HomeMy WebLinkAbout2009-05-20 Agendav aEvroRJ.
1€ a CITY OF NEWPORT BEACH
ECONOMIC DEVELOPMENT COMMITTEE
AGENDA
MEETING DATE: Wednesday, May 20, 2009
TIME: 8:00-9:00 A.M. Please arrive 5 min. prior
PLACE: City of Newport Beach Council
Chambers
ROLL CALL AND INTRODUCTIONS
To assist with attendance there will be a sign in sheet at the podium, Please check off your
name on arrival or before departing.
MEMBER UPDATES AND ANNOUNCEMENTS
DISCUSSION ITEMS
1. Approval of Minutes of April 15, 2009 (Attachment)
2. A summary report on Restaurant Week January 2009 by Sheri Drewry &
3. Peggy Fort, CMC
4. Annual Report on Progress Implementing the Strategic Plan for Fiscal and
Economic Sustainability (Attachments)
5. EQAC Representative's Report
ITEMS FOR A FUTURE AGENDA
PUBLIC COMMENTS
ADJOURNMENT
NEXT EXECUTIVE COMMITTEE MEETING: Wednesday, June 3, 2009
8:00 A.M. — NEWPORT BEACH CHAMBER OF COMMERCE
NEXT REGULAR MEETING: Wednesday, June 17, 2009
8:00.9:00 A.M. — CITY COUNCIL CHAMBERS
Any writings or documents provided to a majority of the Economic Development Committee regarding any item on
this agenda will be made available for public inspection in the Planning Department located at 3300 Newport Blvd.,
Newport Beach, CA 92663 during normal business hours.
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CITY OF NEWPORT BEACH
�ftiiiiir= ECONOMIC DEVELOPMENT COMMITTEE
DRAFT MINUTES 4-15-09
Minutes of the Economic Development Committee held at the City Council Chambers, City of
Newport Beach, on Wednesday, April 15, 2009.
Members Present:
E
Mike Henn, Chairman
X
Sheri Drewry
X
Keith Curry, Council Member
X
Jennifer Gonzalez
X
Steve Rosansk , Council Member
X
John Hyatt
X
Robert Hawkins, Planning Commissioner
X
Lloyd Ikerd
X
Mike McNamara, Vice Chairman
X
Brion Jeannette
A
Fred Ameri
X
Debra Le an
X
Craig B ley
X
Richard Luehrs
X
Seymour Beek
X
Scott Palmer
X
Jeffrey Cole
X
John Robinson
X
I Steven Coyne
regg Schwenk
X
Ga DiSano
X
Ga Sherwin
X
Jim Donnell
X
Ga Wassail -Kell
X
Kenneth Drellishak
Staff Representatives:
x
Sharon Wood, Assistant City Manager
x
Leigh De Santis, Economic Development
Administrator
x
Katie Bowden, Economic Development
Coordinator
Guests Present:
Bill Kelly Roy Freeman
Peggy Forte
Roll Call and Introductions:
Vice Chairman McNamara called the meeting to order at 8:06 am and began self
introductions of the assembled members, staff and guests.
EDC MINUTES 4-15-09.doc
UPDATES AND ANNOUNCEMENTS
• Gregg Schwenk announced the 10`" Annual Newport Beach Film Festival would occur
April 23-30, 2009.
• Gay Wassall-Kelly reported that this year the Newport to Ensenada Race sets sail
from the Balboa Pier on April 24, 2009. Also sailing from the Balboa Pier that day will
be the new(er) and shorter route, Race to the Border.
• Gary Sherwin announced that thanks to Gary DiSano, in addition to one of the BCS
playoff teams and the media, both universities' alumni associations will be staying in
Newport Beach hotels; one at the Island and one at the Balboa Bay Club.
1. Minutes of March 18, 2009.
Motion:
Gregg Schwenk
Second:
Seymour Beek
Vote:
Unanimous
2. Presentation by Gary Sherwin, on the EDC designed Special Events Advisory
Committee
Some members of the City Council thought that having a group of marketing
professionals evaluate special event assistance requests could be useful in helping
the City Council make funding decisions. An early draft of such an idea was presented
to the EDC Executive Committee. The EDC Executive Committee was asked to refine
and develop the idea, take it to the full EDC for review and move it forward to the City
Council for action if supported by the EDC. Following Gary's and Sharon's
explanation there was a discussion of various aspects of the proposal, including
whether the Committee should be a subgroup of the EDC or a stand alone Committee.
As discussion was concluding, Jim Donnell moved that the proposal be forwarded to
the City Council. Robert Hawkins seconded. Gay Wassail -Kelly proposed that the
Purpose be amended to include the production of a master calendar of events for the
City. Robert Hawkins seconded the amendment. The question as amended was
unanimously approved.
3. Presentation by Mike McNamara, regarding the creation of a Committee of
Interested Individuals to Explore a Summer Water Taxi Service.
The Strategic Plan for Fiscal and Economic Sustainability includes direction to form a
committee of concerned individuals to research and recommend to the City Council
the feasibility of a summer water taxi service. The issue of better utilization of the
harbor/bay has also arisen at the Harbor Commission andat the Chamber of
Commerce in discussions about the creation of a tourism map of the harbor.. Mr.
McNamara presented to the group an EDC Executive Committee proposal for a
committee that could address all those aspects of the issue on behalf of the three
groups and the City Council. After the presentation Robert Hawkins moved approval
EDC MMUTES 4-15-09.doc
and Jim Donnell seconded. Discussion followed, including the need for a study to
determine the scope and feasibility of such a service. Craig Batley moved the
question and Greg Schwenk seconded. The Committee proposal was unanimously
approved to be forwarded to City Council.
The EDC then nominated Mike McNamara and Richard Luehrs to be their
recommendations for appointment to the Committee. Jim Mahoney and Casey Jones
were suggested as possible appointments to the Committee to represent maritime
businesses; staff will ask them if they care to apply. John Robinson expressed interest
in representing the Restaurant Association; he will bring it with them.
4. Presentation by Greg Schwenk on the Newport Beach Film Festival
This is the 10°i Anniversary of the Newport Beach Film Festival. They received over
2000 submissions and will be showing 400 films. For the first time they will also offer a
seminar series on film making. They will continue the tradition of honoring John
Wayne; this year's screening will be "She Wore a Yellow Ribbon'. As part of the
Festival there will be a special look a Sponge Bob Square Pants (who is also turning
10), Bloomingdales will have a fashion show, there will be a live performance of
Zumanity by Cirque du Soleil and 22 local restaurants are offering specials. They
have received and forwarded more hotel requests than in the past. Esquire Magazine
and Entertainment Weekly have become sponsors.
5. Sheri Drewry requested that her report on Restaurant Week January 2009 be
postponed until May so that she might have more time for her presentation.
6. EQAC Representative's Report
EQAC is in the process of reviewing two EIR's -Marina Park and Aerie.
• EQAC is in the process of responding to two Notices of Preparation - Banning
Ranch and City Hall.
ITEMS FOR A FUTURE AGENDA
• A summary report on Restaurant Week January 2009
• A progress report on the Strategic Plan for Fiscal and Economic Sustainability
PUBLIC COMMENTS
None
ADJOURNMENT
Vice Chairman McNamara called for the meeting to be adjourned at 9:00 am.
EDC MINUTES 4-15-09.dm
City of Newport Beach
Planning Department
Memorandum
To: The Economic Development Committee
From: Leigh M. De Santis, Economic Development Administrator
Date: May 20, 2009
Re: Annual Report on Progress Implementing the Strategic Plan for
Fiscal and Economic Sustainability
Attached to this cover memo are two documents for your review
The first is a progress report on the accomplishments of the EDC and ED
staff during 2008 in implementing the goals and objectives of the Strategic
Plan for Fiscal and Economic Sustainability adopted by the City Council in
July 2007.
The second is a proposed update of the Strategic Plan itself to reflect those
completed tasks and to establish current priorities based not only on what
remains to be accomplished but also to reflect that some things no longer
seem relevant nearly two years after adoption.
Based on your review and prioritization, ED staff will establish new budget
and time estimates for implementation of the Strategic Plan prior to taking it
to the City Council for review and adoption of the updates. If there are any
items that the Committee wishes to recommend for implementation in FY
2009-10, which require resources other than staff, we will present them to
the City Council during budget review, separate from recommended action
on amendments to the Strategic Plan.
