HomeMy WebLinkAbout11/14/2006 - Study SessionCITY OF NEWPORT BEACH
City Council Minutes
Study Session
November 14, 2006 — 4:00 p.m.
ROLL CALL
Present: Council Member Curry, Council Member Selich, Mayor Webb, Council Member Ridgeway, Council
Member Daigle, Council Member Nichols
Excused: Mayor Pro Tem Rosansky
CURRENT BUSINESS
1. CLARIFICATION OF ITEMS ON THE CONSENT CALENDAR.
Council Member Nichols stated that he will pull Item #3 from the evening agenda so staff
can provide a brief staff report.
City Manager Bludau reported that Item #11 will be continued to the meeting of November
28, 2006.
2. GENERAL DREDGING PERMIT.
Harbor Resources Manager Rossmiller, through the use of a Powerpoint presentation,
explained what the Regional General Permit No. 54 (RGP) is and it's importance to the
operation of Newport Harbor. He noted that it is a programmatic permit whereby local
property owners can apply to the City for permission to dredge within their dock area and
accomplish certain qualifying repair and replacement projects on their docks. He further
explained the process and the timing for the granting of RGP permits. The goal is to get a
one month turn - around time on permits, however for the first six months or so it may take
longer. Mr. Rossmiller explained the history of the RGP and noted that initially the term for
an RGP was 10 years, however the last three issuances has been only for 5 years. He noted
that new with this permit is the inclusion of residential dock repair and replacement
projects, which hopefully can be expanded to include commercial docks in the future. The
dock repairs and replacement program is limited to a three year trial period. He further
explained what was involved in the renewal of the RGP -54, which began in October 2004
and highlighted the steps performed to get to this point.
Mr. Rossmiller noted that a milestone was hit with the permanent designation of the LA -3
disposal site in January 2006 and further explained the issues around the disposal of fine
grained material at LA -3. Due to the slightly higher level of Mercury concentrations, the
Corps and the EPA would not allow any disposal at LA -3 from the western half of the
harbor. Based on these issues and the pending sampling and analysis plan, the permit was
issued with some exceptions. The final permit was issued by the Coastal Commission on
October 12, 2006. He further reviewed the general dredging requirements and pointed out
that dredging operations authorized in this permit are limited to the areas with existing
authorized docks or bulkheads in the Upper and Lower Newport Bay. He further explained
the limit on dredging quantities, the methods for disposal, and the depth limitations. He
explained that there are some areas (the Rhine Channel, Newport Island, Promontory Bay
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areas and the West Lido Channel) that are not eligible for dredging under this RGP,
however those areas may become eligible depending on the results of further analysis.
Mayor Pro Tem Rosansky joined the meeting at 4:14 pant
Mr. Rossmiller discussed the permit conditions for dock repair and replacement and noted
that it is limited to bulkhead repairs and minor modifications, however all bulkhead work
requires separate review by the Coastal Commission staff. Replacement of piers, docks and
gangways is allowed in -kind and in the existing alignment; only concrete piles or steel piles
with a non -toxic coating are authorized; and there are special water quality protection
measures written into the permit.
Mr. Rossmiller explained that all projects, docks or dredging, must be surveyed for the
presence of eelgrass within the project footprint and out to thirty feet in all directions from
the proposed project footprint. He further explained the limitations on the permit where
eelgrass is found 15' or less from the proposed project footprint and the new requirement
that pertains to dredging projects where the dredged material will be placed on a beach.
Mr. Rossmiller reviewed the presence of eelgrass during construction and the requirement
to monitor the project area for Caulerpa. He explained the need to react to it quickly as it is
a very invasive plant. He explained that Caulerpa is a plant used in salt water aquariums
and is very hard to kill in an aquarium, as well as in the bay environment. He explained
that it covers the entire harbor bottom very quickly and noted the different ways that it can
be transported. It can be killed by putting a tarp on the harbor bottom and injecting
chlorine gas under the tarp for several weeks.
Mr. Rossmiller noted that the permit has a lot of reporting requirements and they are
working with contractors in the harbor to develop forms and procedures that will be easy to
work with. Agencies are now following the national standards and applying them to the
RGP for the first time. He pointed out that there are new requirements that will have to be
followed, such as monitoring every dump scow throughout the disposal trip to LA -3,
which can be done by GPS with real -time reporting.
