HomeMy WebLinkAboutCC_2014-10-14_Meeting MinutesMINUTES - MORRO BAY CITY COUNCIL
REGULAR MEETING – OCTOBER 14, 2014
VETERAN’S MEMORIAL HALL – 6:00P.M.
PRESENT: Jamie Irons Mayor
Christine Johnson Councilmember
Nancy Johnson Councilmember
George Leage Councilmember
Noah Smukler Councilmember
STAFF: David Buckingham City Manager
Joe Pannone City Attorney
Jamie Boucher City Clerk
Rob Livick Public Services Director
Joe Woods Recreation & Parks Director
Eric Endersby Harbor Director
Amy Christey Police Chief
Susan Slayton Administrative Services Director
ESTABLISH QUORUM AND CALL TO ORDER – the meeting was called to order at 6:36pm.
MOMENT OF SILENCE
PLEDGE OF ALLEGIANCE
CLOSED SESSION REPORT – There was no Closed Session meeting.
MAYOR AND COUNCILMEMBERS’ REPORTS, ANNOUNCEMENTS &
PRESENTATIONS
PUBLIC PRESENTATIONS
CHECK PRESENTATION FROM THE SOUTH BAY COMMUNITY POOL ASSOCIATION
Pandora Nash Karner, Terry Rey and Terry Brown, representing the South Bay Community Pool
Association presented the City of Morro Bay with a check for $47,605 to go towards the
swimming pool effort. They are delighted to be in front of Council making this presentation.
The grant agreement stipulates that Los Osos will forever be able to use the pool just as any other
Morro Bay resident would. There is another $300,000 at the SCD that was initially collected for
a pool and urges discussion with them.
RIDESHARE MONTH PRESENTATION AND INVITATION FROM SLO REGIONAL
RIDESHARE
Peter Williamson with SLO Regional Rideshare spoke promoting Rideshare Month. Rideshare
month encourages people to walk, carpool, cycle or take transit. It’s a great time to start
something new. Events include Hidden Cash SLO where they will give out clues for a $100 cash
drop; paying it forward with Rideshare Super Commuter T-shirts by logging 5 commutes on
supercommuter.org; and “You Scream, We Scream, We all Commute for Ice Cream Employer
AGENDA NO: A-3
MEETING DATE: 10/28/2014
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MINUTES - MORRO BAY CITY COUNCIL – OCTOBER 14, 2014
Challenge” if your business gets the most new users on supercommuter.org you will get an ice
cream truck at your place of business for the day. Their goal is to reduce congestion and free up
parking at businesses.
QUARTERLY REPORT FROM THE CHAMBER OF COMMERCE
Jennifer Redman presented the Chamber of Commerce Quarterly Report. Regarding Incubator
support / office use, it’s estimated that 5-8 hours per week have been spent on Incubator
information and/or support during the quarter. Businesses receiving this support include City
Resource Connection, Estero Bay Radio 97.3, Morro Bay Community Quota Fund, Phondini
Partners, LLC, and various organizations use their conference room for meetings to include
Circle of Friends, Morro Bay Library Book Discussion, Night Writers Group, Ester Bay Radio,
Library Remodel Group, Jim’s Automotive, The Morro Group, and Central California Seafood
Marketing. The Chamber also provides Event Support. In September, they hosted a Business
Development Round Table Forum, they co-hosted with the City the Meet and Greet for the new
City Manager, and they participated and offered support for the Morro Bay Founders Day Picnic
and the Morro Bay 50th Parade and Dahlia Daze. They also hosted the Avocado and Margarita
Festival which brought over 7500 visitors to Morro Bay. In addition, they distributed flyers
promoting local business and provided extensive media coverage showcasing Morro Bay. Direct
Chamber assistance for business retention and expansion was provided by disseminating
information on the sign ordinance, water restrictions, Embarcadero business audit, business
license audit, City permit information and commercial space availability. On a regular basis,
they also respond to non-Chamber related questions; 374 for total number of calls and 276 for
total number of walk-ins. They also provided “Doing Business in Morro Bay” packets to 5
California Chambers of Commerce as well as to 9 prospective new businesses. The Chamber
appreciates the relationship with the City. She thanked Lisa Winn for all of her hard work in her
position of Acting Chamber Director as well as introduced the new Chamber Director, Kelly
Wells.
