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MINUTES - MORRO BAY CITY COUNCIL Adjourned Meeting/Study Session June 27, 1979, 7:00 p.m. Morro Bay Recreation Hall Mayor Shelton called the meeting to order at 7:00 p.m. ROLL CALL Present: Councilmen Harmon, Reasor, Rosenberg, and Mayor Shelton Absent: Councilman Cantine STAFF PRESENT Donald F. Guluzzy, City Administrator Michael T. LeSage, City Attorney Dave Braga, Parks and Recreation Director John Bressan, Public Services Director Tom McGonagill, Finance Director Bernie Zerr, Fire Chief Elizabeth Penny, Deputy City Clerk E. INDIVIDUAL DETERMINATION AND/OR ACTION E-1 City Council Mayor Shelton provided a status report concerning the appoint- ments of the principal and alternate members to the Harbor Advisory Board (HAB). He advised Council that he has had a problem in securing alternate representation for the board. He suggested the Council con- sider granting a two week extension for making the appointments to allow staff to review the list of names of those persons suggested to serve on the committee to determine (1) whether they are qualified electors in the community; (2) whether they are interested in serving on the board; and (3) whether they would rather serve as a principal or alternate member of the board. Mayor Shelton then stated he would like to discuss this matter further this evening upon Councilman Cantine's return to the meeting with his suggested list of members to the HAB. The City Council concurred. Councilman Reasor asked what the status of the Weed Abatement Program is. Mr. Guluzzy stated he thinks completion of the abating will be done in July. At 7:07 p.m. Councilman Cantine arrived. Mayor Shelton briefed Councilman Cantine of the discussion the Council had in regards to the HAB. Y MINUTES - MORRO BAY CITY COUNCIL June 27, 1979 Adjourned Meeting/Study Session Page 2 Councilman Cantine stated he would like to suggest the names of people to serve on the HAB. He added that these people had been contacted and had indicated their willingness to serve on the board with the exception of an alternate member under marine supply. He requested the Council make the appointments this evening if there were no new nominees submitted. He suggested the following names: INTEREST REPRESENTED Commercial Fish Sport Fish Marine Supply Fish Processing Water -Related PRINCIPAL MEMBER Cliff Smith Mike Fitzsimmons Orvis Stacy Armis Huse Reg Whibley ALTERNATE MEMBER Dick Sylvester Mack Wesley Norm LaVine Millie Dennis Wes Jackson Rusty Brebes Ken Colatt Ed Carnegy Councilman Cantine stated there is a very real apprehension among the persons he contacted as to whether the HAB will get any- where unless it is convened. He felt the initiative will be lost, therefore, he suggested the appointments be made this evening. Mayor Shelton stated the City does have a HAB which was appointed at the June 11, 1979 Council meeting. One member was found to be in- eligible and must be replaced. Because some of the people have not been contacted by Councilmen, he stated he would like to have the opportunity to contact the people who want to serve as alternates. Councilman Harmon suggested Gary Hopkins and Red Doyle to serve as alternate members to the HAB. MOTION: Mayor Shelton moved the Council appoint Wes Jackson as the principal member to the Harbor Advisory Board under the category of Fish Processing. The motion was seconded by Councilman Harmon and carried with Councilman Cantine abstaining. Councilman Cantine stated he abstained because he did not know who he wanted to appoint as a principal member to the HAB. Councilman Rosenberg stated he feels the HAB should be convened as soon as possible even though the alternates have not been appointed. 0 MINUTES - MORRO BAY CITY COUNCIL June 27, 1979 Adjourned Meeting/Study Session Page 3 Mayor Shelton stated he would contact the HAB members and alter- nates within the next week. Councilman Harmon requested an executive session to discuss the Tidelands suit. E-3 City Administrator Mr. Guluzzy advised the Council in Resolution No. 32-79 (reso- lution approving the interim budget) there was a typographical error. The resolution under item #1 stated "capital outlay" and it should be "capital improvements. MOTION: Mayor Shelton moved that Resolution No. 32-79 under section #1 be amended to reflect the Council's original intent as follows: "Specifically excluded from this Interim Budget, Exhibit "A", is the column entitled "Capital Improvements". The motion was seconded by Councilman Reasor and carried unanimously. Mr. Guluzzy advised the Council that they would be receiving a status report within the week. Mr. Guluzzy advised the Council that he had spoken to the State Water Resources Quality Board regarding their review of the City's Water Management Plan, they have suggested a few changes to the Brown and Caldwell contract which have been worked out. There are a few technical areas that require clarification prior to finalizing. He stated that John Bressan and he would meet with Ken Jones on Friday, June 29th regarding this matter. Concept approval for Step 3 of the Wastewater Treatment Plant has been given. At 7:30 p.m. Michael LeSage arrived. Mr. Bressan provided clarification concerning the waterfront restrooms as previously discussed at the June 25', 1979 Council meeting. Staff's original recommendation was to reject all bids and look at redesign and rebidding. If this was done staff could look into unisex restrooms which would be cheaper. Other options are to award the bids as submitted which is greatly over the budgeted amount of money; award one of the bids for a restroom of the Council's choosing; or encumber $19,200 that was budgeted for this project and allow staff to look at methods of upgrading, cleaning -up, and modern- izing the restrooms with the $19,200 that was earmarked for construc- tion. Staff feels that Council should either reject the bid and authorize staff to look into redesign and rebidding or to use the $19,200 to upgrade the restrooms. Mr. Bressan advised Council if they opt for redesign and rebid of the two restrooms, then it will cost about $50,000 minimum. MINUTES - MORRO BAY CITY COUNCIL June 27, 1979 Adjourned Meeting/Study Session Page 4 Mayor Shelton asked what the longevity of upgrading the restroom would be. Mr. Bressan stated new construction of the restrooms would last about 25 to 30 years with periodic maintenence. By upgrading the rest - rooms they would last about 10 years. Councilman Harmon stated because one feature of doing this pro- ject was so that a shower could be installed for the commercial fisher- men, he suggested that the smaller existing facility be upgraded and use the $19,200, plus whatever additional monies are needed, to build the kind of restroom the Council wants. MOTION: Councilman Cantine moved the modified bid be awarded for the T-Pier restroom site and staff be authorized to transfer the necessary funds from unobligated reserves to cover the additional expense not budgeted. The motion was seconded by Councilman Rosenberg and carried with Mayor Shelton voting no. The City Council stated they would like to see, within the next year, a proposal for a redesign of the Beach Street restroom. Mr. Guluzzy advised Council of the changes that have been occuring in the Police Department, which included replacement of the rear door, some interior painting, internal changes have been done, e.g., commu- nication and traffic flow, etc. The shotguns that were ordered pre- viously have been received. Purchase of a camera and an electrical generator is being looked into. Mr. Guluzzy advised Council he had spoken to the League of California Cities concerning the Spirit of 13 as it relates to Morro Bay instituting the adoption of a sewer user fee. The League's attorney stated he does not feel there would be any affect upon the City's budget if the fee was instituted. Mr. Guluzzy then reviewed proposed Resolution No. 32-79 (resolution adopting sewer user fee) with the Council. MOTION: Councilman Cantine moved that Resolution No. 32-79 be read by title only. The motion was seconded by Mayor Shelton and carried unanimously. Mr. Guluzzy read Resolution No. 32-79 by title only. A resolution establishing sewer user fee for the City of Morro Bay. MOTION: Councilman Cantine moved that Resolution No. 32-79 be approved. The motion was seconded by Councilman Rosenberg and carried unanimously by roll call