HomeMy WebLinkAboutCC_2017-06-13_MinutesMINUTES - MORR O BAY CITY COUNCIL
REGULAR MEETING — JUNE 13, 2017
VETERAN'S MEMORIAL HALL — 6:00 P.M.
PRESENT: Jamie Irons
Robert Davis
John Headding
Matt Makowetski
Marlys McPherson
STAFF: Craig Schmollinger
Joe Pannone
Dana Swanson
Ikani Taumoepeau
Rob Livick
Scot Graham
Greg Allen
Eric Endersby
Sandy Martin
AGENDA NO: AA
MEETING DATE: August 8, 2017
Mayor
Council Member
Council Member
Council Member
Council Member
Acting City Manager
City Attorney
City Clerk
Deputy City Manager
Public Works Director
Community Development Director
Police Chief
Harbor Director
Budget and Accounting Manager
ESTABLISH QUORUM AND CALL TO ORDER
The meeting was called to order at 6:04 p.m., with all members present.
MOMENT OF SILENCE
PLEDGE OF ALLEGIANCE
RECOGNITION - None
CLOSED SESSION REPORT — City Attorney Pannone reported that with regard to the Closed
Session Items, the Council did not take any reportable action pursuant to the Brown Act,
MAYOR AND COUNCIL MEMBERS' REPORTS, ANNOUNCEMENTS &PRESENTATIONS
CITY MANAGER REPORTS, ANNOUNCEMENTS &PRESENTATIONS
PRESENTATIONS — "State of the Bay" by Lexie Bell, Morro Bay National Estuary Program
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PUBLIC COMMENT
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Linda Fidell, Morro Bay, spoke regarding Monday night dinners. Since Jan 6, 2014, they have
provided hot meals to 10,874 guests. She thanked local businesses for their ongoing support,
including Sun-n-Buns Bakery (Karen and Adam Krouse), Rock Espresso Bar (Jason and Amanda
Birdsong), On the Beach Bed & Breakfast in Cayucos (Maureen Handshy), and Cookie Crock.
Dockside, Giovanni's and GAFCO have also generously donated food items.
Barbara Spagnola, Morro Bay, spoke representing the American Association of University
Women (AAUW) and introduced three local students who were awarded scholarships to attend
the Tech Trek program, a week-long camp designed to introduce middle school girls to STEM
subjects and careers.
Meredith Bates, Morro Bay, appreciated the Mayor and Councils support on various
environmental issues and expressed concern staff reports and meeting minutes do not reflect the
exact nature of the Council motion.
Erica Crawford, Morro Bay Chamber of Commerce, announced upcoming events planned for the
month of June.
Betty Winholtz, Morro Bay, thanked Morro Bay Beautiful for its contribution to help beautify the
Morro Bay High School campus before graduation. She spoke regarding public policy and stated
the people grant power to elected officials to make decisions and delegate to staff.
The public comment period was closed.
The Mayor and Council responded to issues raised during public comment.
A. CONSENT AGENDA
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Unless an item is pulled for separate action by the City Council, the following actions are approved
without discussion.
A-1 APPROVAL OF REVISED MINUTES FOR THE APRIL 4, 2017 SPECIAL CITY COUNCIL
MEETING; (ADMINISTRATION)
RECOMMENDATION: Approve as submitted.
A-2 APPROVAL OF MINUTES FOR THE MAY 9, 2017 CITY COUNCIL MEETING;
(ADMINISTRATION)
RECOMMENDATION: Approve as submitted.
A-3 APPROVAL OF MINUTES FOR THE MAY 23, 2017 SPECIAL CITY COUNCIL
MEETING; (ADMINISTRATION)
RECOMMENDATION: Approve as submitted
A-4 APPROVAL OF MINUTES FOR THE MAY 23, 2017 CITY COUNCIL MEETING;
(ADMINISTRATION)
RECOMMENDATION: Approve as submitted.
A-5 APPROVAL OF MINUTES FOR THE MAY 24, 2017 SPECIAL CLOSED SESSION CITY
COUNCIL MEETING; (ADMINISTRATION)
RECOMMENDATION: Approve as submitted.
A-6 PROPOSED PARTNERSHIP AGREEMENT WITH PROJECT SURF CAMP; (DEPUTY
CITY MANAGER)
RECOMMENDATION: Council authorize the City Manager to enter into a partnership
agreement with Project Surf Camp.
A-7 APPOINTMENT OF VOTING DELEGATE(S) TO THE CALIFORNIA JOINT POWERS
INSURANCE AUTHORITY; (ADMINISTRATION)
MINUTES - MORRO BAY CITY COUNCIL - JUNE 13, 2017
RECOMMENDATION: Council appoint the Mayor as the official representative of the City
A Morro Bay on the California Joint Powers Insurance Authority (CJPIA) Board of
Directors. It is also recommended that the Risk Manager be appointed as first alternate,
and the City Manager as second alternate.
