HomeMy WebLinkAbout01 - Minutes - 9-21-04 and 9-28-04October 12, 2004
Agenda Item No. 1
CITY OF NEWPORT BEACH
City Council Minutes
Adjourned Regular Meeting
September 21, 2004 - 6:30 p.m. RAFT INDEX
k ROLL CALL
Present: Heffernan, Rosansky, Bromberg, Webb, Nichols, Mayor
Ridgeway
Absent: District 4 (vacant)
B. PLEDGE OF ALLEGIANCE — Mayor Pro Tern Bromberg
INVOCATION — Council Member Webb
PRESENTATION — Mayor Ridgeway presented a proclamation to .Aaron
Peirsol, three -time Olympic Gold Medalist in swimming, and the South Coast
Jaycees proclaiming October 2004 as the Aaron Peirsol "Achieve Your Dream
Month ". Mayor Ridgeway also presented Mr. Peirsol with a key to the City.
Rhonda Borth accepted the proclamation on behalf of the South Coast Jaycees.
Mr. Peirsol thanked the City for the recognition, and stated that the Olympics
have been a great experience for him. He advised others to take the advice of
their parents, coaches and friends.
D. CONTINUED BUSINESS
1. INTERVIEWS OF A NEW DISTRICT 4 COUNCIL MEMBER.
Mayor Ridgeway stated that each interview will last approximately 25
minutes. The candidates will be offered a two - minute introduction and
at the conclusion of the questions, a five - minute closing statement.
Mayor Ridgeway stated that the order of the interviews will be
randomly selected, and announced that Ron Winship was unable to
attend the meeting due to an operation. Mayor Ridgeway stated that in
order for the procedure to be fair, the candidates will be kept together in
the Council Conference Room without the ability to hear the other
interviews as they are conducted. The questions asked by the council
members will be pertinent to the selection process, the public will be
allowed to comment at the conclusion of the interviews, and a discussion
by the council members will follow. The candidates will return to the
Council Chambers at this time also. Mayor Ridgeway noted that the
pool of candidates is a qualified pool and that the applications speak for
themselves. He stated that if a new council member is selected at the
current meeting, a swearing -in ceremony will also be conducted.
City Clerk Harkless drew a candidate name from a hat and announced
that Charles Griffin would be the first candidate to be interviewed. The
Council Chambers was cleared of the remaining candidates.
Charles Griffin stated that he has resided in the Eastbluff community
since 1974 and that District 4 includes the prime business and industrial
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City Council
Candidate
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City of Newport Beach
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September 21, 2004
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area in Newport Beach contiguous to the airport. He stated that he
wants to represent both of these aspects of District 4, and that his
experience in developing aircraft gives him an intimate background in
evaluating the effects of airports on both the economy and the quality of
life in the community. He noted that traffic is another concern of his.
Mayor Ridgeway asked what Mr. Griffin felt were the two or three
most important policy issues facing Newport Beach and the City
Council. Mr. Griffin stated that the most important thing is to make a
good master plan for the City. He cited his experience in this area and
the litigation that he was involved in that allowed the CEQA process to
be applied toward private development. Mr. Griffin stated that another
important issue for Newport Beach is prosperity, and that there needs to
be a balance between the adverse and positive impacts of growth.
Council Member Rosansky asked what qualities a council member
should have. Mr. Griffin stated that the qualities should include
honesty, integrity and knowledge. Council Member Rosansky asked
Mr. Griffin to provide the "job description' of a council member.
Mr. Griffin stated that the tasks of a council member would include
decisions on development, balancing the budget, making sure that the
necessary income is available for police and fire protection, providing
library services, and maintaining parks and recreation.
Mayor Pro Tern Bromberg stated that council members represent the
entire City. He asked why Mr. Griffin should be appointed over the
eight other applicants. Mr. Griffin responded by stating that he should
be chosen because of the master plan that is being faced and its
enforcement, his history with the environmental quality act and
environmental impact reports, and his detailed knowledge of aircraft.
Council Member Webb asked what issues will be coming up in District 4
and what thoughts Mr. Griffin had for how those might be handled.
Mr. Griffin stated that the airport is a major issue and that a permanent
curfew needs to be established. He stated that traffic is also very
important.
Council Member Heffernan asked Mr. Griffin if he was for or against the
Marinapark development.
Mayor Ridgeway stated that such questions cannot be asked of the
candidates, because it causes them to be prejudged, biased and not
impartial. Acting City Attorney Clauson stated that generalized
questions about different types of developments in the City can be
asked. Asking a candidate how they might vote on an individual project
that might be coming before the City Council cannot be asked and would
not be appropriate.
Mr. Griffin addressed Council Member Heffernan's question by stating
that when dealing with such a development, projects need to be defined
before opinions can be made.
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In regard to the prior discussion about what questions are allowed and
not allowed during the current interview process, Mayor Pro Tem
Bromberg stated that by asking a candidate about a particular issue
that might be voted on by the City Council in the future, the candidate
has prejudged the issue and been compromised.
Council Member Heffernan asked what would happen if the same types
of questions are asked at a candidate forum. Acting City Attorney
Clauson stated that they could be answered. She explained that it
differs from the current interview process where it might appear that a
council member is making an appointment based on a particular answer
on a project that a candidate hasn't had an opportunity to learn about.
She stated that the election process is different.
Council Member Nichols asked Mr. Griffin how the traffic situation in
the City could be improved. Mr. Griffin stated that it's a difficult
question and one that he's thought about for many years. He specifically
noted that crossing the bay is a vital transportation problem that needs
to be addressed, and suggested that better bypass routes should be
considered for traffic that is not destined for Newport Beach. Mr. Griffin
stated that traffic and solutions to the problem need to be a continued
focus.
For his closing statement, Mr. Griffin stated that he's had a good life
and that his experiences have given him his knowledge and judgment.
He briefly discussed his life in the area, and stated that he wanted to
give back to the community and preserve the history of his background.
City Clerk Harkless drew a name from the hat and announced that
Leslie Daigle would be the next candidate interviewed.
Leslie Daigle stated that she is currently a Planning Commissioner and
that her approach involves reading the reports, reviewing the plans,
visiting the sites, looking at the pros and cons, and listening to all of the
viewpoints before coming to a decision. She stated that she tries to
balance the needs of the City, the applicant and the residents, without
alignment to any particular group. Ms. Daigle stated that she wants to
protect the City's quality of life, and believes that the City's pressing
problems require resolution that is a balance of innovation and
tradition. She stated that she'd like be a strong advocate for her district
and the back bay, and work with each of the council members for the
betterment of the community.
Mayor Ridgeway asked Ms. Daigle what she felt were the two to three
most important issues currently facing the City Council and how she
perceived them. Ms. Daigle stated that one of the issues is water
quality. She stated that Newport Beach is a leader in water quality, is
willing to try new technologies and invest in its programs. Ms. Daigle
stated that another important issue is the John Wayne Airport, and that
the City is looking at sharing in the decision making on the expansion of
the airport by forming a joint powers authority.
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Mayor Pro Tem Bromberg asked Ms. Daigle what sets her apart from
the eight other candidates. Ms. Daigle stated that she is fairly new in
terms of her involvement, but is passionate about getting more involved
and bringing a better quality of life to the community. She stated that
her profession has provided her with experience in dealing with
governmental agencies and local communities, which will also be
helpful.
Council Member Webb asked what issues in District 4 Ms. Daigle thinks
will need to be addressed by the City Council. Ms. Daigle stated that
these would include construction of the new Santa Ana Heights fire
station and community center, the expansion of several churches, traffic,
and welcoming the recently- annexed Santa Ana Heights community to
the City. She stated that the airport and the back bay would also be
included on this list.
Council Member Nichols asked Ms. Daigle her thoughts for improving
the traffic situation in the City. Ms. Daigle stated that she would begin
by continuing the study on traffic improvements that was spearheaded
by former Council Member Adams.
Council Member Rosansky asked what Ms. Daigle felt were the qualities
and qualifications necessary to be a council member. Ms. Daigle stated
that being helpful and accessible would be important. Fortitude is also
important, as well as decision making skills and the willingness to work
as a team. Ms. Daigle stated that an understanding of how government
works would also be important, as would a desire to do the job and
represent people.
Council Member Heffernan asked Ms. Daigle what impact she thinks
having a female on the City Council would have. Ms. Daigle stated that
it's up to the individual interpretations of the council members and what
they believe is appropriate for the community. She stated that a woman
would represent the community in terms of the City's demographics.
For her closing statement, Ms. Daigle thanked the council members for
their consideration and hoped that she presented her interests and
expertise during the course of the interview. She stated that she'd like
to work with each of the council members for the betterment of the
community.
City Clerk Harkless drew a name from the hat and announced that
Gerald Hegger would be the next candidate interviewed.
Gerald Hegger stated that he looks at and evaluates potential issues and
policies by utilizing cost benefit analysis and problem resolution.
Through this method, the appropriate information can be collected and
the costs can be effectively compared.
Mayor Ridgeway asked Mr. Hegger to present his ideas on the important
issues currently facing the City Council. Mr. Hegger stated that the
most important issue is the proposed expansion of John Wayne Airport
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and the negative impacts it would have on the community. He stated
that another issue is the back bay and that it needs to be maintained.
Thirdly, he stated that as the City grows, water is another important
issue.
Mayor Pro Tern Bromberg asked Mr. Hegger what sets him apart from
the eight other applicants. Mr. Hegger stated that each applicant brings
different skills and abilities, and the appropriate individual is the one
who would bring the skills and abilities that could be used most
effectively. He noted that his skills are of a financial nature.
Council Member Rosansky asked Mr. Hegger what qualities and
qualifications he feels are necessary to be a council member. Mr. Hegger
stated that it would be necessary to want and desire the betterment of
the community, and to look at issues objectively. Council Member
Rosansky stated that decisions don't always come down to dollars and
cents. He asked how Mr. Hegger would incorporate the intangibles into
his decisions. Mr. Hegger stated that there are ways to quantify
particular attributes of any issue.
Mayor Ridgeway noted that the relinquishment of Coast Highway in
Corona del Mar made no financial sense. He asked Mr. Hegger to
comment. Mr. Hegger stated that he doesn't know the particulars of
that issue.
Council Member Webb asked Mr. Hegger if there were other issues,
besides the airport, that he feels will be coming before the City Council
in regard to District 4. Mr. Hegger stated he's not aware of the issues
that might be coming up in District 4.
Council Member Nichols stated that the City has continuing traffic
problems. He asked Mr. Hegger what his ideas would be to lessen
the current traffic problems and those that may arise in the future.
Mr. Hegger stated that there are limits on expansion of the roads and
changing what has been done in the past, but that the future can be
affected. He noted that in other cities, changing the direction of traffic
on particular lanes to accommodate rush hour traffic and relieve some of
the congestion has appeared to be effective. He stated that in regard to
growth, he's a proponent of small business and tourism.
In closing, Mr. Hegger stated that he's interested in serving on the City
Council to make a contribution to the community and become more
involved. He stated that he has the desire and the time.
City Clerk Harkless drew a name from the hat and announced that
Timothy Brown would be the next candidate interviewed.
Timothy Brown stated that he has been a resident in Newport Beach for
eighteen years and that in November 2003, he was appointed as a Parks,
Beaches & Recreation Commissioner. He listed some of the issues he
has been a part of since the appointment. Mr. Brown stated that he is
most widely known, however, for his involvement in Leadership
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September 21, 2004
INDEX
Tomorrow. He stated that the mission of Leadership Tomorrow is to
empower citizens to become involved in their community by providing
leadership opportunities, relevant and reliable information, and debate
on current issues common to all communities. Mr. Brown stated that
he's a teacher, by profession, and he provided information on his
educational background.
Mayor Ridgeway asked Mr. Brown what he feels are the most important
issues currently facing the City Council and the City. Mr. Brown stated
that the number one issue facing the City is the threat of expansion of
the airport, and that it needs to be realized that El Toro is no longer an
option. He stated that the issue needs to be addressed and that there
will be pressure to expand service at the airport. Mr. Brown stated that
another issue are those concerning the fragile ecological system in the
area. He stated that the City is looked to for leadership in minimizing
threats to the environment. Thirdly, Mr. Brown stated that the City
needs to look at creative ways to develop.