vote. MINUTES - MORRO BAY CITY COUNCIL June 27, 1979 Adjourned Meeting/Study Session Page 5 MOTION: Councilman Harmon moved that staff be directed to (1) prepare a news release, (for release as soon as possible) (2) de- velop a written insert to be included in the next two water billings explaining the purpose and the concept of the new sewer user fee. Councilman Reasor suggested the motion'be amended to authorize Mr. Guluzzy to purchase space within the Sun -Bulletin for the purpose of placing a notice in the paper concerning the sewer user fee. He stated he feels this should be done as opposed to a news release, be- cause a news release allows the paper to print only portions of the release rather than a verbatim copy. The Council concurred with the amendment. The motion, as amended, carried unanimously. Mr. Guluzzy stated staff has analyzed the 1978/79 budget figures as it relates to the Spirit of 13 and would recommend that Council adopt Resolution No. 33-79 which would amend the 1978/79 budget. He then read the resolution in its entirety. The City Council discussed the wording of #4 and revised it to read: "The July 1, 1978 harbor dredging reserve of $136,525 is appro- priated and added to the existing $63,475 appropriation to provide for the total $200,000 estimated cost of the dredging project." MOTION: Councilman Cantine moved that Resolution No. 33-79 be approved as amended. The motion was seconded by Councilman Harmon and carried unanimously by roll call vote. Councilman Cantine stated he would like to have the viewpoint of the Council how solicitation of hiring the new Chief of Police should be done. The Council scheduled discussion of this matter at the August 15, 1979 Study Session. Councilman Cantine stated the Corps of Engineers has advised the City that they do not consider Morro Bay's harbor dredging to be a high priority item. Mr. Guluzzy stated he has drafted some letters to our senator, assemblywoman, and congressman for the Mayor to review and send out expressing the City's concern and need for the dredging. MINUTES - MORRO BAY CITY COUNCIL June 27, 1979 Adjourned Meeting/Study Session Page 6 Mayor Shelton stated in addition to the letter he felt a resolu- tion should be sent to our elected officials stressing the need for the harbor to be dredged. The Council concurred. MOTION: Mayor Shelton moved that the Council direct staff to draft a resolution that would explain the plight and also describe the serious nature of the need for dredging the harbor. The motion was seconded by Councilman Rosenberg and carried unanimously. Councilmen Rosenberg, Cantine, and Reasor stated they would like for the Harbor Advisory Board to get involved in this matter. At 8:15 p.m. the Study Session began. (1) 1979/80 BUDGET REVIEW Property Maintenance of Public Services Mr. Guluzzy stated "Property Maintenance of Public Services" will centralize all property maintenance under this division. This would include streets, roads, general government buildings, parks, street sweeping, storm drains, parking facilities, weed abatement, and transportation (Dial -A -Ride) is all consolidated for ease of administration and accountability purposes. Staffing would include 12 full-time employees and 1 temporary employee. The proposed budget amounts to $410,245 which is an.increase of about $14,000 or 3 1/28 over last year's budget. He then reviewed the current expenses and the capital outlay portions of the budget. The Council discussed the "installation of on -hand materials for automatic sprinkler system - "Lila Keiser Park". The Department of Public Services had requested $7,000 for this project and the City Administrator had recommended the project be entirely deleted. The Council requested additional information regarding this project prior to deciding whether to reinstate it or leave it out of the budget. Councilman Harmon suggested the Council defer review of the re- mainder of the "Property.Maintenance" budget and proceed to the "Non -Departmental" portion of the budget, specifically "Community Promotion". The Council concurred. Non -Departmental Mr. Guluzzy stated the Non -Departmental section of the budget will centralize public utilities, public communications, insurance, maintenance, contractual services for special services or buying special goods, reserve for salary increases, debt service costs for improvement districts, and Self -Help Housing. MINUTES - MORRO BAY CITY COUNCIL June 27, 1979 Adjourned Meeting/Study Session Page 7 Reserve for Salary Increases Mayor Shelton expressed concern with the "Reserve for Salary Increases" stating if the Council budgeted "X" amount of dollars for increases, then the various employee groups when negotiating would go for the highest dollar budgeted. Mr. Guluzzy stated the figure is an estimate and it also in- cludes the regular step increases that employees receive. Capital Outlay Mr. Guluzzy stated the central communications console amounting to $4,500 is a joint request between the Police, Fire, and Public Services which will consolidate all communications into one central unit and will result in more productivity. Mayor Shelton asked what would happen to the old equipment. Mr. Guluzzy stated the City will try and sell it or else keep it for a back-up. I , Self -Help Housing Councilman Cantine asked if the City had any record of what the Self -Help Housing accomplished last year with the City's funds of $2,000. Mr. Guluzzy stated he does not have any such record, but the com- ments he has received have all been positive. Community Promotion Mayor Shelton stated that Herb Haufman is a professional adver- tiser and that he requested that he attend the meeting to explain to the Council "why advertising pays in a community". Mayor Shelton stated the reason he requested a professional organization come and make a presentation is to see whether or not the professionals have a better handle on advertising then what the City has contracted in the past. Mr. Haufman stated it is important for a community to communicate itself to other people because Morro Bay is dependent upon (1) the community that lives here, (2) the community that is within the area e.g., SLO, Paso Robles, etc, that are not familiar with Morro Bay, and (3) the people who live further away that might like to live in Morro Bay. Councilman Rosenberg asked can the City reasonably ask an adver- tising agency or Chamber of Commerce to objectively justify the expen- diture of e.g., $10,000 for advertising and the City would get hopefully more than the $10,000 in benefit back to the City. 0 MINUTES - MORRO BAY CITY COUNCIL June 27, 1979 Adjourned Meeting/Study Session Page 8 Mr. Haufman stated this would be difficult because the response would be difused throughout the various stores in the community. One response might be an increase in income or increase of usage of City - owned recreational facilities. The Council should consider setting goals that are measurable, however, he stated he does not feel that the City can actually measure whether spending $10,000 for advertising is doing anything for the City or not. Councilman Rosenberg stated San Luis Obispo City's Chamber of Commerce is capable of looking at (1) the number of tourists that come to the City, (2) the average amount of money that is spent, (3) look at the increased tax revenues, and (4) reduction of welfare, etc. Mr. Haufman stated that the City can code various ads, e.g., Sunset Magazine and when people respond to the ads the City can survey them to see where they heard about something ocurring in Morro Bay. The City would then tally up the responses and would then be able to see what is the best method of advertising. He also suggested surveying people during the tourist season and ask them what they came to do, how they learned about Morro Bay, etc. Mr. Haufman then stated the Council must answer questions like, what is Morro Bay's personality, what does it have to offer, what does it need, does it need money, parking lots, does it need streets recovered or recapped, what does Morro Bay need to say about the City in order to get those needs, who does Morro Bay need to approach to get this information, does Morro Bay need to contact the people who live within the County, (100 mile radius of City), and then have a professional advertising agency and/or the Chamber of Commerce answer the questions of who will be asked and how will they be reached. Councilman Cantine stated