one - stream system. Regarding whether the City's facility would be busier with a three- stream system, Municipal Operations Director Harmon reported that the current tonnage includes recycling and green waste. If the City changes to a three - stream system, he indicated that there will probably not be an increase in capacity. He further explained that it would still handle the same amount of tonnage, but that it would be staged differently. Regarding the differences between trucks that pick up trash and the ones that transfer trash, Municipal Operations Director Harmon explained that the City's collection trucks hold five to ten tons,-and transfer trucks hold about 21 tons. He noted that there is a benefit to using a transfey,,4ation instead of hauling waste long distances. Regarding bin sizes, Municipal Operations Director Harmon affirmed that individual residents would have a choice of bin size at Jio charge, -and that this is the current process for Newport Coast. Mayor Pro Tem Hill believed that the City should maximize the revenue opportunities of the transfer station and noted that, with a three - stream ,system, the time involved in moving the same amount of tonnage would increase, .therefore providing less available capacity. Municipal Operations Director Harmon reported that the State considers truck trips, as well as other factors; and explained that trucks can be routed in order to keep the transfer station busy and handle the three hundred tons. Mayor Curry questioned the financial implications of the three transfer station options. Municipal Operations Director Harmon explained.tbat there, is currently no financial data until proposals are received since the private haulers wvll assess the financial implications during the RFP process, ' Council Member Henn emphasized the need to determine the desired core service level in order to generate: the RFP,; as well as having separate pricing items for the optional services desired by the residents. He: pointed out that the City uses non - exclusive franchises to handle commercial waste hauling and- noted_that the City is one of the few cities that operate in this manner. H6 requested alternatives for the City and its economic implications. Municipal Opeiations Director Harmon, confirmed that commercial contracts within the City are currently non- exclusivr., expire'by March 2017, and do not have a cap; however, he reported that, staff is recommending goingto a more exclusive commercial system. Council Member Henn noted that, in an exclusive environment, it would be a competitive bid process and may include revenue stream 'direct to the City from the haulers. Dr. Don Udall spoke in opposition to any change at this time, believed that the three - stream system would not work, and discussed comments received by him from former City Manager Bob Wynn who had. a negative experience with a system that was contracted out. He reported that Assistant City Manager Badum spoke at his homeowners' association meeting and mentioned the aging trucks, as well as the risk of injuries and State compensation issues are factors for starting these discussions. Tom Moulson discussed the limited space for newer trash trucks in some areas and spoke in opposition to any change at this time. He addressed a survey which indicated that a majority of the people were satisfied with the present system. Dennis Baker agreed that the multi- stream system requires increased awareness; however, expressed concern that, with the single- stream system, someone would need to sort through his trash to pull out recyclable material. He expressed concern that there are three different Volume 61 - Page 74 City of Newport Beach City Council Study Session February 26, 2013 trash trucks that service a one block commercial area near his residence and asked how much is recycled in commercial areas. He indicated that he would have no problem with changing to a multi - stream system. Jim Mosher expressed concern with an outside vendor providing basic public services at a price that is lower than what government employees can provide. He expressed hope that, when the proposals are returned, staff will look into why the City could not replicate what the vendors are proposing. Stephanie Barger believed that the City needs to develop a zero -waste plan in order to have a positive impact on the environment. She stressed the importance of zero - waste, noted benefits to businesses, and encouraged the City to study the issue carefully. Ron Hendrickson referenced a letter from the Newport - 'Hills Community Association Board which expressed concerns with replacing the City's ` in -house collection system. He spoke in opposition to a multi - stream system, and noted that sorting at home often fails and would ultimately require that the refuse be resorted elsewhere at an additional cost to the City. He suggested that an analysis be conducted regarding the areas in the City which can and cannot accommodate the auto -arm trucks. He believed- tha_ E a multi- stream system would result in a reduction to the community's quality of life. Nancy Skinner believed that sorting- recyclables will- not decrease her quality of life. She expressed hope that the City Council will implement the use of recycling containers, but agreed that recycling takes education. ,Sh6'enc:ouraged Council to promote recycling. Steve Prough expressed his appreciation to Council`foi :�consid'ering this issue and spoke in opposition to a multi - stream system. He expressed concerns with outsourcing the work and noted the satisfaction rating of the current system. He discussed the need to know the exact costs for the various options in order to determine whether the gain is worth the risk of losing the present system. Tom Callister spoke in support -of the single- stream system currently being used in the City. He expressed . concern with lack of'space` for multiple containers and believed that it is a quality of life issue.., David Fey spoke in support of keeping the current system, but agreed with going out to bid. fie stressed the need for providing the same level of service that the City currently provides and expressed concern with the increase in trucks with a multi - stream system. Mayor Curry beheved that the presentation did nothing to alleviate some of the concerns of the community, He noted that this isprimarily a financial decision