HomeMy WebLinkAboutMinutes.Regular Meeting.160524AGENDA NO: A-3
MINUTES - MORRO BAY CITY COUNCIL
REGULAR MEETING — MAY 24, 2016
VETERAN'S MEMORIAL HALL — 6:00 P.M.
PRESENT: Jamie Irons
Matt Makowetski
John Headding
Christine Johnson
Noah Smukler
STAFF: Dave Buckingham
Joe Pannone
Dana Swanson
Sam Taylor
Rob Livick
Scot Graham
Eric Endersby
Amy Christey
Steve Knuckles
MEETING DATE: June 14, 2016
Mayor
Councilmember
Councilmember
Councilmember
Councilmember
City Manager
City Attorney
City Clerk
Deputy City Manager
Public Works Director
Community Development Manager
Harbor Director
Police Chief
Fire Chief
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 - No Closed Session meeting was held.
MAYOR AND COUNCILMEMBERS' REPORTS, ANNOUNCEMENTS &
PRESENTATIONS
https://youtu.be/k9421wH_Adu h-2m53s
CITY MANAGER REPORTS, ANNOUNCEMENTS &PRESENTATIONS
https://youtu.be/k9421wH AdU?t=8m21 s
PRESENTATIONS
https://youtu.be/k9421wH AdU?t=llml8s
Stacey Aragon, Sarrie Choy and Kristin Hardtke from Cal Poly presented findings from the Morro
Bay Business Walk conducted on May 11, 2016.
PUBLIC COMMENT
https://youtu.be/k9421wH_AdU?t=21 m43 s
Rachel Sherfield of Skipper's Brew located at 571 Embarcadero, provided the business spot.
Skipper's Brew serves high quality coffee drinks using local roasters.
Rigmor, Morro Bay, spoke in support of tourism and encouraged the use of an app to provide
visitors with information on local restaurants and other businesses.
Susan Stewart, Morro Bay resident and business owner, announced a General Plan Update
Community Workshop will be held on Thursday, June 16, both at the Business Forum at 7:30am,
then at a Community Workshop from 5:30 to 8:00pm at the Veterans Hall. Regarding Item C-3,
she noted the General Plan Advisory Committee has not yet addressed vacation rentals.
Meg Crockett, President of Pacific Wildlife Care, explained they are the only wildlife
rehabilitation organization in San Luis Obispo County that accepts orphaned and injured land
mammals, birds and reptiles. Visit www.pacificwildlifecare.org for information on how to support
this organization.
Robert Davis, Morro Bay, spoke in support of the SLOCOG Self -Help sales tax initiative, and
urged the Council and residents to support this initiative.
Tyler Conrad, Morro Bay, asked the City Council to consider a resolution supporting the National
Revenue -Neutral Carbon Fee and Dividend Program aimed at protecting the economy and climate
from the impacts of global warming.
Jane Heath, Morro Bay resident and business owner, announced the Central Coast Maritime
Museum Association will hold an open house on June 4 and 5 from 1 lam to 3pm, to welcome the
Historic ALMA tug. Tickets for a BBQ lunch to be held Sunday, June 5, are available at Coalesce
Bookstore.
Walter Heath spoke on behalf of the Citizens Beautification and Heritage Committee, reminding
the Council of their interest in adding a mural on the overpass as part of the Highway 41 / Main
Street improvements. He also thanked Council and staff for their support of the Maritime Museum.
Erica Crawford, Morro Bay Chamber of Commerce, thanked the Cal Poly students for their work
on the business walk, and also thanked those who participated and supported the Amgen event.
Bonnie Johnson, Morro Bay Bike Park, requested the Council move Agenda Item C-2 ahead in
the agenda.
Betty Winholtz, Morro Bay, commented on Item C-3 encouraging the Council not to wait for
General Plan discussion, but to forward the issue to Planning Commission now. She also
expressed concern about the proposed roundabout at Highway 41 and Main Street.
Barbara Doerr, Morro Bay, spoke regarding Item C-3 raising concern about the land use issues
related to vacation rentals.
KC Caldwell, Morro Bay, appreciated the business walk and was pleased to see the work being
done to reach out to downtown businesses. She also encouraged the City to support Pacific
Wildlife Care.
Victoria Schmidt, Morro Bay, spoke to Agenda Item C-3 and encouraged the Council to develop
appropriate regulations for vacation rentals.
The comment period was closed.