Mayor Pro Tern Bromberg asked Mr. Brown what sets him apart from
the eight other applicants. Mr. Brown stated that he is fascinated with
public policy and the process that public officials go through to make
decisions, that it would be a challenge for him and is something he
wants to evolve into. He stated that he's an educator and has a
compassion for people. Helping people help themselves is what he does
everyday, that it's important and a function of the City Council, and is
what distinguishes himself from others.
Council Member Rosansky asked Mr. Brown what qualities and
qualifications he feels are necessary to be a council member in Newport
Beach. Mr. Brown stated that the most important one is passion, and
that compassion, interest, time and being proud of where you live are
also important. He stated that some experience in working with staff
and the City Council would also be beneficial.
Council Member Webb asked Mr. Brown to list some of the things,
besides the airport, that are going on in District 4 and will need
guidance or action from the City Council. Mr. Brown stated that there is
always a concern for property values and property rights. He stated
that more parks and possibly a swimming pool are needed, and that
traffic will continue to be an issue and a concern.
Council Member Nichols asked Mr. Brown how the City can improve the
traffic situation. Mr. Brown stated that traffic is an important
consideration and that when development is looked at, traffic issues
have to be addressed. He stated that some streets can be widened, but
that it's a complex issue and traffic problems need a great deal of study
and analysis.
For his closing statement, Mr. Brown stated that prior to former Council
Member Adams' resignation, he had already made plans to run for
District 4 in 2006. He felt that he would have a good chance of being
elected because he can inspire people, and added that he would have
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preferred this to competing for an appointment, which he feels is more
political. Mr. Brown stated that he would approach every responsibility
associated with the appointment with diligence, he would be certain that
he was well informed prior to any debate and, in times of conflict, he
would do what was necessary to build consensus among the council
members. At all times, he would listen to the residents and show
respect for their point of view. Mr. Brown stated that he would
represent Newport Beach with determination and integrity, and inspire
others to become more involved in community affairs by making City
government friendlier and less intimidating. Mr. Brown stated that he
is driven to civic leadership because he genuinely cares about people,
and wants to help others help themselves.
City Clerk Harkless drew a name from the hat and announced that
Barry Eaton would be the next candidate interviewed.
Barry Eaton briefly described his background and stated that he has
been very active in the community, especially during the past ten years.
Mr. Eaton stated that he is active on his homeowners association board,
has served on the Airport Working Group board, was appointed to the
Planning Commission in June 2003 and has also served on the
Environmental Quality Affairs Committee (EQAC) and the General Plan
Update Committee (GPUC).
Mayor Ridgeway asked Mr. Eaton what he feels are the important issues
facing the City Council. Mr. Eaton stated that internally, the most
important issue is the general plan update, which will affect the City for
the next 20 to 25 years. He stated that other internal issues include the
City Hall issue and the budgeting process. Mr. Eaton stated that other
issues that the City is involved in include the expansion of the John
Wayne Airport, water quality, dredging and the local coastal plan.
Mayor Pro Tem Bromberg asked Mr. Eaton why he thinks he stands out
over the other eight applicants. Mr. Eaton stated that he would stand
out because of his work ethic, his history of leadership with his
homeowners association and his experience on the committees
mentioned earlier.
Council Member Rosansky asked Mr. Eaton what qualities and
qualifications he feels are necessary to be a council member in Newport
Beach. Mr. Eaton stated that the individual needs to be intelligent, very
aware, and have the ability to work with others and build consensus.
Mr. Eaton stated that it's also important to have a long involvement
with the City and the City civic process in order to be able to grasp the
issues that come before the City Council on a policy level.
Council Member Webb asked what issues will be coming before the City
Council in District 4. Mr. Eaton stated that the list would include traffic
in the airport area, the Santa Ana Heights redevelopment funds and
other issues in the area, continuation of the efforts of the Corona del
Mar High School traffic task force and Queen of Angels.
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Council Member Nichols asked Mr. Eaton what alternatives are
available to address traffic congestion in the community. Mr. Eaton
stated that the City won't have much choice in the airport area because
of the development being done in the City of Irvine, and that only so
much mitigation can be done. He stated that it's also an issue on Coast
Highway in Corona del Mar. He explained that the traffic phasing
ordinance allows for the possibility of planned deficiencies and with
Vision 2004, that would be the result.
In closing, Mr. Eaton stated that he's not committed to any one group,
but does listen to their viewpoints and does his homework before making
a decision. He stated that when he has a technical issue, he contacts
staff prior to the meeting. He realized that the City Council deals with a
broader range of issues than the Planning Commission, and that he
wont be able to be as focused as a technical person but will need to
become more of a policy person.
City Clerk Harkless drew a name from the hat and announced that
Michael Browning would be the next candidate interviewed.
Michael Browning stated that he's been a resident of Newport Beach for
over 30 years. He stated that he considers himself a service oriented
person and that serving the people of Newport Beach would receive all
of his attention. Mr. Browning stated that he's aware of the issues and
that his experience qualifies him to address the challenges and
participate in finding solutions. He stated that quality of life needs to be
protected, and balance and rationale must be found in development.
Mayor Ridgeway asked Mr. Browning what he feels are the important
issues facing the City Council. Mr. Browning stated that the most
significant issue is the airport, and that the demand for it will grow. He
stated that preserving the quality of life in Newport Beach will largely
depend upon what happens with the airport. Mr. Browning stated that
keeping the harbor clean and environmental issues are also important,
as is the amendment to the general plan.
Mayor Pro Tern Bromberg asked Mr. Browning what sets him apart
from the eight other candidates. Mr. Browning stated that he doesn't
know the other candidates very well, but that he's had a long history of
business experience, and is very active in all forms of negotiations,
entitlement projects and business management challenges.
Council Member Webb asked Mr. Browning what some of the District 4
issues are. Mr. Browning stated that in addition to the airport, the
Santa Ana Heights area is an issue. He explained that the
redevelopment agency is not controlled by the City, and that an
additional area is being considered for annexation, which is the most
challenging issue in the district.
Council Member Rosansky asked Mr. Browning what qualities and
qualifications he feels are necessary to be a Newport Beach council
member. Mr. Browning stated that the individual should listen to all
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Adjourned Regular Meeting
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INDEX
sides, not be influenced by any special interests and diligently try to
reach the best solution for the City.
Council Member Heffernan asked Mr. Browning what his relationship is
to the references listed on his application. Mr. Browning stated that he
has had a business relationship with Mike Harrison for many years and
that he considers Michael Stevens to be a close friend.
Council Member Nichols asked Mr. Browning how the increase in traffic
and growth in the area should be handled. Mr. Browning stated that
traffic is a major concern in the City and is a part of balanced
development. He stated that each project must address the traffic
issues, that he feels strongly about this and that it effects the quality of
life in the community.
In his closing statement, Mr. Browning stated that he's been active in
many types of service and is ready to put in the time that would be
necessary to fulfill his obligation as a member of the City Council.
City Clerk Harkless drew a name from the hat and announced that
Richard Luehrs would be the next candidate interviewed.
Richard Luehrs stated that he's lived and worked in the community for
22 ,years, and that his job as the Chamber of Commerce President is all
about service to the community. He noted the other similarities in what
he does and what is done by the council members, and listed some of the
citizens in the community that he has worked with.
Mayor Ridgeway asked Mr. Luehrs what the most important issues are
that are currently facing the City Council. Mr. Luehrs stated that there
are internal issues such as annexations and Josh Slocums, but that the
external issues, or those that the City doesn't have total control over, are
the issues that have the more significant impact on the community. He
specifically listed water quality issues and the impact of the airport on
the community as being important.
Mayor Pro Tem Bromberg asked Mr. Luehrs if he sees any problem with
him serving as a council member while also continuing his work with
the Chamber of Commerce. Mr. Luehrs responded in the negative and
stated that he can separate himself from his job when looking at the
issues and that he can be objective. Mayor Pro Tem Bromberg asked
Mr. Luehrs what sets him apart from the other applicants. Mr. Luehrs
stated that because of his hands -on experience in the community, he
knows the City staff, the systems, the way decisions are made and how
things are worked out in the community. He stated another thing that
might set him apart is that he already has an established relationship
with several elected California officials and others in Sacramento.
Council Member Rosansky asked Mr. Luehrs what he feels are
the qualities and qualifications necessary to be a council member.
Mr. Luehrs stated that the individual must have integrity, be accessible
to the public, be able to devote the time to studying the issues, be
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INDEX
open and receptive to differing points of view, objectively access those
points of view and come to a decision. Council Member Rosansky asked
Mr. Luehrs if he feels that he will be able to devote the necessary time.
Mr. Luehrs responded in the affirmative and stated that he already
attends many of the same events that are attended by the council
members.
Council Member Heffernan referenced the City Council Study Session of
September 14, 2004, where a restaurant owner expressed dissatisfaction
with some water issues, and asked Mr. Luehrs how he would distinguish
himself as a council member versus his business involvement with the
restaurant association. Mr. Luehrs stated that the grease interceptor
ordinance has been a work in progress and he believes that a
compromise will be reached that everyone will be happy with. Council
Member Heffernan asked how Mr. Luehrs could take a position adverse
to business if he were a council member, but still serving on the
Chamber of Commerce. Mr. Luehrs stated that the grease interceptor
ordinance, for example, already exists and what is being sought is
further compliance. He stated that his role would be to try to gain
compliance by explaining the issues.
Council Member Webb asked Mr. Luehrs what he thinks are some of the
issues in District 4. Mr. Luehrs stated that the list would include a
couple of church expansions, and the impact of Corona del Mar High
School on the surrounding neighborhood.
Council Member Nichols asked Mr. Luehrs how he would handle the
increase of traffic in the community. Mr. Luehrs stated that it's
important for the community to understand that the City is not creating
the traffic. He stated that it's regional in nature and the City should
work more closely with the neighboring cities. He stated that other
things the City can do would include a continued effort with Measure M,
signal synchronization, and making sure that traffic is moving as well as
possible, given the constraints.
In closing, Richard Luehrs stated that he has a great deal of experience
in the community and is the most qualified applicant. He noted,
however, that the only reason he wouldn't be appointed is for political
reasons. Mr. Luehrs stated that too much is at stake to not appoint him.
City Clerk Harkless announced that John Blom would be the next
candidate interviewed.
John Blom stated that he has been involved in the community for many
years, has owned a business in Corona del Mar for over 25 years and has
lived in Eastbluff for 20 years. Mr. Blom stated that he has devoted a
lot of time to preserving and improving the quality of life in Newport
Beach, and that he is involved because he cares.
Mayor Ridgeway asked Mr. Blom what the important issues are that are
facing the City Council. Mr. Blom stated that the biggest issue facing
the City is the airport expansion possibility. He stated that there is
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INDEX
going to be extreme pressure on Newport Beach to change the working
agreement and allow more flights. He stated that another issue is water
quality and the dredging of the back bay, and a third issue is the
mansionization of Newport Beach. He stated that he respects the rights
of property owners to maximize the worth of their property, but that it
also creates additional traffic, people and parking problems.
Mayor Pro Tern Bromberg asked how he would handle a property owner
who wanted to develop his property to that allowed by the entitlement.
Mr. Blom stated that the property owner should be prepared to face the
consequences of more traffic or less parking on the street. Council
Member Bromberg asked Mr. Blom what sets him apart from the other
candidates. Mr. Blom stated that he's a business owner, and sees what
they face as far as government rules and regulations and the problems
with health insurance and workers compensation. He stated that he's a
hard worker and is determined to be successful.
Council Member Rosansky asked what qualities and qualifications are
necessary to be a council member in Newport Beach. Mr. Blom stated
that it's important that the individual has lived in the City for a number
of years, has been involved in the community, has integrity, is truthful
and respects other people's feelings.
Council Member Webb asked what issues in District 4, besides the
airport, Mr. Blom felt would be coming before the City Council.
Mr. Blom stated that the dredging of the back bay is a major issue, as
well as the Queen of Angels expansion. He stated that the people in the
area will need to be listened to and their problems addressed.
Council Member Nichols asked Mr. Blom why a business would have
any more right to park on a street than a resident who pays for the
street and owns it to the center. Mr. Blom stated that businesses don't
have any more rights than residents, some provide their own parking
and they respect the rights of the homeowners in the area. Council
Member Nichols asked how Mr. Blom would address traffic. Mr. Blom
stated that some areas in the City have more problems than others, and
he's not an advocate of moving traffic faster but is an advocate of having
traffic flow, such as can be done through signal synchronization.