2009 Annual Review
of the
Strategic Plan for Fiscal and Economic Sustainability
Goal 1 — The City shall facilitate the revitalization of older commercial areas
Objective 1.1: Improve business mix
Action Steps 1, 2, and 3: The City hired Buxton Community ID. They completed trade
area and market studies of both Balboa Village and Lido/Cannery/McFadden. They
provided a list of potential business matches and created Recruitment Packages for
business. The Balboa Village BID was involved in selecting the "top' retail picks for its
area. Buxton sent out letters of introduction on behalf of City this year. Staff is starting
to make contact and set up meetings. The Economic Development Administrator will be
attending ICSC in May to pursue leads.
Action Step 4: No progress due to staff vacancies and late start on Action Steps 1, 2
and 3. [Begin FY 2009/20101
Objective 1.2: Mixed use development
Action Step 1: The Zoning Code Update is progressing and hearings before the
Planning Commission should begin in September. The revisions to the Zoning Code
include flexible regulations for mixed-use development. The Coastal Commission has
approved most amendments to the Coastal Land Use Plan that would allow mixed-use
development. City Council approval of Commission modifications to the City's
amendment request is pending.
Objective 1.3: Parking Facilities
Action Steps land 2: The City hired Walker Parking Consultants to perform parking
studies of five older commercial areas and to review the parking portion of the Zoning
Code update. Walker has completed its review of the Zoning Code parking regulations,
and three of the geographical area studies —Corona del Mar, Balboa Island and
Mariner's Mile. These reports will be presented to the City Council at study sessions in
June. The Balboa Village report is in progress and Walker has not yet started on
Lido/Cannery/McFadden.
Action Step 3: Implementation of recommendations will be considered after City
Council review and approval of recommendations.
Objective 1.4: Business Association Liaison
Action Steps 1 and 2: The City has continued to work with the BIDs and Mariners' Mile
Business Owners Association. A Tourism BID that includes six hotels was formed at
the request of the hotels. New By-laws have been drafted and adopted by Marine
Avenue and are in the process of being reviewed by Balboa Village. The Restaurant
BID is sponsoring two Restaurant Weeks in 2009. In 2008, the City audited the BID
Administrator under contract to the City. Also, staff worked with the BID Administrator
to create a new collections procedure that is in process this year to reduce the amount
of outstanding assessments.
Objective 1.5: Campus Tract
Action Step 1: The draft Zoning Code establishes a new zoning district for the Campus
Tract to implement General Plan policies that allow auto sales and rental car uses. The
City Council approved a sales tax sharing agreement with European Motorcars prior to
its expansion and move from Mariners Mile to the Campus Tract. Council also
approved a zoning overlay to enable Avis to open offices.
Goal 2: The City shall support business efforts to optimize retail sales capture.
Objective 2.1: Commercial zoning
Action Step 1: The Economic Development staff is assisting in the development of the
new Zoning Code. Public hearings before the Planning Commission should begin in
September. More flexibility has been introduced into the sections dealing with eating
and drinking establishments and parking requirements.
Objective 2.2: Newport Center
Action Steps 1 and 2: The North Newport Center Planned Community was adopted to
implement General Plan policies allowing for additional retail development in Fashion
Island. Staff is facilitating development of the Nordstrom store, scheduled to open in
March 2010. New tenants have opened or are scheduled to open, although the
economic downturn has also resulted in four stores closing. Economic Development
staff will be available to support Irvine Company staff in recruiting new tenants at the
ICSC conference in May.
Objective 2.3: Airport Area
Action Step 1: As noted in Objective 1.5, the City assisted with the expansion and
relocation of auto sales and rental businesses. Staff is working with Koll and Conexant
in connection with their applications for residential and mixed use development as
provided in the General Plan. The Planning Commission has acted on a conceptual
plan for these properties.
Objective 2.4: Auto Sales
Action Step 1: Staff regularly works with brokers looking for sites in Newport Beach,
and directs them to the Airport Area. The City entered into a sales tax sharing
agreement with Newport European Motorcars to expand and relocate its facility in the
Airport Area. The existing sales tax sharing agreement with Newport Lexus is nearing
conclusion.
Objective 2.5: Performance Indicators (retail and sales tax)
Action Step 1: The Revenue Division tracks retail sales tax data. Economic
Development staff has not reviewed the effectiveness of existing reporting tools due to
staff vacancies and late start on other objectives. Four meetings of the EDC in 2008-09
focused on retail performance. At two meetings the geographic representatives on the
EDC presented information on how each commercial area was faring. The Director of
Administrative Services and Revenue Manager made two reports to the EDC as well as
the City Council on the impacts of the current economic situation on property, sales and
transient occupancy tax revenue.
Goal 3: The City shall facilitate the development, attraction and retention of a
variety of businesses that strengthen the vitality of the local economy,
particularly businesses that capitalize on market and demographic changes and
opportunities that emerge in key economic centers.
Objective 3.1: Master Plan for West Newport Mesa Area
Hoag Hospital expansion was approved last year. However, due to economic
conditions, Hoag has delayed implementation of major portions of its planned
expansion. Master planning for the rest of the surrounding area has not begun.
Objective 3.2: Flexible Zoning
Action Steps 1 and 2: ED staff has attended pertinent General Plan Implementation
Committee meetings in support of restaurant uses, mixed uses, parking, signs etc.
Objective 3.3: Business Assistance Clearing House
Action Step 1: The City has hired a consultant, who is updating the City website. When
this is complete, the Economic Development page will also be updated.
Action Step 2: The City has contracted with Costar since 2007. Staff has used the
information to assist in selecting which leads provided by Buxton (Objective 1.1) to
pursue, to provide potential sites to other potential businesses that have contacted staff,
and to provide the City Council with information on commercial vacancies.
Action Step 3: There has not been a demonstrated demand for a standard
informational package. Economic Development staff has provided information and
support to almost a dozen businesses interested in Newport Beach locations or
applying for land use or building permits.
Objective 3.4: Leading Indicators
Action Step 1: Rather than hiring a firm to prepare a study that could not keep up with
the current volatile trends, staff has been taking advantage of free economic outlook
seminars and webinars from Costar and Buxton to keep current on real estate and retail
trends. Staff also attended the OCBC Economic Forecast Program presented by CSU
Fullerton. Staff also used these resources to report to the City Council on economic
indicators.
Objective 3.5: Program targets reporting
Action Steps 1 and 2: This is the first annual report. The Strategic Plan timeline was
updated a year ago in lieu of an annual report since there had not been any staff in
place to make progress.
Objective 3.6: Fiscal Impact Model
Action Steps 1, 2, & 3: The fiscal impact model has not been updated, nor have
procedures for its use been established. Staff has found that few development
proposals have warranted fiscal impact analysis, and it may be more appropriate to
update and use the fiscal impact model on an "as needed" basis.
Objective 3.7: Economic Development Policy
Action Steps 1, 2, and 3: EDC formed a subcommittee to review and make
recommendation to the City Council on updating their Economic Development Policy.
The full EDC approved the draft Economic Development Policy update and forwarded it
to the Council for action. The City Council approved the recommended Policy update
on June 10, 2008. Staff supported the EDC in updating the City Council's Economic
Development Policy.
Objective 3.8: Economic Development Committee Structure
4
Action Steps 1, 2, and 3: EDC appointed a sub -committee to draft revisions to the
resolution establishing EDC and made recommendations to the City Council in
connection with those revisions. The City Council adopted the EDC's recommendation
and revised the resolution concerning EDC.
Goal 4: The City shall facilitate an economically viable concentration of marine
uses, and enhance the maritime viability of Newport Harbor.
Objective 4.1: Water -Dependent Marine Businesses
Action Step 1: The draft Zoning Code is being written to balance the need to maintain
water dependent uses and to allow other uses that are permitted by the General Plan
Land Use Policies.
Objective 4.2: Non -Water -Dependent Marine Businesses
Action Step 1: Economic Development staff reviewed reports to the General Plan
Implementation Committee concerning incentives that could be included in the updated
Zoning Code to facilitate the preservation and relocation of marine businesses. No
incentives were found to be feasible under the limitations of the General Plan and
Charter Section 423.
Objective 4.3: Dredging Lower Newport Bay
Action Steps 1 and 2: A plan is being developed and funds are being sought. Testing
for toxic substances has already begun on the lower bay to determine how to dispose of
the material to be removed. The City has budgeted $300,000 for this process and will
be committing a second $300,000 to complete testing and to develop a confined aquatic
disposal (CAB) site in the harbor. The Army Corps of Engineers is receiving $17.3
million in stimulus funds to complete dredging of the upper bay, which should increase
our ability to secure funds for the lower bay.