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MINUTES - MORRO BAY CITY COUNCIL -MAY 24, 2016
Staff responded to questions raised during the public comment period.
A. CONSENT AGENDA
https://youtu.be/k942lwH AdU?t=58ml4s
Unless an item is pulled for separate action by the City Council, the following actions are approved
without discussion.
A-1 APPROVAL OF MINUTES FROM THE MAY 10, 2016 SPECIAL CLOSED SESSION
CITY COUNCIL MEETING; (ADMINISTRATION)
RECOMMENDATION: Approve as submitted.
A-2 APPROVAL OF CONTRACT WITH DIGITAL WEST NETWORKS, INC. FOR A
FIBER OPTIC AND HIGH-SPEED INTERNET PROJECT; (ADMINISTRATION)
RECOMMENDATION: Approve the proposed consultant agreement.
A-3 ADOPT RESOLUTION NO. 41-16 APPROVING 3� QUARTER BUDGET
ADJUSTMENTS TO COMPLY WITH THE AUDIT FINDING IN THE 2014/15 CITY
AUDIT, FINDING 2015-001, ISSUE #8; (ADMINISTRATIVE SERVICES)
RECOMMENDATION: Adopt Resolution No. 41-16 approving the 3rd Quarter Budget
Adjustments.
A-4 ADOPT RESOLUTION NO. 37-16 APPROVING THE FISCAL YEAR 2016/17
MASTER FEE SCHEDULE; (ADMINISTRATIVE SERVICES)
RECOMMENDATION: Adopt Resolution No. 3746 approving the FY 2016/17 Master Fee
Schedule.
A-5 ADOPT RESOLUTION NO. 38-16 APPROVING THE FISCAL YEAR 2016/17
BUSINESS TAX SCHEDULE; (ADMINISTRATIVE SERVICES)
RECOMMENDATION: Adopt Resolution No. 38-16 approving the FY 2016/17 Business
Tax Schedule.
The public comment period for the Consent Agenda was opened
https://youtu.be/k9421wH_AdU?t=5 8m 15 s
Susan Stewart, Morro Bay, spoke to Item A-2 asking about the expected cost of service and what
would happen if not enough commercial customers sign up to reduce costs to the City.
Erica Crawford, Morro Bay Chamber of Commerce CEO, spoke to Item A-2 noting the service
may not be appropriate for all businesses, but choice is the key. She suggested City savings be put
toward infrastructure improvements. Regarding Item A-5, she expressed concern about the "per
employee" cost being tied to CPI and the effect that has on businesses.
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MINUTES - MORRO BAY CITY COUNCIL -MAY 24, 2016
Betty Winholtz, Morro Bay, spoke to Item A-2 expressing concern about potential risk and
suggested the City wait until the current contract with Charter expired before considering a change.
Regarding Item A4, she was unable to find the appeal fee in the document and requested that fee
not be raised this year.
Walter Heath, Morro Bay, asked that Item A-2 be pulled for discussion to hear the City Attorney s
concerns regarding the agreement.
The public comment period for the Consent Agenda was closed.
Mayor Irons pulled Agenda Item A-2 and A-4. Councilmember Johnson pulled Item A-5.
MOTION: Mayor Irons moved the Council approve Items A4 and A-3 on the Consent
Agenda. The motion was seconded by Councilmember Headding and carried
unanimously, 5-0.
A-4 ADOPT RESOLUTION NO. 37-16 APPROVING THE FISCAL YEAR 2016/17
MASTER FEE SCHEDULE; (ADMINISTRATIVE SERVICES)
https://youtu.be/k9421wH6AdU?t=1 h6m20s
Staff identified appeal fees in the document and explained those fees were raised based on "ENR",
a construction cost index for development related fees. The Council requested redline tracking of
cost increase be provided for ease of reference, and the desire for a full fee review in the future.
The public comment period for Item A-4 was opened.
Barry Branin, Morro Bay, suggested an option for permit application review to be outsourced with
the direct cost passed on to the applicant or developer.
The public comment period for Item A-4 was closed.
MOTION: Mayor Irons moved for approval of Item A-4. The motion was seconded by
Councilmember Smukler and carried unanimously, 5-0.
A-5 ADOPT RESOLUTION NO. 3846 APPROVING THE FISCAL YEAR 2016/17
BUSINESS TAX SCHEDULE; (ADMINISTRATIVE SERVICES)
https://youtu.be/k9421wH AdU?t=1h18m45s
MOTION: Councilmember Johnson moved for approval of Item A-5. The motion was
seconded by Councilmember Headding and carried unanimously, 5-0.
