HomeMy WebLinkAbout03/23/2021 - Study Session / Regular MeetingCITY OF NEWPORT BEACH
City Council Minutes
Study Session and Regular Meeting
March 23, 2021
I. ROLL CALL - 4:00 p.m.
Present: Mayor Brad Avery, Mayor Pro Tem Bevin Muldoon (arrived at 4:05 p.m.). Council Member
Noah Blom, Council Member Joy Brenner. Council Member Diane Dixon (via Zoom), Council
Member Will O'Neill
Excused: Council Member Duffv Duffield
II. CURRENT BUSINESS
SS1. Clarification of Items on the Consent Calendar
Council Member Brenner, addressing Item 6 (Resolution No. 2021-22: Authorizing the Request
for Delav of Measure M2 Project V Funding for the Balboa Island/Corona del Mar Microtransit
Feasibility Study Project), clarified that Council can bring this back before two years.
SS2. Proclamation Designating April as "Let's Be Kind" Month [100-20211
Mayor Avery read the proclamation and presented it to Costa Mesa Middle and High School
student Rebekah Robeck. Miss Robeck thanked Council and indicated the "Let's Be Kind"
campaign has changed Costa Mesa.
SS3. Discussion on How "Matters Which Council Members Have Asked To Be Placed On A
Future Agenda" are Handled [100-20211
City Manager Leung discussed current procedures for Council Members to place items on the
agenda. Council Member Brenner's interest in allowing for discussion, and presented a slide of
potential options.
Council Member Brenner reported she is interested in obtaining clarification from the Council
Member bringing the item forward rather than holding a full discussion.
Council Member O'Neill shared the background of City Council Policies, the reason Council
Policy A-1 was created and amended, and indicated allowing clarification of an item is
reasonable.
Council Member Dixon indicated she would support a quick clarification but not advocacy or
discussion.
Mavor Pro Tem Muldoon related his support for a short clarification but nothing further.
Jim Mosher stated he believed that a revision of Council Policy A-1 was not required, only a
careful reading and examination of its history. the public expects Council to comment on all
agenda items, and the public should be able to comment.
With Council Member Duffield absent. the City Council concurred 6-0 to allow for City Council
clarification during "Matters Which Council Members Have Asked To Be Placed On A Future
Agenda.'
SS4. Presentation by the Harbor Commission on the Harbor Attendance Study [100-20211
Assistant City Manager Jacobs and Harbor Commissioner Scully utilized a presentation to
discuss the Newport Beach Harbor Stakeholder Study. Harbor dynamics. stakeholder
participants and counts. and footnotes.
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In response to Council Members' questions, Commissioner Scully reported that stakeholders
were divided over the revisions to Title 17 and the Marine Activities Permit (1\/IAP), the Harbor
Commission is sensitive to Harbor businesses and attempting to work with them. the study
provides the number of people using the Harbor in the various components. Lifeguards and the
Harbormaster were consulted regarding beach uses, the study provides information for the
Harbor rather than Newport Beach, and the number of people attending the Boat Parade and
the range of comments from Harbor businesses were surprising.
Council Member Dixon noted that Newport Beach having the largest residential presence on
the water on the West Coast is an important point for arguing the City's position before the
California Coastal Commission.
Mayor Avery indicated he was amazed that the City could manage it all with few resources, and
added that the City has a responsibility to ensure users are safe.
Council Member Brenner noted a surprising amount of Harbor activity during a meeting she
attended at Bayshore, stated that people need to pay attention while on the water, and
commended staff, the Harbor Commission, and the Sheriffs Department for their hard work in
contributing to a world-class Harbor.
Commissioner Scully advised that the Harbor Commission reviewed statistics from the Harbor
Department regarding code enforcement and contact with the public, and staff has thousands
of contacts each month.
III. PUBLIC COMMENTS
Council Member Blom recused himself on Closed Session Item IV.A due to real property
interest conflicts.
In response to Council Member O'Neill's question. City Attorney Harp clarified that Item IV.A does not
concern the sale of the Fire Station No. 2 location or the Lido House location.