PUBLIC COMMENT
Lisa Winn and Nancy Castle, presented the Morro Bay business report on behalf of Resource
Connections. They announced the upcoming Project Connect: Community Resources and
Volunteer Opportunities Open House being held on Sunday, October 26th from noon – 4pm at
the Morro Bay Community Center. Topics being presented by local non-profit organizations
include Health and Wellness, Volunteering, Family Resources, Job Development, Senior
Services, Transportation, Community Services and Housing and Home Improvements. They
will even be offering flu shots and health screenings. The thanked their co-sponsors – the
Chamber, the City, 97.3, Transitions Mental Health, EBAC, Morro Bay Lions and AGP.
John Barta stated that local elections are very important. He urged a no vote on Measure J-14.
Morro Bay has a June election followed by a November election (if necessary); that is the same
voting/election process as the President, Senate, Congress, Governor, Secretary of State,
Treasurer, Sheriff, Board of Supervisors and County Clerk. J-14 is the exception, not the rule.
They say that J-14 will simplify our elections whereas it actually reduces your opportunity to
vote. Your vote is your voice.
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MINUTES - MORRO BAY CITY COUNCIL – OCTOBER 14, 2014
Robert Davis thanked the City for providing the building for the temporary library services; he
thanked Joe Woods and staff for making the building usable. They continue to provide all
services with the exception of wi-fi. The remodel project is on time and on budget. They hope
to resume their book sales in April, 2015. He also announced the Bicycle Tour being held this
Saturday, October 18th. It will be a tour of Morro Bay’s historic sites, will begin at 930am with
riders meeting at the Azure Street parking lot.
John Solu, President of the Harbor Festival, thanked Joe Woods, Eric Endersby and Dave
Buckingham for their help with a last minute challenge at the event. He went on to thank staff,
the 20+ volunteer agencies, the waterfront establishments and the Harbor Festival Board for all
the hard work that goes into putting the event on. As they look ahead, they will be doing a lot of
talking, listening, thinking to see what will work best and hope to make a decision in the next
couple of weeks.
John Elliot introduced Tiny Mike, working out of 2300 Main Street in the new barbershop. He
also announced an upcoming Trick or Treat event for the kids of Morro Bay. Several businesses
are cooperating to organize a Halloween Event whereby kids can Trick or Treat at participating
local businesses between 3-5pm. Afterwards there will be a Costume Party at Grandma’s Frozen
Yogurt. To date, 53 businesses have committed to participate so far.
Beverly Durrer of Grandma’s Yogurt announced they are hosting their 1st Annual Pumpkin
Carving Contest on October 25th and hopes many will attend.
Linda Stedjee spoke on the City’s water quality issue. In May, residents made a presentation to
the RWQCB providing evidence that leaking sewage from the Main St. trunk line is a major
source of the nitrates in Morro basin wells. As a result, RWQCB asked the City to conduct a
caffeine test of the well water. A caffeine test is a means of detecting the presence of sewage in
groundwater and is a test that has been conducted in Morro Bay in the past. Back in 2010,
blended water from the King Street tank water was tested; while most of the water had been
cleaned by the reverse osmosis trains at the desal plant, caffeine was still detected. She thinks
that Council was never told about the caffeine and that no further tests were run to determine
which wells it came from. The caffeine testing requested by RWQCB will isolate the wells
where the contamination is present. The board asked for the results by September but didn’t get
them. Instead a consultant was hired and the project expanded from something simple to
something much bigger. She feels this is a major waste of staff time and taxpayer money. If
caffeine isn’t found in the wells, then we’re done. She requested Council direct staff to only do
the caffeine test for now.
