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Home My WebLink AboutJuly to December (2)0 6 MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - DECEMBER 21, 1989 CITY HALL CONFERENCE ROOM - 5:30 P.M. Mayor Sheetz called the meeting to order at 5:30 p.m. PRESENT: Rose Marie Sheetz Mayor John Baker Councilmember John Lemons Councilmember Jeff Odell Councilmember Tom Wuriu Councilmember ABSENT: None STAFF: Gary Napper City Administrator • wy None MOTION: Councilmember Lemons moved Council appoint the individ- uals who have applied to the Refuse Board (Connie Harms for the term expiring 12-31-92 , and Ben Luna for the term expiring 12-31-90), the Cable TV Board (Tom Cahill and Janice Peters), and the Water Advisory Board (Robert Enns and Dick Fisher), as submitted without a Council interview since the number of applicants to each Board meets or is less than the number of posi- tions available. The motion was seconded by Coun- cilmember Wuriu and unanimously carried. (5-0) Council interviewed applicants for various advisory board vacan- cies as follows: Plannina Commission Charles Clarke Roger Atkisson John Malmquist Mark Allen Harbor Advisory Board Don Hoffman Gene Doughty Robert Warren Leland Cass also applied for this Board, but was out-of-town and unable to attend the interviews. MOTION: Councilmember Lemons moved Mark Allen and Chuck Clarke be appointed to the Planning Commission. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) MINUTES - MORRO SPECIAL MEETING PAGE 2 BAY CITY COUNCIL - DECEMBER 21, 1989 MOTION: Councilmember Wuriu moved Gene Doughty (Los Osos/ Baywood Representative) and Robert Warren (Member -at - Large) be appointed to the Harbor Advisory. Board. The motion was seconded by Councilmember Baker and unani- mously carried. (5-0) Councilmember Lemons suggested Council invite John Malmquist to be appointed to the remaining Water Advisory Board vacancy. MOTION: Councilmember Odell moved John Malmquist be appointed to the Water Advisory Board, if he accepts Council's invitation. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) MOTION: Councilmember Lemons moved the meeting be adjourned. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) The meeting adjourned at 6:47 p.m. Recorded by: GARY NAPPER(/ a Deputy City Clerk b/min1221 4ea�ln City Of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life which we all enjoy. We are committed to this purpose and will provide a level of municipal service consistent and responsive to our public and its needs. REGULAR MEETING - DECEMBER 11, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL INVOCATION PLEDGE OF ALLEGIANCE PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearings items under Section D) may do so by standing. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should normally be limited to three minutes. DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the fol- lowing actions are approved without discussion. A-1 CITY COUNCIL MINUTES OF THE REGULAR MEETING OF NOVEMBER 27, 1989 A-2 PROCLAMATION DECLARING DECEMBER 10-16, 1989 AS "BILL OF RIGHTS WEEK" A-3 CANCELLATION OF DECEMBER 25, 1989 CITY COUNCIL REGULAR MEETING A-4 RESOLUTION NO. 138-89 APPROVING FINAL MAP FOR TRACT 1584 (DOMENGHINI; 783-899 QUINTANA ROAD) AND ACCEPTANCE OF PUBLIC STORM DRAIN EASEMENT A-5 SET DECEMBER 21, 1989 FOR CITY COUNCIL INTERVIEW OF ADVISORY BOARD APPLICANTS A-6 CANCELLATION OF DECEMBER 1989 JOINT MEETING WITH THE RECREATION AND PARKS COMMISSION A-7 RELEASE OF 1989 ANNUAL WATER REPORT A-8 PROCLAMATION COMMENDING THE NAVY LEAGUE OF SAN LUIS OBISPO UPON THEIR "ADOPTION" OF U.S. COAST GUARD CUTTER POINT HEYER A-9 SET DECEMBER 14, 1989 AS JOINT POWERS AUTHORITY MEETING BETWEEN CITY OF MORRO BAY AND CAYUCOS SANITARY DISTRICT 1 A-10 SET CONSOLIDATED HEARING DATE FOR APPEAL OF PLANNING COMMISSION DENIAL OF SIGN EXCEPTION PERMIT 04-89 TO ALLOW ONE OFF -SITE SIGN AT 899 QUINTANA ROAD (UNION OIL & McDONALD'S CORPORATION, APPELLANTS) WITH EXPECTED APPEALS ON RESTAURANT AND ON -SITE SIGNAGE PERMIT DENIALS AT 940 MORRO BAY BLVD. B. UNFINISHED BUSINESS B-1 ORDINANCE NO. 366 ESTABLISHING PROGRAM FOR STATE -MANDATED REPAIR AND REHABILITATION OF UNREINFORCED MASONRY BUILDINGS (URM), SECOND READING/ADOPTION B-2 RESOLUTION NO. 140-89 RECITING THE FACT OF THE SPECIAL MUNICIPAL ELEC- TION HELD IN THE CITY OF MORRO BAY ON THE 7TH DAY OF NOVEMBER, 1989, AND DECLARING THE RESULTS OF MEASURE B, EMERGENCY MEDICAL SERVICES; AND, DISCUSSION OF MUNICIPAL PROVISION OF EMERGENCY MEDICAL SERVICES C. NEW BUSINESS C-1 ANNUAL SELECTION OF VICE MAYOR C-2 COUNCILMEMBER REQUEST FOR RECONSIDERATION OF REVISED WATER RATE SCHEDULE AND $7.50 MONTHLY SERVICE CHARGE TO RAISE REVENUES FOR NEW WATER PROJECTS C-3 STREET ADVISORY COMMITTEE RECOMMENDATION OF STREETS FOR MAINTENANCE OVERLAY PROJECT IN SPRING 1990 D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 RESOLUTION NO. 139-89 APPROVING SONIC CABLE TELEVISION REQUEST FOR ASSIGNMENT OF LOCAL CABLE TELEVISION FRANCHISE AGREEMENT TO SONIC CABLE LEASING CORPORATION, A WHOLLY -OWNED SUBSIDIARY OF SONIC COMMUNICATIONS D-2 CONSIDERATION OF POLICY ISSUES CONCERNING A LOCAL FILM PERMIT ORDINANCE REQUIRED TO BE ENACTED BY STATE LAW (AB 4680) D-3 REQUEST FOR CLARIFICATION OF WATER RIGHTS AND PARKING EXCEPTIONS FOR POTENTIAL REMODEL OF HAPPY JACK'S TAVERN AND ADJACENT PROPERTIES INTO A RESTAURANT AND BAR (900 MAIN STREET; DAVE TOPE) gaff I NONE F COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST. 2 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 11, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Sheetz called the meeting to order at 6:00 p.m. PRESENT: Rose Marie Sheetz Mayor John Baker Councilmember John Lemons Councilmember Jeff Odell Councilmember Tom Wuriu Councilmember ABSENT: None STAFF: Gary Napper City Administrator Judy Skousen City Attorney Bill Boucher Assoc. Civil Eng. William Farrel Community Dev. Dir. Marci Laurent Office Coordinator Nick Nichols Public Works Dir. Mayor Sheetz asked for a moment of silence due to the loss of a valued City employee, Sandra Parks. Jim Kennemur of the First Christian Church gave the invocation, and Horace Strong led the Pledge of Allegiance. 1. Anne Freeman, 785 Cabrillo Place, urged Council to grant Councilmember Odell's request for reconsideration of the water rate structure; and, that the matter be discussed under Public Hearings. 2. Mary Phillips referred tion 11120 requiring government people must stay informed. Council to Government Code Sec - actions to be taken openly; the DECLARATION OF FUTURE AGENDA ITEMS None. A. CONSENT CALENDAR A-1 CITY COUNCIL MINUTES OF THE REGULAR MEETING OF NOVEMBER 27. 1989 Mr. Napper recommended Council approve the minutes as submitted. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 11, 1989 PAGE 2 A-2 PROCLAMATION DECLARING DECEMBER 10-16 1989 AS "BILL OF RIGHTS WEEK" Mr. Napper recommended Council authorize the Mayor to sign the Proclamation. A-3 CANCELLATION OF DECEMBER 25 1989 CITY COUNCIL REGULAR MEETING Mr. Napper recommended Council cancel the 25 December 1989 regu- lar City Council meeting. A-4 RESOLUTION NO, 138-89 APPROVING FINAL MAP FOR TRACT 1584 (DOMENGHINI: 783-899 QUINTANA ROAD) AND ACCEPTANCE OF PUBLIC STORM DRAIN EASEMENT Mr. Napper recommended Council adopt Resolution No. 138-89. A-5 SET DECEMBER 21 1989 FOR CITY COUNCIL INTERVIEW OF ADVISORY BOARD APPLICANTS Mr. Napper recommended Council set Thursday, 21 December 1989 at 5:30 p.m. in the City Hall Conference Room to interview applicants. A-6 CANCELLATION OF DECEMBER 1989 JOINT MEETING WITH THE RECREATION AND PARKS COMMISSION Mr. Napper recommended Council cancel the December 1989 joint meeting with the Recreation and Parks Commission. A-7 RELEASE OF 1989 ANNUAL WATER REPORT Mr. Napper recommended Council receive the Report, and instruct staff to agendize it for Council review in January 1990. A-8 PROCLAMATION COMMENDING THE NAVY LEAGUE OF SAN LUIS OBISPO UPON THEIR "ADOPTION" OF U.S. COAST GUARD CUTTER POINT HEYER Mr. Napper recommended Council authorize the Mayor to sign the Proclamation. A-9 SET DECEMBER 14, 1989 AS JOINT POWERS AUTHORITY MEETING BETWEEN CITY OF MORRO BAY AND CAYUCOS SANITARY DISTRICT Mr. Napper recommended Council set 14 December 1989 at 5:30 p.m. in the Morro Bay City Hall Conference Room for the joint meeting with the Cayucos Sanitary District. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 11, 1989 PAGE 3 Mr. Napper recommended Council authorize staff to consolidate the hearing for McDonald's Corporation's appeal of denied Sign Permit 04-89 with the hearing date expected for appeal of the McDonald's restaurant and on -site sign permit denied for 940 Morro Bay Blvd. by the Planning Commission. Mayor Sheetz requested Item A-6 be pulled for separate discussion. MOTION: Councilmember Wuriu moved for the approval of the Con- sent Calendar except for Item A-6. The motion was sec- onded by Councilmember Baker and unanimously carried. (5-0) A-6 CANCELLATION OF DECEMBER 1989 JOINT MEETING WITH THE RECREATION AND PARKS COMMISSION Mayor Sheetz stated the Council has never held a December meeting with the Recreation and Parks Commission and suggested staff return with an amendment to the Ordinance to delete the require- ment for a December meeting. She noted this action would still require a joint meeting in March of each year. MOTION: Mayor Sheetz moved for cancellation of the December 1989 joint meeting with the Recreation and Parks -Com- mission, and staff be directed to amend the Ordinance to delete a joint December meeting with the Recreation and Parks Commission in December. The motion was sec- onded by Councilmember Wuriu and unanimously carried. (5-0) B. UNFINISHED BUSINESS Mr. Napper said Council, at their last meeting, approved for first reading a revised URM ordinance which provides longer timeperiods for property owner compliance. Along with adopting this Ordinance, Mr. Napper requested Council make a finding the Ordinance is categorically exempt under CEQA requirements. Councilmember Lemons said if the City could work out a program of low -interest loans, people may effect the repairs sooner. He suggested a City loan program be developed with findings that MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 11, 1989 PAGE 4 repairs be made in a timely fashion. He requested staff prepare a report concerning low -interest loans noting the City has $8 million in Certificate of Deposits; if the City arranges financ- ing for the URM improvements, all that will be lost is a small amount of interest to the City. Ms. Skousen stated the City cannot go into the business of making monies available to private citizens; the City can help people obtain private loans, but cannot spend the public's money in this fashion. She noted the City can create a redevelopment agency to facilitate the improvements. Councilmember Wuriu was in favor of exploring the possibility of the City financing loans; he requested staff research the matter and return with figures. Mayor Sheetz stated Ms. Burt is working on this subject with Bank of America and a report will be made soon. She suggested, however, Council adopt the Ordinance this evening without waiting for a report on financing. Mr. Napper commented he has previously requested the Finance Director to explore financing options for these businesspersons. MOTION: Councilmember Lemons moved Ordinance No. 336 is gener- ally exempt under CEQA. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) MOTION: Councilmember Wuriu moved Ordinance No. 366 be read by title and number only. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) Mr. Napper read Ordinance No. 366 by title and number only. MOTION: Councilmember Lemons moved for the adoption of Ordi- nance No. 366. The motion was seconded by Councilmem- ber Wuriu and unanimously carried. (5-0) Y \_ • 2_•• • .V.•�_�• • 1 _! �014vaue Am Mr. Napper reviewed this item noting the ballot measure request- ing voter approval of a tax to fund emergency medical services barely failed to receive 2/3rds affirmative vote. It is in order for Council to adopt the official County Clerk canvass of this special election. Mr. Napper also discussed the issue of emergency medical response and the City's role in providing this service and the escalating costs therefor. He suggested Council consider re -submitting the Measure to the voters at the November 1990 general election which MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 11, 1989 PAGE 5 will hopefully generate a larger turn -out and the necessary approval percentage. Councilmember Baker was not in favor of eliminating emergency medical services from the Fire Department in the wake of this failed measure. He said the private ambulance alone would find it difficult to respond to the numerous calls, as well as simul- taneous calls which do occur. He was in favor of placing the matter before the voters again. Councilmember Wuriu agreed with Councilmember Baker; however, he suggested the City re-evaluate the Measure before re -submitting it to the voters. There were rumors during this election regard- ing the costs of the Measure which are unfounded. Council needs to re -submit something that will pass. Councilmember Odell stated one other option is to charge individ- uals a fee for the service. Chief Zerr stated Manhatten Beach charges $65 to transport which is only a portion of the true cost; Fresno and Santa Ana charge actual costs. Councilmember Lemons believed Measure B is a good measure and people should have a second chance to vote on it. The Letters to the Editor on Measure B showed the authors did not understand the issue or purposely mis-stated their comments. MOTION: Councilmember Lemons moved for the adoption of Resolu- tion No. 140-89. The motion was seconded by Mayor Sheetz and unanimously carried. (5-0) MOTION: Mayor Sheetz moved the Measure be re -submitted to the voters in the November 1990 general municipal election. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) Councilmember Wuriu suggested the Measure be analyzed prior to re -submitting it to.the voters; the public needs to be educated regarding the Measure, and more publicity about the Measure should be generated. Mr. Napper said he would ask the Fire Funding Steering Committee for their input on analyzing or re -writing the Measure. C. NEW BUSINESS C-1 ANNUAL SELECTION OF VICE MAYOR Mr. Napper stated Council has historically rotated the position of Vice Mayor after a one year term. Councilmember Wuriu has been serving as Vice Mayor since December 1988, and it is order MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 11, 1989 PAGE 6 for Council to select the Vice Mayor for the term which ends when a new Council is seated after the November 1990 election. MOTION: Councilmember Baker moved Councilmember Odell be appointed Vice Mayor through November 1990. The motion was seconded by Mayor Sheetz and unanimously carried. (5-0) Mr. Napper stated Council, at their last meeting, adopted Resolu- tion No. 137-89 instituting a new water rate schedule and $7.50 monthly basic service charge. This new rate is scheduled to go into effect in January. Councilmember Odell has filed.a request for reconsideration of this action, and asked the matter be heard on 22 January 1990. The item is scheduled before Council this evening to consider the request to re -schedule the item. MOTION: Councilmember Odell moved Council reconsider the water rates previously adopted. The motion was seconded by Councilmember Wuriu. Councilmember Odell stated he voted in favor of the rate schedule at the last meeting for lack of a better alternative; since that time he has reconsidered his action. Other ideas which have been represented may need more review. Councilmember Lemons asked what reconsideration means; is it to start all over again? Councilmember Odell stated he would like a market rate analysis; perhaps charge a flat rate plus some water for a fixed fee. Councilmember Baker stated he is not prepared to change his vote tonight. He has heard from many citizens; some opposed to the rate, and some in favor. Many people were unaware of the Life- line Program, and were glad to hear of its benefit to them. The motion carried on the following vote: AYES: Lemons, Odell, Wuriu, Sheetz NOES: Baker MOTION: Mayor Sheetz moved this item be scheduled for the 22 January 1990 meeting. The motion was seconded by Coun- cilmember Odell and unanimously carried. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 11, 1989 PAGE 7 C-3 STREET ADVISORY COMMITTEE RECOMMENDATION OF STREETS FOR MAINTENANCE. OVERLAY PROJECT IN SPRING 1990 Bill Boucher reviewed the Street Advisory Committee's recommenda- tions for street maintenance overlay; the streets recommended are Estero, Fresno, Bradley, Dana, Cabrillo, Fairview, Las Tunas, Allesandro, and Marengo. Staff recommends approval of SAC recom- mended streets, but use City crews for the work, thereby saving enough funds to overlay Embarcadero from Beach to Coleman Drive. Mr. Nichols reviewed the advantages to using in-house crews to perform the work, noting about a 1/3 savings of costs. Councilmember Odell questioned the required 0.10 foot surface for streets, and Mr. Nichols responded. Councilmember Wuriu asked what the life -cycle of an overlay is, and when Arcadia and Arbutus would be, overlayed? Mr. Nichols stated the lifecycle of an overlay is approximately 2-5 years; Arcadia and Arbutus are the in Phase IV pipeline program which will probably take place in 6-9 months. Arcadia and Arbutus will most likely be overlayed in approximately 1 year. Councilmember Baker was concerned the in-house crews may not be able to do Embarcadero as fast as contract crews. Councilmember Odell stated he agrees with the SAC recommendation not to do Embarcadero yet; there are some residential roads in dire need of overlay. He stated he cannot support the recommen- dation for overlaying Embarcadero at this time, nor is he con- vinced in-house crews should perform the work. Contractors are outfitted for this type of work, and residential areas may appre- ciate the speed of having contractors do the work. Mr. Nichols stated equipment is not an issue with these smaller residential streets; the street crews give equal quality for less dollars. Councilmember Baker stated the City's labor costs may be equal to the contract bid since it takes longer for City crews to do the work; also, City crews are tied up with the overlay projects and not doing regular maintenance work. Perhaps there is too much man -power in the Public Works Department? Mr. Nichols discussed the merits of an increased maintenance budget vs. reduction in staff. Councilmember Lemons commented overlay by City crews has worked well in the past, and he is in favor of continuing the program. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 11, 1989 PAGE 8 MOTION: Councilmember Lemons moved for approval of in-house overlay of Estero, 'Fresno, Bradley, Dana Cabrillo, Fairview, Las Tunas, Allesandro, Marengo, and the Embarcadero (Beach Street to Coleman Drive). The motion was seconded by Mayor Sheetz and carried with Councilmember Odell voting no. (4-1) Councilmember Baker requested this item be researched to deter- mine if the City is really saving money by having City crews do the work; is there sufficient work for City crews without the in- house street overlay projects? Mr. Napper stated this policy decision of in-house street overlay was made by Council many years ago; the City can save $22,000 by performing the work in-house thereby freeing those funds for over -laying other streets. D. PUBLIC HEARINGS REPORTS & APPEARANCES D-1 RESOLUTION NO. 139-89 APPROVING SONIC CABLE TELEVISION REQUEST FOR ASSIGNMENT OF LOCAL CABLE TELEVISION FRANCHISE AGREEMENT TO SONIC CABLE LEASING CORPORATION. A WHOLLY -OWNED SUBSIDIARY OF SONIC COMMUNICATIONS Mr. Napper reviewed this item noting the City cannot unreasonably withhold assignment of the franchise. The Finance Director has reviewed Sonic Communications' financial statement and finds it satisfactory. Mr. Napper stated the transfer is a change in legal title and certain assets only. Mayor Sheetz opened the hearing to the public for comments; there were no comments and the hearing was closed. MOTION: Councilmember Lemons moved for the adoption of Resolu- tion No. 139-89. The motion was seconded by Coun- cilmember Odell and unanimously carried. (5-0) D-2 CONSIDERATION OF POLICY ISSUES CONCERNING A LOCAL FILM PER- MIT ORDINANCE REQUIRED TO BE ENACTED BY STATE LAW (AB 46801 Mr. Napper reviewed AB 4680 which requires local governments to streamline procedures and adopt a model local film permit ordi- nance. This bill was enacted to encourage film makers to stay in California thereby enhancing the State's economy. Permits to film in the City of Morro Bay are handled through the Recreation and Parks Commission. Mr. Wolter has reviewed the model ordinance and made several suggestions for changes to adapt to Morro Bay's circumstances. If Council agrees with the pro- posed changes, staff will forward them to the California Film Commission for comments, and then return to Council with an ordi- nance for adoption. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 11, 1989 PAGE 9 Councilmember Odell questioned the City's authority or desire to require building permits for construction, and whether a fee would be charged. Mr. Napper stated the charge would be actual cost of complying with the request. Councilmember Wuriu commented the merchants and residents should have a say in whether or not streets are closed pursuant to the film industry's request. Mr. Napper agreed and stated they will be required to give notice to residents and merchants of street closures proposed. Councilmember Baker was concerned about the over -sensitivity of the beach area and the condition to allow film producers beach access for support vehicles, but not "action" filming. Mr. Napper responded this is a policy decision for Council to make, but staff believes our beaches should not be subjected to such filming use. Councilmember Lemons asked why the City wants to charge for a permit and inspections when the set constructions are not for public use? Mr. Napper believed the City has inspected set con- struction in past activities of this nature for compliance with the Fire Code. Councilmember Odell suggested staff research the standards in other cities where filming occurs. Councilmember Lemons requested Ladd Rucker, local spokesman for the film industry, be contacted to review this Ordinance's language. Mayor Sheetz opened the hearing to the public for comments; there were no comments and the hearing was closed. Councilmember Wuriu stated he was interested in having film com- panies come to Morro Bay, but not according to their rules. MOTION: Councilmember Lemons moved Council authorize staff to correspond with the California Film Commission and other cities concerning building permit issuance and the staff -proposed necessity to modify certain provi- sions of the local film permit model ordinance before enacting the procedures in Morro Bay. The motion was seconded by Councilmember Odell. Councilmember Odell requested the motion include protection against the "harassment of rare and endangered species". Councilmember Lemons amended his motion to include a prohibition against harassment of rare and endangered species. The amendment was accepted by Councilmember Odell and unanimously carried. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 11, 1989 PAGE 10 D-3 REQUEST FOR CLARIFICATION OF WATER RIGHTS AND PARKING EXCEP- TIONS FOR POTENTIAL REMODEL OF HAPPY JACK'S TAVERN AND ADJA- CENT PROPERTIES INTO A RESTAURANT AND BAR (900 MAIN STREET; DAVE TOPE) Mr. Farrel reviewed the request by Dave Tope to remodel Happy Jack's Tavern to allow: 1) extension of the downtown parking exception policy; 2) restoration of water allocation to its for- mer level so as not to be required to obtain additional water; and 3) whether these provisions apply to any work on Happy Jack's relative to meeting the URM building Ordinance. Mr. Farrel stated if Mr. Tope can prove the unit next to Happy Jack's Tavern was used as a restaurant after 1977, he would have those necessary water equivalencies to renovate his business into a restaurant. If not, he will have to get in line to obtain water equivalencies as a new project. To date, no specific development plan has been submitted to the City and, thus, no determination has been made as to how many water equivalencies are needed. He recommended Council refer the matter to be handled through normal procedures in the Planning Department. With regard to the request for extension of parking exception policy, Mr. Farrel recommended Council defer action until the current exception policy nears expiration (June 13, 1990). Mr. Farrel stated with regard to Mr. Tope's request for water rights and parking exception be available should Happy Jack's have to be demolished, the Municipal Code already states water rights are available where demolition is involved. The parking exception is not to be granted by the Community Development Director until the development application is approved. He recommended Council not make a pre -commitment at this time. Ms. Skousen stated she has received additional verbal information from Mr. Tope after he talked to prior employees of the restau- rant and the owner that the restaurant next door to Happy Jack's was in operation in 1981. However, no documentation has been received. Mayor Sheetz opened the hearing to the public for comments. Dave Tope, applicant, stated Happy Jack's has been at its present location since 1920. There is one water meter for the whole building which was used for both the restaurant and bar. A 24- hour restaurant existed next door to Happy Jack's until late 19701s/early 19801s. He reviewed his sources of information and noted the difficulty in determining when the restaurant actually closed. Ms. Skousen stated from the information provided and the people interviewed, she believed the courts would find sufficient evi- 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 11, 1989 PAGE 11 dence existed that a restaurant was in operation after 1977, and he is entitled to 6.48 water equivalency units. Councilmember Odell commented he would have no problem extending the parking exemption program in the entire Downtown area for another two years. Mayor Sheetz closed the hearing to the public. She stated from the evidence presented, she believes a restaurant existed after 1977. Mr. Napper stated water rights is the critical issue; Council could make a finding that based on the testimony provided tonight, there is sufficient evidence there was a restaurant at this location after 1977. MOTION: Councilmember Wuriu moved Council find sufficient evi- dence and testimony has been provided to prove a restaurant was in operation next door to Happy Jack's after 1977. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) MOTION: Councilmember Lemons moved staff be requested to return the parking exemption program for Council review and public hearing in February 1990. The motion was sec- onded by Councilmember Odell and unanimously carried. (5-0) E. CLOSED SESSION None F. ADJOURNMENT MOTION: Councilmember Odell moved the meeting be adjourned. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) The meeting adjourned at 8:02 p.m. Recorded by: GARY NAPPER, Deputy City Clerk By: Marci Laurent Office Coordinator C 6 • i City Of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life which we all enjoy. We are committed to this purpose and will provide a level of municipal service consistent and responsive to our public and its needs. RRCU LAR MRFTTNG - Nn1/FM1ztFR 77 10AO VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL INVOCATION PLEDGE OF ALLEGIANCE PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Cotuicil on C-i'-liusiness matters (other than Public Hearings items under Section D) may do so by standing. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should normally be limited to three minutes. DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR. Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES OF THE REGULAR MEETING OF NOVEMBER 13, 1989 A-2 STATEMENT OF INVESTMENTS - OCTOBER 1989 A-3 EXPENDITURE REPORT - OCTOBER 1989 A-4 AUTHORIZATION TO ADVERTISE FOR APPLICATIONS TO VARIOUS UPCOMING VACANCIES ON CITY COMMISSIONS AND ADVISORY BOARDS A-5 AWARD OF CONTRACT FOR PROJECT NO. PW 89-08, LA LOMA STREET TRANSMISSION WATER LINE A-6 SET HEARING DATE. (JANUARY 22, 1990) FOR APPEAL OF PLANNING COMMISSION DENIAL FOR VARIANCE FROM FRONT AND SIDE YARD SETBACK STANDARDS TO ALLOW CONSTRUCTION OF A 420 SQ.FT. ADDITION TO AN EXISTING RESIDENCE AT 154 ORCAS STREET (VAR 38-89/CDP 86-89R); LANSER, APPELLANT 4-7 RESOLUTION NO. 135-89 AUTHORIZ.ING WORKERS' COMPENSATION SETTLEMENT WITH DONALD PIERCE, FORMER POLICE OFFICER A-8 RESOLUTION NO. 136-89 AUTHORIZING WORKERS' COMPENSATION SETTLEMENT WITH HOWARD FORDYCE, FORMER MAINTENANCE WORKER A-9 RESOLUTION NO. 134-89 GRANTING AN UNDERGROUND UTILITY EASEMENT TO P.G.&E. ACROSS CITY PROPERTY IN THE VICINITY OF SOUTH STREET AS PART OF THE. TIDELANDS PARK UNDERGROUND UTILITIES PROJECT 0 0 B. UNFINISHED BUSINESS B-1 ORDINANCE. NO. 362 AMENDING SECTION 15.04.150 OF THE MORRO BAY MUNICIPAL CODE REDEFINING VESSELS OF A COMMERCIAL NATURE (SECOND READING/ADOPTION) B-2 ORDINANCE NO. 364 AMENDING CERTAIN SECTIONS OF TITLE 15 OF THE MORRO BAY MUNICIPAL CODE (HARBOR AND OCEAN REGULATIONS) REGARDING ADMINISTRATION OF THE HARBOR (SECOND READING/ADOPTION) B-3 ORDINANCE NO. 365 AMENDING CHAPTER 9.22 OF THE MORRO BAY MUNICIPAL CODE REGARDING ALARM SYSTEMS AT MORRO BAY POLICE DEPARTMENT (SECOND READING/ADOPTION) B-4 ORDINANCE NO. 366 ESTABLISHING PROGRAM FOR STATE —MANDATED REPAIR AND RETROFIT OF UNREINFORCED MASONRY BUILDINGS (URM) SECOND READING/ ADOPTION B-5 RESOLUTION NO. 131-89 GRANTING A CONDITIONAL SIGN EXCEPTION PERMIT TO ALTER AN EXISTING NON —CONFORMING POLE SIGN AT TRAVELODGE MOTEL, 1080 MARKET STREET (SIGN 01-89) C. NEW BUSINESS C-1 AUTHORIZATION OF APPLICATION FOR CITY DESIGNATION AS A "TREE CITY, USA" AND ACCEPTANCE OF RECREATION AND PARKS COMMISSION RECOMMENDATION TO HOLD AN EARTH DAY/ARBOR DAY CELEBRATION IN 1990 C-2 CONSIDERATION OF SUPPORT FOR AMENDMENT TO THE CALIFORNIA POLITICAL REFORM ACT ALLOWING CERTAIN EXEMPTIONS FROM CONFLICT OF INTEREST REGULATIONS FOR PRINCIPAL PLACE OF RESIDENCE OF ELECTED AND APPOINTED OFFICIALS IN SMALL CITIES D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 PUBLIC HEARING ON ADOPTION OF NEW WATER RATE SCHEDULE •AND RATE INCREASES RECOMMENDED BY WATER ADVISORY BOARD TO FUND WATER PROJECTS, AND ESTABLISHMENT OF A MONTHLY BASIC WATER METER SERVICE CHARGE OF $7.30 WITH CORRESPONDING "LIFELINE" RELIEF PROGRAM D-2 SONIC CABLE TELEVISION REQUEST FOR ASSIGNMENT OF LOCAL CABLE TELEVISION FRANCHISE AGREEMENT TO SONIC CABLE LEASING, A WHOLLY —OWNED SUBSIDIARY OF SONIC COMMUNICATIONS E. CLOSED SESSION NONE F. ADJOURNMENT COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST. A/egenll27 0 • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 27, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Sheetz called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: Rose Marie John Baker John Lemons Jeff Odell Tom Wuriu Sheetz Mayor Councilmember Councilmember Councilmember Councilmember ABSENT: None STAFF: Gary Napper Judy Skousen Louise Burt Ardith Davis William Farrel Forrest Henderson Nick Nichols Steve Wolter City Administrator City Attorney Finance Director City Clerk Community Dev. Dir. Assist. City Admin. Public Works Dir. Rec. & Parks Dir. Gail Shoemaker, Coast Christian Church, gave the invocation, and Horace Strong led the Pledge of Allegiance. PUBLIC COMMENT 1. Sil Candenasso, President of the Chamber of Commerce and business owner at 710 Quintana, stated he wished to address the proposed earthquake law (Item B-4). He believed Council is rushing this item based upon the recent earthquake in San Fran- cisco. He said a number of people will find it a financial hard- ship to comply with the new law, and urged Council to re -consider the matter before adopting the Ordinance. 2. Bob Finley, 415 Morro Bay Blvd., asked Council to adopt the time schedule in the Los Angeles ordinance; it allows seven years for construction completion to make buildings earthquake safe. He discussed the difficulty of getting a loan on his prop- erty with the proposed 180 day time period. He also requested the City provide long-term, low interest loans to the business community in order to comply with the Ordinance. He said the tourists and fishing industry receive help from the City; now the business community needs help. Mr. Finley stated in all earth- quakes since recorded time in America, less than 1,000 people have died. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 27, 1989 PAGE 2 3. Jim Carpenter, 935 Main St., requested Council give the law more consideration; the time frame is impossible for most people to meet. Many stores may go out of business if required to comply with the current time frame. Mr. Carpenter quoted statistics concerning the number of people who die every year in traffic accidents compared to the number of people who die in earthquakes. He suggested the City use its bonding power to cre- ate financing for this. 4. Lance Thomas, 330 Arbutus and part-owner of the Coalesce Book Store at 845 Main St., stated everyone agrees the buildings need to be retrofitted; however, the time frame to com- plete the improvements is too short. He said the structural analysis will be very expensive, and some engineers will recom- mend re -building rather than retrofitting. He wanted seven years minimum to comply. 5. Linna Thomas, Coalesce Book Store, echoed the comments of previous speakers regarding the short time frame. She said they need more time to comply with the Ordinance; she has never felt so threatened by this action. 6. Terry Hulsebus, 407 Morro Bay Blvd., requested Council delay the time frame or shelve the Ordinance. The community needs time to study the information. 7. Mary Phillips, Ironwood, said, "Praise God, Measure B failed." She stated if Morro Bay Firefighters are trained as paramedics, they will leave City employ and go elsewhere. She criticized current police dispatch procedures to the ambulance service as taking too long. She said she was going to dial 11772- 2626" if she needs an ambulance. 8. Len Carpenter, 938 Pacific, requested Council delay adopting Ordinance No. 366 (URM). He noted he requested a copy of the Ordinance on November 16th and has yet to receive it. He said if he is only allowed twenty-four months in which to retrofit his building, it will bankrupt him. 9. Rich Smith, 655 Morro Bay Blvd. and President of the Merchants Association, agreed with previous speakers the adoption of the Ordinance should be delayed. 10. Frank St. Denis, speaking on behalf of the Chamber of Commerce, stated there are a lot of questions which should be answered before the Ordinance is adopted, such as financing and water equivalencies. He requested Council give an extended time for consideration; no one quarrels with seismic safety intentions. Mayor Sheetz closed the Public Comment portion of the agenda. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 27, 1989 PAGE 3 DECLARATION OF FUTURE AGENDA ITEMS None A. CONSENT CALENDAR A-1 CITY COUNCIL MINUTES OF THE REGULAR MEETING OF NOVEMBER 13, 1989 Mr. Napper recommended Council approve the minutes as submitted. A-2 STATEMENT OF INVESTMENTS - OCTOBER 1989 Mr. Napper recommended Council receive the report for file. A-3 EXPENDITURE REPORT - OCTOBER 1989 Mr. Napper recommended Council approve the report as submitted. A-4 AUTHORIZATION TO ADVERTISE FOR APPLICATIONS TO VARIOUS UPCOMING VACANCIES ON CITY COMMISSIONS AND ADVISORY BOARDS Mr. Napper recommended Council authorize staff to advertise the various vacancies to solicit applications. A-5 AWARD OF CONTRACT FOR PROJECT NO. PW 89-08, LA LOMA STREET TRANSMISSION WATER LINE Mr. Napper recommended Council award the contract to Coastal Earthmovers of Lompoc in the amount of $60,790. A-6 SET HEARING DATE (JANUARY 22. 1990) FOR APPEAL OF PLANNING COMMISSION DENIAL FOR VARIANCE FROM FRONT AND SIDE YARD SET- BACK STANDARDS TO ALLOW CONSTRUCTION OF A 420 SO.FT. ADDI- TION TO AN EXISTING RESIDENCE AT 154 ORCAS STREET (VAR 38- 89/CDP 86-89R); LANSER, APPELLANT Mr. Napper recommended Council set 22 January 1990 as the hearing date, and authorize staff to prepare the appropriate notices and reports accordingly. A-7 RESOLUTION NO. 135-89 AUTHORIZING WORKERS' COMPENSATION SETTLEMENT WITH DONALD PIERCE. FORMER POLICE OFFICER Mr. Napper recommended Council adopt Resolution No. 135-89. A-8 RESOLUTION NO. 136-89 AUTHORIZING WORKERS' COMPENSATION SETTLEMENT WITH HOWARD FORDYCE. FORMER MAINTENANCE WORKER Mr. Napper recommended Council adopt Resolution No. 136-89. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 27, 1989 PAGE 4 A-9 RESOLUTION NO. 134-89 GRANTING AN UNDERGROUND UTILITY EASE- MENT TO P.G.&E. ACROSS CITY PROPERTY IN THE VICINITY OF SOUTH STREET AS PART OF THE TIDELANDS PARK UNDERGROUND UTILITIES PROJECT Mr. Napper recommended Council adopt Resolution No. 134-89. MOTION: Councilmember Odell moved for approval of the Consent Calendar as recommended. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) B. UNFINISHED BUSINESS B-1 ORDINANCE NO. 362 AMENDING SECTION 15.04.150 OF THE MORRO BAY MUNICIPAL CODE REDEFINING VESSELS OF A COMMERCIAL NATURE (SECOND READING/ADOPTION) Mr. Napper stated the proposed Ordinance amends the definition of a "commercial fishing vessel" to establish net tonnage criteria relative to fish sales as the determining factor for priority use of City slips and docks. Council approved first reading of the Ordinance on September 25th, at which time it was forwarded to the California Department of Boating and Waterways for comments. They have no comments and it is now in order for Council to approve the Ordinance as second and final reading. It will become effective December 27th. MOTION: Councilmember Lemons moved Ordinance No. 362 be read by title and number only. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) Mr. Napper read Ordinance No. 362 by title and number only. MOTION: Councilmember Wuriu moved for adoption of the second and final reading of Ordinance No. 362. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) B-2 ORDINANCE NO. 364 AMENDING CERTAIN SECTIONS OF TITLE 15 OF THE MORRO BAY MUNICIPAL CODE (HARBOR AND OCEAN REGULATIONS) REGARDING ADMINISTRATION OF THE HARBOR (SECOND READING/ ADOPTION) Mr. Napper stated this is a housekeeping Ordinance which will be- come effective December 27th if Council approves it this evening. MOTION: Councilmember Odell moved Ordinance No. 364 be read by title and number only. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) Mr. Napper read Ordinance No. 364 by title and number only. 0 A MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 27, 1989 PAGE 5 MOTION: Councilmember Odell moved for the adoption of the sec- ond and final reading of Ordinance No. 364. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) B-3 ORDINANCE NO. 365 AMENDING CHAPTER 9.22 OF THE MORRO BAY MUNICIPAL CODE REGARDING ALARM SYSTEMS AT MORRO BAY POLICE DEPARTMENT (SECOND READING/ADOPTION) Mr. Napper stated this Ordinance amends the City's alarm system regulations to coincide with prevailing practices, and institutes graduated penalties for false alarms. The Ordinance, upon adop- tion, will become effective December 27th. MOTION: Councilmember Wuriu moved Ordinance No. 365 be read by title and number only. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) Mr. Napper read Ordinance No. 365 by title and number only. MOTION: Councilmember Lemons moved for the adoption of the sec- ond and final reading of Ordinance No. 365. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) B-4 ORDINANCE NO. 366 ESTABLISHING PROGRAM FOR STATE -MANDATED REPAIR AND RETROFIT OF UNREINFORCED MASONRY BUILDINGS (URM) SECOND READING/ADOPTION Mr. Napper stated the City is required by State law to have a mitigation program enacted by 01 January 1990 to reduce the haz- ards of earthquakes in unreinforced masonry buildings. He out- lined Council's options with regard to amending the Ordinance due to comments made by the public this evening. Mayor Sheetz stated Council has been considering this ordinance in the context of the necessity of complying with State law to enact a program prior to January 1st. However, in talking with people and financial institutions, she now realizes businesses would be unable to secure a loan within the City's time frame. Mayor Sheetz suggested the Ordinance be amended to allow seven years to comply, similar to the Los Angeles ordinance it was modelled after. Councilmember Lemons asked if it is possible to create an assess- ment district project whereby the costs of the improvements would be paid by the property owners in the assessment district. He does not believe it is possible for the City to grant interest free loans or use City monies to finance repairs. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 27, 1989 PAGE 6 Ms. Skousen stated the City cannot be in the business of granting any type of loans. There are some financing mechanisms such as a redevelopment agency; however, it would have to be researched. Ms. Burt said she does not believe there are assessment district for non -governmental purposes; they are usually for infrastruc- ture or maintenance. Councilmember Wuriu asked what the deadline is for this State mandated requirement? Mr. Napper replied the 'State requires a mitigation program adopted by 01 January 1990; it does not estab- lish a time frame by when the building repairs must be complete. Councilmember Baker noted the number of deaths each year caused by fire are considerably more than earthquake deaths. He said the Council should stop the panic by giving the people some assurance of extending the deadline this evening; perhaps allow- ing ten years to comply. He suggested financing options be investigated and returned for Council information. Councilmember Odell agreed stating everyone will appeal the ordinance if adopted as -is. Councilmember Lemons stated he is not opposed to extending the time limit; he questioned whether the City would incur liability by extending the time to comply? Ms. Skousen responded the City would not incur liability by extending the time limit. Coun- cilmember Lemons suggested a provision be included that if a decision is made to replace a building, the decision be made early on. He said if a building serves the public and a decision has been made it needs to be demolished rather than repaired, it should not be allowed to remain in that condition for years before it is demolished. He noted Parkfield is less than 70 miles from Morro Bay, and studies suggest the bigger earthquake will center in Parkfield. Councilmember Lemons also questioned the number of people killed in earthquakes in the entire history, Mayor Sheetz asked if a structural engineer can make a decision whether a building can be repaired or has to be demolished? Mr. Nicklas, Chief Building Inspector, stated a licensed structural engineer• can determine if the building is unreinforced masonry and then advise how it should be corrected. He encouraged Coun- cil to adopt the Ordinance this evening noting it can be amended at a later date. Mayor Sheetz was in favor of amending the Ordinance now to extend the time and instructing staff to return with criteria to answer some of the questions that have been expressed. Councilmember Lemons said the Ordinance should at least contain a provision the building has to be surveyed within a year. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 27, 1989 PAGE 7 Councilmember Wuriu stated the Ordinance needs to be written so it can be enforced and the City avoids a situation such as the current sign ordinance matter. He said the City needs the sup- port of the owners of the buildings; they have to agree it is a fair ordinance. MOTION: Mayor Sheetz moved the Ordinance be amended to allow seven years to retrofit a building, and staff be instructed to return with criteria which would estab- lish a time frame between retrofitting and demolition. The motion was seconded by Councilmember Baker. Council discussed the time frame for analysis of the buildings prior to retrofitting. Mr. Nicklas stated the analysis of one building should take no more than one or two days; civil engi- neers can also do the analysis. Councilmember Lemons was in favor of adopting the Ordinance for second reading this evening in order to comply with State law; the City can then schedule workshops or public hearings for pos- sible amendments if needed. Mr. Napper stated if the Ordinance is amended this evening, Coun- cil is required to hold a public hearing on the amended Ordi- nance; the amended Ordinance can then be approved for first read- ing. The amended Ordinance will then be returned on December llth for second reading and adoption; it will become effective January 11, 1990. He believed the State will find the City sub- stantially in compliance with the law if that action is followed. AMENDED Mayor Sheetz moved the motion be amended to extend the MOTION: time for completion of the retrofitting to seven years, with the initial analysis report filed in one year. Councilmember Baker accepted the amendment. Mr. Farrel asked Council how they wished to handle those who install wall anchors; the present motion does not give the public an incentive to install wall anchors in a timely manner. Those who install wall anchors need the incentive to allow them more time to install the final improvements. Councilmember Baker asked if it is possible a problem could be corrected completely by the installation of wall anchors? Mr. Nicklas said it is possible, if substantiated by the engineer's analysis report. AMENDED Mayor Sheetz amended the motion to allow one year for MOTION: the initial inspection and five years after the struc- tural analysis for total completion; with two addi- tional years (seven years total) if wall anchors are installed. The amendment was accepted by Councilmember Baker. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 27, 1989 PAGE 8 It was noted the intention of the motion is to allow the addi- tional two years for wall anchors if they are installed within two years. Mr. Farrel reviewed the changes staff will make to the ordinance in compliance with the motion. The motion was unanimously carried. (5-0) Mayor Sheetz opened the matter to the public for comments con- cerning the amendments to the new ordinance. Angela Carpenter, 938 Pacific, suggested another way of determin- ing the status of a building could be the previous owner who con- structed the building having knowledge concerning how the build- ing was constructed. She requested language be placed in the Ordinance allowing this determination in lieu of an engineer's analysis. Mary Phillips, Ironwood, asked if the State allocates money for their mandates on local jurisdictions? Mayor Sheetz said not in this case. Ms. Phillips stated perhaps the Small Business Admin- istration would be able to help finance these repairs. Terry Hulsebus, 407 Morro Bay Blvd., requested a copy of the revised Ordinance Council has been discussing. Bob Finley agreed with the established time frame for a struc- tural engineer to analyze the building. He said if allowed ten years to complete retrofitting, most business people will take care of the improvements long before the time period is up. Mr. Finley clarified his earlier statement regarding the number of people who had died from earthquakes throughout history; he believes the figure only applies to the United States. Councilmember Baker asked about Ms. Carpenter's suggestion previ- ous owners or builders provide information on the structure of the building? Mr. Nicklas said if plans that meet the minimum requirements are produced, it would suffice. Mr. Napper commented there is a significant difference between pre -construction drawings and as -built plans. MOTION: Councilmember Lemons moved Ordinance No. 366 be read by title and number only. The motion was seconded by Councilmember Odell and unanimously carried. (5-0) Mr. Napper read Ordinance No. 366 by title and number only. MOTION: Councilmember Lemons moved for approval of first read- ing of Ordinance No. 366 as amended. The motion was seconded by Mayor Sheetz and unanimously carried. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 27, 1989 PAGE 9 B-5 RESOLUTION NO 131-89 GRANTING A CONDITIONAL SIGN EXCEPTION PERMIT TO ALTER AN EXISTING NON -CONFORMING POLE SIGN AT T'RAVELODGE MOTEL 1080 MARKET STREET (SIGN 01-89) Mr. Napper stated Council granted Mr. Hempenius' appeal for a sign exception permit at their last meeting finding overall sig- nage will be reduced and the improvements provide a less negative visual impact than currently exists. A special condition has been added that the applicant agrees the signage is illegal and the City can require abatement when it enforces abatement of all previously -noted illegal signs in the City. MOTION: Councilmember Wuriu moved for the adoption of Resolu- tion No. 131-89. The motion was seconded by Coun- cilmember Odell and unanimously carried. (5-0) Mayor Sheetz stated Council will now consider Public Hearing items. D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 PUBLIC HEARING ON ADOPTION OF NEW WATER RATE SCHEDULE AND RATE INCREASES RECOMMENDED BY WATER ADVISORY BOARD TO FUND WATER PROJECTS AND ESTABLISHMENT OF A MONTHLY BASIC WATER METER SERVICE CHARGE OF $7.50 WITH CORRESPONDING "LIFELINE" RELIEF PROGRAM Louise Burt reviewed the rate scheduled approved by Council at their last meeting. Also included is a Lifeline rate application which will exempt low-income households from paying the $7.50 basic service fee. Mayor Sheetz opened the hearing to the public for comments. Anne Freeman, 785 Cabrillo, asked if the schedule includes sewer amounts as well as water? Ms. Burt said no; only water. Ms. Freeman stated the public cannot assess what the total effect of this water rate increase until they know what the sewer bill is going to be. She suggested another computation be made available that includes the sewer rates. Mary Phillips, Ironwood, asked if the $7.50 monthly charge includes any water? Ms. Burt stated no; it is a service charge for providing water to the residence. Ms. Phillips stated with the sewer fee, the public is paying $15 before getting anything. Nancy Bast, 450 Fairview, asked if the new rate structure is such that each cubic foot costs more the previous one? Ms. Burt stated yes; this program is operated on a curve rather than tiered. If an individual uses less than 11 cf per month, they will pay less than they currently pay. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 27, 1989 PAGE 10 Ms. Bast stated not many will fall into that group. She stated her small business, a laundromat, is totally dependent on water; the increase will cost her approximately $755 per year which will render the business unviable for her. Council changed the origi- nal Water Advisory Board recommendation of increasing the tran- sient occupancy tax thereby requiring tourist participation in the increase, and placed the costs back on the residents. Howard Gaines stated he cannot see why the residents of Morro Bay are continually required to subsidize the motel, restaurant and waterfront interests. He maintained the $7.50 charge is a util- ity tax, and a referendum should be instigated if Council enacts it. He said it is taxation without representation and should be presented to the people for a vote. Ed Biaggini, 1164 Market, stated the proposed schedule requires the high -end users to pay more. He worked with the Water Advi- sory Board on this schedule which he believes is fair, and noted there was very little representation from other parts of the com- munity. His motel bill will increase up to $50-$80 per month which means the tourists will also have to pay their fair share. Mayor Sheetz closed the hearing to the public. Mayor Sheetz asked Ms. Skousen to respond to Mr. Gaines allega- tions this is a utility tax. Ms. Skousen stated nothing in the Resolution establishing user rates requires a vote of the people; it is a fee for supplying water. She noted the people elected the Councilmembers as their representatives and one of council's obligations is to supply people with water. Councilmember Wuriu agrees the proposed water basic service charge is substantial; he believes $7.50 is too high and consti- tutes an almost 100% increase in water bills. He said the total funds are not needed at this time; the expenses set forth for various water projects are only estimates. He suggested a $5 basic service charge and wait and see how things work out. Mayor Sheetz stated she would support that; $7.50 is a consider- able amount to many individuals. She noted Council has been try- ing to arrive at a formula where everyone pays equally and not just one segment. She asked Ms. Burt if it is possible to create a different rate for motels? Ms. Burt stated Council would have to make findings to substantiate the different costs. Ms. Skousen stated she cannot think of any finding that would distin- guish motels from other businesses. The rate does affect motels because of increased rates for increased water use. Mr. Nichols explained the original WAB recommendation was for a $4.50 monthly basic services charge for 5/8" meters, $20 for 1" meters, and $100 for 2" meters. After consideration, Council MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 27, 1989 PAGE 11 determined it would be more equitable to charge everyone the same rate rather than apply a multiplier effect for meter size differentials. Mayor Sheetz commented Council determined it was necessary to raise water rates during budget hearings just to maintain the present system; these hearings were very poorly attended by the public. Councilmember Lemons stated Council also approved of a policy for furnishing water and developing new water supplies, all of which have costs attached to them. The WAB recommendations were made to generate the amount of money needed to carry out the projects which Council approved. He suggested if any Councilmember believes the recommendations to be too excessive, that person should suggest alternatives to meet the financial requirements. He noted many other utilities require a basic service charge: telephone is $8.83 even if no calls are made; cable TV is $18 whether the TV is turned on or not. A basic monthly service charge is not a foreign concept. Councilmember Wuriu stated he respects Councilmember Lemons' arguments; however, the estimates for water projects are based on a number of factors. The City still is not sure the City of San Luis Obispo will work with Morro Bay on water projects. He believes $7.50 basic service charge is too much money. Councilmember Baker stated although the figures may only be esti- mates and the City may not immediately obtain cooperation with the City of San Luis Obispo, he is confident the funds will be needed and an agreement entered into at some time. The City needs to pursue this process so it will be in place when action is needed by the City. He believes the people who cannot afford the basic service charge will be helped by the Lifeline program. Councilmember Odell stated he agrees with Councilmember Baker; the financial needs have to be met. He is inclined to vote in favor of the $7.50 and Lifeline program at this time; however, he is uneasy because the City has a monopoly on supplying water. Mayor Sheetz stated she could not support the additional rates as presented because the City will be putting a 10% increase upon another 10% increase effectuated in July of this year. She stated all the water projects are dependent on rainfall, and if there is no rain none of the projects will work. Mayor Sheetz said if the people of Morro Bay will not vote in favor of a $20 per year tax increase to fund emergency medical services, they will not vote in favor of funding the San Bernardo Dam project which will be considerably higher; she believes desalinization may be the only water project the City will have left to pursue. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 27, 1989 PAGE 12 MOTION: Councilmember Lemons moved for adoption of Resolution No. 137-89 including the Lifeline system. The motion was seconded by Councilmember Baker and carried with Councilmember Wuriu and Mayor Sheetz vote no. (3-2) D-2 SONIC CABLE TELEVISION REQUEST FOR ASSIGNMENT OF LOCAL CABLE TELEVISION FRANCHISE AGREEMENT TO SONIC CABLE LEASING A WHOLLY -OWNED SUBSIDIARY OF SONIC COMMUNICATIONS Mr. Napper stated Council is in receipt of a request from Sonic Communications to transfer their franchise to Sonic Cable Leas- ing. The Cable TV Board considered this request on November 16th and recommended the City determine Sonic Cable Leasing has the financial capability and assets to perform. The Finance Director requested financial statements which were received today, but have not been reviewed due to the time received. He recommended Council continue this item to the next meeting to allow review of the statements, preparation of assignment/ assumption documents, and Resolution approving transfer. Mayor Sheetz opened the hearing to the public; there were no com- ments and the item was returned to Council. MOTION: Councilmember Lemons moved the item be continued to December filth. The motion was seconded by Councilmem- ber Wuriu and unanimously carried. (5-0) C. NEW BUSINESS C-1 AUTHORIZATION OF APPLICATION FOR CITY DESIGNATION AS A "TREE CITY. USA" AND ACCEPTANCE OF RECREATION AND PARKS COMMISSION RECOMMENDATION TO HOLD AN EARTH DAY/ARBOR DAY CELEBRATION IN 1990 Mr. Wolter reviewed the qualification required for designation as a Tree City, USA; the City meets all qualifications except for proclaiming and holding an Arbor Day each year. Staff suggests an Earth Day/Arbor Day 1990 program be established; the costs to establish the program are minimal. The Recreation and Parks Com- mission recommends the City pursue a Tree City, USA application and Earth Day/Arbor Day celebration on April 22, 1990. Mr. Wolter said the celebration will raise the community's awareness of the environment. If Council approves, staff can return at a later date with a budget program for consideration. Mayor Sheetz stated she has been very enthusiastic about this program. People take so much from the earth; it's time to return the natural resources in the form of planting trees. She said many citizens are interested in the program. Councilmember Baker commented a celebration at remote Del Mar Park could be overlooked if not widely advertised. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 27, 1989 PAGE 13 Mayor Sheetz noted she is working on a donation of land to estab- lish a commemorative grove of trees. Councilmember Lemons questioned whether the City would be asked to join the Global Cities Project? Mayor Sheetz stated it is not necessary. Councilmember Lemons stated the Council showed a lack of interest during a recent presentation concerning recycling; pollution is a problem and the City should be doing more things locally. Councilmember Wuriu asked about a Tree Board to support the activity? Mr. Wolter stated the Recreation and Parks Commission can act as the Tree Board. MOTION: Mayor Sheetz moved Council authorize application for "Tree City, USA" designation; and, authorize the Mayor to sign the Proclamation declaring 22 April 1990 as Arbor Day/Earth Day Celebration in Morro Bay. The motion was seconded by Councilmember Wuriu. Councilmember Odell commented staff should consider holding a marathon in Morro Bay as part of the Earth Day/Arbor Day activi- ties to spur interest. The motion was unanimously carried. (5-0) C-2 CONSIDERATION OF SUPPORT FOR AMENDMENT TO THE CALIFORNIA POLITICAL REFORM ACT ALLOWING CERTAIN EXEMPTIONS FROM CON- FLICT OF INTEREST REGULATIONS FOR PRINCIPAL PLACE OF RESI- DENCE OF ELECTED AND APPOINTED OFFICIALS IN SMALL CITIES Mr. Napper stated the reform legislation being proposed for the California Political Reform Act would provide that elected offi- cials may participate in development decisions even when their principal place of residence is located within a certain radius from the development, so long as the elected official's residence is not directly affected than that from the effect on the public in general.. Mr. Napper noted the problems current law poses, especially for small cities. He recommended Council support leg- islation which allows exception for cities on the basis of having 25,000 population or less, 15 square miles or less, for all elected and appointed officials, and only in cities which have at -large elections. Mayor Sheetz stated she scheduled this item on the agenda due to the affect it would have on Morro Bay. She noted there is one large parcel of property in Morro Bay nearly all Councilmembers would have a conflict in voting on because of its location. Mr. Napper stated Morro Bay boundaries contain 6.2 square miles. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 27, 1989 PAGE 14 MOTION: Councilmember Odell moved Council support conflict of interest reform under certain situations as outlined when the property involved is an elected or appointed officials' primary place of residence, and, instruct staff to prepare a letter to the League of California Cities and the Fair Political Practices Commission rep- resenting the City Council's viewpoint on this reform. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) Councilmember Odell suggested reform is also needed in the deter- mination that $250 per year from one source constitutes a con- flict of interest. E. CLOSED SESSION None F. MOTION: Councilmember Odell moved the meeting be adjourned. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) The meeting adjourned at 8:38 p.m. Recorded by, ARDITH DAVIS City Clerk h/min1127 City Of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life which we all enjoy. We are committed to this purpose and will provide a level of municipal service consistent and responsive to our public and its needs. REGULAR MEETING - NOVEMBER 13, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL INVOCATION PLEDGE OF ALLEGIANCE PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearings items under Section D) may do so by standing.When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should normally be limited to three minutes. DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the fol- lowing actions are approved without discussion. A-1 CITY COUNCIL MINUTES OF THE SPECIAL AND REGULAR MEETING OF OCTOBER 30, 1989, AND THE ADJOURNED REGULAR MEETING OF NOVEMBER 1, 1989 A-2 RESOLUTION NO. 129-89 AWARDING CONTRACT FOR LEASE -PURCHASE OF NEW STREET SWEEPER A-3 REJECTION OF LEAVE TO PRESENT LATE LIABILITY CLAIM AGAINST THE CITY (HALL) A-4 RESOLUTION NO. 130-89 APPROVING PUBLIC AREA USE PERMIT NO. 424 FOR THE 1989 LIGHTED BOAT PARADE A-5 RESOLUTION NO. 132-89 COMMENDING FRAN AND ALICE WYSOCKI AND THE MORRO BAY YACHT CLUB FOR THEIR RELIEF EFFORTS TO ASSIST VICTIMS OF THE SANTA CRUZ AREA EARTHQUAKE A-6 ESTABLISHMENT OF CITY COUNCIL POLICY FOR PUBLIC HEARINGS TO BEGIN NO LATER THAN 7:00 P.M. DURING CITY COUNCIL MEETINGS B-1 ORDINANCE NO. 363 AMENDING SECTION 17 OF THE MORRO BAY MUNICIPAL CODE, ZONING ORDINANCE, PERTAINING TO THE CLOISTERS PROPERTY (SECOND READING/ADOPTION) B-2 WATER ADVISORY BOARD RECOMMENDATIONS REGARDING SOURCES OF NEW REVENUE TO FINANCE NEW WATER PROJECTS FOR MORRO BAY C. NEW BUSINESS C-1 RESOLUTION NO. 128-89 APPROVING MINOR LEASE AMENDMENT ADDING LATE RENTAL PAYMENT PENALTY CLAUSES FOR LEASE SITE 90/70W (ABALONE UNLIMITED RESEARCH, INC., LESSEE) C-2 APPROVAL OF LEASE AGREEMENT AMENDMENT ON LEASE SITE 68/68W (DBA PARKHURST GALLERY, 591 EMBARCADERO) ESTABLISHING SPECIFIC TIMETABLE FOR REPAIR OF REVETMENT AND CODE VIOLATIONS (PULLED) C-3 CONSIDERATION OF REQUEST BY INLAND WEST DEVELOPMENT FOR FORMATION OF A LANDSCAPING AND LIGHTING DISTRICT FOR BAYSHORE VILLAGE PROPERTY OWNERS' MAINTENANCE OF BAYSHORE BLUFFS PARK D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 ORDINANCE NO. 365 AMENDING CHAPTER 9.22 OF THE MORRO BAY MUNICIPAL CODE REGARDING ALARM SYSTEMS AT MORRO BAY POLICE DEPARTMENT (INTRODUCTION/FIRST READING) D-2 ORDINANCE NO. 364 AMENDING CERTAIN SECTIONS OF TITLE 15 OF THE MORRO BAY MUNICIPAL CODE (HARBOR AND OCEAN REGULATIONS) REGARDING ADMINIS- TRATION OF THE HARBOR D-3 RESOLUTION NO. 133-89 APPROVING CONCEPT PLAN CUP 07-89 FOR CONSTRUC- TION OF MARINE RESEARCH/EDUCATION CENTER ON LEASE SITE 49/49W (MORRO BAY ESTUARY CENTER, APPLICANT) D-4 ORDINANCE NO. 366 ESTABLISHING PROGRAM FOR STATE -MANDATED REPAIR AND RETROFIT OF UNREINFORCED MASONRY BUILDINGS (URM) INTRODUCTION/FIRST READING D-5 CONSULTANT'S REPORT ON ANALYSIS OF INSTITUTIONAL AND FINANCIAL ISSUES RELATIVE TO THE COASTAL STREAMS DIVERSION AND STORAGE PROJECT, PHASE I D-6 APPEAL OF PLANNING COMMISSION DENIAL OF SIGN EXCEPTION PERMIT TO ALTER AN EXISTING NON -CONFORMING POLE SIGN AT TRAVELODGE MOTEL (HEMPENIUS, APPELLANT; 1080 MARKET STREET) D-7 REQUEST OF CENTRAL COAST SEAFOODS (1001 FRONT STREET) FOR CITY RELIEF FROM AMOUNT OF WATER AND SEWAGE BILLS E. CLOSED SESSION E-1 GOVERNMENT CODE SECTION 54956.9(A), PENDING LITIGATION A. WOGA VS. CITY OF MORRO BAY, CASE NO. 87 05190, U.S. DISTRICT COURT B. DONALD PIERCE V.'CITY OF MORRO BAY C. HOWARD FORDYCE V. CITY OF MORRO BAY F. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST. 6 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Sheetz called the meeting to order at 6:00 p.m. ff%)AMN-W PRESENT: Rose Marie John Baker John Lemons Jeff Odell Tom Wuriu Sheetz Mayor Councilmember Councilmember Councilmember Councilmember ABSENT: None STAFF: Gary Napper Judy Skousen Louise Burt Alan Davis Ardith Davis William Farrel Forrest Henderson Dave Howell Nick Nichols Steve Wolter City Administrator City Attorney Finance Director Harbor Director City Clerk Community Dev. Dir. Asst. City Admin. Police Chief Public Works Dir. Rec. & Parks Dir. Mayor Sheetz gave the invocation, and Councilmember Baker led the Pledge of Allegiance. • yly 1. Anne Freeman, 785 Cabrillo, made comments on Item C-3 regarding the landscaping and lighting district for maintenance of Bayshore Bluffs Park. She alleged this is a special privilege for a developer who does not own the property. Only two people out of the 48 units in the development have requested a district be formed, and the adjacent neighborhood has not been considered. She expressed concern that after the district is formed, Council may expand it to include others outside the Bayshore Village area. 1. Councilmember Lemons asked if the water conservation ordinance requires property owners to repair water leaks on their property? Mr. Nichols stated there is no provision in the water conservation ordinance; however, the Municipal Code requires leaks be repaired after the property owner has been properly notified. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 2 Councilmember Lemons requested an item be scheduled on the agenda to consider a requirement for property owners to either fix the water leaks, or the City will do it for them and charge the property owner. He noted some tenants are having difficulty with landlords in this regard. A. CONSENT CALENDAR A-1 CITY COUNCIL MINUTES OF THE SPECIAL AND REGULAR MEETING OF OCTOBER 30, 1989, AND THE ADJOURNED REGULAR MEETING OF NOVEMBER 1. 1989 Mr. Napper recommended Council approve the minutes as submitted. A-2 RESOLUTION NO. 129-89 AWARDING CONTRACT FOR LEASE -PURCHASE OF NEW STREET SWEEPER Mr. Napper recommended Council adopt Resolution No. 129-89. A-3 REJECTION OF LEAVE TO PRESENT LATE LIABILITY CLAIM AGAINST THE CITY (HALL) Mr. Napper recommended Council deny the request for leave to sub- mit a late claim, and authorize the City Clerk to send the rejec- tion notice. •: _COIMMI,._ :•: Mr. Napper recommended Council adopt Resolution No. 130-89. A-5 RESOLUTION NO. 132-89 COMMENDING FRAN AND ALICE WYSOCKI AND THE MORRO BAY YACHT CLUB FOR THEIR RELIEF EFFORTS TO ASSIST VICTIMS OF THE SANTA CRUZ AREA EARTHQUAKE Mr. Napper recommended Council adopt Resolution No. 132-89. A-6 ESTABLISHMENT OF CITY COUNCIL POLICY FOR PUBLIC HEARINGS TO BEGIN AT OR NEAR 7:00 P.M. DURING CITY COUNCIL MEETINGS Mr. Napper recommended Council approve the Policy Statement. Mayor Sheetz stated she intends to make a presentation on Item A- 5 commending the Morro Bay Yacht Club for earthquake relief efforts. Councilmember Odell stated he wished to abstain from approval of the minutes as he was absent at the last meeting. Councilmember Wuriu stated while he agrees with the Policy State- ment to begin meeting no later than 7 PM, he suggested Council not interrupt an item being discussed to start Public Hearings. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 3 He said it is difficult to come back to a discussion at a later time. MOTION: Councilmember Lemons moved for the approval of the Con- sent Calendar with the exception of Item A-1. The motion was seconded by Councilmember Baker and unani- mously carried. (5-0) MOTION: Mayor Sheetz moved for approval of Item A-1. The motion was seconded by Councilmember Baker and carried (5-0) with Councilmember Odell abstaining on approval of the October 30, 1989 regular meeting minutes only. (4-0-1) Mayor Sheetz asked Fran Wysocki to come forward, and Mr. Napper read Resolution No. 132-89 commending Fran and Alice Wysocki and the Morro Bay Yacht Club for their relief efforts to assist vic- tims of the Santa Cruz area earthquake. Mayor Sheetz thanked Ms. Wysocki and the Yacht Club for their time and effort in this regard. Councilmember Wuriu stated we can be proud of the entire commu- nity's contributions to the earthquake relief efforts. He noted the Rotary Club collected $2,500 in one day from Club members for this purpose. Also the Eagles Club, the Salvation Army, and many others were instrumental in organizing help. Mayor Sheetz stated she has additional presentation to make to David "Pete" Peterson, retired City employee after 24 years of employment. She read the Resolution adopted by Council commend- ing Mr. Peterson and presented him with a plaque, a City 25-year pin, and commemorative wine glasses. Mr. Peterson thanked every- one for the tribute and stated he had enjoyed working for the City. B. UNFINISHED BUSINESS B-1 ORDINANCE NO. 363 AMENDING SECTION 17 OF THE MORRO BAY MUNICIPAL CODE, ZONING ORDINANCE. PERTAINING TO THE CLOISTERS PROPERTY (SECOND READING/ADOPTION) Mr. Napper stated this is the second reading and adoption of Ordinance No. 363 which amends the zoning ordinance regarding the Cloisters property and is in accordance with the litigation settlement agreement. MOTION: Councilmember Baker moved Ordinance No. 363 be read by title and number only. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 4 Mr. Napper read Ordinance No. 363 by title and number only. MOTION: Councilmember Lemons moved for approval of the second reading and adoption of Ordinance No. 363. The motion was seconded by Councilmember Wuriu and carried with Councilmember Odell voting no. (4-1) B-2 WATER ADVISORY BOARD RECOMMENDATIONS REGARDING SOURCES OF NEW REVENUE TO FINANCE NEW WATER PROJECTS FOR MORRO BAY Mr. Napper stated this item was continued from the last meeting.. Council requested analysis of equity between consumers on the basis of dwelling units to see if multiple dwelling structures are paying a larger burden of water costs relative to a single- family dwellings. Ms. Burt reviewed the analysis provided to Council. She stated current rates as charged compared with current rates on a per dwelling unit basis are basically the same. The schedule showing the option preferred by the Motel/Hotel Association (Option D) to defer an increase in transient occupancy tax will most affect single-family condos and residences. A separate schedule also demonstrates the comparison of Option D on a per unit basis. Ms. Burt stated the results are inconclusive and raise a number of questions. Mr. Napper reviewed past Council action and direction relative to the Water Advisory Board recommendations; Council has endorsed a $5.00 per meter basic service charge, and directed staff to pre- pare a developers'fee on new and remodeled construction. Councilmember Wuriu asked if the $5.00 basic service charge is the same for all size meters and, if so, why? Mr. Nichols stated it is the same for all meters because Council directed so rather than approving a higher rate for larger meters. Councilmember Wuriu said if Council does not implement a transient occupancy tax increase, there must be some way for the tourist to pay a share of the costs. He asked if the meter charge could be based on the volume of water going through it? Mr. Nichols stated one of the WAB original recommendations was to do that; however, Council preferred the same rate for all meters with no multiplier effect. Mayor Sheetz asked if the rates could be changed to place motels in a different category, or is that discriminatory? Ms. Burt stated it has been done, but not in California. Mayor Sheetz asked if Council is in favor of setting a minimum meter charge? She said a number of property owners are absent tenants and pay little or nothing for water. Ms. Burt said there are approximately 400 residences with absent tenants; it would be MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 5 appropriate to charge the basic service charge since the City maintains the system whether they are present or not. Councilmember Wuriu said a basic service charge of $5.00 is prob- ably the fairest; however, he would like a "life line" charge incorporated so those who financially need assistance can be granted relief from the charge. He indicated P.G.&E. has infor- mation on how to accomplish this and they are willing to share it with the City. Councilmember Lemons asked what the average minimum rate is in the County? Ms. Burt said approximately $8.00 per month; some minimum rates are as high as $15.00. Councilmember Lemons said a $7.50 basic service charge is not too high for having service available 24 hours per day. He also agrees with establishing a life line relief program. MOTION: Councilmember Baker moved staff prepare the enabling documents to establish a $7.50 per meter basic service charge including life line rate options to get the appropriate amount for Option D of the Water Advisory Board's proposed program. The motion was seconded by Councilmember Lemons. Mr. Napper asked if the life line relief would be a reduction of the basic meter charge or allow a certain amount of water for $7.50? Councilmember Baker stated a reduction in the basic meter charge; individuals must pay additional for any water used. The motion carried with Councilmember Wuriu voting no. (4-1) Councilmember Wuriu stated he does not support the $7.50 basic service charge. Mr. Napper asked Council if they wished to increase the rate schedule as well? The $7.50 basic meter charge will not recap- ture all the funds anticipated by the WAB if the transient occu- pancy tax is not increased. Councilmember Lemons commented an inequity exists in that rest homes and multi -family residences are paying 40% per 100 cubic foot more than single family residences. Council questioned the difference between the 10% increase enacted by Council during budget sessions, and the WAB recommen- dation. Mr. Nichols stated the WAB developed a completely new curved structure which does not relate to the current tiered schedule. He cannot estimate the difference between water bills with the current schedule and the WAB proposal; low water users will be paying less than they currently do and high water users 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 6 will be paying more. Dick Fisher, WAB member, clarified the rate schedule for Council. Councilmember Wuriu stated he supports the original WAB rate schedule. Councilmember Lemons commented $86,000 will still have to be raised to replace the amount anticipated by the WAB recom- mendation to increase transient occupancy tax. Mr. Fisher refer- enced the WAB table which demonstrates the costs for various options. The column entitled "New Rate With $7.50" includes the 10% additional rate increase as proposed by the Hotel/Motel Association. MOTION: Councilmember Wuriu moved Council approve the concept and suggested rate table proposed by the Water Advisory Board (Option D). The motion was seconded by Coun- cilmember Baker and unanimously carried. (5-0) Mr. Napper stated staff will return with a package reflecting Council actions at a public hearing. Mayor Sheetz stated as it is after 7PM, Council will now consider Public Hearing items. D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 ORDINANCE NO. 365 AMENDING CHAPTER 9.22 OF THE MORRO BAY MUNICIPAL CODE REGARDING ALARM SYSTEMS AT MORRO BAY POLICE DEPARTMENT (INTRODUCTION/FIRST READING) Chief Dave Howell stated this item is basically an amendment to the existing City ordinance to bring it in line with prevailing practices. He stated private alarms systems no longer sound at the Police Department; they are connected to private security services. The ordinance also sets forth violations for excessive false alarms, and eliminates the need for a permit for an alarm. Councilmember Baker asked if false alarms will be cited if caused by power outages or an earthquake? Chief Howell stated viola- tions will only be cited if the malfunctions are under the con- trol of the individual. Mayor Sheetz opened the hearing to the public for comments; there were no comments and the hearing was closed. MOTION: Councilmember Baker moved Ordinance No. 365 be read by title and number only. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) Mr. Napper read Ordinance No. 365 by title and number only. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 7 MOTION: Councilmember Lemons moved for approval of the intro- duction and first reading of Ordinance No. 365. The motion was seconded by Councilmember Baker and unani- mously carried. (5-0) D-2 ORDINANCE NO. 364 AMENDING CERTAIN SECTIONS OF TITLE 15 OF THE MORRO BAY MUNICIPAL CODE (HARBOR AND OCEAN REGULATIONS) REGARDING ADMINISTRATION OF THE HARBOR Mr. Davis stated the proposed ordinance contains minor adjust- ments in language in the Harbor Ordinance: proper citation proce- dures, deleting the section relating to aircraft landing since Council recently adopted an ordinance covering this subject, and substituting "Harbor Director" for the current references to Pub- lic Works Director. Councilmember Odell stated he would prefer Section 15.12.090 regarding aircraft landing be retained in the Ordinance. He said the City's aircraft landing ordinance allows landing of aircraft in the City depending on safety and permits. The section in the Harbor Ordinance, however, states there will be no landing of aircraft in the bay except for emergencies. He has no problem with a helicopter dropping Santa Claus off on the Tigers Folly during the Lighted Boat Parade; the helicopter does not actually land on the water. Retention of this language will establish City policy that the harbor, except for emergencies, is an unac- ceptable landing area for aircraft. MOTION: Councilmember Odell moved Section 15.12.090 of the Morro Bay Municipal Code be retained as currently writ- ten. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) Mayor Sheetz opened the hearing to the public for comments. Hugo Hampp asked if the State controls the water areas around Morro Bay with regard to aircraft landings? Councilmember Odell stated Morro Bay's jurisdiction is a small part; the County of San Luis Obispo controls the Back Bay area. MOTION: Councilmember Lemons moved Ordinance No. 364 be read by title and number only. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) Mr. Napper read Ordinance No. 364 by title and number only. MOTION: Councilmember Lemons moved for approval of introduction and first reading of Ordinance No. 364 as amended. The motion was seconded by Councilmember Baker and unani- mously carried. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 8 D-3 RESOLUTION NO 133-89 APPROVING CONCEPT PLAN CUP 07-89 FOR CONSTRUCTION OF MARINE RESEARCH/EDUCATION CENTER ON LEASE SITE 49/49W (MORRO BAY ESTUARY CENTER, APPLICANT) Mr. Farrel stated the proposed Resolution was prepared as a result of Council action on October 9th to approve the concept plan for the marine research/education center on Lease Site 49/49W. A lease document is being prepared which will allow up to three years for the tenant to secure funding and demonstrate financial ability. Councilmember Lemons asked when the lease will actually be signed? Ms. Skousen stated it will not be signed until and if they meet the time frame and financial constraints. In the interim, an option agreement will be signed which will be pre- sented to Council for approval. Councilmember Wuriu asked if the concept plan which may be changed will return to Council for review? Mr. Farrel stated the concept plan is Council's major discretionary approval. A pre- cise plan will normally be presented only to the Planning Commis- sion. Councilmember Wuriu indicated he hoped the developers would remember the objections of two Councilmembers to the height of the building and scale it down if possible. Mayor Sheetz opened the hearing to the public for comments. Gene Doughty, 261 Main Street and project architect, stated his organization has met with staff and established a workable pro- gram for the project. With the approval of the Lease Option Agreement, financing should be available to the Center. Mayor Sheetz closed the hearing to the public and returned the matter to Council. MOTION: Councilmember Baker moved for the adoption of Resolu- tion No. 133-89. The motion was seconded by Coun- cilmember Lemons and unanimously carried. (5-0) • • • our ii:0-92L;Ideyo-0 ] Mr. Farrel stated while not mentioned in the staff report, staff recommends Council find the Ordinance to be exempt from the requirements of the California Environmental Quality Act (CEQA) with regard to filing an environmental impact statement. When considering whether an EIR should be prepared, staff found there are no housing displacement issues that will result from the unreinforced masonry buildings (URM) program, nor are there any historic structures among the URM's located to date. On that MINUTES-'MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 9 basis, staff recommends Council find this program is exempt from the requirements of CEQA. Mr. Nicklas, Chief Building Inspector, stated the proposed ordi- nance establishes a seismic safety program to reduce earthquake hazards in existing structures. He has reviewed numerous ordi- nances of the nature, and chose to model Morro Bay's after the City of Los Angeles'. It is the most workable ordinance and is based on the 1985 Uniform Building Code. Mr. Nicklas reviewed the ordinance in detail noting it exempts one and two family dwellings and detached apartment houses containing less than five dwelling units and used solely for residential purposes. Mr. Nicklas introduced Robert Vessely, Registered Civil Engineer, who has extensive experience in seismic safety structures and is available to answer questions Council may have. Mayor Sheetz noted State funds are available for private repairs to housing units, but nothing for commercial properties. Mr. Nicklas was not aware of any funding programs. Councilmember Wuriu asked how may structures in Morro Bay have been identified as unreinforced masonry? Mr. Nicklas stated approximately 46. Councilmember Odell asked if there would be a problem in extend- ing the timetable to make the modifications from 180 days to 360 days? Mr. Nicklas stated it would not be a problem; he realizes people need time to plan the repairs and retain someone to do the work. Councilmember Baker asked if the anchoring of buildings is a tem- porary measure until more extensive work can be done? Mr. Vessely stated yes, the intention is to address the worse safety hazards. He emphasized the program is not designed to save buildings during an earthquake; its purpose is to hold the build- ing together adequately enough to allow people time to get out. Mayor Sheetz opened the hearing to the public for comments. Hugo Hemp asked what magnitude of earthquake can we expect on the Central Coast? Mr. Vessely stated there is no way of anticipat- ing the magnitude of an earthquake. Jim Carpenter referred to an analysis of SB 547 which does not specify what must be included in a local ordinance. The immedi- ate requirement is to brace structures. Bob Finley, 415 Morro Bay Blvd., requested more time than the 180 days be allowed for completing the corrections required by the ordinance. He said the estimated cost of repairing the structure is 10% to 20% of the cost of a new building; businessmen will MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 10 need time to obtain financing. He asked Council to consider waiving permit fees for the improvements. Mayor Sheetz closed the hearing to the public. Councilmember Lemons was not in favor of extending the time period. Almost all masonry buildings in Morro Bay are not overly large and complex; he does not believe it too onerous a require- ment to have the structure analysis made within 180 days. He said it is important to put this ordinance into effect. Coun- cilmember Wuriu agreed. Councilmember Lemons stated there is a current ordinance which allows relief from parking requirements for improvements in the downtown area. Councilmember Baker noted that ordinance expires in June 1990. Councilmember Baker commented individuals have 120 days to obtain a building permit, 60 days to commence construction, and one year to complete construction. Mr. Farrel stated the entire process totals about three years; wall anchoring approximately 14 months. MOTION: Councilmember Lemons moved Council find this program exempt from the requirements of the California Environ- mental Quality Act. The motion was seconded by Coun- cilmember Odell and unanimously carried. (5-0) MOTION: Councilmember Lemons moved Ordinance No. 366 be read by title and number only. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) Mr. Napper read Ordinance No. 366 by title and number only. MOTION: Councilmember Lemons moved for approval of the intro- duction and first reading of Ordinance No. 366. The motion was seconded by Councilmember Baker and unani- mously carried. (5-0) Council recessed from 8:02 p.m. to 8:12 p.m. Mr. Nichols stated the consultant, Leedshill-Herkenhoff, Inc., has completed their analysis of the institutional and financial issues to implement and operate the Coastal Streams Diversion and Storage Project, Phase I. The study was jointly funded by the City and the Whale Rock Commission. Because of the complex issues involved, staff recommends Council appoint a committee of one or two Councilmembers, the City Administrator and the Public Works Director to work with the Whale Rock Commission to draft an MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 11 agreement regarding allocation of project yield and division of costs for design, construction, and operation of the proposed project. The consultant's report will be presented to the San Luis Obispo City Council on November 14th, and to the Whale Rock Commission on November 27th, with a similar recommendation. Mayor Sheetz opened the hearing to the public for comments; there were no comments and the hearing was closed. Councilmember Wuriu suggested Councilmember Lemons be appointed to the committee to represent the Council; he has been involved with the County on water issues for a number of years, and is currently the Vice -Chair of the County Water Advisory Committee. Mayor Sheetz stated she would also like to volunteer for the com- mittee. Council appointed Mayor Sheetz, Councilmember Lemons, the City Administrator, and the Public Works Director to repre- sent Morro Bay's interests in resolving the institutional and financial issues with the Whale Rock Commission. Mr. Farrel stated on September 18th, the Planning Commission denied the request of Jerry Hempenius for a Sign Exception to allow alterations to existing non -conforming signs for his motel at 1080 Market Street; Mr. Hempenius has appealed that action. Mr. Hempenius proposal is to replace two existing sign cabinets with new ones required by his franchise, Travelodge. The prob- lems are the existing signs at this location are nonconforming; there are two pole signs and one is allowed; both exceed height limits; and the total square footage of signage is greater than allowed. Mr. Farrel explained the 1973 Sign Ordinance made cer- tain signs illegal and requires abatement of the signs within a 10-year period, which has come and gone. Although this ordinance has not been enforced stringently, the City does require new con- struction to conform, and requires non -conforming signs to be brought into compliance when alterations are proposed. Mr. Farrel recommended the appeal be denied, and the Planning Commis- sion decision upheld. Councilmember Odell asked about a State law requirement that cities cannot amend sign ordinances until they have complied with the current ordinance. Ms. Skousen said two years ago the State passed a law stating jurisdictions cannot amend a sign ordinance until the previous ordinance has been enforced, which means the Council has no legal authority to grant the sign exception. How- ever, recent legislation may allow the City to amend the Sign Ordinance if the amendment would make the Ordinance more liberal. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 12 Councilmember Odell asked if it would be possible for the City to cause compliance by asking all businesses with illegal signs to temporarily take the sign down; could the City then amend the Ordinance? Ms. Skousen said yes. Councilmember Lemons commented on the inequity of being able to grant a sign exception permit for a sign has not been erected per the Ordinance, and not being able to grant one for improvement of an old sign. Ms. Skousen stated if a sign is non -conforming or the request can be granted through the Municipal Code, a sign exception permit can be authorized. However, if a sign has been declared illegal, as in this case, the Code says it shall be unlawful to maintain the sign. Issuing an exception permit in this case would be similar to aiding and abetting a crime. Councilmember Lemons stated there are a number of retail estab- lishments in the City with signs in their windows in violation of the Sign Ordinance; he suggested the Hempenius situation is a matter ,of selective enforcement. Ms. Skousen stated the Sign Ordinance is not being enforced stringently; however, there is a difference between not enforcing and agreeing an illegal sign can remain up by allowing changes. Councilmember Wuriu was concerned Mr. Hempenius' franchise opera- tion is requiring the changes; he believed it unfortunate when a business proceeding with something required by his franchise operation is forced to give up the franchise because of an ordi- nance which has been unenforced. Ms. Skousen stated the Sign Ordinance is enforced for new construction; the City has not required old signs to be abated. One of the reasons the State law prohibiting amendments to sign ordinance was enacted is the inequity of new construction being required to comply with the ordinance, and old businesses were not. Mr. Farrel stated Mr. Hempenius does not need a sign exception permit from the City if he wants to use the existing parameters of the signs; however, his request is to change the configuration of the signs and that is what requires a sign exception permit. Also, only one pole sign is allowed per site; he could eliminate one sign and reduce the other sign to fifteen feet in height. Mr. Farrel stated the City's Sign Ordinance is a good ordinance and not different from many other communities. He discouraged Council from changing it. The signs erected since the ordinance was adopted are aesthetically pleasing compared to photos taken ten years ago with the old signs in town. Councilmember Wuriu asked what compromise is there if the appli- cant cannot follow what his franchise is mandating? Mr. Farrel stated Council will have to decide if they are going to dictate the sign regulations in the City, or if outside franchises are going to. Other franchises have attempted to coerce the City MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 13 into allowing their signs by threatening to abandon their pro- ject; they generally comply if the City stands by their regulations. Councilmember Odell noted the overall signage of the motel will be decreased by the modification. Mr. Farrel stated the height and the fact there are two pole signs are the major problems. Councilmember Baker agreed new businesses should be required to comply with the Sign Ordinance, but did not believe we should start enforcing the ordinance now when we have not enforced it in the past. MOTION: Councilmember Baker moved Council grant Mr. Hempenius' appeal, and allow him to revise his signs as proposed. The motion was seconded by Councilmember Wuriu. Councilmember Odell offered an amendment to the motion to include the findings of: reductions in square footage of the signage, and the less visual impact from the proposed sign change. Councilmember Lemons stated the matter should be opened for pub- lic hearing before Council action. MOTION: Councilmember Baker withdrew his motion, and Coun- cilmember Wuriu his second. Mayor Sheetz opened the hearing to the public for comments. Randy Ballard, CN Signs, encouraged Council to approve the appeal stating the request is reasonable. Glen Lewis, partner with Mr. Hempenius in the motel, emphasized the request did not originate with the owners of the motel, but is a requirement of Travelodge in changing their logo. He stated the proposed sign is much more aesthetically pleasing, and is not a drastic change. Jerry Hempenius, appellant, stated based on the Sign Ordinance and the fact his motel is on corner property he is allowed the minimum square footage of signage on one side of the property and � the minimum on the other side. He currently has 281 sq.ft. of signage, and his proposal is for 240 sq.ft. He explained the motel is built to the sidewalk, so the signs receive very little exposure. The sign is going from a multi -color to blue and white; its appearance creates a positive impact. Mayor Sheetz closed the hearing to the public. Mr. Napper stated the argument a franchise is requiring this change is not a salient point; however, perhaps a compromise can be effected by allowing them the sign exception with a special MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 14 condition the permit does not remove the City's right and ability to remove the sign when the City begins active enforcement of the Ordinance with all businesses. He said Council should avoid the appearance of granting the permit which in effect would condone the sign and waive the City's right to enforce the Ordinance on this property. Mayor Sheetz agreed the franchise requirements are not relevant to City Ordinances. However, she acknowledged the necessity of signs for businesses, and this request would be an improvement over what is currently there. Councilmember Wuriu asked what the special condition would be? Ms. Skousen said it would be something to the effect the City is not waiving its right to enforce abatement at a time when it begins to abate all signs declared illegal in 1972. The appli- cant would have to agree to this before remodeling his sign. The important thing is not to grant the permit thereby giving the applicant an argument at a future date the Council made his signs legal by granting the exception permit. MOTION: Mayor Sheetz moved the sign exception permit be granted with the special condition to be written in by the City Attorney. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) D-7 REQUEST OF CENTRAL COAST SEAFOODS (1001 FRONT STREET) FOR CITY RELIEF FROM AMOUNT OF WATER AND SEWAGE BILLS Mr. Napper stated he recently received a letter from Mr. DeGarimore of Central Coast Seafoods requesting agenda time to seek relief in water and sewer rates for his business at 1001 Front Street. Mr. DeGarimore states the City's rate structure is too excessive for him to profitably survive; and notes he has four businesses connected to one meter requiring him to pay at the high end of the scale. Mr. DeGarimore stated the City's structure is not fair to multi- ple businesses connected to the same meter. He stated the sewer charge is also tied to the amount of water used, and 50% of the water from his fish processing plant does not go into the sewer. He is asking for relief due to the multiple businesses on the meter, and the sewer charge connected to the water usage when a good portion of his water use does not go through the sewer system. Mayor Sheetz asked if his remodelling plans will include separate meters for the various businesses? Mr. DeGarimore said no, not without having to totally demolish the building to re-route lines in the foundation. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 15 Councilmember Odell stated since the problem seems to be meter- ing, he might save money on water bills by spending the money to separate the meters. He could also consider installing a flow meter on the sewage line. Mr. Nichols stated there are sewer meters to measure the flow of water into the sewer system. He noted Mr. DeGarimore also pays a higher sewage bill based on the strength of his sewage, and per- haps a rate can be established on exactly what is put into the system. Mayor Sheetz suggested Mr. DeGarimore work with Mr. Nichols on the options suggested. Councilmember Baker asked if the Finance Director could determine how much water is used in each business so Mr. DeGarimore could tell how much money he would save by installing separate meters. Ms. Burt stated it would be guesswork; fish processing is a high water use, as is the restaurant. Mayor Sheetz opened the hearing to the public; there were no com- ments and the matter was returned to Council. Council direction was for Mr. DeGarimore to work with Mr. Nichols on the suggestions made this evening. C. NEW BUSINESS ��_�liYli�•1��`�L•�F�4II-3�;I�-�S�]�I�_f�C�v.M�+C]>�+J1;��1�1.1�3L�l�l�lfl]� ` Mr. Napper stated Abalone Unlimited Research, current lessee of Lease Site 90/90W, has become chronically past due in their lease payments. A Notice of Default was served on the tenant which resulted in the Addendum to the lease agreement presented this evening. The Addendum contains provisions for late payment penalties and interest provisions, and an attorney's fees clause for prevailing in any litigation. These provisions were not in the old City Lease. The addendum provides past due rents and penalties will be paid by November 15th. MOTION: Councilmember Wuriu moved for the adoption of Resolu- tion No. 128-89. The motion was seconded by Coun- cilmember Lemons and unanimously carried. (5-0) APPROVALOF LEASE AGREEMENT AMENDMENTON SPECIFIC TIMETABLE FOR REPAIR OF REVETMENT AND CODE VIOLA- TIONS (PULLED) No action; item pulled from agenda. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 1989 PAGE 16 Mr. Wolter stated one of the conditions of development for the Bayshore Village condominiums is the creation of a three -acre City park and maintenance of the park by the property owners. This was originally to be conducted through a homeowners associa- tion. However, the Department of Real Estate will not allow this to be accomplished through a homeowners association, and the units cannot be sold until this problem is satisfied. Inland West is requesting the City form an assessment district for the property owners to maintain the park. Mr. Wolter reviewed the legal process to form an assessment dis- trict, and stated the proposed district will only encompass the Bayshore Village project. City forces will be used for the main- tenance work which will be paid by the homeowners through the district. The rough estimated cost is $35.00 per month per con- dominium unit; Council will annually adjust the assessment to actual costs. Mr. Wolter stated 100% of the property owners have requested in writing Council form this district. Inland West has not closed escrow on the rest of the property and is not a prop- erty owner yet; however, they have also requested the district be formed. Staff recommends approval of the request. Mayor Sheetz asked if the assessment district will only encompass the Bayshore Village area and not neighboring properties? Mr. Wolter said yes. Councilmember Odell asked if the City could expand the district at a later date? Mr. Wolter stated they could with proper public notification. Councilmember Odell asked why Council is considering this item before Inland West closes escrow? Mr. Wolter said they are look- ing for direction; if Council indicates they are in favor of this option he will go ahead with his plans. The request is for pre- liminary approval. Councilmember Odell asked if there is a way Council can bind the assessment district within set boundaries to prohibit expansion at a later date? Mr. Skousen said Council cannot prohibit a future Council from expanding the district. Councilmember Wuriu asked what happens if buyers of the units do not agree to the assessment district? Ms. Skousen stated when a buyer purchases the property, he also purchases the assessment. Mr. Napper explained the Department of Real Estate says they were not aware of the requirement for the homeowners to maintain the park and would not have approved the sale of units if they had known about it. They encouraged the developer to find another MINUTES - MORRO BAPCITY COUNCIL • REGULAR MEETING - NOVEMBER 13, 1989 PAGE 17 route to accomplish this task, and this is the option he is suggesting. Councilmember Baker was concerned about the estimated costs. Mr. Wolter stated firm costs will not be available until formation of the district is underway; Council is not approving costs this evening. MOTION: Councilmember Lemons moved staff be directed to com- mence proceedings for the formation of a Landscaping and Lighting Assessment District for Bayshore Village property owners' maintenance of Bayshore Bluffs Park. The motion was seconded by Councilmember Baker and car- ried with Councilmember Odell voting no. (4-1) E. CLOSED SESSION MOTION: Councilmember Odell moved the meeting adjourn to Closed Session. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) Mayor Sheetz announced Council is adjourning to Closed Session in accordance with Government Code Section 54956.9(a), pending liti- gation, in the matters of WOGA vs. City of Morro Bay Case No. 87 05190, U.S. District Court; Donald Pierce vs. City of Morro Bay; and Howard Fordyce vs. City of Morro Bay. The meeting adjourned to Closed Session at 9:46 p.m. and returned to regular session at 10:15 p.m. F. ADJOURNMENT MOTION: Councilmember Wuriu moved the meeting be adjourned. The motion was seconded by Councilmember Odell and unanimously carried. (5-0) The meeting adjourned at 10:15 p.m. Recorded by: 00, ARDITH DAVIS City Clerk 6 -fioon"i /i Cityof Morro Bay y Pq 595 Harbor St. • Mono Bay, CA 93442.805-772-1214 M NOTICE OF ADJOURNMENT NOTICE IS HEREBY GIVEN that the Morro Bay City Council at their meeting of Octobert 30, 1989, adjourned said meeting to November 1, 1989 at 5:00 p.m. in the City Hall Conference Room, 595 Harbor Street, Morro Bay, California. Council will immediately adjourn to Closed Session to consider the following: GOVERNMENT CODE SECTION 54956.8, REAL PROPERTY NEGOTIATIONS A. LEASE SITES 87-88 AND 89; RALPH GUNTHER, LESSEE B. DEN-DULK/COLEMAN DRIVE AREA; MORRO BAY DEVELOPMENT COMPANY DATED: October 31, 1989 i/agen111 CITY HALL 595 Harbor Street HARBOR DEPARTMENT 1275 Embarcadero ARDITH DAVIS,ity Clerk City of Morro Bay, California FIRE DEPARTMENT 715 Ha r Street POLICE DEPARTMENT 850 Mono Bay Blvd. PUBLIC WORKS 695 Harbor Street RECREATION AND PARKS 1001 Kennedy Way MINUTES - MORRO BAY CITY COUNCIL ADJOURNED REGULAR MEETING - NOVEMBER 1, 1989 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Sheetz called the meeting to order at 5:00 p.m. PRESENT: Rose Marie Sheetz Mayor John Baker Councilmember John Lemons Councilmember Jeff Odell Councilmember Tom Wuriu Councilmember ABSENT: None STAFF: Gary Napper Judy Skousen Alan Davis William Farrel Nick Nichols PUBLIC COMMENT None MOTION: Councilmember Lemons moved the Closed Session. The motion Councilmember Baker and unanimously City Administrator City Attorney Harbor Director Community Dev. Dir. Public Works Dir. meeting adjourn to was seconded by carried. (5-0) Mayor Sheetz announced Council is adjourning to Closed Session to discuss real property negotiations in accordance with Government Code Section 54956.8 regarding Lease Sites 87-88 and 89, Ralph Gunther, Lessee; and Den-bulk/Coleman Drive Area, Morro Bay Development Company. Council will also consider personnel matters in accordance with Government Code Section 54957. The meeting adjourned to Closed Session at 5:01 p.m. and returned to regular session at 6:56 p.m. MOTION: Councilmember Baker moved the meeting be adjourned. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) The meeting adjourned at 6:56 p.m. Recorded GARY NAPPER' Deputy City C 0 PqC*y of Morro hay 595 Harbor St. Morro Bay, CA 93442 805-772-1214 NOTICE OF SPECIAL MEETING OF THE CITY COUNCIL OF THE CITY OF MORRO BAY SPECIAL MEETING -- OCTOBER 30, 1989 VETERANS MEMORIAL HALL -- 5:00 P.M. 209 SURF ST., MORRO BAY, CA I, Mayor Rose Marie Sheetz, pursuant to Government Code Section 54956 hereby call a SPECIAL MEETING of the CITY COUNCIL OF THE CITY OF MORRO BAY to be held MONDAY, OCTOBER 30, 1989 at 5:00 p.m. at the VETERANS MEMORIAL HALL located at 209 SURF STREET, MORRO BAY, CALIFORNIA for the purpose of holding a closed session to discuss PERSONNEL pursuant to Government Code Section 54957. DATE: OCTOBER 27, 1989 CITY HALL 595 Harbor Street FIRE DEPARTMENT 715 Harbor Street PUBLIC WORKS 695 Harbor Street HARBOR DEPARTMENT POLICE DEPARTMENT RECREATION AND PARKS 1275 Embarcadero 850 Morro Bay Blvd. 535 Harbor Street MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - OCTOBER 30, 1989 VETERANS MEMORIAL HALL - 5:00 P.M. Mayor Sheetz called the meeting to order at 5:00 p.m. PRESENT: Rose Marie Sheetz Mayor John Baker Councilmember John Lemons Councilmember Jeff Odell Councilmember Tom Wuriu Councilmember ABSENT: None STAFF: Gary Napper City Administrator Judy Skousen City Attorney PUBLIC COMMENTS None MOTION: Councilmember Lemons moved the meeting adjourn to Closed Session. The motion was seconded by Councilmem- ber Wuriu and unanimously carried. (5-0) Mayor Sheetz announced Council is adjourning to Closed Session to consider personnel matters in accordance with Government Code Section 54957. Council adjourned to Closed Session at 5:01 p.m. and returned to regular session at 5:54 p.m. MOTION: Councilmember Lemons moved the meeting be adjourned. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) The meeting adjourned at 5:54 p.m. 0 &W" 3,61 / q 9 1 0 PUBLIC NOTICE NOTICE IS HEREBY GIVEN that the Morro Bay City Council meeting scheduled for 23 October 1989, has been cancelled by order of the Morro Bay City Council and rescheduled to Monday, 30 OCTOBER 1989 at 6:00 p.m. in the Veterans Memorial Hall, 209 Surf Street, Morro Bay. Dated: October 10, 1989 City ARDITH DAVIS, Clerk City of Morro Bay, California 7 City Of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life which we all enjoy. We are committed to this purpose and will provide a level of municipal service consistent and responsive to our public and its needs. REGULAR MEETING - OCTOBER 30, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL INVOCATION PLEDGE OF ALLEGIANCE PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearings items under Section D) may do so by standing. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should normally be limited to three minutes. DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the fol- lowing actions are approved without discussion. A-1 CITY COUNCIL MINUTES OF'THE REGULAR MEETING OF OCTOBER 9, 1989 A-2 RESOLUTION NO. 122-89 REJECTING OFFER OF DEDICATION OF PUBLIC UTILITY EASEMENTS OFFERED THROUGH PARCEL MAP MBAL 88-071 (EAST OF IRONWOOD AVENUE, NORTH OF HIGHWAY 41; R.L. FISHER CONSTRUCTION CO.) A-3 STATEMENT OF INVESTMENTS - SEPTEMBER 1989 A-4 EXPENDITURE REPORT - SEPTEMBER 1989 A-5 RESOLUTION NO. 121-89 PROHIBITING ON -STREET PARKING ON A PORTION OF MAIN STREET NORTH OF BEACH STREET INTERSECTION (1121 MAIN STREET, SOUTH -BOUND) A-6 RESOLUTION NO. 123-89 APPROVING CENTRAL COAST CITIES SELF-INSURANCE FUND JOINT POWERS AUTHORITY AGREEMENT AND BYLAWS A-7 REJECTION OF LIABILITY CLAIM AGAINST THE CITY (WILSON) A-8 RESOLUTION NO. 127-89 AMENDING RESOLUTION NO. 34-83, PERSONNEL RULES AND REGULATIONS, ENHANCING EMPLOYEE FAMILY SICK LEAVE AND BEREAVEMENT LEAVE BENEFITS 1 0 0 B-1 STREET ADVISORY COMMITTEE'S RECOMMENDATIONS TO INITIATE PRELIMINARY PROJECT MEASURES FOR CONSTRUCTION AND RE —ALIGNMENT OF NORTH MAIN STREET/RADCLIFFE AVENUE INTERSECTION B-2 WATER ADVISORY BOARD RECOMMENDATIONS REGARDING SOURCES OF NEW REVENUE TO FINANCE NEW WATER PROJECTS FOR MORRO BAY C. NEW BUSINESS C-1 RESOLUTION NO. 124-89 APPROVING ASSIGNMENT OF SUBLEASE FROM M/M HOBBS TO M/M HOPPE (DBA SHOREBIRD RESTAURANT) ON PORTION OF LEASE SITE 93- 95W (901 EMBARCADERO) C-2 RESOLUTION NO. 125-89 APPROVING ASSIGNMENT OF LEASE SITE 82-85W FROM ROSE'S LANDING, INC. TO DOUGLASS REDICAN, PAUL SANFORD, AND JOHN KING; AND, APPROVAL OF SUB —LEASE BACK TO ROSE'S LANDING, INC. C-3 REQUEST FOR APPOINTMENT OF TWO CITY COUNCILMEMBERS TO COUNTYWIDE TRANSPORTATION FUNDING TASK FORCE C-4 CONSIDERATION OF ALTERNATE PIER DESIGN STUDY AND HARBOR ADVISORY BOARD RECOMMENDATION FOR RECONSTRUCTION OF SOUTH T—PIER, AND DETERMINATION OF FUNDING TO COMMENCE PROJECT ENGINEERING AND DESIGN �"o D-1 CONTINUED PUBLIC HEARING ON CASE NO. LUP/ZOA 05-89 AMENDING LAND USE PLAN AND ZONING PORTIONS OF THE CERTIFIED LOCAL COASTAL PROGRAM TO MAKE A SMALL INCREASE IN THE DEVELOPABLE AREA OF THE PROPERTY TO PRO— VIDE GREATER FLEXIBILITY IN DEVELOPMENT STANDARDS; RESOLUTION NO. 126- 89 ANNOUNCING FINDINGS AND APPROVING AN AMENDMENT TO THE GENERAL PLAN/LOCAL COASTAL PROGRAM AND INTRODUCTION OF ORDINANCE NO. 363 AMENDING SECTION 17 OF THE MORRO BAY MUNICIPAL CODE, ZONING ORDINANCE (KEYOTO—NATALIE, INC., APPLICANT) D-2 ORDINANCE NO. 364 ADDING CERTAIN SECTIONS TO TITLE 14 OF THE MORRO BAY MUNICIPAL CODE WHICH AMENDS THE 1988 UNIFORM PLUMBING CODE AND THE 1988 UNIFORM MECHANICAL CODE TO REQUIRE ANCHORAGE OF EXISTING WATER HEATERS (INTRODUCTION AND FIRST READING) D-3 CONTINUED CONSIDERATION OF MORRO BAY MARINA, INC.'S REQUEST TO RETROFIT CITY PARKLANDS FOR WATERMAN CENTER EMBARCADERO PROJECT WATER EQUIVALENCIES E. CLOSED SESSION E-1 GOVERNMENT CODE SECTION 54956.8, REAL PROPERTY NEGOTIATIONS A. LEASE SITES 87-88 AND 89; RALPH GUNTHER, LESSEE B. DEN—DULK/COLEMAN DRIVE AREA; MORRO BAY DEVELOPMENT COMPANY E-2 GOVERNMENT CODE SECTION 54957, PERSONNEL 2 11 F COPIES OF STAFF REPORTS OR OTHER RELATING TO EACH ITEM OF BUSINESS AGENDA ARE ON FILE IN THE OFFICE AVAILABLE FOR PUBLIC INSPECTION COST. i/agen1030 PUBLIC DOCUMENTATION REFERRED TO ON THIS F THE CITY CLERK AND AND REPRODUCTION AT 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Sheetz called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: Rose Marie Sheetz. Mayor John Baker Councilmember John Lemons Councilmember Tom Wuriu Councilmember ABSENT: Jeff Odell STAFF: Gary Napper Judy Skousen Louise Burt Alan Davis Ardith Davis William Farrel Forrest Henderson Dave Howell Nick Nichols Steve Wolter Councilmember City Administrator City Attorney Finance Director Harbor Director City Clerk Community Dev. Dir. Asst. City Admin. Police Chief Public Works Dir. Rec. & Parks Dir. Lance Poldberg, Calvary Lutheran Church, gave the invocation, and Horace Strong led the Pledge of Allegiance. Councilmember Lemons commented earlier this evening, a report was received by Council from the City Council Sub -committee investi- gating allegations made by Water Engineer, Dave Norton. MOTION: Councilmember Lemons moved that the Council determine by 4/5th vote that because three Councilmembers were prevented from reviewing that report or from reviewing the written materials given to the sub -committee and also prevented from reviewing the tapes of the hearing until after the agenda for this meeting had been pre- pared, this matter shall be placed on the agenda for tonight's meeting as Unfinished Business. The motion was seconded by Councilmember Wuriu and unanimously carried. (4-0) Mayor Sheetz announced Council held a Closed Session prior to this meeting to receive the Sub -committee's report concerning Dave Norton's accusations about Mr. Napper, Mr. Nichols and/or others acting in an improper manner so as to intentionally delay or prevent the successful development of certain water projects for the City of Morro Bay. She stated after discussing the 0 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 PAGE 2 report Council approved the following motion, based upon the Sub - Committee's findings: I move that the Council herewith finds and determines that such allegations are false and, further, that the Council does re -affirm its previous expression of con- fidence in both Mr. Napper and Mr. Nichols. PUBLIC COMMENT 1. Robert Lane, 175 Tahiti, stated he is speaking as mem- ber of an ad -hoc committee reviewing Water Engineer Norton's allegations that City staff and Councilmembers have aborted Norton's efforts to develop local sources of new water and switched priority to the State Water Project. He objected to the way the Council has handled this investigation including Council issuing a statement declaring the accused parties innocent before conducting an investigation, and holding closed meetings when public meetings were requested. He stated Dave Norton has sup- plied Mr. Lane's group with his complete file in this matter, and requested Council appoint Mr. Lane's committee to conduct inde- pendent open meetings to investigate Mr. Norton's charges and evidence. He said they will not involve City staff or request funds, and they will employ an attorney to protect all rights. Mayor Sheetz stated she will discuss the offer with Council and the City Attorney after this meeting. Mr. Lane noted the offer remains on the table. 2. Warren Dorn, 212 Beach Street, encouraged Council to work with Peter Grenell of the Coastal Conservancy, State Parks and Recreation, and Assemblyman Costa to ensure AB 145 is on the June 1990 ballot. This is a bond issue which contains $850 million in it presently; this amount could be changed. Accessing these funds by the City could possibly allow the public purchase of the VRM property north of the High School. 3. Bruce Risley, 540 Piney Way, stated Civic Action League wrote to Council in August requesting a public investigation into charges at least one Councilman and some staff people have inter- fered with and delayed the search for a supplemental local water supply acquisition. He was asked by the City Attorney to testify before the Sub -committee, but would not do so because the hear- ings were closed. He stated a true, fair and open investigation is needed. Mr. Risley also stated Councilmember Lemons, while serving on the Council and representing the City on water matters elsewhere, received from $10,000 to $100,000 per year from the California Precast Concrete Pipe Association. 4. Howard Gaines, 441 Orcas, agreed with the comments made by Mr. Lane. He believes the entire Council represents special interests, and stated the Dave Norton matter is a cover-up simi- 0 • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 PAGE 3 lar to Watergate. He accused Council of plotting behind closed doors to get rid of Dave Norton. 5. Ray Kaltenbach stated he was on the Council that hired Dave Norton. He objected to everything being kept secret and stated everyone should be recalled. 6. Joe Giannini stated he has been contacted by 8 to 10 people regarding this matter. He believes it is a question of fairness and referred Council to the Government Code regarding closed sessions and the employee's right to a public hearing. Mayor Sheetz asked the City Attorney to clarify the employee grievance procedures. Ms. Skousen stated if any action is to be taken regarding Mr. Norton, he would be entitled to a public hearing; no action or discussion about Dave Norton has been dis- cussed in the hearings. The Sub -Committee has not been investi- gating Dave Norton's job performance; the Sub -Committee inter- views were to determine if allegations made by Dave Norton about City water projects were true. 8. Mary Phillips, Ironwood, stated the State Water Project has been on her property tax bill since 1960 and it still is not a reality. She stated the investigation into Mr. Norton's alle- gations should have been conducted by an outside group. DECLARATION OF FUTURE AGENDA ITEMS None A. CONSENT CALENDAR A-1 CITY COUNCIL MINUTES OF *THE REGULAR MEETING OF OCTOBER 9. 1989 Mr. Napper recommended Council approve the minutes as submitted. A-2 RESOLUTION NO, 122-89 REJECTING OFFER OF DEDICATION OF PUBLIC UTILITY EASEMENTS OFFERED THROUGH PARCEL MAP MBAL 88- 071 (EAST OF IRONWOOD AVENUE, NORTH OF HIGHWAY 41: R.L. FISHER CONSTRUCTION CO.) Mr. Napper recommended Council adopt Resolution No. 122-89. Councilmember Baker asked if it will cost the City money to re- acquire these easements if needed in the future? Mr. Nichols stated the City is not giving up anything it needs now or later, and the easements can be accepted in the future if necessary. A-3 STATEMENT OF INVESTMENTS - SEPTEMBER 1989 Mr. Napper recommended Council accept the Statement for file. i • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 PAGE 4 A-4 EXPENDITURE REPORT - SEPTEMBER 1989 Mr. Napper recommended Council approve the Report as submitted. A-5 RESOLUTION NO. 121=89 PROHIBITING ON -STREET PARKING ON A PORTION OF MAIN STREET NORTH OF BEACH STREET INTERSECTION (1121 MAIN STREET, SOUTH -BOUND) Mr. Napper recommended Council adopt Resolution No. 121-89. A-6 RESOLUTION NO. 123-89 APPROVING CENTRAL COAST CITIES SELF- INSURANCE FUND JOINT POWERS AUTHORITY AGREEMENT AND BYLAWS Mr. Napper recommended Council adopt Resolution No. 123-89. A-7 REJECTION OF CLAIM AGAINST THE CITY - WILSON Mr. Napper recommended Council deny the claim, and authorize the City Clerk to sign and mail the rejection notice. A-8 RESOLUTION NO, 127-89 AMENDING RESOLUTION NO. 34-83, PERSONNEL RULES AND REGULATIONS, ENHANCING EMPLOYEE FAMILY SICK LEAVE AND BEREAVEMENT LEAVE BENEFITS Mr. Napper recommended Council adopt Resolution No. 127-89. MOTION: Councilmember Wuriu moved for the approval of the Con- sent Calendar as recommended by the City Administrator. The motion was seconded by Councilmember Lemons and unanimously carried. (4-0) B. UNFINISHED BUSINESS B-1 STREET ADVISORY COMMITTEE'S RECOMMENDATIONS TO INITIATE PRE- LIMINARY PROJECT MEASURES FOR CONSTRUCTION AND RE -ALIGNMENT OF NORTH MAIN STREET/RADCLIFFE AVENUE INTERSECTION Mr. Nichols stated Council recently approved a Street Advisory Committee (SAC) recommendation to designate the realignment of the Main/Radcliffe intersection as the City's next major traffic circulation project. Although money for this project will not be available for a number of years, SAC believes there are things which should be done now. They recommend staff be directed to consult with P.G.&E. to determine the best location of the inter- section realignment, prepare the procedures and documents for Council to establish an official "Plan Line", and obtain the per- mits to begin storing fill material from the pipeline replacement project on the City -owned property in the project area. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 PAGE 5 Mr. Nichols stated staff has no objections to the recommenda- tions; they will have to be scheduled into existing workloads and accomplished as time permits. Mayor Sheetz stated she has received information from people who live in the Harbor Tract about concerns there is no secondary access/exit from their area; these concerns arose as a result of the recent San Francisco earthquake. She asked if this project would alleviate that situation? Mr. Nichols said the proposed realignment will not provide an additional ingress/egress route for the Harbor Tract. Councilmember Wuriu asked what the legal status of a "Plan Line" is if P.G.&E. decides they want to develop their property? Mr. Nichols stated it gives the City the ability to require condi- tions on the development of the property for the street realignment. Mayor Sheetz suggested sending the second access question for the Harbor Tract back to SAC; perhaps Neighborhood Watch could be instrumental in contacting people in the area to meet with SAC concerning this matter. Councilmember Lemons agreed. Al Paul, SAC member, encouraged Council to take action on SAC's request this evening rather than delaying the matter because of this access question. Mayor Sheetz stated that was not the intent; Council is asking SAC to look into another access with the neighborhood as a separate issue. MOTION: Councilmember Lemons moved Council accept the Street Advisory Committee's suggestions on preliminary imple- mentation of this street and intersection realignment project, and instruct Administration to proceed in a timely fashion. The motion was seconded by Councilmem- ber Wuriu and unanimously carried. (4-0) B-2 WATER ADVISORY BOARD RECOMMENDATIONS REGARDING SOURCES OF NEW REVENUE TO FINANCE NEW WATER PROJECTS FOR MORRO BAY Mr. Nichols reviewed previous Council and Water Advisory Board (WAB) action concerning the water funding program. Latest Coun- cil direction was for WAB to meet with the Motel, Hotel and Restaurant Association to discuss alternatives to the WAB sugges- tion of increase the transient occupancy tax by 2% (total 10%) to raise $220,000 to fund new water projects. The WAB has provided alternatives for Council consideration; however, they are not recommending a preferred alternative. The Hotel Association recommends the transient occupancy tax not be increased, but the $220,000 be raised by increasing the basic meter charge to $7.50 per month and increasing the new rate structure by 10%. 6 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 PAGE 6 Mr. Nichols requested Council provide policy direction on this item; staff will return at a subsequent meeting with enabling documents. He noted this program does not provide funding for the San Bernardo/Coastal Streams Phase II program; WAB is working on that matter and will provide recommendations at a later date. Councilmember Wuriu asked if the water rate increase contained in the WAB recommendation is an increase over the one approved by Council in July of this year? Mr. Nichols stated there is no relationship; the WAB recommendation is a different structure, and it will replace the existing one. Ed Biaggini, President of the Motel Association, encouraged Council to approve their proposal for raising revenue without increasing the Transit Occupancy Tax; this proposal has also been endorsed by the Chamber of Commerce. The Association realizes they need to pay their share, and believes their proposal raises more revenue than would be realized by increasing the transient occupancy tax. Councilmember Lemons stated there are a number of meters in Morro Bay connected to multiple units (RV parks; mobilehome parks; apartment houses, day care facilities). Because the multiple units are connected to one meter, the usage on the one meter is very high reflecting the City's sliding scale of rates to pay increased rates for higher water use; a tenant in an apartment house, if you divide the rate by the number of units, is paying more for his/her incremental use than they would if they had their own water meter. He asked if it would be possible to divide the total water usage by the number of units and charge the City's rate for that amount and then multiply it times the number of units so the cost per unit comes out the same as a single family dwelling? Ms. Burt stated there is an offset in the sewer rate for mobile - home parks and apartments; they do not pay a single minimum for every sewer connection. Although they pay higher per unit on water, the sewer fee does create an offset. Councilmember Lemons asked if it would be possible for the Finance Department to prepare an analysis of this for Council to review? Ms. Burt stated they could to the degree they have information on the number of units in each apartment house, mobilehome park, and resthome. Mr. Napper asked if Council also wanted to factor -in the proposed basic per meter charge applied to single family dwellings? It might affect the analysis. Coun- cilmember Lemons stated that could be included the analysis. Mayor Sheetz stated Council will now consider Public Hearing items as it is near 7PM; Council will return to Item B-2 after the public hearings. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 PAGE 7 D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 CONTINUED PUBLIC HEARING ON CASE NO. LUP/ZOA 05-89 AMENDING LAND USE PLAN AND ZONING PORTIONS OF THE CERTIFIED LOCAL COASTAL PROGRAM TO MAKE A SMALL INCREASE IN THE DEVELOPABLE AREA OF THE PROPERTY TO PROVIDE GREATER FLEXIBILITY IN DEVELOPMENT STANDARDS; RESOLUTION NO. 126-89 ANNOUNCING FINDINGS AND APPROVING AN AMENDMENT TO THE GENERAL PLAN/ LOCAL COASTAL PROGRAM AND INTRODUCTION OF ORDINANCE NO, 363 AMENDING SECTION 17 OF THE MORRO BAY MUNICIPAL CODE, ZONING ORDINANCE (KEYOTO-NATALIE, INC.. APPLICANT) Mr. Farrel stated the required six week public review period on this item has concluded; written comments were received from the Morro Coast Audubon Society, the State Department of Parks and Recreation, and the applicant's representative, RRM Design Group. Mr. Farrel reviewed the concerns of the Morro Coast Audubon Soci- ety, Inc. regarding a possible unrecognized wetlands area near the southerly portion of the property, the need for stringent control of beach access to protect the snowy plovers, and the need for financing to manage and protect the open space areas. Mr. Farrel stated these concerns will be addressed when a devel- opment project is reviewed; he noted the wetlands being refer- enced is actually drainage from the adjacent high school property. The State Department of Parks and Recreation recommends against approval of the zoning amendment. Mr. Farrel reviewed the spe- cific concerns and said the State Department of Parks and Recre- ation notes the sensitivity of the site and its recreational importance. Mr. Farrel suggested full protection of this site can only be possible through acquisition of the property; the State has not committed funding to accomplish this task, their comments are not surprising or new, and staff disagrees with them. Mr. Farrel distributed two letters received this evening from RRM Design Group responding to these comments. He said in totality, the comments received are limited and not of the kind to keep Council from taking action on the amendment as submitted. Mayor Sheetz opened the hearing to the public for comments. She emphasized the Council is not approving buildings on the prop- erty; the action under consideration is zoning and Local Coastal Program amendments. Vic Montgomery, RRM Design Group and applicant representative, stated the wetlands area of concern to the Audubon Society is not a subject of this amendment; it is the High School property drainage area and Highway 1 culvert drainage. The water appears 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 PAGE 8 in a shallow spot in the ditch and is also excess irrigation water from the High School. He reviewed his response to the State Department of Parks and Recreation letter noting construc- tion next to environmentally sensitive areas is not affected by the proposed amendment. Anne Freeman, 785 Cabrillo, stated the Council has been reminded by the City Administrator and City Attorney not one word of the amendment can be changed; therefore, she does not believe the public interest is being served. She said Mr. Farrel did not mention the comment in the letter from the State Parks and Recre- ation that desalinization plant pipelines will not be allowed in their dunes; consequently, what is the purpose to the additional development standards if a desal plant will not be allowed? Katherine Walling, Piney Way, stated there needs to be better planning for the City; all of the Embarcadero, some parking lots and the highway are built on fill land. This causes problems with sinking and when there are earthquakes. She said it is time to study the hazards of building on fill land, such as this property. Ray Kaltenbach, Sicily Street, said during the heavy storms of 1982-83 this area was flooded up to the highway; how is the area going to be built-up to avoid this flooding? Mayor Sheetz closed the hearing to the public. Mayor Sheetz asked if the wetlands area was not visible prior to this time because of a lack of rain? Mr. Farrel stated because the property belongs to the high school and not the Cloisters developer, the area is not under consideration and had not been looked at by the City. Mr. Napper stated the Council does indeed have options; it does not have to approve the applicant's request. He previously advised Council if they change they proposed amendment, it could jeopardize the settlement agreement reached in the Keyoto-Natalie litigation. However, the Council is not required to approve the Resolution and Ordinance being submitted. Mayor Sheetz asked how much has been spent on litigation in rela- tion to this matter? Mr. Napper said approximately $114,000 to $140,000. MOTION: Councilmember Lemons moved for the adoption of Resolu- tion No. 126-89. The motion was seconded by Coun- cilmember Baker. Councilmember Baker questioned the comments made by Ms. Walling concerning fill. Mr. Nichols stated most of the Embarcadero was built on dredge fill; he also discussed other areas where fill 0 6 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 PAGE 9 may have been used to either level a site or raise the elevation to the 100-year flood plain. Ray Kaltenbach commented there used to be a fresh water lake by the High School; he has pictures of it. Mr. Nichols noted fill was brought in for the High School building site. The motion was unanimously carried. (4-0) MOTION: Councilmember Lemons moved Ordinance No. 363 be read by title and number only. The motion was seconded by Councilmember Baker and unanimously carried. (4-0) Mr. Napper read Ordinance No. 363 by title and number only. MOTION: Councilmember Lemons moved for introduction and approval of the first reading of Ordinance No. 363. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) • • ' • _ � :� _ • • • ••��t:Ffl�y�[•3�1F�•]2��K!i!IF4Y+�?iSi1�4P.1_ r•::• •• ._ :_v �• •w • .• - Mr. Farrel stated this item is presented to Council at the request of Councilmember Lemons. It is timely because of the recent earthquake in San Francisco. During earthquakes it is possible for gas water heaters to overturn causing natural gas to spill and become ignited by the pilot light which can lead to fire and property damage. The Uniform Mechanical Code requires new water heaters having non -rigid water pipe connections and over four feet tall be properly anchored to prevent this from happening; the proposed Ordinance would make this a retroactive requirement for all water heaters. He noted the cost for doing this work is approximately $8.00 for parts; a contractor will charge $18.00 to $38.00 to anchor the water heater. Staff is suggesting a 90-day time period for compliance. Mayor Sheetz opened the hearing to the public for comments. Ray Kaltenbach, Sicily Street, asked if the walls crumble during an earthquake, wouldn't the water heater also fall? Mr. Farrel stated yes, however, sometimes the heaters fall and the walls do not. Mayor Sheetz closed the hearing to the public. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 PAGE 10 Councilmember Baker stated he is in favor of anything that will prevent fires; however, his experience is frame buildings do not topple during an earthquake. He has studied fires and their causes for years, and does not know of one case where a water heater fell during an earthquake. He said water pipes at the top of a water heater are strapped to the wall and anchored; they are not going to fall unless the building topples. He said the one major structure fire in San Francisco was on fill land. Coun- cilmember Baker also believed the Ordinance to be unfair to the senior population; most of them will have to contract for this work, which they can ill afford, and face a fine if they do not. Councilmember Wuriu agreed with Councilmember Baker; he said there have been no events to indicate this action is badly needed, and he does not like the violation penalties. Councilmember Lemons disagreed. He said water heaters do fall; one reason is the spindly legs they rest on. He believes anchor- ing water heaters is necessary, and is a very cheap insurance policy. Mayor Sheetz stated it is hard to support an ordinance that can- not be enforced; staff time is not available to make sure every home in Morro Bay complies. She believes older homes do have the rigid pipes to ensure proper anchorage. MOTION: Councilmember Lemons moved Ordinance No. 364 be read by title and number only. The motion died for lack of a second. D-3 CONTINUED CONSIDERATION OF MORRO BAY MARINA. INC.'S REQUEST TO RETROFIT CITY PARKLANDS FOR WATERMAN CENTER EMBARCADERO PROJECT WATER EQUIVALENCIES Mr. Wolter noted this item is continued from Council's last meet- ing for staff to develop costs for retrofitting City parks and details on administration of the program. He explained the new technology and systems available for park irrigation noting the savings anticipated at each park after retrofitting. Mr. Wolter stated it appears 20 water equivalencies will be required for future development of City parks (Tidelands Park, Recreational Phase and Phase II; Centennial Parkway; Embarcadero/Morro Rock). Mr. Wolter estimates a cost of $56,360 to retrofit all current parks. He explained current regulations require any private development to pay a "hook-up" fee in the amount of $3,575 per water equivalency; this pays for a portion of the existing water system and future system improvements. If a developer retrofits himself, the cost is reduced $2,050 which is the average cost of retrofitting. He recommended Council approve a program to retrofit City parks reserving 20 water equivalencies for the r MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 PAGE 11 City's future park needs, and allowing 22 equivalencies to be available for private developers at the "hook-up" fee of $3,575 per water equivalency. Mayor Sheetz opened the hearing to the public for comments. Stan Trapp, Waterman Center representative, stated his original proposal was to spend $3,600 retrofitting Keiser Park; now he is excepted to pay $47,000 to get the same equivalencies. He said the City has a policy of first -come, first -served with regard to retrofitting City facilities; he should be allowed to choose which park he wants to retrofit. In light of Council's previous decision on parking costs and this proposed charge for water equivalencies, Mr. Trapp stated he is ready to recommend against this project to the family he represents. He said this is the final straw and he needs relief. Howard Gaines, Orcas Street, stated a developer retrofitting City property is highly unethical and discriminates against the owner/builder; the City should do the retrofitting and let the benefits go back to the people. Ray Kaltenbach, Sicily Street, stated the City should retrofit the parks; it is not fair to ask the public to save water and then award this water to a developer. It has never been proven that retrofitting works. Peter Diffley, 960 Anchor, agreed the City should do the retrofitting of City parks themselves. He said it is clear the proposal is to advance the success of this particular project sooner; he believes they should get in line like everyone else. Frank St. Denis, sublessee on Morro Bay Marina, Inc. lease prop- erty, stated the buildings on this lease are very old and decrepit. He believes Mr. Trapp has made numerous concessions to keep this project going, and he is appalled at the anti -business atmosphere in this community. Mary Phillips, Ironwood, stated she has saved water in the past, but her water bill will be going up; she is going to live like a human being and re-establish her flower garden. Mayor Sheetz closed the hearing to the public. Mayor Sheetz asked why the City has not retrofitted these parks previously? Mr. Wolter stated it was placed in last year's budget in the amount of $60,000, but higher priorities eliminated it. Mr. Wolter pointed out if Mr. Trapp had been able to find enough homes to retrofit, he would have had to pay $3,375 or $1,525 plus retrofitting for his equivalencies. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 PAGE 12 Councilmember Lemons agrees the City should retrofit the parks. The choice is to appropriate $56,000 for this purpose and increase the water rates enough to raise $56,000, or, the City can allow a developer to retrofit one of the parks. Why should the City care what it costs to do that? Mr. Wolter stated in that case, staff would recommend no developer be allowed to retrofit Keiser and Monte Young Parks; those should be retained for the City because they are the least expensive to retrofit. A developer could be allowed to retrofit Del Mar Park which is con- siderably more expensive; he believed it is appropriate for the taxpayer to pay the least amount in retrofitting the parks. Councilmember Lemons stated Mr. Trapp came up with the idea of doing a specific project with specific technology which no one else had thought of; he should benefit from this, as will the City. Councilmember Wuriu asked which came first, the City's proposal to retrofit parks, or Mr. Trapp's? Mr. Wolter stated the spe- cific proposal to retrofit Keiser Park was originated by Mr. Trapp. The suggestion to retrofit all City parks originated last November in a Parks and Recreation work document which contains a proposal to place computer irrigation devices in all parks. Mr. Napper noted this is a project which can possibly be funded during the mid -year budget review. Mayor Sheetz stated she would rather allocate monies to street projects, and allow someone else to retrofit the parks, and save taxpayers' monies. Councilmember Baker asked if Mr. Trapp obtained his equivalencies by retrofitting homes, would the cost to him be approximately the amount set by staff for retrofitting City parks? Mr. Wolter stated yes. MOTION: Councilmember Baker moved Council approve the Parks Irrigation Retrofit Program as outlined by staff, ear- mark 13.26 water equivalencies saved by this Program for the Waterman center at $3,575 per equivalency, and authorize staff to design and prepare a construction bid package for installation of water -saving irrigation systems in City parks. The motion was seconded by Councilmember Wuriu and carried on the following vote: AYES: Baker, Wuriu, Sheetz NOES: Lemons ABSENT: Odell Mayor Sheetz clarified earlier instructions to the Street Advi- sory Committee they are also to work with Neighborhood Watch and the residents of the Harbor Tract concerning a secondary access. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 PAGE 13 Council recessed from 8:35 p.m. to 8:50 p.m. B-2 WATER ADVISORY BOARD RECOMMENDATIONS REGARDING SOURCES OF NEW REVENUE TO FINANCE NEW WATER PROJECTS FOR MORRO BAY (cont.) MOTION: Councilmember Lemons moved this item be continued to the next meeting. The motion was seconded by Coun- cilmember Wuriu and unanimously carried. (4-0) • _ �I��I�Id 41�4i�i�� lY•]li��•L•].�U• �ICI�RUC��-I@- _�CK,7�4 _C Councilmember Wuriu reported on this item detailing the amount of work and time the Sub -Committee spent on this investigation, and the numerous people they talked to. They followed the City Council's instructions to limit the investigation to the allega- tions made by Dave Norton that people were trying to stop his efforts to obtain new sources of water. The Subcommittee con- cluded there were no efforts by City officials to sabotage any water efforts of the City. They found personnel problems they could not get into because of the limited scope of their investi- gation. Councilmember Wuriu stated if there were deliberate efforts to slow -down or sabotage water efforts, the Subcommittee was unable to find evidence confirming such. MOTION: Councilmember Lemons moved the report be received and filed. SUBSTITUTE Councilmember Wuriu moved the report be accepted MOTION: by Council and made public. The motion was seconded by Councilmember Baker. Councilmember Lemons said it was a redundant motion to make the report public since the item is automatically public by being on the Unfinished Business portion of the agenda; and, from testi- mony this evening, it is apparent Mr. Norton has already fur- nished certain individuals in the community with his written tes- timony. Therefore, the whole thing is public. Ms. Skousen stated at the time the Council receives the report at a public meeting, the item becomes a public document. Mayor Sheetz asked Councilmember Wuriu to restate his motion. MOTION: Councilmember Wuriu moved the report of the Subcommit- tee be accepted by Council. The motion was seconded by Councilmember Baker. Councilmember Lemons stated he did not want to vote in favor of a motion that implies approval of the Subcommittee's report; he has some disagreement with it. He asked if "accepted" meant MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 PAGE 14 "approved"? Councilmember Wuriu said he would hope Council would approve, but he meant accepted. Councilmember Lemons said he would accept it for the purposes of filing, but categorically stated there are sentences in the report with which he does not agree, and language that should be added to it. The motion was amended to state Council accepts the report for file. The motion was unanimously carried. (4-0) C-1 RESOLUTION NO. 124-89 APPROVING ASSIGNMENT OF SUBLEASE FROM M/M HOBBS TO M/M HOPPE (DBA SHOREBIRD RESTAURANT) ON PORTION OF LEASE SITE 93-95W (901 EMBARCADERO) Mr. Davis reviewed the request for assignment of a sublease on Lease Site 93-95W; he noted an amendment to the Resolution to include the name of Barbara J. Hobbs as one of the assignors. MOTION: Councilmember Wuriu moved for the adoption of Resolu- tion No. 124-89 as amended. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) RESOLUTION NO. 125-89 APPROVINGASSIGNMENT OF ROSE'S85W FROM ROSE'S LANDING, INC. TO DOUGLASS REDICAN, PAUL BACK TO . LANDING, _ Mr. Davis stated this assignment request from a corporation to individuals and back again to the corporation is due to a reorga- nization of the corporation ownership. MOTION: Councilmember Lemons moved for the adoption of Resolu- tion No. 125-89. The motion was seconded by Coun- cilmember Wuriu and unanimously carried. (4-0) C-3 REQUEST FOR APPOINTMENT OF TWO CITY COUNCILMEMBERS TO COUNTYWIDE TRANSPORTATION FUNDING TASK FORCE Mr. Napper stated the San Luis Obispo Area Coordinating Council is giving consideration to possibly raising additional revenues for transportation projects. State legislation authorizes coun- ties to raise taxes by 1% for this purpose; any sales tax increases must be presented to the public for vote. The purpose of the Transportation Funding Task Force is to assist in identi- fying local projects for funding and recommend how additional sales tax revenues should be distributed. The Area Council requests each city select two elected officials to represent them on the Task Force. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 30, 1989 PAGE 15 Mayor Sheetz stated an increase in taxes will be not be passed easily; the key is to determine projects the citizenry are inter- ested in and willing to support. Councilmember Lemons suggested Councilmembers Odell and Wuriu be appointed to the committee. Mayor Sheetz stated Councilmember Odell had requested he be relieved of his duties on the Area Council recently and does not believe he will want to be on this committee. She said she would volunteer for the position. MOTION: Councilmember Lemons moved Councilmember Wuriu and Mayor Sheetz be appointed to the Transportation Funding Task Force. The motion was seconded by Councilmember Baker and unanimously carried. (4-0) Mr. Nichols stated after the disastrous fire that destroyed the City's South T-Pier last December, Council directed staff to evaluate reconstruction. Fred Schott, a structural engineer, was retained to analyze alternative methods and costs to replace the Pier. That report has been provided to Council and to the Harbor Advisory Board (HAB). The HAB recommends the Pier be recon- structed in its previous location and configuration using non- flammable materials such as the concrete and steel options sug- gested in the report by Schott & Associates. They also recommend the City proceed with the project as soon as possible in order to restore the facility to the boating community. Staff estimates one year to prepare the engineering design and environmental permit documents at an estimated cost of $114,000. Since there are no funds budgeted for this project, the City Administrator recommends Council approve appropriating funds from the Harbor Department Dredge Fund ($80,000) to temporarily fund this project. Councilmember Lemons asked if the project will require a full EIR since the recommendation is to reconstruct the Pier in its prior configuration? Mr. Nichols stated the estimate is for budgetary purposes; he hopes the project will receive a Negative Declaration. Mayor Sheetz asked how long it would be before the dredge funds will be needed? Mr. Napper estimated the Fall of 1990. Mayor Sheetz commented Council could possibly allocate monies back into this account during the mid -year budget review. Councilmember Baker remembered it was stated at one point most of the original pilings could be reused. Mr. Schott explained they originally determined approximately could be saved; however, on closer they only have a life expectancy of makes sense to replace them now reconstructed. Councilmember Baker asked about ti wooden fender pilings on the pier. fenders would damage boats more than commented he would prefer it if the out any wood pilings. 