he feels the City has three choices for community promotion, (1) none, (2) in-house, (3) contract, or (4) a local body such as the Chamber of Commerce. . Mayor Shelton expressed concern in that the presentation made leads him to believe that the $10,000 will be spent on advertising research and no actual advertising for Morro Bay. Mr. Palmer stated if the Council is going to advertise to bring in tourism, they must decide if they.are going to come in during the off-season or the summer, then the Council must decide whether they want to bring in people who are going to be camping, staying in motels, or does the Council want to bring in business, light industry, etc. Mr. Schwartz stated the City and/or the Chamber can look at the occupancy tax and the sales tax to get an idea of the results of the monies spent on community promotion. Realizing there are different types of media including billboards, TV, radio, newspapers, brochures, etc., the City will receive different responses from citizens at different times of the year. It is more of a philosophical question MINUTES - MORRO BAY CITY COUNCIL June 27, 1979 Adjourned Meeting/Study Session Page 9 as to when advertising should be done. Mr. Schwartz stated there are many things in Morro Bay that can be marketed, it is just a matter of deciding what you want to promote, .what is best for the community, and then doing so. Councilman Harmon stated the Council is going to be budgeting money for specific community promotion items with specific dollar figures for carrying out these matters. Councilman Rosenberg stated he agrees with Councilman Harmon and that the Council must determine how the line item of community promotions is going to be spent and how much will be budgeted for it. The Council must first decide what they want and then people can submit how they propose to carry it out for the Council's review. Councilman Cantine stated the only interest he has in this matter is to decide what the Council wants as a promotion item and how to achieve it. Mayor Shelton stated the Council must decide whether or not to put community promotions out to bid and decide specifically what the Council wants, analyze what bidding agencies have to offer, etc. The Council instructed staff to poll the Council to determine what Saterday would be the best for a meeting to discuss the budget. MOTION: Councilman Harmon moved the meeting adjourn to Executive Session. The motion was seconded by Mayor Shelton and carried unanimously. The meeting adjourned to Executive Session at 10:00 p.m. and returned Saturday to the Study Session at 10:25 p.m. MOTION: Mayor Shelton moved the meeting adjourn to Monday, July 2, 1979, in the City Hall Conference Room, to discuss the budget. The motion was seconded by Councilman Rosenberg and carried unanimously. The meeting adjourned at 10:27 p.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy City Clerk CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL JUNE 25, 1979, 7:30 P.M. MORRO BAY RECREATION HALL Call to Order Pledge of Allegiance Invocation Roll Call Public Comment A. CONSENT CALENDAR 7:45 P.M. - 8:00 P.M. A-1 Minutes of the May 29, 1979 regular meeting. A-2 Minutes of the May 30, 1979 executive session. A-3 Minutes of the June 11, 1979 regular meeting. A-4 Minutes of the June 11, 1979 executive session. A-5 Minutes of the June 13, 1979 executive session. A-6 Exenditure Report for period covering May 1, 1979 through May 31, 1979. (RECOMMEND APPROVAL) A-7 Financial Statement for period covering May 1, 1979 through May 31, 1979. (RECOMMEND APPROVAL) A-8 Resolution No. 28-79 approving Comprehensive Employment and Training (CETA) Act of 1973 Work Site Agreement with the County of San Luis Obispo. A-9 Notice of Completion regarding recoat interiors of four steel water storage tanks (Blanca and Kings) (Job No. PW 78-023-36). (RECOMMEND APPROVAL) A-10 Notice of Completion regarding construction and final acceptance of City well No. 11A (Project No. PW 77-017-36). (RECOMMEND APPROVAL) A-11 Bid awards for (1) electrical services at Keiser Park Wells (RECOMMEND APPROVAL) and (2) waterfront restrooms (RECOMMEND REJECTION). B. HEARINGS, APPEARANCES, AND REPORTS B-1 8:00 p.m. Proposed Use of Federal Revenue Sharing funds. B-2 8:15 p.m. Presentation and Public Hearing of 1979/80 Proposed Budget. B-3 10:30 p.m. Sewer Use Fee Presentation. B-4 11:00 p.m. Public Accountability Committee report concerning the Chamber of Commerce. B-5 11:15 p.m. Environmental Resources Committee report relating to long-term Water Policy. C. UNFINISHED BUSINESS C-1 11:30 p.m. Request by Regal Seafood Company for a time extension to allow completion of building as per lease agreement. (Con- tinued from June 11, 1979 meeting.) D. NEW BUSINESS None. E. INDIVIDUAL DETERMINATION AND/OR ACTION E-1 City Council E-2 City Attorney E-3 City Administrator 0 MINUTES - MORRO BAY CITY COUNCIL Regular Meeting June 25, 1979, 7:30 p.m. Morro Bay Recreation Hall The meeting was called to order at 7:30 p.m. by Mayor Shelton with the Pledge of Allegiance. Reverend Dear, City Chaplian gave the invocation. ROLL CALL Present: Councilmen Cantine, Reasor, Rosenberg, and Mayor Shelton Absent: Councilman Harmon STAFF PRESENT Donald F. Guluzzy, City Administrator Michael T. LeSage, City Attorney Thomas McGonagill, Finance Director John Bressan, Public Works Director Bernie Zerr, Fire Chief Elizabeth Penny, Deputy City Clerk PUBLIC COMMENT Mr. Lemons stated he would not be present at the time the Environmental Review Committee's report is presented, therefore, he submitted the'following comments regarding the report. An early acquisition of enough supplemental water to 'enable the City of Morro Bay to exist without being dependent on an uncertain yield from well fields is the primary environmental and economic issue facing the City. Mr. Lemons stated,he appeared before the Council at their October 30, 1978 meeting and urged the Council to take a public stand supporting a "yes" vote on the State water project in the advisory election which was to be held on November 7th. The Council did not take this stand. Councilman Harmon arrived at 7:35 p.m. Mr. Lemons then stated because the Council did not take such a stand, this indicated their support for Mr. Diffley's position as one of the authors of the ballot argument against the State water project. He then stated he is concerned with the various studies, reports, and work sessions that have been occuring as they relate to the supple- mental water issue, and he feels they serve only as a vehicle to delay or prevent participation by the City for what is presently the only viable solution --the Nacimiento project. Mr. Lemons then urged the Council to publicly endorse an early acquisition of an adequate supple- mental water supply, and to urge the Board of Supervisors to initiate the Nacimiento project. A. CONSENT CALENDAR A-1 Minutes of the May 29, 1979 regular meeting. A-2 Minutes of the May 30, 1979 executive session. A-3 Minutes of the June 11, 1979 regular meeting. A-4 Minutes of the June 11, 1979 executive session. A-5 Minutes of the June 13, 1979 executive session. A-6 Expenditure Report for period covering May 1, 1979 through May 31, 1979. (RECOMMEND APPROVAL) A-7 Financial Statement for period covering May 1, 1979 through May 31, 1979. (RECOMMEND APPROVAL) 0 MINUTES - MORRO'BAY CITY COUNCIL June 25, 1979, Regular Meeting Page 2 A. CONSENT CALENDAR (CONTINUED A-8 Resolution No. 29-79 approving Comprehensive Employment and Training (CETA) Act of 1973 Work Site Agreement with the'County of San Luis Obispo. A-9 Notice of Completion regarding the recoating of interiors for four steel water storage tanks (Blanca and Kings) (Job No. PW 78-023-36). (RECOMMEND APPROVAL) A-10 Notice of Completion regarding construction and final acceptance of City Well No. 11A (Project No. PW 77-017-36). (RECOMMEND APPROVAI•) A-11 Bid awards for (1) electrical services at Keiser Park Wells (RECOMMEND APPROVAL) and (2) waterfront restrooms (RECOMMEND REJECTION). Councilman Rosenberg requested that item A-3 be pulled for cor- rection and Councilman Harmon requested item A-11 be pulled for dis- cussion. The Council concurred. MOTION: Councilman Reasor moved Consent Calendar items A-1, A-2, and A-4 through 'A-10 be approved. The motion was seconded by Councilman Harmon and carried unanimously by roll call vote. A-3 Minutes of the June ll, 1979 regular meeting. Councilman Rosenberg corrected page 2; third paragraph, to read: "Mr. Gurnee stated (1) removal of the existing sign would be a volun- tary action..." and page 4, Mr. Bressan's comment to read: ...