Cindy Edwards, on behalf of the Chamber, invited Council and staff to attend the Business
Forum on October 23rd at the Vet’s Hall from 830-10am. It will be a panel discussion on the
current MAS business license audit. She encouraged business owners to send questions to Kelly
Wells.
Amy Burton asked for support on Measure D which is a $177 million Bond Measure for
SLCUSD. It equates to approximate $49 per $100K of assessed property value and will last for
30 years. We need to take pride in our schools, our facilities and especially in our high schools
which have many infrastructure needs.
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MINUTES - MORRO BAY CITY COUNCIL – OCTOBER 14, 2014
Jen Ford, PTA President of Del Mar Elementary stated that Del Mar Elementary voted to
endorse Measure D. This Sunday, October 19th, Del Mar will be hosting their Annual Fall
Festival which is their biggest fundraiser of the year. She hopes to see lots of participation.
Joan Solu invited the entire community to a workshop being held on October 21st at the Golf
Course – “Unlocking the Secrets of Business Improvement Districts” being given by John
Lambeth of Civitas. Also, as a community member, it’s important that we all hold our schools in
high regard, please vote yes on Measure D.
Janice Peters stated that the Chamber Board of Directors has been contacted with concerns and
questions about the business license audit. She states that she understands the methods seem
intimidating. She asked Council to agendize for discussion. She worries they aren’t representing
the City in the proper way.
Garry Johnson said his grandkids were here over the summer, and they love being by the beach.
He thanked Joe Woods and Eric Endersby for their department’s ocean awareness programs. He
told them they have good skilled people running their programs.
Marla Jo Bruton Sadowski was happy to see that the community seems to be coming together for
its betterment. She is fearful that we don’t have a sustainable drinking water aquifer in Morro
Bay anymore but we can if we go to a water reclamation facility. She wants to encourage our
community to support a sustainable water source for Morro Bay. If we go to CMC, we lose our
first rights to the water.
Susan Stewart is hoping Council will look at agendizing a discussion on the actions of MAS and
agree to review the goals of the City in hiring them. She feels we are in danger of losing some
unique business models in the City and need to review the codes to look at accurate and legal
enforcement. Other communities have also had struggles with MAS and the way they conduct
business. She is also concerned with vendors who come to town as wholesalers. These are the
midweek business travelers who come once or twice a year and who help keep the town running,
to see and sell to a few businesses; they are not “Cisco”. She urged us to look at other cities; for
example, San Francisco has a “7 Day Rule” exempting out of town businesses from having a
license if they don’t do more 7 days of business in the City in a year. San Jose doesn’t require a
license unless you do 5 days of work in the course of a year. She also recommends a review of
the process and an amnesty or moratorium on penalties to allow people to pay their license fees.
Bill Martoney spoke on the WRF site location. He feels that CMC would be a problem; they
currently have a fine of $500,000 against it for their treatment plant. Highway 41 at the
McElvaine property is an excellent location and keeps water under the Morro Bay jurisdiction.
The Chorro Valley is fully recharged. If we put water into Chorro Creek, we won’t be able to
touch with the current laws. You could also piggy back with Los Osos for only $20 million.
Doug Claassen spoke on the MAS audit. If we use these people, they need to come in person,
talking over the phone, letters, texting doesn’t work. He also spoke on the homeless living in the
creek by his RV park. They are breaking into his property, using his showers, stealing from
camper sites, going through garbage; hopefully something can be done about this.
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MINUTES - MORRO BAY CITY COUNCIL – OCTOBER 14, 2014
The public comment period was closed.
A. CONSENT AGENDA
Unless an item is pulled for separate action by the City Council, the following actions are
approved without discussion.
A-1 APPROVAL OF MINUTES FOR THE SPECIAL CLOSED SESSION CITY
COUNCIL MEETING HELD ON SEPTEMBER 23, 2014; (ADMINISTRATION)
RECOMMENDATION: Approve as submitted.