and that the only reason for proceeding with the RFP would be to consider a potential cost savings. He stressed the need to have financial data on the various options, noted the desire to focus on existing services, and acknowledged community testimony, input, and desires. He indicated that the City should duplicate the current service within the RFP, leave commercial operations the same £or now, and encourage all bidders to make an offer of employment to the current City refuse staff. He emphasized that the issue began due to the need to replace existing trucks and believed that the City needs to maximize the value of its transfer station. He indicated that the City should not increase fees. Council Member Gardner believed that this is not strictly a financial decision and agreed with the need to be considerate to the residents. She pointed out the need for some type of automated system due to injuries and believed that there are ways to implement it without Volume 61 - Page 75 City of Newport Beach City Council Study Session February 26, 2013 losing the current the level of service. She noted that quality of life also includes the future and believed that Council needs to consider the current process, but also consider making changes to refine the process. Council Member Henn noted that the direction today is for Council to give staff guidance so they can return with facts so Council can make decisions. He stated that determinations need to be made regarding the costs involved with outsourcing the same service that is being provided today. He noted that quality of life deals with other issues besides cost and that there are many factors to consider. He stated that Council has an obligation to ensure that all the facts are understood and added that residents have an obligation to withhold judgment until they have seen all the facts. He agreed with options one;and three, including allowing outsourcers to provide solutions based on the needs of the various areas. He suggested having a second basis for proposal wherein a core set of standards iaddentified; the Peninsula uses single and multiple containers, including having bulk :'pickup and'Saturday service; and the possibility of having a concierge service to assist special events an &`on- demand service. He noted that there are tradeoffs related to any option considered and reiterated the need to receive all of the facts. He added that outsourcers should be encouraged'to offer employment to City employees., Mayor Pro Tem Hill commented on Council's responsibility to consider outsourcing if the City can save money and provide the same or better levels of service and quality of life. He indicated that he supports looking;at pricing the City's existing system and believed that the issue of replacing the current equipment, needs to be considered separately. He questioned the existence of a reserve for replacing &`tr'uckc. He agreed with the need to maximize the transfer station and believed that information on any other approach would be helpful, but stated that there is no single formula that would fit`the City since the proposals would need to be unique to the different City areas. Council Member Petros stated that there is a resounding message from the community that the level of service should not change. He believed that this should be the main consideration and stressed the importance of comparing the differences between the current system and the outsourced- system. Council Member Daigle noted the need for a comprehensive set of facts and stated that she is not convinced that recvcling at` the front end would be beneficial to the City. She stated that the community will have a chance to provide feedback during the process and asked that staff provide options and related costs. Council Member Henn clarified that he supports option one, as well as an amalgamation of options two and three. He believed that allowing unlimited pickup would be an important service level that would need to be replicated. He suggested requiring the contractors to provide information regarding the single- stream and multi - stream process with related costs and encouraged residents to determine what size containers they would need. Council Member Henn requested to see the RFP before it is distributed. Mayor Curry commented on the need to be thoughtful and clear as to what the RFP is expected to produce. Municipal Operations Director Harmon reiterated the options presented and believed that option two will also encompass option three. It was the consensus of Council to direct staff to return to the City Council with the Volume 61 - Page 76 City of Newport Beach City Council Study Session February 26, 2013 final RFP before it is distributed. III. PUBLIC COMMENTS Regarding Item 10 (Uptown Newport Planner Community), Jim Mosher noted the complexity of the project and believed that Council should allow more time for public review. Regarding the Closed Session Agenda, he noted that there is a litigation item about the old reservoir cover. He noted that the Airport Settlement Agreement is not on the agenda and believed that, if a subcommittee has been designated to address the agreement, it should be noticed. IV. ADJOURNMENT - 6:28 p.m. The agenda for the Study Session was posted on February 22 2013, at 7:20 a.m. on the City Hall Bulletin Board located outside of the City of Newport: 'Beach Administration Building. City Clerk Recording Secretary Mayor Volume 61 - Page 77 City Council Minutes Regular Meeting February 26, 2013 — 7:00 p.m. I. STUDY SESSION - 4:10 p.m. II. CLOSED SESSION - 6:29 p:m. A. CONFERENCE WITH LEGAL COUNSEL -EXISTING LITIGATION (Government Code § 54956.9(d)(1)): City of Newport Beach u. Banshee Construction, et. al. Orange County Superior Court Case No: 2011- 00528392 B. PUBLIC EMPLOYEE PERFORMANCE EVALUATION (Government Code § 54957): Title: Leilani Brown, City Clerk III. RECESS IV. RECONVENED AT 7:00 P.M. FOR REGULAR MEETING V. ROLL CALL Present: Council Member Gardner,`Council Member Petros, Mayor Pro Tern Hill, Mayor Curry, Council Member Selich, Council Member Henn, Council Member Daigle VI. CLOSED SESSION REPORT City Attorney Harp announced that no reportable actions were taken. VII. PLEDGE OF ALLEGIANCE - Council Member Petros VIII. INVOCATION -Mayor Curry IX. PRESENTATION Arbor Day Presentation - Rotary Club of Newport Beach - Bill Hossfeld, Rotary Club of Newport Beach, provided the organization's background and reported that they distributed seedlings to all 3rd graders in the Newport -Mesa Unified School District. He acknowledged the presence of some of the members of the organization and addressed upcoming events in celebration of Arbor Day. He thanked the City for its support. Mayor Curry thanked the Rotary Club for its continued service to the community. Volume 61 - Page 78 City of Newport Beach City Council Minutes - February 26, 2013 X. NOTICE TO THE PUBLIC XI. 