$34,000 a year EAU monies, so the City..." The Council concurred with these changes. MOTION: Mayor Shelton moved item A-3 be approved as amended. The motion was seconded by Councilman Rosenberg and carried unanimously. A-11 Bid awards for (1) electrical services at Keiser Park Wells (RECOMMEND APPROVAL) and (2) waterfront restrooms (RECOMMEND REJECTION). Councilman Harmon expressed concern with rebidding the waterfront restrooms because of the inflationary costs of construction and stated the City would end up spending the same amount of money with less actual construction. Mr. Bressan stated staff's preference in any public restroom is to have stainless steel vandal -proof fixtures. The reason for recom- mending redesign and rebidding in the next fiscal year is so the City can upgrade the existing structure, put new fixtures in them, hopefully get more money to work with,' completely redesign the whole concept and come back with a better facility and get it for less money. Councilman Harmon stated he'would like to construct the restroom by the Harbor office and redesign the one on Beach Street. Mr. Bressan stated this would require additional monies. Mayor Shelton stated he felt the City could start one restroon now, and suggested the Harbor office restroom, and redraw the Beach Street restroom. Mr. Bressan stated the City needs the restroom at the Harbor office more than the Beach Street one because (1) the existing facility is in a much worse state of condition, (2) it receives much more use, and (3) it does have a shower proposed in it which 'goes hand -in -hand with the T-Pier.. 0 MINUTES - MORRO BAY CITY COUNCIL June 25, 1979, Regular Meeting Page 3 Councilman Reasor asked if the restroom at the Harbor office would be open to the general public. Mr. Bressan stated that controls will be placed on it so the water can be turned on and off. If necessary a timer could be put on it in a locked, raised way where the public does not have access to it. Staff feels it should be left open and not have these controls on it. If cost becomes a problem the City could go to something like the State park system and charge people e.g., 50C for five minutes of water. Mayor Shelton asked if the Council holds off redesign for a better plan, are there any alternatives available. Mr. Bressan stated a lesser facility is the only way to get a lesser price. A lesser facility means taking the existing structure and putting some kind of a hard paneling on the inside to make them easier to maintain, new fixtures, and preferably taking the outside and putting a board and back false wall around the outside to lift them up. This would be a very small facility and are somewhat hard to maintain. It would not provide for shower or handicap facilities. Mr. Bressan advised the Council as long as the Council wishes to award the bid for replacement of the waterfront restrooms the $19,200 must be encumbered. MOTION: Councilman Harmon moved that the $19,200 be earmarked for the restrooms at the harbor. The motion was seconded by Mayor Shelton and carried unanimously. MOTION: Mayor Shelton moved that item A-11 (1) (bid award for elec- trical services at Keiser Park Wells) be approved. The motion was seconded by Councilman Reasor and carried unanimously by roll call vote. The City Council continued item A-11(2) (bid award for waterfront restrooms) to July 9, 1979 Council meeting because staff clarification concerning cost was needed. B. HEARINGS,APPEARANCES,'AND'REPORTS B-1 Proposed Use of Federal Revenue Sharing funds. Mr. Guluzzy stated the federal general revenue sharing funds amounting to $138,000 is proposed to be used for the Wastewater Treat- ment Plant Improvements 'including engineering costs. No public hearing comments were offered. B-2 Presentation and Public Hearing of 1979/60 proposed Budget. Mr. Guluzzy reviewed the revenues for last year and this year, the chart of expenditures, he also reviewed the various sources of revenue including taxes, money in property, miscellaneous sources, two enterprise funds (water and sanitary sewer), outside agencies, reserve (equipment and unobligated), license and permits, fines and forfeits, charges for services, and miscellaneous sources which totals $2,948,437. Staff is recommending that the reserves be carried and created as a Capital Improvement Fund. The expenditures are broken down to reflect approximate increase over last year of $178,000. Proposed expenditures are based on a tentative reorgani- zation which would be four major departments and 10 divisions as compared to last'year's budget which had'about 24 budgets--17 divi- sions. Mr. Guluzzy stated last year there was about 41 budgets and that he is proposing 14 budgets. MINUTES - MORRO BAY CITY COUNCIL June 25, 1979, Regular Meeting Page 4 Mr. Guluzzy presented the following: (1) The City Council budget has basically remained the same as it existed last year with $9,450. (2) The City Attorney budget is proposed at $16,500 which is about a $5,000 increase over last year. (3) The City Administrator's budget is about $75,000. (4) The Environmental Services budget represents about 3 1/2% of the total which is about $93,000 (planning, zoning, building inspec- tions and Planning Commission). (5) The Administrative Services budget division is about 4.3% of the total budget and about $116,000 (all administrative, clerical, and finance functions). (6) The Human Resources budget is about 23% of the total which is about $620,000 which consolidates Recreation, Police, Fire and the function of Civil Defense. (7) The Non -Departmental budget is new this year and it consolidates all public communication items (xerox, telephone, postage), all utilities (gas, electricity), all general maintenance that is not department -related, (motor vehicle, buildings and grounds, office equipment, gasoline, oil and lubricants), and all insur- ance costs (all departments except those items under the two enterprise funds (water and sanitary sewer) and the Harbor Trust). (8) The contractual services budget is of a general nature (postage meters, tree trimming, street stripping, community promotion. (9) The salary reserves has been added this year (reflect salary in- creases and step increases that are normal incremental increases). (10) The debt service is another budget (improvement district). (11) Public Services (previously Public works) is comprised of four divisions as follows: (1) administration; (2) property mainte- nance would include parks maintenance, equipment maintenance, buildings and grounds maintenance, and all other aspects of maintenance; (3) harbor; and (4) transportation for the bus system. (12) The utility division consolidates water and sewer. The fourth division is the Harbor Division which amounts to $2,683,000. (13) There is a proposal to have a separate Capital Improvement Fund created this year which will take the City's previous reserves for all various sundry items previously shown separately, e.g., Del Mar Park, equipment reserve, land and buildings reserve, sewer and water modifications, Water Management study, etc. are proposed as appropriations for the Capital Improvement Fund cre- ating a Capital Improvement Program and a Capital budget. (14) Staff is recommending an appropriation process be set up which will allow expending money against each of the budgets when charges come due rather than transferring money from various departments each time. MINUTES - MORRO BAY CITY COUNCIL June 25, 1979, Regular Meeting Page 5 Mr. Guluzzy then stated since the Council has not accepted or acted upon the reorganization proposal and has questions concerning the budget as proposed, adoption of the budget would be on a tenta- tive budget until its finalization occurs at a later date. This will allow day-to-day operations to proceed. Mr. Lemons asked if there is any bailout monies. Mr. Guluzzy stated there is about $100,000 anticipated in the revenues. Mr. Giannini expressed concern with the proposed reorganization and the new format of the budget. He stated he would not be able to know how much e.g., insurance, gasoline, etc., costs for each depart- ment. He also felt that eventually it would require more admini- strative and clerical assistance. Mr. Guluzzy stated a person can still determine how much