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HomeMy WebLinkAbout11-16-2001 - Special MeetingCITY OF NEWPORT BEACH City Council Minutes Special Meeting November 16, 2001- 2:38 p.m. ROLL CALL Present: Heffernan, O'Neil, Ridgeway, Glover, Bromberg, Proctor (arrived at 2:41 p.m.), Mayor Adams Absent: None CURRENT BUSINESS 1. DISCUSSION WITH SUPERVISOR JIM SILVA. Supervisor Silva stated that he has met with the councils from all the new cities that he represents and assured Council that he will always take their calls and meet with them if he is available. He reported that he also hosts a quarterly mayors' breakfast to talk about issues and have questions answered. He indicated that he represents the Cities of La Palma, Cypress, Los Alamitos, Seal Beach, Huntington Beach, Costa Mesa, Newport Beach, Fountain Valley, Stanton, and portions of Garden Grove, and stated that he represents the most number of people (600,000) and the most cities. Supervisor Silva reported that, even though the County is legally out of the bankruptcy, it is still about $1 billion in debt. He noted that people blamed the County for the bankruptcy, but clarified that the County also has an elected Independent Treasurer and Auditor Controller. He stated that he was the person who suggested that the Board establish an Audit Oversight Committee that meets with the Treasurer and monitors the Treasurer's Department. He reported that most of the cities and school districts have been paid back its investment pool portion. Regarding the budget for fiscal year 2002 -2003, he reported that it may be down for the first quarter. Supervisor Silva indicated that, in addition to being on the Board of Supervisors, he is also on the Executive Board of the California State Association of Counties (CSAC) which meets quarterly. He reported that they have spent a lot of time working with the Governor's budget director and have determined that next year's outfall could be between $9 billion to $14 billion. He stated that everyone is concerned with this because they balance their budgets on local agencies. Supervisor Silva reported that, in 1988 -1989, the County entered into an agreement in which the State reimburses $80 million of the County's cost for flood control improvements. He stated that the County spent $160 million, but the State has yet to fully reimburse the County. He stated that, in 1998, he approached Governor Wilson who indicated that he will be recommending that the County be paid back. Supervisor Silva also reported that, after he was elected, the State entered into agreements with counties to take over court - related revenues and their financial responsibilities. He stated that Volume 54 - Page 575 INDEX [No report] City of Newport Beach Special Meeting November 16, 2001 INDEX the State took the revenues, but did not want to pay court expenses. He agreed that the State has a history of taking over programs and not following through. Regarding the El Toro reuse, Supervisor Silva reported that they are waiting for the Navy Department to issue a record of decisions and that a hearing is being held today in San Diego relative to the Great Park Measure. In response to Council Member Bromberg's question, Supervisor Silva indicated that CSAC is trying to propose a constitutional amendment for the ballot to prevent the State from going after the municipalities' share of property tax money. He indicated that he has invited one of CSAC's analysts to attend a Board workshop and that CSAC is trying to get the 58 counties to generate a proclamation of support. He added that the League of California Cities is doing the same. Noting that the State owes the County $80 million for flood control improvements, City Manager Bludau asked why the County does not sue the State. Supervisor Silva stated that it is hard to sue the State, especially if the County will be asking them for assistance in other projects. He clarified that the County has been reimbursed $40 million so far. Council Member O'Neil stated that Council appreciates and supports all the work Supervisor Silva has done over the years in connection with the E1 Toro airport effort. He added that Supervisor Silva understands the City's concern that, without that facility, it will lead to the further expansion of John Wayne Airport (JWA). Supervisor Silva believed that a lot of people throughout the County voted for Measure F because they did not want a jail or toxic dump in their backyard and that Measure F was not a true indicator of how people feel. He stated that people in Cypress and La Palma have told him that they would use LAX before using El Toro, and have commented that they feel a lot of the freeway truck traffic will decrease by having an airport at El Toro. He emphasized that residents also have concerns about the financial picture involved with the Great Park. Council Member Proctor indicated that he has been friends with Supervisor Silva for a long time and that he is pleased that he is officially the City's representative. He believed that the Board has done an amazing job of putting the