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 Gardner reported that on March 13, 2013, the Harbor Commission will begin discussing the future of Lower Castaways. Council Member Petros announced his participation as the organizer of the City Council team called "Council Critters" for the upcoming Relay for Life event being held from,May 18 to May 19, 2013 at Newport Harbor High School and encouraged the public to participate. Mayor Pro Tom Hill announced the birth of his third grandchild on January 28, 2013. Council Member Daigle congratulated the Corona del Mar High School Girls' Water Polo Team for winning the CIF Division 1 Title. Council Member Henn announced that a Finance Committee meeting will be held on February 28, 2013, in the old Council Conference Room at 4:00 p.m., Council Member Selich reported on a recent meeting of the Balboa Island Business Improvement District and noted that it was well attended. He announced that, on March 16, 2013 at 11:00 a.m., there will be a community meeting at the Balboa Island Fire Station to discuss and answer questions about the flood insurance program, rebuilding of the Park Avenue bridge, and Grand Canal issues. Mayor Curry thanked staff for conducting a tour of the facility for the Harbor Ridge Women's Club. NII. PUBLIC COMMENTS ON CONSENT CALENDAR Jim Mosher believed that the Minutes (Item 1) should be amended to include the comments made by former Centennial Mayor Don Webb. He also believed that Item 5 (Engineering Design and Construction Support Services. Associated with Replacement of the Big Canyon Reservoir Floating Cover) should be considered with Item 14 (Big Canyon Reservoir Floating Cover Replacement). Regarding Item ,4 (Santa Ana Heights Pavement Restoration), Gibron Stout commended Council for considering the matter, but requested that Council pull it from the Consent Calendar for more discussion. She believed that the project does not follow portions of the Newport Beach General Plan; comply with City,' County and State statutes; or is exempt from the California Environmental Qualities Act (CEQA). Further, the most recent plans are different than what Council previously approved. She referenced design guidelines, landscaping, irrigation, and maintenance, and expressed concern that sidewalks have been omitted. She requested that Council ensure that the project is in compliance before proceeding. Public Works Director Webb clarified that it is the City's intent to install sidewalks from Cypress East towards the park. He reported speaking with the designer and acknowledged that the plans did not include sidewalks, but assured that the intent is to include them. Regarding the sidewalk from Mesa Drive to the park, he indicated that it is not included in the plans, but there is extensive negotiations occurring with the residents. He reported that the issue will need to be addressed in the near future. City Manager Kiff reported that staff is requesting to continue Item 8 (Approval of the Fiscal Year 2012 Volume 61 - Page 79 City of Newport Beach City Council Minutes February 26, 2013 Urban Area Security Initiative Grant Program Transfer Agreement and Training Funds). XIII. CONSENT CALENDAR A. READING OF MINUTES AND ORDINANCES 1. MINUTES FOR THE FEBRUARY 12, 2013 STUDY SESSION AND REGULAR MEETING. [100 -20131 Waive reading of subject minutes, approve as amended, and order filed. 2. READING OF ORDINANCES. Waive reading in "full of all ordinances under consideration, and direct the City Clerk to read by title only. B. ORDINANCE FOR ADOPTION 3. ZONING CODE AMENDMENT SINGLE ROOM OCCUPANCY RESIDENTIAL HOTELS AND PARKING FOR EMERGENCY SHELTERS - PA2012 -179 FOR CA2012 -009. [100 -20131 Conduct a second reading and adopt Ordinance No.2013 -4: An Ordinance of the City Council, of the City of. Newport Beach Adopting Zoning Code Amendment No. CA2012 -009 Regarding Single Room Occupancy Residential Hotels and Parking Requirements for Emergency ,Shelters (PA2012 -179) approving Zoning Code Amendment No. CA2012 -009. C. CONTRACTS AND AGREEMENTS 4. SANTA ANA HEIGHTS PAVEMENT RESTORATION - AWARD OF CONTRACT NO. 4707. [381100 -20,131 a) Approve the project drawings and specifications; b) award Contract No. 4107 to All American Asphalt for the total bid amount of $1,156,156.00, and authorize the Mayor -and City Clerk to execute the contract; c) establish a contingency of $115,000.00 (10,percent) to cover the cost of unforeseen work not included in the original contract; and d) approve Budget Amendment No. 13BA -032 appropriating $324,759.00 in County Redevelopment Agency funding to Santa Ana Heights Pavement Restoration CIP Account No. 7549- ,C5100879., 5. APPROVAL OF AMENDMENT NO. 3 TO PROFESSIONAL SERVICES AGREEMENT WITH MWH GLOBAL (C -5027) FOR ENGINEERING DESIGN AND CONSTRUCTION SUPPORT SERVICES ASSOCIATED WITH REPLACEMENT OF THE BIG CANYON RESERVOIR FLOATING COVER. [381100 -2013] Approve Amendment No. 3 to Professional Services Agreement with MWH of Irvine, California, to increase total compensation by $250,037.00 and authorize the Mayor and City Clerk to execute the amendment. 6. APPROVAL OF PROFESSIONAL SERVICES AGREEMENT WITH WILLDAN GEOTECHNICAL (C- 5388); AND AMENDMENT NO. 3 TO PROFESSIONAL SERVICES AGREEMENT WITH PSOMAS (C -4603) FOR THE CORONA DEL MAR WATER TRANSMISSION MAIN. [381100 -20131 a) Approve the Professional Services Agreement with Willdan in the amount of $187,400.00 for geotechnical and material testing and specialty inspection services; and authorize the Mayor and City Clerk to execute the agreement; and b) approve Amendment No. 3 to the January 25, 2011, Professional Services Agreement with PSOMAS increasing the compensation by $55,912 Volume 61 - Page 80 City of Newport Beach City Council Minutes February 26, 2013 for additional design and construction support services, and authorize the Mayor and City Clerk to execute the amendment. APPROVAL OF AMENDMENT NO. 2 TO PROFESSIONAL SERVICES AGREEMENT WITH KOURY ENGINEERING AND TESTING, INC. FOR MATERIAL TESTING AND INSPECTION SERVICES FOR NEWPORT BEACH CIVIC CENTER AND PARK PROJECT (C- 4527). [381100 -20131 Approve Professional Services Agreement Amendment No. 2 with Koury Engineering& Testing, Inc., of Chino, California for Newport Beach Civic Center and Park Project Material and Inspection Services at a not -to- exceed price of $273,268.00, and auth_or'ize the Mayor and the City Clerk to execute the Amendment. 