A-2 APPROVAL OF CONTRACT WITH DIGITAL WEST NETWORKS, INC. FOR A
FIBER OPTIC AND HIGH-SPEED INTERNET PROJECT; (ADMINISTRATION)
https:Hyoutu.be/k942lwH AdU?t=1h20m46s
MINUTES - MORRO BAY CITY COUNCIL -MAY 24, 2016
Mr. Taylor provided additional information regarding Item A-2, and responded to Council
inquiries.
Mayor Irons disclosed his potential conflict of interest on this item since he owns property in the
downtown area. The City Attorney explained the exemption for situations where the impact on
that councilmember is no different than 25% of the affected properties, there is no conflict of
interest. Based on that, he did not believe the Mayor had a conflict of interest; however, if the
Mayor felt uncomfortable, then he should recuse himself.
Mayor Irons recused himself due to a conflict of interest based on his ownership of property in the
downtown area. Councilmember Headding also recused himself due to his business ownership in
the downtown area.
The public c®mment period for Item A-2 was opened.
Lynda Merrill, Morro Bay, requested the Council forward the item to the Public Works Advisory
Board for further review and input.
Barry Branin, Morro Bay, suggested the project be reviewed by the Public Works Advisory Board.
Robert Davis, Morro Bay, spoke in support of the project to encourage economic development.
David Betonte, Morro Bay, expressed concern about the indemnification issue and potential
misuse of computer files. He also asked why only two proposals were received and whether those
who didn't respond were contacted.
The public comment period for Item A-2 was closed.
Staff responded to questions raised during the public comment period.
The Council discussed the opportunity to improve city operations and diversify the economy for
the long-term benefit of the City. It was determined the potential risk in the current contract with
Charter is no different than the proposed contract with Digital West, but does offer better service.
It was also suggested that in the future when very few responses are received to an RFP staff should
include the type of outreach that was done in the staff report and, when possible, explain why firms
chose not to respond.
MOTION: Councilmember Johnson moved for approval of Item A-2: The motion was
seconded by Councilmember Smukler and carried 3-0-2, with Mayor Irons and
Councilmember Headding abstaining due to a conflict of interest.
Mayor Irons and Councilmember Headding rejoined the meeting at 8:21pm.
There was Council consensus to move to Item C-2 next.
C. BUSINESS ITEMS
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MINUTES - MORRO BAY CITY COUNCIL -MAY 24, 2016
C-2 BIKE PARK UPDATE; (ADMINISTRATION)
https://youtu.be/k942lwH AdU?t=2h17m24s
Mr. Taylor invited Bonnie Johnson of Morro Bay Bike Park Group to provide an update on the
bike park.
The public comment period for Item C-2 was opened; seeing none, the public comment period
was closed.
The Council supported providing a Aorta -potty at the bike park and expressed appreciation to the
volunteers who have supported this wonderful addition to the community.
The Council took a brief recess at 8:30pm; the meeting reconvened at 8:35pm.
B. PUBLIC HEARINGS
B-1 ADOPT RESOLUTION NO. 39-16 CONTINUING THE PROGRAM AND LEVYING
THE ASSESSMENTS FOR THE 2016/17 FISCAL YEAR FOR THE MORRO BAY
TOURISM BUSINESS IMPROVEMENT DISTRICT (MBTBID);
(ADMINISTRATION)
https:Hyoutu.be/D9Z82cSWIcA?t=39s
Deputy City Manager Taylor presented the staff report and responded to Council inquiries.
The public comment period for Item B-1 was opened; seeing none, the public comment period was
closed.
MOTION: Councilmember Makowetski moved for adoption of Resolution No. 39-16
continuing the program and levying the assessments for the 2010/17 Fiscal Year
for the Morro Bay Tourism Business Improvement District. The motion was
seconded by Councilmember Headding and carried unanimously, 5-0.
C. BUSINESS ITEMS
C-1 PRESENTATION OF FISCAL YEAR 2014/15 CITY AUDIT REPORTS;
(ADMINISTRATIVE SERVICES)
https://youtu.be/D9Z82cS WIcA?t=3m 17s
Administrative Services Director Slayton introduced Kenneth Pun of The Pun Group who
presented the 2014/15 City audit reports and responded to Council inquiries.
The public comment period for Item C-1 was opened; seeing none, the public comment period
was closed.