For his closing remarks, John Blom stated that he'd bring to the City
Council a retail business persons point of view and knowledge. Along
with being the successful business owner of a photography studio,
Mr. Blom stated that he has the ability to view life through the eyes of
an artist, which involves compassion and the ability to listen and
understand people. He stated that he would bring to the City Council a
more diversified point of view, which would compliment and add to the
ideas expressed by others. Mr. Blom stated that it is important to hear
all sides before making judgments.
Mayor Ridgeway recessed the meeting at 9:30 p.m and reconvened the
meeting at 9:40 p.m with all Council Members present.
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Mayor Ridgeway welcomed the candidates back to the Council
Chambers and opened the item to public comments. He announced that
public comments would be limited to three minutes.
Ann Watt stated that District 4 encompasses the airport area, so it's
important that the council representative be knowledgeable in all things
aviation related. She stated that the representative should be able to
balance the needs of trade, tourism and job creation with the need to
keep John Wayne Airport neighborhood friendly. She stated that the
representative should also be able to understand environmental impact
reports, avoid litigation to the City, be honest, full of integrity, listen to
all sides of an issue and select a solution that has the best long term
interest of the public. Ms. Watt stated that Mr. Griffin is the candidate
most suited to represent District 4 and the interests of Newport Beach.
Henry "Hank" Jordan stated that all of the candidates are qualified
and each one feels that the most important issue is the airport. He
noted that transportation and the master plan were also mentioned.
Mr. Jordan stated that Mr. Griffin is intelligent, sincere, has integrity,
and is honest and dependable. Mr. Jordan stated that Mr. Griffin now
has the time and the passion to give something back to the community.
Jim Percival stated that he is also speaking on behalf of his wife, Mary
Westbrook, and that he has known Mr. Blom for 20 years. He stated
that Mr. Blom is a wonderful person and that it's important to select a
council member that has the ability to make decisions and handle the
various issues that come before the City Council. Mr. Percival stated
that Mr. Blom is a good listener, will listen to all sides, is a businessman
with an artist's sensibility and is passionate about what is good for the
City.
Jack Coldridge stated that Mr. Griffin is intellectually honest,
passionate, suspends judgment until he gets the facts, does his
homework and develops a balanced plan. Mr. Coldridge stated that such
qualifications are important for dealing with the City's general master
plan and the airport. He stated that both are complex issues and
require vision and planning.
2. SELECTION OF DISTRICT 4 COUNCIL MEMBER.
Mayor Ridgeway reminded everyone that in addition to the eight
applicants that were interviewed at the current meeting, Ron Winship is
also a candidate for the position.
Mayor Pro Tern Bromberg stated that if the City Council is unable to
make the appointment prior to the deadline, that the matter will go to
the voters. He stated that it will be a difficult decision and all of the
applicants are qualified.
Council Member Heffernan stated that the appointment is being taken
seriously, is upfront and all of the applicants are to be commended.
Volume 56 - Page 1225
City of Newport Beach
Adjourned Regular Meeting
September 21, 2004
INDEX
Council Member Nichols stated that he is pleased with the applicants
also, and that the decision will be difficult.
Mayor Ridgeway stated that the applicants that are not selected should
not take it personally. He thanked each of the applicants for their time
and effort, their involvement in the City and their desire to become more
involved.
Mayor Pro Tern Bromberg confirmed with the City Clerk that in the
event of a tie, a council member can change their vote by asking for
another vote.
Council Member Rosansky announced that he consulted with the Acting
City Attorney on a potential conflict he may have and that it was
determined that he did not have a conflict and would not need to abstain
from voting. In the interest of full disclosure, he stated that he has
received contributions to his campaign from Mr. Blom, Mr. Brown,
Ms. Daigle and Mr. Eaton, and is seeking the endorsement of the
Chamber of Commerce. He stated that the applicants are all qualified
and it will be a tough decision.
Mayor Ridgeway requested that the council members cast their votes
and present them to the City Clerk.
City Clerk Harkless announced the votes, as follows:
Council Member Heffernan — Leslie Daigle
Council Member Rosansky — Barry Eaton
Mayor Pro Tern Bromberg — Barry Eaton
Council Member Webb — Leslie Daigle
Council Member Nichols — Barry Eaton
Mayor Ridgeway — Leslie Daigle
Mayor Ridgeway thanked the applicants that were eliminated by the
vote.
Council Member Webb stated that Ms. Daigle and Mr. Eaton were at the
top of his list. He stated that he was impressed with Ms. Daigle's
presentation and her knowledge of many community issues, and felt
that she would be open to receiving input from residents and businesses.
He stated that her qualities of being helpful, accessible, making good
decisions and knowing how to work with others would be important.
Council Member Rosansky agreed with Council Member Webb's
comments, but stated that he voted for Mr. Eaton because he's been
around for a long time, has been involved with the City and the
community, and has shown a commitment through his participation. He
stated that the fact that Mr. Eaton has "paid his dues" is persuasive to
him.
Mayor Pro Tem Bromberg stated that his two top candidates are also
Mr. Eaton and Ms. Daigle. He stated that he is incredibly impressed
Volume 56 - Page 1226
City of Newport Beach
Adjourned Regular Meeting
September 21, 2004
INDEX
with Ms. Daigle and knows that Mr. Eaton is familiar with the issues in
the City. He stated that he voted for Mr. Eaton because of his
experience, although he noted that Ms. Daigle is a quick study.
Council Member Heffernan stated that Mr. Eaton is very capable, but
that it would be important to have a woman on the City Council and
that it shows a balance in representing the community.
Mayor Ridgeway agreed that Mr. Eaton is eminently qualified, but
stated that he's looking for a fresh outlook and that a woman on the City
Council would be important. He stated that Ms. Daigle is bright,
articulate, and a quick study.
Council Member Nichols agreed that they are both good candidates, but
that he voted for Mr. Eaton because he admires how he does his job, and
that he has a special background that is good for the City. He suggested
that another vote be conducted.
Mayor Ridgeway requested that the council members cast their votes
and present them to the City Clerk.
City Clerk Harkless announced the votes, as follows:
Council Member Heffernan — Leslie Daigle
Council Member Rosansky — Barry Eaton
Mayor Pro Tern Bromberg — Barry Eaton
Council Member Webb — Leslie Daigle
Council Member Nichols — Barry Eaton
Mayor Ridgeway — Leslie Daigle
Mayor Pro Tern Bromberg asked that another vote be conducted.
Mayor Ridgeway requested that the council members cast their votes
and present them to the City Clerk.
City Clerk Harkless announced the votes, as follows:
Council Member Heffernan — Leslie Daigle
Council Member Rosansky — Barry Eaton
Mayor Pro Tern Bromberg — Leslie Daigle
Council Member Webb — Leslie Daigle
Council Member Nichols — Barry Eaton
Mayor Ridgeway — Leslie Daigle
Mayor Ridgeway congratulated Ms. Daigle.
3. ADMINISTRATION OF OATH OF OFFICE.
City Clerk Harkless called newly appointed Council Member Daigle
forward and administered the Oath of Office prescribed in the State
Constitution. Council Member Daigle signed the Oath of Office and took
her seat at the Council dais.
Volume 56 - Page 1227
City of Newport Beach
Adjourned Regular Meeting
September 21, 2004
Council Member Daigle thanked the council members and stated that
she is looking forward to working with each of them for the betterment
of the community and addressing the concerns of her constituents.
E. PUBLIC COMMENTS - None
F. ADJOURNMENT - at 10:20 p.m.
The agenda for the Adjourned Regular Meeting was posted on September 10,
2004, at 1:00 p.m. on the City Hall Bulletin Board located outside of the City of
Newport Beach Administration Building.
City Clerk
Recording Secretary
Mayor
Volume 56 - Page 1228
INDEX
City of Newport Beach
Adjourned Regular Meeting
September 21, 2004
INDEX
THIS PAGE LEFT BLANK INTENTIONALLY.
Volume 56 - Page 1229
CITY OF NEWPORT BEACH
City Council Minutes
Regular Meeting
September 28, 2004 - 7:00 p.m.
STUDY SESSION — Cancelled.
CLOSED SESSION — Cancelled.
INDEX
A. RECESSED AND RECONVENED AT 7:00 P.M. FOR REGULAR MEETIN_Q
B. ROLL CALL
Present: Heffernan. Rosansky, Bromberg, Webb, Daigle, Nichols, Mayo:
Ridgeway
Absent: None
C. CLOSED SESSION REPORT— None.
D. PLEDGE OF ALLEGIANCE — Coun1lember Daigle.
;.
V% Y+
\y E. INVOCATION — Mayor Ridgeway.
F. PRESENTATIONS
Presentation of plaques to odtgoing Board and Commission members.
wn...
Mayor Ridgeway repotted that �Va4t wall �, was on the Board of Library Trustees
from July 1, 2000 to Ju'* '� '2004d ented Mr. Howald with a plaque. He
added that, he_ wag also vef.. ;anstrumen a in obtaining the library grant for the
Joint use n.•.
j prolec{i�al MarinerB•y' .}braU. Mr, Howald thanked Council for their
supppr� on the pro)A.t.
*W"id, TMa eway reported thaftyn Belasco was on the City Arts Commission for
Ms. BelaA indicated that the Concerts in the Park was her pride
and joy, "d-that Shakespeare by the Sea extended from that. She stated that she
was one oiiFms�,,f3oundei's of the Newport Beach Arts Foundation and will continue
with the Artsi.Cpyodation. She added that she will miss working with the City
and her fellow Ommissioners.
Friends of the Library Check Presentation. Barbara Day, President of the
Friends of the Library, stated that they have over 800 members, of which, 100
work in the store every month. She added that they are open seven days a week,
run four book sales a year, and process about 250,000 books a year. She reported
that they are giving the library a check for $200,000. She added that they are also
one of the beneficiaries of the .Atkin Taylor Trust and have pledged $100,000
towards building the children's room in the Mariner's Library and $100,000 for
construction costs and overruns. She thanked the people who donate books and
the customers. She believed that they are one of the real jewels of the City.
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City of Newport Beach
City Council Minutes
September 28, 2004
Harry Hamilton stated that, on behalf of the Board of Library Trustees, they
gratefully accept the money. He stated that they are deeply grateful to the
Friends of the Library for all their hard work and expressed appreciation to those
that buy books.
Corona del Mar Centennial. Peggy Fort, Executive Director of the Corona del
Mar Centennial Foundation, invited the entire City to attend the Centennial
Celebration. She announced that it will be held October 14 to October 17 and
highlighted the events that will take place over the weekend. She stated that
people can get more information by calling the Centennial Foundation at
675 -0501, visiting their website (www.cdm2004.com), or emailing them at
info@cdm2004.com. She reported that they have a volunteer orientation meAng
tomorrow at 6:00 p.m. at Sherman Gardens and a committee meeting on October
6. She displayed the centennial tile and reported that it can he purchased at Color
Me Mine or people can contribute to the donor wall at the Centennial Plaza:
G. NOTICE TO THE PUBLIC
H.
MEMBERS WOULD LIKE PLACED ONt'A_- FUTURE AGENDA FOR
DISCUSSION, ACTION OR REPORT (NON - DISCUSSION ITEM):
• Mayor Ridgeway introduced newly- appointed C01oncilMemher Daigle.
• Council Member Heffernan anno4 iked- that the Friends of the Library
need more books. p
• Council Member Heffernan providet� information regarding early voting in
the County from October 5 to October 29. lie stated that more
information can 'be obtd' d by calling the City Clerk at 644 -3007.
• Council 1111e~in &Rosansky requesied.gh update relative to the Santa Ana
River dredging ject. A4 �i City Manager Kiff stated that the
proposal would na�x any tru'6VW'but would store material at the mouth
(] ,ind use`a Akedge to liquefy the material, and then place it in a
pipe to g6- a offshor Axsposal zone.