Jim Mosher indicated that the public deserves to know what Council is discussing relative to the two
property items, stated that ranked -choice voting provides the benefits of a run-off election without the
cost, and noted that district elections will reduce the cost of an election if a vacancv on the Citv Council
occurs.
City Attorney Harp announced that Closed Session Item IV.B will be continued to a future City
Council Meeting and reported the City Council would adjourn to Closed Session to discuss
Item IV.A on the Closed Session agenda and read the title.
IV. CLOSED SESSION — Council Chambers Conference Room
A. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code § 54956.8): 1 Matter
Property: 3300 Newport Boulevard. Newport Beach, CA 92663.
Agency Negotiators: Seimone Jurjis. Community Development Director and Lauren Whitlinger,
Real Property Administrator.
Negotiating Parties: Robert D. Olson. President of Olson Real Estate Group, Inc. the Manager of
Lido House. LLC, a California limited liability company.
Under Negotiation: Instruction to negotiator will concern price and terms of payment.
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B. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code § 54956.8): 1 Matter
Property: A portion of the public right-of-way adjacent to 929 Zurich Circle (423-282-04) and 944
Via Lido Nord (423-281-10) (approximately 845 square feet).
City Negotiators: Seimone Jurjis, Community Development Director and Lauren Whitlinger, Real
Property Administrator.
Negotiating Parties: Palmer Luckey on behalf of the 929 Zurich Circle Trust and the 944 Via Lido
Nord Trust.
Under Negotiation: Instruction to City Negotiator regarding price and terms of payment.
V. RECESSED - 4:37 p.m.
VI. RECONVENED AT 6:00 P.M. FOR REGULAR MEETING
VII. ROLL CALL
Present: Mayor Brad Avery, Mayor Pro Tem Kevin Muldoon, Council Member Noah Blom, Council
Member Joy Brenner, Council Member Diane Dixon (via Zoom), Council Member Will
O'Neill
Excused: Council Member Duffy Duffield
VIII. CLOSED SESSION REPORT
City Attorney Harp announced that no reportable actions were taken.
IX. INVOCATION - Council Member O'Neill
X. PLEDGE OF ALLEGIANCE - Mayor Pro Tem Muldoon
XI. NOTICE TO THE PUBLIC
XII. CITY COUNCIL ANNOUNCEMENTS AND ORAL REPORTS FROM CITY COUNCIL ON
COMMITTEE ACTIVITIES
Council Member Brenner:
• Noted a resurgence of hope from the community and stated that April is "Let's Be Kind" Month
• Used slides to announce that vaccinations were administered at OASIS Senior Center earlier in the
day and Council Members Blom and O'Neill, Mayor Avery, and she attended a ribbon cutting today
for the new homeless shelter in Costa Mesa
Council Member O'Neill:
• Completed his last Newport Harbor High School mentee meeting at the Fashion Island Fire Station,
and thanked the firefighters who provided insight to his mentee
• Attended meetings of the San Joaquin Hills Transportation Corridor Agencies Board, Housing
Element Update Advisory Committee (HEUAC), and Corona del Mar Residents Association
(CdMRA) with Council Members Brenner and Blom
• Announced youth sports are underway again and elementary schools will begin full-day attendance
starting April 21, 2021, and thanked the Recreation and Senior Services Department and the
Newport -Mesa Unified School District Board of Education
• Utilized a slide to announce the Senior Cuisine Delivered program (myagewell.org or 949-382-6099)
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Council Member Dixon:
• Conducted a Zoom Town Hall meeting on March 18, 2021
• Attended the Aviation Committee meeting with Council Member Blom
Council Member Blom:
• Attended the Aviation Committee meeting and the homeless shelter ribbon cutting, and commended
the partners involved with the homeless shelter
Mayor Avery:
• Attended meetings of the Orange County Sanitation District (OCSD) operations committee, Finance
Committee, and homeless ad hoc
• Utilized a slide to highlight the homeless shelter ribbon cutting, and stated homelessness is a
regional issue
XIII. PUBLIC COMMENTS ON CONSENT CALENDAR
Isabel Gomez, student at Sage Hill High School, expressed support for Item 18 (Residential Recycling
Fee Rate Increase), reported that the Recycle-holics Club collects recyclables, exchanges them for cash,
and donates the cash to environmental organizations. She stated that the bags of recyclables collected
often contain 25-50% trash and proposed a Citywide educational campaign for recycling.