Objective 4.4: Regulatory Compliance
The fees and permitting process for water uses and moorings are being reviewed by the
Finance Committee and the Harbor Commission. The Coastal/Bay Water Quality
Committee and the Coastal/Bay Use subcommittee continue to monitor water quality. A
ban on use of expanded polystyrene food containers by restaurants in Newport Beach
goes into effect on June 1, 2009 in hopes of decreasing trash on the beach and in the
ocean. The City has been negotiating with the National Marine Fisheries seeking
permission for the City to regulate eel grass. As part of that regulation the City is also
seeking permission to develop an eel grass mitigation bank that may be used by
residents to meet their preservation obligation.
Objective 4.5: Water Transportation Services
Action Steps 1 and 2: The EDC has forwarded to City Council a proposal to create a
Committee of Interested Individuals to Investigate a Summer Water Taxi Service.
Goal 5: The City will enhance the boating services of Newport Harbor.
Objective 5.1: Additional Guest Boat Slips
Action Step 1: Marina Park has been designed, including an additional twenty-
three (23) boat slips. The public review period for the EIR on this project concluded on
April 13, 2009.
Objective 5.2: Develop Additional Capacity to Tie Up Small Boats
Action Step 1: See Action Step 1 under Objective 5.1.
Action Step 2: The Rhine Wharf project has permits, the design is being refined
and the project will go out to bid in late summer of 2009.
Action Step 3: Harbor Resources staff is close to submitting permit applications for
Fernando Street, 15" Street and 191h Street public docks.
Objective 5.3: Dinghy Docking
Action Step 1: Staff reviews dinghy docking regulations annually.
Objective 5.4: Policy on Visiting Boaters
Action Steps 1, 2, 3 and 4: See Objectives 5.1, 5.2, and 5.3.
The City, in conjunction with Department of Boating and Waterways, amended the
Municipal Code to limit long-term anchorage off of Big Corona Beach, in response to
problems caused by non -seaworthy vessels leaking sewage during prolonged stays
and/or being washed ashore and breaking up on the beach.
Goal 6: The City shall support the careful expansion of visitor -serving
businesses and facilities.
Objective 6.1: Small Scale Lodging
Action Steps 1, 2 and 3: These items have not commenced formally. Staff believes
that the primary barrier to bed and breakfast inns is Newpoit Beach's lack of residential
properties that are large enough and have sufficient parking.
Objective 6.2: Vacation Rentals
0
Action Steps 1 and 2: The EDC received a comprehensive report on the short-term
rental industry in Newport Beach from Burr White, the City's largest short-term rental
property manager. Code revisions and development of a "Seal of Approval" program
are still pending. A Good Neighbor Policy including decals with owner contact
information was developed and put into operation beginning with the summer of 2008.
Objective 6.3: Marketing and Promotion
Action Step 1: The City Manager is an ex officio member of the CVB Board of
Directors, and three members of the EDC are currently on the CVB board.
Action Step 2: The City provides financial support to the CVB, with a new five year
contract under which the CVB will continue to receive 18% of the TOT. ED staff worked
with the CVB to bring to the City Council a proposal to form a Tourism Business
Improvement District (TBID), which became effective April 28, 2009.
Action Step 3: The City continues to provide support to annual events including the
Newport Beach Film Festival and Restaurant Week.
Objective 6.4: Beach/Bay Activities Promotion
Action Step 1: The EDC developed a proposal for a Special Events Advisory
Committee to provide the City Council with an analysis of the return to the community,
both tangible and intangible, of City supported events and to create a master calendar
of events. The City has made special accommodations for the Orange County
Marathon to occur at a different time and on a new route showcasing the beach, and for
the Pacific Coast Triathlon to occur in July to accommodate international competition
qualifying schedules.
Goal 7: The City will seek to minimize the economic impact of traffic
congestion and will take affirmative steps to improve traffic flow.
Objective 7.1: Traffic Control Synchronization
Action steps 1, 2, and 3: The City retained a traffic signal consultant to complete a
traffic signal communication master plan and design traffic signal upgrades.
Action Step 4: The traffic light synchronization installation program has begun.
Construction of the new Traffic Management Center (TMC) has been completed. The
first phase of the Citywide Traffic Signal Modernization project is fully operational and
22 signalized intersections are connected to the TMC. Some intersection and road
improvements are occurring at the same time. The goal is to update all of the 117 City-
operated traffic signals. City Council awarded the bid for Phases 2 & 3 on April 14,
2009.
Objective 7.2: Roadway Improvements
Actions Steps 1 and 2: Consultants were retained to update the Fair Share Fee, and
their preliminary reports and recommendations were presented to the General Plan/LCP
Implementation Committee. The reports are being revised in response to comments
from the development community, and will be presented to the GP/LCP Committee
when the Committee completes its review of the draft Zoning Code.
Action Step 3: No General Plan improvements have been designed and constructed.
However, the North Newport Center Development Agreement includes provisions for
funding of improvements in the Newport Center area.
Objective 7.3: Regional Traffic Improvements
Action Step 1: The City has secured funding for the widening of Jamboree Road from
Bristol Street to Fairchild, and design of this project is in progress.
Objective 7.4: Alternative Transportation
Action Steps: A Public Bike Share demonstration is planned for the Balboa Peninsula
and OCTA facility in Newport Center for July.
Objective 7.5: Cooperation with Adjacent Cities
Actions Step 1: IBC litigation settlement funds were used to complete a study of
traffic impacts from development in that part of Irvine. Additional study is being
conducted to explore mitigation solutions.
Action Step 2: Newport Beach participated in OCTA's study of potential improvements
to Newport Boulevard between SR 55 and Coast Highway.
Goal B: The City will administer its development review and permitting
processes in an efficient, solution oriented and customer friendly manner.
Objective 8.1: Implement Recommendations of Development Review Evaluation
Action Step 1: Assistant City Manager meets frequently with Directors of Building,
Planning and Public Works and Fire Marshal; and interdepartmental task forces have
addressed work flow, submittal requirements, technology improvements and training.
Economic Development staff act as project facilitators for commercial projects. Permits
Plus functionality has been increased to provide more regular reporting to department
managers. All departments use Permits Plus to post plan check corrections. Planning
staff is at full complement, and senior staff in the Planning and Building Departments is
available at the permit counter at all times. Application submittal requirements have
been simplified, clarified and coordinated among departments, and are available on the
City website.
Objective 8.2: Enhanced Communication with Applicants
Action Step 1: In addition to on-line information noted in Objective 8.1,
communication with applicants has been increased through meetings of management
staff with development community representatives to assess City processes, discuss
areas for improvement and agree on changes. Building Department has implemented
policy of meeting with applicants whenever all plan check corrections have not been
resolved after two reviews.
Objective 8.3: Training
Action Step 1: Planning, Building, Harbor Resources, Public Works, General
Services and Utilities staff have all participated in Customer Care Initiative training
developed specifically for the development review function.
Objective 8.4: Zoning Code Update
Action Step 1: The General Plan Implementation Committee is reviewing a draft of
the comprehensive rewrite of the Zoning Code. Economic Development staff provided
input in areas such as parking and restaurant regulations. Public hearings before the
Planning Commission should begin in September.
CITY OF NEWPORT BEACH
STRATEGIC PLAN FOR FISCAL
AND ECONOMIC SUSTAINABILITY
Adopted July 24, 2007
Updated May 2009
TABLE OF CONTENTS
I. INTRODUCTION.............................................................................................. 3
The Visioning Process...............................................................................3
II. STRATEGIC PLAN FOR FISCAL & ECONOMIC
SUSTAINABILITY.......................................................................................... 4
VISION STATEMENT...................................................................................4
THE ROLE OF THE CITY...........................................................................4
GOALS, OBJECTIVES AND ACTION PLANS....................................6
Goal 1: The City shall facilitate the revitalization of older
commercial areas....................................................................................6
Goal 2: The City shall support business efforts to
optimize retail sales capture...........................................................10
Goal 3: The City shall facilitate the development,
attraction and retention of a variety of businesses that
strengthen the vitality of the local economy, particularly
businesses that capitalize on market and demographic
changes and opportunities that emerge in key economic
centers........................................................................................................13
Goal 4: The City shall facilitate an economically viable
concentration of marine uses, and enhance the maritime
viability of Newport Harbor..............................................................16
Goal 5: The City will enhance the boating services of
NewportHarbor.....................................................................................23
Goal 6: The City shall support the careful expansion of
visitor -serving businesses and facilities..................................25
Goal 7: The City will seek to minimize the economic
impact of traffic congestion and will take affirmative steps
to improve traffic flow........................................................................27
Goal 8: The City will administer its development review
and permitting processes in an efficient, solution oriented
and customer friendly manner.......................................................30
NOTE ON ADDITIONAL REFERENCES.................................................33
Strategic Plan For Fiscal & Economic Sustainability
Page 2
I. INTRODUCTION
The Strategic Plan for Fiscal and Economic Sustainability is
designed to serve as a work program for the City Council, City staff,
the City Economic Development Committee (EDC) and other civic
leaders to promote and sustain fiscal and economic vitality in
Newport Beach. It is intended, in part, as a companion document
for the General Plan, to assist the City in implementing portions of
the General Plan that affect economic development in the City.