.1 Council Memr Rosaii ky stated that trucks that are painted with
1 boards are g parked in residential neighborhoods and are not being
is d He in ted that they are also parked in driveways, specifically
at` �� and lboa Boulevard. He requested a report about what the
City 4"o about this. Acting City Attorney Clausen indicated that they
are wor _ g on a way to regulate this through amendments to the sign
code. Sire added that they are also looking at constitutional issues related
to trucks with signs on them. She noted that the City only has provisions
regarding parking on public streets.
Mayor Pro Tern Bromberg reported that, at the last Council meeting, it
was announced that the City arrived at a settlement with Irvine regarding
the Scholle project in which the City will receive $396,000 for traffic
mitigation measures at Jamboree and MacArthur. He credited staff and
EQAC for their work in coming to this solution. Mayor Ridgeway clarified
that the agreement for the money was with the Scholle proponents, not
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City of Newport Beach
City Council Minutes
September 26, 2004
the City of Irvine.
Mayor Pro Tern Bromberg noted that the City adopted the First Battalion
First Marines from Camp Pendleton. He announced that, on October 26,
there will be a "Mess Night" at the Balboa Bay Club for $200 per person.
He stated that they expect to have a surplus of $20.000 to $30,000. He
noted that the Marines will be going back to Iraq in December and that
the surplus will be used to help their families. He stated that the cost of
the tickets also pays for a Marine to attend the event. He indicated that
tickets can be purchased by calling 644 -3202.
Council Member Webb stated that Orange Coast CvUegc and the
Sanitation District are looking at constructing a pedestrian, bridge over
Coast Highway. He noted that Caltrans has indicated to them that they
would need to have input from the City. He asked that sumeone;from
Public Works work with the Sanitation District and Orange Coast Coi`tege
on the details.
Council Member Webb stated that Council. designated him to attend the
League of California Cities Conference two weeks ago. He. announced that
the City was presented with the Helen Putnam Award for the
Administrative Services Department Master Customer Identification
Program. Council Member Webb also reported that the League is
supporting Proposition 1A to help protect local finding fr+oin the State and
provided each Council Member wits all�top"ition 1A brochure.
Council Member Nichols stated that Corona de.1s113ar needs more sand, as
does other commurnueg further south.
I. CONSENT CALENDAR
READING OF AfINUTESiOKDfNANCES AND RESOLUTIONS
1. MINUTES OF THE ADJOURNED REGULAR AND REGULAR
MEE71NG OF SFMMBER 14, 2004. Waive reading of subject
minutes, ajiprove as wiitten and order filed (Council Member Daigle
abstained)i;
2. READING OFcORDINANCES AND RESOLUTIONS. Waive reading
in'full of all or8nances and resolutions under consideration, and direct
City Clerk to read by title only.
ORDINANCE I? I
3. TRAFFIC CONTROL O N
2004.22 amending Section
Firenze between Via Lido
bound traffic only.
ORDINANCES FOR ADOPTION
VIA FIRENZE. Introduce Ordinance No.
12.52.070 of the NBMC to designate Via
Soud and Piazza Lido as one -way, northeast
4. REVISION OF PARKING METER ZONE IN MARINERS VILLAGE.
Adopt Ordinance No. 2004 -20 to amend Parking Meter Zone 2 in
Volume 56 - Page 1232
INDEX
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I(100 -2004)
City of Newport Beach
City Council Minutes
September 28, 2004
Municipal Code Section 12.44.020 to add the "Northerly side of Avon
Street from Riverside Avenue to 150 feet westerly "; and to amend Section
12.44.040 to establish fees for parking meters on Avon Street.
5. Removed at the request of an audience member.
RESOLUTIONS FOR ADOPTION
6. Removed at the request of Council Member Nichols.
7. Removed at the request of an audience member.
8. Removed at the request of Council Member Webb..
9. Removed at the request of staff.
10. Removed at the request of staff.
CONTRACTS AND AGREEMENTS
11. IRVINE AVENUE 24 -INCH WATER MAIN.. REPLACEMENT —
APPROVAL OF PROFESSIONAL SERVICES, AGREEMENT WITH
TETTEMER & ASSOCIATES. .Approve a Pmle�ssional Services
Agreement with Tettemer & tes of Trvine for cogWenng services
+..
for the Irvine Avenue 24 -ine y, •lain ReplacetBCnt project at a
r,
contract price of $148,308 and authorize t�e.Mavor and City Clerk to
execute the agreement.
12. Removed at thQAftiht of Council Member Nichols.
MISCELLANEO(J,%ACTION&
13. Removed at t cst of cil Member Nichols.
14. II
d 'k.: � at the re y t of Council Member Nichols.
T 4WENDMF 4T TO ACCEPT A CHECK FROM THE
)S V THE NEWPORT BEACH LIBRARY AND
PRIA FUNDS TO MAINTENANCE & OPERATIONS
;T AC UNTS FOR FY 2004/05. Approve a budget amendment
14) increasing revenue estimates by $93,000 in 4010 -5901, Private
CdtFitributions, and increasing maintenance and operations
estimates by $93,000 in Division 4091, Friends.
16. ACCEPT FEMA SUPPLEMENTAL EMERGENCY OPERATIONS
PLANNING GRANT. 1) Accept the 2002 Federal Emergency
Management Agency Supplemental Emergency Operations Planning
Grant for $11,283 in funding for emergency operations planning; and 2)
approve a budget amendment (05BA -015) increasing revenue estimates by
$11,283 in 2355 -4894, and appropriating those funds into Fire Department
account 2355 - 82001.
Volume 56 - Page 1233
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(38/100 -2004)
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(100 -2004)
City of Newport Beach
City Council Minutes
September 28, 2004
17. APPROVE PURCHASE OF PDSI TELESTAFF SOFTWARE.
Approve the purchase of PDSI Telestaff software for a total not to exceed
$93,870 (contract price of $85.338 + 10% contingency).
18. Removed at the request of Council Member Rosansky.
Motion by Mayor Pro Tem Bromberg to approve the Consent Calendar, except
for those items removed (5, 6, 7 8, 9, 10, 12, 13, 14 and 18), and noting the
abstention on Item 1 by Council Member Daigle and the abstention on Items 9
and 10 by Council Member Rosansky.
The motion carried by the following roll call vote:
Ayes: Heffernan, Rosansky, Bromberg, Webb, Daigle, Nichols,. Mayor
Ridgeway
Noes: None
Abstain: None
Absent: None
J. PUBLIC COMMENTS
Allan Beek apologized if his signs that he will be putting up. which say
"Give Away Public Bayfront - 1, No". offends anyone
Dolores Otting, Council candidate. noted that the pump station that is
operated by the Sanitation District had a spill a few weeks ago and asked
what happened to their backup' system. Stie, requested that Mayor
Ridgeway, as a representative on 'the Sanitation District, find out what
happened. She believed that the City should maintain or test the
Sanitation District's generators. Mayor Ridgeway stated that a public
report will probably he available in the hkxt four weeks and reported that
he will bring it to the meeting when. it is available. He added that the
newspapers will also receive the report.
Tom Billmg stated that the Irvine Family gifted the land years ago from
the Balboa. Bay Club to the Arches for public use, but most of it has been
converted to commercial and private use. He reported that the City will
soon be voting.on Measure L to modify the General Plan to change
Marinapark from Recreation and Environmental Open Space to Marine
C&3xmercial. He stated that, once this is done, the land can be developed
and believed that another piece of public land is lost. He indicated that
there is.iimited harbor front access and scarcity of open space on the bay,
and the -City is built out. He stated that no amount of the developer's
money can change the fact that public parkland and open space must be
preserved. He urged every voter to vote "no" on Measure L.
Mark Tabbert stated that Mayor Ridgeway spoke about all the
opportunities the public had to be a part of the GPAC process. He
indicated that he wrote the Daily Pilot about a member of the public being
roughly treated at a GPAC meeting he attended. He stated that he did
not take offense to the Mayor's remarks, but added that he was pleased to
hear his comments at the last meeting. He believed that the letters that
appeared in the Daily Pilot after his letter and the Mayor's comments
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City Council Minutes
September 28, 2004
prove that his letter touched a cord that the public's desire for a certain
type of future is at odds with real estate, legal, and business interests as
presented by GPAC. Mr. Tabbert presented and read a statement that he
hoped all the Council Members and those running for Council will sign
regarding the future of Banning Ranch.
Mayor Ridgeway clarified that his comments were directed to another
individual regarding the Local Coastal Plan (LCP) process, not GPAC or
GPUC.
Pam Murray stated that she is a Marine Mom and suggeaed thk$ the
surplus money for the Marine families also be used to purebiii,e web , s
for the troops.,' ,
Ms. Murray stated that she is a property owner that livts'`� lose
proximity to Marinapark. She indicated that she auPpotts the p�d
hotel and resort, and does not support a plaperr an aquatic park.
launch, and soccer and t•ball fields. Shpresscd concern about t S
noise, traffic, and parking issues that x'ou18 bring, noting thal
traffic for a hotel runs opposite of beach.$aiSC She lieyed that a resort
would be an asset to the area and will help prcipd,'2he revitalization of the
Peninsula.
Jan Vandersloot indicated th
have trouble finding parking w
He believed that a park could provide
that, if the City is to have public acct
maintain its Recreatitln and Enviry
that, if the voters ,v es" on Mel
select few. i
However. "no" vote �
citizens, At hildren, d their grar
He urgeple _ City 60
Measure L.
who don't livejorb the Peninsula
nt to visit the.'beach or the bay.
arkgig spaces. He stated
t N and bay, it ought to
ntal Op Space area. He stated
e L, it" wffl only be available to a
keep the land available to the
dren no matter where they live.
p the parkland and vote "no' on
Nome ated the has been watching this issue on cable and
wanteecord g opposed to building a hotel at Marinapark.
He belthe la should be kept as open space to build a park
he causgive , way, the City cannot get it back.
Watts sta that she is working with www.ocmil.com who is trying
to n the . e housing at El Toro for military families. She noted that
the t nd sometimes does not cover the cost of rent, and when it
does. t is very little for other expenses. She noted that over 1,000
units Qf ase housing sit empty, but taxpayers continue to pay for them.
She reported that Steve Rose of Tustin's Affordable Housing made an offer
to the Department of Navy to buy the units, renovate them at no cost to
the taxpayer, and rent them at below market rates to the troops. She
added that Congressman Cox is also working with them. She suggested
that people call the Congressman's office to let him know they support his
effort to reopen E1 Toro base housing for our troops and encouraged
Council to draft a resolution to send Congressman Cox.
Volume 56 -Page 1235
INDEX
City of Newport Beach
City Council Minutes
September 28, 2004
INDEX
John Hedlund stated that he is a transplant from Glendale. He reported
that he was active in Glendale city affairs, and was instrumental in
forming the Glendale Partners to help the city look long range and to fund
studies. He believed that, in order to have a vital city that responds to the
needs of the community, it needs managed, intelligent growth. He
indicated that he served on the redevelopment agency in Glendale and
they would consider the Marmapark area a blighted area. He believed
that a hotel would offer community rooms, improve the Girl Scout House,
update the American Legion, and provide more parking.
Tom Birch stated that he is a colleague of Mr. Hedlund's Ile indicated
that he saw a presentation by Mr. Sutherland and believed that big project
would be an asset to the community since the hotel was luw density and it
provided an improved Girl Scout facility and increased parking. He noted
that he is a member of American Legion Post 291 and stated that it also
would get many benefits. He asked that people consider voting "yes". on
Measure L.
Don Regan stated that he has 16 grandchildren who have all slid down the
slide at the tot lot, believing that they are the oily 16 of maybe 30 people
who have used it in the last three years. He believed that the project
would upgrade the facility. add parking, be more usable to the community,
and be good for the tax base. Ile stated that there is a large sentiment in
the community for this type of use and facility on the property.
John Buttolph, Council candidate. agreed that. .a park has no economic
return but took issue that this is what it is c:oTnm' - 'down to. He asked if
the City is about taking open space in, order to maximize economic return.
He stated that he realises that cities need to make revenue, but this does
not mean that' government advocates its responsibility as stewards of
public parkland. He urged voters tar vote "no" on Measure L. Mayor
Ridgeway pointed out that five acrps is currently taken up by a
mobilchome pnik, --
Lauiki%etz noted that Council is also stewards of an entire community.
f She staEett'Uat she wae;inAially hesitant about this project because of
concerns shi.bad fur the;American Legion, but noted that the Legion will
benefit from iil,,a community center will be added, the hotel will bring in
revenue. and th. contiguous properties will probably spruce up which will
'increase property values. She encouraged people to support Measure L.