XIV. CONSENT CALENDAR
READING OF MINUTES AND ORDINANCES
1. Minutes for the March 9, 2021 City Council Regular Meeting [100-2021]
Waive reading of subject minutes, approve as amended, and order filed.
2. Reading of Ordinances
Waive reading in full of all ordinances under consideration, and direct the City Clerk to read by title
only.
ORDINANCES FOR ADOPTION
Ordinance No. 2021-6: Zoning Code Amendment to Allow the Operation of Wine Tasting
Rooms Within the Industrial Zoning (IG) District (PA2020-042) [100-2021]
a) Find this action proposed herein is not a project subject to the California Environmental Quality
Act ("CEQA") in accordance with Section 21065 of the California Public Resources Code and
Sections 15060 (c)(2), 15060 (c)(3), and 15378 of the California Code of Regulations Title 14,
Division 6, Chapter 3 ("CEQA Guidelines"). The proposed action is also exempt pursuant to
CEQA Guidelines Section 15061(b)(3), the general rule that CEQA applies only to projects which
have the potential for causing a significant effect on the environment; and
b) Conduct second reading and adopt Ordinance No. 2021-6, An Ordinance of the City Council of
the City of Newport Beach, California, Adopting Zoning Code Amendment No. CA2020-005 to
Amend Section 20.24.020 (Industrial Zoning Land Uses and Permit Requirements), 20.40.040
(Off -Street Parking Spaces Required), 20.48.090 (Eating and Drinking Establishments), and
20.70.020 (Definitions of Specialized Terms and Phrases) of Title 20 (Planning and Zoning) of
the Newport Beach Municipal Code and Other Related Provisions to Allow for Wine Tasting
Rooms Within the Industrial Zoning District (IG) (PA2020-042).
Mayor Avery and Council Member Dixon voted "no" to Item 3.
4. Ordinance Nos. 2021-7 and 2021-8: Amending Exhibit A to Newport Beach Municipal Code
Section 3.36.030 Related to Cost Recovery and Enacting Newport Beach Municipal Code
Section 12.44.111 to Permit the Establishment of Overstay Charges for Parking Spaces
Designated for Use of Public Electric Vehicle Charging Stations [100-20211
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a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action
will not result in a physical change to the environment, directly or indirectly;
b) Conduct second reading and adopt Ordinance No. 2021-7, An Ordinance of the City Council of
the City of Newport Beach, California, Amending Exhibit A to Newport Beach Municipal Code
Section 3.36.030 Related to Cost Recovery; and
c) Conduct second reading and adopt Ordinance No. 2021-8, An Ordinance of the City Council of
the City of Newport Beach, California, Enacting Newport Beach Municipal Code Section
12.44. 111 to Permit the Establishment of Overstay Charges for Parking at Public Electric Vehicle
Charging Stations.
Mayor Pro Tem Muldoon voted "no" to Item 4.
Ordinance No. 2021-9: Amending the Newport Beach Municipal Code Chapter 5.49 to
Remove Fire False Alarms and to Authorize the Police Chief to Investigate Alarm
Systems for Permitting [100-2021]
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action
will not result in a physical change to the environment, directly or indirectly; and
b) Conduct second reading and adopt Ordinance No. 2021-9, An Ordinance of the City Council of
the City of Newport Beach, California, Amending Chapter 5.49 (Burglary -Robbery -Fire Alarm
Systems) of the Newport Beach Municipal Code.
RESOLUTIONS FOR ADOPTION
6. Resolution No. 2021-22: Authorizing the Request for Delay of Measure M2 Project V
Funding for the Balboa Island/Corona del Mar Microtransit Feasibility Study Project
[100-2021]
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action
will not result in a physical change to the environment, directly or indirectly; and
b) Adopt Resolution No. 2021-22, A Resolution of the City Council of the City of Newport Beach,
California, Authorizing a Request for the Orange County Transportation Authority to Delay
Measure. M2 Comprehensive Transportation Funding Program Project V Funds for the Balboa
Island/Corona del Mar Microtransit Feasibility Study Project to Fiscal Year 2023.