each department spends e.g., insurance, gasoline, etc., the new system will save on time for the people and increase their productivity in other areas. Mr. Gaines expressed concern with the amount of money that would be placed in unobligated reserves. He also stated he felt the City would lose control over the expenses that are consolidated, e.g., in- surance, gasoline, electricity, etc. Mr. Guluzzy stated presently, the City does not know how many xerox copies are made by each department, therefore, the purchase of auditrons is proposed to monitor the number of copies made for each department. Councilman Cantine left the meeting at 8:35 p.m. and returned at 8:37 p.m. Mr. Lemmons asked what percentage of the budget is allocated for salaries. Mr. Guluzzy stated personnel costs are about 46.6% of the total budget (1.3 million approximately). Last year personnel costs were about 48%. Mr. Diffley asked what money for property includes. Mr. Guluzzy stated revenue from money and property, rents and consessions, veteran's Hall rent, leases for harbor, dockage for harbor, interest income general from all sources, and SB325 monies. Mr. Diffley and Mr. Guluzzy discussed the use of the federal revenue sharing funds ($138,000) for the Wastewater Treatment Plant. Mr. Guluzzy stated there has been a recommendation by the City's auditor for at least the last three years, to update its plant asset ledger. Mayor Shelton stated on Wednesday, June 27, 1979, the Council will be meeting to discuss the budget, and at that time if necessary, the Council will schedule another meeting date. MINUTES - MORRO BAY CITY COUNCIL June 25, 1979, Regular Meeting Page 6 Break: 8:55 p.m. Reconvened: 9:10 P.M. Mr. Guluzzy stated it is necessary to have the funds to operate the City at the end of the fiscal year (June 30, 1979), therefore, it is necessary to adopt an interim budget. The interim budget excludes the capital outlay items, any expenditure made in accordance with the City of Morro Bay, the operating budget is all that we are dealing with and the salary and wages and operating expenses that are essential. Mr. Guluzzy read Resolution No. 32-79 in its entirety. A reso- lution approving and adopting an interim budget for the fiscal year 1979/80. MOTION: Mayor Shelton moved the Council approve Resolution No. 32-79. The motion was seconded by Councilman Reasor and carried unanimously. Councilman Cantine stated in approving the resolution he disclaims any support for any reorganization. B-3 Sewer User Fee Presentation. Mr. Guluzzy stated he reviewed the proposed Spirit of 13 (Gann Initiative). If it is approved, the City's 1979/80 budget would be based on the budget of 1978/79 and would limit any future budgetary increases in appropriations to the annual Cost -Of -Living Index and Population Growth of the City. Appropriations made from sewer user charges derived from the sale of a product or service (if the charge is no greater than the'cost of the product or services), in effect will be transferred from the General Funds. The areas excluded from the Act deal with federal and court mandates, e.g., federal govern- ment will require full funding of the sewer plant and the court man- date is involved because the City is under a Cease and Desist Order. Mr. LeSage stated the Gann Initiative seeks to establish a spending limitation at all levels of government and to establish the 1978/79 fiscal year as a base year. The limitation is gauged by the amount that the City has authorized to appropriate, and the furnishing by proceeds from taxes to include user fees, federal and state grants, etc. What- ever is in last year's budget, plus that which is supported by monies received as revenue last year, is the limitation for the coming year. The only adjustments that this initiative will permit are those based on cost -of -living and increase of population within the City. Revenues received in excess of the base year 1978/79 must be returned either by reducing the tax rate or by reducing fees. Councilman Rosenberg stated the issue being discussed here is the method of raising fees, e.g., Gann Initiative, then this is the time that people could say the City should reduce its budget. He stated he feels this has already been done and that the proposed budget already takes into account the Gann Initiative. The City Council requested Mr.. Guluzzy obtain additional infor- mation concerning the Spirit of 13, and report back to the Council on Wednesday, June 27, 1979 meeting for further discussion. Mr. Bressan stated staff re -analyzed the sewer use fee structure, at Council's direction, to determine 'an equitable rate between the single-family residence, motel unit, and the mobile home. He presented the following facts: (1) the motel unit develops approximately 48% of the wastewater as that of a single-family resident, (2) EPA, who will MINUTES - MORRO BAY CITY COUNCIL June 25, 1979, Regular Meeting Page 7 ultimately dictate the type of rates that the City will set, indicated that the motel unit wastewater is more difficult to treat than resi- dential wastewater, (3) mobile homes fall into (a) the primary resident, and (b) overnight or weekend use, and should be addressed on a park -by - park analysis, (4) The City must also look at the cost-effectiveness of imposing the charge. Staff proposes.that residential units and small to average businesses be charged a flat rate of $1.75 per unit, per month; motel rooms, mobile home spaces should be charged on a volume basis of 85% of their water use at 24t per 100 cubic feet; special rate businesses should be charged at the 'rate of 24C per 100 cubic feet based on either 85% or 100% of their water use as determined by the nature of their business. Mr. Hempenius stated.he would suggest the City request that all motels put in water -saver devices --the only other alternative would be to go to water meters. Mrs. Keiser stated she felt the rates of the water bills in the City are too low. She stated that monies should be set aside for improving the City's water pipes. Mr. Guluzzy stated the revenues represent all funds in the City, e.g., harbor trust, revenue sharing, etc., it is not just General Fund items. The Capital Improvement Fund is a separate fund in a separate budget. Councilman Reasor stated he would like a comparison of the 1976/77, 1977/78, and 1978/79 chart showing what expenditures were expended for Capital Improvements. The City Council requested staff develop a resolution proposing adoption of a sewer user fee for presentation to the Council at the June 27, 1979 Study Session. B-4 Public Accountability Committee report concerning the Chamber of Commerce. Mr. Risley stated the purpose of a committee such as this is to reduce graft. The monies that were appropriated to the Chamber of Commerce have not been spent as they were originally allocated. Mr. Risley stated people have expressed concern with the money that has been allocated to the Chamber, and not spent appropriately, and felt the money could have been used, to upgrade the parking area on the Embarcadero. The Council should make sure monies are appropriated for priority needs and a close follow-up of how they have been spent should be done. Mr. Gaines stated there is not a current contract between the Chamber of Commerce and the City; no quarterly reports have been sub- mitted for this fiscal year and money has been paid out from the City to the Chamber in advance of receiving the reports; no liability in- surange coverage exists as far as the City records show; recall talk is engaged in by the Chamber's Executive Director; and the Executive Director is still facing arraignment charges of grand theft and trial in Santa Cruz and Los Angeles County. The non-profit status that has been granted to the Chamber prohibits political activity. Mr. Hempenius stated speaking as a businessman, the research that has been done by Messrs. Risley and Gaines is only surface deep and does not reflect matters accurately. MINUTES - MORRO BAY CITY COUNCIL June 25, 1979, Regular Meeting Page 8 Mr. Campbell stated he does not feel it is appropriate to allow citizens to make personal attacks against individuals or groups. Mr. Schwartz stated just because he is the Chamber's Executive Director does not preclude him from having his own personal opinion and right as an individual on his own time, to support a recall election. Mr. Dennison stated the Chamber of Commerce works on behalf of all