Slie added that' he City has an abundance of parkland, reporting that the
Cityfiii`e :the Back Bay, 32 parks, and two more that are coming onboard.
She stated' {hat the Coastal Commission would also agree with this.
Joe Repus stated that Mr. Sutherland said at a Peninsula Point
Homeowners Association meeting that he will spend up to $1.5 million to
remodel the American Legion Hall and another $1.5 million for a 6.200
square foot combination community center, oasis center, and Girl Scout
House. He indicated that Mr. Sutherland has State tax liens, IRS liens,
and judgments, and asked how the City could give him a $100 million
piece of property. He stated that Mr. Sutherland is not an architect, a
designer, or a developer. and that no one has heard of Steve Sutherland.
He believed that the City has lost close to $3 million to date on
Volume 56 - Page 1236
City of Newport Beach
City Council Minutes
September 28, 2004
Marinapark. He stated that the Marinapark tenants would've been
paying $1,529,000 a year and they offered to pay $1.7 million. He believed
that, until the hotel goes through, the City will now be wasting $700,000 a
year.
K. ORAL REPORTS FROM CITY COUNCIL ON COMMITTEE ACTIVITIES
Ad Hoc General Plan Update Committee (GPUC) - None.
Local Coastal Program Certification Committee - None.
Newport Coast Advisory Committee - Assistant City Manage; Kill repoAed
that they met September 13 and will meet again on October 4 ay5:A.. m. at the
Newport Coast Elementary School. He stated that they've beefs worltit;g on the
Newport Coast Community Center site design and this will come before.(kouncil
for comments and approval. He added that the discu _ tha landsca
PP Y p'tsf - ,
Newport Coast Drive and the plan is currently in Public Works 'Mr. Kiff sfafea.
that the Newport Coast Elementary School loop road was also discussed. Coun&W
Member Heffernan added that NCAC adopted a, resolution to not divert
construction traffic from Ridge Park Road so they could see hoar the loop road is
working. He stated that they feel that the signalized ini4faection at the school is a
better turning point for construction traffic. Further, the road is also wider than
other road alternatives.
Mariners Joint Use Library Ad Hoc Stec g Committee` - Public Works
Director Badum reported that they are awaifing- final, approval from the State
Library Board, but they are poised to awaH the ceintrad:%;October or November.
Aviation Committee - Mayorl'.ro Tem Bromberg announced that there will be a
'9
meeting on October 4 at 8:30 a.a! in the Friends Room at the Central Library.
Telecommunicaejoul,Comt Coyncs7'Member Heffernan reported that
the committee met IaAweek: He's' that they received an explanation from
their outside counsel as toe the cab5t� `anchises are not likely to get extended.
He rep �.fhut, cell pro '. attended the meeting but would not provide
exam s of rent:�aatqunts. ted that the City established a range and
re ed that there " -eight pe ng cell contracts to consider.
L. LAMUNG COMMISSI ON AGENDA AND ORAL STATUS REPORT
19. �PE�WNING COMMISSION AGENDA FOR SEPTEMBER 23, 2004.
Plammng(o15rector Temple reported that three items were continued. She
noted that the Gates residence and St. Andrews Presbyterian Church
items were continued without discussion. Regarding the condominium
conversion and tentative tract map for a seven unit apartment project at
329 Marguerite Avenue, she indicated that the Commission requested new
analysis and continued the item to October 7.
Ms. Temple reported that the use permit for the Balboa Theater was
approved with no testimony or comment.
Volume 56 - Page 1237
INDEX
(100 -2004)
City of Newport Beach
City Council Minutes
September 28, 2004
Ms. Temple reported that the Commission recommended approval to the
City Council of the general plan amendment, zoning amendment, use
permit, traffic study, and environmental document for St. Mark
Presbyterian Church. She stated that this will be brought before Council
at the October 12 meeting.
In response to Council Member Nichols' question, Ms. Temple confirmed
that there are seven apartments at 329 Marguerite Avenue that will be
converted to condominiums. She clarified that the City allows conversions
for any multi - family project.
M. CURRENT BUSINESS
20. MARINAPARK RESORT & COMMUNITY PLAN MEMOR&-NDUM
OF UNDERSTANDING (MOU) — TERM SHEET.
Contract Attorney Burnham reported that Kim T}totnpson of Rutan &
Tucker who is the special real estate counsel Is in attendance to answer.
questions, but Economic Advisor Cal Hollis is not present tonight.
Mr. Burnham stated that Council appointed a subcommittee consisting of
Mayor Ridgeway and Council Member Heffernan to talk with the
Marinapark proponent about posuhle lease terms and.conditions so the
voters could be informed of the terms prior to the elecSion; and to also
determine whether the revenue: g ;eXated through the lease terms and
conditions would be comparable � the foiecast_in the. fiscal impact report.
He indicated that an MOU and a Craft of'tihe teim sheet are included that
represent the status of those discusmon8 and a summary of the issues. He
pointed out that - thee. was no conceptual agreement on a number of
issues, including the amount and fknin�_ of option considerations, the
method by which the Cif would incur th& it had no obligation to provide
services or arnPaiities t6a&-1,imes1tare owners in the event the property
went into defauk 4 nd the } tnd amount of the percentage of rent
the City would receive from t�wtional units. Mr. Burnham reported
L44 the &,drafted aii.;iW��U but walked the fence between not wanting to
commit the City to a patar term or condition, and giving the voters a
level of coIrela or confnce that they could rely on these terms and
conditions wereo vote on this project. He stated that most of the
t'�'scussion F to t he fiscal analysis included the base rent and the in
N4- ..Transient decupancy Tax (TOT) that the City would receive from the
frattgpal unitAnd the TOT that the resort would generate.
Mayor 1W eway noted that the lease does not provide for the standard
return.19rproperty taxes and/or TOT. Mr. Burnham confirmed that, except
for the supplemental rent, these terms are above and beyond what would
represent the in lieu hotel tax. Beside the vote on November 2, he stated
that staff and special counsel acknowledge that there are a number of
issues that need to be resolved before any agreement is signed, including
clarification that Mr. Talla has withdrawn, the nature of the entity that
remains, and the identity of the financial partners that need to be brought
on board.
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C -3389
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Mayor Pro Tern Bromberg noted that MOUs usually don't deal with leases.
He asked what the MOU gives Mr. Sutherland if the Mayor signs the
document. He further asked if the City is bound to deal with
Mr. Sutherland if the measure passes. Mr. Burnham indicated that, in his
opinion, the City is not bound to deal with him if the measure passes.
However, the MOU does not clarify that issue, believing that it may be
appropriate for the MOU to acknowledge that currently there is some
question as to what Mr. Sutherland's rights are vis -a -vis the City and the
City's obligations to Mr. Sutherland and STH, the entity the 2000 and
2003 agreements were signed with. He reported that he asked
Mr. Thompson to look into those questions and that thev`'are, not
comfortable giving an opinion on any of those issues riglit now He
indicated, however, that the MOU would commit the City to use as a basis
for further discussions, the $1.1 million in annual rent, He nofed'.that Mr.
Hollis has indicated that this is fair market rent for this propeity, given
the use and other provisions outlined in the staff ivpvrt.. He ,;tated that
the items in the term sheet that represent eontrartual eommitments work
to benefit the City.
• ik
Mayor Pro Tern Bromberg stated that. if `-Measure L is approved in
November and the City chooses not to do business with the developer, he
wants to be sure that the City is not locked into something in the event
those contingencies occur. Mr. Burnham noted that Council entered into
an exclusive negotiating agreeii"k in 2000 and 2003 with Sutherland
Talla Hospitality after a length tie t for proposal (RFP) process.
However, since that time, there 'itaveiGhgnges id the nature of the
entity. He reiterated that \lr.',.tThompsonj ' is not comfortable telling
Council what the rights and dutiek. are with respect to the City and Mr.
Sutherland. He statea that, if this is approved by the voters, Council
needs to have:a comfortlevel that tlik o le they are dealing with are of
good moral;laracter, have the finartability to construct the entire
w
project imliit�, the aim>n>;autp center and all the public improvements,
and the ability to' ate the tesoi# as a luxury resort. He indicated that
this type of prote comes first. from making sure that the people with
who re dealiri$ptith are capable in all of those respects. Further,
this can eve d tfi negotiations of the terms and conditions of
the option. eported that, the way the term sheet is set up, the option
cannot be exere*ed until Council has received evidence that there is a
struction loaf' a contract with a luxury resort manager or a luxury
th-t manager ' ns the facility, and other levels of protection to ensure
" 's res will be constructed as it has been presented with
appr •aterials and finishes, and it will be operated in a way that is
a credi the community. Mr. Burnham stated that those levels of
protec exist in the term sheet and they would be included in the option
agreement that is subject to Council approval. He emphasized that, when
the MOU was drafted, it was an attempt to walk the line between giving
the voters a level of confidence that these were terms and conditions they
could rely on without obligating the Council to sign a particular lease with
a particular entity.
Kim Thompson, Rutan & Tucker, stated that they need to look into the
issue of authority and who signed the document, and the effects of what
has happened since the 2000 and 2003 agreements. Regarding the MOU,
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he believed that there needs to be some tweaking done to the language
before it is adopted. For example, he stated that he would change the
wording in Section 3 (Future Negotiations).
Mayor Pro Tem Bromberg asked if the MOU is premature. Mr. Burnham
indicated that, based on what he has seen over the last couple of days and
the discussions he has had with Mr. Thompson, he believes that there are
changes to the MOU that should be crafted before it is approved by
Council.
Mayor Ridgeway asked if this has to be called an MOU and suggested
calling it a proposed term sheet. Mr. Burnham stated that the idea of
having discussions preceding the election were not to comtniC Council or
the proponent to a particular lease, but to give the voters a broad brush of
what the business deal might look like if Measure L were approved. He
believed that the MOU probably goes beyond where it needs to go and
should be revised.
In response to Council Member Rosansky t, question.,, Mr. Burnham
indicated that neither the 2000 nor 2003 agreements 'required the City to
enter into an MOU prior to the election. ]le! stated that Council could
have a receive and file item that deals with the 5tAtu¢ of the negotiations
to date. He noted that there was a desire by sonui1ndividuals to give
greater credence to the status of the negotiations rather~ Lin a statement
of terms and conditions so there i9.ao. alternation of`the terms and
conditions at a future time. Council Meiaiber..Rosansky stated that he
doesn't want to be bound w anything until`arl' agreement has been
negotiated. Mayor Pro Tem Bromberg pointed out that last year Council
promised the public that..a number of things would occur before this went
to a vote, including having proposed lease terms. However, he noted that
they never seid there would he an MUU or an agreement regarding the
proposed lease Terms
Mr. Burnham staiectihat they can simplify the term sheet and focus on
the core issues and teii and then bring it back as a receive and file item.
Cuuncil Me igl Heffernii i stated that he and Mayor Ridgeway are on the
negotiating ttVft and -have different opinions about the measure. He
indicated that 9d thoughtt that, once this was on the ballot, they'd know
the feasible andomplete outline of terms, i.e. who the tenant was, their
background. essentially what the lease might be. He noted that they
Lim met in.early July. He believed that, in order to create a document
that biitdii the City under an MOU, it is hard to use best efforts,
commercially reasonable efforts, or good faith efforts when you don't have
all the terms. Further, the process should be scrapped since it is too late
to enter into intense negotiations to develop the full points. He noted that
he asked who the tenant was going to be five weeks ago.
Motion by Mayor Pro Tem Bromberg to continue the item to the
October 12, 2004 Council meeting and direct staff to bring the item back
as a receive and file item.
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INDEX
Mr. Burnham confirmed for Council Member Nichols that the contract
states that STH has the sole negotiating right if this is approved by the
voters. He stated that the project would generate about $2.2 million or
$2.3 million when the resort stabilized if you assume a $1.1 million base
rent, look at the percentage rents, and assume the projections from PKF
are correct relative to room rates and occupancy. He noted that a lot of
issues arose during the discussions, some of which involve the fractional
units and how those would be structured to not impact the hotel parcel
and vice versa so the City wouldn't have any additional obligations.