Council Member Blom recused himself from Item 6 due to business interest conflicts.
7. Resolution No. 2021-23: Approval and Adoption of the Standard Specifications for Public
Works Construction, 2015 Edition; and the City of Newport Beach Design Criteria &
Standard Drawings for Public Works Construction, 2021 Edition [100-2021]
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action
will not result in a physical change to the environment, directly or indirectly; and
b) Adopt Resolution No. 2021-23, A Resolution of the City Council of the City of Newport Beach,
California, Approving Public Works Publication of Standard Specifications for Public Works
Construction, 2015 Edition; and the City of Newport Beach Design Criteria & Standard
Drawings for Public Works Construction, 2021 Edition.
8. Pulled from the Consent Calendar
CONTRACTS AND AGREEMENTS
9. On -Call Striping and Sign Maintenance and Installation Services — Award of Contract
No. 7971-1 [381100-2021]
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a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action
will not result in a physical change to the environment, directly or indirectly; and
b) Award On -Call Contract No. C-7971-1 with Orange County Striping Service, Inc. for a term of
five years with a total not -to -exceed (NTE) amount of $1,500,000, and authorize the Mayor and
City Clerk to execute the contract.
10. Time Extension Request for the Orange County Transportation Authority's Newport Bay
Trash Interceptor Grant (C-4959) [38/100-20211
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action
will not result in a physical change to the environment, directly or indirectly, and
b) Approve a 24 -month time extension for the completion of the Newport Bay Trash Interceptor
project and ratify/approve the correspondence dated February 25, 2021 from the Public Works
Director to the OCTA requesting said 24 -month extension.
11. Approval and Award of Maintenance and Repair Services Agreement with Envise Inc. for
Civic Center Chiller Maintenance and Repair Services (C-8674-1) [38/100-2021]
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action
will not result in a physical change to the environment, directly or indirectly; and
b) Approve a three-year Maintenance and Repair Services Agreement with Envise Inc., for Civic
Center Chiller Maintenance and Repair Services for a total not -to -exceed amount of $150,000,
and authorize the Mayor and City Clerk to execute the agreement.
12. Amendment No. Three to Professional Services Agreement with Parkmobile, LLC for
Pay -By -Cell and Parking Reservation Services (C-7079-1) [38/100-20211
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action
will not result in a physical change to the environment, directly or indirectly;
b) Approve Amendment No. Three to extend the Agreement termination date to April 4, 2022, and
update the insurance requirements; and
c) Authorize the City Manager and City Clerk to execute Amendment No. Three to the Agreement.
MISCELLANEOUS
13. Planning Commission Agenda for the March 18, 2021 Meeting [100-20211
Receive and file.
14. Confirmation of Appointment to the Housing Element Update Advisory Committee to Fill
an Unscheduled Vacancy [24/100-20211
a) Determine that the action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because it will not
result in a physical change to the environment, directly or indirectly; and
b) Confirm Michelle Thrakulchavee as Mayor Brad Avery's appointment to the Housing Element
Update Advisory Committee.
15. Acceptance of the Painting Grandmother's Spirit by Thekla Hathaway Hammond into
the City Art Inventory [100-2021]
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action
will not result in a physical change to the environment, directly or indirectly; and
b) Per Council Policy I-11, the City Arts Commission recommends that City Council accept the
painting, Grandmother's Spirit by Thekla Hathaway Hammond, into the City's art inventory.
Council Member Brenner voted "no" to Item 1.5 during Motion for Reconsideration.