of the citizens and businesses of Morro Bay and felt the presen- tation by Messrs. Risley and Gaines was totally out of order. Mr. Hempenius, President of the Chamber of Commerce, stated all of the Chamber's records that are required by the City have been for- warded to the City on a regular basis. Councilman Rosenberg stated in the past there has been no control over the funds given to the Chamber --the funds were not allocated for specific purposes. He then stated if the Council contracts with the Chamber for 1979/80 fiscal year, discussion of what specific services the City wants from the Chamber and what the City is willing to pay for said services can be addressed. Mayor Shelton stated if the City does contract with the Chamber for the next fiscal year, the Council must assure clear accountability of the expenditure of funds and clear performance of duties. The City Council provided no direction to staff in regards to the Public Accountability Committee report and stated they would address a possible contract with the Chamber for the next fiscal year during the budget hearings. MOTION: Mayor Shelton moved the meeting continue after midnight until the completion of item B-4 and C-1. The motion was seconded by Councilman Rosenberg and carried with Council- man Harmon voting no. B-4 Environmental Resources Committee report relating to long-term water policy. Mr. Diffley, Chairman of the Environmental Resources Committee, stated he would be willing to defer the committee's report to the next regular meeting. The Council directed staff to schedule the Environmental Resources Committee report as the first public hearing item on the agenda for the July 9, 1979 meeting. C-1 Request by Reigal Seafood Company for a time extension to allow completion of building as per'lease agreement. (Continued from June 11, 1979 meeting.) MOTION: Mayor Shelton moved the City Council allow staff to determine the length of a time extension to Reigal Seafood to allow com- pletion of building as per lease agreement, and advise Council of the time frame involved. The motion was seconded by Councilman Rosenberg and carried unanimously. MINUTES - MORRO BAY CITY COUNCIL June 25, 1979, Regular Meeting Page 9 MOTION: Mayor Shelton moved the meeting adjourn to Wednesday, June 27, 1979, at 7:00 p.m. to complete the "New Business" and "Individual Determination and/or Action" section of the June 25, 1979 agenda. At 7:30 p.m. the regularly scheduled Study Session will commence. The motion was seconded by Councilman Rosenberg and carried unanimously. The meeting adjourned at 12:10 p.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy City Clerk i CITY COUNCIL REVISED BUDGET AGENDA FOR BUDGET REVIEW AND MODIFICATION SESSION JUNE 16, 1979, 9:30 a.m. 9:30 a.m. - Brief overview of Capital Improvement Fund, Program, 9:50 a.m. and Budget 9:50 a.m. - Discussion of Reorganization Proposal of City 10:50 a.m. Administrator 11:00 a.m. - Possible modification of City Council, City Admini- 12:00 a.m. strator, City Attorney, and Department Administrative Services Budget 12:00 a.m. - Lunch Break 1:00 P.M. 1:00 P.M. - Environmental Services Budget 1:30 p.m. 1:30 p.m. - Human Resources Budgets 2:40 p.m. 2:45 p.m. - Public Services Budgets 4:00 p.m. 4:00 p.m. - Final Budget Review 4:30 p.m. • REVISED CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL STUDY SESSION, June 13, 1979, 7:30 p.m. MORRO BAY RECREATION HALL Study Session Items For Discussion 7:30 - 8:30 Long-term water policy 8:30 -9:30 1979/80 budget MINUTES - MORRO BAY CITY COUNCIL Study Session June 13, 1979, 7:30 p.m. Morro Bay Recreation Hall The meeting was called to order at 7:30 p.m. by Mayor Shelton. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, Rosenberg, and Mayor Shelton Absent: None STAFF PRESENT Donald F. Guluzzy, City Administrator John Bressan, Public works Director T. Keith Gurnee, Planning Director Tom McGonagill, Finance Director Elizabeth Penny, Deputy City Clerk (1) 7:30 8:30 p.m. Long -Term Water Policy Mr. Gurnee reviewed his memorandum to the Council dated June 11, 1979 concerning the water policy. He advised the Council that the County Engineer has developed a schedule of steps that must be taken prior to a possible Nacimiento Bond Issue election on November 4, 1980. It should give the City a yardstick to measure the progress on ful- filling the suggested water policy. The State has expressed some interest in partially funding a Water Management Study that would address the Water and Watershed Management Study and also explore local supplemental water supply alternatives. Mr. Gurnee then reviewed his proposed resolution regarding a Water Policy for Morro Bay. He stated he would recommend the Council at their next regular meeting (1) adopt the Water Policy Resolution, (2) suggest possible amend- ments to the Land Use Element, and (3) direct staff to prepare a work program and time schedule to pursue the implementation of this policy consistent with the dates set for Nacimento Water Project. Mayor Shelton asked if everything went as scheduled, how long would it be until Morro Bay receives water. Mr. Gurnee stated it would be about six to seven years for Nacimiento. Mr. Diffley, reviewed the Environmental Resources Advisory Committee's report dated May 8, 1979, concerning supplemental water. He stated since wastewater consumes 70 to 80 percent of the total water production, growth of the City during the next twenty years will be limited by the capacity of the new Wastewater Treatment Plant. Mr. Diffley also stated before the City can solve the water problems the Council must make decisions on the following: (1) source or sources of water, (2) quantity up to the ceiling set by the Wastewater Treatment Plant, (3) cost, and (4) timing., He then reviewed the Wastewater Treatment Plant capacity and Morro Bay water requirements necessary. Mr. Palmer stated he feels that the water should be delivered incrementally to Morro Bay, rather than in a "lump sum". If this wasn't done other problems would result, e.g., growth problems. Also, the impact of water and sewer on other City services must be looked at. MINUTES - MORRO BAY CITY COUNCIL June 13, 1979, Study Session Page 2 Mr. Campbell stated he can appreciate the committee's report, however, it is their own personal opinion in a lot of instances and should be viewed in this manner. He also stated he feels the Council should address how they are going to get all the people in the com- munity working together. Mr. Campbell suggested the Council research the alternatives available, e.g., (1) is there more water in the basin that can be pumped out, (2) Giannini's well, (3) is there prospects over in that area of more water, and (4) can more water be developed to allow people to get their one, two, or three percent "building thing" back into effect and get those people to back the Council again. Mr. Risley stated he spoke with Clinton Milne of the County of SLO, in regards to the size of the watersheds. There is about 20 square miles in the Morro watershed and 20 square miles in the Chorro watershed. Mr. Risley stated by using Mr. Milne's figures and some simple calculations based on the rainfall in Morro Bay, determined so far this year that Morro Bay has had over 18" of rain (this is a normal yearly rainfall) and about 38,000 acre feet of water fell on Morro Bay's two watersheds this year. Mr. Risley then stated Morro Bay only needs about 1,500 to 1,600 additional acre feet which is a very small portion of the rainfall that falls in the area. Since other cities have been able to solve their water problems by taking advantage of using the rainfall, Morro Bay should be able to do the same. Mr. Gurnee stated he feels that staff can accomplish the neces- sary paperwork in regards to the land use element, miscellaneous things that deal with the Coastal Program, and the interim ordinances that the City has upon them. Mr. Gurnee also stated in regards to the Water and Watershed Management Study and a detailed explanation of local water supply alternatives (resolves "F" and "G"), this would require either expert staff or a consultant being hired to complete it. The City Council determined to schedule the Long -Term Water Policy Resolution for public hearing on June 25, 1979. (2) 8:30 - 9:30 p.m. 1979/80 Budget Mr. Guluzzy stated the non -departmental portion of the budget in- cludes public utilities, public communications (telephone, postage, advertising, printing, and xerox), all insurance, maintenance, con- tractual services, debt service (improvement districts), reserve for salary increases, capital outlay (communications equipment), and Self - Help Housing. Mr. Guluzzy also stated than an outline of the Chamber of Commerce's proposed budget for 1979/80 will be reviewed by the Chamber's President, Jerry Hempenius. Mr. Hempenius reviewed the various expenditures that the Chamber incurs that include Miss Morro Bay, Firemen's Muster, general TV and radio announcements, equipment, supplies, telephone, tax audit, printing e.g., flyers; dues and subscription costs to professional organizations; task force expenses, 4th of July promotion, and the annual Rock-O-Rama. Mr. Hempenius then stated the Chamber is requesting $34,895 from the City. Councilman Reasor stated he would like to review the Chamber of Commerce's financial statements for the 1976/77, 1977/78, and 1978/79 fiscal years. Councilman Rosenberg stated he feels the Council should determine what services the Chamber should provide to the City and what the City is willing to pay for said services. 