A-8 ADOPTION OF RESOLUTON NO. 26-11 APPROVING COOPERATION AGREEMENT
WITH THE URBAN COUNTY (CDBG PROGRAM) FOR FISCAL YEARS 2018-2020;
(COMMUNITY DEVELOPMENT)
RECOMMENDATION: Council adopt Resolution No. WE 7 approving a Cooperation
Agreement with the Urban County for Fiscal Years 2018-2020.
A-9 ADOPTION OF RESOLUTION NO. 27-17 AUTHORIZING SAN LUIS OBISPO COUNTY
ASSESSOR TO ASSESS AMOUNTS DUE ON DELINQUENT SOLID WASTE
COLLECTION ACCOUNTS AS TAX LIENS AGAINST THE PROPERTIES; (PUBLIC
WORKS)
RECOMMENDATION: Council adopt Resolution No. 27-17.
A-10 APPROVAL OF LEASE AGREEMENT BETWEEN THE CITY OF MORRO BAY AND
STATE OF CALIFORNIA DEPARTMENT OF FISH & WILDLIFE FOR EXCLUSIVE TIE-
UP SPACE ON THE NORTH T-PIER FOR A PATROL VESSEL ACCOMMODATION
DOCK; (HARBOR)
RECOMMENDATION: Council adopt Resolution No. 29-17 and two-year Lease Agreement
with the State of California Department of Fish and Wildlife (DFW) for dedicated pier space
on the North T-Pier for their patrol vessel BLUEFIN dock.
A-11 CITY RESPONSE TO CITIZENS FOR AFFORDABLE LIVING REGARDING ALLEGED
BROWN ACT VIOLATION; (ADMINISTRATION)
RECOMMENDATION: Receive and file.
A-12 APPROVAL OF RECOMMITMENT LETTER REQUEST FOR PEOPLES' SELF-HELP
HOUSING EXTENDING AFFORDABILITY OF SEQUOIAAPARTMENTS (365 SEQUOIA
ST) AND PACIFIC VIEW APARTMENTS (495/500 MAIN ST); (COMMUNITY
DEVELOPMENT)
RECOMMENDATION: Authorize City Manager or his designee to provide a recommitment
letter to Peoples Self -Help Housing for purposes of applying for Federal -tax credit funding
for the Sequoia Apartments and Pacific View Apartments.
A-13 WATER RECLAMATION FACILITY PROGRAM UPDATE -PEER REVIEW PROCESS;
(PUBLIC WORKS)
RECOMMENDATION: Council receive and file the status report of the Water Reclamation
Facility (WRF) program, specifically related to the peer review process.
Council Member McPherson pulled Item A-6 and A-13.
MOTION: Council Member Makowetski moved the Council approve all items on the Consent
Agenda except Items A-6 and A-13. The motion was seconded by Council
Member Headding.
The motion was rescinded to open public comment.
Council Member Makowetski recused himself from discussion regarding Item A-6 due to his
involvement with Project Surf Camp, and left the dais.
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MINUTES - MORRO BAY CITY COUNCIL - JUNE 139 2017
A-6 PROPOSED PARTNERSHIP AGREEMENT WITH PROJECT SURF CAMP; (DEPUTY
CITY MANAGER)
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The public comment period for Item A-6 was opened.
Caleb Cole, Paso Robles, spoke in support of Project Surf Camp and thanked those who started
the camp as well as the many volunteers for their continued support.
Cindy Price, Grover Beach, shared how important Project Surf Camp was for her son, Evan, and
thanked the City for its support.
Bob Keller, Morro Bay, announced Project Surf Camp needs more volunteers and asked the
Council to support Item A-6.
John Taylor, Morro Bay resident and Executive Director of Project Surf Camp, shared program
history and the impact it has on campers, their families, counselors and volunteers. The City has
always been supportive and he looks forward to having a formal partnership.
Tiffany Ferreira, Templeton, shared the importance of Project Surf Camp for her son and others
who don't have the opportunity to attend other camps.
Hattie Taylor, Morro Bay, began volunteering at Project Surf Camp at 9 years old and appreciates
the positive impact it has had on her life and the lives of other volunteers.
The public comment period for Item A-6 was closed.
The Council shared its support and appreciation for Project Surf Camp.
MOTION: Council Member McPherson moved the Council authorize the City Manager to
enter into a partnership agreement with Project Surf Camp. The motion was
seconded by Council Member Headding and passed 4-0-1 with Council Member
Makowetski having recused himself due to a conflict of interest.
Council Member Makowetski rejoined the meeting at 700 p.m.
The public comment period was opened for other items on the Consent Agenda.