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16. 2020 Annual General Plan Progress Report and Housing Element Progress Report
(PA2007-195) [100-2021]
a) Find the preparation, review and submission of the 2020 General Plan Progress Report not
subject to the California Environmental Quality Act (CEQA) as the actions are not a project as
defined by Section 15378(b)(2) of the Public Resources Code;
b) Review and comment on the 2020 General Plan Progress Report, including the Housing Element
Annual Progress Report; and
c) Authorize the submittal of the 2020 General Plan Progress Report to the California Office of
Planning and Research and the submittal of the Housing Element Annual Progress Report to
the State Department of Housing and Community Development.
17. Financial Statement Audit Results for FY 2019-20 and Related Communication [100-2021]
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action
will not result in a physical change to the environment, directly or indirectly; and
b) Receive and file.
Motion by Mayor Pro Tem Muldoon, seconded by Council Member O'Neill, to approve the
Consent Calendar, except the item removed (Item 8); and noting the recusal by Council Member Blom
to Item 6, the "no" votes by Mayor Avery and Council Member Dixon to Item 3, the "no" vote by Mayor
Pro Tem Muldoon to Item 4, the "no" vote by Council Member Brenner to Item 15 (during Motion for
Reconsideration), and the amendments to Item 1.
With Council Member Duffield absent, the motion carried 6-0.
XV. ITEM REMOVED FROM THE CONSENT CALENDAR
8. Resolution No. 2021-24: Reestablishing the Ad Hoc Committee on Short Term Lodging
[241100-2021]
Community Development Director Jurjis reported the Short Term Lodging (STL) Ad Hoc Committee
would like to continue until June 2022 in order to review and potentially make recommendations
for revisions to the Newport Beach Municipal Code (NBMC) and proposes that Council Member
Duffield fill the vacant seat on the committee.
Council Member Brenner stated a few STL operators are making life miserable for their neighbors,
those tenants do not contribute to the economic base, and the STL Ad Hoc Committee would like to
support good operators and find ways to ensure that quality of life is not destroyed for the affected
neighbors.
Council Member Blom indicated he wants to involve the community more by having the STL Ad Hoc
Committee develop a community dialogue and stated that new solutions should be tried after a year
of work has not resolved the issues.
Council Member O'Neill questioned what business is left for the STL Ad Hoc Committee to consider
and related that enforcement is not directed by Council Members, noted he cannot support
extending the STL Ad Hoc Committee in its current form, but if it continues, it should turn into a
Brown Act committee with citizen members.
Council Member Dixon noted that the current ordinance is not improving disturbances and quality
of life, many cities are clamping down on STLs more than Newport Beach has attempted, the City
is trying to protect neighborhoods and good operators, issues predominantly relate to Newport
Island, the STL Ad Hoc Committee welcomes input from anyone and hears from the residents, a
Brown Act committee will be cumbersome, and the STL Ad Hoc Committee is tasked with listening
to the residents and business owners and trying to solve the neighborhood conundrum.
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In response to Mayor Pro Tem Muldoon's question, City Manager Leung indicated the ad hoc
committee's meetings are not publicly noticed meetings.
Mayor Pro Tem Muldoon preferred that the STL Ad Hoc Committee meetings be publicly noticed
and would support an amendment to require a public component to the meetings.
Council Member Brenner stated the STL Ad Hoc Committee has invited local property management
companies to meet with them and incorporated some of their ideas into recommendations, it is not
a matter of the ad hoc committee needing to hear the impacts, and the ad hoc committee does not
focus on telling staff how to enforce ordinances but on how to amend ordinances that do not give
staff the tools to enforce.
Council Member O'Neill related that, if the focus will be on Newport Island, then that needs to be
stated in the ad hoc committee resolution, and if that occurred, he would not ask to amend it to
become a Brown Act committee.
Council Member Dixon indicated a property management company addressed the ad hoc committee
regarding new technology, the ad hoc committee is open to input, and supported limiting the ad hoc
committee's focus to Newport Island.
In response to Craig Batley's question, Council Member O'Neill reported the focus for the ad hoc
committee will be Newport Island. Mr. Batley noted the City arranged for enforcement sweeps
Thursday through Sunday nights on Newport Island, which he believed may be resulting in some
benefits to the area.
Jim Mosher expressed concern regarding any committee that meets privately and stated
enforcement is not a proper role for ad hoc committees.