A-2 APPROVAL OF MINUTES FOR THE SPECIAL CITY COUNCIL MEETING HELD
ON SEPTEMBER 23, 2014; (ADMINISTRATION)
RECOMMENDATION: Approve as submitted.
A-3 APPROVAL OF MINUTES FOR THE CITY COUNCIL MEETING HELD ON
SEPTEMBER 23, 2014; (ADMINISTRATION)
RECOMMENDATION: Approve as submitted.
A-4 ACCEPTANCE OF A GRANT OF EASEMENT FOR SEWER PURPOSES FROM
JERI LYNN CLARK (1620 PRESTON LN.); (PUBLIC SERVICES)
RECOMMENDATION: Adopt Resolution No. 64-14 accepting the Grant of Easement
for sewer purposes on a portion of Parcel 2 as shown on Certificate for Lot Line
Adjustment recorded as Document Number 2014038155 (1620 Preston Ln).
A-5 APPROVAL OF RESOLUTION 65-14 ADOPTING THE URBAN FOREST
MANAGEMENT PLAN; (PUBLIC SERVICES)
RECOMMENDATION: Adopt Resolution 65-14 adopting the City’s Urban Forest
Management Plan (UFMP) as a framework to guide the City in its management of
our urban forest.
A-6 STATUS REPORT OF A MAJOR MAINTENANCE & REPAIR PLAN (MMRP) FOR
THE EXISTING WASTEWATER TREATMENT PLANT; (PUBLIC SERVICES)
RECOMMENDATION: Receive and file.
A-7 WATER RECLAMATION FACILITY (WRF) PROJECT STATUS AND
DISCUSSION; (PUBLIC SERVICES)
RECOMMENDATION: Receive and file.
A-8 RESOLUTION NO. 67-14 ADOPTING THE AGREEMENT WITH THE MORRO
BAY MANAGEMENT EMPLOYEES AND RELATED COMPENSATION;
(ADMINISTRATIVE SERVICES)
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MINUTES - MORRO BAY CITY COUNCIL – OCTOBER 14, 2014
RECOMMENDATION: Adopt Resolution No. 67-14, approving the two-year
Agreement with the Morro Bay Management Employees. The term of the
Agreement is from July 1, 2014 through June 30, 2016.
A-9 Resolution No. 66-14 Adopting the Agreement with the Morro Bay Confidential
Employees and Related Compensation; (ADMINISTRATIVE SERVICES)
RECOMMENDATION: Adopt Resolution No. 66-14, approving the two-year
Agreement with the Morro Bay Confidential Employees. The term of the
Agreement is from July 1, 2014 through June 30, 2016.
A-10 Resolution No. 68-14 Adopting the Memorandum of Understanding (MOU) with the
Morro Bay Peace Officers Association and Related Compensation;
(ADMINISTRATIVE SERVICES)
RECOMMENDATION: Adopt Resolution No. 68-14, approving the two-year MOU
with the Morro Bay Peace Officers Association. The term of the MOU is from July
1, 2014 through June 30, 2016.
The public comment period was opened for the Consent Calendar.
Jennifer Redman spoke on Item D-1; as a business owner in Morro Bay, she feels the LEAP
program will be good for Morro Bay and hopes we find the funding. The Chamber wants to
focus on how to help Morro Bay business and this will do that.
The public comment period for the Consent Calendar was closed.
MOTION: Councilmember Nancy Johnson moved the City Council approve the
Consent Calendar as presented. The motion was seconded by Councilmember Leage and
carried unanimously, 5-0.