8. APPROVAL OF THE FISCAL YEAR 2012 URBAN AREA SECURITY INITIATIVE GRANT PROGRAM TRANSFER AGREEMENT AND TRAINING FUNDS (C- 5382). [381100 -20131 Continued to the March 12, 2013 City Council meetin . Motion by Mayor Pro Tem Hill, seconded by Council Member Petros to approve the Consent Calendar; and noting the continuance of Item 8 to the March 12, 2013 City Council meeting. The motion carried by the following roll call vote: Ayes: Council Member Gardner, Council Member Petros, Mayor Pro Tem Hill, Mayor Curry, Council Member Sehch, Council Member Henn, Council Member Daigle )UV. ITEMS REMOVED FROM THE CONSENT CALENDAR - None XV. PUBLIC COMMENTS.ON NON - AGENDA ITEMS James McQueen, President of the Board of Directors of Orange County Human Relations, distributed their Annual Report and presented a description of the organization and its goals and mission. He discussed programs that have impneted the City, as well as community participation, and presented examples of cases in which the organization has assisted. Kimberly Mimms discussed ari•organizatign that was formed to increase awareness about bullying. She indicated 'that the City of Huntington Beach presented the organization with a proclamation and requested a proclamation from the City. She provided information about bullying awareness and presented personal.. testimony. She thanked Council Member Henn for taking the time to listen to her concerns. XVI. ORAL REPORTS FROM CITY COUNCIL ON COMMITTEE ACTIVITIES Council Member Daigle reported that the Citizens' Aviation Committee did not meet this month, but that a special meeting will be held soon to discuss the Settlement Agreement for John Wayne Airport (JWA). She reported that she serves on the Regional Council for the Southern California Association of Governments (SCAG), highlighted a recent visit to Sacramento, and discussed overlapping issues that SCAG and the City are facing, including increased bicycle use. Further, she reported that the State budget is balanced and that the State Finance Director presented a positive view of the State's finances, but that the forecast is only for four years and that, in year five, the State will probably face a mini - fiscal cliff. Council Member Henn reported that the Balboa Village Advisory Committee (BVAC) met on February 13, 2013, to review maintenance standards, activities, and programs in the Village, and generate ideas Volume 61 - Page 81 City of Newport Beach City Council Minutes February 26, 2013 to enhance those programs. He stated that recommendations will be finalized at an upcoming meeting in order to present them to Council as part of the budget process. Council Member Petros reported that the Bicycle Safety Committee has been sunsetted, but the committee may be re- established in the near future. Mayor Pro Tern Hill reported that he and City Manager Kiff met with a citizens group for the purpose of discussing the general content of the Settlement Agreement for JWA and the impact it has on the community. He reported that it was a productive and well- attended meeting. XVII. PUBLIC HEARINGS 9. AWARD OF NON - EXCLUSIVE SOLID WASTE , COLLECTION FRANCHISE TO ECOLOGY AUTO PARTS INC., A CALIFORNIA CORPORATION. ,£241100 -20131 Municipal Operations Director Harmon provided a staff report and presented.recommendations. Mayor Curry opened the public hearing. Jim Mosher referenced the earlier Study Session regarding waste collection service and believed that Ecology Auto Parts Inc. will be the City's 32 "d franchisee. He stated that 69% of the City's solid waste is handled by franchise haulers and questioned if•the haulers are assisting the City in achieving its recycling goals. He note&that'he pointed out' minor errors in the ordinance and agreement in his written comments. , There being no further' testimony, Mayor Curry closed the public hearing Motion by Council Member Henn, seconded by Council Member Gardner to conduct a second reading and adopt Ordinance No. 2013 -2: An Ordinance of the City Council of the City of Newport Beach Granting a Non- Exclusive Solid Waste Franchise to Ecology Auto Parts, Inc., a California Corporation, to Prouide Solid Waste, Collection Seruices upon the City Streets and within the City of Newport Beach. 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, Council Member Henn, Council Member Daigle lo. UPTOWN NEWPORT PLANNED COMMUNITY - 4311 - 4321 JAMBOREE ROAD, (PA2011 -134) (C- 5387). [381100-20131 Council Member Petros recused himself from participating in discussions at the suggestion of the City Attorney and left the dais. City Attorney Harp clarified that Council Member Petros recused himself because the applicant was a former client of his employer. Associate Planner Ung utilized a PowerPoint presentation to discuss the project, surrounding land uses, existing conditions, General Plan Land Use designation, the Council approved Integrated Conceptual Development Plan, current zoning designations, site plan, and project phasing details. She addressed density, housing products, Planning Commission action and recommendations, Environmental Impact Report (EIR) certification, comments received, and revisions made to the draft EIR. She noted that the revisions were minor and did not require recirculation of the EIR. Additionally, she addressed the Statement of Overriding Considerations relative to significant unavoidable construction impacts to air quality, land use, and noise; and Volume 61 - Page 82 City of Newport Beach City Council Minutes February 26, 2013 addressed the Planned Community Development Plan Amendment related to removal of the property from the Koll Center Planned Community, as well as adoption of the Planned Community Development Plan. She presented information regarding the Tentative Tract Map and the Traffic Study results. She addressed the Affordable