Council Member Nichols noted that timeshares were not in the. original
contract. He expressed concern that the developer could pull moitevout at
an early date and that clear beach access may be inhibited ift the center
and at the ends of the hotel. Mr. Burnham stated that this ispot the way
he understood the project was going to be designed since its not',supposed
to go beyond the current development line. He agreed that the 2000 or
2003 agreements did not reference fractional units or timesharesj; but
reported that the EIR contained an assumption that the project might
include up to 12 fractional units.
Council Member Heffernan stated that Mr. Sutherland has spent a lot of
money and effort on this project. He emphasized that he wants to be fair
and present the terms appropriately, and that it is not his objective to
scuttle the project by presenting harsh terms. He stated that.he wants to
present complete terms that are fairand agreed to by botf sides.
Joe O'Hora believed that the MM traiescends the debate about parks and
hotels; that the first line can be construed aes fiscal malfeasant and failure
to exercise the fiduciary responsibility'iequired of elected officials; and all
citizens agree Ufat;tW, City muA stop negotiating with an unqualified
individual and an entity. that doesn't exist. He stated that his legal
advisors med that,Sutherland Talla Hospitality LLP is a non - entity,
believin 'ihc city,A#SmeY's officeknew this. He believed that these
agreements will 14d to the` itr of 8.5 acres of designated parkland.
..:
He stated that hs.�ad Mr. Suierland's financial and experience book,
at he is ualifed to undertake this project. He took issue
with tht� andf�ams, and believed that the City will be more
deeply yinv vkd in quotionable actions and relationships with this
document. Hestated tAt he has been advised that such activity, past and
sent, could 14e sufficient grounds for rendering all previous agreements
this indivinal and company null and void regardless of the outcome
John Bph stated that he is running for City Council largely because of
what gees in this Council's activities with respect to hotels. He
indicated that he reviewed the agreements that the City has with
Sutherland Talla LLP and noted that an LLP can only be formed by
lawyers, accountants, or architects. He stated that Council and the City
Attorney know that there is no LLP, adding that the Acting City Attorney
has never seen evidence of the LLP. He stated that Council can walk
away from this deal at anytime and the other person cannot enforce it. He
believed that now the public is compelled to vote on this because Council
passed on it and entered into an agreement with a non - existent entity.
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Stephen Sutherland reported that Sutherland Talla never was an LLP
and he never presented it as an LLP. He stated that Sutherland Talla has
never been anything more than an agreement between himself and Mr.
Talla to proceed on this project since 1999. He indicated that a little over
two months ago, he discovered that Mr. Talla had a business investment
that he was uncomfortable with, so he asked him to withdraw from the
partnership. He pointed out that the personal attacks he has gone
through for the past five years are without basis. He agreed that this item
needs more study and should come back at a future meeting.
In response to Mayor Ridgeway's question, Acting City Attorney Clauson
reported that Mr. Buttolph came by her office yesterday requesting the
incorporation documents. She stated that she told him that s4 was not
under the impression that Sutherland Talla Hospitality wax a c*oration
or an LLP, but a partnership. Further, from her review of the agreement.
the City didn't have an agreement with Sutherland Talla Hospitality. LLP.
She stated that the general partnership was noYnoted.
Mr. Burnham reported that the amended 2003 agreement is with
Sutherland Talla Hospitality, and does not state I.I.P: He indicated that
he doesn't have a copy of the primary agreement with him at this time.
He stated that Mr. Thompson confirmed that LLP's are for purposes of
architecture or law and that Mr. Sutherland, to his knowledge, has never
represented himself as an U He_statrd that he cannot explain why the
original agreement had that:`'t`epiuoentation. He ' indicated that
Mr. Sutherland told him that there Kss_ a verbal _partnership between
himself and Mr. Talla. He reported that Mr. Thompson is sorting through
the legal significance of all of the thinga'being said this evening.
1.
In response to Council Member Webli:'s questions, Mr. Sutherland stated
that he was vice president of a local ax- tectural firm in the late 1980s,
he began his own arc:hitectiiral firih in 1990 with a local architect and was
the president of that corpoi•atioiiT`Ile indicated that they designed and
built projects in the United States: Mexico, and Spain. He stated that he
haesipk k pf letters from clients that he would show Council privately
because be does not want-the opponents of the project harassing his
former clients.? He noted that he has been published on a number of
occasions, he ias had two projects a part of American Institute of
Architects (AIA} awards, and he was a member of AIA. He noted that. as
e pOesident of as architectural firm, he had all legal rights to carry on full
architectural duties except stamp construction documents.
Don Regan stated that he was the city attorney for a number of cities and
was th6'founder of a company that built assisted living facilities. He
indicated that more than half of their projects were on behalf of an LLP in
formation or a handshake partnership. He stated that the method that
Council is following is the method that they followed. He noted that an
LLP is not formed until a certificate is formed. He stated that he is
surprised at the vitriol that is coming out against this project. He
expressed the opinion that the proposed project would be better for the
community.
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Joe Repus believed that Mr. Sutherland states things that are not true
and noted that he has had tax liens since the 1980s. He asked how much
the Balboa Bay Club paid in rent, noting that the facility is bigger than
Marinapark. Council Member Webb stated that they paid roughly
$2.6 million. Mr. Repus indicated that the first four quarterly payments
are about $2 million to $2.1 million, but Mr. Sutherland is claiming that
he will make $2.1 million on a facility that is half the size. He asked when
the last time a 12 boat marina was built in the City. He asked Council
Member Heffernan to follow up on Mr. Sutherland's references.
Allan Beek stated that he is the secretary of Stop Pollutiiik,..Our
Neighborhood (SPON) who is suing the City and had to sera on the meal
party in interest. He indicated that their attorney haMpugh time
finding the real party in interest and had serve ?,it on
Mr. Sutherland because he couldn't find the other entTi lie citi that
t
most contracts state that notices have to be eive;mfb-sdmeone in caeie_i)f
default; however, this contract didn't have tha 3orma'tzoii. He indi6AW
that Mr. Burnham noted that the purpose of e VIOL'• was to give voters a
sense of confidence, but believed that the are not confident if they re
watching this meeting. �.'
s'
Geoffrey Davis indicated that he is in favor of tht,propmed luxury hotel,
believing that it will have a pgritive affect on pro 'ii ues and improve
quality of life. He asked the Ssomething for tl instead of the
visitors. He stated that the G berme a clean, safe,
state- of- the•art facility for the c dblic; and the American
Legion will also benefit. He i�ay be 75 years of
precedence since m private an erprises have benefited
and existed on owned Ian i.e. the Aeacon Bay Development,
marine fueli stationjs nd the Balboa erry. He believed that the
opponents ensure re promoti volous, legal maneuvers aimed
at preve 1 pu vo n this issue. He stated that we
cannot allow s te e;TQWto take control of the City's future by
demanding that ne contiWto live in the past.
John state no one is trying to stop a vote, but are
interested ing the cts to make an informed decision. He believed
that the cur info ation is not adequate for people to make an
afrarmed decis He indicated that he would've been thrown out if he
Ito a board directors with the information that has been provided.
Crai solte stated that there was a gasp by the audience at the July
27 Cou eeting when it was revealed that millions of dollars from the
sale of^ timeshares was going to go to the developer. He noted that the
MOU doesn't discuss this but believed that it needs to be addressed. He
expressed concern with Mr. Sutherland's credentials attached to the staff
report. He stated that the Secretary of State's Office confirmed that there
is no Sutherland Talla Hospitality LLP or LLC; there is no Stephen
Sutherland licensed in California according to the Architects Board and
the Contractors Licensing Board; and that Mr. Sutherland is no longer a
member of AIA. He provided Council with a list of questions he would like
answered tonight.
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City of Newport Beach
City Council Minutes
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Tom Billings believed that, pursuant to the previous comments and, on
behalf of the voters of Newport Beach, he urged Council to invalidate and
void the MOU.
Laura Dietz stated that Mr. Sutherland has already answered
Mr. Morissette's questions. She took issue with Mr. Billings speaking on
behalf of the voters of the City since he was not elected to City Council.
She agreed with Mayor Pro Tern Bromberg and Council Member Rosansky
that this may not really be an MOU, but there needs to be general terms
for voters to base their vote. She encouraged Council to have staff review
all the critical elements that the public can use to make a determination
whether this project is good for Newport Beach.
Jan Vandersloot noted that the MOU mentions. Sutherland Talla
Hospitality LLP and that Mr. Sutherland asked his partner. Mr. Taller, to
leave the partnership after it was brought to light a couple of months ago
that Mr. Talla had an ownership interest in a Las Gegas topless club. He.
reported that he found an article on the internst. dated June 2003 that
talks about Mr. Talla's ownership of the Sapphire Club He asked if the
City knew who they were dealing with in 2003 and if it would've made a
difference if we knew. He stated that we don't even know tonight who
we're dealing with. He believed that this property should be a park
available to all the people of Newport Beach and not given away and
leased for 50 years. He stated that Mr. Talla's name is still on the list as
the entity the City is dealing with and believed that the City also needs to
deal with him, as well as Mr. Sutherland. He indicated that Council
should reject the MOU and the public should look nt the controversy and
vote "no" on Measure L.
Dolores Otting, Council candidate. Mated that fair market rent today is
$1.1 million, but the VIOL' doesn't have any acceleration to determine
what the rent should be if the project doesn't start until at least 2008. She
noted that the lease megotiating subcommittee hasn't met since early July.
She stated that, when you purchase a home, they don't let you move in
and then-30 days oil days later, determine if you can qualify for the
"mortgage. She asked if is is legal for the City to enter into an agreement
to give somebody $100 mAlion worth of property for $1 million a year with
someone that fqa t a company. She stated that this is how the County got
into bankrupt(,,#���-+' She stated that, on July 27, she brought Council
information A t the Sapphire Club, the LLCs, the LLPs, etc., but the
Citi eti71 doesoi know who it is doing business with. She stated that the
City dii"It want the Mermaid, but it's okay to be associated with money
from a strip club. Ms. Otting stated that she is starting to feel bad for Mr.
Sutherland because she's starting to think that he's getting set up on this
deal. She indicated that it is not her job and two other women's job to find
out the things they did about Mr. Talla. She stated that it is the City's job,
noting that this is one of the reasons why she is running for City Council.
She believed that the voters have nothing to vote on. She emphasized that
they should've had all of this information in 2003.
Mr. Burnham emphasized that there is nothing that Council is
considering that involves giving Mr. Sutherland $100 million worth of
property. He stated that making comparisons to Mr. Talla and the
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City of Newport Beach
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September 28, 2004
INDEX
Mermaid ignores what the term sheet states. He reported that the term
sheet talks about an initial five year option in which the proponent has to
satisfy a number of conditions that resolve the issues that the public
mentioned. He agreed that there are problems with regard to the identity
of the entity or individual, but there is nothing being proposed that
represents the "give away" that the public is describing. He stated that
this is an MOU that tries to describe the status of discussions that Council
initiated in good faith to try to give the voters some information. He
emphasized that the testimony tonight is not reasonably related to what
they are presenting to Council. He confirmed that they have not had
discussions with Mr. Sutherland since some time in July
Mayor Ridgeway noted that no one has addressed the fiaA terms and
conditions tonight, but have chosen to make public. personal at{sacks on
Mr. Sutherland and any association that he has.
4,
Phillip Arst believed that the MOU is the:clearest example of
incomplete information that will be given to the voters and the City'fi
irresponsible giveaway of public facilities and possibly public funds. He
stated that he is in favor of the public voting on.;m8jor general plan
amendments such as this, but only with complete information. He
expressed concern that some of the provisions in theM.OU may result in a
burden on the taxpayers, there is no assurance o£ the City's ability to
control the property, and the issued in the n"''.$f Marinapark
LLC. Further, the MOU states tl ! "Ab— C.,current deve3bper can sell its
property rights without Council,appro-,& anyone' with a 20% down
payment and an agreement wibh any individual' with the necessary
experience in hots] mAnagement. e. lieved that the City loses at least
$800,000 during the seven ye", option and construction period, and
up to $1.7 million posse � annual rentfrom the mobilehomes, and is stuck
with the fu
(I of ren1bNing them. sked what City services will be
cut back,sriiiLe,l2ie C:iy "' the losses. He stated that the City might
as well have a'pair7c 2r the en)oy. He believed that the City will
get little if any ue beca any sales by the hotel will just take
rev vm the r hotels in the City. He added that the
51.1 milttaso rent '�otel should probably be closer to $3 million,
considering'- propertlFttialue. Further, it is not adjusted for inflation
over a 25 year period. P'
urnham stated that the term sheet does allow assignment without
th .. � y's consent to a recognized luxury hotel operator or an entity with
no le 0% equity that has a contract with a luxury resort operator
or has equisite ability. He indicated that he is not sure if Mr. Arst
was referring to that provision or the provision that says that the City
receives 20% of the profits if there is a transfer within the first 54 months.