Gary Cruz expressed concern that the ad hoc' committee will be dissolved and issues will not be
presented to Council, and added that the committee needs to figure out how best to approach the
California Coastal Commission in order to obtain approvals.
Scott Carpenter, iTripVacations.com owner, expressed concerns regarding the transparency and
openness of the committee, was pleased with shifting the focus to Newport Island, and because of
the decrease in COVID-19 cases, suggested Council consider removing the last element of the
emergency ordinance that prohibits STL permits from being issued.
Bud Levy wanted some representation from Newport Island at those meetings.
Nancy Scarbrough stated that people on Newport Island have carried a lot of the burden for the rest
of the City, Council should make this as simple as possible for them, property rights also apply to
neighbors, and whatever Council can do to make this problem manageable should be done.
Mike Glenn asked why the City is not charging people with illegal activities if what they are doing
is already illegal and indicated that the Fourteenth Amendment ensures that the entire City may
be affected by any property rights Council decides to strip from property owners on Newport Island,
and added that it is only fair for property owners and operators to be part of the ad hoc committee
in order to explain their positions and deter the deterioration of property rights.
Gina Cruz commented that people's lives are being affected, some people feel like prisoners in their
homes due to the STLs around them, and their quality of life has decreased in the last two years
which also coincides with the increased issuance of permits.
Council Member O'Neill proposed amending the resolution by replacing "in the coastal zone" with
"on Newport Island" in the first "Whereas" paragraph and at the end of Section 1.
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In response to Council Member Dixon's question, City Attorney Harp clarified that an annual permit
is not a land use property right.
Motion by Council Member O'Neill, seconded by Mayor Pro Tem Muldoon, to a) determine
this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections
15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical
change to the environment, directly or indirectly; and b) adopt amended Resolution No. 2021-24, A
Resolution of the City Council of the City of Newport Beach, California, Reestablishing the Ad Hoc
Committee on Short Term Lodging.
With Council Member Duffield absent and Council Member Blom voting "no," the motion
carried 5-1.
XVI. PUBLIC COMMENTS ON NON -AGENDA ITEMS
Jim Mosher noted Item 18 asks the residents of Newport Coast and Newport Ridge to pay partially for
the cost of residential trash collection, Council did not receive a recommendation from the Newport
Coast Advisory Committee (NCAC), the public has been told many times that Council does not have the
power to dissolve the committee without violating the annexation agreement but Resolution No. 2008-
93 dissolved the committee, and Council should ask the City Attorney to review the annexation
agreement and what was voted on at the time of annexation and return to Council with information
regarding whether the NCAC still exists, if Council had the power to dissolve it, the current status of
promises to residents, and if the City has any continuing obligations under the agreement.
Mike Glenn commented that he felt the City Attorney's earlier response to Council Member Dixon is
incorrect, and stated that people have the right to do whatever they want with their property.
XVII. PUBLIC HEARING
18. Conduct a Proposition 218 Public Hearing and Consider a Residential Recycling Fee Rate
Increase [100-20211
Mayor Avery announced that all protests must be received by the City Clerk by the close of the
public hearing.
Public Works Director Webb and Deputy Public Works Director Martin utilized a presentation to
discuss City solid waste collection and processing programs to comply with State . mandates,
residential refuse collection program modifications, the recycling service fee, reasons for updating
the fee, the 2020 Residential Recycling Fee Study, maps of current CR&R residential refuse hauling
contracts, the proposed rate increase, and why there are two fees.
Council Member O'Neill clarified that the two different fees will not be seen again, explained how
Proposition 218 calculates fees, and provided specifics on the two different contracts.
Deputy Public Works Director Martin continued the presentation with the proposed rate and
revenue increase, Citywide notifications, and recommendations.
City Attorney Harp reiterated that all protests must be received by the City Clerk by the close of
the public hearing.
Mayor Avery opened the public hearing.
Jim Mosher commented that he felt the proposal has problems because Council never had the
authority to impose the fee and the explanation of the fee amount makes no sense. He read the 1959
ordinance about defraying costs, noted in 1990 Council implemented the recycling fee and in 1996
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voters supported the 1959 ordinance with more explicit details, and stated that the cost study
indicates if residents recycle 100%, they will have to pay 100% of the cost.