In reference to the costs per RGP, Mr. Rossmiller reported that over the five year life of the
permit the City will process about 200 dredging permits and about 550 dock repair and
replacement permits. The cost of the permit, including staff time, is about $650,000, which
is about $870 per permit. The dock permits skew the cost down and without the dock
permits it would cost about $3200 per permit. Right now a dredging permit is $489 and the
dock repair and replacement is based on project valuation and is about $600. He noted that
consultants are currently reviewing the fee schedule.
He reported that the RGP is more detailed and protective of the Newport Bay environment
than it has been in the past. The eelgrass related relationships have historically reduced
the number of dock replacement and dredging projects that can be performed. The grant to
prepare the Harbor Area. Management Plan will help alleviate the impact and with the new
forms and procedures to implement the project, the service to the waterfront residents will
be improved.
He indicated that staff is preparing a Request for Proposals (RFP) for consultants to work on
the Harbor Area Management Plan. A contract has been issued to plant the mitigation
banks after the storm season in order to sell mitigation credits to property owners in the
harbor so they can do projects under the RGP in the future. He explained that the local
small project dredging permit and dock repair permit is part of comprehensive program of
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sediment management, which will include source control in the watershed, flood control
basin cleanup, Upper Newport Bay basin dredging, Rhine Channel remediation and Lower
Bay dredging of federal navigation channels.
In response to questions by Council, Mr. Rossmiller explained the difference in dock
maintenance and dock repair and what can be permitted by the City.
Tim Collins, Harbor Commissioner, shared his observations from the Coastal Commission
hearing and noted that the working relationship between the two staffs is at an all time
high. He reported that he advised them that the City would return later with a Harbor Area
Management Plan. He thanked staff for their work on this project.
Mayor Webb complimented staff on getting through the complex process.
Council Member Ridgeway commented about the advancements made on water quality
and permitting issues since the establishment of the Harbor Commission and complimented
staff and the commission for their work on this project.
3. OCEANFRONT ENCROACHMENTS AT BALBOA PENINSULA POINT AND
COUNCIL POLICY L -12.
Utilizing a PowerPoint presentation, Assistant City Manager Kiff explained that staff is
looking for Council to provide direction on what are called "private improvements" on the
oceanfront at Balboa Peninsula Point (BPP). He explained the issues (landscaping and
hardscape encroachments) and noted that the hardscape improvements are clearly not
authorized by Council Policy L -12. He noted that at BPP some properties have landscape
improvements oceanward of the property line twenty to forty feet or more and some have
hardscape improvements oceanward four feet of the property lines. In 1991 there were no
discussions about how far the landscape encroachments should go. He distributed copies of
a resolution adopted in 1991 (91 -80). The Council allowed landscaping on City property,
declaring that it was considered to be an encroachment. The same language is also reflected
in the recently approved LCP's land use plan, however the language is somewhat different
(more general and easier to interpret). One of the issues to be determined is what should be
done to hardscape inside the no encroachment zone, landscaping that may not be pre-1991.
Whatever is recommended has to be acceptable to the Coastal Commission and consistent
with the LCP, especially as the implementation plan is going before them. He further
explained that encroachment fees are not an issue tonight, however he explained what the
fees are to be used for. Mr. Kiff provided a history, of Council Policy L -12 dating back to
1989 when the Council formed a citizens advisory committee and approved
recommendations of the committee in October of 1990 as Amendment No. 23 to the land use
plan of the LCP, which was approved by the Coastal Commission in June of 1991. He
explained the adoption of Policy L -14.
Mr. Kiff reported that Section 2.(b). of Resolution 91 -80 states that the City holds both a
street easement and fee title to the property that is being encroached upon, which is
different than West Newport. He noted that at the time the Council considered doing a
survey at a cost of $300,000 to identify title, however decided not to and instead adopted this
resolution as a comprehensive solution. City Attorney Clauson provided further information
on the full title search and noted that the policy came about as a settlement approved by the
Coastal Commission to resolve any conflicts over who owns the property and to avoid the
expenditure of additional money.
Mr. Kiff explained the importance of remembering what the Charter says about the sale of
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waterfront or beach property, however noted that City -owned property can be leased as long
as the lease is limited to the term permitted by law. He went on to explain how the four
feet, the Charter and the encroachments interact, noting that the 4' of hardscape is an
encroachment on City -owned property and the Charter prohibits the sale of beach property
without a vote of the people. If these 4' encroachments are to stay, the Council may be able
to lease these properties per the Charter and the remaining BPP encroachments may be
able to be leased. He showed slides of the encroachments on the properties at 1504 and
1520 East Oceanfront . and noted that the property owners have placed important
infrastructure improvements on City -owned property. Pointing out the areas on a map, he
showed a recent survey done by Public Works which shows the property lines, the four foot
encroachments (walls), and noted that it is a fairly consistent line.