Jeff Heller, Morro Bay, expressed concern the City does not have an owner's representative to
push back on costs related to the WRF project and urged the Council to hire someone to run the
project.
Carole Truesdale, Morro Bay, asked for clarification on the table of dates provided in the WRF
staff report and also whether citizens were involved in the peer review.
Barry Brannin, Morro Bay, spoke regarding the WRF project, shared his concern about the
financial health of the City, and potential cost to residents.
Cynthia Hawley, Morro Bay Action Team, commented the City's response regarding actions taken
by the Council at its April 25 meeting did not address the issues raised. She asked the Council
to rescind the action and take it up again at a noticed meeting.
MINUTES - MORRO BAY CITY COUNCIL — JUNE 13, 2017
Tina Metzger, Morro Bay, requested the Council pull Item A-13 and recommended the Council
reopen public comment following discussion to provide the public an opportunity to ask additional
questions and assist with the process.
The public comment period for the consent agenda was closed.
Mayor Irons pulled Item A-11.
MOTION: Council Member Headding moved the Council approve all Items except Items A-
11, A-13 and A-6 (which had already been approved) on the Consent Agenda.
The motion was seconded by Council Member McPherson and carried
unanimously, 5-0.
A-11 CITY RESPONSE TO CITIZENS FOR AFFORDABLE LIVING REGARDING ALLEGED
BROWN ACT VIOLATION; (ADMINISTRATION)
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Mayor Irons explained the City received a letter alleging a violation of the Brown Act had occurred
at the April 25 City Council Meeting, The Council concluded no violation had occurred and have
responded to the complainant. This item was placed on the consent agenda to inform the public.
MOTION: Council Member Headding moved the Council approve Item A-11. The motion
was seconded by Council Member Davis and carried unanimously, 54
A-13 WATER RECLAMATION FACILITY PROGRAM UPDATE —PEER REVIEW PROCESS;
(PUBLIC WORKS)
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Public Works Director Livick listed the local public works professionals who participated in the
peer review process and described the process that took place. He is compiling information and
will bring a report to the WRFCAC on July 5. If desired, that report could be brought to the Council
on July 11.
Mayor Irons asked that all staff reports regarding the WRF Project include language that provides
latitude for the Council to have discussion and provide appropriate direction.
Council Member Davis clarified the proposed community workshop dates should be September
13 and 22, not August 22, as listed in the staff report.
MOTION: Council Member Davis moved for approval of Item A-13. The motion was
seconded by Council Member Headding and carried unanimously, 5-0.
B. PUBLIC HEARINGS - NONE
C. BUSINESS ITEMS
C-1 ADOPTION OF RESOLUTION NO. 30-17 APPROVING THE FISCAL YEAR 2017/18
OPERATING AND CAPITAL BUDGETS; (FINANCE)
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Acting City Manager Schmollinger presented the staff report and responded to Council inquiries.
There was discussion regarding Council bequests and concurrence the Council had not set a cap
of $8,000. It was agreed the budget should be adjusted by reducing the surplus, to include
bequests discussed and agreed to by the Council at the May 23 meeting.
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MINUTES - MORRO BAY CITY COUNCIL — JUNE 13, 2017
The public comment period for Item C-1 was opened. Seeing none, the public comment period
was closed.
The Council requested staff provide a report on potential use of government impact fees at mid-
year budget review, for a detailed accounting of how the City Manager opportunity fund is used,
and that organizations receiving community grant funds be required to provide a financial report
of how those funds are used.
MOTION: Council Member Headding moved the Council adopt Resolution No. 30-17
authorizing the Fiscal Year 2017/18 budget documents, including the amendments
that were made here this evening by the Council. The motion was seconded by
Council Member McPherson and carried unanimously, 5-0.
The Council took a short recess at 8:46 p.m. The meeting reconvened at 9:04 p.m.
C-2 REVIEW AND CONSIDERATION OF THE 2016 ANNUAL WATER REPORT AND
RECOMMENDATION FOR ALLOCATION OF WATER EQUIVALENCY UNITS (WEUS)
FOR 2017 AND ADOPTION OF RESOLUTION NO. 28-17; (PUBLIC WORKS)
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Public Works Director Livick presented the staff report and responded to Council inquiries.
The public comment period for Item C-2 was opened.
Diane Playan, Morro Bay, requested information on the desal plant and its use.
The public comment period for Item C-2 was closed.
MOTION: Council Member Headding moved the Council suspend the two -to -one off -set for
WEUs due to the City receiving its full allocation of State Water supply and the
Governor rescinding the emergency drought declaration, and reevaluate the off-
set program after the OneWater plan reevaluates the City's water portfolio and
WEU allocation program; additionally, allocate the 115 WEUs for 2017; and finally,
modify water conservation requirements to "moderately restricted" from the current
"severely restricted" supply conditions. The motion was seconded by Council
Member McPherson.