Ayes: Irons, C. Johnson, N. Johnson, Leage, Smukler
No’s: None
B. PUBLIC HEARINGS - None
C. UNFINISHED BUSINESS / SECOND READING AND ADOPTION OF
ORDINANCES
C-1 PRESENTATION AND REVIEW OF THE REPORT REGARDING INITIAL
FINDINGS ON GRANTS AND STRATEGY FOR THE FUTURE CITY OF MORRO
BAY WATER RECLAMATION FACILITY BY KESTREL CONSULTING; (PUBLIC
SERVICES)
Public Services Director Rob Livick introduced Monica Reed of Kestrel Consulting who gave a
presentation on grants and strategies for the future WRF. Their key questions to be answered are
what are the maximum amount of grants to be reasonably expected; what grants and loans are
available now; what are the unique funding opportunities associated with either of the two sites;
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MINUTES - MORRO BAY CITY COUNCIL – OCTOBER 14, 2014
does alternate project delivery constrain grants or loans; what is a recommended approach to
grants and strategy? The reality of grants is that few grants are for “business as usual”; programs
are very competitive; proposals are scored on how well they meet the funders’ objective; and the
highest score wins. The sources for grants are Federal – annual programs, special appropriations
and research; and State – statewide water bonds, programs funded by legislature and proposition
bonds. The grant application process can take 12-18 months from start to finish; 2-6 months for
the proposal; 4-10 months for review and ranking; 1-2 months for the award process; and 3
months for the grant agreement/contract – there will be no funds until then. Every grant program
is oversubscribed. The Feds are up to 10x oversubscribed, State is oversubscribed up to 4x’s,
they are very competitive, there is low tolerance for risk and there are higher thresholds for
match; there are also limits on eligibility. Grant applications can cost anywhere from $10,000 -
$200,000 or more; the financial match can be 20-75% or more of the total project cost; overhead
and administrative costs are not reimbursed; and some have ongoing requirements. There is a
requirement that cash reserves are needed to float project costs; reimbursement takes 1-4 months
for 90% payment; the final 10% at project completion, when all issues are resolved. Grants are
perishable, what is available now is available now – your project has to be at the right stage of
readiness to be able to apply. 25% funding is the best case scenario and 10% funding is realistic.
The bad news for the City is that we are not economically disadvantaged, we are not rural (our
population is over 10,000), we have low unemployment, and we aren’t located in the
Metropolitan Water District. The grants and loans that are available now at the federal level thru
the Bureau of Reclamation are WaterSMART Title 16 Feasibility Study Grants which will pay
up to 50% of the cost of a feasibility study up to $150,000, require a 50% local match, and has
high competition; Title 16 Construction Grants where the project must be authorized by
Congress for up to a specific dollar amount, the feasibility study must be completed and
approved by the Bureau and Congress must appropriate funds (minimum of a 3 year process);
and, other WaterSMART Grants whose objectives change from year to year, average
approximately $300,000 (there are a handful made up to $1.5 million). There are also State
grants of which the money from Proposition 40 and 50 are exhausted, funds from Proposition 84
are 96% spent and Proposition 1 is on the November ballot. Proposition 1 calls for $810 million
for competitive grants and loans to integrated regional water management plan projects, $725
million for water recycling and advanced water treatment technology projects, and $2.7 billion
for water storage projects. If this Proposition passes, the grant guidelines will be revised or
developed through the public process and should occur in 2015. The IRWM Grant program and
the Water Recycling Facilities Grant program could potentially contribute $1-3 million each
towards construction. As far as what is available now, there is up to $12 million of Prop 84
IRWM grant money available for the Central Coast as well as grants for stormwater features,
public access or recreation. There are low interest loans. The Clean Water State Revolving
Fund will loan at 1% interest for water recycling projects (this ends 12/20/15); there is the
Regular Rate Loan which is equal to ½ GO bond rate (approx. 2%); up to $50 million per project
can be used for planning and construction; the loan process takes up to 9 months to go through.
There is the California Infrastructure and Economic Development Bank whose rates are set
monthly with up to a 30 year term and can receive up to $25 million. Other opportunities are
based on what and wehre you build.
The public comment period for Item C-1 was opened.
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MINUTES - MORRO BAY CITY COUNCIL – OCTOBER 14, 2014
Bill Martoney stated that when he was listening to the JPA meeting, the Regional Water person
speaking said that if the Water Bond passes, he would be able to push through or help facilitate
getting a 1% loan. A state of the art plant gets further ahead; we should be looking at an MDR
plant.