Housing Implementation Plan (AHIP), the Development Agreement, Airport Environs Land Use Plan ( AELUP) Consistency Determination, and school district boundary adjustments. She presented recommendations for Council consideration and reported receiving written comments from John Adams and Associates, Cornerstone Partners, Jim Mosher, and the Law Office of Robert Hawkins. Community Development Director Brandt reported that staff is not'obligated to respond formally to any comments relative to the environmental document received after the 45-day review period; however, staff has reviewed all comments and will provide brief oral responses. Principal Planner Campbell reported that comments have been received regarding the Birch Street easement by John Adams. He reported that -the easement is ,part of the project and required by the General Plan, and that the applicant indicates that they are allowed to use the easement. He added that there is a Condition of Approval requiring that the applicant provide documentation and evidence before moving forward with Phase 2 of the project. Assistant City Attorney Mulvihill addressed the AELUP Consistency Determination, noting that staff is recommending that Council overrule the finding of inconsistency. She added that the City Attorney's Office reviewed Community Development's resolution and findings, and concurs with the recommendation. She reported that the affects of approving this decision remains to be seen and confirmed that there is no "liability shift" by finding an inconsistency. She added that the project is consistent with the Land Use Plan, but notwithstanding the AELUP determination. Regarding late correspondence, she indicated that the City Attorney's Office disagrees with the letter which addressed the liability shift and that the letter's recommendations are not supported. She also confirmed that the letter from the Caltrans Division of Aeronautics agreed that the project is consistent with the AELUP; She reported that the information was included in the resolution. Principal Planner Campbell added that, staff reviewed all of the comment letters and did not find additional information that would change the analysis, conclusions, or recommendations brought before Council. He pointed out., that Mr. Adams' letter indicates that they would not like to have construction on the Birch, Street easement. He reported that staff has made this concession and that this is included in the amendment to the Conditions of Approval. He added that most of the comments received were,providing opinions to which staff disagrees and one of the letters discussed a. peer review of .the traffic analysis. He indicated that written responses relative to the traffic analysis are available for review. Mayor Curry opened the public hearing. Bill Shopoff, applicant and President /CEO of The Shopoff Group, introduced his consulting team and reported reviewing the documents and confirmed agreement with them. He proposed a minor revision regarding the AHIP which seeks the ability to cluster affordable units, noting that the developer would like the flexibility to have a clustered building since it depends on whether the units are rented or sold. He distributed written responses to Mr. Adams' letter and presented background on the project. He noted that there are parks planned for both phases, the project is traffic neutral, and the project will be the fast project to implement the goals and objectives of the 2006 General Plan. Mr. Shopoff addressed connectivity and access, street improvements, bike trail improvements, affordable housing, and the quality of the project. He reported that the Master Site Plan and Master Landscape Improvements will be presented to the Planning Commission for further review; and addressed parking, fiscal benefits, public benefits, and school district issues. Volume 61 - Page 83 City of Newport Beach City Council Minutes February 26, 2013 In response to Council questions; Principal Planner Campbell was unsure whether food preparation water control requirements apply to internal or outside areas, but noted that if it is applicable, the developer will abide by the requirement. John Adams referenced his written comments and expressed appreciation to staff for addressing the construction access issue. He expressed concerns with the proposed setbacks and requested that Council consider increasing them. He addressed the density calculation, noting that lettered lots are usually unbuildable and not included in the density calculation. Jim Mosher referenced his written comments regarding the amount of written material to be reviewed and the decisions to be made, and expressed concern`that,most of the public is not aware of the project. He believed that the proposed project fails to -meet the 2006 General Plan provisions, adding that it will be isolated and that residents will. not ' have the amenities expected in an urban village, including schools. Robert Hawkins, attorney representing community groups, referenced his written comments and believed that Council Member Petros should have reported his conflict of interest rather than the City Attorney. He addressed the AELUP incoi si.4ency and believed that John Wayne Airport (JWA) will have immunity once the City overrides -the decision. He expressed concern with the resulting liability and believed that, once the property is sold, there will be no one from whom indemnity can be sought. He asserted that construction noise impacts will be felt by Phase 1 residents, indicated that these can be, eliminated by requiring full construction of the project without phasing it, reported that additional comments will be submitted, and requested that Council leave the administrative record open for one day. There being no further testimony, Mayor Curry closed the public hearing Mr. Shopoff confirmed that his company is acting as the master developer of the property and may sell individual parcels to builders to develop the property in accordance with the approved plans. Greg Powers, Law Firm of Jackson DeMarco Tidus Peckenpaugh and Land -Use Counsel for The Shopoff Group, indicated that the statute under the Public Utilities Code does not shift liability from JWA to the City. He confirmed that, by overruling the AELUP determination, there is an immunity that applies to JWA; however, Mr. Hawkins' statement regarding liability going