City Attorney Harp clarified that the recycling fee was in place before the ordinance was adopted,
therefore, the recycling fee is valid.
Murphy McCann inquired about the goal of the recycling program, commented it appears that
Council is trying to pass on more cost to the residents, stated that it is not clear how the money is
spent on the other side, how diversion rates are calculated, and if more money has to be spent on
CR&R's contract to achieve higher diversion rates.
Rachel Cushman, representative of Miss Scuba California, was happy that Newport Beach is
implementing research, but believed education will fix this problem and help the community grow
and participate.
In response to Council Member Brenner's request, Public Works Director Webb discussed the
impacts of State laws, disposal of contents from the black (dirty) and green (clean) cans, technology,
the three -cart system, and the January 2022 deadline for organics. Council Member Brenner noted
in the past, recycling was on the honor system, but the City will incur penalties if people do not
recycle, which might need to be passed to residents.
In response to Council Member Brenner's question, City Attorney Harp advised that the property
tax paying for trash removal services has been on the books for a long time, when the most recent
ordinance was adopted by the people, there was confusion about whether it applied to residences or
residences and commercial properties, the ordinance indicates that the City will take care of trash
service for residential but not commercial properties, the City was already charging a recycling fee
at the time it was adopted, the fee was never intended to go away when the ordinance was adopted,
and there is no argument that it was caught up in the adoption of the ordinance.
Council Member Dixon shared that being a member of the working group with Council Members
Brenner and O'Neill has been an educational process. In response to her question, Public Works
Director Webb related that most Orange County cities have been on the three -cart system and
separating trash for many years. He noted that Costa Mesa Sanitary District uses two carts but is
moving to a three -cart system. Council Member Dixon indicated landfills have finite capacity, State
mandates are unavoidable, this will bring the City into compliance with modern waste management
techniques with minimum inconvenience, people want the City to do more recycling, and
commended staff for diligently working on this and the.community for realizing the City is handling
waste in the most responsible manner possible.
Hearing no further testimony, Mayor Avery closed the public hearing.
City Clerk Brown announced that she received ten (10) protest letters.
Motion by Council Member Dixon, seconded by Council Member O'Neill, to a) determine
this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections
15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical
change to the environment, directly or indirectly; and b) adopt Resolution No. 2021-25, A Resolution
of the City Council of the City of Newport Beach, California, Adopting an Adjusted Recycling Service
Fee, since there was not a majority of protest votes received against the adoption of the new
Recycling Service Fee rates.
With Council Member Duffield absent and Mayor Pro Tem Muldoon voting "no," the
motion carried 5-1.
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Council Member O'Neill reported that the City Council rescinded the resolution that dissolved the
Newport Coast Advisory Committee (NCAC), and refuse collection was a consideration in 2008 and
is not an item the NCAC reviews.
XVIII. CURRENT BUSINESS
19. Resolution No. 2021-26: One Year Waiver of Business License Tax Renewal for Businesses
Required to Close by Order of the State of California [100-20211
Council Member Blom recused himself due to business interest conflicts.
Finance Director Catlett used a presentation to discuss the background, program highlights,
business license statistics, fiscal impact, and recommended action.
Council Member O'Neill thanked Mayor Avery for bringing this item forward and Mayor Pro Tem
Muldoon and Council Member Dixon for serving on the business ad hoc committee last year with
him, stated he hopes businesses will survive and thrive in the coming year, there has been
substantial business interruption due to the pandemic and the State's response to the pandemic,
and this is a way for the City to continue to help.
Mayor Pro Tem Muldoon indicated that it is inconceivable to close businesses and then charge them
for the business license, and this is a model that other cities could look to in order to help businesses.