Staff clarified that the fast block is where the hard encroachments are and noted that staff
has not checked to see if permits were obtained for the walls (or determined if building
permits were required). It was clarified that encroachment permits would be required,
however based on the height of the walls, building permits may not be required.
Mr. Kiff indicated that staff is looking for guidance from Council about what should be done
with hardscape inside the "no encroachment" zone and based on the City Charter whether a
lease is required. He also questioned how to deal with landscaping encroachments and
whether a lease would be required. He stated that whatever the Council recommends must
be acceptable to the Coastal Commission and consistent with the newly - approved LUP to
the LCP, the pending Implementation Plan and the City Charter.
Mr. Kiff reported that staff is recommending that the Council authorize staff to work with
the residents and Coastal Commission staff to permit the existing 4 feet of hardscape
improvements to stay via a lease with an annual fee and then pursue a number of options
for the landscaping. Those options would include setting an oceanward landscaping limit;
allowing what is currently there to stay via a lease; permitting new native landscaping with
no pressurized . irrigation; allowing public use of the landscaped areas; and establishing an
annual fee which would be used to increase public access, maintain beach improvements and
improve beach aesthetics. At a later date staff would come back to Council with proposed
revisions to Policy L -12 and/or the LCP, which may not be the same revisions as
recommended by the residents' counsel.
The Council discussed the easement areas and Mr. Kiff stated that staff believes the City
owns all of the property oceanward of the property lines, which is distinctly different from
what happened in West Newport in 1991.
Mayor Pro Tem Rosansky raised the question about whether any new policies that are
crafted will apply to other areas of the City, noting that there are issues in other areas of the
City that have not been resolved. One of the definitions that needs to be looked at is what is
considered to be an encroachment and what is acceptable landscaping and ground cover.
Responding to Council, Mr. Kiff explained that the Coastal Commission, in exchange for
permitting encroachments, may require things such as: extending the boardwalk to the tip
of the Peninsula; extending the boardwalk to the Santa Ana River; requiring the City to add
public restrooms at the Wedge; improving street ends in Peninsula Point to provide better
access and parking; and coastal dune habitation restoration.
Jim McGee, representing a citizens group of BPP homeowners, said he worked with the
residents to draft changes to'Policy L -12. Based on their research, he provided Council with
a historical context and noted that some of the encroachments went back to the late 1970's.
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He noted that surveys were done in 1985 and 1989 and the purpose was to delineate the
exact encroachments, which were described as landscaping, bushes, trees, irrigation, etc.
He stated that he believes the City has known about these encroachments for over twenty
years. He noted that the BPP was excluded from the L-14 policy. He provided details of
Amendment No. 23 that was approved by the Coastal Commission and noted that L -14 was
adopted to implement Amendment No. 23 to the LUP of the LCP.
Mr, McGee addressed the details of the 1991 letter that was sent out by the City to the BPP
homeowners and explained the importance of the letter. He provided details of the contents
of the letter, explained the inspection that took place and noted that the residents were told
there were no encroachments and they could keep what they had. Over the last twenty
years the City has been on notice and there has been no enforcement action taken. The
proposed amendment that was submitted seeks to recognize the historical chronology and
also provides the BPP homeowners with the same rights as oceanfront owners in the
remainder of the city. It would allow for a universal policy for all of the
oceanfront; would generate revenues and give comfort to homeowners who are selling today
or in the future regarding disclosures. Mr. McGee further discussed the hardscape issues
with the first six residences south of F Street. He stated that those encroachments were not
in place in 1991 but they believe that over a period of 25 years the same property line has
been maintained.
He noted that there is nothing in the current LCP that talks about whether the groundcover
has to be of a 1991 vintage or not - it is silent, so an argument can be made with the Coastal
Commission that this was approved by the Coastal Commission when they adopted
Amendment 23 and the current version is consistent with that. He said the residents hope
the City will be the advocate for them. He said adopting an amended policy would be the
fair thing to do based on the historical conditions that have existed for the past 15 -20 years,
and it may help to soften any requirements that the Coastal Commission might extract from
the City and residents.
In response to Council Member Ridgeway, Mr. McGee conceded that it would be easier to
defend the landscaping to the Coastal Commission than the hardscape. Discussion ensued
about Amendment No. 23 and whether or not the hardscape was identified at that time,
however since the surveys were provided to the Coastal Commission, an argument can be
made that they approved what they did with full knowledge that the encroachments were
there and there was no effort made to accept the amendment with a condition that the
hardscape be removed.