Beyond City land use and development policy, however, the
Strategic Plan for Fiscal and Economic Sustainability includes goals
and objectives to enhance the business climate in the City.
The Strategic Plan for Fiscal and Economic Sustainability focuses
on a shorter time frame than does the General Plan, since
economic conditions and priorities can change more rapidly than do
planning goals related to community character and land use
patterns. The work program included here contemplates at most a
five-year time horizon, and it is assumed that annual reviews of
progress and re -assessments of priorities will be undertaken as a
prelude to the City's annual budget process.
The Preliminary Commitment Outlinefinancial and staff resources
and action stepsel8MGRts embedded within the main document are
estimates for commitments that may be necessary to undertake the
objectives, as well as
cost estimates that may
be associated with
those commitments as
are available at this
time.
The Visioning Process
The City initiated a
Visioning Process in
January of 2002, ahead
of its effort to update the
General Plan, which
culminated in
publication of the Community Directions for the Future report in
January 2003. The Visioning Process included a series of events,
meetings and public information gathering programs and resulted in
a vision statement for Newport Beach and substantial public input
Strategic Plan For Fiscal & Economic Sustainability
Page 3
on a wide range of issues for consideration in the General Plan
Update.
Based on public input, a vision for the future of Newport Beach was
developed by the citizen General Plan Advisory Committee
(GPAC), which describes the City's desired `end state' and what the
community hopes to have achieved by 2025. Under the heading,
"Growth Strategy, Land Use and Development," the vision states in
part, `(w]e have a conservative growth strategy that emphasizes
residents' quality of life — a strategy that balances the needs of the
various constituencies and that cherishes and nurtures our
estuaries, harbor, beaches, open spaces and natural resources.
Development and revitalization decisions are well conceived and
beneficial to both the economy and our character...."
The process also ascertained the public's input on a range of more
specific issues. There was broad community consensus on some
economic issues, and more diverse opinion on others. The full
detail of the vision developed by GPAC is contained in the report
noted above.
II. STRATEGIC PLAN FOR FISCAL & ECONOMIC
SUSTAINABILITY
0114[•L1611r_NI :I&I:101I
Newport Beach shall maintain and enhance its local economy, a
high quality of life, economic opportunities for its citizens and the
sustained fiscal health of the City, while respecting and supporting
the residential and waterfront character of the community and its
natural resources and amenities.
THE ROLE OF THE CITY
An important purpose of this plan is to help focus limited City
resources on activities that are most cost-effective and address
squarely the City's priorities for economic development. The private
sector is the primary engine for economic progress in Newport
Beach. The City is fortunate to enjoy sustained periods of relative
prosperity during which little government involvement is warranted
Strategic Plan For Fiscal & Economic Sustainability
Page 4
beyond providing clear land use policies and an efficient,
predictable entitlement process. It is also important for the City to
sustain economic and fiscal health throughout the ups and downs
of the business cycle.
Typically, cities can play a role in several areas to support
economic development, as follows:
1. Land Use and Development Policy
The City's main effort recently has been to update the
General Plan; and the implementation of new land use and
development policies in various areas of town will have a
significant impact in supporting economic development.
2. Infrastructure
Regarding infrastructure, the City has made strategic
investments in public improvements, such as the streetscape
work in the Balboa Village,
Corona del Mar, Marine
Avenue and Mariner's Mile
commercial districts, but in
general it has only limited
resources to invest in new
infrastructure. The City must
instead focus on implementing
policies to ensure that new
development pays for new
infrastructure and that the
fiscal balance of the
developing land use mix can
sustain the City's ability to
operate and maintain the
existing infrastructure. To the
extent the City can address
infrastructure improvements,
I in circulation
and parking facilities will benefit the economic growth of the
community most.
3. Incentives
The City can offer incentives to development such as shared
parking opportunities, in -lieu parking fees, tax-exempt
financing, and sales tax sharing. These kinds of incentives
can improve the market feasibility of desired kinds of
Strategic Plan For Fiscal & Economic Sustainability
Page 5
improvement in the economic environment without
necessarily requiring expenditures of existing public funds.
GOALS, OBJECTIVES AND ACTION PLANS
The Strategic Plan for Fiscal and Economic Sustainability for the
City of Newport Beach includes eight major goals for economic
development in the City:
• Goal 1: Facilitate revitalization of the City's older commercial
areas;
• Goal 2: Support efforts to optimize retail sales capture;
• Goal 3: Facilitate the development of businesses that
strengthen the vitality of the local economy;
• Goal 4: Facilitate an economically viable and vital Newport
Harbor;
• Goal 5: Enhance the boating services of Newport Harbor;
• Goal 6: Support careful expansion of visitor -serving
businesses and facilities;
• Goal 7: Seek methods to improve traffic flow and minimize
the economic impact of traffic congestion;
• Goal 8: Administer the development review and permitting
processes in an efficient and customer friendly manner.
The following discussion briefly outlines these goals, along with the
more detailed objectives and implementation actions associated
with each goal.
Goal 1: The City shall facilitate the revitalization of older
commercial areas
Objective 1.1 — Improve the business mix of older
commercial districts, especially regarding their resident
serving usefulness, through improvement in the quality,
breadth and sales tax generation of such areas, taken as a
whole. Identified areas include Balboa Village and other
Balboa Peninsula commercial districts, as well as Marine
Avenue, Old Newport Boulevard,—and West Newport, and
f:nrnnn Hpl NAnr
Strategic Plan For Fiscal & Economic Sustainability
Page 6
Lead: Economic Development staff
Support: Business Improvement District Boards; Planning
Commission; City Council; Planning Department staff;
Chamber(s) of Commerce representatives; consultant
support.
Financial/Staff Resources: Staff time—approx. 400 hours
annually (1/10 total E.D. staff time); Cost. approx. $50,
Action Steps:
Contract with consulting firm to prepare specific
reports for each commercial village and/or identified
sub -area, utilizing existing and new data to provide
research on commercial area market and purchasing
trend detail. Firm should provide business attraction
recommendations, contact information, and targeted
retailer marketing packages. [Begg, may, 2007 w/
stable G of areas, Rd Genton a with areas
transition Buxton Community ID has completed
process for Balboa Peninsula. Pending outcomes,
another area will be selected in 2010]
Prepare specific recruitment materials utilizing
primary data provided by consultants, as well as
materials shared by the Chambers of Commerce and
other organizations. [Begin September, 2007and
^RBuxton Community ID prepared materials for
Balboa Peninsula. Pending outcomes, another area
will be selected in 2010.]
Economic Development staff (jointly with Chamber
staff) should begin new business recruitment program
utilizing market area information and other shared
resources. Recruitment targets should include, but not
be limited to, retail leads for possible fit in commercial
villages as developed by marketing consultant; those
identified as retailers `spun off' by The Irvine
Company from their commercial centers; and/or those
wishing to expand (as coordinated with Objective 2.2),
or as retailers not desiring to be within a "shopping
center." [Begin QGteber, 2007May 2009 for Balboa
Peninsula & Maintain. Pending outcomes, another
area will be selected in 2010.1
Strategic Plan For Fiscal & Economic Sustainability
Page 7
4. Review/implement "vision" plans for Balboa Village,
West Newport, the joint Cannery Village / Lido /
McFadden area, and/or other areas as appropriate.
[Beginning September, with Balboa Village in
FY 2009/2010.