He clarified that the proponent would basically be allowed to sign the
resort to an entity that was a luxury resort or an entity with substantial
equity in the property and had a contract with a luxury resort operator to
ensure that the operation of the facility was in accordance with the
standards. He emphasized that this was a summary of a term rather than
the precise language of an agreement that would probably cover more
contingencies.
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City Council Minutes
September 28, 2004
INDEX
Council Member Nichols commended Mr. Sutherland for paying all of his
bills to the City and upholding his monetary commitments.
Mayor Pro Tern Bromberg stated that this time of the election year is the
"silly season" because people act in a way that they normally don't act. He
pointed out that there is nothing to make null or void because there is no
legal document. He clarified that his motion was to continue this and
bring it back as a receive and file item which is a non- binding document on
anybody. He believed that this threw off the people who had prepared
statements. He indicated that the people in favor of the project and only
two people opposed spoke to the issue. He stated that the others '.made
personal attacks. He emphasized that, if Measure L "passes and
Mr. Sutherland is not who or what he says he is, the City. does not have to
do business with him.
Council Member Daigle stated that she would like to follow the advice of
the legal representatives that an MO17 is premature and expressed her
support of the motion. She believed that there is benefit to providing
voters with factual information and stated that she wants to move in that
direction in whatever form that takes. She noted that we lice in an age of
consumer empowerment where people have a lot of information about
everything. She stated that the constituents are smart and savvy, and
want information.
Regarding Exhibit A, Council N[Vin ..Webb asked why the term should
be extended beyond the option date as oppo)3ed to adding extra time. He
referenced Section 2.2(b) and requested that thb'statcmcnt clearly indicate
that the site plan that was presented in. the environmental document may
not be the pla -dant'i{ approved because there's a number of items that
need to be reAved. He believed that a clause was supposed to be added to
Section C which asks for the City to bs.. to determine the character of
the le eo `
p p m it world be dealing with and allows the City to get out of
the document 'if *'4'fclt that the, I turpitude was not appropriate for it
to enter into a cir act. He d that he does not understand what
" means'uiurction 3.1. Regarding reappraisal, he stated that
e City to make sure that the statement does not allow for the rent
w go down: ncil Member Webb stated that it needs to be determined
*_ whether the Cil(y should receive some portion of the sale price of the
etional units. Ile believed that the ballot measure stating that the
unity ce.n .'e and public recreation facilities shall be on three acres is
a aint a»gshould be in Section 5.2. He stated that the hotel is on
abou aci s and the public, recreational facilities are on at least three
acres. cil Member Webb stated that partialization should discuss the
split een the public recreational facilities and the hotel facilities
related to the five and three acres. Regarding transfers, he believed that
it is reasonable for the City to have some say about who the property gets
transferred to.
Council Member Nichols noted that a vote against the motion really has
no meaning and that a vote in favor of the motion just means that it's
coming back at the next meeting.
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Mayor Pro Tern Bromberg stated that acceleration of rent occurs when the
project is successful. However, if the project is not successful, we need to
be sure that the City is covered.
Council Member Heffernan asked, if this is brought back as a receive and
file item, is that then something that the City is obligated under. even
though the City Council does not vote on it. He stated that Council
Member Webb raised issues that are really deal terms and asked how they
are going to be solved in two weeks. Mr. Burnham stated that Council
would simply be seeing a status report at the next meeting that discusses
the opinions of Council. Further, the report would then respond.% the
questions and comments that Council Member Webb and %%yor Pro 7Sem
Bromberg posed. He believed that there would not be tiroe'nozw.ould it be
productive to meet with Mr, Sutherland. He stated thatthey- would bring
back a term sheet that looks somewhat like the one plpvided, but;w.ould
have additional explanations and address issues fatsed Hd Mayor Pi4*m
Bromberg and Council Member Webb.
Council Member Heffernan asked why.the City cant use Cal Hollis'
proposed term sheet since the City wont be negotiating with anyone.
Mr. Burnham stated that it was his understandil". Ghat the request was to
give Council the status of the discussion. Council Member Heffernan
believed that we're trying to get to a point that explains what the trade off
is if the City loses the park site B,,noted that the tradeoff would be the
revenue source for a certain amoun ]le added flint it should also
list the risks, rewards, and contingences eukpha.,iied that presenting
enough information without handcuffing Chc C' 43,4 a difficult thing to do.
Mayor Ridgeway stated that Mr. Bufmham can meet with him and Council
Member Heffernan. lffe ieported that thig is an unsubordinated ground
lease and Ike. City will not subordin io any lender. He emphasized
that, if thc' p igjept is built and, there is2a default, the City gets the project
and the bank 10904- yy
The tMilj4s carried Drp' he following roll call vote:
Ayes. NRid' n, Rosansky, Bromberg, Webb, Daigle, Nichols, Mayor
x . ;.i Y
*- t,-Noes None-:'"
Abg4ain: None.
Absent None -
21. UNSCHEDULED VACANCY ON THE PLANNING COMMISSION.
Motion by Mayor Ridgeway to 1) declare a vacancy on the Planning
Commission due to the appointment of Leslie Daigle to the District 4 City
Council position; 2) confirm the Mayor's appointment of Mayor Ridgeway,
Mayor Pro Tem Bromberg, and Council Member Webb to serve on the Ad-
Hoc Appointments Committee; and 3) direct the City Clerk to post and
publish a Special Vacancy Notice requesting that applications be
submitted by 4:00 p.m. on Thursday, October 14, 2004, and schedule the
submission of the nominations to the Council on October 26, 2004 with the
final appointment to be made on November 9, 2004.
Volume 56 - Page 1247
II N1P
(100.2004)
City of Newport Beach
City Council Minutes
September 28, 2004
N.
The motion carried by the following roll call vote:
Ayes: Heffernan, Rosansky, Bromberg, Webb, Daigle, Nichols, Mayor
Ridgeway
Noes: None
Abstain: None
Absent: None
22. APPOINTMENTS TO FILL VACANT POSITIONS ON VARIOUS
COMMITTEES CREATED BY THE RESIGNATION OF ALAYOR
PRO TEM ADAMS.
.10p, 1-t-
Motion by Mayor Ridgeway to confirm the Mayor' tment of
Council Member Daigle to fill the following committe vac:an Created
as a result of the resignation of Mayor Pro Tem Aces: 1) Site
Review Ad Hoc Committee (Chair); 2) SR73/985fiA.405 Fr�.R7Jgs
Confluence Policy Committee; 3) City Centennial 2006, Ftommittee,°"
4) Newport Beach/Irvine Borders Committee-
The motion carried by the following roll call vote:
':5-
Ayes: Heffernan, Rosansky, Bromberg, Wchh. Dade, Nichols, Mayor
Ridgeway %g
Noes: None
Abstain: None 4 '"
Absent: None
c-
Mayor Ridgeway recessed . the meeting of 10:10 p.xri and reconvened the
meeting at 10:20 p. m Con'u((� " Member
ii£effernari arrived at 10:30 p.m)
5. ZONING AMENDMENT/ . E,
(�RATIP, LIVING USES.
Id i&, $eruie belicv hat part of the City's goal with multi - family
6`awelllnIgs should be Ut;�ain affordable housing for individuals, like
A himself, who to live apartments and are interested in being a part of
+. the Comm in t`and A just living here for 30, 60, or 90 days. He
'vindicated that" 1`ie building he resides in has changed ownership, the
eats are beyng displaced, and the property is being converted to a
re tation Aahty. He asked what efforts are being made to maintain
affor4sliie multi - family dwelling residences.
Mr. BeFue indicated that all the residents were sent termination notices
and the new leasing agent told them that the property will become a
rehabilitation facility. Mayor Ridgeway clarified that, since the property
is not within the City's stock of affordable housing, the City cannot protect
Mr. Bernie and the other tenants in his building. Mr. Bernie indicated
that he meant affordable housing in a more general term, not Section 8,
etc. Mayor Ridgeway reported that 44% of the City's 37,500 units are
multi - family or rental units.
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City Council Minutes
September 28, 2004
Paul Lopez stated that he owns the property next door to Mr. Bernie and
expressed concern that the 8 -unit complex will be converted to a
rehabilitation facility. He believed that this would completely change the
social environment of the area and increase the density.
Mayor Ridgeway stated that the ordinance will actually protect Mr. Lopez.
He explained that, if there are six or less people in a unit, there is nothing
the City can do. However, if there are seven or more, then the
rehabilitation facility will have to get a Federal Exemption Permit and
will have to comply with certain rules and regulations. Ac{,ing City
Attorney Clauson suggested that Mr. Lopez contact the,li'leuning
Department for more clarification.
Gerry Marshall stated that he is representing Narconon. lie rioted that
there is an email in the staff report from the Planning Direct vto a
neighbor that indicated that the City has been enforcing the codes and
Narconon has been in compliance with those codes. He stated that he
understands that it is the City's intent to try to make a better situation for
all the residents and to make sure that the center; are in compliance. He
announced that September is National Recovery Month and the last week
in October is Red Ribbon Week.
Motion by Council MembcL cbb to adopt Ordinance No. 2004 -16
amending the Zoning Code
Council Member Nichols referenced Mrs-.'Martin's letter in the staff report
and believed that this was supposed to ,go to the'Planning Commission.
Mayor Ridgeway suggested that he discuss this with Ms. Clauson.
The motion carried by the following roll call vote:
Ayes: ,ffiei an, Rosansky, Bromberg, Webb, Daigle, Mayor Ridgeway
Noes: Nich'o�
Abstain: None
Ab ik `None
6. GRANTS THE, BIG CANYON CREEK RESTORATION
PROJECT.
1'
5R
fcil Memhelt Nichols asked if this project is second to the Back Bay
p vyFS Assistant City Manager Kiff explained that this project is outside
of th .b , not of the Upper Bay project. He stated that the pot of money
that thy received comes from a different source than what is being
sought ;a ter for the Upper Bay project. He added that they are not in
direct competition with each other nor do their construction activities
impact each other.
Motion by Council Member Webb to adopt Resolution No. 2004 -83
relating to grants for the Big Canyon Creek Restoration Project.
The motion carried by the following roll call vote:
Volume 56 - Page 1249
INDEX
C -3594
Big Canyon Creek
(381100 -2004)
City of Newport Beach
City Council Minutes
September 28, 2004
Ayes: Heffernan, Rosansky, Bromberg, Webb, Daigle, Nichols, Mayor
Ridgeway
Noes: None
Abstain: None
Absent: None
RESOLUTION AUTHORIZING THE CITY TO ENTER INTO A
CONSTRUCTION AND LEASE AGREEMENT BETWEEN THE
CITY AND THE RANCHO SANTIAGO COMMUNITY COLLEGE
DISTRICT TO USE DISTRICT FUNDS TO CONSTRUCT.A FIRE
TRAINING TOWER ON CITY PROPERTY AND SHARE TTS jJSE
BETWEEN THE TWO PARTIES.
Dolores Otting, Council candidate, asked where the tower will be built and
stated that she believes that the City should be training.with Cd;A:Mesa.
She noted that Costa Mesa is also going to be receiving $350,000'afia, if
the money was pooled at one location, 5700.00F5 would buy a lot for one
training tower program. She stated that the City is a rich city right now;
but something could happen. She suggested that the City do anything it
can to make sure the firefighters' needs are that
without being redundant
with programs.