nowhere is not correct. City Attorney, Harp indicated that it would not be appropriate to leave the administrative record open beyond this eyening's hearing. He added that none of the public comments have changed his legal opinion regarding the City's liability or whether or not the document complies with CEQA. Council Member Daigle believed that Phase 1 will be done properly regardless if the property is sold or not. She reported that there will be further review by the Planning Commission and that their decisions are appealable. She added that whether or not The Shopoff Group sells the property is irrelevant to the quality of the project the City will get due to the process that remains. She presented. background on the project, commented on the livability of the project, and pointed out that there is a process in place that will produce recreation amenities for the community. Council Member Selich pointed out private recreational requirements that will serve the proposed dwelling units. In response to Mayor Pro Tern Hill's question, Mr. Shopoff confirmed that he agrees with the new Volume 61 - Page 84 City of Newport Beach City Council Minutes February 26, 2013 condition regarding not having construction access through Birch Street. Mayor Pro Tern Hill commended the applicant for his effort, congratulated the Planning Commission for their hard work, and expressed his appreciation to Council Members Selich and Gardner for their careful scrutiny of the project. Mayor Curry commented positively on the project, especially for providing public and economic benefits. Motion by Mayor Pro Tern Hill, seconded by Mayor Curry to a) adopt Resolution No. 2013- 21: A Resolution of the City Council of the City of Newport Beach Certifying Final Environmental Impact Report No. ER2012 -001 (SCH No. 2010051094) PC with the California Environmental Quality Act and State and Local Guidelines for the 25.05 Acre Planned Community Known as Uptown Newport Located of ,4311 -4321 Jamboree Road (PA2011 -134), certifying Environmental Impact Report No. ER2012 -001 (SCH #2010053094); b) adopt Resolution No. 2013 -22: A Resolution of the City Council of the City of Newport Beach. Adopting a Statement of Ouerriding Considerations in Accordance with the California. Environmeintal, Quality Act and State and Local Guidelines for the Approval of 25.05 Acme Planned Community Known as Uptown Newport Located at 4311 -4321 Jamboree Road (PA2011 -134), adopting the Statement of Facts and Findings and Statement of Overriding Considerations; c) adopt Resolution No. 2013 -23: A Resolution of the City Council of the City of Newport Beach Ouerr cling the Orange County Airport Land Use Commission's Determination that the Uptown Alewport Project is Inconsistent with the Airport Environs Land. Use Plan for the John Wayne Airport and Finding the Uptown Newport. Project is Consistent with the Purposes of Public Utilities Code Section 21670 (PA2011 -134), overruling the Orange County Airport Land Use C:oinmission determination that the proposed Uptown Newport Planned Community is inconsistent with the Airport Environs Land Use plan for the John Wayne Airport{ d) introduce Ordinance No. 2013 -5: An Ordinance of the City Council of the City of Newport. Beach Approving Planired Community Development Plan Amendment No. PC2011 -003 and Planned Community Deuelopment Plan Adoption No. PC2012 -001 for the 25.05 Acre Planned Community Known as Uptown. Newport Located at 4311 -4321 Jamboree Road (PA2011 -134), approving Planned Community ]) evelopment Plan Amendment No. PC201.1 -003 to remove the subject property from the troll Center Newport Planned Community, and Planned Community Development Plan Adoption No. PC2012 -001 to establish the allowable land uses, general development regulations, and implementation and administrative procedures, which would serve as zoning document^, -for the construction of up to 1,244 residential units, 11,500 square feet of retail commercial, and 2.05 acres of park space and pass to second reading for adoptiou on March 12, 201;3; e) adopt amended Resolution INTO. 2013 -24: A Resolution of the City Council of the City of Newport Beach Approuing Tentative Tract Map No. NT2012 -002, Traffic Study No. 3:52012 -005 and Affordable Housing Implementation Plan No. AH2012 -001 for the 25.05 Acre Planned Community Known as Uptown Newport Located at 4311 -4321 Jamboree Road (PA2011 -134), approving Tentative Tract Map No. NT2012 -002, Traffic Study No. TS2012 -005, and Affordable Houeing'Implementation Plan No. AH2012 -001 to allow the construction of up to 1,244 residential units, 11,500 square feet of retail commercial, and 2.05 acres of park space in two separate construction phases; and f) introduce Ordinance No. 2013 -6: An Ordinance of the City Council of the City of Newport Beach Approving Development Agreement No. DA2012 -003 (C- 5387) for the 25.05 Acre Planned Community Known as Uptown Newport Located, at 4311 -4321 Jamboree Road (PA2011 -134), approving Development Agreement No. DA2012 -003 and pass to second reading for adoption on March 12, 2013. The motion carried by the following roll call vote: Ayes: Council Member Gardner, Mayor Pro Tem Hill, Mayor Curry, Council Member Selich, Council Member Henn, Council Member Daigle Volume 61 - Page 85 City of Newport Beach City Council Minutes February 26, 2013 XVIII. CURRENT BUSINESS' 11. APPOINTMENTS TO THE ENVIRONMENTAL QUALITY AFFAIRS COMMITTEE (EQAC). [100 -2013] Council Member Petros explained that the reason for his recusal on Item 10 was due to a business relationship. Motion by Council Member Gardner, seconded by Mavor Curry to a) waive the portions of Council Policy A -2 (Board and Commission Appointments) which establishes a Council Ad Hoc Appointments Committee and requires two or more application3 -for each vacant seat; b) consider the applications received in the City Clerk's Office by the February 15, 2013 deadline; and c) make appointments via paper ballot to EQAC pursuant, to City CounLil Policy A -2. 