The Council appreciated the report and looked forward to addressing organizational needs
identified in the next year or two. The need for comprehensive budget and fiscal policies and
procedures was discussed and the Council requested the City Manager report back with a plan to
MINUTES - MORRO BAY CITY COUNCIL -MAY 24, 2016
address those deficiencies. Given the upcoming transition in the department, there was no date
certain for that report.
No formal action was taken.
C-3 VACATION RENTAL DISCUSSION & NEXT STEPS; (COMMUNITY
DEVELOPMENT)
https:Hyoutu.be/D9Z82cSWIcA?t=lh2m
Community Services Manager Graham presented the staff report and responded to Council
inquiries.
The public comrrient period for Item C-3 was opened.
Barbara Doerr, Morro Bay, re -stated commercial uses such as vacation rentals are not appropriate
in residential areas, and encouraged strong outreach on the proposed moratorium.
The public comment period for Item C-3 was closed.
The Council agreed a full review of vacation rentals in order to develop a comprehensive policy
should take place as part of the General Plan update and supported a moratorium that would limit
the number of licensed vacation rentals until that process was complete.
MOTION: Mayor Irons directed staff to bring back an emergency ordinance at the next
meeting capping the total allowed number of licensed vacation rentals at 250. The
motion was seconded by Councilmember Headding and carried unanimously, 5-0.
MOTION: Councilmember Johnson moved the Council direct staff to incorporate the
regulation of vacation rentals and Airbnb into the General Plan update. The motion
was seconded by Councilmember Makowetski and carried unanimously, 5-0.
MOTION: Mayor Irons moved the meeting go past 11:OOpm. The motion was seconded by
Councilmember Headding and carried 4-1 with Councilmember Makowetski
voting no.
The Council took a brief recess at 10:55pm; the meeting reconvened at 11:00pm with all members
present.
There was Council consensus to hear Item C-5 next.
C-5 ADOPT RESOLUTION NO. 3646 RESCINDING RESOLUTION NO. 18-14 AND
UPDATING THE CITY OF MORRO BAY' S PARTNERSHIP POLICY AND PROVIDE
DIRECTION REGARDING A CO-SPONSORSHIP POLICY; (ADMINISTRATION)
https://youtu.be/D9Z82cSWIcA?t=2h2Om9s
Mr. Taylor presented the staff report and responded to Council inquiries.
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MINUTES - MORRO BAY CITY COUNCIL -MAY 24, 2016
The public comment period for Item C-5 was opened; seeing none, the public comment period
was closed.
MOTION: Councilmember Johnson moved the Council adopt Resolution No. 36-16
rescinding Resolution No. 18-14 and updating the City's Partnership Policy. The
motion was seconded by Councilmember Headding and carried unanimously, 5-0.
C-4 INTRODUCTION AND FIRST READING OF ORDINANCE NO. 603 AMENDING
MORRO BAY MUNICIPAL CODE (MBMC) CHAPTER 13.20 REGARDING
BUILDING LIMITATIONS, AND ADOPT RESOLUTION NO. 4046 RESCINDING
RESOLUTION NO. 78-00 REGARDING GROWTH MANAGEMENT PROCEDURES
FOR DISTRIBUTION OF WATER RESOURCES; (PUBLIC WORKS)
https://youtu.be/D9Z82cSWIcA?t=2h26m51 s
Public Works Director Livick presented the staff report and responded to Council inquiries.
The public comment period for Item C-4 was opened; seeing none, the public comment period
was closed.
MOTION: Councilmember Headding moved for introduction and first reading of Ordinance
603 amending Morro Bay Municipal Code (MBMC) Chapter 13.20 regarding
building limitations, and adopt Resolution No. 40-16 rescinding Resolution No.
78-00 regarding growth management procedures for distribution of water
resources. The motion was seconded by Mayor Irons and carried unanimously, 5-
0.
D. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS
https://youtu.be/D9Z82cSWIcA?t=2h38m21 s
Councilmember Johnson requested discussion of a resolution supporting the National Revenue -
Neutral Carbon Fee and Dividend Program requested during public comment. The Council
supported this item.
E. ADJOURNMENT
The meeting adjourned at 11:19pm. The next Regular Meeting will be held on Tuesday, June 14,
2016 at 6:00 p.m. at the Veteran's Memorial Hall located at 209 Surf Street, Morro Bay, California.
Recorded by:
Vana Swanson,
City Clerk
MINUTES - MORRO BAY CITY COUNCIL -MAY 24, 2016