Motion by Council Member O'Neill, seconded by Mayor Pro Tem Muldoon, to a) determine
this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections
15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical
change to the environment, directly or indirectly; b) authorize a one-year waiver of the business
license tax renewal for businesses required to close by the State of California to be effective for
renewals processed between April 1, 2021 and March 31, 2022; c) direct staff to pay the required
$4.00 per license fee to the Division of the State Architect for businesses for which the business
license tax has been waived; and d) adopt Resolution No. 2021-26, A Resolution of the City Council
of the City of Newport Beach, California, Providing a One -Year Waiver of the Business License Tax
Renewal for Businesses required to Close by Order of the State of California for One Year Period.
Mayor Avery noted the City has always been committed to small businesses and assured that the
small business community is appreciated.
Council Member Dixon indicated this may be a small gesture, but small businesses will be grateful
for one less bill to pay.
With Council Member Duffield absent and Council Member Blom recusing himself, the
motion carried 5-0.
20. Coronavirus (COVID-19) Update [100-20211
City Manager Leung and Fire Chief Boyles utilized a presentation to discuss Orange County cases,
the red tier, County re -openings, State metrics with vaccination targets, State Blueprint update,
City status, Hoag and the City's Clinic Partnership at OASIS Senior Center, personal
contact/assistance, City staff, Fire Department statistics, and the one-year anniversary of pandemic
updates. Fire Chief Boyles noted that Council Members O'Neill and Brenner volunteered at the
OASIS Senior Center clinic, the emotions of the folks receiving vaccinations today were touching
because they were finally able to get out of their houses and see grandchildren, and the vaccinations
represent hope.
Council Member Brenner was struck by the difference between the previous updates and tonight's
update, stated there is a feeling of hope and optimism, expressed appreciation for the impressive
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Study Session and Regular Meeting
March 23, 2021
experience today at OASIS because everyone was so grateful, stated that Tommy Martin from Five
Crowns restaurant was excited to receive a vaccination, and noted that she was proud of the City.
Council Member O'Neill believed today was special, thanked Fire Department EMS Division Chief
Thompson, stated that staff will continue to work with the County to hold more clinics, a number of
residents stated they were not comfortable going to the Super Points of Distribution (POD), an 80 -year-
old man who has not left his house in a year came out today to get a vaccine, some City staff was able
to get vaccinated, folks in their 30s are likely to be reticent about getting a vaccination, encouraged
everyone to get the vaccine, noted this was a life -and -death situation for some, and appreciated Fire
Department staff for putting together the clinic.
Council Member Dixon agreed with comments regarding Division Chief Thompson, indicated people
have been confined to their homes for a year, going through the Othena system is tough, expressed her
pride in the City, stated that being vaccinated is liberating, wished good health to all the residents, and
thanked Chief Boyles and staff.
Mayor Avery stated this makes him realize this effort should have started earlier, noted the efforts of
Chief Boyles to bring the vaccine to the City, reiterated that some residents did not want to go to the
Super PODs, OASIS is trusted and reached out to residents, the Newport Beach Fire Department was
ready to do this, and commended staff for their perseverance and work with Hoag Hospital.
Jim Mosher thanked the City for providing these updates at each of the meetings because they are
useful and noted that an alternative to the Othena website is the UCI Bren Center where he was
vaccinated.
XIX. MOTION FOR RECONSIDERATION
In response to Council Member Brenner's question regarding Item 15 (Acceptance of the Painting
Grandmother's Spirit by Thekla Hathaway Hammond into the City Art Inventory), City Attorney Harp
advised that the City gives a tax receipt for a donation, and he did not know how the valuation is
determined but the value is the actual worth. Council Member Brenner indicated she read Mr. Mosher's
comments and noted the donor, rather than the City, values the donation. Mayor Avery clarified the
value of non-cash donations is determined by an outside appraisal and City Attorney Harp noted the
value is between the donor and the IRS.
Without objection, Council Member Brenner voted "no" to Item 15.
XX. ADJOURNMENT - Adjourned at 8:00 p.m. in memory of Mexican Consul Mario Cuevas
Zamora and Dave Stone
The agenda was posted on the City's website and on the City Hall electronic bulletin board
located in the entrance of the City Council Chambers at 100 Civic Center Drive on
March 18, 2021, at 4:00 p.m.
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