10% to 15! inspection to 10 yea while the recommendation to Mr. Nichols stated ood. Councilmember :r could be designed Councilmember Lemons moved Council direct the South T- Pier be rebuilt in a T-configuration using concrete decking and steel piles; and, that construction design of the T-Pier project be immediately commenced by real- locating $80,000 from the Harbor Dredge Reserve Account to the South T-Pier Reconstruction Account. The motion was seconded by Mayor Sheetz and unanimously carried. CLOSED SESSION Councilmember Session. The unanimously c< ved the meeting was seconded by (4-0) adjourn to Closed Mayor Sheetz and Mayor Sheetz announced the meeting is adjourning to Closed sion to consider real property negotiations in accordance Government code Section 54956.8 regarding Lease Sites 87-88 89 (Ralph Gunther, Lessee); and Den-Dulk/Coleman Drive (Morro Bay Development Company). discussion, Council agreed to postpone the Closed to an adjourned meeting on Wednesday, November 1, ,m. in the City Hall Conference Room. Councilmember Baker moved November 1, 1989 at 5:00 p.m. ence Room for the purpose c Session items. The motion was Wuriu and unanimously carried ARDITH DAVIS City Clerk :he meeting adjourn to in the City Hall Confer - considering the Closed seconded by Councilmember (4-0) i C ccto2te-L 91 11997 6 City Of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life which we all enjoy. We are committed to this purpose and will provide a level of municipal service consistent and responsive to our public and its needs. REGULAR MEETING - OCTOBER 9, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL INVOCATION PLEDGE OF ALLEGIANCE - MOST VALUABLE EMPLOYEE, JULY-OCTOBER, 1989 (PENNIE OAKS) PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearings items under Section D) may do so by standing. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should normally be limited to three minutes. DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES OF THE REGULAR MEETING OF SEPTEMBER 25, 1989 A-2 PROCLAMATION DECLARING OCTOBER 22-29, 1989 AS "RED RIBBON WEEK" A-3 PROCLAMATION DECLARING NOVEMBER 1989 AS "HOSPICE MONTHn A-4 NOTICE OF COMPLETION FOR PROJECT 89-04, STREET RE -STRIPING PROJECT A-5 REJECTION OF LIABILITY CLAIM AGAINST THE CITY (BIRKHEAD) A-6 RESOLUTION NO. 118-89 RESCINDING RESOLUTION NO. 32-83 AND ESTABLISHING A POLICY FOR TRAVEL AND RELATED EXPENSES INCURRED ON OFFICIAL BUSINESS; AND, RESOLUTION NO. 117-89 ESTABLISHING TRAVEL SUBSISTENCE RATES WHILE ON OFFICIAL BUSINESS FOR THE CITY A-7 REJECTION OF ALL BIDS, BACKHOE TRACTOR PURCHASE (PW 89-258) A-8 CANCELLATION OF OCTOBER 23, 1989 CITY COUNCIL MEETING DUE TO ATTENDANCE AT LEAGUE OF CALIFORNIA CITIES ANNUAL CONFERENCE, AND ESTABLISHMENT OF OCTOBER 30, 1989 AS NEXT REGULAR CITY COUNCIL MEETING 0 A-9 AWARD OF CONTRACT FOR PROJECT PW 89-07, REPLACEMENT OF SECOND WATER TANK AT ELENA STREET A-10 SET HEARING DATE (NOVEMBER 13TH) FOR APPEAL OF PLANNING COMMISSION DENIAL OF SIGN EXCEPTION PERMIT TO ALTER AN EXISTING NON -CONFORMING POLE SIGN AT TRAVELODGE MOTEL (HEMPENIUS, APPELLANT; 1080 MARKET STREET) B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 118-89 VACATING STREET RIGHT-OF-WAY PROPERTY ADJACENT TO 451 EMBARCADERO AND CREATION OF NEW OFFICIAL LEASE SITE 49/49W AT NORTHERN END OF TIDELANDS PARK C. NEW BUSINESS C-1 RESOLUTION NO. 116-89 APPROVING ASSIGNMENT OF LEASE SITE 80-81W (TOMICH; DBA BAYSIDE FISHERIES, INC.) TO VAN BEURDEN INVESTMENTS, A GENERAL CALIFORNIA PARTNERSHIP; AND, ADDITION OF "FOOD SERVICE" AS AN APPROVED LEASE USE D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 CONSIDERATION OF 1989 4TH QUARTER WATER ALLOCATIONS FOR NEW SINGLE FAMILY DWELLING CONSTRUCTION D-2 CONTINUED HEARING ON CONCEPT PLAN ( CUP 07-89 ) FOR CONSTRUCTION OF A MARINE RESEARCH AND EDUCATION CENTER PROJECT PROPOSED FOR VACANT LEASE SITE 49/49W (MORRO BAY ESTUARY CENTER, APPLICANT; SITE ADJACENT TO 451 EMBARCADERO) D-3 MORRO BAY MARINA, INC. REQUEST TO RE -STRIPE CERTAIN CITY STREETS FOR USE AS INTERIM PUBLIC PARKING ASSOCIATED WITH THE WATERMAN CENTER PROJECT, AND CONSIDERATION OF PROJECT'S PROPOSED WATER RETROFIT PACKAGE D-4 CONTINUED PUBLIC HEARING ON APPEAL OF PLANNING COMMISSION'S DENIAL TO PERMIT A NON -CONFORMING SECOND STORY ADDITION TO AN EXISTING NON- CONFORMING RESIDENCE (KEARS, APPELLANT; 685 BERNARDO ST.; CUP 29-89, VARIANCE 24-89) E. CLOSED SESSION NONE UNNIF •_10 COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 9, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Sheetz called the meeting to order at 6:00 p.m. PRESENT: Rose Marie John Baker John Lemons Jeff Odell Tom Wuriu Sheetz Mayor Councilmember Councilmember Councilmember Councilmember ABSENT: None STAFF: Forrest Henderson Judy Skousen Alan Davis Ardith Davis William Farrel Nick Nichols Steve Wolter Asst. City Admin. City Attorney Harbor Director City Clerk Community Dev. Dir. Public Works Dir. Rec. & Parks Dir. Horace Strong gave the invocation, and led the Pledge of Allegiance. PRESENTATION Mayor Sheetz announced Crime Prevention Coordinator Pennie Oakes was selected the Most Valuable Employee for the third quarter. She noted Ms. Oaks' accomplishments in the Neighborhood and Busi- ness Watch programs; she also serves as Information Coordinator. Mayor Sheetz presented Ms. Oaks with her awards. 1. Bruce Risley said the Agenda Packet for this meeting was not available to the public until 3:00 p.m. today; he requested Council postpone action on Item D-3 until the his orga- nization (Civic Action League) has an opportunity to study the issue and formulate comments. 2. Stan Trapp and Ned Rogoway maintained the packet was available Friday afternoon, and requested Council act on Item D-3 this evening. l3- ;S_; • • • ; None. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 9, 1989 PAGE 2 A. CONSENT BLEND A-1 CITY COUNCIL MINUTES OF THE REGULAR MEETING OF SEPTEMBER 25 1989 Mr. Henderson recommended Council approve the minutes as submitted. A-2 PROCLAMATION DECLARING OCTOBER 22-29 1989 AS "RED RIBBON WEEK" Mr. Henderson recommended Council authorize the Mayor to sign the Proclamation. A-3 PROCLAM_ATION DECLARING NOVEMBER 1989 AS "HOSPICE MONTH" Mr. Henderson recommended Council authorize the Mayor to sign the Proclamation. A-4 NOTICE OF COMPLETION FOR PROJECT 89-04 STREET RE -STRIPING PROJECT Mr. Henderson recommended Council accept the project as complete, and authorize the City Clerk to sign and record the Notice of Completion. A-5 REJECTION OF LIABILITY CLAIM AGAINST THE CITY (BIRKHEAD) Mr. Henderson recommended Council deny the claim of Dorothy Birkhead, and authorize the City Clerk to sign and mail the rejection notice. A-6 RESOLUTION NO, 118-89 RESCINDING RESOLUTION NO. 32-83 AND ESTABLISHING A POLICY FOR TRAVEL AND RELATED EXPENSES INCURRED ON OFFICIAL BUSINESS: AND, RESOLUTION NO. 117-89 ESTABLISHING TRAVEL SUBSISTENCE RATES WHILE ON OFFICIAL BUSINESS FOR THE CITY Mr. Henderson recommended Council adopt Resolution No. 118-89 (Travel Policy revision) and Resolution No. 117-89 (Per Diem Rate revision). A-7 REJECTION OF ALL BIDS. BACKHOE TRACTOR PURCHASE (PW 89-258) Mr. Henderson recommended Council reject all bids due to staff error and lack of budgeted funds. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 9, 1989 PAGE 3 A-8 CANCELLATION OF OCTOBER 23, 1989 CITY COUNCIL MEETING DUE TO ATTENDANCE AT LEAGUE OF CALIFORNIA CITIES ANNUAL CONFERENCE, AND ESTABLISHMENT OF OCTOBER 30, 1989 AS NEXT REGULAR CITY COUNCIL MEETING Mr. Henderson recommended Council cancel the October 23rd meet- ing, and set October 30th as the next regularly scheduled City Council meeting in the Veterans Hall at 6 PM. A-9 AWARD OF CONTRACT FOR PROJECT PW 89-07, REPLACEMENT OF SECOND WATER TANK AT ELENA STREET Mr. Henderson recommended Council waive the minor bid irregular- ity and award the project to Superior Tank Company, Inc., in the amount of $41,398. A-10 SET HEARING DATE (OCTOBER 30TH) FOR APPEAL OF PLANNING COMMISSION DENIAL OF SIGN EXCEPTION PERMIT TO ALTER AN EXISTING NON -CONFORMING POLE SIGN AT TRAVELODGE MOTEL (HEMPENIUS. APPELLANT: 1080 MARKET STREET) Mr. Henderson recommended Council set 13 November 1989 as the date for hearing the appeal of Planning Commission denial of SIGN 01-89, and instruct staff to advertise and prepare the reports for the hearing. Councilmember Wuriu stated he wished to make an amendment to the Minutes of September 25, 1989, D-5 regarding the Recycling Master Plan Study. He intended to vote in favor of the motion on page 12 and 13, not against. Although this amendment will not change the outcome of the motion, he wants to go on record in support of the motion. MOTION: Councilmember Lemons moved for the approval of the Con- sent Calendar including the amendment to the Minutes. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 119-89 VACATING STREET RIGHT-OF-WAY PROPERTY ADJACENT TO 451 EMBARCADERO AND CREATION OF NEW OFFICIAL LEASE SITE 49/49W AT NORTHERN END OF TIDELANDS PARK Mr. Henderson stated the action requested this evening will vacate City right-of-way property to create Lease Site 49/49W. He noted Item D-2 on the agenda this evening discusses the poten- tial uses for this property, however, this item is considered a separate matter for establishing the lease site only. Councilmember Lemons said the item is not totally separate from D-2 in that the Marine Research and Education Center is request- MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 9, 1989 PAGE 4 ing the use of this property. Ms. Skousen agreed; however, stated Council's vacation of the roadway and creation of Lease Site 49/49W does not require they lease the property to the Marine Research and Education Center, nor does it establish any uses for the property. Councilmember Lemons asked what the Tidelands Park Plan shows for South Street on the other side of the Embarcadero? Mr. Nichols stated South Street does not connect to Embarcadero. Ms. Skousen indicated the vacation of the street is only for the west side of the Embarcadero. MOTION: Councilmember Baker moved for the adoption of Resolu- tion No. 119-89. The motion was seconded by Coun- cilmember Lemons and unanimously carried. (5-0) C. NEW BUSINESS • ••� i FM.�• - - Alan Davis stated Bayside Fisheries is requesting assignment of this lease to Van Beurden Investments; the Van Beurdens lease the property next door to Lease Site 80-81W and plan to operate it in conjunction with their restaurant, the Flying Dutchman. The Van Beurdens are also requesting the addition of "food service" as an approved use. He noted this could potentially eliminate the his- torical use of this property as a seafood processing plant and retail sale of fish; however, economics may someday dictate a change. The Van Beurden's financial information has been approved by the Finance Director, and Mr. Davis recommended Council approve the assignment of lease subject to receipt and approval of all docu- ments by the City Attorney, and removal or repair of the sunken float system located on the lease site. Councilmember Baker asked if adding "food service" as a permitted use would entail the establishment of a restaurant on this site? Mr. Davis stated the lease already allows "retail sale of fish", however, "food service" would allow for preparation of food on the premises. He noted Council approval of the use does not automatically allow it to be established; the lessee will have to submit plans and receive Planning Commission approval prior to preparing food on -site. Councilmember Odell stated the City has already allowed one site to eliminate "fish processing" as a use and substitute "restau- rant"; he was concerned coastal dependent uses on the harbor are diminishing. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 9, 1989 PAGE 5 Mr. Van Beurden stated they plan to keep the use as it is and perhaps upgrade the building. They will keep the unloading facility as long as people are willing to unload, and plan to facilitate public access and visibility of the fish unloading process. MOTION: Councilmember Wuriu moved for the approval of Resolu- tion No. 116-89. The motion was seconded by Coun- cilmember Baker and unanimously carried. (5-0) D. PUBLIC HEARINGS, REPORTS & APPEARANCES _ • • • _� z - Mr. Farrel stated to date Council has allocated 38 single family residences and 27 multi -family units this year. Based on Measure F's constraints, 12 more single family units can be allocated for 1989. He stated staff continues to recommend against allocating further water during the current dry cycle. Mr. Nichols reviewed the City's current water well conditions noting total 1989 well production as of September 29th was 1,169 acre feet; 10.2% below this time last year. He stated Well No. 12 in the Chorro Creek basin evidenced depleted aquifer condi- tions and was turned off. He recommended against upgrading the mandatory water conservation measures; water demand at this time does not warrant additional restrictions. Mayor Sheetz commented the agricultural uses are not as intensive this year as they were last year, and Well No. 12 still went out. Councilmember Wuriu asked if retrofitting, as well as citizen conservation, is responsible for the fact the City is using less water than last year? Mr. Nichols said yes, all conservation programs contribute to the savings. Mayor Sheetz said Jamie Boucher, Water Department Billing, moni- tors water bills; some major leaks have been corrected in a timely manner due to her astuteness. Mayor Sheetz opened the hearing to the public for comments. Ann Freeman, 785 Cabrillo, stated she supports the staff report. She would like to see Council be as responsible to the citizens as the citizens have been to the City. The citizens do their best to conserve water, and now is not the time to allocate more water for housing. Mayor Sheetz closed the hearing to the public. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 9, 1989 PAGE 6 Councilmember Odell said 12 new houses are not a lot of houses and will not create a large increase in water consumption. He also considered it an obligation to award these permits because of the annual water allocation process. He urged Council to approach next year's allocation with a high degree of conserva- tive attitude. MOTION: Councilmember Odell moved Council approve the full allocation for this quarter; 12 single family units. The motion was seconded by Councilmember Wuriu. Councilmember Wuriu said the Council has been responsible in dealing with this problem by issuing the allocations quarterly rather than all at one time. He said the wells are in slightly better shape than last year, and usage is down even with the additional houses from last year. He believes a good deal of the water used by new houses will be covered by retrofit; the City can take emergency measures if necessary. Mayor Sheetz said Council continues to allocate water, and one day there will be no water to allocate. She believes the City's improved water condition over last year is due to decreased use of water for agricultural purposes. She does not believe it is prudent to go ahead at this time. The motion carried with Mayor Sheetz voting no. (4-1) e].+4_w4zl+l_i3�� . •S •. Mr. Farrel stated this item is continued from the July 24th meet- ing due to a Fish and Game request for more information on envi- ronmental impacts due to the loss of eelgrass habitat and benthic organisms which may result from the development. Council also requested the applicant provide additional information about financial capabilities, and design alternatives to reduce the height of the structure. The applicant retained MEC Analytical Systems, Inc. to evaluate the project and suggest environmental mitigation measures. These were submitted to the Department of Fish and Game and they find the measures acceptable. Mr. Farrel stated financial information provided by the applicant was not received until Friday which did not provide sufficient time for staff analysis. The applicant will provide project alternatives this evening. Mr. Farrel recommended Council approve the project by Resolution which includes the additional environmental mitigation measures outlined by the Department of Fish and Game. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 9, 1989 PAGE 7 Mayor Sheetz opened the hearing to the public for comments. Gene Doughty, project architect, discussed the three items of concern from the Council's last meeting on this subject. He noted the mitigation measures by MEC consist of eliminating derelict vessels from the southern area of Grassy Island and transplanting eelgrass which will be eliminated as a result of the project. Mr. Doughty assured Council the project will remain within the lease site boundaries. He presented two alternatives to their original design which would lower the roof line by elim- inating the third story deck, although indicated they would pre- fer to use their original plan. Mr. Doughty discussed their financial package and potential fund- ing through personal donations from large contributors; oil com- panies and universities are interested. He said many corpora- tions/agencies will not donate money unless the Environmental Research Center can establish they have use of the property. Mayor Sheetz closed the hearing to the public. Councilmember Lemons stated he still has reservations concerning the operating expenses; he reviewed previous financial informa- tion provided by the applicant which showed a director's salary at $90,000 per year, and the current one for a part-time director at $23,000 per year. Tom Richards, Board of Directors of the Research Center, stated their initial financial report was based on salaries for directors throughout the state; they realize their center will not need a full-time director. Mayor Sheetz asked if the Research Center could raise the money they need within a year? Mr. Richards stated they would give it their best efforts. Councilmember Lemons suggested a contingency lease be drafted which would give the Research Center a specific period of time to raise the funds to prove they are capable of building and finish- ing the project. He was concerned a building would be started, funds would run out, and the City would be left with an unfin- ished building. Ms. Skousen said a contingency lease can be drafted to give them a period of time to accrue enough funding to post a performance bond to guarantee the building will be completed. All aspects of the lease can be decided now so the parties know what the expec- tations are when the bond is finally posted. Councilmember Baker asked what would happen to the building if the Research Center cannot financially remain operational? Ms. Skousen stated the City's standard lease provides the building belongs to the City unless the applicant can move it elsewhere. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 9, 1989 PAGE 8 Councilmember Wuriu asked when they hoped to begin construction? Mr. Doughty said within 24 months. Council consensus was for staff to prepare a contingency lease. MOTION: Councilmember Baker moved Council approve the original design and concept plan. The motion was seconded by Councilmember Lemons and carried with Councilmembers Odell and Wuriu voting no. (3-2) Councilmember Odell stated his "no" vote is based on his objec- tion to the height of the building. Mr. Farrel stated he would return with a formal resolution at the next meeting. Mr. Farrel stated this item is presented for policy direction on two issues: the applicant has proposed to earn necessary water equivalencies for this project through retrofitting the City's irrigation facilities at Keiser Park with computerized conserva- tion controls; and provide temporary parking for the project on City streets until permanent parking facilities are developed by the City using the applicant's in -lieu fees. Council decided to consider the items separately beginning with the retrofit matter. Mr. Farrel reviewed the background on the proposal and the con- cerns staff has regarding the retrofitting of parks. Questions for Council policy are 1) whether the savings from retrofitting City parks should be used for private development, or if the City should do the retrofitting thereby reducing demand on water resources; 2) should the City reserve the retrofitting of parks for itself to provide a future resource to irrigate Tidelands Park; and 3) if the City allows private development to retrofit City parks, should the developer pay the actual cost of the park to be retrofitted, or should an overall average cost for retrofitting all parks be paid? Mr. Farrel stated it is esti- mated Keiser Park retrofitting will cost $3,500, while Del Mar Park will be considerably higher due to extensive replacement of piping that will be necessary. If Council allows the Waterman project to retrofit Keiser Park at a cost of approximately $3,500, that would leave the possibility of the City retrofitting Del Mar Park at a much higher cost. Councilmember Wuriu said if retrofitting City parks is such a good idea, why hasn't the City done it before now? If the devel- oper thought of the idea, he should get credit for it. Mr. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 9, 1989 PAGE 9 Wolter stated the Recreation and Parks Department requested funds last year for retrofitting Keiser Park; the item was deleted from the budget due to other priorities. Since that time, the tech- nology has changed considerably and so has the cost; the project was estimated last year at $50,000. Mr. Wolter explained the cost differences between retrofitting the various parks due to each park's topography. Councilmember Wuriu asked if it would be fair to deny park retrofitting on Keiser Park? The City might average all the parks for costs and never retrofit Del Mar Park. Mr. Wolter said Council should consider the larger picture of all water equiva- lencies to be gained by retrofitting parks and whether or not the City should save the least expensive park to retrofit for itself. Councilmember Baker was in favor of Mr. Trapp having first oppor- tunity for retrofitting City parks, but said perhaps the costs should be averaged and Mr. Trapp required to pay a fair share. Councilmember Lemons was concerned developers would be charged an average cost to retrofit all parks, and the City would deposit the money in an account and never accomplish the retrofitting. He agreed Mr. Trapp should have first opportunity to access the program. Mayor Sheetz opened the hearing to the public for comments. Bruce Risley reiterated his comments during the Public Comment portion of the meeting stating the public has not had enough time to review and comment on this important policy decision. He re- quested Council postpone their decision; there are people who are trying to find homes to retrofit who have not been exposed to this idea. Stan Trapp, applicant, stated he is the one who came up with the concept and the technology; the water savings is better than originally anticipated. He requested consideration be given to the effort and amount of money they have invested in the pro- posal. He understands the City's point regarding averaging all parks, but would like to be able to deduct the money he spent researching the subject from costs assessed to him. He also requested Council act on this item tonight. Peter Diffley supported Bruce Risley's comments; he was also informed the report was not available and requested Council con- tinue the item. He believes this should be a City project and stated the idea is not a new one. He does not like the idea of using City water for private development. Ned Rogoway, applicant consultant, said the City's retrofit pro- gram does not distinguish between public and private water. He stated they have been working with the School District to MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 9, 1989 PAGE 10 retrofit the schools, however, have difficulty getting the Dis- trict to establish a time line. He requested Council move ahead on this item tonight. Mayor Sheetz asked if City property has been retrofitted by pri- vate developers previously? Mr. Wolter stated yes; it is accom- plished on a first come, first served basis. Councilmember Wuriu stated this is a very complex, important sub- ject and Council should not take action on it this evening. He would like more information before making a decision. Mayor Sheetz agreed. Councilmember Lemons suggested supporting the concept of allow private development to retrofit City parks by averaging costs, and setting the costs at a later date. This would allow Mr. Trapp for go forward with his project. MOTION: Councilmember Lemons moved Council endorse in principle the idea of retrofitting all four City parks and allo- cating 22 equivalencies to the private sector as recom- mended by the Planning Director; and Council, upon sat- isfactory completion of work in Keiser Park, award Stan Trapp the 12 ± equivalencies mentioned in the, report subject to payment of the fees which will be estab- lished in a subsequent report by staff. The motion was seconded by Councilmember Baker. Councilmember Wuriu did not believe Council should make a deci- sion until the facts and figures are known. Mayor Sheetz stated there is no rush to make a commitment; Mr. Trapp will not be inconvenienced because of the delay. Councilmember Odell stated the person who came up with this idea deserves something for it; however, he wants to review program administration before making a decision. The motion failed on the following vote: AYES: Baker, Lemons NOES: Odell, Wuriu, Sheetz MOTION: Mayor Sheetz moved the matter be referred to staff to return more specific information as to various methods of cost allocation and administration of the program. The motion was seconded by Councilmember Wuriu and car- ried with Councilmember Lemons voting no. (4-1) Mr. Farrel then reviewed the alternatives for temporary on -street parking using the two lanes on the Embarcadero from Beach Street to Coleman Drive. Staff recommends approving the striping of the 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 9, 1989 PAGE 11 outside travel lanes for parallel parking on both sides of the street. This will generate approximately 100-120 parking spaces. Mayor Sheetz stated she had suggested this type of plan three years ago. Nick Nichols said the Street Advisory Committee has discussed this item in detail and agrees with the staff recommendation; this proposal has the least impact on traffic and is the least costly. Mr. Nichols stated there will be an impact on traffic congestion; it remains to be seen whether or not the community will accept it. It is a simple proposal to implement and to return to its original state if Council decides it is not work- ing. Mr. Nichols stated the proposal is safe and creates no traffic hazards. Mayor Sheetz asked what happens if the City decides to eliminate the parking six months from now? Mr. Farrel was unsure; he has discussed with the Coastal Commission the problems of obligating the City to enforce restrictions they place on developers over and above those placed by the City. Councilmember Odell was concerned the proposed parking scheme will impede the flow of traffic; people exiting their cars after parking will cross the street where they parked. Additional con- gestion will be created by people stopping in the lane to paral- lel park. Councilmember Odell said by closing the westerly two lanes and creating a parking lot, the City may be able to elimi- nate the hazard of people crossing through traffic. He said dur- ing discussion on the Circulation Element, some fishermen asked if the City could close parking areas for a minimal amount of time to allow them to work on their nets; a parking lot could accommodate this request. Councilmember Lemons stated he is not convinced parking is needed; in fact, some people say what the City needs on the Embarcadero is a real narking problem. Mayor Sheetz opened the hearing to the public for comments. Bruce Risley reiterated his comments to hold this matter over for additional public input. Katherine Walling stated a diagram of the proposal should be pub- lished in the newspaper for the public's information. She said someday there will be public transportation on the waterfront. Mark Allen stated he is involved with the Harbor Festival Board; they used parallel parking on the Embarcadero last year and it was a mess. This year they closed off the two westerly lanes and the traffic flow was considerably better. He said blocking off two lanes for parking is a better idea. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 9, 1989 PAGE 12 Gene Doughty stated traffic is very slow in other areas of the Embarcadero where parallel parking is allowed. If Highway 41 is eventually connected to the Embarcadero, parallel parking will make the area from Beach to Coleman very congested. Nancy Bast said the City should establish interim parking in this area on a trial basis before allowing temporary parking for pri- vate development. Mayor Sheetz closed the hearing to the public. Mayor Sheetz asked when this item has to be resolved? Mr. Farrel said prior to occupancy of the new development. Councilmember Wuriu said he would like the option of approving the parking in concept but not specifically approving parallel parking. Councilmember Lemons stated he preferred the parallel parking option on either side of the road. He said there are many streets in Morro Bay more narrow than this one with much larger traffic volumes. MOTION: Councilmember Lemons moved Council adopt the interim parking plan of parallel parking on one lane on each side of the street. The motion was seconded by Coun- cilmember Wuriu. Councilmember Odell believes there are hazards with this option. Mayor Sheetz asked about the safety of the proposal; Mr. Nichols said the Fire Chief has not expressed concerns about access. The motion carried with Councilmember Odell voting no. (4-1) Mr. Farrel asked if the City should deduct the cost of restriping the area from the amount of Mr. Trapp's in lieu fees, or if Mr. Trapp should restripe the area over and above those fees. Mr. Henderson commented the requirement for this interim parking was placed on Mr. Trapp by the Coastal Commission, not the City. MOTION: Councilmember Wuriu moved the cost of restriping be at the applicant's expense. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 9, 1989 PAGE 13 D-4 CONTINUED PUBLIC HEARING ON APPEAL OF PLANNING COMMISSION'S DENIAL TO PERMIT A NON -CONFORMING SECOND STORY ADDITION TO AN EXISTING NON -CONFORMING RESIDENCE MEARS, APPELLANT; 685 BERNARDO ST.; CUP 29-89, VARIANCE 24-89) Mr. Henderson stated this item returns for formal Council action to deny the appeal. Staff requested written notification from Mr. Kears to have the appeal withdrawn, however, a letter has not been received. It is in order for Council to deny the appeal to close the file on this item. Mayor Sheetz opened the hearing for comments from the public; there were no comments and the hearing was closed. MOTION: Councilmember Baker moved Council uphold the Planning Commission's decision, and deny the appeal. The motion was seconded by Mayor Sheetz and unanimously carried. (5-0) E. CLOSED SESSION None F. ADJOURNMENT MOTION: Councilmember Odell moved the meeting be adjourned. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) The meeting adjourned at 8:51 p.m. Recorded by: ARDITH DAVIS City Clerk 0 Sip m6-u� a 5� l q &pq City Of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life which we all enjoy. We are committed to this purpose and will provide a level of municipal service consistent and responsive to our public and its needs. REGULAR MEETING - SEPTEMBER 25, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL INVOCATION PLEDGE OF ALLEGIANCE PRESENTATION: CECILIA MARTINEZ, ALLIANCE FOR THE MENTALLY ILL, WITH PROCLAMATION DECLARING OCTOBER 1-7 AS "MENTAL ILLNESS AWARENESS WEEK" PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearings items under Section D) may do so by standing. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should normally be limited to three minutes. DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the fol- lowing actions are approved without discussion. A-1 CITY COUNCIL MINUTES OF THE SPECIAL MEETING OF SEPTEMBER 7, 1989, AND THE REGULAR MEETING OF SEPTEMBER 11, 1989 A-2 DECLARATION OF PROPERTY SURPLUS TO THE CITY'S NEEDS (VEHICLES AND EQUIPMENT) A-3 RESOLUTION NO. 110-89 AUTHORIZING MORRO BAY'S TRANSPORTATION DEVELOP- MENT ACT (TDA) CLAIM FOR FY 89-90 FUNDING A-4 RESOLUTION NO. 115-89 ESTABLISHING FEE FOR SIDEWALK SALES AND DISPLAY PERMITS IN DESIGNATED DOWNTOWN AREA A-5 STATEMENT OF INVESTMENTS, AUGUST 1989 A-6 PROCLAMATION DECLARING OCTOBER 1-7 AS "MENTAL ILLNESS AWARENESS WEEK" A-7 EXPENDITURE REPORT, AUGUST 1989 A-8 ANNUAL ADOPTION OF CITY INVESTMENT POLICY A-9 RESOLUTION NO. 111-89 ACCEPTING OFFERS OF DEDICATION OF TEMPORARY CONSTRUCTION EASEMENTS FOR THE MIMOSA STREET ASSESSMENT DISTRICT IMPROVEMENT PROJECT A-10 RESOLUTION NO. 112-89 AMENDING POLICY REGULATIONS CONCERNING THE MOORING OF VESSELS IN MORRO BAY HARBOR A-11 PROCLAMATION DECLARING OCTOBER 1989 AS "HARBOR FESTIVAL SEAFOOD MONTH ON THE CENTRAL COAST" A-12 PROCLAMATION DECLARING SEPTEMBER THROUGH DECEMBER 1989 AS "GOOD NEIGHBOR MONTHS" A-13 PROCLAMATION DECLARING SEPTEMBER 15-OCTOBER 15, 1989 AS "EROSION CONTROL MONTH" B. UNFINISHED BUSINESS B-1 ORDINANCE NO. 356 AMENDING SECTION 15.12.010 OF THE MORRO BAY MUNICIPAL CODE ELIMINATING THE 5 MPH SPEED LIMIT IN MORRO BAY HARBOR, WEST OF THE BREAKWATERS (SECOND READING/ADOPTION) B-2 ORDINANCE NO. 361 AMENDING CHAPTER 5.32 OF THE MORRO BAY MUNICIPAL CODE, MOBILE HOME AND RECREATIONAL VEHICLE PARK RENT STABILIZATION TO PROVIDE VACANCY DECONTROL (SECOND READING/ADOPTION) B-3 STREET ADVISORY COMMITTEE RECOMMENDATION REGARDING PROJECT EXPENDITURE OF UNEXPECTED FEDERAL AID URBAN (FAU) MONIES FOR STREET MAINTENANCE PURPOSES ($50K) B-4 CONTINUED CONSIDERATION OF SURVEY RESULTS REGARDING ROLE OF SAN LUIS OBISPO AREA COORDINATING COUNCIL IN REGIONAL PLANNING ISSUES B-5 RECONSIDERATION OF WATER ADVISORY BOARD RECOMMENDATION TO FUND AN ENGINEERING STUDY FOR IMPLEMENTATION OF A WATER DESALINIZATION PROJECT (H2ORGANIZATION PROPOSAL; $8,500) C. NEW BUSINESS C-1 HARBOR ADVISORY BOARD RECOMMENDATION AGAINST ESTABLISHMENT OF VESSEL INSURANCE REQUIREMENTS FOR USE OF HARBOR DOCK AND SLIP FACILITIES C-2 APPROVAL OF CAPITAL PROJECT AND OPERATING ENCUMBRANCES LIST FROM FY 88-89 BUDGET C-3 STREET ADVISORY COMMITTEE PROPOSAL FOR PROSPECTIVE REALIGNMENT OF NORTH MAIN STREET AND RADCLIFFE AVENUE INTERSECTION D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 CONTINUED PUBLIC HEARING ON CASE NO. LUP/ZOA 05-89 AMENDING LAND USE PLAN AND ZONING PORTIONS OF THE CERTIFIED LOCAL COASTAL PROGRAM TO MAKE A SMALL INCREASE IN THE DEVELOPABLE AREA OF THE PROPERTY AND TO PROVIDE GREATER FLEXIBILITY IN DEVELOPMENT STANDARDS (KEYOTO-NATALIE, INC., APPLICANT) CONTINUE TO OCTOBER 30TH MEETING i 0 D-2 RESOLUTION NO. 114-89 APPROVING SIGN EXCEPTION PERMIT FOR TEMPORARY ERECTION OF A BALLOON ARCHWAY OVER EMBARCADERO NEAR SOUTH T-PIER PARK- ING LOT (MORRO BAY HARBOR FESTIVAL, INC., APPLICANT; SIGN PERMIT NO. 03-89) D-3 PUBLIC HEARING ON APPEAL OF PLANNING COMMISSION'S DENIAL TO PERMIT A NON -CONFORMING SECOND STORY ADDITION TO AN EXISTING NON -CONFORMING RESIDENCE (KEARS, APPELLANT; 685 BERNARDO ST.; CUP 29-89, VARIANCE 24-89) D-4 ORDINANCE NO. 362 REDEFINING QUALIFICATIONS OF ACTIVE COMMERCIAL FISH- ING VESSELS FOR PRIORITY USE OF CITY HARBOR FACILITIES (FIRST READING/ INTRODUCTION) D-5 REFUSE COLLECTION FRANCHISE BOARD REQUEST FOR A COMMUNITY RECYCLING MASTER PLAN STUDY E. CLOSED SESSION E-1 GOVERNMENT CODE SECTION 54957; PERSONNEL E-2 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY NEGOTIATIONS (CITY PROPERTY ADJACENT TO BT AND THE DUCK; APN 68-169-01) F. ADJOURNMENT COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Sheetz called the meeting to order at 6:00 p.m. F.i7iF�:i7 PRESENT: Rose Marie Sheetz Mayor John Baker Councilmember John Lemons Councilmember Jeff Odell Councilmember Tom Wuriu Councilmember ABSENT: None STAFF: Gary Napper City Administrator Judy Skousen City Attorney Louise Burt Finance Director Alan Davis Harbor Director Ardith Davis City Clerk Forrest Henderson Asst. to City Admin. Nick Nichols Public Works Dir. Mike Upton Admin. Asst. Bishop Craig Dearden, Church of Jesus Christ Latter Day Saints, gave the invocation, and Horace Strong led the Pledge of Allegiance. PRESENTATION Mr. Napper read the Proclamation declaring October 1-7 as "Mental Illness Awareness Week". Mayor Sheetz asked Cecilia Martinez of the Alliance for the Mentally Ill to come forward and accept the Proclamation from the City. Ms. Martinez expressed her apprecia- tion to the City for being able to bring this problem before the public. • ML. None. 1. Councilmember Lemons requested an agenda item be sched- uled to consider retrofitting all homes so gas water heaters are anchored against falling over in the event of an earthquake. If they fall over, the gas line could break but the pilot light does not go off which results in a great fire danger. 2. Councilmember Lemons asked if the City has applied for temporary exemption from liability on the air quality problem at the sewage treatment plant? Nick Nichols stated the City has not submitted anything to the Air Quality Board; however, he has been MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 2 in discussion with their staff. They want the City to prepare a proposal for how the City intends to come into compliance and are giving the City a reasonable amount of time to accomplish the proposal. Mr. Nichols has requested Brown and Caldwell consul- tants to submit a proposal to the City for review and submission to the Air Quality Board. Councilmember Lemons suggested requesting an exemption and advis- ing the City is preparing the plan thereby confirming the matter in writing. Mr. Nichols stated he would do that. A. CONSENT CALENDAR A-1 CITY COUNCIL MINUTES OF THE SPECIAL MEETING OF SEPTEMBER 7. 1989, AND THE REGULAR MEETING OF SEPTEMBER 11, 1989 Mr. Napper recommended Council approved the minutes as submitted A-2 DECLARATION OF PROPERTY SURPLUS TO THE CITY'S NEEDS (VEHICLES AND EQUIPMENT) Mr. Napper recommended Council declare the property and vehicles as items surplus to the City's needs, and authorize staff to dis- pose of the items through public auction. A-3 RESOLUTION NO. 110-89 AUTHORIZING MORRO BAY'S TRANSPORTATION DEVELOPMENT ACT (TDA) CLAIM FOR FY 89-90 FUNDING Mr. Napper recommended Council adopt Resolution No. 110-89. A-4 RESOLUTION NO, 115-89 ESTABLISHING FEE FOR SIDEWALK SALES AND DISPLAY PERMITS IN DESIGNATED DOWNTOWN AREA Mr. Napper recommended Council adopt Resolution No. 115-89. A-5 STATEMENT OF INVESTMENTS. AUGUST 1989 Mr. Napper recommended Council accept the report for file. A-6 PROCLAMATION DECLARING OCTOBER 1-7 AS "MENTAL ILLNESS AWARE- NESS WEEK" Mr. Napper recommended Council authorize the Mayor to sign the Proclamation. A-7 EXPENDITURE REPORT, AUGUST 1989 Mr. Napper recommended Council approve the Expenditure Report as submitted. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 3 A-8 ANNUAL ADOPTION OF CITY INVESTMENT POLICY Mr. Napper recommended Council adopt the Investment Policy State- ment for FY 89-90. A-9 RESOLUTION NO, 111-89 ACCEPTING OFFERS OF DEDICATION OF TEMPORARY CONSTRUCTION EASEMENTS FOR THE MIMOSA STREET ASSESSMENT DISTRICT IMPROVEMENT PROJECT Mr. Napper recommended Council adopt Resolution No. 111-89. A-10 RESOLUTION NO. 112-89 AMENDING POLICY REGULATIONS CONCERNING THE MOORING OF VESSELS IN MORRO BAY HARBOR Mr. Napper recommended Council adopt Resolution No. 112-89. A-11 PROCLAMATION DECLARING OCTOBER 1989 AS "HARBOR FESTIVAL SEAFOOD MONTH ON THE CENTRAL COAST" Mr. Napper recommended Council authorize the Mayor to sign the Proclamation. A-12 PROCLAMATION DECLARING SEPTEMBER-DECEMBER, 1989 AS "GOOD NEIGHBOR MONTHS" Mr. Napper recommended Council authorize the Mayor to sign the Proclamation. A-13 PROCLAMATION DECLARING SEPTEMBER 15-OCTOBER 15. 1989 AS "EROSION CONTROL MONTH" Mr. Napper recommended Council authorize the Mayor to sign the Proclamation. Councilmember Odell stated he wished to abstain from the minutes of September 7th as he was not present at the meeting, offer a correction to the minutes of September filth, and register a "no" vote on Item A-9. Councilmember Lemons stated he also wished to abstain from approval of the minutes as he was not present at either meeting. MOTION: Councilmember Wuriu moved for the approval of the Con- sent Calendar with the exception of Items A-1 and A-9. The motion was seconded by Councilmember Odell and unanimously carried. (5-0) A-1 CITY COUNCIL MINUTES OF THE SPECIAL MEETING OF SEPTEMBER 7. 1989. AND THE REGULAR MEETING OF SEPTEMBER 11. 1989 Councilmember Odell requested the minutes of September llth be amended on page 9, paragraph 6, to indicate J.R. "Nick" Nicklas, MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 4 Chief Building Inspector, had been invited to the podium by the Council to speak on the fire sprinkler issue. Also, on page 13, paragraph 8, Ed Sylvester is not connected with the Embarcadero business Sylvester's Landing. This reference should be deleted, substituting "fisherman" instead. MOTION: Councilmember Baker moved for the approval of Item A-1 as amended. The motion was seconded by Councilmember Wuriu and carried with Councilmember Lemons abstaining on approval of the minutes of September 7th and Septem- ber llth, and Councilmember Odell abstaining on approval of the minutes of September 7th. (3-0-2) A-9 RESOLUTION NO. 111-89 ACCEPTING OFFERS OF DEDICATION OF TEMPORARY CONSTRUCTION EASEMENTS FOR THE MIMOSA STREET ASSESSMENT DISTRICT IMPROVEMENT PROJECT MOTION: Councilmember Baker moved for the approval of Item A-9. The motion was seconded by Councilmember Wuriu and car- ried with Councilmember Odell voting no. (4-1) B. UNFINISHED BUSINESS B-1 ORDINANCE NO. 356 AMENDING SECTION 15.12.010 OF THE MORRO BAY MUNICIPAL CODE ELIMINATING THE 5 MPH SPEED LIMIT IN MORRO BAY HARBOR, WEST OF THE BREAKWATERS (SECOND READING/ ADOPTION) Mr. Napper stated Council approved first reading of this Ordi- nance on July 24th. It was then sent to the California Depart- ment of Boating and Waterways for their review, and they have approved the Ordinance without change. After Council's adoption this evening, the Ordinance will become effective October 25th. MOTION: Councilmember Odell moved Ordinance No. 356 be read by title and number only. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) Mr. Napper read Ordinance No. 356 by title and number only. MOTION: Councilmember Odell moved for approval of the second reading and adoption of Ordinance No. 356. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) B-2 ORDINANCE NO. 361 AMENDING CHAPTER 5.32 OF THE MORRO BAY MUNICIPAL CODE, MOBILE HOME AND RECREATIONAL VEHICLE PARK RENT STABILIZATION TO PROVIDE VACANCY DECONTROL (SECOND READING/ADOPTION) Mr. Napper stated this is the second reading of an Ordinance which will allow full decontrol of rent adjustments upon a change MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 5 in occupancy ownership of a mobilehome. He noted this does not affect tenants presently under rent control protection, and a new tenant will also have the rent control protection after they have moved in. Mayor Sheetz emphasized the fact the Council is not removing rent control for tenants, and stated all Councilmembers have stated they would not vote in favor of any such action. This ordinance provides de -control only when a mobilehome is sold or transferred. MOTION: Councilmember Baker moved Ordinance No. 361 be read by title and number only. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) Mr. Napper read Ordinance No. 361 by title and number only. MOTION: Councilmember Baker moved for approval of the second reading and adoption of Ordinance No. 361. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) Mr. Nichols stated Council received information at their meeting of August 14th of unexpected FAU monies in the amount of $50,094.33 in the form of a State loan being repaid by the Santa Clara Traffic Authority. Staff recommended the funds be used for the street overlay fund; however, Council wished to have the input of the Street Advisory Committee (SAC). The matter was considered by the SAC and their recommendation is to allocate the money to the street maintenance overlay account. MOTION: Councilmember Lemons moved the $50,094.33 in unexpected Federal Aid to Urban Systems monies be allocated to the City's Street Maintenance Overlay Account. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) Councilmember Wuriu reiterated a previous concern that funds be allocated to improving intersections on through streets by the addition of street signs . B-4 CONTINUED CONSIDERATION OF SURVEY RESULTS REGARDING ROLE OF SAN LUIS OBISPO AREA COORDINATING COUNCIL IN REGIONAL PLANNING , Mr. Napper stated this item is continued from the last meeting regarding an -Area Coordinating Council (ACC) survey to determine what regional planning issues are important to cities and the MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 6 county. Ten main planning issues were identified by the survey, and the ACC wants to know if these are issues that should be addressed, and what agency should be formed to study them. One suggestion is for formation of a "super" committee. Mayor Sheetz stated priority business issues prevented discussion of this item at the last ACC meeting. Councilmember Lemons was concerned Morro Bay would have to accept an expanded ACC committee's priorities which may not be the same as Morro Bay's goals. Councilmember Wuriu agreed noting the sur- vey's priority list put water resources planning at number 6. He also did not believe another layer of government is necessary and stated county commissions already established should be used for this purpose (i.e., County Water Advisory Board). Councilmember Baker was also opposed to another layer of govern- ment, and believed there would be a loss of local control. Coun- cilmember Odell stated this would also create another burden on staff, and said these issues should be handled locally. Coun- cilmember Lemons added there is also the consideration of funding for support staff to another committee. Mayor Sheetz agreed with Council comments, and stated she would convey this consensus to the ACC. r L•]l�iT� lTi �aT:is7 �I+E�3•J1 ' : • f • • • .; _ _ • .� • • DMI 0. 4• •• s •_; • •••• �� Mr. Napper stated the H2Organization is proposing the City retain them as consultants to research and develop the possibility of providing desalinated water to the City for domestic use and con- sumption. Robert Devitt, engineer for H2Organization, stated they propose to carry out a study that will permit the City to make decisions on how to use desalted water. He stated he has been involved in similar projects all over the world, and desalted water is feasi- ble. Mr. Devitt enumerated projects he has developed in the Goleta, Santa Barbara, and Buelton areas. Councilmember Wuriu asked what the water is used for in these areas? Mr. Devitt stated potable uses: drinking water, irriga- tion, watering stock. Councilmember Lemons asked how much acre feet per year is 50,000 gallons per day? Mr. Devitt said approximately 80 acre feet per year. Councilmember Odell stated Mr. Devitt mentioned hydrogen sulfide and asked if it was related to the desalinization process? Mr. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 7 Devitt stated many well waters contain a considerable amount of hydrogen sulfide and it is a design and air quality problem. Mr. Spangler, also of H2Organization, stated their proposal has been streamlined and Council can choose what they want from the study in order to reduce costs. He hopes the City will partici- pate in the study as a show of good faith, but stated if Council does not, he will perform the work at his own expense. He stated he has information there are private developers interested in this process as well. Councilmember Wuriu stated his previous opposition to this con- tract was not based on any belief the City should not look into desalted water; the City should look into all alternatives. He believed the City should not fund a study which might lead to a contract for Mr. Spangler. He suggested the City and H?Organization jointly fund the study as the City most likely will receive some indirect benefit from it. Also, it would bene- ficial to have the study done in such a way as to consider our City's particular problems. Councilmember Odell said Mr. Spangler stated they are prepared to pursue this with other parties; he believed that is the proper way to proceed. He was concerned approving the contract would set a precedent for other proposals. Councilmember Baker also did not believe the City should fund the research at this point. Councilmember Lemons believed if the City has a planning short- fall of 136 acre feet per year, it should put a bid out for a contract to deliver that amount. He does not see what the City will gain from this study as the delivery of water depends on who the purveyor is going to be. He initially did not agree with funding the proposal; however, discussion with members of the Water Advisory Board convinced him the City may gain from this study, and he is willing to change his mind to fund 50% of the project in the amount of $4,250. Mayor Sheetz believed the point for the City to get involved would be as a customer purchasing water; that would also be the time to develop information on how a desalting plant would inter- face with the City's system. MOTION: Councilmember Wuriu moved the City proceed on a joint basis ($4,250) with H20rganization to produce a study of desalted water as outlined in the proposal by Mr. Spangler. The motion was seconded by Councilmember Lemons. Mr. Napper stated the funds for this project should be allocated from the 1989-90 Water Fund Contingencies. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 8 Councilmember Baker discussed the necessity of including the PSOMAS element in the study; he suggested City staff could accom- plish this. Mr. Nichols stated he requested this be included in the proposal because of limited staff time and availability. The motion failed on the following vote: AYES: Lemons, Wuriu NOES: Baker, Odell, Sheetz Mr. Napper noted the time is 7:00 p.m. and Council policy is to begin public hearings at that time. Councilmember Lemons asked if Council took formal action to that effect? Mr. Napper said it is not set in a policy document; however, Council has expressed the informal policy when they revised the agenda and they have taken public hearing items at this time previously. Councilmember Lemons believed Council should take formal action if they wish to establish this procedure. Mayor Sheetz requested the question of establishing formal policy be placed on the next agenda; Public Hearings will be discussed now. D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 CONTINUED PUBLIC HEARING ON CASE NO. LUPZZOA 05-89 AMENDING LAND USE PLAN AND ZONING PORTIONS OF THE CERTIFIED LOCAL COASTAL PROGRAM TO MAKE A SMALL INCREASE IN THE DEVELOPABLE AREA OF THE PROPERTY AND TO PROVIDE GREATER FLEXIBILITY IN DEVELOPMENT STANDARDS (KEYOTO-NATALIE. INC.. APPLICANT) CONTINUE TO OCTOBER 30TH MEETING Mr. Napper stated the 6-week public review process will not con- clude until October 13th, thus no formal action can be taken until after that time. He recommended Council open the hearing to the public for comment, and then continue the item to the meeting of October 30th. Mayor Sheetz opened the hearing to the public; there were no com- ments and the hearing was closed. MOTION: Councilmember Wuriu moved this item be continued to the meeting of October 30th. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) D-2 RESOLUTION NO. 114-89 APPROVING SIGN EXCEPTION PERMIT FOR TEMPORARY ERECTION OF A BALLOON ARCHWAY OVER EMBARCADERO NEAR SOUTH T-PIER PARKING LOT (MORRO BAY HARBOR FESTIVAL. INC., APPLICANT; SIGN PERMIT NO. 03-89) Mr. Napper stated the Harbor Festival Committee has requested a permit to place a balloon archway over the Embarcadero at the Harbor Festival main entrance. Staff recommends approval; Mr. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 9 Napper stated future requests of this nature from this organiza- tion can be accommodated in conjunction with processing their Public Area Use Permit. Mayor Sheetz opened the hearing to the public for comments; there were no comments and the hearing was closed. MOTION: Councilmember Wuriu moved for approval of Resolution No. 114-89. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) D-3 PUBLIC HEARING ON APPEAL OF PLANNING COMMISSION'S DENIAL TO PERMIT A NON -CONFORMING SECOND STORY ADDITION TO AN EXISTING NON -CONFORMING RESIDENCE (KEARS. APPELLANT; 685 BERNARDO ST.; CUP 29-89, VARIANCE 24-89) Mr. Napper stated he received information today that Mr. Kears has sold his property and no longer wishes to pursue the appeal. Mr. Napper recommended Council continue the item to October 9th in order to allow time for receipt of written notification; if it is received before the next meeting, he will pull the item from the agenda. MOTION: Councilmember Lemons moved this item be continued to the next meeting and pulled if written notification is received. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) Mr. Davis stated the Harbor Advisory Board had been studying the definition of commercial fishing vessel in order for vessels to qualify for priority status to use City mooring spaces. He reviewed the current definition and stated the Harbor Advisory Board recommends amending the definition to require qualification be based on $1,000 of fish sale tickets for each net ton capac- ity of the vessel with a minimum of $5,000 of fish sale tickets or proof of 90 days fishing evidenced by fish sale tickets or fuel receipts. They also recommended the use of float plans for proof of days fished be eliminated from the current ordinance, and amend the hardship clause for waivers to allow the Harbor Director to determine if a waiver should be granted, and not more than one waiver be granted in any five-year period. Mr. Davis stated if Council approves first reading of the ordi- nance this evening, it will be forwarded for California Depart- ment of Boating and Waterways review and approval prior to bring- ing the Ordinance back for Council adoption. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 10 Mayor Sheetz opened the hearing for public comments; there were no comments and the hearing was closed. MOTION: Councilmember Lemons moved Ordinance No. 362 be read by title and number only. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) Mr. Napper read Ordinance No. 362 by title and number only. MOTION: Councilmember Odell moved approval of introduction and first reading of Ordinance No. 362. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) MOTION: Councilmember Odell moved the Ordinance be forwarded to the California Department of Boating and Waterways for their review. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) Mike Upton, Administrative Assistant, stated the Refuse Collec- tion Franchise Board has been concerned and studying for some time the waste disposal crisis and the need for recycling. This has resulted in their recommendation to Council to authorize the hiring of a recycling consultant to prepare a Recycling Master Plan Study. He reviewed the Board's efforts to obtain grants for recycling which have not been successful. They suggest funding the study by either a 500 per month surcharge to refuse cus- tomers, increase the franchise fee to Morro Bay Garbage Service from 3% to 4% or 5%, use City contingency fund monies, or share the cost between the City, Garbage Service and/or refuse cus- tomers. The increased charges would only be charged until the study is funded. Councilmember Odell asked what a consultant would do? He enumer- ated all the knowns as far as solid waste is concerned and stated the City does not need to hire a consultant for $25,000 to tell them what they already know. The City knows it needs to recycle, and perhaps the money should be spent to solicit an RFP for recycling services. Mr. Upton stated the Refuse Board initially agreed; however, study of the issue shows a recycling program cannot work unless there is a market for recyclable materials. There needs to be massive public education prior to implementation of a program. Sandra Santini, Chairman of the Refuse Collection Franchise Board, stated the Board has been interested in establishing a recycling program for two years. There is now a problem with the market; at times there is a glut of recyclable material and there MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 11 is a question of what to do with the material that is piling up after it is collected. The Board does not have the expertise to develop a plan. Mr. Upton stated there are no State requirements at this time other than a 20% recycling goal to be achieved by 1994. Mr. Napper stated AB 939 involves mandatory recycling at 50% by the year 2000; it has passed through the legislature and is on the Governor's desk for signature. Councilmember Wuriu asked how the City stands with other cities on recycling? Mr. Upton stated the only city that does curb -side recycling is San Luis Obispo; their program has been marginally successful. Morro Bay Garbage Service made a proposal to Morro Bay for a recycling program identical to San Luis Obispo's, but after evaluating it, the Board decided there was a lack of incen- tive for participation and it does not address commercial recycling. Councilmember Lemons stated a consultant would know how to imple- ment and operate a successful recycling program with incentives for people to start removing recyclables from the waste stream. Mayor Sheetz opened the hearing to the public for comments. Ed Ewing, 238 Pacific, said determining the market for recy- clables is a good idea and suggested the City contact another city with similar waste disposal problems and share the cost of a study. Matt Minton, 2250 Hemlock, suggested using Cal Poly as a resource for options on recycling programs; they have some very innovative approaches and students to study the problem. Ron Hillman, 420 Harbor, stated he manages a laundromat and asked if there was a way to curtail the number of copies newspapers printed (e.g., Easy Ad); they generate more than is needed or necessary. "B" Rohan, 2501 Elm, suggested trimmings from the City's parks be used for compost. She said the City should have an ordinance requiring fast food restaurants to use recyclable containers. Mayor Sheetz closed the hearing to the public. Councilmember Baker complimented the Refuse Board and Mr. Upton on their thorough approach to this subject. He did not believe, however, the City should fund this program at $25,000 when Coun- cil just decided against funding a water project at a much less SUM. He said a consultant may be able to come up with a recy- cling plan, but if there is no market for the materials it is wasted money. 9 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 12 Mr. Upton discussed legislative efforts to make it mandatory to use recycled products. Councilmember Wuriu said the market is the key to recycling and it cannot be solved on a local level. He said there is no point in a City of 10,000 spending a lot of money on how to develop the recycling market when a regional effort is needed. Councilmember Lemons asked if Morro Bay Garbage Service is inter- ested in sharing the cost of a study? Mr. Upton said "no", unless there is a partial offset to the rates. Mayor Sheetz asked if Cal Poly had been contacted relative to doing a study? Mr. Upton stated it had been discussed; the Board received information on work done for the County by a Cal Poly graduate. The Board is already aware of the options and issues contained in the Cal Poly report, and believe an expert is needed for the economics, feasibility, implementation issues. Mayor Sheetz asked if the Board had discussed bringing another agency into the study? Mr. Upton stated no other agency is con- templating the steps recommended by the Board. The recommenda- tion includes the possibility of establishing a sub -region recy- cling program to include Morro Bay, Los Osos, and Cayucos, but the Board does not know if the County has any interest in partic- ipating in it. Mayor Sheetz stated she had a conversation with Supervisor Coy in which he stated he would like to locate a new landfill site and incorporate a recycling center into it; this might be a good time to contact the County for possible participation in a recycling program and study. Councilmember Baker thought perhaps the problem should be addressed on a County -wide basis, rather than just Morro Bay. MOTION: Councilmember Wuriu moved this item return to staff and brought back as a firm proposal with a firm amount of money. There was some discussion regarding the action. Councilmember Wuriu withdrew his motion. Councilmember Odell did not believe a study of the market would help as the market continually goes up and down. He strongly agreed with the idea to contact Cal Poly and use this valuable resource in lieu of paying a consultant. O MOTION: Councilmember Odell moved the matter return to staff and the Refuse Board to investigate utilization of Cal 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 13 Poly as a consulting resource, and try to encourage the County and other entities to participate. The motion was seconded by Councilmember Wuriu. Councilmember Lemons reminded Council there are a number of dif- ferent cities in the area which have refuse collection and none of them operate by the same rules. Joining with other agencies will result in a complicated study to address everyone's issues. He believes the City needs to hire an individual with applicable experience to recommend a program for Morro Bay. The motion carried with Councilmembers Lemons and-Warlu voting no. (3-2)* 4-1 C. NEW BUSINESS iic�P3_;�]+l�iQ�)_;��i=L•7c\:77 77C•I�Ju151�1�(��I{•I�t:I2e .Fi`��i�L��tsT3� ely � _ • Jam..:...\ • • ' • : • ; • • � • Alan Davis stated at Council's request, the Harbor Advisory Board investigated the possibility of requiring vessels using City mooring facilities to furnish the City with proof of insurance. A survey of 21 ports reveal none have this requirement. The Har- bor Advisory Board's recommendation was to dismiss the idea of requiring insurance for vessels using City facilities; however, since the Board's consideration, the Assistant City Administrator has obtained new information regarding insurance. Mr. Henderson stated he has been in contact with an insurance broker who has indicated this type of insurance may be available; some harbor districts and private marinas have obtained similar insurance. Mr. Henderson stated he has no details at the present time, but has, a meeting scheduled with an insurance broker to explore the possibility of the City acquiring the insurance and charging the cost to the vessel owner as part of the mooring fee. MOTION: Councilmember Lemons moved this item be returned to staff for additional information. The motion was sec- onded by Councilmember Wuriu and unanimously carried. (5-0) C-2 APPROVAL OF CAPITAL PROJEC2--4-VD-0-PERVTI.VG—ENCLTIBV-I-VCES LIST FROM FY 88-89 BUDGET Louise Burt stated this item requires annual approval of the Council. It consists of bringing items from the past fiscal year forward to continue in the current budget year. She said there is $118,000 in operating projects, and $50,000 in departmental savings. Two divisions overspent their budgets; City Attorney due to the Cloisters litigation, and the Street Division purchas- ing asphalt for street maintenance/patching. *10-9-89 Minutes - Councilmember Wuriu amended to reflect his intention to have voted in favor of this motion. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 14 MOTION: Councilmember Baker moved Council approve the 30 June 1989 encumbrance listing of $2,864,138 as submitted, and authorize the transfer of $41,696 from FY 88-89 General Fund Contingencies and $78,049 from General Fund Reserve to cover the cost over -runs in the Legal and Street Divisions. The motion was seconded by Coun- cilmember Wuriu and unanimously carried. (5-0) C-3 STREET ADVISORY COMMITTEE PROPOSAL FOR PROSPECTIVE REALIGN- MENT OF NORTH MAIN STREET AND RADCLIFFE AVENUE INTERSECTION Mr. Nichols stated the Street Advisory Committee (SAC) has iden- tified the realignment of Main and Radcliff Streets as the next major traffic circulation improvement project and is requesting Council approval of this designation. This project is number eleven on the priority list of projects in the Circulation Ele- ment; however, the first ten are either in process or not ready for development for various reasons. Mr. Nichols illustrated the realignment and stated the SAC is seeking policy direction to begin taking action to develop this project. They also recommend the City begin stockpiling fill on the City -owned parcel immedi- ately; the project will require fill material and the City is currently paying to have the material hauled away. Mr. Nichols reviewed some of the items which have to be resolved and noted the City's FAU funds are committed until 1992, at which time the City can begin accumulated funds for this project. Councilmember Odell was concerned with the staff recommendation that this realignment be considered with a possible Williams Brothers entrance/exit through the Harbor Tract. He remembered specific Council action directing no road would ever be tied to that area serving the shopping center. Mr. Napper stated in con- junction with processing the Williams Brothers application, coun- cil will be looking at the area again as part of the consultant recommendation. Secondary access will be required for the pro- ject; whether or not it goes through Bolton Street, Council will be considering it and have an opportunity to require the Williams Brothers development to participate in this realignment. Councilmembers Odell and Lemons said the intersection realignment is part of the Circulation Element and should not depend on the Williams Brothers development. Mayor Sheetz said in discussing this realignment during the Cir- culation Element hearings, Council also discussed the Main Street off -ramp. She asked if the hook ramp will be eliminated; will there be a back-up of traffic at Highway 41; what are the impacts? MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 15 Councilmember Lemons stated if Council designated the realignment now it may have an impact on future development in the area by advising property owners of the City's intentions. Al Paul, Street Advisory Committee, stated the Committee would like permission to study this project; they are not asking for money at this time. Councilmembers Odell and Wuriu stated their support of the concept. MOTION: Councilmember Lemons moved for approval of the Street Advisory Committee recommendation. The motion was sec- onded by Councilmember Wuriu. Mr. Napper requested clarification of the motion as to what steps staff should take to implement the recommendation. Councilmember Lemons stated it will be the Year 2002 before enough FAU funds have accumulated to construct the project; he did not believe staff would have to do anything more than would normally be required. Mr. Napper asked about the recommendation for dumping fill on City -owned property. Councilmember Lemons said there may be problems with grading permits, but if its feasible, do it. Mayor Sheetz asked if the motion would target FAU funds through the Year 2002 to this project? Mr. Napper stated "yes". Mayor Sheetz was concerned where the City would obtain funding if prop- erty for right-of-way was acquired prior to accumulation of the needed funds for the project. The motion carried with Mayor Sheetz voting no. (4-1) Mayor Sheetz suggested Councilmember Lemons meet with Mr. Napper and Mr. Nichols to decide what project action should be taken on the recommendation. E. CLOSED SESSION MOTION: Councilmember Odell moved the meeting adjourn to Closed Session. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) Mayor Sheetz announced Council is adjourning to Closed Session to discuss personnel in accordance with Government Code Section 54957; and real property negotiations regarding City property adjacent to BT and the Duck (APN 68-169-01) in accordance with Government Code Section 54956.8. Council adjourned to Closed Session at 8:49 p.m. and returned to regular session at 9:40 p.m. • MINUTES - MORRO BA• ITY COUNCIL REGULAR MEETING - SEPTEMBER 25, 1989 PAGE 16 MOTION: Councilmember Odell moved the meeting be adjourned. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) The meeting adjourned at 9:40 p.m. Recorded by: ARDITH DAVIS City Clerk 0 • • City Of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life which we all enjoy. We are committed to this purpose and will provide a level of municipal service consistent and responsive to our public and its needs. REGULAR MEETING - SEPTEMBER 11, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL INVOCATION PLEDGE OF ALLEGIANCE PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearings items under Section D) may do so by standing. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should normally be limited to three minutes. DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the fol- lowing actions are approved without discussion. A-1 CITY COUNCIL MINUTES OF THE REGULAR MEETING OF AUGUST 25, 1989 AND THE SPECIAL MEETING OF AUGUST 31, 1989 A-2 SET HEARING FOR APPEAL TO PLANNING COMMISSION DENIAL TO PERMIT A NON- CONFORMING SECOND STORY ADDITION TO AN EXISTING NON -CONFORMING RESI- DENCE (KEARS, APPELLANT; 685 BERNARDO ST.; CUP 29-89, VARIANCE 24-89) A-3 PROCLAMATION DECLARING THE WEEK OF OCTOBER 2-6, 1989 AS "DIAL -A -RIDE WEEK" WITH DESIGNATED "FREE RIDE DAYS" A-4 DECLARATION OF PROPERTY SURPLUS TO THE CITY'S NEEDS (VEHICLES) PULLED A-5 PROCLAMATION DECLARING SEPTEMBER 23-29, 1989 AS "COASTWEEKS" AND SEPTEMBER 23RD AS "ADOPT -A -BEACH COASTAL CLEAN -UP -DAY" A-6 REJECTION OF LIABILITY CLAIM AGAINST THE CITY (JORGE) A-7 RESOLUTION NO. 107-89 WELCOMING THE NAUTICAL HERITAGE SOCIETY TALL SHIP CALIFORNIAN TO MORRO BAY SEPTEMBER 12-18, 1989 B. UNFINISHED BUSINESS B-1 ORDINANCE NO. 360 PERMANENTLY ESTABLISHING LIMITED SIDEWALK SALES AND DISPLAY PERMIT USES IN THE DESIGNATED DOWNTOWN AREA (SECOND READING/ ADOPTION) B-2 RECONSIDERATION OF WATER ADVISORY BOARD RECOMMENDATION TO FUND AN ENGINEERING STUDY FOR IMPLEMENTATION OF A WATER DESALINIZATION PROJECT (H2ORGANIZATION PROPOSAL; $8,500) PULLED C. NEW BUSINESS C-1 RESOLUTION NO. 109-89 APPROVING HARBOR SPECIAL USE PERMIT TO STAGE A U.S. CUSTOMS BOARDING RE-ENACTMENT WITH THE TALL SHIP CALIFORNIAN (SEPTEMBER 16TH) C-2 CONSIDERATION OF SURVEY RESULTS REGARDING ROLE OF SAN LUIS OBISPO AREA COORDINATING COUNCIL IN REGIONAL PLANNING ISSUES C-3 DETERMINATION OF VOTING AND ALTERNATE DELEGATES TO LEAGUE OF CALIFORNIA CITIES ANNUAL BUSINESS CONFERENCE D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 ORDINANCE NO. 361 AMENDING MOBILE HOME RENT CONTROL LAWS INSTITUTING FULL VACANCY DECONTROL PROVISIONS (INTRODUCTION/FIRST READING) D-2 ORDINANCE NO. 358 REQUIRING MANDATORY INSTALLATION OF FIRE SPRINKLER SYSTEMS IN NEW THREE-STORY HOMES, NEWLY -CONSTRUCTED RESIDENTIAL GARAGES, NEW SUBDIVISIONS AND ANNEXATIONS, AND IN NEW RESIDENTIAL STRUCTURES LARGER THAN 5,000 SQUARE FEET (INTRODUCTION/FIRST READING) D-3 APPROVAL OF PARK RELATED IMPROVEMENTS IN CENTENNIAL PARKWAY AND MORRO BAY BLVD. STREET END AND LOCATION OF NEW PUBLIC RESTROOM (CUP 27- 89/CDP 47-89) D-4 CONTINUED HEARING ON CONCEPT PLAN (CUP 07-89) FOR CONSTRUCTION OF A MARINE RESEARCH AND EDUCATION CENTER PROJECT PROPOSED FOR VACANT LEASE SITE 49/49W (MORRO BAY ESTUARY CENTER, APPLICATION; SITE ADJACENT TO 451 EMBARCADERO) CONTINUE TO OCTOBER 9. 1989 MEETING D-5 POLICY CONSIDERATION OF AN ORDINANCE AMENDING THE LOCAL COASTAL PROGRAM LAND USE PLAN AND SUBDIVISION ORDINANCE TO REQUIRE THE MERGER OF SUBSTANDARD LOTS (LCP/ZOA 04-89) E. CLOSED SESSION E-1 GOVERNMENT CODE SECTION 54956.9(C); CITY -INITIATED LITIGATION E-2 GOVERNMENT CODE SECTION 54957.6(A); LABOR RELATIONS F. ADJOURNMENT COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Sheetz called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: Rose Marie Sheetz Mayor John Baker Councilmember Jeff Odell Councilmember Tom Wuriu Councilmember ABSENT: John Lemons Councilmember STAFF: Gary Napper City Administrator Judy Skousen City Attorney Ardith Davis City Clerk William Farrel Community Dev. Dir. Steve Wolter Recreation & Parks Dir. Bernie Zerr Fire Chief Woody Shoemaker of Coast Christian Church gave the invocation, and Horace Strong led the Pledge of Allegiance. PUBLIC COMMENT 1. Frank Thompson, 700 Pacific, made various harassment accusations against the City Attorney and Fire Chief, which were denied by both staff members. DECLARATION OF FUTURE AGENDA ITEMS None A. CONSENT CALENDAR A-1 CITY COUNCIL MINUTES OF THE REGULAR MEETING OF AUGUST 25, 1989 AND THE SPECIAL MEETING OF AUGUST 31. 1989 Mr. Napper recommended Council approve the minutes as submitted. A-2 SET HEARING FOR APPEAL TO PLANNING COMMISSION DENIAL TO PERMIT A NON -CONFORMING SECOND STORY ADDITION TO AN EXISTING NON -CONFORMING RESIDENCE MEARS, APPELLANT: 685 BERNARDO ST.: CUP 29-89, VARIANCE 24-89) Mr. Napper recommended Council set 25 September 1989 as the date for the appeal hearing, and authorize staff to prepare the notices and reports MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 2 A-3 PROCLAMATION DECLARING THE WEEK OF OCTOBER 2-6. 1989 AS "DIAL -A -RIDE WEEK" WITH DESIGNATED "FREE RIDE DAYS" Mr. Napper recommended Council approve the Dial -A -Ride Week activities, and authorize the Mayor to sign the Proclamation. A-4 DECLARATION OF PROPERTY SURPLUS TO THE CITY'S NEEDS (VEHICLES) PULLED A-5 PROCLAMATION DECLARING SEPTEMBER 23-29, 1989 AS "COASTWEEKS" AND SEPTEMBER 23RD AS "ADOPT -A -BEACH COASTAL -CLEAN -UP -DAY" Mr. Napper recommended Council authorize the Mayor to sign the Proclamation. A-6 REJECTION OF LIABILITY CLAIM AGAINST THE CITY (JORGE) Mr. Napper recommended Council deny the claim, and authorize staff to mail the rejection letter. A-7 RESOLUTION NO. 107-89 WELCOMING THE NAUTICAL HERITAGE SOCI- ETY TALL SHIP CALIFORNIAN TO MORRO BAY SEPTEMBER 12-18, 1989 Mr. Napper recommended Council adopt Resolution No. 107-89. MOTION: Councilmember Wuriu moved for the approval of the Con- sent Calendar. The motion was seconded by Councilmem- ber Baker and unanimously carried. (4-0) B. UNFINISHED BUSINESS KF _ _ 1 1 1• �_•�\ Mr. Napper stated this Ordinance permanently establishes the opportunity for sidewalk sales and displays in the downtown area. If approved by Council this evening, the Ordinance will be effec- tive October llth. MOTION: Councilmember Baker moved Ordinance No. 360 be read by title and number only. The motion was seconded by Councilmember Odell and unanimously carried. (4-0) Mr. Napper read Ordinance No. 360 by title and number only. MOTION: Councilmember Baker moved for the adoption of Ordinance No. 360 as second and final reading. The motion was seconded by Councilmember Wuriu and unanimously carried. (4-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 3 B-2 RECONSIDERATION OF WATER ADVISORY BOARD RECOMMENDATION TO FUND AN ENGINEERING STUDY FOR IMPLEMENTATION OF A WATER DESALINIZATION PROJECT (H2ORGANIZATION PROPOSAL: $8.500) PULLED Mayor Sheetz announced this item has been pulled at the request of the H2Organization and will be rescheduled for September 25th. C. NEW BUSINESS C-1 RESOLUTION NO. 109-89 APPROVING HARBOR SPECIAL USE PERMIT TO STAGE A U.S. CUSTOMS BOARDING RE-ENACTMENT WITH THE TALL SHIP CALIFORNIAN (SEPTEMBER 16TH) Mr. Napper requested Council go on to the next item as Mr. Wolter is not present at this time to review Item C-1. C-2 CONSIDERATION OF SURVEY RESULTS REGARDING ROLE OF SAN LUIS OBISPO AREA COORDINATING COUNCIL IN REGIONAL PLANNING ISSUES Mr. Napper stated Mike Harmon, Associate Transportation Planner for the Area Coordinating Council is present to answer questions regarding regional planning issues. Mr. Napper said in May 1989 the Area Council mailed surveys to select City officials request- ing opinions on what subjects require regional planning atten- tion. The results indicated a number of priority issues, but differences as to what agency should coordinate the regional planning needs. Mr. Napper believes expansion of the existing Area Council role would be the most efficient means to respond to any needs for regional planning. Mr. Harmon said the responses showed interest in 22 programs with 10 receiving very high interest. These ten are: Transportation Planning, Overall Regional Planning, Regional Data Center, Coun- tywide Planning Goals, Open Space Planning, Water Resources Plan- ning, Air Quality Planning, Regional Census Center, Solid/Hazard- ous Waste Management, and Regional Recycling Program. The Area Council is requesting each city provide input to the survey results by identifying and prioritizing programs of interest; identifying preferred implementing organizations, concerns and recommendations; and, determine willingness to commit staff and/ or a Council representative to participate in a task force to further investigate applicability, scope, cost, financing and staffing for selected high priority programs. Mr. Harmon stated the Board of Supervisors recently voted to pur- sue expanding the role of the Area Coordinating Council to func- tion as a Countywide growth management agency. The City of Pismo Beach also recently took action to encourage a regional program planning process for new landfill siting, water resource plan- ning, and spheres of influence. 0 • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 4 Councilmember Baker asked questions regarding the present func- tion of the Area Coordinating Council. Mr. Harmon stated the Area Council is a separate level of government made up of all County Supervisors and one elected official from each of the seven cities in the County. It is funded through State grants and Transportation Development Funds. The primary focus of the Area Council is transportation issues. Mr. Harmon discussed the possibility of appointing two members of each City Council to become members of a Sub -Committee of the Area Council to look into these issues further. Mayor Sheetz suggested this item be postponed to the next Council meeting so more information can be obtained from the Area Council meeting scheduled for September 13th that might enable Council to better decide the issue. Mr. Napper said a Sub -Committee of the Area Council as proposed by Mr. Harmon would be larger than the present Area Council itself. He suggested perhaps the Area Council could best handle these questions. Mayor Sheetz agreed and said she intended to make this suggestion at the Wednesday meeting. This item was deferred to September 25th. C-1 RESOLUTION NO. 109-89 APPROVING HARBOR SPECIAL USE PERMIT TO STAGE A U.S. CUSTOMS BOARDING RE-ENACTMENT WITH THE TALL SHIP CALIFORNIAN (SEPTEMBER 16TH) Mr. Wolter stated during the CALIFORNIAN's visit to Morro Bay September 12th-18th, the Nautical Heritage Society will stage a re-enactment of a U.S. Customs boarding of a merchant vessel car- rying contraband cargo into the Harbor on September 16th. The area needed is the fore -bay area, channel, area off the North T- Pier and the North T-Pier. The City's requirements for insurance have been met and traffic plans have been discussed by the Com- mittee. Staff recommends Council adopt Resolution No. 109-89 approving the Special Use Permit. Mayor Sheetz asked questions regarding the 25-gun salute and pos- sible disturbance of the peregrin falcon? Mr. Biaggini, commit- tee member, said he did not believe this would be a problem. MOTION: Councilmember Wuriu moved for the adoption of Resolu- tion No. 109-89. The motion was seconded by Coun- cilmember Baker and unanimously carried. (4-0) C-3 DETERMINATION OF VOTING AND ALTERNATE DELEGATES TO LEAGUE OF CALIFORNIA CITIES ANNUAL BUSINESS CONFERENCE Mr. Napper stated the League of California Cities is requesting each City designate a voting delegate and alternate to vote at 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 5 the General Business Session which will be held at the Annual Conference in San Francisco this year. The Conference will be held October 22nd-25th, and all Councilmembers are scheduled to attend. MOTION: Councilmember Odell moved the Mayor be designated as the voting delegate and the Vice Mayor as the alter- nate. The motion was seconded by Councilmember Baker and unanimously carried. (4-0) D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 ORDINANCE NO. 361 AMENDING MOBILE HOME RENT CONTROL LAWS INSTITUTING FULL VACANCY DECONTROL PROVISIONS (INTRODUCTION( FIRST READING) Judy Skousen stated at Council direction and due to recent devel- opments in legal cases pertaining to mobile home rent control, she has prepared an amendment to the City's mobile home rent sta- bilization ordinance which deletes control of rent when a mobile home becomes vacant or transfers. The park owner will be allowed to set whatever rent he wants. She emphasized the basic rent control for park tenants remains intact; this ordinance only applies when mobile homes become vacant or are transferred. When a new tenant moves into a park, he negotiates a new rent with the park owner. After the tenant moves in, the park owner may only raise the rent once a year in accordance with the City's rent control formula. Mayor Sheetz stated Council is considering this ordinance due to a court ruling in Santa Barbara which states controlling rents on vacant or transferred mobilehomes is considered a taking of pri- vate property. Councilmember Wuriu asked if this ordinance applies to park leases? Ms. Skousen stated the City's current rent control ordi- nance does not affect long-term leases tenants have with park owners. Mayor Sheetz opened the hearing to the public for comments. Ernie Price, Blue Heron Mobile Home Park tenant, stated he was on the original ad -hoc committee that drew up the present rent sta- bilization ordinance. He said he has discussed the Santa Barbara decision with their City Attorney, Steve Amerikaner. He asked Mr. Amerikaner if this decision affects any other City, and Mr. Amerikaner replied, "Absolutely not". Mr. Price stated Council should delay adopting an amendment to the ordinance, as Santa Barbara is filing an appeal to the decision. The proposed ordi- nance would allow the park owner to charge whatever he wants for space rent. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 6 Shirley Riggs, tenant at Blue Heron Mobile Home Park, said when the ordinance was first adopted, it was a fair rent control ordi- nance. Shortly thereafter, it was amended to take away protec- tion of those people who do not live in their homes permanently. Now this amendment will further erode the protection the people need. She stated her home is presently on the market; if Council enacts this ordinance, they will be taking away the protection of the people who will buy their home. She stated the rents in the Blue Heron Park are higher than any rents in the City. If Coun- cil enacts this ordinance, she will never be able to sell her home. Constance Koppenhafer, tenant at Blue Heron and officer of the Civic Action League, stated this ordinance has been prepared by staff without a public hearing and is being rushed through. The case of Hall vs. City of Santa Barbara does not affect anyone but the City of Santa Barbara. Mayor Sheetz stated this is the public hearing. She clarified the amendment does not affect the people who live in the park; it affects those new tenants moving into the park. David Evans, representing the Western Mobilehome Owners ASSOCia- tion, stated his agency represents park owners. He said while it is true the Santa Barbara decision does not affect other cities and does not mandate they change their ordinances, the chance of similar suits being brought against cities is much greater than six months ago as a result of the court decision. Mr. Evans cited various cities and counties in the Santa Barbara, Ventura and San Luis Obispo County areas that either have or are in the process of considering changing their ordinance to comply with the court decision. He also reviewed the $900,000 damages awarded against the City of Santa Barbara as a result of the decision. Ray Oliveira, tenant at Blue Heron, stated this is the first step to completely eliminate rent control altogether, and urged Coun- cil not to adopt the ordinance. Mayor Sheetz closed the hearing to the public. Ms. Skousen stated she has received many calls from park owners asking what the City intends to do as a result of the Hall deci- sion. If Council does not adopt the ordinance, they will sue because the court has determined an ordinance similar to Morro Bay's constitutes a taking of property. She stated no one can sue the City for failing to adopt an ordinance; the Council is not legally required to adopt an ordinance requiring vacancy rent control. Because of the Hall case, the City faces a legal risk if it does not make the amendment. There is no basis for the tenants to sue Council for deleting the vacancy control portion of the ordinance. • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 7 Councilmember Wuriu stated if Santa Barbara is appealing the decision, is there a chance the decision may be reversed? Ms. Skousen said her latest information is the City is attempting to negotiate a settlement with the park owner over the damages awarded; if a settlement is not reached Santa Barbara may appeal the damages award only. The Appellate Court has already ruled the language in the Santa Barbara Ordinance constitutes a taking. Ms. Skousen also noted the Santa Barbara ordinance was less restrictive than Morro Bay's in that they set a percentage of rent to be increased, and Morro Bay sets the figure at a flat $10 increase in the event of vacancy or transfer. She stated the Court further found the value of a mobilehome was increased because of rent control; that benefit went to the mobilehome owner rather than to the park owner who was unable to increase his rent beyond a certain amount. This was one of the items the Court based its decision on. If Morro Bay was able to show a mobilehome value was not increased due to rent control, perhaps the current ordinance could be defended in court. However, one the tenants speaking this evening said she was afraid she would not be able to sell her home with decontrol which proves there is added value of being able to sell a home in a rent controlled park. She reminded Council the intent of the rent control ordi- nance was to protect the people currently in the park so they will know what to expect in the future. There is no justifica- tion for protecting someone moving into the park; they can make a decision to move or not move into a park based on the rent to be set by the park owner. Councilmember Baker asked if there are any figures on how mobile - homes are selling? Mr. Evans said there are none for Morro Bay; however, the Statewide average according to the Department of Housing and Community Development is a 10% turnover. Mayor Sheetz asked what the rents are at the Blue Heron Park? Mr. Price stated the average is $300. Ms. Skousen said if at sometime in the future the decision on this case is reversed, Council can put the control back into the ordinance. At this time, however, she recommends Council adopt the proposed ordinance in order to avoid substantial financial risk. Mayor Sheetz stated she originally instigated the rent control ordinance in mobilehome parks, and emphasized they are not dis- cussing eliminating rent control, but only vacancy decontrol. She stated the Council must look out for the interests of the City, and the City would be facing a threat of litigation from park owners if it does not enact this ordinance. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 8 Councilmember Wuriu stated he will never vote for total decontrol of rents in mobilehome parks. Councilmember Baker stated he would also be against total decontrol. MOTION: Councilmember Baker moved Ordinance No. 361 be read by title and number only. The motion was seconded by Councilmember Wuriu and unanimously carried. (4-0) Mr. Napper read Ordinance No. 361 by title and number only. MOTION: Councilmember Baker moved for approval of Ordinance No. 361 as first reading. The motion was seconded by Coun- cilmember Wuriu and unanimously carried. (4-0) •' • U_ •z Ca Mr. Napper stated he would like Council to consider including two changes to the proposed ordinance before they open the item to public hearing. On page 2 of the Ordinance, No. 6 regarding New Subdivisions and Annexations, eliminate the words "urban service" and replace them with the words "Local Coastal Plan Urban/Rural Boundary". Also on page 1, A.1., second line, add after "separation walls" the words "except a four hour masonry separa- tion wall, with no openings". Chief Zerr stated the ordinance has been revised pursuant to Council direction at their August 14th meeting. He noted the Cities of Paso Robles, San Luis Obispo and the County of San Luis Obispo are currently proposing fire sprinkler ordinances that are more restrictive than this one before Council. He encouraged Council to be pro -active rather than reactive by adopting the ordinance. It is a proven fact fire sprinklers save lives, they are affordable, will make the community a safer place in which to live, and they save water. Chief Zerr then reviewed all provisions of the ordinance. Mayor Sheetz asked if the Fire Department or Building Department is responsible for inspecting fire sprinkler systems after they have been installed? Chief Zerr said in most cities the inspec- tion is done by the Fire Department with Fire Prevention Inspec- tors. However, if Council prefers the Building Department handle inspections, he has no problem with it. Mr. Farrel stated he has worked extensively with Chief Zerr on the ordinance and supports the changes as indicated. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 9 Councilmember Wuriu stated he would like to hear comments from the Chief Building Inspector regarding the ordinance. Mayor Sheetz asked Councilmembers if they agreed the changes pro- posed by Mr. Napper should be included in the proposed ordinance; Councilmembers agreed. Mayor Sheetz opened the hearing to the public for comments on the Ordinance as amended. Dave Baker, Director of the North County Contractors Association, suggested if Council adopts this ordinance, administration and inspection should rest with the Building Department. He stated it is not easy to obtain a contractor's C-16 license in order to install fire sprinklers, Council should consider the fire retar- dant building materials used in construction, and he would re- quire further data as to its necessity in Morro Bay before he could support the ordinance as it exists. He is totally against it. Mary Phillips, 2645 Ironwood, was concerned insurance companies will not pay for water damage from fire sprinklers. She said the City is putting too much of a burden on the population. J.R. "Nick" Nicklas* City of Morro Bay Chief Building Inspector, enumerated his 25 years of experience and stated he opposes the ordinance in total. He said there has been no data submitted or rational reason given to subject new construction to the instal- lation of fire sprinklers. He cautioned against passing laws based on what might happen in the future, and gave a detailed account on how the Uniform Building Code provisions are estab- lished. Mr. Nicklas said this Code requires fire sprinklers in some structures, but the laws are based on a need and supportive data. If there is data to support the need for fire sprinklers in residences, he will support it. Mayor Sheetz asked what is reasonable data? Mr. Nicklas stated the incident of fires and casualties in homes. Dale Reddell, 680 Sequoia, stated he does not agree with Sections A. 4 and 5 of this ordinance. He said the ordinance does not define what a three story house is, and maintained the garage is the safest room built in a house. He noted Morro Bay purchased a hazardous materials fire truck for $80,000 and asked why the City did not purchase fire trucks instead and not place the burden of cost on the home owner. He suggested Council find out what other cities and the County are doing before enacting this ordinance. Ed McCracken stated he is in favor of fire sprinklers. The pro- posed ordinance will save lives and save water. *who was invited to speak on the subject by Councilmember Wuriu (corrected 9-25-89 by Councilmember Odell) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 10 Brad Gilton, 1139 Samantha, Paso Robles, stated he owns property at 3040 Main Street on which he built condominiums with fire sprinklers and wish he did not have them. He is afraid one of them will go off unnecessarily because of the small pin device that holds the sprinkler off. He is not favor of the ordinance. Mayor Sheetz closed the hearing to the public. Councilmember Baker stated he had hoped by this time the majority of the Council would be convinced this ordinance is necessary. He cited the history of fire sprinklers and instances where they could have saved numerous lives. He said 10,000 people die every year in this country from fires. Councilmember Baker stated there is 16 million to one chance of fire sprinklers going off accidentally. He said this ordinance has been watered down too much already and should have been passed when initially introduced. MOTION: Councilmember Baker moved Ordinance No. 358 be read by title and number only. The motion was seconded by Mayor Sheetz. Councilmember Odell does not believe the ordinance treats the problem; the structures in town most likely to have fires are the substandard buildings. He said this ordinance does nothing to change that problem, and he cannot support it. He asked if the City could be held liable for the accidental tripping of a sprin- kler system; Judy Skousen answered "no". Mayor Sheetz stated in seven years she has never seen an item fought as fiercely as this, and the opposition is narrow and self-serving. The ordinance has been worked and reworked until there is nothing left of it. The motion was unanimously carried. (4-0) Mr. Napper read Ordinance No. 358 by title and number only. MOTION: Mayor Sheetz moved for approval of the first reading of Ordinance No. 358. The motion was seconded by Coun- cilmember Baker and failed on the following vote: AYES: Baker, Sheetz NOES: Odell, Wuriu Councilmember Wuriu stated the original intent of the ordinance was to require fire sprinklers in houses in dangerous areas such as steep hillsides or three or four story houses. He still objects to the definition of three-story houses in the ordinance and cannot support it as written. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 11 Ms. Skousen stated she would be glad to work with Councilmember Wuriu on the definition, but explained it is the industry stan- dard in the Building Code and is accepted as the definition in the courts. MOTION: Councilmember Wuriu moved the Ordinance be referred back to staff pending rewriting of the definition of three story houses. The motion was seconded by Mayor Sheetz and unanimously carried. (4-0) D-3 APPROVAL OF PARK RELATED IMPROVEMENTS IN CENTENNIAL PARKWAY AND MORRO BAY BLVD. STREET END AND LOCATION OF NEW PUBLIC RESTROOM (CUP 27-89/CDP 47-89) Mr. Farrel stated the Planning Commission approved a concept plan for improvements to the Centennial Parkway including the removal of existing restrooms at the Morro Bay Boulevard street -end and replacement with a new restroom. The siting of the new restroom has been the subject of considerable controversy, and the Plan- ning Commission suggested two alternative locations: 1) south of the existing restroom, or westerly of the proposed site and closer to the Embarcadero. The present plan was arrived at over several years of public hearings and input and complies with the City's Local Coastal Program and Land Use Plan. He recommended Council adopt the Resolution provided which includes the siting of the restroom as shown in Figure 1 on the property the City purchased from Ogle next to the Giant Chessboard. Mr. Wolter stated this item has been reviewed by the Recreation and Parks Commission and Planning Commission and on four occa- sions by the City Council. There have been 15 public hearings since 1981 regarding this provision established in the Local Coastal Program. During that time, the City has been attempting to relocate the restroom located at the end of Morro Bay Blvd. between the Fish Bowl and Roses Landing restaurants. Coastal Commission funding has been received for the plan. In 1986, it was determined a replacement restroom must be found within 500 feet of the current one before existing restroom demolition could occur. That condition was satisfied when the City conditioned an Embarcadero development to provide public restrooms; these became available in 1988. As the City began plans to demolish the restroom, individuals petitioned the City to establish a perma- nent site for a new restroom before demolishing the old one. In an attempt to cooperate with Embarcadero businesses, the City effectuated the exchange of property at the foot of the Centen- nial Stairway owned by Charles Ogle with City -owned property on Atascadero Road. The property was exchanged for the express pur- pose of constructing a restroom to replace the one to be demol- ished at the end of Morro Bay Blvd. Mr. Wolter said alternative plans as requested by the Planning Commission have been provided for Council consideration; however, MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 12 staff and the Recreation and Parks Commission recommend Figure 1 as the plan that most meets the needs of the community. Mr. Wolter stated Ted Elder and Jim Maul, City consultants on this project, are available to answer Council questions. Mayor Sheetz opened the hearing to the public for comments. Irving Peterson, attorney representing the Estate of Hadley Yocum, stated the proposal to place the restroom in the area near the Giant Chess Board will eliminate a great deal of parking. Each parking place represents approximately $10,000 worth of rev- enue per year of which the City receives a portion through lease site gross sales. He indicated earlier improvements to the Fish Bowl Restaurant required parking be there, and suggested more study and input be made on this item. Cheryl Halterman, 2735 Juniper and a member of the Recreation and Parks Commission, stated discussion of this project has gone on long enough, and it is time to get on with it. She said this public bathroom should not be at the end of the street where everyone can see it. Anne Freeman, 785 Cabrillo, supported the staff recommendation for relocation of the bathroom; the concept of opening the view at the end of Morro Bay Blvd. will enhance the area. Harry Marks commented on the errors made when constructing the new restroom at "City" Park and the lack of provision for pri- vacy. He requested City not build the restroom on the Embarcadero like the one at the "City" Park. Katherine Walling stated the first restrooms on the Embarcadero were built in the 19601s. The City has money from grants to reconstruct the restroom and she asked why there is opposition? Bud Zeuschner supported the staff recommendation. He said the Centennial Stairway area is the central piece on the Embarcadero, and eliminating this bathroom will make the area an inviting place to view from up and down the Stairway and Embarcadero. Dean Tyler, 595 Embarcadero and President of the Waterfront Leaseholders Association, stated he and other leaseholders pre- sent this evening are on the Embarcadero every day and Council needs input from the people in business down there. Mr. Tyler showed pictures of the Centennial Stairway, the restroom at the "City" Park, public restroom at the North T-Pier, and an illus- tration of a restroom with a stairway and viewing deck which could be reconstructed and remain at the Morro Bay Blvd. street - end. He believed the restroom should be reconstructed in its present location. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 13 i Frank St. Denis, 2551 Nutmeg and sublessee at 629 Embarcadero, said there are not a lot of pretty places on the Embarcadero; he welcomes anything on the Embarcadero that would enhance the appearance. He believes staff has done a fine job of preparing the plan and supports improving this area. Ed Biaggini, 456 Embarcadero, stated the proposed plan does not eliminate any official parking spaces, and the City has the money it needs for this project. He commented the Council is here to approve the plan for this project; not design a restroom. He suggested Council approve the item and get on with it. Mr. Farrel stated with regard to the parking spaces, the property was privately owned before the City acquired it; it was not acquired for parking, but for the purpose of constructing a restroom. Mary Phillips noted water fixtures in restrooms are not conve- nient to washing hands. Sil Cadenasso, 710 Quintana Road and President of the Morro Bay Chamber of Commerce, stated while the Board of Directors did not have a formal meeting regarding this subject, he polled members and they support the project. He said eliminating this eyesore will be a real asset to the viewshed of the Embarcadero. Paula Daillak, Whidbey Way, supported the staff recommendation to open this area for the public's view. Marge Ladley, Fish Bowl Restaurant, pleaded with Council not to take the parking spaces away by placing a restroom at this loca- tion. She reminded Council they charge developers $11,000 for parking spaces and stated this area has been used for parking for almost 25 years. She said the property was not purchased for this purpose; it was supposed to be for parking with the restroom under the Stairway. Ed Sylvester,*9pivester`s-imrr&irig, stated the City has something that works now so why change it? The parking is needed for the leaseholders. Charles Palmer, 485 Estero, said the property was purchased for a restroom, and suggested Council take favorable action on this item. Ralph Gunther, leaseholder, stated the Fish Bowl was originally granted a permit from the Coastal Commission for their business based on the parking next to the Chessboard; the area has histor- ically been used for a parking lot and building a restroom at this location will eliminate nine or 10 parking spaces. He com- mented a restroom at this location will create security problems for the trailer park adjacent to the property and traffic prob- *fisherman MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 14 lems. He said the City required he provide 63 parking spaces for his proposed development, and the Coastal Commission required 80 spaces. The City will be creating a traffic hazard and putting children at risk with a bathroom at this location. Bruce Risley, 540 Piney Way and a member of the Chess Club, stated the time has come to eliminate the blockage of the Bay. The Coastal Conservancy helped the City to construct a viewing platform at the end of Morro Bay Blvd., but no one knows it's there because the restroom blocks it. He supported the staff recommendation. Terry Long, 714 Embarcadero, stated the restroom should stay where it is and the City should clean it up. He said a public restroom at the Centennial Stairway will create a loitering prob- lem from the customers at Rubens Restaurant. Ed McCracken stated he has seen communities where the restrooms were built underground and suggested Council consider this. Jim Hartzell, 356 Shasta, supported the staff proposal and encouraged Council to open the view corridor at this location. Mike Long, 714 Embarcadero and manager of the trailer park next to the proposed location of the restroom, preferred the restroom stay in its present location and that it be refurbished. He objected to the restroom next to the trailer park. Paul 011enberger, owner of trailer park at 714 Embarcadero, stated the City property was worth a lot more than constructing a restroom on it. He suggested it be placed under the stairway where it is hidden. Mayor Sheetz closed the hearing to the public. Council recessed from 9:08 to 9:20 p.m. Mr. Napper stated when the City originally intended to demolish the restroom, objections were made to demolishing it before there was a replacement for it and in a location close to the present one. The Ogle property across the street is close to the present location and the City negotiated a property exchange. The sole purpose of acquiring the Ogle property was to construct a restroom, not for public parking. Mayor Sheetz commented Dean Tyler has told her for five years there is no parking problem on the Embarcadero. She stated view - sheds are valuable because of their elimination by development. The City has an opportunity to open this area for the public, and stands to lose a Coastal Conservancy grant if it doesn't move ahead. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 15 Councilmember Wuriu stated this item has been going on for many years; he believes it is time to move forward and complete the project now. Councilmember Odell said he has been listening to this subject since 1984 when he was on the Harbor Commission. He discussed the inequities on the Embarcadero regarding parking where some areas seem to have a lot of parking and others do not. He was opposed to the property exchange when it came before Council, and remembers it was specifically for the restroom. He will support the staff recommendation because it provides something for the public. Councilmember Baker said he was initially in favor of the pro- ject, but is sympathetic to Mr. Gunther's comments that when he wants to build there is a great need for parking, and yet the City is willing to replace the area presently used for parking with a restroom. He suggested placing the restroom back into the Stairway, thus leaving room for parking spaces. Mr. Wolter stated that idea was discussed in 1988 when negotiat- ing the property exchange. It would necessitate eliminating some willow trees in the area. Also there seems to be a lot of natu- ral seepage of water in the area; a restroom at this location would require an extensive retaining wall into the bluff side. It is desirable to place the restroom in a brighter area; placing it into the bluff area would make it very dark. Councilmember Odell asked about the trees in the architect's ren- dering of the street -end and whether or not they further obstruct the view of the Bay. Mr. Wolter stated from an architect's standpoint, it frames the area while still allowing a view through the branches. MOTION: Councilmember Wuriu moved for approval of Resolution No. 108-89. The motion was seconded by Mayor Sheetz and carried with Councilmember Baker voting no. (3-1) D-4 CONTINUED HEARING ON CONCEPT PLAN (CUP 07-89) FOR CONSTRUC- TION OF A MARINE RESEARCH AND EDUCATION CENTER PROJECT PROPOSED FOR VACANT LEASE SITE 49/49W (MORRO BAY ESTUARY CENTER, APPLICATION; SITE ADJACENT TO 451 EMBARCADERO) CONTINUE TO OCTOBER 9. 1989 MEETING MOTION: Councilmember Odell moved this item be continued to October 9th. The motion was seconded by Councilmember Wuriu and unanimously carried. (4-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 16 D-5 POLICY CONSIDERATION OF AN ORDINANCE AMENDING THE LOCAL COASTAL PROGRAM LAND USE PLAN AND SUBDIVISION ORDINANCE TO REQUIRE THE MERGER OF SUBSTANDARD LOTS (LCP/ZOA 04-89) Mr. Farrel said at Council direction, staff has researched a pre- pared a draft lot merger ordinance; he reviewed the provisions of the ordinance which provide that two or more contiguous parcels held by the same owner shall be considered merged if one of the parcels does not conform to the minimum parcel or lot size required by the Zoning Ordinance. The Planning Commission reviewed the item and recommended no lot merger ordinance be enacted. Staff, however, believes areas in the Atascadero Beach Tract and some parcels on Hemlock would benefit from this type of ordinance. No formal ordinance has been prepared; staff awaits Council policy direction on this matter. Mayor Sheetz opened the hearing to the public for comments. Jim Ross, 301 Trinidad, reviewed problems he has had with prop- erty he owns on Trinidad, and objected strongly to a merger ordi- nance and the effects it would have on property he owns at 3302 Main Street. Mayor Sheetz closed the hearing to the public. Councilmember Odell considered the cost/benefit ratio of everyone appealing the decision, and stated most situations where this would apply are built -out. He believed it would incur consider- able cost to the City. Mayor Sheetz did not believe the ordinance would be fair to peo- ple who have had substandard lots to now tell them they cannot build on them; it would be discrimination. MOTION: Councilmember Odell moved this item be tabled. Mayor Sheetz stated a motion to table needs no second; all Coun- cilmembers voted in favor of tabling the matter (4-0). E. CLOSED SESSION MOTION: Councilmember Odell moved Council adjourn to Closed Session. The motion was seconded by Councilmember Wuriu and unanimously carried. (4-0) Mayor Sheetz announced Council is adjourning to Closed Session to discuss city -initiated litigation in accordance with Government Code Section 54956.9(c), and labor relations in accordance with Government Code Section 54957.6(a). The meeting adjourned to Closed Session at 9:44 p.m. and returned to regular session at 10:32 p.m. MINUTES - MORRO BACITY COUNCIL • REGULAR MEETING - SEPTEMBER 11, 1989 PAGE 17 MOTION: Councilmember Odell moved the meeting be adjourned. The motion was seconded by Councilmember Baker and unanimously carried. (4-0) The meeting adjourned at 10:32 p.m. Recorded by: �ILGT� �y ARDITH DAVIS City Clerk # 0 S�O� 5p NOT = C E O F S P E C= AL MEET = NG NOTICE IS HEREBY GIVEN that a Special Meeting of the Morro Bay City Council is hereby called to be held on Thursday, September 7, 1989 at 4:00 p.m. in the Morro Bay City Hall Conference Room, 595 Harbor Street, Morro Bay, CA. Said Special Meeting shall be for the purpose of interviewing and appointing applicants for various City advisory boards. DATED: August 31, 1989 IftUS-9SHEEILE, Mayor City of Morro Bay, California 0 ' MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - SEPTEMBER 7, 1989 CITY HALL CONFERENCE ROOM - 4:00 P.M. Mayor Sheetz called the meeting to order at 4:06 p.m. ROLL CAI PRESENT: ABSENT: STAFF: PUBLIC COMMENT None. Rose Marie Sheetz John Baker Tom Wuriu John Lemons Jeff Odell Gary Napper Mayor Councilmember Councilmember Councilmember Councilmember City Administrator Mayor Sheetz noted the meeting was called for the purpose of interviewing applicants for vacancies on the TV Franchise and Services Board and one vacancy on the Community Promotions Committee. Council interviewed Doris Murray and Janice Peters for the TV Franchise and Services Board, and Carol Morgan for the Community Promotions Committee. It was noted an additional applicant, John Zaver, wished to be considered for both openings, but was not available for interview this evening. MOTION: Councilmember Wuriu moved the appointments to the two vacancies on the TV Franchise and Services Board be filled by Doris Murray, for the term expiring December 31, 1991, and Janice Peters for the term expiring December 31, 1989; and Carol Morgan be appointed to the Community Promotions Committee. The motion was sec- onded by Mayor Sheetz and unanimously carried. (3-0) MOTION: Councilmember Wuriu moved the meeting adjourn to Closed Session. The motion was seconded by Councilmember Baker and unanimously carried. (3-0) Mayor Sheetz announced Council is adjourning to Closed Session to consider potential litigation in accordance with Government Code Section 54956.9(c). Council adjourned to Closed Session at 4:32 p.m. and returned to regular session at 5:14 p.m. 10 MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - SEPTEMBER 7, 1989 PAGE 2 MOTION: Councilmember Wuriu moved the meeting be adjourned. The motion was seconded by Councilmember Baker and unanimously carried. (3-0) The meeting adjourned at 5:14 p.m. Recorded GARY NAPPER" R Deputy City Clerk 0 a ,6,tge.e3�, igay 0 City Of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life which we all enjoy. We are committed to this purpose and will provide a level of municipal service consistent and responsive to our public and its needs. SPECIAL JOINT MEETING - CITY COUNCIL WITH THE WATER ADVISORY BOARD THURSDAY, AUGUST 31, 1989 VETERANS MEMORIAL HALL - 3:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL INVOCATION PLEDGE OF ALLEGIANCE PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing: items under Section D) may do so by standing. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should normally be limited to three minutes. D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 WATER ADVISORY BOARD RECOMMMENDATIONS REGARDING SOURCES OF REVENUE TO FINANCE NEW WATER PROJECTS FOR MORRO BAY COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST. MINUTES - MORRO BAY CITY COUNCIL/WATER ADVISORY BOARD SPECIAL JOINT MEETING - AUGUST 31, 1989 VETERANS MEMORIAL HALL - 3:00 P.M. Mayor Sheetz called the meeting to order at 3:00 p.m. PRESENT: Rose Marie Sheetz Mayor John Baker Councilmember John Lemons Councilmember Jeff Odell Councilmember Tom Wuriu Councilmember ABSENT: None WATER ADVISORY BOARD PRESENT: Richard Kitzman Chairperson Robert Enns Member Dick Fisher Member Bill Mazzacane Member Kenneth Powell Member Cecil Carey Member ABSENT: Harry Hofman Member Ken Maloney Member Steven Paige Member STAFF: Gary Napper City Administrator Louise Burt Finance Director Ardith Davis City Clerk Nick Nichols Public Works Dir. Dave Norton Water Engineer John Baker led the Pledge of Allegiance. PUBLIC COMMENT None D. PUBLIC HEARINGS. REPORTS S APPEARANCES Mayor Sheetz stated this is a workshop and the Council intends to adjourn at approximately 5:00 p.m. Nick Nichols stated the focus of the meeting is the Water Advi- sory Board's (WAB) recommendations for funding certain new water 0 MINUTES - MORRO BAY CITY COUNCIL/WATER ADVISORY BOARD SPECIAL JOINT MEETING - AUGUST 31, 1989 PAGE 2 projects. In March, Council gave policy direction that the pro- jects the City should pursue are the Coastal Streams Diversion, construction of a surface storage reservoir at San Bernardo Creek, and the State Water Project. Council realized funding re- quirements would exceed the City's present financing capabilities and directed the WAB to develop alternative funding mechanisms for these projects. Mr. Nichols recapped Council's consideration of these recommendations at previous meetings, and Council request for further refinement of the recommendations. He noted the funding proposals do not address the construction of a dam or San Bernardo Creek. Richard Kitzman reviewed the WAB's memo to the Council regarding alternatives to their proposed water budget. Basically, if reduction in fees is made in certain areas, increases must be made in others in order to meet the proposed budget for the existing water supply and new water projects. For example, the basic service charge as previously proposed will generate $264,312. If all meters are charged $5/month, $269,100 in rev- enue will be realized; if the basic service charge for all meters is $4/month, $215,280 will be raised which will necessitate a 6% water rate increase to obtain the total revenue need of $268,689. Mayor Sheetz asked if consideration had been given to charging the basic service charge on units rather than based on size of meters? Ms. Burt referred Council to her analysis which demon- strates applying the basic service charge to units as opposed to meter size increases the cost above the method recommended by the WAB. Mr. Kitzman also reviewed the alternatives to reducing the pro- posed new water resource fund and the increase in transient occu- pancy tax; in each case, water rates will have to be increased by a percentage to make up for the shortfall in the funding package. Council questioned whether this program will eliminate the 10% increase in water rates adopted by Council July 1st? Mr. Napper stated the 10% increase was to recapture what had happened during the previous two years regarding inflation for operation and maintenance of the water system; it did not include capital pro- jects. Mr. Nichols stated the WAB plan is a completely new pro- gram and does not take into consideration any previous rate increases; it's like starting over, some rates will be higher and some will enjoy decreased rates. Mayor Sheetz opened the meeting for public comments. Ed Biaggini, representing the Motel & Restaurant Association, said he does not believe the $4 basic service charge is enough; he suggested a $7-8 fee, along with a lifeline amount of water. He also favored the per unit basic service charge over charging according to meter size; he said it would be more fair and possi- MINUTES - MORRO BAY CITY COUNCIL/WATER ADVISORY BOARD SPECIAL JOINT MEETING - AUGUST 31, 1989 PAGE 3 bly generate more money. He would like more time to study the variables proposed by the WAB, and suggested a Blue Ribbon Com- mittee of various interests be formed to study their recommendations. Mayor Sheetz asked if the per unit basic service charge would cost more than the meter charge? Ms. Burt stated in all cases the customer would pay more with the per unit charge. Councilmember Lemons stated there may be some merit to establish- ing a per unit charge on motels and mobile home parks regardless of meter size. Councilmember Baker was concerned 90% of our customers are using less than 19 units of water per month and therefore would be pay- ing less rates under the WAB proposal. Mr. Kitzman noted when a WAB sub -committee was formed to develop this funding program, the committee did not request outside assistance. He thought perhaps a Blue Ribbon Committee could provide valuable input into the process. There was discussion on how to handle low-income/hardship cases for relief of the basic service charge; reference was made to the lifeline telephone charge program to be used for qualifying. Mr. Kitzman pointed out the WAB recommendation extends to 1993 only and attempts to raise funds without going to a bond issue; it is only an interim proposal. If the basic service charge as proposed is raised from $4 per month to $8 per month, the increase in transient occupancy tax by 2% would be unnecessary. Mayor Sheetz stated the WAB proposal makes an even distribution of funding throughout the community; she believed each segment should bear a share of the costs. MOTION: Councilmember Lemons moved the basic service charge of $5 per month on all meters (Alternative I.B. of the Water Advisory Board August 10, 1989 Alternatives) be brought back for public hearing at a regular Council meeting. The motion was seconded by Councilmember Odell and unanimously carried. (5-0) Mr. Kitzman then reviewed the New Water Resource Fund to assess new fees on building permits for: 1) new construction; 2) increases in square footage for remodeled construction; and 3) increases in number of plumbing fixtures units. If Council dis- agrees with the rates proposed, water rates will have to be adjusted upward to make up the difference. Councilmember Baker stated he does not agree with the theory that enlarging a struc- ture's square footage correlates to an increase in water use. 0 0 MINUTES - MORRO BAY CITY COUNCIL/WATER ADVISORY BOARD SPECIAL JOINT MEETING - AUGUST 31, 1989 PAGE 4 MOTION: Councilmember Wuriu moved the New Water Resource Fund as originally proposed (Alternative 2.A) be brought back for public hearing. The motion was seconded by Councilmember Odell. Mr. Biaggini indicated he would like to speak on this item before Council action. Councilmember Wuriu withdrew his motion and Councilmem- ber Odell his second. Mr. Biaggini suggested a concept to allow new construction by selling "futures" for Morro Bay water. He noted the idea was used in Paso Robles'when they were building the Niblick bridge; if people want to build on the east side of Paso Robles, they are required to contribute to the construction of the bridge. Mr. Fisher noted the concept had been discussed by the WAB, but determined it would not work here. Mr. Kitzman reviewed the WAB recommendation for an increase in transient occupancy tax by 2% noting increases required in water rates for decreasing or eliminating this recommendation. Mayor Sheetz noted an increase in bed tax has to go to a vote of the people, and the soonest election would be June 1990. Mayor Sheetz opened the meeting for comments from the public. Ed Biaggini stated the WAS proposal requests current users pay for the existing system, and that new construction and motels through new building fees and the transient occupancy tax pay for all new water. He pointed out motels will be carrying the burden while no commercial business are being asked to participate in new water projects. He did not believe the plan is fair, and is totally opposed to any increase in bed tax. The motels are cur- rently at 55% occupancy rate; the City should concentrate on increasing the occupancy rather than decreasing it by raising the transient occupancy tax. Tourists will simply go elsewhere. Mayor Sheetz suggested Mr. Biaggini form a sub -committee of motel owners to work with the WAB to try to arrive at an equitable solution. Councilmember Lemons stated he agrees with the WAB four addi- tional management recommendations for water usage and meter billings. He has reservations about placing the burden for new water solely on the new builder or home owner. If this proposal goes into the effect, the 50 people who are able to build in any given year will pay $268,000 plus the other increases called for under the basic service charge and water rates. Councilmember Baker was also concerned about the burden being placed on the motel business. Under the transient occupancy tax 0 MINUTES - MORRO BAY CITY COUNCIL/WATER ADVISORY BOARD SPECIAL JOINT MEETING - AUGUST 31, 1989 PAGE 5 alternatives, he thought a 25% increase in water rates instead would not be harmful. Council discussed the sub -committee concept to include motel own- ers. Mr. Fisher suggested the WAB notify motel owners of their next meeting so they can attend and provide input and alternative solutions. Council agreed with this suggestion. Mr. Napper reminded Council they were going to consider the desalinization proposal by Mr. Spangler of the H2Organization. Mayor Sheetz asked why the WAB was supportive of this proposal. Mr. Kitzman stated it was not so much they were supportive, they believed such an expenditure should be a decision for Council to make. Mr. Cecil stated if the City was to lose another well due to the water shortage, this organization can come up with 8-10% of the City's water supply within six to eight months. The WAB believes all alternatives should be investigated. Councilmember Wuriu stated Council did not object to the concept; however, it seemed the City should not have to pay money for this organization to make a study for their private benefit. Mr. Cecil said the study would analyze how the project would tie into the Morro Bay water system. Councilmember Lemons stated the basic proposal was not well explained and suggested Mr. Spangler be given the opportunity to clarify by letter and make another presentation at the next Coun- cil meeting. Mr. Spangler stated he would be glad to do so. MOTION: Councilmember Wuriu moved the meeting be adjourned. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) The meeting adjourned at 5:14 p.m. Recorded by: a,� ARDITH DAVIS City Clerk i City Of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life which we all enjoy. We are committed to this purpose and will provide a level of municipal service consistent and responsive to our public and its needs. REGULAR MEETING - AUGUST 28, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL INVOCATION PLEDGE OF ALLEGIANCE PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing: items under Section D) may do so by standing. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should normally be limited to three minutes. DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the fol- lowing actions are approved without discussion. A-1 CITY COUNCIL MINUTES OF THE REGULAR MEETING OF AUGUST 14, 1989 A-2 AWARD OF CONTRACT FOR PROJECT PW 89-05, STREET MAINTENANCE OVERLAY PROGRAM A-3 PROCLAMATION DECLARING SEPTEMBER 1989 AS "U.S. CONSTITUTION MONTH" A-4 REJECTION OF LIABILITY CLAIM AGAINST THE CITY (SMITH) A-5 RESOLUTION NO. 101-89 ESTABLISHING SPECIAL USE PERMIT FEE FOR AIRCRAFT LANDINGS IN MORRO BAY A-6 SET AUGUST 31, 1989 AS JOINT MEETING DATE WITH WATER ADVISORY BOARD TO DISCUSS FUNDING WATER PROJECTS A-7 REJECTION OF LIABILITY CLAIM AGAINST THE CITY (MAY) A-8 EXPENDITURE REPORT - AUGUST 1989 A-9 STATEMENT OF INVESTMENTS - AUGUST 1989 A-10 PROCLAMATION DECLARING SEPTEMBER 15, 1989 AS "NATIONAL POW/MIA RECOGNITION DAY" 11 i 'r B. UNFINISHED BUSINESS B-1 ORDINANCE NO. 359 ANNOUNCING FINDINGS AND ADOPTING AMENDMENT TO TITLE 17 OF THE MORRO BAY MUNICIPAL CODE (ZONING MAP) FOR PROPERTY LOCATED AT THE NORTHWEST CORNER OF ZANZIBAR STREET AND PANORAMA DRIVE (GIST ANNEXATION; GP/ZOA 03-89; SECOND READING/ADOPTION) B-2 RIGHT-OF-WAY ACQUISITION BY EMINENT DOMAIN; MIMOSA STREET ASSESSMENT DISTRICT (RESOLUTIONS NO. 98-89 AND 99-89) C. NEW BUSINESS C-1 CONSIDERATION OF APPOINTMENTS TO CITY ADVISORY BOARDS (CABLE TV BOARD; COMMUNITY PROMOTIONS COMMITTEE) C-2 RESOLUTION NO. 100-89 ESTABLISHING NO -PARKING ZONE ON A PORTION OF THE 1100 BLOCK OF FRONT STREET (1108 FRONT STREET, DBA KITES GALORE) C-3 CONSIDERATION OF WATER ADVISORY BOARD RECOMMENDATION TO FUND AN ENGINEERING STUDY FOR IMPLEMENTATION OF A WATER DESALINIZATION PROJECT (H2 ORGANIZATION PROPOSAL; $8,500) C-4 RESOLUTION NO. 102-89 ESTABLISHING UNDERGROUND UTILITIES DISTRICT NO. 4 IN TIDELANDS PARK C-5 RESPONSE TO DEPARTMENT OF INTERIOR DEVELOPMENT OF NEW 5-YEAR OUTER CONTINENTAL SHELF (OCS) OIL AND GAS LEASING PROGRAM D-1 PUBLIC HEARING ON CASE NO. LUP/ZOA 05-89 AMENDING LAND USE PLAN AND ZONING PORTIONS OF THE CERTIFIED LOCAL COASTAL PROGRAM TO MAKE A SMALL INCREASE IN THE DEVELOPABLE AREA OF THE PROPERTY AND TO PROVIDE GREATER FLEXIBILITY IN DEVELOPMENT STANDARDS (KEYOTO-NATALIE, INC., APPLICANT) D-2 ORDINANCE NO. 360 PERMANENTLY ESTABLISHING LIMITED SIDEWALK SALES AND DISPLAY PERMIT USES IN THE DESIGNATED DOWNTOWN AREA (INTRODUCTION/ FIRST READING) D-3 CONSIDERATION OF CONDITIONAL USE PERMIT TO INSTALL A TEMPORARY DRESS- ING AREA SHELTER IN THE MORRO ROCK PARKING LOT (CASE NO. CUP 32-89; CONCEPT PLAN) RESOLUTION NO. 104-89 D-4 RESOLUTION NO. 103-89 AUTHORIZING CITY APPLICATION FOR ROBERTI-Z'BERG- HARRIS RECREATIONAL NEEDS BASIS GRANT FUNDS FOR CONSTRUCTION OF TIDELANDS PARK RECREATIONAL PHASE D-5 RESOLUTION NO. 105-89 APPROVING PUBLIC AREA USE PERMIT NO. 368 FOR HARBOR FESTIVAL 1989 (OCTOBER 7 & 8) UTILIZING SOUTH T-PIER AND FRONT STREET PARKING LOTS; AND, RESOLUTION NO. 106-89 AUTHORIZING CITY INSURANCE FOR HARBOR FESTIVAL EVENT 2 E. CLOSED SESSION E-2 GOVERNMENT CODE SECTION 54957, PERSONNEL F COPIES OF STAFF REPORTS OR OTHER RELATING TO EACH ITEM OF BUSINESS AGENDA ARE ON FILE IN THE OFFICE AVAILABLE FOR PUBLIC INSPECTION COST. PUBLIC DOCUMENTATION REFERRED TO ON THIS F THE CITY CLERK AND AND REPRODUCTION AT MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 28, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Sheetz called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: Rose Marie John Baker John Lemons Jeff Odell Tom Wuriu ABSENT: None Sheetz Mayor Councilmember Councilmember Councilmember Councilmember STAFF: Gary Napper Judy Skousen Ardith Davis William Farrel Forrest Henderson Nick Nichols Steve Wolter City Administrator City Attorney City Clerk Community Dev. Dir. Asst. City Admin. Public Works Dir. Recreation & Parks Dir. Al Murphy of the Coast Christian Fellowship gave the invocation, and Horace Strong led the Pledge of Allegiance. 1. Charles Palmer commented with regard to Item C-3 on the water desalinization proposal. He said he has not seen any desalinization plant to date that will stand up at this time and said further investigation of desalinization is a waste of City money. None A-1 CITY COUNCIL MINUTES OF THE REGULAR MEETING OF AUGUST 14, 1989 Mr. Napper recommended Council approve the minutes as submitted. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 28, 1989 PAGE 2 A-2 AWARD OF CONTRACT FOR PROJECT PW 89-05 STREET MAINTENANCE OVERLAY PROGRAM Mr. Napper recommended Council waive the minor bid irregularity, and award the contract to Southern Pacific Milling Company in the amount of $124,450.80. A-3 PROCLAMATION DECLARING SEPTEMBER 1989 AS "U.S. CONSTITUTION MONTH„ Mr. Napper recommended Council authorize the Mayor to sign the Proclamation. A-4 REJECTION OF LIABILITY CLAIM AGAINST THE CITY (SMITH) Mr. Napper recommended Council reject the claim, and authorize the City Clerk to send the appropriate rejection notice. A-5 RESOLUTION. NO, 101-89 ESTABLISHING SPECIAL USE PERMIT FEE FOR AIRCRAFT LANDINGS IN MORRO BAY Mr. Napper recommended Council adopt Resolution No. 101-89. A-6 SET AUGUST 31 1989 AS JOINT MEETING DATE WITH WATER ADVISORY BOARD TO DISCUSS FUNDING WATER PROJECTS Mr. Napper recommended Council set August 31st, 3:00 p.m. in the Veterans Memorial Hall for the joint meeting with the Water Advi- sory Board. A-7 REJECTION OF LIABILITY CLAIM AGAINST THE CITY (MAY) Mr. Napper recommended Council reject the claim, and authorize the City Clerk to send the appropriate rejection notice. A-8 EXPENDITURE REPORT - AUGUST 1989 Mr. Napper recommended Council approve the Expenditure Report. A-9 STATEMENT OF INVESTMENTS - AUGUST 1989 Mr. Napper recommended Council receive the Statement of Invest- ments for file. A-10 PROCLAMATION DECLARING SEPTEMBER 15, 1989 AS "NATIONAL POW/MIA RECOGNITION DAY" Mr. Napper recommended Council authorize the Mayor to sign the Proclamation. Councilmember Wuriu requested Item A-5 be pulled from the agenda for separate consideration. r r MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 28, 1989 PAGE 3 MOTION: Councilmember Lemons moved for the approval of the Con- sent Calendar with the exception of Item A-5. The motion was seconded by Councilmember Wuriu and unani- mously carried. (5-0) A-5 RESOLUTION NO, 101-89 ESTABLISHING SPECIAL USE PERMIT FEE FOR AIRCRAFT LANDINGS IN MORRO BAY Councilmember Wuriu asked if there are provisions for fee waiver for emergencies or governmental aircraft? Mr. Napper stated there are provisions in the ordinance. MOTION: Councilmember Wuriu moved for the approval of Item A-5. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) B. UNFINISHED BUSINESS B-1 ORDINANCE NO, 359 ANNOUNCING FINDINGS AND ADOPTING AMENDMENT TO TITLE 17 OF THE MORRO BAY MUNICIPAL CODE (ZONING MAP) FOR PROPERTY LOCATED AT THE NORTHWEST CORNER OF ZANZIBAR STREET AND PANORAMA DRIVE (GIST ANNEXATION; GP/ZOA 03-89; SECOND READING/ADOPTION) Mr. Napper stated this is the second and final reading of an ordinance designating zoning for property recently annexed into the City. After Council adoption, the item will be sent to the Coastal Commission for certification. MOTION: Councilmember Odell moved Ordinance No. 359 be read by title and number only. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) Mr. Napper read Ordinance No. 359 by title and number only. MOTION: Councilmember Baker moved for approval of the final reading and adoption of Ordinance No. 359. The motion was seconded by Councilmember Odell and unanimously carried. (5-0) B-2 RIGHT-OF-WAY ACQUISITION BY EMINENT DOMAIN• MIMOSA STREET ASSESSMENT DISTRICT (RESOLUTIONS NO. 98-89 AND 99-89) Mr. Nichols stated in 1986, the Council property owners to form street improvements on th has been through various City Council, including a that time, there were two stitute a majority of the it is necessary to acquir received a petition from an assessment district to construct e Mimosa Street easement. The project reviews by the Planning Commission and protest hearing held October 1988. At protests which were not enough to con - land holdings involved. At this time rights -of -way to construct the street MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 28, 1989 PAGE 4 and drainage improvements. Two property owners have not agreed to sell their easements so it is necessary to initiate condemna- tion procedures. The attorney handling the condemnation procedures has submitted a letter outlining the procedures to follow; the procedural code indicates property owners may speak only to certain issues on the condemnation: whether the public interest and necessity require the project; whether the project is planned and located in a man- ner most compatible to the greatest public good and least private injury; whether the property to be acquired is necessary for the project; and whether the offer required by the Government Code has been given. Councilmember Odell asked if the constraint•on discussion also applied to Council? Ms. Skousen stated yes, Council also can only speak to the 4 issues outlined by Mr. Nichols. Council has no discretion on the value of the property as it will be set by Court. She noted staff is in receipt of timely notice from the Prices requesting they be allowed to speak on this matter. Councilmember Wuriu asked if Council would be allowed to discuss the value of the property or the proposed payment at any time. Ms. Skousen stated no; it is not within Council discretion to set the price. It is set by the appraisal or by the Court. Since the property owners will be paying the costs for the property, Council cannot set a price higher than the assessment district participants legally have to pay. Geraldine Price, 2045 Ironwood, stated (1) This project is not in the public interest and not a necessity to require the project. (2) The project is so planned against public interest and is not compatible to the greatest public good and is most dangerous to private properties; it is dangerous the way the proposed road comes onto Ironwood, and Mimosa Street should not have been planned to outlet on Ironwood, but made a turnaround instead. Ironwood is now overly -burdened with traffic. (3) The value is not just compensation and they plan to file a suit to protect that they be awarded just compensation. Terry Orton of Westland Engineers and project engineer, stated the object of the improvements is to make the street safer than it presently is. MOTION: Councilmember Lemons moved for the adoption of Resolu- tions No. 98-89 and 99-89. The motion was seconded by Councilmember Baker and carried with Councilmember Odell voting no. (4-1) The Resolutions are titled: MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 28, 1989 PAGE 5 Resolution No. 98-89 Authorizing Acquisition of Property, the Expending of Funds Therefor, the Designation of Person- nel to Accept Deeds and Grants on Behalf of the City and the Institution of Eminent Domain Proceedings (Paul and Geraldine Price; Property Owners) Resolution No. 99-89 Authorizing Acquisition of Property, the Expending of Funds Therefor, the Designation of Person- nel to Accept Deeds and Grants on Behalf of the City and the Institution of Eminent Domain Proceedings (Colin McLean; Owner) C. NEW BUSINESS C-1 CONSIDERATION OF APPOINTMENTS TO CITY TV BOARD: • w I yiPROMOTIONS _ BOARDS Mr. Henderson stated two Council advisory boards have vacancies which have been advertised; the Cable TV Board and the Community Promotions Committee. Three applications have been submitted for the TV Board, and two for the Community Promotions Committee. In the past, Council has either set a date to interview the appli- cants, or made appointments from the applications. Councilmember Lemons stated since he does not know all the appli- cants, he would prefer interviews. Staff was directed to contact the applicants to see if they would be available for interviews before the joint meeting between the Council and the Water Advi- sory Board on Thursday, August 31st. TION OF THE 1100 BLOCK OF FRONT STREET (1108 FRONT STREET, DBA KITES GALORE) Mr. Nichols stated his department received a request from the Planning Department to evaluate parking concerns on Front Street in front of the Kites Galore business. Based on their analysis, they found engineering justification to restrict parking in front of Kites Galore and the Donut Shop for a segment of 55 feet from the Beach Street turn onto Front Street. He illustrated the problem on overhead diagrams. Councilmember Wuriu stated there is definitely a problem in front of the Kite Shop; however, he suggested the "no -parking" area be restricted to allow for 2 parking spaces in front of the Donut Shop. The owners of the Donut Shop believe it necessary for the type of business they have which is people stopping quickly to pick-up something and driving off. Councilmember Wuriu suggested the Resolution be amended to cover 50 feet only from Beach Street. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 28, 1989 PAGE 6 Councilmember Lemons questioned whether the driveway from Beach Street onto Front Street is the safest place for it; perhaps it should be moved around the corner to exit from Embarcadero onto Front Street? Mr. Farrel explained the reason for their request for an analysis of this area is the 4-wheel bikes, or surreys, that operate from Kites Galore are creating a traffic hazard by parking in front of the store. MOTION: Councilmember Wuriu moved for adoption of Resolution No. 100-89 as amended to set the area to be red -zoned at 50 feet from the corner of Beach Street. The motion was seconded by Mayor Sheetz and unanimously carried. (5-0) Councilmember Lemons requested staff study the reconfiguration of the parking lot entrance and area; the Beach Street driveway onto Front Street is not a good location for a driveway curb cut. C-3 CONSIDERATION OF WATER ADVISORY BOARD RECOMMENDATION TO FUND AN ENGINEERING STUDY FOR IMPLEMENTATION OF A WATER DESALIN- IZATION PROJECT fH2 ORGANIZATION PROPOSAL: $8,500) Mr. Nichols reviewed the proposal from H2Organization proposing the construction of a privately -owned desalinization plant on the Embarcadero adjacent to P.G.&E. and selling the water to the City. They are requesting the City pay them $5,000 to perform further engineering evaluation to define the project parameters. In considering this item, the Water Advisory Board requested additional information as to how the project would interface with the City's water system, to which H20rganization responded this information would increase the proposal cost to $8,500. The WAB is recommending Council contract for this study noting the need to pursue alternative sources of water; they believe the information gathered would be useful in the event the City ever decides to pursue desalinization. Mr. Nichols noted the project would treat 140 acre feet of water which is the City's planning shortfall of water based on this year's population. Michael Spangler of H20rganization stated he was available to answer Council questions. Councilmember Baker asked if the H2Organization or the City will build the plant? Mr. Nichols stated the H2Organization will build the plant and sell water to the City. Councilmember Wuriu commented under this proposal it seems the City will be paying for their study so the H2Organization can build the plant. Mr. Spangler said his organization will be act- ing as an extension of staff. Council is normally looking at a MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 28, 1989 PAGE 7 bid package; in this case, his organization is doing the feasi- bility study and putting together the bid criteria. It is not anticipated the City would use desalinization for all the City's water needs; just the shortfall of 136 acre feet at approximately $1536 per acre foot. It should be looked at as an insurance pol- icy and to study the effects desalinization will have on the future. Mayor Sheetz asked if the information would be applicable 10 years from now? Mr. Spangler said technology is changing, but not rapidly. The major cost for this process is electricity. He noted he would be selling water to anyone on the Central Coast wishing to contract for it. Councilmembers asked a number of questions to which Mr. Spangler responded. Councilmember Wuriu said he has a problem with the City paying for Mr. Spangler to find out if his proposal will work in Morro Bay. Councilmember Lemons also stated he does not understand the rationale of a vendor with a product approaching a customer and requesting money so they can prove to the City what the product will do. If it is a possibility, he suggested the Organization take it upon themselves to do all the necessary research to find out what the cost of the product is and then sell it. Councilmember Wuriu stated he is in favor of looking into desalinization as a possible alternate water solution; however, he cannot agree to this business arrangement. MOTION: Councilmember Lemons moved this item be deferred to the joint meeting with the Water Advisory Board on August 31st. The motion was seconded by Councilmember Odell and unanimously carried. (5-0) Councilmember Odell noted there may be developers who are inter- ested in using desalinization in their project, and they may be the appropriate source to pay for this feasibility study. C-4 RESOLUTION NO 102-89 ESTABLISHING UNDERGROUND UTILITIES DISTRICT NO, 4 IN TIDELANDS PARK Mr. Nichols stated the Morro Bay Yacht Club and the Commercial Fishermens Organization requested the overhead utility lines in the area of Tidelands Park and the launch ramp be undergrounded due to the possibility of sailboat masts and outrigging on fish- ing boats striking the wires. The City contacted the County of San Luis Obispo requesting they allocate County 20A funds for this regional project need. The San Luis Obispo County Under- ground Utility Committee recommended to the Board of Supervisors the allocation of $75,000 to undergound utilities in Tidelands Park, and this allocation was approved by the Board of Supervi- MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 28, 1989 PAGE 8 sors. Mr. Nichols recommended Council adopt Resolution No. 102- 89 defining the boundaries of Underground Utilities District No. 4. Councilmember Lemons asked what the City's cost for this project will be? Mr. Nichols said no direct costs will be incurred. MOTION: Councilmember Wuriu moved for the adoption of Resolu- tion No. 102-89. The motion was seconded by Coun- cilmember Odell and unanimously carried. (5-0) Mr. Farrel stated the Department of Interior has begun work on the next 5-Year Plan for OCS oil and gas leasing and have requested local cities provide input to the Plan and scope of the EIR. Morro Bay responded to the previous 5-Year Plan, and Mr. Farrel proposed combining some of those statements still unre- solved and 'raising additional comments. Although the deadline for submitting comments is August 28th (today), contact with the Department of the Interior indicates they will accept comments mailed this week. Mr. Farrel reviewed some of the proposed submittals. Councilmember Lemons suggested reorganizing the comments so those on page three are listing ahead of those on page two. MOTION: Councilmember Wuriu moved a letter of response on the 5-Year Oil and Gas Leasing Program be forwarded to the Department of the Interior as submitted by staff and amended to renumber the comments 10-17 to 1-8, and 1-9 to 10-17. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) D. PUBLIC HEARINGS. REPORTS & APPEARANCES Mr. Farrel stated the purpose of tonight's hearing is to conduct the first of two or three public hearings to review the content of the Settlement Agreement between the City and Keyoto-Natalie. Mr. Farrel reviewed the proposed changes to the Local Coastal Program and Land Use Plan as a result of the Agreement. Mr. Farrel stated the Planning Commission recommends three changes to the proposed Settlement Agreement and LCP text amendments: 1) delete any reference to a desalinization plant; 2) delete any MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 28, 1989 PAGE 9 reference to Measure F; and 3) delete the provision for two story units on the south end of the site, and lot coverage increases from 45% to 60%. He emphasized if the proposed amendments are not approved by Council as -is, the Settlement Agreement will be void, and the process will return to litigation. Mayor Sheetz opened the hearing to the public for comments. Charles Palmer suggested Keyoto-Natalie form a mutual water dis- trict and supply their own water so the City would not be respon- sible for any water supply. In the event they are not able to supply their own water, the City would supply it at a much ele- vated price. Jesse Norris, owner of E1 Rancho Best Western Motel on North Main Street, asked where the permitted two story buildings would be in relation to the streets across the highway from the development? Mr. Farrel pointed out the approximate locations. Mr. Norris asked if any items could be changed? Mayor Sheetz stated any changes would void the Settlement Agreement. Mr. Norris requested the City float balloons on the property to show how high the houses will be. He supports the Planning Commission recommendation to delete two-story homes in the southern area. Mayor Sheetz emphasized the Council is considering a zoning amendment only at this time; Council is not approving or permit- ting homes. Chuck Clarke, 2205 Nutmeg, stated he would like to see a detailed map of the boundaries of the Environmentally Sensitive Habitat area to determine if the settlement affects these lands. Mr. Farrel stated there is no change to the LCP designation of the ESH area. Anne Freeman, 785 Cabrillo, said a 25 foot house built on 5 feet of infill will impact the view corridor and probably be higher than the trees at the south end of the property. She also said 60% building on a lot is too much. Mayor Sheetz said the 60% figure is contingent on the development furnishing its own water; otherwise they are only allowed to build on 40% of the property. Gene Doughty, architect at 261 Main Street, suggested the homes on the southerly 100 foot extension of the property be kept to one story to ease -in the transition to two storied homes. Frances Budlong, 165 Bali, stated she is in favor of the Council action to amend the LUP; she said the money spent on this lawsuit would have funded several City projects. Bud Zeuschner, 2960 Beachcomber, said he prefers the recommenda- tion by the Planning Commission, but understands the constraints of the Settlement Agreement. He stated it is a much better pro- MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 28, 1989 PAGE 10 ject than proposed ten years ago, and he is withdrawing his ear- lier opposition. Vic Montgomery, representing the property owners, responded to some of the comments. He said the language of the agreement allows the property owners to apply for a desalinization plant; they are not entitled to be allowed to construct one. It would require public hearings and an EIR before implementation, and if proposed, it must be of a size to supply additional water to the City besides what would be required for the project. Also, it must be maintained by the property owners through an assessment district. Mr. Montgomery stated he has videos of markers for height limits on the property he would be happy to show Mr. Norris if he wishes. Charles Palmer suggested if the property owners supply their own water, why not let them develop the whole property on '-acre lots? This would enable them to charge enough for the houses to pay for the water supply. Mayor Sheetz closed the hearing to the public. Mayor Sheetz asked Ms. Skousen what the City's responsibility is regarding water to this project. Ms. Skousen stated the City has a responsibility to furnish water to all development within the City. Even if the developers are required to furnish their own water but something happens to their supply, the City would then be required to furnish water to the development. MOTION: Councilmember Baker moved the meeting be continued to September 25th with direction to staff to prepare the LCP amendments in accordance with the Settlement Agree- ment. The motion was seconded by Councilmember Wuriu. Councilmember Wuriu stated the points made by the public this evening are not new, and the people should realize Council is not ignoring the things they have said but have considered all points in detail over a long period of time. Council has worked consci- entiously to work out the best settlement for this beautiful piece of property. He noted when this project first came to the City, the application was for 321 homes; the settlement agreement is for 120. All issues - view corridor, 2-story houses, density - were discussed by Council at length and the final settlement is the best that can possibly be obtained under the circumstances; he supports it. Mayor Sheetz stated she has spent more time on this issue trying to arrive at a settlement than anything else since she took office. She said she found maps in her files recently of a development proposal for this property from a number of years ago; it had 650 units. Progress has been made, and a good deal has been preserved for the public. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 28, 1989 PAGE 11 Councilmember Odell said a year ago when the previous Council adopted the LUP amendment that is being amended tonight, he voted against it because the recommendations of the Blue Ribbon Commit- tee that was appointed by the previous Council were not followed. He believes this represents a flawed concept in coastal resource planning. He agrees the Settlement Agreement is much better than what was proposed 8-10 years ago; however, he will also vote against this settlement in order to be consistent. The motion carried with Councilmember Odell voting no. (4-1) Mr. Farrel stated the proposed ordinance provides for a continua- tion of limited sales and displays on downtown sidewalks; this ordinance will be permanent rather than containing a sunset clause as the previous ordinance did. The Downtown Sidewalk Sales Committee recommends a permanent ordinance with amendments to extend the area of the ordinance to include the area of Harbor Street from Morro to Shasta, and to specify the permit terminate at the close or sale of business. Additionally, staff recommends future permits have no expiration date, and a $50.00 one-time fee be established for all future permits to cover the cost of staff review and processing. Another issue for Council direction is whether or not to termi- nate the advisory committee if a permanent ordinance is adopted. Mayor Sheetz opened the hearing to the public for comments. Bob Finley, a member of the Sidewalk Sales Committee, thanked Council and staff for cooperating with the merchants to make the ordinance successful. He suggested the advisory committe6 be continued as it might make staff's job easier. Mayor Sheetz sug- gested perhaps the Merchants Association could establish their own committee to monitor the program. Mayor Sheetz closed the hearing to the public. MOTION: Councilmember Odell moved Ordinance No. 360 be read by title and number only. The motion was seconded by Councilmember Wuriu. Councilmember Baker asked how the $50 fee was arrived at? Mr. Farrel stated it is the cost of staff time to process the permit; he noted it is a one-time only fee. The motion was unanimously carried. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 28, 1989 PAGE 12 Mr. Mapper read Ordinance No. 360 by title and number only. MOTION: Councilmember Odell moved for approval of the introduc- tion and first reading of Ordinance No. 360. The motion was seconded by Councilmember Wuriu and unani- mously carried. (5-0) Council discussed whether or not to disband the committee; the Ordinance provides for a committee. No further action was taken. Mr. Mapper noted the actual establishment of the permit fee must be researched and developed subsequent to the enactment of the Ordinance, with final approval by Council Resolution at a future meeting. Mr. Farrel stated the Planning Commission approved a concept plan use permit to the Estero Bay Surf Club for construction and main- tenance of a temporary dressing shelter at the Morro Rock parking lot; the Coastal Commission will also have to review and approve this project. Part of the Planning Commission action was that a mutually -agreeable location for the shelter be selected. The Surf Club has suggested placing the shelter at the northeast end of the parking lot. Mayor Sheetz opened the hearing to the public for comments. Gene Doughty, 261 Main Street and a member of the Estero Bay Surf Club, stated the Surf Club has agreed to the conditions set by the Planning Commission. They request garbage collection charges for the trash receptacle to be located near the shelter be paid by the City. He explained what type of structure will be erected. Mayor Sheetz closed the hearing to the public. Mr. Wolter explained a trash bin currently at the Morro Rock parking lot will be relocated near the shelter; the City will pay for the collection service. MOTION: Councilmember Wuriu moved for adoption of Resolution No. 104-89. The motion was seconded by Mayor Sheetz and unanimously carried. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 28, 1989 PAGE 13 Mr. Wolter reviewed the grant application through the Roberti- 2'berg-Harris Recreation Grant Program in the amount of $200,000 for Tidelands Park Recreational Phase. He noted it is a 70% State-30% City matching grant. Mr. Wolter reviewed possible pro- jects eligible for application, recommending the completion of the Recreational Phase of Tidelands Park. He explained this pro- ject best meets the criteria for funding, and the City is cur- rently developing preliminary construction drawings for the pro- ject. This phase is estimated to cost $464,060. Councilmember Odell questioned whether it would be feasible to delete certain improvements in order to construct the sidewalk area along the shoreline. Mr. Wolter indicated funds for this component can be obtained through the Coastal Conservancy; a total sidewalk project would not meet the grant fund criteria for this application. Councilmember Odell believes the sidewalk to be the main priority at Tidelands Park. In response to Council questions, Mr. Wolter detailed how this project would be funded. Mayor Sheetz opened the hearing to the public for comments; there were no comments and the hearing was closed. MOTION: Councilmember Wuriu moved for the adoption of Resolu- tion No. 103-89. The motion was seconded by Coun- cilmember Lemons and unanimously carried. (5-0) Mr. Wolter reviewed the staff recommendation to approve the Pub- lic Area Use Permit for the Harbor Festival and authorizing the City to insure the Harbor Festival events. He reviewed the con- ditions recommended by staff for granting the permit, and stated Embarcadero businesses have been advised of the event and the hearing this evening. The one concern throughout the Festival planning has been insurance. Harbor Festival, Inc. is requesting the City purchase a $1 million liquor liability policy in the amount of $1625; they will reimburse the City $625 as they cannot afford the total amount this year. With regard to insurance for the fishing tournament, the City was unable to brokerage a policy on behalf of the City; however, the Rotary Club of Morro Bay has agreed to co-sponsor the tournament and provide at least $1 million worth of liability insurance MINUTES - MORRO BARITY COUNCIL • REGULAR MEETING - AUGUST 28, 1989 PAGE 14 through their District offices naming the City of Morro Bay and Harbor Festival, Inc. as additional insured. Councilmember Odell questioned how others (Morro Bay Yacht Club) are able to purchase liability insurance for ocean events and the City is not. Mr. Napper explained the insurance carrier's reluc- tance to expose the City to this liability based on the City's assets and the "deep -pocket" syndrome of litigation. Gary Gillman stated the Harbor Festival Committee would have been able to secure insurance for the fishing tournament; however, the carrier wanted to insure the whole activity. He said in future years, this expense will be budgeted. MOTION: Councilmember Odell moved for the adoption of Resolu- tion no. 105-89. The motion was seconded by Coun- cilmember Wuriu and unanimously carried. (5-0) MOTION: Mayor Sheetz moved the City allocate $1,000 to purchase separate insurance coverage for the Harbor Festival event. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) MOTION: Councilmember Lemons moved for the adoption of Resolu- tion No. 106-89. The motion was seconded by Coun- cilmember Odell and unanimously carried. (5-0) E. CLOSED SESSION MOTION: Councilmember Wuriu moved the meeting adjourn to Closed Session. The motion was seconded by Councilmember Odell and unanimously carried. (5-0) Mayor Sheetz announced Council was adjourning to Closed Session to discuss personnel in accordance with Government Code Section 54957. The meeting adjourned to Closed Session at 8:35 p.m. and returned to regular session at 10:10 p.m. F. ADJOURNMENT MOTION: Councilmember Odell moved the meeting be adjourned. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) The meeting adjourned at 10:10 p.m. Recorded by: ARDITH DAVIS City Clerk 0 11 /4/) /1,Y7 r City Of Morro OBay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life which we all enjoy. We are committed to this purpose and will provide a level of municipal service consistent and responsive to our public and its needs. REGULAR MEETING - AUGUST 14, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL INVOCATION PLEDGE OF ALLEGIANCE PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearings items under Section D) may do so by standing. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should normally be limited to three minutes. Unless an item is pulled for separate action by the City Council, the fol- lowing actions are approved without discussion. A-1 CITY COUNCIL MINUTES OF THE ADJOURNED REGULAR MEETING WITH THE SAN LUIS OBISPO CITY COUNCIL OF JUNE 14, 1989; THE SPECIAL JOINT MEETING WITH THE WATER ADVISORY BOARD OF JULY 20, 1989; THE REGULAR MEETING OF JULY 24, 1989; AND THE SPECIAL MEETING OF AUGUST 4, 1989 A-2 RESOLUTION NO. 94-89 APPROVING TEN-YEAR LEASE RENEWAL WITH PACIFIC GAS AND ELECTRIC FOR PUBLIC USE OF LILA KEISER PARK A-3 RESOLUTION NO. 91-89 AUTHORIZING INSTALLATION OF STOP SIGNS ON IRONWOOD AVENUE AT AVALON STREET A-4 DECLARATION OF PROPERTY SURPLUS TO THE CITY'S NEEDS A-5 AWARD OF CONTRACT FOR PURCHASE OF EMERGENCY GENERATOR FOR FIRE STATION NO. 1 (PROJECT PW 89-06) A-6 RESOLUTION NO. 95-89 PETITIONING THE LEAGUE OF CALIFORNIA CITIES FOR INTRODUCTION OF STATE LEGISLATION TO PROVIDE TORT IMMUNITIES FOR PUBLIC ENTITY OR NOT -FOR -PROFIT RECREATION FACILITIES, PROGRAMS, AND SPECIAL EVENTS A-7 ADOPTION OF 1989-90 OUTSIDE COMMUNITY PROMOTIONS BUDGET A-8 RESOLUTION NO. 89-89 APPROVING ASSIGNMENT OF UNDIVIDED ONE-HALF LEASE- HOLD INTEREST FROM MICHAEL FITZSIMMONS TO SHARON MOORE (FITZSIMMONS) ON LEASE SITES 113W, 124-127W, AND 128W (DBA VIRG'S FISH'N) A-9 RESOLUTION NO. 90-0 ACCEPTING PROJECT NO. PW*8-07 AS COMPLETE; OFF - SITE IMPROVEMENTS FOR PEOPLES' SELF-HELP HOUSING CORP. SENIOR HOUSING PROJECT (ELENA STREET AREA) A-10 REJECTION OF CLAIM AGAINST THE CITY (COOK) A-11 ACCEPTANCE OF RESIGNATION FROM REFUSE COLLECTION FRANCHISE BOARD (McCARTY) B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 96-89 PARTIALLY REDUCING CONDITIONAL USE PERMIT AND COASTAL DEVELOPMENT PERMIT FEES FOR CAL POLY CREW CLUB BOATHOUSE APPLICATION C. NEW BUSINESS C-1 AUTHORIZATION OF MORRO BAY POLICE OFFICER ASSIGNMENT TO COUNTY NARCOTICS TASK FORCE FOR 18 MONTHS, AND APPROVAL OF ONE ADDITIONAL POLICE OFFICER POSITION C-2 REFUSE FRANCHISE BOARD RECOMMENDATIONS FOR CITY POSITION OPPOSING MANUFACTURE AND USE OF POLYSTYRENE FOAM FOOD PACKAGING MATERIALS (RESOLUTION NO. 92-89) AND OZONE -DEPLETING CHEMICALS (RESOLUTION NO. 93-89) C-3 ALLOCATION OF UNEXPECTED FEDERAL AID TO URBAN SYSTEMS (FAU) MONIES FOR TRANSPORTATION RELATED PURPOSES ($50K) D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 ZONING ORDINANCE (ORDINANCE NO. 359) AND GENERAL PLAN LAND USE MAP (RESOLUTION NO. 97-89) AMENDMENTS DESIGNATING A VACANT SINGLE PARCEL OF LAND ON ZANZIBAR STREET FROM COUNTY AGRICULTURE ZONING TO THE CITY'S SINGLE FAMILY RESIDENTIAL ZONING (R-1/S.1); GIST ANNEXATION (GP/ZOA 03-89) D-2 CONSIDERATION OF ENACTING ORDINANCE NO. 358 TO REQUIRE MANDATORY INSTALLATION OF FIRE SPRINKLER SYSTEMS IN NEW THREE-STORY HOMES, IN NEWLY -CONSTRUCTED RESIDENTIAL GARAGES, IN NEW SUB -DIVISIONS AND ANNEX- ATIONS, AND IN NEW RESIDENTIAL STRUCTURES LARGER THAN 5,000 SQ.FT. D-3 HEARING ON SAN LUIS OBISPO COUNTY AIR POLLUTION CONTROL DISTRICT'S PROPOSAL FOR IMPLEMENTATION OF A COUNTYWIDE MOTOR VEHICLE INSPECTION PROGRAM E. CLOSED SESSION E-1 GOVERNMENT CODE SECTION 54957.6(A), LABOR RELATIONS E-2 GOVERNMENT CODE SECTION 54957, PERSONNEL F. ADJOURNMENT COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 14, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Sheetz called the meeting to order at 6:00 p.m. w__ l ;_ PRESENT: Rose Marie John Baker John Lemons Jeff Odell Tom Wuriu Sheetz Mayor Councilmember Councilmember Councilmember Councilmember ABSENT: None STAFF: Gary Napper Judy Skousen Ardith Davis William Farrel Forrest Henderson Dave Howell Nick Nichols Bernie Zerr City Administrator City Attorney City Clerk Community Dev. Dir. Asst. City Admin. Police Chief Public Works Dir. Fire Chief Beth Murphy of the Coast Christian Fellowship gave the invoca- tion, and Horace Strong led the Pledge of Allegiance. 1. Mary Phillips commented on Item A-6 regarding tort immunities for public entities stating the Mayor had already asked the League of California Cities to consider this item before the rest of the Council knew anything about it. She believed the action to be highly irregular and cautioned Council against enacting the Resolution. •_ _:S_:_ •� •. _: None. • 1� � _ .l • �. _ .; • • J:.T�l��i:��!CH�1�:S w ��=1F�l+L'a4_d'.l Mr. Napper recommended Council approve the minutes as submitted. M • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 14, 1989 PAGE 2 A-2 RESOLUTION NO. 94-89 APPROVING TEN-YEAR LEASE RENEWAL WITH PACIFIC GAS AND ELECTRIC FOR PUBLIC USE OF LILA KEISER PARK Mr. Napper recommended Council adopt Resolution No. 94-89. A-3 RESOLUTION NO, 91-89 AUTHORIZING INSTALLATION OF STOP SIGNS ON IRONWOOD AVENUE AT AVALON STREET Mr. Napper recommended Council adopt Resolution No. 91-89. A-4 DECLARATION OF PROPERTY SURPLUS TO THE CITY'S NEEDS Mr. Napper recommended Council ratify the declaration of unclaimed property surplus to the City's needs as submitted by the Chief of Police. A-5 AWARD OF CONTRACT FOR PURCHASE OF EMERGENCY —GENERATOR FOR FIRE STATION NO. 1 (PROJECT PW 89-06) Mr. Napper recommended Council award the contract to Lee Wilson Electric Company in the amount of $19,990. ONE• lot%•W �• •\_� _�_ • •Sz_ Mr. Napper recommended Council adopt resolution No. 95-89. A-7 ADOPTION OF 1989-90 OUTSIDE COMMUNITY PROMOTIONS BUDGET Mr. Napper recommended Council approve the FY 89-90 Community Promotions Program as submitted by the Community Promotions Committee. Mr. Napper recommended Council adopt Resolution No. 89-89. Mr. Napper recommended Council adopt Resolution No. 90-89. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 14, 1989 PAGE 3 A-10 REJECTION OF CLAIM AGAINST THE CITY (COOK) Mr. Napper recommended Council deny the liability claim, and authorize the City Clerk to sign and mail the appropriate rejec- tion letter. Mr. Napper recommended Council accept the resignation of Richard McCarty from the Refuse Collection Franchise Board, and instruct staff to advertise the vacancy. Councilmember Lemons requested Item A-6 be pulled for separate discussion; Councilmember Wuriu requested Item A-7 be pulled. Councilmember Odell stated he had a correction to the minutes of July 24, 1989 on page 10, end of the last sentence in the first paragraph, "...if used for any other use but research and/or education". MOTION: Councilmember Wuriu moved for the approval of the Con- sent Calendar with the exception of Items A-6 and A-7, and including the correction to the minutes of July 24, 1989. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) Councilmember Lemons stated he did not believe the Resolution should include reference to "not -for -profit" organizations; the Virginia Beach law this Resolution is modeled after does not include this reference. Councilmember Odell asked if there were any constitutional prob- lems with the law? Ms. Skousen said no; it is the same as the Virginia Beach law except for the reference to not -for -profit organizations. Mayor Sheetz stated Mary Phillips is concerned this law will stop people from filing lawsuits against the City; this is not true, the City will still be liable for gross negligence. Councilmember Wuriu asked what the definition of gross negligence is? Ms. Skousen stated it is an act so bad, the ordinary person would not do it; something stupid. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 14, 1989 PAGE 4 Mr. Napper explained the reason for including not -for -profit organizations in the Resolution is to broaden the base and hope- fully secure more support for introducing legislation. Councilmember Lemons stated he is against something which will allow political action committees to sponsor events and be exempt from tort liability. Mayor Sheetz stated she had introduced this matter because public agencies are finding it increasingly difficult to obtain insur- ance for recreational activities and facilities. MOTION: Councilmember Lemons moved for the adoption of Resolu- tion No. 95-89 as amended to delete reference to "not - for -profit" organizations. The motion was seconded by Baker and carried with Councilmember Odell voting no. (4-1) A-7 ADOPTION OF 1989-90 OUTSIDE COMMUNITY PROMOTIONS BUDGET Councilmember Wuriu stated it would be helpful if future reports from the Committee would include response information on how the money is spent in terms of letters and telephone calls received. Mr. Napper stated it is difficult to determine what dollar attracts which visitor, however, he will relay Councilmember Wuriu's comments to the Committee. MOTION: Councilmember Wuriu moved for the approval of Item A-7. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) B. UNFINISHED BUSINESS B-1 RESOLUTION NO, 96-89 PARTIALLY REDUCING CONDITIONAL USE PERMIT AND COASTAL DEVELOPMENT PERMIT FEES FOR CAL POLY CREW CLUB BOATHOUSE APPLICATION Mr. Napper stated Council determined at their last meeting to partially reduce the permit fees that would normally be charged to the Cal Poly Crew Club for building a boat house ( $877.80) . The proposed Resolution sets forth the findings for waiving $477.80 of the fees endeavoring to formalizing this action so as to avoid setting a precedent in granting waivers. As an alterna- tive to waiving fees, Mr. Napper suggested Council give the Cal Poly Crew Club a grant from the Aid to Agencies budget in an amount equal to that proposed for waiver. MOTION: Councilmember Odell moved for adoption of Resolution No. 76-89. The motion was seconded by Wuriu. Mayor Sheetz stated she is not in favor of this Resolution; she believes it will open the door for other organizations to request MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 14, 1989 PAGE 5 the same consideration. If Council was going to approve this item, she requested they instead give the Crew Club a grant through the Aid to Other Agencies budget thus avoiding the appearance of waiving fees. Councilmember Odell withdrew his motion, and Coun- cilmember Wuriu his second. MOTION: Councilmember Wuriu moved Council approve a grant to the Cal Poly Crew Club in the amount of $477.80 from the Aid to Other Agencies budget. The motion was sec- onded by Councilmember Odell. Councilmember Lemons stated his objection to assisting the Cal Poly Crew Club financially is because they have a budget of $60,000, and the total fees only amount to 1�% of that budget. During budget hearings, Council chose not to support some organi- zations in the City and County that were definitely in need of funding. Mayor Sheetz stated she did receive a letter from the Crew Club outlining how hard they had to work for their money. The motion carried with Councilmember Lemons and Mayor Sheetz voting no. (3-2) Police Chief Dave Howell stated the County Narcotics Task Force has seized sufficient funds to fully fund an additional officer for 18 months, and the City of Morro Bay has been requested to assign an officer to the Task Force. There will be no cost to the City, however, after the 18 months the officer will return to City employment. Chief Howell requested Council authorize back - filling the vacated position in order the Department will remain fully staffed, and pre -approve an additional police officer posi- tion for January 1991 when the officer assigned to the Narcotics Task Force will return to paid City employment. MOTION: Councilmember Lemons moved Council authorize the assignment of one police officer to the Narcotics Task Force, authorize back -filling of the vacated position, and pre -approve the funding of one additional police officer position in January 1991. The motion was sec- onded by Councilmember Baker and unanimously carried. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 14, 1989 PAGE 6 Mr. Nichols stated the Refuse Collection Franchise Board consid- ered correspondence from the County of Santa Cruz requesting the City enact laws to prohibit the use of polystyrene foam food packaging products and a reduction in the use of non -recyclable food packaging materials. Santa Cruz County also proposed the City support legislation to discontinue the use of ozone -deplet- ing chemicals; air conditioning, refrigeration, and fire extin- guishers release chlorofluorocarbons which deplete the ozone. Resolutions supporting the concepts proposed by Santa Cruz County are included for Council consideration. Councilmember Odell commented number one in Resolution No. 92-89 is unnecessary in view of the language in number two. He also stated one material, polystyrene foam, should not be singled out; rather food establishments should be encouraged to use biodegrad- able or recylable materials. Councilmember Baker said he hoped an alternative chemical would be found for use in fire extinguishers before the use of chlorofluorocarbons was prohibited. Councilmember Lemons suggested sending copies of the Resolutions to the County Board of Supervisors as they will be considering a similar item in the near future. MOTION: Councilmember Wuriu moved for the adoption of Resolu- tions No. 92-89 and 93-89. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) Mr. Nichols stated the City is in receipt $50,094.33 of unobli- gated FAU monies due to a pay -back of funds from the Santa Clara County Traffic Authority. The only condition of the funds is they be used for transportation purposes. Mr. Nichols reviewed a number of projects which could be constructed with these funds; he recommended the construction of a portion of the proposed storm drain improvement project on Morro Bay Blvd. from Market Avenue to Main Street. The City Administrator's recommendation is to continue with street overlays. Mr. Nichols also noted the Street Budget uses $450,000 of General Fund monies, therefore Council could allocate the $50,000 to the existing Street Budget, and utilize $50,000 of General Fund monies for a general purpose project. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 14, 1989 PAGE 7 Councilmember Wuriu asked when streets could be overlayed if the money was allocated for that purpose? Mr. Nichols said probably next spring or summer. Councilmember Lemons suggested Council refer this matter to the Street Advisory Committee for their recommendations. Councilmember Baker stated the Fire Chief has located another ladder truck which it may be possible of the City to purchase, however, it is too large and will not fit into the Fire Station. He suggested the funds return to the General Fund and the money be used to cover the space between the Fire Station and the office so the ladder truck could be housed there. MOTION: Councilmember Lemons moved this matter be referred to the Street Advisory Committee for their recommenda- tions. The motion was seconded by Councilmember Wuriu and carried with Councilmember Baker voting no. (4-1) ._\Ito_ _l I" __._. _ �of Dy_W Q1•.SN Mr. Farrel stated last year Council approved the annexation of a small vacant parcel at the northwest corner of Zanzibar Street and Panorama Drive. It is now appropriate to establish a Land Use Plan map and zoning designation. The most suitable designa- tion in view of the surrounding area is R-1/S.1 (Single Family Residential/Special Building Site and Yard Requirements). He recommended Council adopt Resolution No. 97-89 to amend the Land Use Plan Map, and approve first reading of Ordinance No. 359 to begin the process of amending the zoning map. Mayor Sheetz opened the matter to the public for comments; there were no comments and the hearing was closed. MOTION: Councilmember Lemons moved Ordinance No. 359 be read by title and number only. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) Mr. Napper read Ordinance No. 359 by title and number only. MOTION: Councilmember Lemons moved for approval of the first reading of Ordinance No. 359. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 14, 1989 PAGE 8 MOTION: Councilmember Lemons moved for the adoption of Resolu- tion No. 97-89. The motion was seconded by Councilmem- ber Odell and unanimously carried. (5-0) D-2 CONSIDERATION OF ENACTING ORDINANCE NO 358 TO REQUIRE MANDATORY INSTALLATION OF FIRE SPRINKLER SYSTEMS IN NEW THREE-STORY HOMES, IN NEWLY -CONSTRUCTED RESIDENTIAL GARAGES, IN NEW SUB -DIVISIONS AND ANNEXATIONS AND IN NEW RESIDENTIAL• STRUCTURES LARGER THAN 5.000 SO FT. Chief Zerr stated Council first considered a fire sprinkler ordi- nance in 1988. At that time it was determined the ordinance was too comprehensive and Council requested staff revise the ordi- nance. The ordinance now before Council has been revised, and Chief Zerr reviewed all provisions and reasons for including them in the ordinance. Mayor Sheetz opened the hearing to the public. Dave Baker, North County Contractors Association, stated there have been advances in the manufacture of fire retardant building materials; the requirement for fire sprinklers will hamper the ability of people to buy their own home; and there are a number of inconsistencies in the ordinance. Dale Reddell, 680 Sequoia, stated the Findings of Purpose and Intent detailing the Fire Department's response to the north end of town in excess of normal standards, run times in excess of five minutes, and seismic activity will require this information to be included on the Central Coast Real Estate Disclosure State- ment. He encouraged Council to drop the ordinance completely. Mayor Sheetz closed the hearing to the public. Mayor Sheetz asked the City Attorney if the findings in the ordi- nance are sufficient? Ms. Skousen stated the findings listed are obvious and do not change the facts. She noted she encourages staff to, include findings in their ordinances, but it is not legally necessary to have them. Councilmember Odell asked if the findings would have to be included in real estate disclosures statements? Ms. Skousen stated she has not reviewed the statement recently, however, does not believe the findings are sufficiently detailed to warrant inclusion on the statement. Councilmember Baker commended the Fire Chief for developing the ordinance. He commented if building materials were sufficiently safe, people would not be dying from fires in buildings. Coun- cilmember Baker agreed with the findings in the Ordinance stating the Fire Department is minimally staffed and to staff Fire Sta- tion No. 2 would cost the City considerably. He recommended MINUTES - MORRO BAY ITY COUNCIL • REGULAR MEETING - AUGUST 14, 1969 PAGE 9 Council adopt the ordinance, and be one of the pro -active cities in the State. Councilmember Lemons was not in favor of the findings set forth in the ordinance. He stated there is new legislation going into effect in January which will allow only a C-16 licensed contrac- tor to install fire sprinklers; how will this affect the ability of builders to obtain this service? Chief Zerr stated they are all over the County; also an individual can install sprinklers if they have completed an approved course on fire protection systems. Councilmember Lemons questioned the need for including subdivi- sions in the ordinance since there are not a lot of subdivisions that can be constructed in this town. He suggested an alterna- tive to requiring people to pay for this added construction expense is to upgrade the Fire Department. Councilmember Lemons stated he is not opposed to including the requirement for 3-story houses or garages to be fire sprinklered. He commented there is an area in Los Angeles where fire sprinklers are required and the insurance companies will not include insurance for water damage in the policies. Chief Zerr said to his knowledge insurance companies do not treat it any different from fire damage, and noted it is easier to pay water damage costs than fire damage costs. Councilmember Wuriu was in favor of the requirement for fire sprinklers in 3-story houses. He was concerned, however, the definition of story in the ordinance is unclear. Also, there are many variables on what is considered a 3-story house. He cannot see the value of requiring sprinklers in garages, but would be in favor of requiring them in subdivisions. Councilmember Odell agreed sprinklers should be required in garages, however, was not comfortable with imposing the other restrictions on people. Councilmember Baker stated Council asked the Fire Chief to re- work the ordinance to take out the things they disagreed with last year; this has been done and now there are new complaints. He said the ordinance offers protection to the community and will save the City money. Mayor Sheetz stated she first proposed the ordinance because of a Fire Department statement the houses on hillsides in Morro Bay are hard to reach for firefighting purposes. Council discussed the story definition for possible alternatives. MOTION: Councilmember Lemons moved the ordinance be referred back to rewrite Section 1, Findings of Purpose and MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 14, 1989 PAGE 10 Intent; change Section 2 to read, "Delete Section 14.60.200 in its entirety...n; rework #4 regarding the definition of story; eliminate #6 and #7. The motion died for lack of a second. Councilmember Wuriu strongly believed the definition of story needs to be rewritten to make it clearer. Ms. Skousen said the definition is taken from the State Building Code and is phrased to cover every possible contingency in the building industry; it has to be complex because there are so many variables in build- ing. The definition has been tested in court, and she does not believe a better definition can be developed that would stand up in court. MOTION: Councilmember Wuriu moved the ordinance be returned to staff for re -working the Findings of Purpose and Intent; eliminate Section 7; and return for Council consideration within 30 days. The motion was seconded by Mayor Sheetz and unanimously carried. (5-0) D-3 HEARING ON SAN LUIS OBISPO COUNTY AIR POLLUTION CONTROL DISTRICTS PROPOSAL FOR IMPLEMENTATION OF A COUNTYWIDE MOTOR VEHICLE INSPECTION PROGRAM Mr. Napper stated San Luis Obispo County has been designated a non -attainment area regarding ozone standards, and is now required to reduce motor vehicle pollutants. Mr. Napper reviewed a proposal by the Air Pollution Control Board for the County to become part of a Motor Vehicle Inspection Program which would require biennial inspection and repair of vehicle emission con- trol systems as a condition of vehicle registration renewal. He reviewed costs connected with the program, and stated the County has requested the City comment on the program. Councilmember Odell asked what percentage of emissions from vehi- cles are generated by non-residents which will not be covered by this program if implemented in the County? He considered air pollution control and smog inspections to be a joke, and did not believe this program will accomplish anything except create more bureaucracy. Mr. Napper stated he could ask Air Pollution Control District representatives to attend a meeting to answer questions if Coun- cil wishes. He noted the inspection program does make an impact, and tourists are subjected to the same type of program in the Los Angeles area. Mayor Sheetz opened the hearing to the public for comments. Tom Knepher, Sierra Club, stated his organization supports the program. MINUTES - MORRO BAY CITY COUNCIL • REGULAR MEETING - AUGUST 14, 1989 PAGE 11 Ed Hietman, 525 Madera, commented vehicles are subjected to these inspections while the power companies and refineries are not. MOTION: Councilmember Lemons moved Council endorse the enact- ment of a Motor Vehicle Inspection Program in San Luis Obispo County, and staff be directed to notify the Board of Supervisors of this action. The motion was seconded by Councilmember Wuriu. Councilmember Odell commented he is in favor of air pollution control, but thinks this program is the wrong way to attack the problem. The fuel in the car, rather than the car, is the prob- lem which should be dealt with. The motion was unanimously carried. (5-0) E. CLOSED SESSION MOTION: Councilmember Odell moved the meeting adjourn to Closed Session. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) Mayor Sheetz announced Council is adjourning to Closed Session in accordance with Government Code Section 54957.6(a), labor rela- tions, and Section 54957, personnel. Council adjourned to Closed Session at 8:34 p.m. and returned to regular session at 10:10 p.m. F. ADJOURNMENT MOTION: Councilmember Baker moved the meeting be adjourned. The motion was seconded by Councilmember Odell and unanimously carried. (5-0) The meeting adjourned at 10:10 p.m. Recorded by: az4l" e4� ARDITH DAVIS City Clerk 6 i NOT = C E OF S PE C S AL MEET = NG NOTICE IS HEREBY GIVEN that a Special Meeting of the Morro Bay City Council is hereby called to be held on Friday, August 4, 1989 at 11:00 a.m. in the Morro Bay City Hall Conference Room, 595 Harbor Street, Morro Bay, CA. Said Special Meeting shall be for the purpose of holding a Closed Session to consider personnel in accordance with Government Code Section 54957. DATED: August 3, 1989 ROSE MARIE SHEETZ, Mayor City of Morro Bay, Calif MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - AUGUST 4, 1989 CITY HALL CONFERENCE ROOM - 11:00 A.M. Mayor Sheetz called the meeting to order at 11:05 a.m. PRESENT: Rose Marie Sheetz Mayor John Baker Councilmember Tom Wuriu Councilmember ABSENT: John Lemons Jeff Odell Councilmember Councilmember MOTION: Councilmember Wuriu moved the meeting adjourn to Closed Session. The motion was seconded by Councilmember Baker and unanimously carried. (3-0) Mayor Sheetz announced Council is adjourning to Closed Session to consider personnel matters in accordance with Government Code Section 54957. The meeting adjourned to Closed Session at 11:05 a.m. Councilmember Odell arrived at 11:15 a.m. The meeting returned to regular session at 11:38 a.m. MOTION: Councilmember Odell moved the meeting be adjourned. The motion was seconded by Councilmember Baker and unanimously carried. (4-0) The meeting adjourned at 11:38 a.m. Recorded GARY NAPPER Deputy City `J atl, 1?f9 City Of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life which we all enjoy. We are committed to this purpose and will provide a level of municipal service consistent and responsive to our public and its needs. REGULAR MEETING - JULY 24, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL INVOCATION PLEDGE OF ALLEGIANCE - MOST VALUABLE EMPLOYEE, FIRE ENGINEER PAUL DEIS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so by standing. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should normally be limited to three minutes. DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES OF THE REGULAR MEETING OF JULY 10, 1989 A-2 STATEMENT OF INVESTMENTS - JUNE 1989 A-3 EXPENDITURE REPORT - JUNE 1989 A-4 AWARD OF CONTRACT FOR PROJECT NO. PW 89-04, ANNUAL STREET RESTRIPING PROGRAM A-5 RESOLUTION NO. 70-89 APPROVING ANNUAL RATIFICATION OF SAN LUIS AREA COORDINATING COUNCIL JOINT POWERS AGREEMENT A-6 RESOLUTION NO. 83-89 COMMENDING DAVID PETERSON FOR HIS 24 YEARS OF PUBLIC SERVICE UPON RETIREMENT FROM THE CITY OF MORRO BAY A-7 RESOLUTION NO. 85-89 ADOPTING 1989 WEED ABATEMENT CHARGES FOR LOTS ABATED BY CITY CONTRACT A-8 RESOLUTION NO. 86-89 ACCEPTING 1989 STATE COMMUNITY DEVELOPMENT BLOCK GRANT ($24,000) FOR TECHNICAL ASSISTANCE TO CONDUCT A STUDY FOR POSSIBLE CONVERSION OF MOTELS TO LOW—COST HOUSING EFFICIENCY UNITS B. UNFINISHED BUSINESS B-1 ORDINANCE NO. 354 AMENDING ZONING ORDINANCE TO INCORPORATE REVISED PARKING STANDARDS (ZOA 03-89; SECOND READING/ADOPTION) B-2 ORDINANCE NO. 355 REGULATING AND LIMITING THE OPERATION AND LANDING OF AIRCRAFT WITHIN THE CITY LIMITS (SECOND READING/ADOPTION) C-1 RECOMMENDATION FROM STREET ADVISORY COMMITTEE FOR VARIOUS TRAFFIC REGULATION SIGNAGE IN NORTH MORRO BAY (ALONG AVALON AVENUE AND SAN JACINTO STREET) C-2 RECOMMENDATION FROM STREET ADVISORY COMMITTEE REGARDING ON —STREET PARKING ON MORRO BAY BLVD. AT QUINTANA ROAD TO ELIMINATE SELLING OF USED CARS (RESOLUTION NO. 87-89) C-3 REQUEST BY CAL POLY CREW CLUB FOR WAIVER OF CITY PERMIT FEES FOR THEIR CONSTRUCTION OF A BOAT HOUSE ON PACIFIC GAS AND ELECTRIC PROPERTY D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 ANNUAL PERFORMANCE REPORT ON THE 1987 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM FOR THE PEOPLES' SELF—HELP HOUSING CORP. SENIOR HOUSING PROJECT ON ELENA STREET (NO. 87—STBG-227) D-2 CONTINUED HEARING ON APPEAL OF PLANNING COMMISSION'S PRELIMINARY DETERMINATION OF LAND USE CONSISTENCY REGARDING "THE CLOISTERS" 213 HOUSING UNIT SUBDIVISION (CUP 09-87/TM02-88/CDP 89-87; KEYOTO—NATALIE, APPELLANT) TABLE INDEFINITELY D-3 CONSIDERATION OF CONCEPT PLAN (CUP 07-89) FOR CONSTRUCTION OF A MARINE RESEARCH AND EDUCATION CENTER PROJECT PROPOSED FOR VACANT LEASE SITE 49/49W (MORRO BAY ESTUARY CENTER, APPLICANT; SITE ADJACENT TO 451 EMBARCADERO) D-4 RESOLUTION NO. 82-89 AMENDING POLICY REGULATIONS CONCERNING THE MOORING OF VESSELS IN MORRO BAY HARBOR D-5 ORDINANCE NO. 356 ELIMINATING THE 5 MPH SPEED LIMIT IN MORRO BAY HARBOR, WEST OF THE BREAKWATERS (INTRODUCTION/FIRST READING) D-6 ORDINANCE NO. 357 AMENDING THE DEFINITION AND ANNUAL QUALIFICATION OF COMMERCIAL FISHING VESSELS FOR PRIORITY USE OF CITY SLIPS (INTRODUCTION/FIRST READING) E. CLOSED SESSION E-1 GOVERNMENT CODE SECTION 54956.9(A), PENDING LITIGATION, CIFAC VS. CITY OF MORRO BAY E-2 GOVERNMENT CODE SECTION 54956.9(B)(1), POTENTIAL LITIGATION F. ADJOURNMENT COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 24, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Sheetz called the meeting to order at 6:00 p.m. iF :W PRESENT: Rose Marie John Baker John Lemons Jeff Odell Tom Wuriu ABSENT: None Sheetz Mayor Councilmember Councilmember Councilmember Councilmember STAFF: Gary Napper Judy Skousen Alan Davis Ardith Davis Bill Farrel Nick Nichols Horace Strong gave the Allegiance. invocation and City Administrator City Attorney Harbor Director City Clerk Community Dev. Dir. Public Works Dir. led the Pledge of Mayor Sheetz presented Paul Deis with the Most Valuable Employee Award for the April -June 1989 quarter. She noted he saved the City approximately $15,000 in suggesting the use of old fire hose filled with air for a boom around the South T-Pier during plank- ing demolition. The alternative was renting an oil -containment boom from a contractor for a cost of $15,000; Mr. Dies' sugges- tion cost the City less than $500. Mayor Sheetz also announced Council will be holding their next workshop with the Water Advisory Board regarding funding of cur- rent and new water projects on August 31, 1989 at 3 PM in the Veterans Hall. 1. Mary Phillips read a letter received by Congressman Leon Panetta about the City of Virginia Beach concerning their statute exempting the City from gross negligence claims on recre- ational facilities/sites. • :_s_ •Z • : •U_a None. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 24, 1989 PAGE 2 A. CONSENT CALENDAR A-1 CITY COUNCIL MINUTES OF THE REGULAR MEETING OF JULY 10, 1989 Mr. Napper recommended Council approve the minutes as submitted. Mayor Sheetz offered a typographical correction to the minutes. Councilmember Lemons stated he would abstain from voting for ap- proval of the minutes as he was not at the last Council meeting. A-2 STATEMENT OF INVESTMENTS - JUNE 1989 Mr. Napper recommended Council receive the report for file. A-3 EXPENDITURE REPORT - JUNE 1989 Mr. Napper recommended Council approve the Report as submitted. A-4 AWARD OF CONTRACT FOR ANNUAL STREET STRIPING PROGRAM Mr. Napper recommended Council award the contract to Sterndahl of $23,926.28. waive the bid irregularity and Enterprises, Inc. in the amount LUIS AREA COORDINATING.COUNCIL JOINT POWERS AGREEMENT Napper Council adopt • • \• •y�Y \�_\ _•v_ _• _ N' • •� R__ RESOLUTIONYE4VS OF PUBLIC MORRO BAY Mr. Napper recommended Council adopt Resolution No. 83-89. ED ABATEMENT CHARGES •• -•__ • •\ y•_• - Napper •u - . -. Council adopt Councilmember Wuriu asked about the high cost of weed abatement at an average $178.90 per parcel. Mr. Napper stated the charges include clearing the weeds from the lot, and land -fill charges for dumping the weeds have greatly increased. Mr. Napper recommended Council adopt Resolution No. 86-89. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 24, 1989 PAGE 3 MOTION: Councilmember Wuriu moved for approval of Item A-1, Minutes, as amended. The motion was seconded by Odell unanimously carried with Councilmember Lemons abstaining. (4-0-1) MOTION: Councilmember Odell moved for approval of Items A-2 through A-8 on the Consent Calendar. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) B-1 ORDINANCE NO, 354 AMENDING ZONING ORDINANCE TO INCORPORATE ADOPTION) REVISEDPARKING--- - Mr. Napper stated this ordinance brings the City's zoning ordi- nance into compliance with the General Plan and its Elements. After Council approval it will be submitted to the Coastal Com- mission for certification. MOTION: Councilmember Odell moved Ordinance No. 354 be read by title and number only. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) Mr. Napper read Ordinance No. 354 by title and number only. MOTION: Councilmember Odell moved for the adoption of Ordinance No. 354 as second and final reading. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) LANDING OF AIRCRAFT WITHIN THE CITY LIMITS (SECOND READING/ ADOPTION) Mr. Napper stated this ordinance prohibits aircraft landing and taking off within the City except by permit. The ordinance will go into effect on August 23rd. MOTION: Councilmember Baker moved Ordinance No. 355 be read by title and number only. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) Mr. Napper read Ordinance No. 355 by title and number only. MOTION: Councilmember Odell moved for adoption of Ordinance No. 355 as second and final reading. The motion was sec- onded by Councilmember Baker and unanimously carried. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 24, 1989 PAGE 4 C. NEW BUSINESS C-1 RECOMMENDATION FROM STREET ADVISORY COMMITTEE FOR VARIOUS TRAFFIC REGULATION SIGNAGE IN NORTH MORRO BAY (ALONG AVALON AVENUE AND SAN JACINTO STREET) Mr. Nichols reviewed the recommendations posed by the Street Advisory Committee (SAC) following Council request for SAC's review of signage in North Morro Bay on Avalon, Elena, San Joaquin, San Jacinto, and Sequoia Streets. Their recommendations include signing San Jacinto and Alder Street for a 3-way stop intersection; Avalon and North Main Street, a 3-way stop inter- section; and substituting stop signs for existing yield signs on Ironwood Avenue at Avalon Street. In reviewing whether or not stop signs are needed for cross streets on the collector streets, the SAC determined there are not sufficient congestion or acci- dents to warrant the costs of installing a large number of stop signs. Mr. Nichols stated he and the Chief of Police disagree with SAC's recommendation for stop signs at Avalon and Main Streets. He noted SAC's recommendation for stop signs at San Jacinto/Alder and Ironwood/Avalon is predicated on the installation of stop signs at Main/Alder. Councilmember Wuriu stated his interest in stop signs at the col- lector streets is to make it safer to drive in Morro Bay; San Jacinto is a through -fare and collector street and should have the right-of-way at every intersection. He realizes it costs money to install stop signs, but believed it could be accom- plished in phases. Councilmember Lemons agreed with the SAC recommendations except the stop sign at Main and Avalon. He is not in favor of install- ing stop signs at all intersections without the necessary warrants. Councilmember Baker stated he lives on San Jacinto and knows of at least three accidents at San Jacinto and Elm. He appreciates the efforts of the SAC, but is not in favor of the stop sign at Main and Avalon. Al Paul, Chairman of the Street Advisory Committee, believed the problem on these streets is the speed of the vehicles; the speed limit should be enforced more stringently. MOTION: Councilmember Lemons moved Council adopt the recommen- dations of the SAC except for the stop sign at Main Street and Avalon. The motion died for lack of a second. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 24, 1989 PAGE 5 Council discussed the recommendation for a 3-way stop at San Jacinto and Alder Street. MOTION: Councilmember Lemons again moved Council adopt the rec- ommendations of the SAC except for the stop sign at Main Street and Avalon. The motion was seconded by Councilmember Baker and failed on the following roll call vote: AYES: Baker, Lemons NOES: Odell, Wuriu, Sheetz MOTION: Councilmember Wuriu moved Council approve the recommen- dation of the Street Advisory Committee to substitute stop signs for existing yield signs on Ironwood Avenue at Avalon Street. The motion was seconded by Coun- cilmember Odell and unanimously carried. (5-0) Mr. Napper stated a Resolution formalizing this action will be on the Consent Calendar at the next Council meeting. � _ • Mom. _ \ � :. _ • \ ` • V _ � _ : • • � • 4�Y _ _ _ - - � _ _ _:i� \ • \ Mr. Nichols stated the Street Advisory Committee, at Council request, examined the use of Morro Bay Boulevard at Quintana Road as a "used car lot" and methods to restrict such use. Because SAC believes the street is sometimes used by car-poolers, they hesitate to recommend red -curbing the area. They determined pro- hibiting parking from 2:00 a.m. to 6:00 a.m. would enable the Police Department to cite those vehicles parked at this location over -night. Mr. Nichols noted staff prefers red -curbing the street as a.solution to the problem. Councilmember Lemons believes the City should encourage car-pool- ing at every opportunity, and red -curbing would discourage this activity. He is in favor of the recommendation by the SAC. Councilmember Odell questioned how big of a problem this matter is. MOTION: Councilmember Baker moved for adoption of Resolution No. 87-89 prohibiting parking on the south side of Morro Bay Boulevard between Kern Avenue and Quintana Road from 2 AM to 6 AM. The motion was seconded by Councilmember Lemons and carried with Mayor Sheetz vot- ing no. (4-1) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 24, 1989 PAGE 6 C-3 REQUEST BY CAL POLY CREW CLUB FOR WAIVER OF CITY PERMIT FEES FOR THEIR CONSTRUCTION OF A BOAT HOUSE ON PACIFIC GAS AND ELECTRIC PROPERTY Mr. Napper stated the Cal Poly Crew Club has made arrangements with P.G.