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, Council Member Henn, Council Member Daigle City Clerk Brown provided paper ballots and announced the following votes: Carl Cassidy - Hill, Selich, Daigle, Henn'-'and Mayor Curry Tyler Gentry - Gardner, Petros, Hill, Selich, Daigle, Henn, and Mayor Curry Kimberly Jameson - Gardner, Petros, Hill, Daigle, Henn, and Mayor Curry Charles McKenna - Petros, Hill, Selich, and Henn Joshua Olazabal - Gardner,, Petros, Hill, Selich, and Henn` Debbie Stevens - Gardner, Petros, Hill, Selich „ Daigle, Henn, and Mayor Curry Mark Tabbert - Gardner, Daigle, and Mayor` Curry Merritt VanSant - Gardner, Petros, Hill, Selich, Daigle, and Henn Josh Yocam - Gardner, Petros, Selich, Daigle, Henn, and Mayor Curry City Clerk. Brown announced that Carl Cassidy, Tyler Gentry, Kimberly Jameson, Joshua Olazabal; Debbie Stevens, Merritt VanSant, and Josh Yocam have been appointed to EQAC. Jini- Mosher believed that the City; Clerk is required to maintain a list of term expirations of all appointments. He referenced Cotrricil's previous appointments to the Water Quality Coastal Tidelands Committee and noted that expiration dates have not been supplied for those appointments. 12. APPROVE RELINQUISHMENT AGREEMENT FOR THE PORTION OF STATE ROUTE 55 (SR 55) CONSISTING OF NEWPORT BOULEVARD FROM FINLEY AVENUE TO THE NEWPORT CHANNEL BRIDGE (C- 5390). Deputy Public Works Director Thomas discussed the project, the requirements to receive approval from the State Legislature, previous consideration by the City Council, benefits and costs associated with the relinquishment, negotiations with Caltrans to provide improvements to existing signals and recommendations, and the final steps in the process. He indicated that he received information from Caltrans that a Relinquishment Agreement may not be necessary and that Caltrans now has unilateral authority to move forward with the relinquishment. In response to Council Member Petros' question, Deputy Public Works Director Thomas reported that the bridge will not be included, but the asphalt pavement will. He provided clarification of the signal improvements proposed. Volume 61 - Page 86 City of Newport Beach City Council Minutes February 26, 2013 Council Member .Gardner addressed the benefits of proceeding without a Relinquishment Agreement and wondered whether this would be the same agreement that was entered into for the Corona del Mar relinquishment. Deputy Public Works Director Thomas indicated that it would be the same type of agreement. Motion by Mayor Curry, seconded by Council Member Henn to authorize the Mayor and City Clerk to execute the Relinquishment Agreement for the portion of SR 55 consisting of Newport Boulevard from Finley Avenue to the Newport Channel Bridge. Jim Mosher referenced a press release issued by the City calling attention to the two most important items being discussed this evening, but believed that he would not have considered them being the two most important decisions being considered tonight. 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, Council Member Henn, Council Member Daigle 13. APPROVAL OF PROFESSIONAL SERVICES AGREEMENT WITH GRIFFIN STRUCTURES, INC., FOR CONSTRUCTION MANAGEMENT SERVICES AT MARINA PARK (C- 5391). Public Works Director Webb utilized a PowerPoint presentation to discuss the Marina Park concept, project status, next steps, and project design packageA. He presented details relative to the selection of the construction manager and the selection of the most qualified firm. He addressed the criteria used to choose the most qualified provider. He highlighted the three top firms being considered, reported that reference checks were conducted by City staff, and reported that the selection panel selected Griffin 'Structures, Inc. of Laguna Beach. He presented information on the project team, scope of work, fees and related negotiations, and recommendations. ' Council Member. Petros thanked stiff for making all of the documentation available. He noted that a testimoidal was included in the documentation that he provided to Griffin Structures in the past, but indicated that he was never asked if it could be included for this project. In response to Council Member Henn's question, Public Works Director Webb reported that he met with Coastal Commission staff and expressed hope that he will hear from them soon regarding the status of the Coastal Permit. Mayor Pro Tem ,Hill suggested that the Building Committee continue its involvement in the project and review the design. Motion by Council-Member Gardner, seconded by Council Member Henn to approve a Professional Services Agreement with Griffin of Laguna Beach, California for construction management services at a cost not to exceed $1,222,860.00, and authorize the Mayor and City Clerk to execute the Agreement. Jim Mosher questioned the need to outsource the project when the City has adequate employees to complete it. Council Member Selich indicated that he will not be supporting the motion since there was only a 3% difference between the top and bottom candidates in the rating, but that there is a substantial difference in fees between them. Volume 61 - Page 87 City of Newport Beach City Council Minutes February 26, 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 Henn, Council Member Daigle Noes: Council Member Selich 14. BIG CANYON RESERVOIR FLOATING COVER REPLACEMENT - AWARD OF CONTRACT NO. 5027. Deputy Public Works Director Thomas discussed the project background, problems with the existing cover, material proposed for the new cover, anticipated schedule for the project, the bidding process, and recommendations. In response to Council questions, Deputy Public Works Director Thomas explained what the contingency amount could be used for and confirmedithat the general contractor would perform any repairs. He indicated that he will advise Council if the contingency is; utilized. He reported that main replacement projects in Newport .Heights and potentially Lido Isle, and cast iron pipeline replacements in various parts of the City may be deferred for up tp, one year since funding for this project will entail borrowing from other water funds. He stated that the delay will not pose any problems to the water supply. 