Obiective 1.2 — Mixed -Use Development: The City shall
adopt flexible zoning regulations to implement General Plan
mixed-use development policies in the commercial districts.
Lead: Planning Department
Support: Planning Commission, City Council
Financial/Staff Resources: Included in Zoning Code re-
write.
Action Steps:
1. Economic Development staff will coordinate with the
General Plan Implementation Committee and staff of
the Planning Department to prioritize this Objective,
and will provide feedback to the EDC on progress
made. [Completion duly, 2 December 2009]
Objective 1.3 — Parking Facilities: In cooperation with
merchants and commercial property owners, the City shall
establish a plan to facilitate the improvement of parking in
specified areas. The City may use various mechanisms to
facilitate this, e.g., public/private partnerships, tax exempt
financing, parking management districts and/or in -lieu fees.
Lead: Economic Development Staff
Support: Administrative Services staff; Public Works
Department staff; City Council
Financial/Staff Resources: Staff time 400+ hours; largely
dependent on establishment of in -lieu parking fee. Possible
design and/or assessment district consulting engineers;
Parking structure development could also rely on revenue
bonds paid with fee revenues, though currently TBD.
Action Steps:
Strategic Plan For Fiscal & Economic Sustainability
Page 8
Hire Parking Management consultant to review and
update the parking standards and policies, including
the potential implementation and possible impacts of
market pricing; prepare a study of programs that
encourage the development of shared use parking
facilities; and identify and prioritize areas where
parking facilities are needed or might be needed in
the near future. [DegiR July z807 Completion
September 20091
Seek City Council input on and approval for the
recommendations from the parking consultant effort,
including the establishment of an in -lieu fee. [Begin
January, 2009 June 20091
3. Identify and implement high impact recommendations
that can be quickly accomplished. Identify and
implement high priority recommendations that need
immediate initiation and dedicated resources.
[Completion duly, 2 December 2009]
Objective 1 A — Business Association Liaison: The City shall
continue to support, and participate in as appropriate, efforts
of Business Improvement Districts (BIDs) and other business
and/or property owner groups to complete improvements
and other voluntary business support activities within their
areas.
Lead: Economic Development Staff
Support: City Council; BID Boards of Directors & property
owner group boards; City staff from: City Manager's Office,
Fiscal Services Division, City Attorney's office, Planning,
Public Works, General Services, and Utilities departments;
BID Systems, Inc. staff; Chamber(s) of Commerce staff;
various contractors annually
Financial/Staff Resources: Staff time—approx. 400 hours
annually (1/10 total E.D. staff time); $140,000 General Fund
line item annually for BID matching funds and contract admin
support; various General Fund contributions annually to
public improvement projects and event support.
Action Steps:
Continue E.D. staff liaison programming with the
City's feuf five Business Improvement Districts,
including (but not limited to): fiscal administration;
Strategic Plan For Fiscal & Economic Sustainability
Page 9
activities support; BID renewal activities; contract
assistance and oversight; public improvement
program development and implementation;
marketing/advertising support; coordination between
business area improvement groups and the
neighboring residential public. [Ongoing]
• Task A: E.D. staff and BID Systems, Inc. staff
should prepare a BID `past -due' assessment
collection program for adoption by the City Council
and amendment to the Municipal Code. [Begin
'6ly, 2007 Completed.
2. Continue E.D. staff liaison programming with the
Mariner's Mile Business Owners Association.
[Ongoing]
Objective 1.5 — Campus Tract: With its proximity to the John
Wayne Airport and the potential availability of larger sites,
the City shall focus its initial planning efforts on opportunities
for the Campus Tract area.
Lead: Planning Department Staff
Support: City Manager's Office; Economic Development
Staff; Zoning Consultant
Financial/Staff Resources: This should be included in the
Zoning Code revisions project that is already underway.
Action Steps:
1. Economic Development staff will coordinate with the
General Plan Implementation Committee and staff of
the Planning Department to prioritize this Objective,
and will provide feedback to the EDC on progress
made. [Completion jaRuary, 2009 December 2009]
Goal 2: The City shall
support business efforts to
optimize retail sales /R
capture. /
Objective 2.1 —
Commercial Zoning:
The City shall adopt
flexible zoning in support of General Plan policies for
commercial development.
Lead: Planning Department staff
Support: Planning Commission; City Council
Financial/Staff Resources: This should be included in the
Zoning Code revisions project that is already underway.
Action Steps:
1. Economic Development staff will coordinate with the
General Plan Implementation Committee and staff of
the Planning Department to prioritize this Objective,
and will provide feedback to the EDC on progress
made. [Completion iaRuary, 2009 December 20091
Objective 2.2 – Newport Center: The City shall facilitate
efforts by Fashion Island and Newport Center to evolve their
design and retail mix to capture maximum retail sales.
Lead: Property owners
Support: Planning Department staff and City Manager's
Office staff.
Financial/Staff Resources: Staff time to review proposals
will be paid through development review fees.
Action Steps:
1. Work with The Irvine Company, other property
owners, the Planning Commission and City Council to
ensure that the revised Planned Community for
Fashion Island includes provisions to facilitate
additional retail development and implements Design
and Development policies in the General Plan Land
Use Element. [May n,,,.ernb„r 2007 On-going]
2. Meet with The —Irv;rt8Ge y reff;eseetatives
quarterly tri share information on also tax g ration
of o iotinn retail mix nrd review trends and possible
changes [Onnningj
Objective 2.3 – Airport Area: The City shall encourage and
facilitate the development of attractive retail and commercial
uses that maximize retail sales capture in the Airport Area,
commensurate with new General Plan land use designations
Strategic Plan For Fiscal & Economic Sustainability
Page 11
and policies related to mixed use and residential
development.
Lead: Planning Department staff
Support: Economic Development staff; City Manager's
Office staff; Property owners.
Financial/Staff Resources: Staff time—approx. 100-200
hours annually. If a large project with a need for additional
project management is needed, significant additional staff
hours may be needed. Staff time to review proposals will be
paid through development review fees.
Action Steps:
1. Economic Development staff will meet with property
owners and developers as they come in with projects
and provide appropriate guidance and assistance to
achieve General Plan goals, focused on encouraging
sales tax generation and capture in mixed use as well
as commercial projects [Ongoing].
Objective 2.4 — Auto Sales: The City shall encourage the
development of auto sales facilities as a means of
maximizing sales tax capture.
Lead: City Manager's Office
Support: Economic Development Staff; development review
departmental staff; City Attorney's Office staff
Financial/Staff Resources: TBD, as proposals are made to
the City.
Action Steps:
1. Staff of the City Manager's Office will continue to
coordinate with various property owners, and
representatives of the automotive sales &
development industry for this effort, and will provide
feedback to the EDC on progress made. [Ongoing]
Objective 2.5 — Performance Indicators: The City shall
improve its ability to track retail trends within Newport Beach
by contracting for a more comprehensive sale tax audit
service and by providing regular reports to the City Council
and the EDC on sales tax performance by sub -area and
business type. The City may also track vacancy rates of
retail and commercial properties through Co -Star.
Strategic Plan For Fiscal & Economic Sustainability
Page 12
Lead: Revenue Division staff
Support: Economic Development staff; consultants
Financial/Staff Resources: No new external cost may
result if no additional consultant contracts are involved,
though a review of additional reporting may necessitate
minor additional resources.
Action Steps:
1. Economic Development staff should work with
Revenue Manager and MRA to determine current
effective value of existing reporting tools for retail
performance trend analysis, including allocation
audits, trends analysis, and tax increment verification.