bankruptcy and a lot of other issues behind them. He also expressed his appreciation that Supervisor Silva has always been there for the City. Supervisor Silva reported that, when the County was going through its financial crisis and the excess sales tax was on the ballot, he met with a Wall Street rating agency to try to restructure the debt by getting a better rating. He explained to them that, by voting "no" on the excess sales tax, Orange County was not saying it would not pay its debt, but was saying that they have a strong economy and will be able to pay the debt without a tax increase. He reported that they accepted this and the County received a better rating. Supervisor Silva noted that the County was economically hit in the 1990s primarily because it was not getting defense contracts. He pointed out that the government tried to make sure that they did not close Volume 54 - Page 576 City of Newport Beach Special Meeting November 16, 2001 INDEX military bases in areas that did not have a strong economy. Council Member Proctor stated that all the cities are lucky to have him as their Supervisor. He added that Supervisor Silva's background will probably help preempt some of the economic problems after the State looks at its deficit and tries to find a way to pay it off. Supervisor Silva indicated that he is continually trying to balance jobs with the economy, and with a clean environment. Council Member Glover stated that the City is fortunate that Supervisor Silva comes from a beach community. She noted that the urban runoff issue has become a dominant issue, but balance is still needed. Supervisor Silva stated that he lives in a harbor area and does see everything float by the docks after a storm. He indicated that the Army Corps of Engineers got involved years ago in Huntington Beach and raised properties in the flood zone by ten feet; however, people still have fertilized lawns that drain directly into the channel. Supervisor Silva indicated that urban runoff is a Countywide problem that everyone needs to solve together. He stated that the public needs to be made aware of this problem, adding that Assistant City Manager Kiff is probably one of the top people on this issue. Mayor Pro Tem Ridgeway noted that the City is now facing a lot of the same water problems with the NPDES permit that is issued by the Regional Water Quality Board through the County. He indicated that there has to be a balance between keeping clean water and maintaining small businesses. Supervisor Silva noted that, even though this is a regional issue, it needs to be solved locally or else the State will come in, which can be expensive. City Manager Bludau asked if the County is okay with the standards and requirements involved with the NPDES permit. Supervisor Silva indicated that there is still debate. Mayor Pro Tern Ridgeway added that November 19 is the last day for the Regional Board to receive comments on the permit and noted that an appeal is being heard in San Diego at the State level. He believed that the larger issues are development and new businesses. Mayor Adams reported that the City was unsuccessful in getting an extension from the Regional Board on this until the first of the year, noting that Council only had a few days to review the 80 page document. Mayor Pro Tern Ridgeway reported that the City is the only entity that he knows of that is going to support the permit, with modifications, and pointed out that over a hundred letters have been submitted. Supervisor Silva emphasized that we need to find ways to solve these problems, feeling that money is not the only solution, and that people are going to have to change. Supervisor Silva reported that, in addition to sitting on the Board of Supervisors, he is also on the Air Resources Board, the Local Agency Formation Commission (LAFCO), and the Sanitation District. He stated that he spends about 25% of his time in Sacramento; 20 hours a week in meetings, not including preparation time; and every other month for three to four days in Washington, D.C. for the El Toro reuse issue. Mayor Pro Tern Ridgeway thanked Supervisor Silva for his support, adding that he has had many opportunities to talk with him about El Toro issues. Mayor Adams also thanked Supervisor Silva for spending time with Council, Volume 54 - Page 577 City of Newport Beach Special Meeting November 16, 2001 especially after highlighting all his time commitments. He stated that they are excited that he is the City's representative and announced that snacks will be provided in the lobby after the meeting and before the Closed Session to celebrate Supervisor Silva's representation of the City. PUBLIC COMMENTS - None. CLOSED SESSION - 3:40 p.m. CLOSED SESSION REPORT - None. ADJOURNMENT - 4:00 p.m. The agenda for the Special Meeting was posted on November 15, 2001, at 1:45 p.m. on the City Hall Bulletin Board located outside of the City of Newport Beach Administration Building. Recording Secretary �I //C7 :uu.. City Clerk Volume 54 - Page 578 INDEX / , ` ^ f Mayor C, �I //C7 :uu.. City Clerk Volume 54 - Page 578 INDEX