Fire Chief Riley stated that the tower would be built at Ahe new fire
station. He indicated that the Santa .Ana College (SA GgFire Technology
Program has a regional approach :to providing training and utilizes
multiple centers throughout the CountV'Tit`pointed.out that it was their
desire to try to enhance existing training progrn ms instead of consolidate
their funds. He reported that Newport Beach,,Costa Mesa, Huntington
Beach, and Santa Ana, will be gettipg money as part of the Community
College Bond Fund that was passed'tbreeyears ago. Regarding training
in other cities, he stated that he behc4o •that the value to the community
of maintaining resoun:es in the local arena as opposed to traveling outside
the jurisdiction.aaimportant. Rd- indicated that the continuous downtime
and travel were'. '16`
rimary reasons why they got out of the training
ag"eilt H,ith Huntington Beach.
In respunse to Mayor Ridgewuy's questions, Chief Riley reported that the
Fire Department has 120 safety employees. He added that they could also
share the tower "*ith the Police Department to use for their smaller, basic
S*AT operation. He stated that, when the City is not using it, the
aj tement allows SAC to use it as long as it doesn't impact their
operati6m
Chief Rilev indicated that the fire station will cost about $4.1 million.
Council Member Nichols stated that the $350,000 only equates to $12,000
to $15,000 a year for a lease that's over 20 years. Chief Riley clarified that
the agreement provides for a full payment of the $350,000 on completion
of the construction. He noted that the money is only designed to pay for
the construction of the training tower and no other facilities. He added
that this doesn't pay for the use of the fire station or the rest of the
ground. He stated that SAC does have to drive on the grounds to use the
tower, but emphasized that their use of the tower will be on a very limited
basis.
Volume 56 - Page 1250
INDEX
C -3733
Fire Training Tower
(38/100 -2004)
City of Newport Beach
City Council Minutes
September 28, 2004
Chief Riley clarified that the County will provide $2.5 million for the
purchase of the property and some additional money for the construction
of the fire station. He stated that, due to the changes that have occurred
in the construction industry and what is happening with Public Works
projects, they will be going back to the County to request more money for
the construction costs.
Motion by Mayor Pro Tem Bromber¢ to adopt Resolution No. 2004 -84.
The motion carried by the following roll call vote:
Ayes: Heffernan, Rosansky, Bromberg, Webb, Daigle, M.IVr Ridgeway
Noes: Nichols
Abstain: None
Absent: None
8. ACCEPTANCE OF IRREVOCABLE OFFER OF DEDICATION:
NEWPORT RIDGE PARK; CONVEYANCE OF OWNERSHIP TO
THE NEWPORT RIDGE COMMUNITY ASSOCIATION.
Council Member Webb stated that he has no lirbl*m with accepting the
irrevocable offer of dedication. He explained that ope. of the reasons this
had an irrevocable offer of dedication was becauee it met the park
dedication requirements for tl a lopment of the Newport Coast area.
He noted that the community l; are doing all the work already
and, in effect, leasing the property. a believed that the City
should not give up all its park pr Nir ty is ` r. He stated that the
City is short nn ac ' ,parks and that twe may be a time in the
future that they - need eati onal activity in this area. He
requested thei Coun :consider 'oh an ng "quitclaim or otherwise
transfer" WAase" in re mmendation.
Mayor Ridgew' d tMitwport Ridge Park, from the restroom
inward to the N Ridge munity Association, the City agreed to
k*a„ ' portion to in the Pre - Annexation Agreement (PAA).
{
LSuncd r Web that he does not object to that portion, but is
concerned a the at is fields from the restroom out to San Joaquin.
Assistant Cit nag Kiff stated that the fourth line in the resolution
fil,le can be cha ed to read, "...and directing the lease...", and "quitclaim
%Ikffierwise tr sfer or" can be removed in Section 2. He indicated that
t 4�i11 allow. the City to exact the lease and further discuss with the
NCtlbr the City could have some control over the ball fields.
Motion` by Council Member Webb to adopt amended Resolution
No. 2004 -85 which: 1) authorizes the acceptance of an Irrevocable Offer of
Dedication for Newport Ridge Park; 2) authorizes the Mayor or City
Manager to accomplish the acceptance in any manner deemed feasible
provided that such acceptance generally follows the terms of 1996 San
Joaquin Hills Local Parks Irrevocable Offer of Dedication; and
3) authorizes the City Manager to lease that portion of Newport Ridge
Park exclusive of the property needed for the proposed Newport Coast
Community Center to the Newport Ridge Community Association or
similar entity.
Volume 56 - Page 1251
IN"I
2004)
City of Newport Beach
City Council Minutes
September 28, 2004
In response to Council Member Nichols' questions, Mr. Riff explained that
the City would own the entire property and would lease back to the
association the portion that is not necessary for the community center and
its parking lot. Further, there could be a control in the lease that would
allow some City use of the two baseball diamonds and soccer overlay. He
stated that the association is okay with the concept of leasing the property
and maintaining it since they do that today. However, he has not talked
with them specifically about some control over the fields. He indicated
that the City would discuss the parking lot and the ball fields with the
association and not be concerned about everything past the two fields and
the parking lot. He noted that the property actually belongs to The Irvine
Company and explained that only a public agency can, accept an
irrevocable offer to dedicate. He confirmed that, by the ('T1ty leasing it
back to the association, the association would retain control and continue
the maintenance as they do now. Council Member Webb indicated that
this would allow the City to change the lease if situations change in the
future. Council Member Heffernan indicated that discussion will ensue.at
the NCAC meeting relative to who will have long term control of the ball
fields between the community center and the parking lot adjacent to the
tennis court.
The motion carried by the following roll call vote:
Ayes: Heffernan, Rosansky.,Bromberg, Webb, Daigle, Nichols, Mayor
Ridgeway
Noes: None
Abstain: None
Absent: None
Without objection. Mtiyor Ridgeway requested that Item Nos. 9 and 10 be
considered together.
91 SALE OF BONDS.POR UNDERGROUND ASSESSMENT DISTRICT
NO. 68 - NEWPORT SHORES.
10, SALE OR BONDS FOIt UNDERGROUND ASSESSMENT DISTRICT
NO, 69 - WEST, NEWPORT.
Council Memhei.Rosansky recused himself.
Administrative Services Director Danner stated that bond counsel and the
financid:advisors are in the audience. He reported that, by adopting the
resolutt` Council is authorizing the bonds to be issued, sold, and
delivered; authorizing the City Manager, the Director of Administrative
Services, or other City official so designated to execute the various
documents and instruments; approving the bond indentures that are on
file with the City Clerk; approving the preliminary official statement that
is on file with the City Clerk: approving the continuing disclosure
agreements that are on file with the City Clerk; authorizing the City to
apply for a bond rating and insurance if advisable by the financial
consultants; and approving the bonds to be sold competitively on October
19.
Volume 56 - Page 1252
INDEX
Assessment
District No. 68/
Newport Shores
(89/100 -2004)
Assessment
District No. 69/
West Newport
(89/100 -2004)
City of Newport Beach
City Council Minutes
September 28, 2004
12.
Motion by Council Member Webb to adopt Resolution No. 2004 -86
which sets forth the terms and conditions for the sale of bonds and
approves the Purchase Agreement submitted by the designated
underwriter for Assessment District No. 68; and adopt Resolution
No. 2004 -87 which sets forth the terms and conditions for the sale of bonds
and approves the Purchase Agreement submitted by the designated
underwriter for Assessment District No. 69.
The motion carried by the following roll call vote
Ayes: Heffernan, Bromberg, Webb, Daigle, Nichols, Mayor
Noes: None
Abstain: Rosansky
Absent: None
APPROVAL OF A PROFESSIONAL
(PSA) WITH ORANGE COUNTY
COOPERATIVE PROJECT TO DEVI
SEDIMENT REMEDIATION PLAN FOA
Motion by Council Member Webb to a
County Coastkeeper providing $68,000 in
Grant Agreement No. 03- 183 - 558 -0.
The motion carried by the follov
Ayes:
Heffernan.
Rosansky,
Ridgeway,,,.
Noes:
None
Abstain:
'gone
ya
Absent:
N06
a✓
13. HUMAN
vote:
2004 -2005.
CONTAMINATEH
NE CHANNEL. r
P8A with Orange
funds for SWRCB
r �
Nichols, Mayor
where the money comes from, why the City
the City is in the charity business.
Assistant Cit'Filanagef Kiff reported that Council Policy A -12, while in
ect, is brou before Council every year and is provided for in the
et. He st4d that the $25,000 goes to non -profit groups that provide
h ser%-4,0 for residents of Newport Beach. He indicated that the
Cityx ters to the organizations they know about, but continue to
build t st. He stated that, of those that respond, they evaluate and
propos - his every September. He indicated that, if Council Member
Nichols felt strongly that this policy needed to be revisited, he could call
up this policy for a Council meeting.
Motion by Mayor Pro Tern Bromberg to authorize the allocation of
$25,000 in Human Services Grants in the amounts and to the agencies
described in the staff report.
The motion carried by the following roll call vote:
Volume 56 - Page 1253
�`II�I17D1:1
C -3734
ated
Remediation Plan for
the Rhine Channel
(38/100 -2004)
(100 -2004)
City of Newport Beach
City Council Minutes
September 28, 2004
Ayes: Heffernan, Rosansky, Bromberg, Webb, Daigle, Mayor Ridgeway
Noes: Nichols
Abstain: None
Absent: None
14. APPOINTMENT OF STAFF REPRESENTATIVES FOR THE
ORANGE COUNTY AREA HOUSING AND FINANCING AGENCY.
Council Member Nichols believed that the City should not bo in the
housing business of giving loans.
Program Administrator Trimble noted that the issue is not whether the
City participates in the Orange County Area Housu)g and Finance
Agency. He stated that the City has been a member since 2002 and the
staff report is simply recommending a change in the representative
appointment to the board.
Motion by Council Member Webb to authorize the position of Assistant
City Manager, currently Sharon Wood, to.act as a Director on the Board of
the Orange County Area Housing and Penance Agency, and authorize the
position of Program Manager, currently Daniel Trimble, to act as an
Alternate Director.
The motion carried by the following roll call vote:
Ayes: Heffernan, Rosansky. Bromberg, Webb, Daigle. 99ayor Ridgeway
Noes: Nichols
Abstain: None
Absent: None
18. SUNSET RIDGE PARK UPDATE. (colntil. from 9/14/04).
Assistant City 18nager Kiff reported that the information the City sent to
the State includes the,proposed operating lease with State Parks and the
m �ha[ woukE.transfcr jurisdiction. He explained that the City
sends m 10 State Parks' and enters into a long term agreement with
them, the {Parks buys the property from Caltrans, they take title to
it, and then t;ity's lease is effective. He reported that they informed
°l `fir legislative dvocate to dog it for the City and expect to have some
ment to report to Council quickly. He stated that the City is trying to
cha' , the legislation to clearly include the easterly parcel, noting that
Cal tiaiS.doesn t believe that the City included it in the legislation.
Council' Member Rosansky noted that the staff report talks about a ten
year lease, although a long term lease was discussed. Acting City
Attorney Clausen indicated that there are provisions in State law that
limit the ability to lease for more than 10 years, but there is a subsection
in that law that allows for authorization through the State legislature to
get an extension on the lease. She added that this can only be applied for
during the budget season. She stated that the draft that was sent to the
State has a subsection that includes the City's intent to go through the
process so that the City has a longer lease. Council Member Rosansky
believed that there was a process that didn't have to wait until the State
Volume 56 - Page 1254
INDEX
(100 -2004)
(100 -2004)
City of Newport Beach
City Council Minutes
September 28, 2004
budget discussions. Ms. Clauson stated that the process is through the
Department of Public Works. Mr. Kiff reported that the City will try to do
both to see what can be done faster.
Council Member Rosansky requested that staff forward him a diagram
that specifically outlines where the 15.05 acres is. Mr. Kiff stated that this
will be done as part of developing the property's formal legal description.
O. MOTION FOR RECONSIDERATION — None.
P. ADJOURNMENT - 11:12 p.m. i
The agenda for the Regular Meeting v
3:00 p.m. on the City Hall Bulletin Board
Beach Administration Building.
t
City Clerk
Q)'
J.
�F
.1 {3
t
as posted on September 22, 2004, at
. n.
located outside o6be City of Newport
Recording Secretary,.. ,
Mayor
l
Volume 56 - Page 1255
INDEX
as posted on September 22, 2004, at
. n.
located outside o6be City of Newport
Recording Secretary,.. ,
Mayor
l
Volume 56 - Page 1255
INDEX