Council Member Ridgeway said he doesn't have a problem with the landscaping but it is
much more difficult to be an advocate on the hardscape issues.
Mayor Webb stated that based on the recommended policy it appears that the homeowners
are requesting that they be allowed to have encroachments in the 15 feet in front of their
houses, similar to West Newport, under some sort of fee or lease arrangement.
Mr. McGee stated that it is his belief that under the existing L -12 policy and the existing
LCP that the vast majority of what is called an encroachment is landscape and is permitted
by City policy and the Coastal Commission. He said of the 81 lots in BPP about 70 have
encroachments and the vast majority are the variety of encroachments that the Coastal
Commission or the City don't have a problem with and appear to be consistent with today's
rules and in 1990.
The Council and Mr. McGee discussed the fact that most of the encroachments in West
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Newport are exclusionary and Mr. McUee stated ey are not suggesting that e areas
be fenced off or made exclusionary. He noted that his clients said it gets used by the public
now and has been historically.
City Attorney Clauson noted that there may not be a need to go back to the Coastal
Commission if it is determined by looking at the 1991 approvals and the policy that there
are only a handful of hardscape encroachments and the rest is landscaping.
City Attorney Clauson advised the Council that the estoppel and waiver issues don't apply
and staff verified that the City owns the property to the mean high tide and the rest is
tidelands. She suggested that staff work with Mr. McGee and have him and his clients do
the majority of the leg work on this issue.
Bob Halford stated that he is adamantly opposed to giving away city property and noted
that all residents would like to be able to have encroachments. He described his experience
walking in that area when he was told to leave. He noted that the residents don't want
sidewalks, restrooms, etc, and the City will be making a serious mistake if they approve this
and lease the property. He questioned how much the leases would be, the length of the
lease, and what will happen to the leases if the Coastal Commission says the City has to
build the sidewalk.
Mel Blumenthal addressed the concerns about public access and noted that he bends over
backwards to allow access because the public is attracted to the aquarium and artwork on
his property.
Nancy Perry stated that she owns one of the six properties in question. She said this is not
something that was maliciously planned to get more oceanfront property.
Ron Chasin said he uses the house he purchased three years ago for movie shootings
and 100% of the people who he talked to love the landscaping, etc. He said he has permits
for all the trees and everything he did to enhance the area.
Michael Muench stated that the few homes that have the same line 3 -4 feet are not the only
properties with hardscape and there are some others outside the 1500 block of Oceanfront.
Since this arose from the removal of the dunes in West Newport, residents have been on top
of this issue and hired Jim McGee to represent them.
Council Member Ridgeway said he likes the direction recommended by staff, however he
prefers that the City not take an advocacy position and let the residents take it to
the Coastal Commission. He reiterated that the City has a policy that was established in
1991. If there is information prior to 1991 that the encroachments were there, there is an
equity argument that they should remain. He stated the need to focus on what needs to go
to Coastal, which appears to be just the structural items.
Mayor Webb stated that he thought Mr. McGee indicated that the BPP residents might like
to have the same type of opportunity for that 15 foot area that was given to the West
Newport Beach area with some sort of fee/lease arrangement. Mr. McGee indicated that
they want to have historically what is allowed now, but include in the L -12 policy the
opportunity to join with West Newport and have the ability to have the encroachments for a
fee.
Mayor Webb clarified that the direction to staff it to put together a modification to the policy
and to allow a public forum to discuss it, and whether it is approved and sent to Coastal is
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left to be determined. He cautioned that if tbi is brought up there will e significant
discussion at Coastal of everything that is oceanward of 15 feet and there may be some
ramifications.
Mayor Pro Tem Rosansky noted that West Newport is different than BPP from an
ownership point of view and he wouldn't want to expand the use to be an exclusionary
lease. He noted that in this situation the City clearly has fee ownership of the property.
Council Member Selich agreed that the ownership difference has to be considered and to the
extent that the structural encroachments are taken to Coastal Commission, there may be a
risk and the residents may lose more than they gain.
PUBLIC COMMENTS - None
ADJOURNMENT - 6:10 p.m.
The agenda for the Study Session was posted on November 8, 2006, at 1:45 p.m. on the
City Hall Bulletin Board located outside of the City of Newport Beach Administration
Building.
City Clerk
Recording Secretary
Mayor
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