[July -August, 200791
2. If existing tools are unsatisfactory, contract with new
firm to establish a useable matrix for trend analysis
and report generation by business type, commercial
sub -area; provide additional analysis; and reports that
can be provided to the EDC and Council. [Begin ApP4
October, 20089 and ongoing]
Goal 3: The City shall facilitate the development, attraction and
retention of a variety of businesses that strengthen the vitality
of the local economy, particularly businesses that capitalize
on market and demographic changes and opportunities that
emerge in key economic centers.
h'ecoPlan fer the est Newport Mesa
'+ Master �r—
West
l. �.�... ., erty o s to develop a aster plan for
pprroopp� s that a related to and port Heag Hospital
MnGl ;g med+eal, medteal supporting, eornme
res'dential and industrial uses
Lead: Planning department staff
CUnn.,rt• Gity rye oil• GGenerr,•,. Develepment staff
Financial Resources: GeRSUItipe seFVOGes .,ill her red
with estimated a+ $50 nnn 7� nnn Staff time
im-�viEeS�nTruc , �-cun'--cm-r�Is
estimated at 550+ hours during a likely `)_dear lifespan for
the p est
T
AGtian Steps:
Strategic Plan For Fiscal & Economic Sustainability
Page 13
1 . Meet with perty- GWRers to update trhrena GR General. - Formatted: Indent: Left: 36 pt, No bullets or
pplaR pprrvdTSi0Rs anrd Heap plar,Sand aSGertainmet numbering
par+iGipa+inn In joint planpinn effort. [Begip April, 20081
2 if rnperty Gwners are suppnpp�eEiFGUlate ACD aR d
retaip G ultan++n prepare aster plan. [Ronin May, 2008]
� ... _9116-R-11. av..rtcrTPprreve
E) n ens to develop masteF plan nlurdinn n eFt unities. f9F
input from all p erty n [Ronin Iu ly 20081
Present masteF plan to Plan n ('eMMOooipn and Gity
Objective 3.2 — Flexible Zoning: The City shall implement
Zoning Code reform to expand the definition of non-
residential uses and to create flexibility in its zoning code to
allow projects representing innovative market or
development opportunities to proceed with fewer restrictions.
Lead: Planning Department Staff
Support: Planning Commission; City Council
Financial/Staff Resources: This should be included in the
Zoning Code revisions project that is already underway.
Action Steps:
1. Economic Development staff will coordinate with the
General Plan Implementation Committee and staff of
the Planning Department to prioritize this Objective,
and will provide feedback to the EDC on progress
made. [Completion December 2009]
2. EDC
sheQldreview and
yi e GATmeyT GR iSSU
e
aper
dUGedbh,GPIG regardiRg this—issue.-
2089}
Objective 3.3 — Business Assistance GleaFiRgheus&L The
City shall coordinate with the Newport Beach Chamber of
Commerce to establish a business assistance Glearinnhe iso
and business outreach materialspregrarn to help facilitate
new business ventures and business expansions in Newport
Beach. This Objective should be coordinated with efforts
resulting from Objective 1.1.
Lead: Newport Beach Chamber of Commerce staff
Strategic Plan For Fiscal & Economic Sustainability
Page 14
Support: Staff from Economic Development, Fiscal
Services, City Manager's Office; leadership from other local
businesses
Financial/Staff Resources: Website: approximately
$510,000 in first year, with updates as required. Subscription
real estate services: approximately $810,000 annually.
infermatiOR p—aGkageapnr,,. imately $2,500 5,000.
4425,000 max. total)
Action Steps:
Update City's website to provide additional resources
on-line; using coordinated business clearinghouse
and focused economic development information
tailored to Newport Beach (example:
www.onlyinirvine.com). [Begin Julyanuary 20099 -
Completion Ja+yanuary, 20G81 01
Contract for subscription -based commercial real
estate information database services, in order to
provide potential property buyers and/or tenants with
up-to-date information about the smaller, individually -
owned and marketed commercial properties.
[ Ongoing 1.
Strategic Plan For Fiscal & Economic Sustainability
Page 15
WINTM
W., N.
NWN
�M
".
Objective 3.5 — Provide reports to the EDC and City Council
on program targets and effectiveness on semi-annual basis.
[Beginning 06teber200TMay 2009] Include annual update
as part of Economic Development Report to City Council.
1. EDC should provide recommendations, based on
Objective 2.5, 3.4, and as part of annual Economic
Development Report, to the City Council regarding
new programming and/or resources (financial,
staff, etc.) necessary to recruit, retain, and/or
expand targeted retail sales tax -producing
businesses. [Beginning jaRwary, 2009May 2009]
2. Establish regular schedule (quarterly and/or semi-
annually, as determined) of reporting to EDC in
order to establish practice of retail trend analysis
that will (in coordination with Objective 1.1) focus
recruitment, expansion and retention efforts.
[BeginRinggg:gEIaR ar" 2008 Ongoing]
Objective 3.6 — Maintain and utilize a fiscal impact model to
assist the City in making land use and development
decisions that benefit the City.
Lead: Economic Development staff
Support: Revenue Division, Planning Department, and
consultant support
Financial Resources: Ongoing
Action Steps:
Strategic Plan For Fiscal & Economic Sustainability
Page 16
-3-.1. Update and use model for analysis of projects
likely to have significant fiscal impactannua4Ey.
[ReGons4d r n.,,,,,ingLks neededl
Objective 3.7 — Economic Development Policy: The City
Council, with the assistance of its Economic Development
Committee and staff, shall revisit and update its established
Policy regarding Economic Development, to reflect the
present fiscal and economic needs and values of the City.
The updated policy shall take into account the provisions
and priorities included in this document.
Lead: City Council and Economic Development staff
Support: Economic Development Committee
Financial Resources: No new resources are required to
implement this Objective.
Action Steps:
1. EDC should appoint a subcommittee to draft
revisions. [As needed]
2. EDC should make recommendations of revisions to
the City Council. [As needed]
3. City Council should take action on recommendations.
[As needed]
Objective 3.8 — Economic Development Committee
Structure: The EDC shall explore restructuring opportunities
that better reflect the current makeup of the local economy,
and that would provide the —expertise and flexibility to
implement the goals and objectives of this plan.
Restructuring should also pay particular attention to the
effective and efficient utilization of volunteers serving on this
Council -appointed committee and their time.
Lead: Economic Development Committee members and
Economic Development staff
Strategic Plan For Fiscal & Economic Sustainability
Page 17
Support: City Council
Financial Resources: No new resources are required to -
implement this Objective.
Action Steps:
1. EDC should appoint a subcommittee to draft
revisions. [As needed]
2. EDC should make recommendations of revisions to
the City Council. [As needed]
3. City Council should take action on recommendations.
[As needed]
Goal 4: The City shall facilitate an economically viable
concentration of marine uses, and enhance the maritime
viability of Newport Harbor.
Objective 4.1 — Water -Dependent Marine Businesses: The
City shall implement land use and related zoning regulations
to encourage the preservation of water dependent marine
business uses as re -development occurs over time.
Lead: Planning Department staff
Support: Consultant(s)
Financial Resources: This should be included in the Zoning
Code revisions project that is already underway.
Action Steps:
1. Economic Development staff will coordinate with
the General Plan Implementation Committee and
staff of the Planning Department to prioritize this
Objective, and will provide feedback to the EDC
on progress made. [Completion january, 20
December 20091
Objective 4.2 — Non -Water -Dependent Marine Businesses:
The City shall implement land use and related zoning
regulations by [January, 2010] to provide for the preservation
of existing non -water dependent marine businesses in the
West Newport Mesa area, as well as development of
incentives to facilitate the relocation of such businesses to
Strategic Plan For Fiscal & Economic Sustainability
Page 18
Formatted: Indent: Left: 36 pt
that area from economically unsustainable water front
locations.
Lead: Planning Department staff
Support: Consultant(s)
Financial Resources: This should be included in the Zoning
Code revisions project that is already underway.
Action Steps:
1. Economic Development staff will coordinate with
the General Plan Implementation Committee and
staff of the Planning Department to prioritize this
Objective, and will provide feedback to the EDC
on progress made. [Completion JaRuary,20
December 20091
Objective 4.3 — The City shall implement a plan to provide
for the dredging of lower Newport Bay to its design depth to
allow safe navigation for vessels that use the harbor,
working with the
Engineers and
other appropriate
governmental
agencies.
Lead: Harbor
Resources
Division staff
Support: Harbor
Commission, Bay
Issues
Committee, City
Council
Financial Resources: Lobby Federal funds to be
appropriated to the Army Corps of Engineers and/or local
funding with reimbursement from the Corps at a later date.
Action Steps:
1. Harbor Resources Staff, City Manager's Office,
and City Council members will agree upon an
Advocacy Strategy for LNB Dredging by July
2007. The Advocacy Strategy's focus shall be
twofold — (1) seek $11 million in the Federal FY
Strategic Plan For Fiscal & Economic Sustainability
Page 19
2009 Budget and (2) seek re-programming of
funds from other delayed Corps projects to the
LNB Project as soon as practicable. Advocacy
involves direct communication with the Corps, our
federal representatives, and other watershed
partners. [138giR Duly, 2007 and „Ongoing]
2. Harbor Resources Staff shall prepare the LNB
project for construction (pending funding and
concurrent with Action Step #1) by applying for
and receiving all required permits, including by
addressing toxicity issues in the LNB (pyrethroids,
heavy metals) with consultants' contracts. [Be
9steber2007 and Ongoing]
Objective 4.4 — Regulatory Compliance: As part of its
business assistance program, the City shall assist water -
dependent businesses with information and City programs to
aid businesses adjacent to the Harbor in complying with
state and federal regulations pertaining to water quality,
among others.