'He indicated that the replacement of the waterline at Park Avenue will be done as part of the'Balboa Island Bridge Project and that the cover replacement project will not affect the schedule for the Balboa Island Bridge Project. Public Works Director Webb indicated that, since-the Underground District may not be moving forward, the Park Avenue waterline project needs`to be programmed bath into the CIP schedule. Jim Mosher noted that the contract Council is being asked to approve is not attached to the staff report. He hoped that Council has seen the contract and that a guarantee is included to cover the material and workmanship. Motion by Council Member Henn, seconded by Mayor Pro Tem Hill to a) approve the project drawings and specifications; b) award Contract No. 5027 to MPC for the total bid price of $5,720,500.00, and authorize the INlavor and City Clerk to execute the contract; c) establish a contingency °dfS,aOO,000 to cover the cost of unforeseen work not included in the original contract; and d)- approve Budget Amendment No. 13BA -033 appropriating $2,347,723.00 from the Water Enterprise Capital Improvement-Fund (510) to the Big Canyon Cover Replacement CIP Account No: 7511- C6002011. The motion carried by the following roll call vote: Ayes: Council 1\1ember Gardner, Council Member Petros, Mayor Pro Tem Hill, Mayor Curry, Council Member Selich, Council Member Henn, Council Member Daigle 15. PARKING LOT AUTOMATION INFRASTRUCTURE UPGRADE. Finance Director Matusiewicz utilized a PowerPoint presentation to discuss the parking lot technology, multiple pay station use, Smartphone access, proposed locations, benefits of automation, dedicated lot ambassadors, proposed operation changes, and details of the City's parking technology roadmap. He further discussed methods to charge for the parking space even if the patron does not pay for the space. Jim Mosher addressed recent changes to the City Charter regarding prohibiting traffic enforcement systems in the City, including red -light ticketing, and believed that the proposal violates the new provision. He referenced his written comments and believed that the plan needs to be reviewed by the Coastal Commission in order to open it to a wider group of users that will be Volume 61 - Page 88 City of Newport Beach City Council Minutes February 26, 2013 impacted by the proposed changes Council Member Gardner indicated that one of the advantages of the system is that changes can be made relative to the methods of charging for parking spaces and how much to charge. Council Member Petros indicated that this technology has worked in other cities and has resulted in the reduction of traffic and air pollution since users can check a website to see if there are any spaces left. City Attorney Harp reported that the City Charter discusses- "red -light cameras or other automated traffic enforcement systems" because it is the term used in the Vehicle Code related to stopping vehicles in intersections. However, he emphasized that the City Charter only relates to red -light cameras in intersections. Mayor Pro Tern Hill noted that improved technology is also being used in toll roads. Motion by Council Member Henn, seconded by Council Member Gardner to approve Budget Amendment No. 13 -034 appropriating $440,000 from General Fund surplus fund balance to Account No. 0643 -9050 for acquisition and- installation of parking lot automation infrastructure. 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, Council Member Henn, Council Member Daigle 16. REPEAL OF VARIOUS_ MUNICIPAL CODE PROVISIONS: Mayor Curry noted that he asked staff to develop a list of ordinances that may need repealing. He expressed hope,:that this will be a continuous process so Council can routinely look at the Newport Beach Municipal Code,(NBMC) to determine what should be repealed or enacted. City Attorney Harp reported that staff recommends that Council not repeal the local amendment to Section 307.1.1 of.the California Fire Code and, therefore, eliminate the section from the proposed ordinance. Mayor Curry believed that the remaining items in the proposed ordinance will help the City become more business and-'resident friendly, and will provide additional opportunities to reduce the legal burden on residents and visitors. Discussion ensued relative to repealing NBMC Chapter 6.20 (Tattooing Establishment and Operation Regulations),,- and how regulating these types of businesses are handled through Conditional Use Permits. Motion by Mayor Curry, seconded by Council Member Henn to introduce Ordinance No. 2013 -7: An Ordinance of the City Council of the City of Newport Beach, California., Repealing Chapter 2.04, 5.16, 5.34, 6.15 and 6.20, Sections 2.32.010 through 2.32.050, 10.12.020, 11.12.140, and 12.12.060, and Amending Section 5.04.020 of the Newport Beach Municipal Code, and pass to second reading on March 12, 2013. The motion carried by the following troll call vote: Ayes: Council Member Gardner, Council Member Petros, Mayor Pro Tern Hill, Mayor Curry, Council Member Selich, Council Member Henn, Council Member Daigle Volume 61 - Page 89 City of Newport Beach City Council Minutes February 26, 2013 17. REQUEST TO CONSIDER AN AMENDMENT TO THE MUNICIPAL CODE TO REGULATE THE USE OF TEMPORARY POWER GENERATORS. Council Member Gardner believed that there may be a need for the City to have some control over the use of temporary power generators. Assistant City Manager Badum believed that this is not an economical issue but rather a noise issue, and that most contractors arrange for temporary power before a project commences. Mayor Pro Tern Hill noted that there are existing ordinances that regulate noise and questioned the need for another regulation. Community Development Director Brandt stated that the Community Development Department can research how other cities deal with this issue, but clarified that, construction activities are exempt from City noise requirements. She noted that the City allows for the installation of temporary power poles prior to the issuance of: building permits and asked Council for the opportunity to have staff explore reasonable approaches to the regulation. Noting that not many complaints have been received by the City, Mayor Curry believed that direction should be given to allow staff to consider the issue and return to Council with a recommendation. I , City Manager Kiff stated that staff may be able to incorporate a solution to the problem in its Building Permit process, but will return to Council with additional information. XIX. MOTION FOR RECONSIDERATION - None XX. ADJOURNMENT - Adjourned at 9:50 p.m. in memory of Larry Porter The agenda for the Regular Meeting was posted on February 22, 2013, at 7:20 a.m. on the City Hall Bulletin Board located`ciutside of the City of Newport Beach Administration Building. City Clerk Recording Secretary Mayor Volume 61 - Page 90