&E. for lease of their property to construct a boat house for their racing shells. City permits required for this construction are a Conditional Use Permit and Coastal Development Permit; fees for these permits total $877.80. The Club states they are supported by dues and fundraisers, and have requested waiver of the permit fees. Mr. Napper requested Council attach specific findings to any waiver if they so decide in favor of the Crew Club's request. Lawrence Kahle and Matt Hanko, representing the Cal Poly Crew Club, discussed the public benefit and interest to the City of Morro Bay in waiving the fee: public storage for rowers and kayaks; use of the facility by P.G.&E. staff; rowing competitions bring numerous people to Morro Bay and Embarcadero businesses; the rowers spend money in Morro Bay; and, the pleasure the commu- nity derives from watching the practice and races. Councilmember Wuriu asked what costs to the City are involved in the fees. Mr. Farrel responded they are costs associated with staff time to prepare reports and process the application through development; the costs offset the departmental staff time and expenses. Councilmember Lemons asked if the project will be able to earn a negative declaration? Mr. Farrel said he believes so; his only concern is the area they are using to launch their boats is pri- vate property [Coleman Beach] and the City cannot guarantee use of this area. Councilmember Baker stated he is inclined to approve waiver of the fees, but is concerned about setting a precedent. Coun- cilmember Odell was also in favor of the type of activity and waiving the fees. Mr. Napper suggested if Council agrees the fees should be waived, they return the matter to staff to prepare a resolution citing findings for the waiver so this action will not become a precedent for others to request the same consideration. Councilmember Lemons stated although he can see a public benefit in waiving the fees, he believed their annual budget of $60,000 may be able to afford the one-time expense of 1'% of their bud- get. Mayor Sheetz agreed, and stated she could not justify waiv- ing the fees to the taxpayers based on the Crew Club's budget. MOTION: Councilmember Baker moved the noted fees be partially waived and set at $400, and staff be directed to pre- pare a resolution with the appropriate findings for 6 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 24, 1989 PAGE 7 Council approval. The motion was seconded by Coun- cilmember Wuriu and carried with Councilmember Lemons and Mayor Sheetz voting no. (3-2) . �• �. .�.:_\ _ ' • :_ti. _ • .i . 1 • - - _ _ _ s 1. • - _ , • ' _ Mr. Farrel stated the State Department of Housing and Community Development requires an annual performance report of programs in progress. People's Self -Help Housing Corporation (PSHHC) pre- pared the reports on the City's behalf. He summarized the infor- mation in the report for the CDBG grant award of $545,000 for land acquisition and off -site improvements for the 40-unit low- income elderly/handicapped rental housing. Mr. Farrel stated no action is required, but a public hearing must be held to receive comments. Jeanette Duncan, Executive Director of PSHHC, stated they are waiting for the bid package to be approved by HUD; they will break ground for the project as soon as they receive approval. She also noted Phase II of the Housing Rehabilitation Grant Pro- gram of the City may be funded afterall. Mayor Sheetz opened the hearing to the public; there were no com- ments and the hearing was closed. No Council action was taken. Mayor Sheetz noted a settlement agreement has been reached on this item; it is in order to table the matter indefinitely. MOTION: Councilmember Odell moved this item be tabled indefi- nitely. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) Mr. Farrel reviewed the application for a Marine Research Center consisting of a two-story structure extending on a pier over the water. The building will include a research lab, education cen- ter, offices, visitor information and service area including a book store, restrooms, storage areas, docking facility with MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 24, 1989 PAGE 8 hoist, tanks, elevator and viewing areas on the dock and roof. Mr. Farrel gave a detailed report on the concept plan and stated the Planning Commission has approved the plan with conditions. Council is in receipt of a memo from the City Attorney citing the Council's authority to create a new lease site, and a revised business plan from the applicants which includes the concept, operation and financing of the project. Mr. Farrel stated a recommendation opposing a negative environ- mental declaration has been received from the Department of Fish and Game citing their concern about impacts to eelgrass beds and benthic organisms living in the mud under the project site. The applicant will need to submit information responding to these concerns. Major staff concerns are parking and visual impacts, which can be resolved. He recommended Council receive public input, provide staff with direction on modifications, and continue the hearing to a later date for further consideration. Mayor Sheetz opened the hearing to the public for comments. Larry Read, Carmel Street, and Chairman of the Board of Directors for the Morro Bay Environmental Research Center, reviewed his credentials to operate a center of this nature. Other members of the Board include Acting Director Dr. Thomas L. Richards, Randall Ruff, Gene Doughty, Robert Worthy, William Mazzacane, Nancy Bast, and Robert Frazer. He reviewed the qualifications of the various boardmembers and stated they are a non -political group and no selfish motives are involved. Mr. Read noted the advantages of the site for research and its proximity to Tidelands Park. He said the request for exceeding the height limit is to allow for public viewing from the top floor; if Council wishes to limit the height, the public viewing facility can be eliminated. He believes the concerns regarding eelgrass can be mitigated. Tom Richards, Los Osos resident and biologist at Cal Poly, dis- cussed the educational opportunities with the Center. He stated the proposed research center for the Morro Bay Marina facility can also be used by their Center for placing projects. Dr. Richards said the Board of Directors is comfortable with their financial backing, however, the backers hesitate to commit money until they see how the community responds to the project. Once the necessary permits are issued, he is confident they will have the financial support to complete the project. Gene Doughty, project architect, stated the goal of this project is to protect the bay; the main objectives are marine research, education, and visitor serving. The project will also serve as an anchor to the south end of the Embarcadero. The applicants support the in -lieu parking fee and will participate in that pro- gram. The height can be lowered if Council does not approve of MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 24, 1989 PAGE 9 the top floor viewing deck; however, the elevator shaft will still require a four foot extension. He requested Council con- tinue this meeting to the first meeting in September at which time the Board of Directors will present their financing start-up plan. Councilmember Wuriu asked what percentage of the project is on land and what percentage over water? Mr. Doughty said approxi- mately 30% over land and the remaining over water. Reg Whibley, 595 Napa and lease holder next to the proposed research facility site, stated he is in favor of a research cen- ter; however, he has concerns about the substandard lease site, the site guarded against some change of use in the future, and the ability of the organization to fund the program. He noted he made a similar proposal before Council two years ago and was denied based on parking, visual impact, and scope of the struc- ture. He illustrated his proposal was smaller than the one before Council this evening. He does not believe this site appropriate for a research center. Bud Laurent, Department of Fish and Game marine biologist, dis- cussed the eelgrass which is established at this site. He also reviewed the efforts of the Friends of the Estuary to preserve the Bay. He said research of estuaries takes place in the field rather than a lab. He agrees with the need for an educational facility and does not believe this site is adequate for this facility; the applicants are trying to do too many things. Mr. Laurent stated he is concerned about accountability and that many areas are not covered very well. He asked about the City's rela- tionship as far as waiving fees and granting things to these applicants not offered to other people. Ed Ewing, 238 Pacific, was concerned about a non-profit organiza- tion that is private. He would like to see this project public funded, used, and controlled. He asked how the project will pay for itself? Councilmember Wuriu commented the proposed 31 feet height for this project is excessive. He believes the research center idea is excellent, but said this project should be considered the same way the City would any other application. Mayor Sheetz stated this project would be an asset to Morro Bay, but a number of things have to be worked out such as the lease and financing. Councilmember Odell stated the City was willing to go forward with the privatization of this lease site some years ago with more loose ends than this concept plan. He commented Mr. Whibley's proposal for a research center also included a restau- rant. He is concerned with the height; however, the concern is MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 24, 1989 PAGE 10 mitigated when considered in the context would have a different view if the use shirt shop. He suggested a clause be agreement to revoke the lease if used research. *and/or education. of the proposed use. He for the site was for a inserted in the lease for any other use but Councilmember Wuriu requested the architect submit a rendering without the third floor for Council consideration. He does not believe the project should have a special exemption because of its use. Councilmember Lemons stated he has no objections to the elevator on the third floor, but asked numerous questions about the Busi- ness Plan submitted to the Planning Commission dated June 1989 and the one submitted to the Council dated July 1989. As far as he is able to determine, all things remain the same with the exception of the Management Structure and the costs which were $990,000 in the June 1989 report. He asked where the money is coming from and does it have to be paid back? He noted the June report cited a director's salary at $45,000 for half-time, and the July report to Council $23,000 for a part-time director. He reviewed several monetary changes between the reports asking why the changes if everything else in the Business Plan remains the same? Councilmember Lemons said 40-50% of the income is depen- dent on grants and asked what the effect would be if something happens to State and Federal grant programs; in the event of in- solvency, what protection does the City have? He also wanted to know what the Research Center will ask of the City in the way of contributions to the project. He requested answers to these questions be forthcoming at the continued hearing on this subject. Councilmember Baker stated he has some of the same concerns as Councilmember Lemons; he asked if there is a track record for obtaining grants for research. He is in favor of the project, but would like something on which to base the estimates made by the Research Center. MOTION: Councilmember Lemons moved the hearing be continued to September 11, 1989. The motion was seconded by Coun- cilmember Wuriu and unanimously carried. (5-0) Council direction was for staff to prepare documents on a Lease Agreement and title to Lease Site 49/49W for approval with the understanding they may or may not be approved at the September llth meeting. Council recessed from 8:50 p.m. to 9:00 p.m. *corrected at 8-14-89 meeting. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 24, 1989 PAGE 11 Alan Davis stated the Harbor Advisory Board has recently reviewed the regulations for mooring vessels in the Bay with an eye toward more efficiently utilizing all available areas of the harbor. They determined support should be given to local, active, working vessels and because of the variables in the harbor, as much dis- cretion as possible should be included in the regulations. Mr. Davis reviewed the proposed amendments recommended by the Harbor Advisory Board. He said the amendments must be forwarded to the California Department of Boating and Waterways before formal approval by Council. Mayor Sheetz opened the hearing to the public; there were no com- ments and the hearing was closed. MOTION: Councilmember Lemons moved Council endorse the harbor use policy concepts as contained in the Resolution, and instructed staff to forward the proposed regulations to California Boating and Waterways for their review and approval. The motion was seconded by Councilmember Odell and unanimously carried. (5-0) D-5 ORDINANCE NO 356 ELIMINATING THE MPH SPEED LIMIT IN MORRO BAY HARBOR WEST OF THE BREAKWATERS (I_NTRODUCTION/FIRST READING) Mr. Davis stated at Council direction, an ordinance has been pre- pared to amend the current 5 MPH harbor speed limit to include only those areas located within the boundaries of the breakwaters and interior bay. The current ordinance extends approximately 15,000 feet outside of the breakwaters to the City limits. This amendment must also be forwarded to the California Department of Boating and Waterways for their review. He recommended Council approve first reading of Ordinance No. 356. Mayor Sheetz opened the hearing to the public for comments. Nelson Sullivan did not believe the ordinance needs to be changed; he said the language of the ordinance is clear to be enforced "in any portion of Morro Bay within the City". Council is worrying about the part outside of Morro Bay, but the ordi- nance does not. Judy Skousen stated the concern is basically with semantics; the proposed ordinance clarifies the City is not placing a speed limit outside of the harbor. MOTION: Councilmember Lemons moved Ordinance No. 356 be read by title and number only. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) 0 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 24, 1989 PAGE 12 Mr. Napper read Ordinance No. 356 by title and number only. MOTION: Councilmember Lemons moved for approval of the first reading of Ordinance No. 356. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) D-6 ORDINANCE NO. 357 AMENDING THE DEFINITION AND ANNUAL OUALI- FICATION OF COMMERCIAL FISHING VESSELS FOR PRIORITY USE OF CITY SLIPS (INTRODUCTION/FIRST READING) Mr. Davis reviewed the amendment for the definition of "vessels of a commercial nature" in order to qualify for renting City docks, wharves and piers. The current law allows vessels to qualify by proof of 60 days fishing by fuel tickets. The Harbor Advisory Board recommends the ordinance be amended to require the qualification of commercial vessel to be based on gross receipts depending on length of vessel; $10,000 if the vessel is less than or equal to 45 feet in length, and $20,000 if the vessel is greater than 45 feet. Mayor Sheetz opened the hearing to the public. John Greenville, 555 Bernardo, and President of the Morro Bay Commercial Fishermens Organization, commended the Harbor Advisory Board on their plan. He believed, however, it would be more equitable to use the net tonnage of a vessel as the basis for qualifying rather than length. He said the length can be very deceiving and gave an illustration. Using tonnage puts everyone under the same measurement. Mr. Davis said it is an interesting approach and one that had not been examined. Ed Ewing, 238 Pacific, suggested the City require boats mooring at City facilities be required to furnish the City with certifi- cates of insurance. Nelson Sullivan agreed with Mr. Greenville's suggestion to base qualifying commercial vessels on net tonnage. MOTION: Mayor Sheetz moved this item be returned to the Harbor Advisory Board for consideration of using tonnage rather than length of vessel to qualify as a commercial vessel, and also discuss requiring vessels to furnish the City with evidence of insurance. The motion was seconded by Councilmember Wuriu and unanimously carried. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 24, 1989 PAGE 13 E. CLOSED SESSION MOTION: Councilmember Odell moved the meeting adjourn to Closed Session. The motion was seconded by Councilmember Lemons and unanimously carried. (5-0) Mayor Sheetz announced Council is adjourning to Closed Session to discuss pending litigation in accordance with Government Code Section 54956.9(a) in the matter of CIFAC vs. City of Morro Bay and potential litigation in accordance with Government Code Sec- tion 54956.9(b)(1). The meeting adjourned to Closed Session at 9:33 p.m. and returned to regular session at 9:49 p.m. MOTION: Councilmember Odell moved the meeting be adjourned. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) The meeting adjourned at 9:59 p.m. Recorded by: ARDITH DAVIS City Clerk SPECIAL JOINT MEETING - CITY COUNCIL WITH THE WATER ADVISORY BOARD THURSDAY, JULY 20, 1989 VETERANS MEMORIAL HALL - 3:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL PLEDGE OF ALLEGIANCE PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so by standing. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should normally be limited to three minutes. D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 WATER ADVISORY BOARD RECOMMENDATIONS REGARDING SOURCES OF REVENUE TO FINANCE NEW WATER PROJECTS FOR MORRO BAY F. ADJOURNMENT COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST 1 MINUTES - MORRO BAY CITY COUNCIL/WATER ADVISORY BOARD SPECIAL JOINT MEETING - JULY 20, 1989 VETERANS MEMORIAL HALL - 3:00 P.M. Mayor Sheetz called the meeting to order at 3:00 p.m. PRESENT: Rose Marie Sheetz Mayor John Baker Councilmember John Lemons Councilmember Jeff Odell Councilmember Tom Wuriu Councilmember ABSENT: None WATER ADVISORY BOARD Richard Kitzman Chairperson PRESENT: Bill Mazzacane Member Robert Enns Member Dick Fisher Member Harry Hofman Member Steven Paige Member Cecil Carey Member ABSENT: Ken Maloney Member Kenneth Powell Member STAFF: Gary Napper City Administrator Louise Burt Finance Director Ardith Davis City Clerk Nick Nichols Public Works Dir. Councilmember Baker led the Pledge of Allegiance. PUBLIC COMMENT None D. PUBL•IC HEARINGS. REPORTS & APPEARANCES Mayor Sheetz stated the meeting is a workshop only; no formal action will be taken. Direction may be given to staff, but offi- cial action can only take place at a regular public hearing. Nick Nichols reminded Council of previous action setting priori- ties for water projects: Coastal Streams Diversion Project, 0 MINUTES - MORRO BAY CITY COUNCIL/WATER ADVISORY BOARD SPECIAL JOINT MEETING - JULY 20, 1989 PAGE 2 State Water Project, and San Bernardo Creek Dam. Council had directed the Water Advisory Board (WAB) to make recommendations regarding funding the various projects, and the WAB has met a number of times for this purpose; Council is in receipt of those recommendations. Richard Kitzman, Chairman of the WAB, stated they had determined the existing water supply and its maintenance should be paid for by current users; new water supplies should be paid for by new users and transient users. He reviewed the funding for the existing water supply including recommendations for a basic ser- vice charge based on meter size, and revenue for actual water used. New water supply funds would be derived from a new build- ing fee based on square footage of new buildings, increases in living space in remodeled structures and a fee per added plumbing fixture. They also recommend the Transient Occupancy Tax be increased 28 to ensure the transient population is contributing to new water sources. Councilmember Odell commented some apartments and institutional users have large meters but actually service a multi -family use. He asked if the WAB had discussed the disparity between these single family residences paying the much higher basic service charge as opposed to those individual homes with 5/8" meters? Mr. Kitzman stated they had discussed this problem with regard to mobile home parks, with one suggestion the amount be broken down by the number of units. Mr. Kitzman also reviewed the Board's calculations regarding existing expenses and new water expenses, and the WAB's four additional water management suggestions: 1) All City -owned facil- ities be metered, and departments charged for water usage; 2) Use the Code Enforcement Officer to monitor high usages; 3) Fund a leak detection program; and 4) On changes in ownership, all plumbing fixtures in private structures must be retrofitted prior to close of escrow. Councilmember Lemons noted Suggestion No. 1 "robs Peter to pay Paul"; there is no net gain or loss of rev- enue. Mr. Napper responded all City uses are presently metered, but only the Sewer is charged for water use for JPA accounting purposes with Cayucos Sanitary District. Mr. Kitzman acknowledged that, however, said if the departments were charged for water, they would make more effort to conserve and repair leaky sprinklers, etc. Mr. Fisher stated this policy will help to make the Water Department self-supporting as the funds from other departments will go into the Water Fund. Mayor Sheetz opened the matter for public comments. Ed Biaggini, President of the Motel/Restaurant Association, stated he will discuss who is using water in Morro Bay and put to rest the idea the tourist uses all the water. He stated the MINUTES - MORRO BA• ITY COUNCIL/WATER ADVISORIBOARD SPECIAL JOINT MEETING - JULY 20, 1989 PAGE 3 total estimate for FY 89/90 transit occupancy tax to the City is $850,000 which is 10.6% of the City's total budget. In addition, the City receives sales tax revenue from tourists, and funds from the Embarcadero lease sites in the form of a percentage of gross sales, also from the tourists. He presented figures which show the tourist -oriented businesses use 11% of the water in Morro Bay, and provide 13.2% of the revenue for Morro Bay; residents use 74% of the water and pay 67.5% of the revenue to the budget. Jonni Eylar, Director of the San Luis Obispo County Visitors and Conference Bureau, reviewed occupancy rate figures in Morro Bay and suggested instead of increasing occupancy tax, the City con- centrate on increasing occupancy in motels from the current 50% average to 70%; at 70% occupancy, the total bed tax to the City will be $1 million which can be used for water. She stated Morro Bay has the highest bed tax rate in the County with Pismo Beach at 7% and the rest of the cities and County at 6%. Ann Albright, San Simeon Stages, reviewed tour business in the area noting their packages depend on cutting costs where possi- ble; a 2% additional bed tax adds a considerable amount to a tour -contracting company and they will go to a neighboring commu- nity with their business. Jeff Solenberger, General Manager of the Inn at Morro Bay, read a letter from Tauck Tours; they plan to use 1600 rooms in Morro Bay during 1990. A 2% increase in occupancy tax will cost them $2,000 which is significant enough to force them to relocate their tours to another area. He noted the present tax The Inn pays annually to the City is over $6,000. Sil Cadenasso, Chamber of Commerce President, stated the Board of Directors of the Chamber of Commerce has taken a vote to oppose the proposed increase in occupancy tax. Dale Patterson, Bay Pines RV Park, stated he paid $5,300 in bed tax last year; he would have to increase his rates nearly $4.00 per day to keep up with the added cost of water being proposed. He was concerned about passing additional costs onto the trav- eler, and noted he already has mobilehome rent control. Tony Rodrigues, Cabrillo Motel, requested Council consider divid- ing motels by units to compute water bills rather than using the size of the meter. He said it is unfair to place a tax on tourists, who cannot vote in Morro Bay. Ken Cess, Execdtive Director of the Pacific Care Center, stated he cannot pass increased water rates on to his customers. His residents are seniors on fixed incomes; 60% of this residents' costs are paid by the State of California at a rate of $51.35 per day. He outlined what services he furnishes the residents for that amount and stated if Council raises water rates he will have MINUTES - MORRO BAPCITY COUNCIL/WATER ADVISORPBOARD SPECIAL JOINT MEETING - JULY 20, 1989 PAGE 4 no choice but to reduce services to the seniors. He said the City's existing water rate schedule requires him to pay $15.89 per month per person for water, while the average single family resident pays $6.35 per month. He suggested special considera- tion should be granted for his operations, and that the City reduce its own water usage by 10%. Bruce Risley commented the water use figures for motels used by Mr. Biaggini were from January through May, a period of low water use for motels, and suggested Council look at use figures for the rest of the year. He supported the concepts advanced by the WAB for current residents to be responsible for the current water supply and new residents and tourists responsible for expanding the water supply. He also stated it is inappropriate for Council to subsidize building by allowing retrofit rebates. Howard Gaines stated the City has an antiquated water accounting system and questioned the figures of the accounting of the water. He disagreed with the concept of charging for the water meter; the City is charging for water meters twice, and the $4 monthly service charge is therefore a tax. Joan Mihay supported the comments made by Ken Cess of the Pacific Care Center noting his residents are the poorest in the community. Nancy Bast stated the consumption costs do not take into consid- eration the type of business. Her laundromat business serves residents who cannot' afford to own their own laundry appliances. She asked Council to consider the type of users when they raise rates. Mayor Sheetz closed the hearing to the public. Mayor Sheetz stated another workshop should be scheduled to cover items not discussed this afternoon. Also, she requested the WAB reconsider their recommendations with regard to the basic service charge and take into consideration the different types of uses on large meter accounts. Councilmember Wuriu was not in favor of a hardship waiver policy on the basic service charge because it causes problems; he pre- ferred a low water rate that inherently addresses a break for low water -use consumers. Councilmember Lemons said there is a great deal of merit to the WAB recommendations. He had one concern that people believe the government poverty level measurement is a magic wand to cure all; he noted poverty level does not mean no monies are available for utility services. The WAB's rate schedule has the factor built- in. MINUTES - MORRO BAPCITY COUNCIL/WATER ADVISORPBOARD SPECIAL JOINT MEETING - JULY 20, 1989 PAGE 5 Councilmember Baker commended the WAB on their report. He objected, however, to the recommended increase in transient occu- pancy tax. He agrees with the comments from the motel owners that business is down, and he would like to fund the water pro- jects without increasing the bed tax. Mr. Kitzman stated there is a sub -committee of the WAB that would be willing to work with the Motel Association. He agreed valid points were made regarding their concept; however, at some point a decision is going to have to be made. The WAB could spend another year contemplating the various issues. Council agreed another workshop should be held; Mr. Napper stated he will poll Council and the WAB for a meeting date and concerns expressed at this meeting will be researched. MOTION: Councilmember Wuriu moved the meeting be adjourned. The motion was seconded by Councilmember Baker and unanimously carried. (5-0) The meeting adjourned at 5:15 p.m. Recorded by: ARDITH DAVIS City Clerk 6 i Fes, Ci♦tOf M rr y o oB. ay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life which we all enjoy. We are committed to this purpose and will provide a level of municipal service consistent and responsive to our public and its needs. REGULAR MEETING - JULY 10, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL INVOCATION PLEDGE OF ALLEGIANCE PUBLIC COMMENT PERIOD - Members of. the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so by standing. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should normally be limited to three minutes. DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES OF THE REGULAR MEETING OF JUNE 26, 1989; THE ADJOURNED REGULAR MEETINGS OF JUNE 29 AND JULY 3, 1989; AND THE BUDGET WORKSHOP SESSIONS OF JUNE 5, 6, 7 AND 14, 1989 A-2 AWARD OF CONTRACT FOR ANNUAL STREET STRIPING PROGRAM (PULLED) A-3 APPROVAL OF JOB CLASSIFICATION - RECORDS CLERK A-4 RESOLUTION NO. 70-89 APPROVING ANNUAL RATIFICATION OF SAN LUIS AREA COORDINATING COUNCIL JOINT POWERS AGREEMENT (PULLED) A-5 AWARD OF CONTRACT FOR PURCHASE OF FRONT-END LOADER FOR STREET DIVISION, AND DECLARATION OF 1968 OLIVER 550 FRONT- END LOADER (SERIAL #k171990) AS SURPLUS CITY PROPERTY A-6 DECLARATION OF PROPERTY SURPLUS TO THE CITY'S NEEDS (1981 TOYOTA TERCEL, SERIAL #,JT2AL21DXB1171059; 2 TYPEWRITERS, 2 CHAIRS) 1 0 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 10, 1989 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Sheetz called the meeting to order at 6:00 p.m. `mj§_ � PRESENT: Rose Marie John Baker Jeff Odell Tom Wuriu ABSENT: John Lemons Sheetz Mayor Councilmember Councilmember Councilmember STAFF: Gary Napper Judy Skousen Louise Burt Bill Farrel Nick Nichols Steve Wolter Bernie Zerr Elane Novak Roger Lemberg gave the invocation, and Pledge of Allegiance. Councilmember City Administrator City Attorney Finance Director Community Develop. Dir Public Works Dir. Rec. & Parks Director Fire Chief Deputy City Clerk Horace Strong led the 1. Charles Palmer spoke about water rate increases. He suggested since the Pacific Care Center was one of the larger water users in Morro Bay that perhaps the City could give Pacific Care Management a long range (2-3 years) estimate as to what water rates might be, thus enabling Pacific Care's management to go to their parent organization and make preparation for the increases. He also suggested individual water meters for their different uses: apartments, hospital, and laundry. 2. Mary Phillips expressed concern for the fact that she was receiving mail too late to enable her to attend certain meet- ings in the City. She said she had checked with the Post Office and they indicated it takes one to two days for City mail to reach the addressee in town. She also noted there are 16 compa- nies in the County willing to do recycling for free, not charging as San Luis Garbage wants to. DECLARATION OF FUTURE AGENDA ITEMS None r MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 10, 1989 PAGE 2 A. CONSENT CALENDAR A-1 CITY COUNCIL MINUTES OF THE REGULAR MEETING OF JUNE 26, 1989: THE ADJOURNED REGULAR MEETINGS OF JUNE 29 AND JULY 3. 1989: AND THE BUDGET WORKSHOP SESSIONS OF JUNE 5. 6. 7 AND 14, 1989 Mr. Napper indicated that Items A-2 & A-4 had been pulled. He said also the June 6 Budget Hearing Minutes should be amended: on page 2, paragraph 4 the words "per year" should be stricken. A-2 AWARD OF CONTRACT FOR ANNUAL STREET STRIPING PROGRAM Item pulled from the Agenda. A-3 APPROVAL OF JOB CLASSIFICATION - POLICE RECORDS CLERK Mr. Napper recommended Council adopt the Records Clerk job description for inclusion in the Morro Bay Classification Plan. A-4 RESOLUTION NO, 70-89 APPROVING ANNUAL RATIFICATION OF SAN LUIS AREA COORDINATING COUNCIL JOINT POWERS AGREEMENT Item pulled from the Agenda. A-5 AWARD OF CONTRACT FOR PURCHASE OF FRONT-END LOADER FOR STREET DIVISION Mr. Napper recommended Council adopt Resolution No. 79-89. A-6 DECLARATION OF PROPERTY SURPLUS TO THE CITY'S NEEDS (1981 TOYOTA TERCEL, SERIAL #JT2AL21DXB1171059: 2 TYPEWRITERS, 2 CHAIRS) Mr. Napper recommended Council declare as surplus to the City's needs the property listed. A-7 RENEWAL OF CONTRACT FOR LEGAL SERVICES WITH CITY ATTORNEY JUDY SKOUSEN Mr. Napper recommended Council approve the renewal of legal ser- vices with Dr. Skousen for a three year term, as submitted by the Council Sub -Committee. A-8 RESOLUTION AUTHORIZING THE ADDITION AND DELETION OF VARIOUS TRAFFIC CONTROL SIGNAGE IN DOWNTOWN AREA Mr. Napper recommended Council adopt Resolution No. 80-89. A-9 AUTHORIZATION FOR CITY ATTORNEY TO EMPLOY ASSOCIATES WHEN DOING CITY BUSINESS Mr. Napper recommended Council adopt Resolution No. 81-89. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 10, 1989 PAGE 3 A-10 NOTICE OF COMPLETION ON PROJECT PW 88-02, MORRO BAY "CITY" PARK IMPROVEMENTS (BUS STOP SHELTER: RESTROOMS) Mr. Mapper recommended Council accept Project No. PW 88-02 as complete, and authorize the City Clerk to record the Notice of Completion. A-11 RESIGNATION_FROM COMMUNITY PROMOTIONS COMMITTEE (LINKER) Mr. Mapper recommended Council accept the resignation of Deborah Linker from the Community Promotions Committee, and authorize staff to advertise the vacancy (Tourist -Related Business). Councilmember Baker asked that Item A-3 be pulled for discussion. Councilmember Baker had questions regarding the Records Clerk wondering if they would be trained as a Dispatcher and cover in that capacity when needed? Mr. Mapper indicated that in the normal course of work over a period of time this would very likely happen and that the person serving in the Records Clerk position would probably fill in for Dispatchers when on breaks. Councilmember Wuriu asked that Item A-7 be pulled for discussion. Councilmember Wuriu asked if the City had ever considered having a full time attorney rather than a part time attorney with assistants? Mr. Mapper indicated the City had explored this idea on several occasions through the years. Having a full time attorney would entail employing clerical assistance paid for by the City, office space, benefits. From experience, a full time employee would be more expensive than a part time contract attorney. Councilmember Odell asked that Item A-8 be pulled. He wanted to go on record he would not vote for the use of Pacific Street as a residential collector street. MOTION: Councilmember Odell moved for the approval of Items A-1 (as amended) through A-11. The motion was seconded by Councilmember Baker and carried unanimously. (4-0) MOTION: Councilmember Wuriu moved for the approval of Item A-8. The motion was seconded by Mayor Sheetz and carried with Councilmember Odell voting no. (3-1) B. B-1 ORDINANCE NO, 353 ADOPTING THE 1988 EDITIONS OF THE UNIFORM BUILDING CODES (SECOND READING/ADOPTION) MOTION: Councilmember Odell moved that Ordinance No. 353 by title and number only. The motion was seconded by Councilmember Wuriu and unanimously carried. (4-0) 0 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 10, 1989 PAGE 4 Mr. Napper read Ordinance No. 353 by title and number only. MOTION: Councilmember Odell moved for adoption of Ordinance No. 353, constituting second and final reading. The motion was seconded by Councilmember Baker and unanimously carried. (4-0) •, P)AZI-10YOU0 1 IM1711•111•, •• •, • •• Steve Wolter, Director of Recreation and Parks, presented this item. The building of new restrooms in the City Park has left a bare patch of ground. Mr. Wolter indicated the Morro Bay Art Association would like to make a donation of sod to the City to fill this bare spot. Mr. Wolter indicated that in order for the sod to survive, it would require a waiver to the water restrictions as the sod must be kept very wet for some weeks. He said it would cost between $1,300 and $1,400 for staff time to hand water the sod; or, if it were contracted out, it would cost approximately $1,500. In the discussion that followed a number of ideas were explored to enable the City to accept this gift and keep the sod alive. However, for one reason or another all were found to be unfeasi- ble or unavailable under the current water conservation restrictions. MOTION: Mayor Sheetz moved that Council send a letter to the Morro Bay Art Association thanking them for the offer of this gift, but declining the sod due to the inabil- ity to properly water it; and when the rainy season is here, requesting they might make this same offer again. The motion was seconded by Councilmember Baker and unanimously carried. (4-0) Mr. Napper presented the subject indicating the Coast Guard's latest proposal will create unsafe, narrow shipping lanes in ad- dition to accommodating offshore oil and gas development. After a brief discussion, it was decided that Council should authorize the Mayor to send a letter to the Coast Guard expressing Morro Bay's opposition to the narrowing or dividing of northbound and southbound shipping lanes along the California Coast. MOTION: Councilmember Odell moved that Council authorize the May*to send a letter expressing Morro Bay's opposition. *Mayor (corrected 7-224-89 meeting) 0 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 10, 1989 PAGE 5 The motion was seconded by Councilmember Baker and unanimously carried. (4-0) Mr. Farrel, Community Development Director presented this item noting Council's allocations so far this year. Mr. Nichols re- viewed the current status of the City's rainfall and well levels. Councilmember Odell asked how many residential building permits had been taken out so far in 1989? Mr. Farrel stated approxi- mately 50%; People's Self -Help Housing will also be pulling their permits shortly. Councilmember Wuriu asked when the houses under consideration for allocation this evening would be built and using water? Mr. Farrel stated probably not until next year (1990). Mayor Sheetz opened the hearing to the public for comments; there were no comments and the hearing was closed. Councilmember Odell commented people assume there is some sort of commitment when they are on a waiting list. Allocating the next quarter at this point will not make any difference in the water situation, however, and he was in favor of approving the next quarterly residential allocation. Councilmember Wuriu stated Council has been cautious in allocat- ing permits by delaying the proceedings; he does not believe issuance of the permits will have any affect on this year's drought. MOTION: Councilmember Wuriu moved that Council authorize per- mits for 12 single family units for the 3rd Quarter. The motion was seconded by Councilmember Odell and unanimously carried. (4-0) • • :tl_:L �ilwi i� 1L .]if:7. _ •.� •7��• _ . • : • W. _ _ 1.1 Mr. Farrel reviewed the minor changes to the Parking Ordinance as recommended by the Planning Commission and staff to provide con- sistency between the General Plan and Zoning Ordinance. Staff and Council discussed the Circulation Element in relationship to the revised parking standard. Mayor Sheetz asked if the revi- sions would affect two current waterfront projects which had already been approved. Mr. Farrel said that the directors of both projects could ask the Coastal Commission for amendment if the City did in fact amend our Zoning Ordinance to incorporate these revised parking standards. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 10, 1989 PAGE 6 Mayor Sheetz opened the hearing for public comment. Bruce Risley, President of the Civic Action League, believed the City of Morro Bay would be lowering its standards to make this amendment. He suggested the City should look for alternative ways to meeting the parking problem, such as a three year parking study to assess need. Mr. Farrel said if this amendment is approved, it will be for- warded to the Coastal Commission for their approval. Mayor Sheetz noted this is a consistency process. MOTION: Councilmember Baker moved that Ordinance No. 354 be read by title and number only. The motion was seconded by Councilmember Odell and unanimously approved. (4-0) Mr. Napper read Ordinance No. 354 by title and number only. MOTION: Councilmember Baker moved that Council approve Ordi- nance No. 354 for introduction and first reading. The motion was seconded by Councilmember Odell and unani- mously approved. (4-0) D-3 CONTINUED HEARING ON APPEAL OF PLANNING COMMISSION'S PRELIM- INARY DETERMINATION OF LAND USE CONSISTENCY REGARDING "THE CLOISTERS" 213 HOUSING UNIT SUBDIVISION (CUP 09-87/TM 02- 88/CDP 89-87; KEYOTO-NATALIE. APPELLANT) Mayor Sheetz stated the appellants have again requested this item be continued to the next meeting. MOTION: Councilmember Odell moved this item be continued to the next meeting. The motion was seconded by Councilmember Wuriu and unanimously carried. (4-0) D-4 ORDINANCE REGULATING AND LIMITING THE OPERATION AND LANDING OF AIRCRAFT WITHIN THE CITY LIMITS Fire Chief Bernie Zerr reviewed the Ordinance which proposed to place limitations on the landing of aircraft such as helicopters in the City by requiring a Special Use Permit be obtained prior to any landings. Exceptions have been incorporated into the Ordinance for emergencies; there will typically be a fire engine on standby for permitted landings. Councilmember Odell suggested an amendment to the Ordinance to Section 8.30.020(B), to add "...or, the touching of any part of an aircraft upon the ground or on the water or upon ...". Mayor Sheetz opened the hearing for public comments; there were no comments and the hearing was closed. n �J MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 10, 1989 PAGE 7 MOTION: Mayor Sheetz moved Ordinance and number only. The motion cilmember Odell and unanimously No. 355 be read by title was seconded by Coun- carried. (4-0) Mr. Napper read Ordinance No. 355 by title and number only. MOTION: Mayor Sheetz moved for the approval of first reading of Ordinance 355 as amended in Section 8.30.020(B) to add the words "or on the water" as suggested by Councilmem- ber Odell. Councilmember Baker seconded the motion which carried unanimously. (4-0) Councilmember Wuriu requested a change in Section 8.30.030, Air- craft and Landings Prohibited; he believed there is not an abso- lute prohibition; some references to exemptions should be inserted. MOTION: Councilmember Wuriu moved Section 8.30.030 be amended to indicate "no person shall operate aircraft without a permit". The motion was seconded by Councilmember Odell and unanimously approved. (4-0) Mayor Sheetz opened the hearing to the public for comment on the amendments to the ordinance. Mary Phillips, Ironwood Avenue, commented that ultralight air - crafts should not be included in this Ordinance as they do not pose any hazards to the public when landing or taking off. Mayor Sheetz closed the public hearing. MOTION: Councilmember Odell moved Ordinance No. 355, as amended, be approved for introduction and first read- ing. The motion was seconded by Councilmember Wuriu and unanimously carried. (4-0) • • • . - • :_' • • Mir • aIF_ z • L: _ _ • Nick Nichols, Public Works Director, reviewed the revenue program to fund the operation and improvement of the city's water resources and distribution system as recommended by the Water Advisory Board. He said the Water Advisory Board would like to meeting jointly with the City Council to explain the rationale of the recommendations. Mayor Sheetz complimented the Water Advisory Board on a very fine report; Councilmembers agreed with her. Councilmember Baker asked if fire sprinkler systems were metered? Mr. Nichols said they were not. Councilmember Baker noted he MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 10, 1989 PAGE 8 would not want that done as it would deter and stymie system installations. Councilmember Wuriu expressed the wish the media would provide coverage on the water report so the public will know what the City is facing. Mayor Sheetz opened the hearing for public comment. Bruce Risley, Civic Action League, was pleased the Water Advisory Board had recommended elimination of retrofit rebates to builders. He indicated this practice had cost the City almost $1 million in the last three years. He also agreed future users should pay for the additional system needs. Charles Palmer said there should be a special water/sewer fee for new subdivisions which would not be applied to existing or pre - subdivided lots. He noted the rate structure with its upfront charge hits hardest the person who uses the least water. He sug- gested the Water Advisory Board should look at fixed charges for water with an additional demand charge, which he felt would be much fairer to everyone. Howard Gaines stated the report addressed only half the problem; sewer rates should be looked at also. He said the regular resi- dents of Morro Bay have been subsidizing tourism for years and he is glad to see the percentage increase on "bed tax". Mr. Gaines also expressed concerns over the monies borrowed from the the General Fund by both the Water Fund and the Harbor Fund. He thinks all the money borrowed from the General Fund should be paid back and each department should make it on its own. Mary Phillips said the City waited too long to increase their hook-up rates, and the City made a mistake in allowing 5 units to be hooked up to one meter. Ms. Phillips believes there is an over -charge for sewage; and, if the City had a filtration system, this would resolve some of the problems and expense. Mayor Sheetz closed the hearing to the public. After a brief discussion, Council selected Thursday, 20th July at 3:00 p.m. to meet with the Water Advisory Board in a joint meeting to discuss their program. The meeting will take place at the Veterans Hall in Morro Bay. MOTION: Councilmember Odell moved City Council have a Joint Workshop with the Water Advisory Board on the 20th of July 1989 at 3:00 p.m. The motion was seconded by Councilmember Wuriu and unanimously carried. (4-0) E. CLOSED SESSION MOTION: Councilmember Odell moved Council adjourn to Closed Session. The motion was seconded by Councilmember Wuriu and unanimously carried. (4-0) MINUTES - MORRO BAYITY COUNCIL It REGULAR MEETING - JULY 10, 1989 PAGE 9 Mayor Sheetz stated the Closed Session will be held in accordance with Government Code Section 54956.9(a), pending litigation, in the matter of Keyoto-Natalie vs. City of Morro Bay. The meeting adjourned to Closed Session at 7:57 p.m. and returned to Open Session at 8:30 p.m. Mayor Sheetz announced that the City of Morro Bay and the owners of The Cloisters property have reached settlement of the lawsuits regarding the land uses and temporary building moratorium on this property. Mayor Sheetz read a prepared statement outlining the highlights of the settlement agreement, and announced a press conference has been scheduled for Tuesday, 11 July 1989 at 10:00 a.m. at the Morro Bay Community Center to further discuss and respond to questions regarding the settlement and proposed Local Coastal Program amendments. F. ADJOURNMENT MOTION: Councilmember Odell moved the meeting be adjourned. The motion was seconded by Councilmember Baker and unanimously carried. (4-0) Recorded by: ane Novak Deputy City Clerk qe4 3, / 9P9 .,�. � kxv to -ham 6 City Of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life which we all enjoy. We are committed to this purpose and will provide a level of municipal service consistent and responsive to our public and its needs. ADJOURNED REGULAR MEETING — JULY 3, 1989 CITY HALL CONFERENCE — 8:15 A.M. 595 HARBOR ST., MORRO BAY, CA E. CLOSED SESSION E-1 GOVERNMENT CODE SECTION 54956.9(A), PENDING LITIGATION, KEYOTO—NATALIE VS. CITY OF MORRO BAY Fa COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST. 1 0 0 MINUTES - MORRO BAY CITY COUNCIL ADJOURNED REGULAR MEETING - JULY 3, 1989 CITY HALL CONFERENCE ROOM - 8:15 P.M. Mayor Sheetz called the meeting to order at 8:15 a.m. PRESENT: Rose Marie Sheetz Mayor John Baker Councilmember Jeff Odell Councilmember Tom Wuriu Councilmember ABSENT: John Lemons Councilmember STAFF: Gary Napper City Administrator Judy Skousen City Attorney PUBLIC COMMENT None MOTION: Councilmember Baker moved the meeting adjourn to Closed Session. The motion was seconded by Councilmember Wuriu and unanimously carried. (4-0) Mayor Sheetz announced Council is adjourning to Closed Session to discuss pending litigation in accordance with Government Code Section 54956.9(a) in the matter of Keyoto-Natalie vs. City of Morro Bay. Council adjourned to Closed Session at 8:15 a.m. Councilmember Lemons arrived at 8:40 a.m. Bill Farrel, Community Development Director, was asked to attend the session at 9:30 a.m. Council returned to regular session at 9:44 a.m. MOTION: Councilmember Baker moved the meeting be adjourned. The motion was seconded by Councilmember Odell and unanimously carried. (5-0) The meeting adjourned at 9:44 a.m. Recorded b GARY NAPPER v v Deputy City Clerk