Lead: Harbor Resources Division staff
Support: Harbor Commission, Bay Issues Committee
Financial Resources: Every five years, the City's Budget
includes about $500,000 to complete the testing, monitoring,
and applications required each time the City renews a US
Army Corps of Engineers -issued Regional General Permit
(RGP 54) that allows small maintenance dredging projects.
These projects benefit pier owners and provide sand for
beach replenishment. The City's Harbor Resources staff also
serves as the first stop in processing many on -water Coastal
Development Permits and Building Permits.
Action Steps
1. Renew RGP-54 on a routine basis, including
preparing for its renewal 2-3 years in advance of its
expiration. [Ongoing]
2. Budget for studies and testing required during
each renewal. Apply all or a portion of the cost of
RGP 54's tests and studies to Harbor fees, at a
percentage of cost recovery directed by City Council.
[Ongoing]
Strategic Plan For Fiscal & Economic Sustainability
Page 20
3. Continue negotiations with the National Marine
Fisheries seeking permission for the City to regulate
Eelgrass. As part of that regulation the City is
seeking permission to develop an Eelgrass mitigation
bank that may be used by residents to meet their
preservation obligation. {GOM;letiOR September,
2W7Ongoing]
4. Seek State and federal funding for the remediation
of toxic hotspots in the LNB, including the Rhine
Channel. [GOMPletiO„ August, 2007 Ongoing until
funded]
5. Ensure that all watershed partners, including
upstream cities, appropriately fund water quality
improvements in the Bay where upstream actions are
directly or indirectly responsible for Bay impairments.
[Ongoing]
6. Develop and continuously update an electronic
and paper version of a Bay Users Handbook that
instructs businesses and residents as to regulations,
permit steps, and other helpful information. [Ongoing]
Objective 4.5 — The City will invite proposals for the
implementation of a privately owned and operated summer
water transportation service, with funding supplemented by
grants, private, contributions and public monies. Research
should be conducted into the transferability of existing
models in Los Angeles County and other areas.
Lead: Economic Development staff
Support: Harbor Resources Division staff, Harbor
Commission
Financial Resources: Public/Private partnership
Action Steps:
EGonorniG Deyelepmen+ Summer Water Taxi
Committee will research successful small -harbor,
summer -only private (or public/private) water
transportation services that may be suitable
models for implementation in Newport Beach.
[Apr'!june,2008june — September 2009]
2. A committee of interested individuals from the
EDC, Harbor Commission, and the local maritime
Strategic Plan For Fiscal & Economic Sustainability
Page 21
and tourism industry will be formed to develop and
champion—with staff assistance as required—
strategies, find funding methods and sources, and
review proposals for implementation. [Beginning
June, 20089]
Strategic Plan For Fiscal & Economic Sustainability
Page 22
Goal 5: The City will enhance the boating services of Newport
Harbor.
Objective 5.1 — The City will develop or convert at least 40
additional guest boat slips, and annually study the demand
for additional guest slips.
Lead: Harbor Resources Division staff / Public Works staff
Support: Harbor Commission
Financial Resources: CIP funding of the design and
construction of the Marina Park Project
Action Steps:
1. Design and construct a visitor -serving marina at
Marina Park. [Completion, 2010]
Objective 5.2 — Where feasible, the City will develop more
capacity for tying up small boats at the Balboa Village area,
Balboa Island area, Marinapark, the Rhine Channel area and
the Mariner's Mile area.
Lead: Harbor
Resources staff /
Public Works staff
Support:
Commission,
Community
volunteers
Harbor
Financial
Resources: CIP
budget request for
design and
construction
Action Steps:
1. Design and construct a guest dock at Marina Park.
[Completion, 20101
2. Design and construct a guest dock at the Rhine
Wharf. [Gemplet'GR by Nevernber, 2007 Underway
completion 2010]
3. Design and construct public dock access
improvements at the Fernando Street, 15th Street and
Strategic Plan For Fiscal & Economic Sustainability
Page 23
19th Street public docks. [Underway submit permit
application June 2009 Gcompletion, June 2088111
4. Regularly review existing Municipal Code so that
public dock tie-up times on existing public docks
maximize the ability of visitors and residents to use
public docks for short-term stays (shopping, dining).
[Ongoing]
Objective 5.3 — The City will review its dinghy docking
regulations annually to provide docking spaces for temporary
docking which best suit the needs of the boating public.
Lead: Harbor Resources Division staff
Support: Orange County Sheriff's Harbor Patrol staff
Financial Resources: City/County staff manpower 100
hours annually each.
Action Steps:
1. Annually review Dinghy Docking Regulations.
[Ongoing]
Objective 5.4— The City will develop a policy that allows
visiting boaters to leave their boats unattended at anchor for
some period of time. Such policy will be subject to annual
review.
Lead: Harbor Resources Division staff/Orange County
Sheriff's Harbor Patrol
Support: None
Financial Resources: City/County manpower 10 hours
annually each
Action Steps:
1. Design and construct a guest dock at Marina Park.
[Completion, 2010]
2. Design and construct a guest dock at the Rhine
Wharf. [Underway Gcompletion by November,
- 2010]
3. Design and construct public dock access
improvements at the Fernando Street, 15th Street and
19th Street public docks. [Underway submit permit
application June 2009 Completion June, 20111
Strategic Plan For Fiscal & Economic Sustainability
Page 24
4. Regularly review existing Municipal Code so that
public dock tie-up times on existing public docks
maximize the ability of visitors and residents to use
public docks for short-term stays (shopping, dining).
[Ongoing]
Goal 6: The City shall support the careful expansion of visitor -
serving businesses and facilities.
Objective 6.1 — Small Scale Lodging: The City shall identify
an economically feasible program for encouraging the
development of small scale lodging and bed and breakfast
establishments in Newport Beach, including existing barriers
to their establishment, and potential incentives to encourage
such development consistent with the General Plan policies.
Lead: Economic Development and Planning Department
Staff
Support: City Council; Zoning Consultant.
Financial Resources: Staff time—approx. 200-300 hours.
$4,00048,000 for economic feasibility consultant.
Action Steps:
Research regulatory barriers to the development of
small scale lodging and provide specific
recommendations for zoning changes to the General
Plan Implementation Committee for timely
consideration. [Completion October 2009]
2. Prepare an inventory of suitable areas and/or sites by
type of lodging. [Apf4November, 2009]
3. Have consultants research the financial feasibility for
various types of small scale lodging with either
existing or revised regulations. [January -March,
209910] (We do not have budget for this. Timing
may need to be chan-ged.
Objective 6.2 — Vacation Rentals: The City shall review and
revise its existing policies governing vacation rentals to
acknowledge and enhance the economic benefit to the City
of such establishments and recommend a program to
maintain and enhance the quality level of short-term lodging.
Lead: Planning Department Staff
Support: Revenue Division; Economic Development
Strategic Plan For Fiscal & Economic Sustainability
Page 25
Financial Resources: Staff time will be required for
meetings and research.
Action Steps:
Research regulations and policies that impact
vacation rentals and propose revisions if needed.
[Completion September, 200720101
Help form organization to a) research existing models
for vacation rental owner organizations and
encourage the development of one in Newport Beach
and b) assist the industry in developing a voluntary
"Seal of Approval" program to encourage and
promote high quality vacation rentals. [Apr'!
September March, 200810 ]
Objective 6.3 — Marketing and Promotion: The City shall
continue its strong relationship with the Newport Beach
Conference and Visitors Bureau to enhance the
effectiveness of marketing and promotion undertaken by the
City and the Bureau, in order to enhance the City's
promotion to a worldwide audience.
Lead: City Manager's Office
Support: Staff from Economic Development, PIO office,
Recreation & Senior Services, Planning, and Fiscal Services
departments; CVB Board and staff and their membership;
staff and/or volunteers from the events that the City and CVB
jointly support.
Financial Resources: Annual financial commitments from
General Fund to the CVB, and the events and activities
promoting the City; approximately 200+ hours annually of
staff time.