The public comment period for Item C-1 was closed.
Councilmember Smukler affirmed that we should weave into the project description and
approach the story of the managed retreat and climate adaptation/hazard mitigation as that is a
key component and could help with grant funding.
This report was received and filed
D. NEW BUSINESS
D-1 DISCUSSION ON ENGAGING DON MARUSKA & COMPANY TO PREPARE AND
IMPLEMENT A LOCAL ECONOMIC ACTION PLAN (LEAP) FOR MORRO BAY;
(ADMINISTRATION)
City Manager Dave Buckingham presented the staff report and then introduced Don Maruska of
Don Maruska & Company who has proposed the development of a Local Economic Action Plan
(LEAP) for the City. Don stated that strengthening and building community is essential; you can
do this by linking residents, businesses and visitors together. You need to get them together on a
shared set of interests / initiatives. Key factors for success in a business-led program include
commitment and leadership from businesses; broad and active support from Council; open,
inclusive process; fact based input; insights from elsewhere, clear focus on tangible, meaningful
actions; emphasis on early wins and long term results; review and endorsement of the Plan by
Council; follow up for effective implementation; and supportive facilitation. The process for
Morro Bay’s LEAP will be to create a strategic framework; facilitate action planning; review and
endorse the plan; support implementation; and review results and update. How is this effort
going to be different from prior efforts? This plan is different in that there is inclusivity of
program and effort; it is fact based input to get data; can the box be bigger then we envision it to
be; with the support of others; alignments and communication back and forth; implementation
commitment; and opportunity for Morro Bay to LEAP forward together to create the community
you want to have.
Christine Rogers with EVC is excited to be a part of this process; we will have access to data
analysis programs and EDD data. We have an Eco System here, it may not be functioning at full
capacity; what is lacking is the focus and infrastructure for communication and support. We
need an infrastructure in place so that business members can easily engage and opportunities can
be shared. She promised that EVC is here to support the program.
The public comment period for Item D-1 was opened.
Jeff Weir is a certified Economic Developer who stated he went through this in Salinas. He
urged the Council to move forward with this; if you don’t, you will let someone else determine
your future. He suggested doing this on a regional basis; you need to recognize the value of your
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MINUTES - MORRO BAY CITY COUNCIL – OCTOBER 14, 2014
surroundings. He ended by urging Council to look at “what are you going to do for our
children?”
John Headding has tremendous support for what Don has designed and the new City Manager
has endorsed. He encourages you to support it and move it forward quickly.
The public comment period for Item D-1 was closed.
Mayor Irons stated we have an action plan presented to us that he can support. The
implementation component is critical to success and alignment is part of the buy in from visitors,
residents and businesses. He is secure that we have funds available through Risk Management as
was discussed in the budget workshop process.
Councilmember Christine Johnson is looking forward to bringing someone on board to facilitate
moving this forward. She is ready to vote yes tonight. She agrees that implementation is the
key; it’s what builds trust.
Councilmember Leage stated that this is a very positive thing coming out of this Council; this is
one thing we can all get behind.
Councilmember Smukler like Don’s direct and hands on approach. We have the right person,
cost is affordable and he sees a huge return on investment.
MOTION: Councilmember Christine Johnson moved approval of staff
recommendation, contract with Don Maruska & Company for the preparation and
implementation of a Local Economic Action Plan known as LEAP. The motion was
seconded by Mayor Irons and carried unanimously, 5-0.
Ayes: Irons, C. Johnson, N. Johnson, Leage, Smukler
No’s: None
E. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS
Councilmember Nancy Johnson requested a discussion regarding MAS and their process to
include options for cancelling the contract to a forgiveness program. She would like to see this
at the next Council meeting; all Councilmembers concurred.
ADJOURNMENT
The meeting adjourned at 9:35 p.m.
Recorded by:
Jamie Boucher
City Clerk