Council Member Davis asked if it was necessary to include language adopting the resolution in
the motion.
AMENDED MOTION: Council Member Headding amended the motion to include, "adopt
Resolution No. 28-17." The amended motion was seconded by Council Member
McPherson and carried unanimously, 5-0.
There was Council consensus to hear Item C4 next.
C-4 DIRECTION REGARDING BROKER REPRESENTATION FOR MARKET PLAZA;
(COMMUNITY DEVELOPMENT)
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MINUTES - MORRO BAY CITY COUNCIL - JUNE 13, 2017
Community Development Director Graham presented the staff report and responded to Council
inquiries.
Council Member Davis explained that as the Council liaison to TBID, he mentioned the project
during a conversation with Mr. Graves which led to this item coming before the Council.
The public comment period for Item C-4 was opened.
Diane Playan, Morro Bay, asked that Market Plaza be defined.
The public comment period for Item C-4 was closed.
Aaron Graves, California Hotel Brokers, provided an overview of his services and presented
brochures to the Council of some recent campaigns.
Mr. Graves became interested in the project because of his involvement with the TBID Advisory
Board. City Attorney Pannone stated for the record the TBID board would not have any
involvement in recommendations or decisions related to this project, and therefore there is no
conflict of interest or 1090 violation.
Council Member McPherson was not comfortable with a sole source contract without further
vetting or giving others an opportunity to participate in the process. The Council understood
those concerns but based on the time sensitivity and the quality of Mr. Graves' work, determined
it best to move forward with the project.
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MOTION: Council Member Headding moved the Council direct staff to move forward with
broker concept and that we entertain a specific proposal that would be presented
to staff, reviewed and then presented to Council for final approval as expeditiously
as possible. The motion was seconded by Council Member Davis.
AMENDED MOTION: Council Member Headding amended his motion to specify a contract with
California Hotel Brokers. The amended motion was seconded by Council Member
Davis and carried 4-1 with Council Member McPherson opposed.
Mayor Irons left the dais at 10:37 p.m. and returned at 10:40 p.m. during the staff presentation
on Item C-3.
C-3 REVIEW AND DISCUSSION OF FY18 ADVISORY BOARD WORK PLANS; (ALL)
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Or.
Schmollinger presented the staff report and responded to Council inquiries.
The Council reviewed and commented on each of the work plans. There was concurrence to
make the following revisions:
Planning Commission — no changes needed.
Citizens Finance Advisory Committee —Although not a work plan item, Mayor Irons requested
staff purchase apublic-sector finance book for Council & CFAC members.
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MINUTES - MORRO BAY CITY COUNCIL - JUNE 13, 2017
Public Works Advisory Board —
• Council Member Davis proposed adding an ite
Assessment District subcommittee to develop a
of all parties and the public.
n under IF. to work with the Cloisters
maintenance plan that meets the needs
• Mayor Irons proposed the following additions: review annual capital improvement
program and make recommendations for budget workshop, and evaluate rock parking lot
trash receptacles and other public spaces and consider writing an ordinance to require
public trash cans include closures.
Tourism Business Improvement District (TBID) Advisory Board —
• Council Member Davis requested the language regarding incorporating vacation rentals
and RV Parks into the District be revised to clearly identify tasks to be performed, timeline
and responsibility.
• Mayor Irons suggested the following addition: discuss and prepare TBID members for
reduction in General Fund contribution.
Recreation &Parks Commission
• Add review and submit to Council capital improvement projects for budget study session.
Harbor Advisory Board
• Add review and submit to Council capital improvement projects for budget study session.
• Review on an annual basis, in segments, all waterfront lease sites for conformity to
contractual agreements for building use, maintenance, signage, access, safety, with 100%
of all lease sites to be reviewed in 3-year period.
MOTION: Mayor Irons moved the meeting go past 11:00 p.m. for the next 10 minutes. The
motion was seconded by council Member Davis and carried unanimously, 5-0.
The revised work plans will be brought back to the next meeting for approval.
D. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS
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Mayor Irons requested discussion of next steps and disposition of the Cerrito Peak property,
including outreach to land conservancies. There was full support for this item.
Council Member McPherson requested discussion of the WRF schedule, including definition of
robust outreach and interpretation of the intent of that outreach, at the June 27 meeting. There
was full support for this item.
E. ADJOURNMENT
The meeting adjourned at 11:05 p.m. The next Regular Meeting will be held
27, 2017, at 6:00 p.m. at the Veteran's Memorial Hall located at 209 Surf
California.
Recorded b
C4^4�.soJ
D a Swanson, City Clerk
on Tuesday, June
Street, Morro Bay,
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MINUTES - MORRO BAY CITY COUNCIL - JUNE 13, 2017