Action Steps:
City Manager's Office staff should maintain and
enhance existing relationship with the CVB to market
and promote the City of Newport Beach; CVB staff
should provide annual reports to the EDC and City
Council on the strength of the tourism economy.
[Ongoing]
2. The EDC should recommend to the City Council that
they continue to: A) provide financial support; and B)
Strategic Plan For Fiscal & Economic Sustainability
Page 26
designate its staff liaison to the Newport Beach Film
Festival on an annual basis. [Ongoing]
The City Council, through the City Manager and staff,
should maintain and enhance existing relationships
with annual events that generate economic value to
the City; such as the Toshiba Golf Classic, the Taste
of Newport event, the Newport Beach Film Festival.
[Ongoing]
Objective 6.4 -- Beach / Bay Activities Promotion: The City
shall promote and encourage activities and events in and
near the beaches and the bay that generate retail sales, e.g.,
boat shows, sports tournaments, etc., consistent with the
Local Coastal Plan.
Lead: Recreation & Sr. Svcs. Department
Support: City Council; Harbor Commission; City Manager's
Office; Recreation & Sr. Services staff; Harbor Resources
Division staff; PIO office; Fire Department (Lifeguard
Division) personnel; CVB staff; Chamber(s) of Commerce
staff and volunteers; other organizations involved in these
activities.
Financial Resources: No additional resources needed at
this time.
Action Steps:
The Recreation and Senior Services Department staff
should prepare and maintain a master calendar of
events. [Ongoing]
Goal 7: The City will seek to minimize the economic impact of
traffic congestion and will take affirmative steps to improve
traffic flow.
Objective 7.1 — Develop and implement a master plan to
modernize traffic control systems and technology, to improve
synchronization and improve traffic flow, throughout the City.
Areas of concern include Pacific Coast Highway in Mariner's
Mile, Newport Boulevard from 15th Street to the 55 Freeway
in Costa Mesa (working cooperatively with that City),
Jamboree Road, and on Balboa Peninsula along Newport
Boulevard from Main Street to Pacific Coast Highway, as
well as other roadways and intersections.
Lead: Public Works Department staff
Strategic Plan For Fiscal & Economic Sustainability
Page 27
Support: City Council Transportation Subcommittee
Financial Resources: As yet undetermined
Action Steps:
Ret -;I ^rC�rsi-raamnr+ Tfe-F �first phase ofrtFamffin SfgnurI
modernization nregram Dope
2. Complete TFaf g,,airrric-ate; Master PlaR,
Deno rr„mpleti„n iuno 20071
�1. Complete design of traffic signal system
upgrades. Done rr„mpleti„n Don mber 2007
4.2. Complete construction of upgrades to traffic
signal controllers, and design and implement
coordinated signal timing plans, Phase 1 Deno Phases
II & III commencing June 2009
20W.
53. Negotiate with Cal Trans to acquire ownership
of Coast Highway through Newport Beach from
Jamboree Road to the Santa Ana River. [Ongoing]
Objective 7.2 - In conjunction with its approved capital plan
and annual budgeting process, the City will implement key
roadway and intersection improvements identified in the
General Plan Update.
Lead: Public Works Department staff
Support: City Council Transportation subcommittee;
General Plan implementation subcommittee
Financial Resources: As yet undetermined
Action Steps:
1 .eta;;son � m-
Skiltan+ tG do+� � She Fee based�,�,
Tar
&G latien system im onto in ., General
Plan. Draft GOMpleted and beonq revme d. [Beginning
April aril 20077
,-moo
2:1. City Council adoption of updated Fair Share
Fee [August 2007-91.
Strategic Plan For Fiscal & Economic Sustainability
Page 28
2. Design and construct improvements in General Plan.
[In conjunction with development that causes need
and provides funds for improvements]
Objective 7.3 — The City will strongly advocate the
construction of the 19th Street Bridge, and other critical
regional traffic improvements.
Lead: City Manager
Support: City Council Borders Subcommittee; Public Works
Department staff
Financial Resources: As yet undetermined
Action Steps: As opportunities arise, work with the Orange
County Transportation Authority (OCTA) and the Cities of
Costa Mesa and Huntington Beach to facilitate construction
of regional improvements. [Ongoing]
Obiective 7.4 — =The City shall ^reate a plan t^ encourage
and fester the development of privately owned and operated
economically viable alternative transportation services, such
as bus shuttles, to service the various commercial, retail and
recreation areas in Newport Beach_, '^ at roast partial
substitUtOGR fer additieRal pa, iRg with fURdiRg
supplemented by n ntseE,,�utiens,nterra- puviic
Mee es..
Lead: Public Works Department staff
Support: Economic Development staff
Financial Resources: As yet undetermined
Action Steps: Monitor the potential for grant funding and
public private partnerships to make alternative transportation
services feasible. [Ongoing]
Obiective 7.5 — The City shall work cooperatively with
adjacent cities and jurisdictions to complete key roadway
and traffic synchronization projects that will help improve the
flow of traffic within the boundaries of Newport Beach.
Lead: City Manager
Strategic Plan For Fiscal & Economic Sustainability
Page 29
Support: City Council Borders Subcommittee; Public Works
Department staff
Financial Resources: $64,000 from settlement of IBC
litigation.
Action Steps:
1. Using funds from IBC litigation settlement, complete
study of impacts and circulation system improvements
needed as a result of development in IBC_. Th�v
,+A.,o nn.+ „a+,,., measures
Ongoing]
2. As opportunities arise, work with the Orange County
Transportation Authority (OCTA) and the Cities of
Costa Mesa, Huntington Beach and Irvine to facilitate
construction of regional improvements. [Ongoing]
Goal 8: The City will administer its development review and
permitting processes in an efficient, solution oriented and
customer friendly manner.
Strategic Plan For Fiscal & Economic Sustainability
Page 30
1 . Assistant yMananger Will n erdinate with the osta
the Planning,
Building, P uhlin Works Corn and Utilities
departcn t ienisit� -to -prioritize this Objective and will
rpnnro,,..,,�,,�id,e,,..,,—�,f77eedbaGk to the €DGGR rens ma
iQ^�^97
Objective 8.21 — Staff will provide for enhanced
communication with applicants, both earlier and more
consistently throughout the process.
Lead: Assistant City Manager
Support: Staff involved in the development review process
(Planning, Building, Public Works, Fire and Utilities
departments).
Financial Resources: No new resources needed at this
time.
Action Steps:
1. Assistant City Manager will coordinate with the staff of
the Planning, Building, Public Works, Fire and Utilities
departments to prioritize this Objective, and will
provide feedback to the EDC on progress made.
[Ongoing]
Objective 8.32 — The City will assure that staff receives
Fesew —regular training on maintaining a high quality of
customer service and positive attitude.
Strategic Plan For Fiscal & Economic Sustainability
Page 31
Lead: City Manager's Office
Support: All development review staff; staff from any
department that regularly contact the public
Financial Resources: As yet undeterminedJ12 000.
Action Steps:
1. Assistant City Manager will coordinate with the staff of
the Planning, Building, Public Works, Fire and Utilities
departments to prioritize this Objective, and will
provide feedback to the EDC on progress made.
[Ongoing]
Obiective 8.34 — The City will write and approve Zoning
Ordinance and other regulatory codes to make the process
more streamlined.
Lead: Planning Department
Support: Planning Commission, City Council
Financial Resources: No new resources needed at this
time.
Action Steps:
1. Economic Development staff will coordinate with the
General Plan Implementation Committee and staff of
the Planning Department to prioritize this Objective,
and will provide feedback to the EDC on progress
made. [Completion january, 20G8 Qct December
2009]
Strategic Plan For Fiscal & Economic Sustainability
Page 32
NOTE ON ADDITIONAL REFERENCES
To support the Visioning Process and to provide background
material for the GPAC to consider in its development of policies to
be included in the General Plan update, the City contracted with the
firm of Applied Development Economics, Inc. (ADE) for studies
related to current economics and future fiscal impacts. ADE
prepared a commercial market study published in December 2002
entitled "Newport Beach General Plan Update Retail Commercial
Market Analysis," and a fiscal impact analysis entitled "Fiscal
Impact Analysis and Model, Newport Beach General Plan Update,"
published in revised form in January 2004.
Please refer to the detailed reports cited above, in addition to the
final General Plan Update adopted by the City Council on July 25,
2006, and ratified by the voters in November, 2006, for further
background.
Strategic Plan For Fiscal & Economic Sustainability
Page 33