9 MINUTES - MORRO BAY CITY COUNCIL June 13, 1979, Study Session Page 3 Councilman Cantine stated he agrees with Councilman Rosenberg and that he feels a percentage to cover administrative costs should be added, rather than get into the cost of supporting a secretary and a manager for the Chamber of Commerce. Mayor Shelton stated the Council must determine (1) does the City need the service, (2) who is going to perform it, and (3) what are the contractual obligations. Mr. Gaines stated he agrees with Councilman Rosenberg's analysis of determining the Chamber's budget. Mr. Diffley stated the Chamber of Commerce in San Luis Obispo does not depend upon the City for funding that it contracts for services. There is a Promotional Coordinating Committee that handles, e.g:, La Fiesta, the Mozart Festival, etc. The Council and the Chamber must get together and determine what they want. Mr. Guluzzy requested an Executive Session to discuss personnel. MOTION: Mayor Shelton moved the meeting adjourn to Executive Session. The motion was seconded by Councilman Harmon and carried unanimously. The meeting adjourned to Executive Session at 9:45 p.m. and re- turned to the Regular Meeting at 10:00 p.m. MOTION: Mayor Shelton moved the meeting adjourn to Saturnday, June 16, 1979, at 9:00 a.m. in the Recreation Hall to review the pro- posed 1979/80 City budget. The motion was seconded by Councilman Harmon and carried unanimously. The meeting adjourned at 10:00 p.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy City Clerk 0 0 CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL June 11, 1979, 7:30 p.m. MORRO BAY RECREATION HALL Call to Order Pledge of Allegiance Invocation Roll Call Public Comment A. CONSENT CALENDAR A-1 Minutes of the May 21, 1979 special meeting. B. HEARINGS, APPEARANCES, AND REPORTS None. C. UNFINISHED BUSINESS None. D. NEW BUSINESS D-1 Hungry Tiger Restaurant located at Market Avenue and Morro Bay Blvd. request for an encroachment permit allowing the "Hungry Tiger" sign to encroach 18-20 inches upon the City right-of-way. D-2 Request by Regal Sea`�food Company for a time extension to allow completion of building as per lease agreement. D-3 Award of bid for street resurfacing project (PW78-009733) to Granite Construction Company. D-4 Resolution No. 27-79 approving the Affirmative Action Program for the City of Morro Bay. E. INDIVIDUAL DETERMINATION AN/OR ACTION E-1 City Council E-2 City Attorney E-3 City Administrator MINUTES - MORRO BAY CITY COUNCIL Regular Meeting June 11, 1979, 7:30 p.m. Morro Bay Recreation Hall The meeting was called to order at 7:30 p.m. by Mayor Shelton with the Pledge of Allegiance. Reverend Dear, City Chaplain, gave the invocation. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, Rosenberg, and Mayor Shelton Absent: None STAFF PRESENT Donald F. Guluzzy, City Administrator Michael T. LeSage, City Attorney John Bressan, Public Works Director Keith Gurnee, Planning Director' Elizabeth Penny, Deputy City Clerk PUBLIC -COMMENT Mr. Gaines expressed concern with an article in the Telegram Tribune, dated June 11, 1979, entitled "Ambulance district fee sought". A $5 annual service charge to finance the Morro Bay ambulance district was considered by the County Board of Supervisors. The fees would be collected along with property taxes and would compensate the district for revenue lost when Proposition 13 passed a year ago. Mr. Gaines felt this fee would cause a tax increase. Mayor Shelton requested that Mr report back to the Council. A. CONSENT CALENDAR Guluzzy research this matter and A-1 Minutes of the May 21, 1979 special meeting MOTION: Councilman Cantine moved the Consent Calendar be approved. The motion was seconded by Councilman Reasor and carried unanimously by roll call vote. B. HEARINGS, APPEARANCES, AND REPORTS None. C. UNFINISHED BUSINESS None. D. NEW BUSINESS D-1 Hungry Tiger Restaurant located at Market Avenue and Morro Bay Blvd. request for an encroachment permit allowing the "Hungry Tiger" sign to encroach 18-20 inches upon the City right-of-way. Mr. Gurnee stated the Planning Commission met on June 4, 1979 and considered the Hungry Tiger's request. The Commission is recommending the granting of an encroachment permit subject to four conditions. He MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, June 11, 1979 Page 2 then reviewed his staff report with the Council and stated the Hungry Tiger Restaurant has made application for a lighted pole sign that will encroach 2' into the existing public right-of-way along Market Avenue in front of their restaurant. Representatives of Hungry Tiger have explained to staff that roof -supported signs would not work be- cause of wind loads. Mr. Gurnee went on to say as a condition of allowing this sign to be installed as proposed, staff would recommend that the large number of unsightly vents, condensers, and mechanical equipment cluttering the roof of the restaurant be cleaned up as a condi- tion for erecting a sign on city property. The equipment could be screened by a well -designed, low -profile, parapet wall done in charac- ter with the existing structure. Jim Mathewson, President of Hungry Tiger Inc., Restaurants, stated that the Coastal Commission granted the Hungry Tiger approval of any sign as long as it is within the City's Code. This would in- clude either a pole or roof sign. Originally, the Hungry Tiger wanted to erect a roof sign, but because of immense structural problems due to wind loads, they determined a pole sign would be better. Mr. Mathewson stated he has been paving and upgrading the entire parking lot in that area and will be spending about $100,000 for remodeling the restaurant. He then stated the Hungry Tiger is requesting about one or two square feet of City property for the sign, and that the sign will not create any obstacle or hazard. Councilman Harmon stated he feels screening is necessary and feels the longer, thinner roof sign would be better than a pole sign. Mr. Gurnee stated (1) removal of the existing sign would be a', - voluntary action for awhile, but it is an illegal sign and would be re- quired to be removed in 1981 anyway, (2) in regards to the structural problems of the roof sign, the Hungry Tiger was aware of this all along because of their contact with the Building Department, (3) the second stairway (separate from Centennial Stairway) was a requirement of the original owner, and since the original owner did not install it, it is a requirement for Hungry Tiger to do so or else the use of the banquet room would not be allowed to be used, and (4) staff feels that it is necessary to have the equipment screened within 6 months. Councilman Harmon expressed concern with illumination of the sign and asked if the Council could put conditions on the sign itself. Mr. Gurnee stated yes, because the sign is on public property. Councilman Reasor expressed concern with the white background of the sign, and stated he did not want it to be one that glares or glows at night so that you see it two miles away. Mr. Gaines asked if there would be any liability to the City if an accident occured within the City right-of-way. Mr. Gurnee stated when the encroacament permit is issued there is a section of the permit that deals with indemnification. Councilman Rosenberg and Mayor Shelton stated they would support the Planning Commission's recommendation, but that they are concerned with the cost involved for screening. They stated they would like to have a report from staff concerning the cost as a condition of approval. Councilman Cantine stated if the applicant is willing to incur the expense for screening, then it is not the Council's job to determine whether a capital investment for screening should be made or not. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, June 11, 1979 Page 3 MOTION: Councilman Harmon moved that the City Council grant a tem- porary encroachment permit for the proposed sign for a period not to exceed six (6) months subject to the following condi- tions: (1) All existing roof signs shall be removed. (2) The lighting be consistent with the surrounding areas as determined by staff. (3) A screen or parapet wall, the design of which shall be approved by staff to assure that the screen be in keeping with the design and character of the building, shall be erected around the roof - mounted mechanical equipment. (4) The wall or screen shall be constructed within the six (6) month period and upon its completion, perma- nent encroachment permit shall be granted by the City. (5) If the above conditions are not met within the six (6) month period, the sign shall be removed from city property. The motion was seconded by Councilman Rosenberg and carried unani- mously by roll call vote. D-2 Request by Reigal Seafood Company for a time extension to allow completion of building as per lease agreement. Mr. Gurnee stated the lease requires the completion of the wharf and building by April 1, 1979, and since this has not be done it is necessary that a time extension be granted to complete said work. Mr. Gurnee advised the Council he has received a number of complaints from adjacent leaseholders in regards to the continued parking of a large truck and trailer in front of the Fish Shanty Restaurant. This parking area is to service the surrounding lease sites in addition to Reigal Seafood. The trailer is being used for the storage of fish. Mr. Jackson, Reigal Seafood, stated the use of the van on the dock has been going on for 20 years. The business, all of these years, has depended on the van, and without it Reigal Seafood"would go out of business. Councilman Rosenberg and Mayor Shelton stated they would like for staff to meet with the parties involved and work to resolve the matter. Councilman Cantine expressed concern in approving the time exten- sion with a condition placed upon it because he has not had the opportunity to review the circumstances involved with the complaints prior to the meeting. MOTION: Councilman Cantine moved the City Council grant a time exten- sion for two weeks (June 25, 1979) to allow staff to gather more data to present at the next Council meeting. The motion was seconded by Councilman Reasor. Mr. LeSage stated it would be necessary for him to review the County Ordinance in addition to the City's Ordinance. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, June 11, 1979 Page 4 Mr. Gurnee suggested granting the time extension of the lease with the condition that the parking of the trailer vehicle be resolved to the satisfaction of the Council at the earliest time. Mr. Campbell stated it is because of varying codes and authorities that problems, such as these, are occuring. He stated he feels the City should have jurisdiction to determine who is right and who is wrong. Mrs. Craig expressed concern with the truck remaining stationary for four months. She felt since it is mobile it could be moved to another location. Mrs. Craig also stated she does appreciate the fish business. Mrs. Crill stated she has held the master lease for 19 years to lease sites 134-136 (Fish Shanty) and during the past 19 years a van has never been permitted to park in front of Reigal Seafood for the length of time it has been now. Usually trailers come and go every two to three days. There has never been a time when a van has been permitted to park on the dock for four months at a time, and it is a nuisance. Mr. De LaRosa stated there is a "no parking" sign in the area that the truck for Reigal Seafood is parking. Councilman Rosenberg suggested the motion be amended to read: "that the City Council grant a time extension for two weeks (June 25, 1979) on the conditions that (1) the parking situation be resolved to the satisfaction of the City Council within a reasonable amount of time and that all interested parties meet with the Planning Director to resolve the matter, (2) during the period of the next . two weeks, no legal action be taken against the trailer that is parked in front of Reigal Seafood, and (3) a report be prepared for the Council in regards to this matter. Mayor Shelton stated he would support the amendment. The motion carried unanimously by roll call vote. Break: 9:55 p.m. Reconvened: 10:00 p.m. D-3 Award of bid for street resurfacing project (PW78-009-33) to Granite Construction Company. Mr. Guluzzy stated the City received four bids for the street resurfacing project and would recommend the contract in the amount of $39,161.75 be awarded to Granite Construction Company. Mr. Guluzzy noted that the figure includes street striping and pavement marking. Mr. Guluzzy stated the streets include Monterey to Pacific and Marina (including drainage), Harbor Street between Main and Front (overlay) and South Bay Blvd. from County maintenance line to the south side of the most southernly side of the Twin Bridges (widening about three feet). Mayor Shelton asked what the chances of South Bay Blvd. widening being FAU granted. Mr. Bressan stated FAU would probably not handle it on a 27' wide street and they would require the City to extend it to a 40, wide street. The City would then have to either fill the estuary or cut away part of the bank on the other side. Either alternative would be extremely expensive and the City would only get about $34,000 a'year FAU monies, so the City would have to let the money accumulate for a number of years to cover the cost. .Mayor Shelton stated he would like for staff to re -investigate the feasibility of disincorporating the area around the Twin Bridges. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, June 11, 1979 Page 5 Councilman Harmon stated in regards to next year's program he would like to see the City look towards going to a bond issue. MOTION: Councilman Reasor moved that the City Council award the bid for street resurfacing project (PW78-009-33) to Granite Construction Company in the amount of $39,161.75 and autho- rize the transfer of these funds from unobligated reserves. The motion was seconded by Councilman Harmon and carried unanimously by roll call vote. D-4 Resolution No. 27-79 approving the Affirmative Action Program for the City of Morro Bay. Mr. Guluzzy reviewed his memorandum to the Council and stated he is recommending the Council adopt a five year Affirmative Action Program. The goals for the City of Morro Bay are (1) that the race and sex percentages of all employees of San Luis Obispo County be in compliance with the Affirmative Action Plan by the fifth year of the five year plan, (2) revisions to the Personnel System to assist in achieving equal opportunities in employment for females and minorities, and (3) development of a Contract Compliance Program whereby all con- tractors will be notified of the City's affirmative action policies. Mr. Risley asked if the Affirmative Action Plan includes promo- tions of current employees of the City. Mr. Guluzzy stated it does. Councilman Rosenberg suggested that page 12, third column, be reworded to read: Additional number needed to have same percentage as relevant labor market" and page 14, Goal #3, second sentence be reworded to read: ...to be in compliance they must follow the applicable Federal Equal Employment Opportunity Guidelines in their practices." MOTION: Mayor Shelton moved Resolution No. 27-79 be read by title only. The motion was seconded by Councilman Harmon and carried unanimously. Mr. Guluzzy, read by title only, Resolution No. 27-79 "Resolution of the City Council of the City of Morro Bay supporting all action necessary to make Equal Employment Opportunity a reality for all". MOTION: Mayor Shelton moved the City Council adopt Resolution No. 27-79 as amended. The motion was seconded by Councilman Harmon and carried unanimously by roll call vote. E. INDIVIDUAL DETERMINATION AND/OR ACTION Mr. Guluzzy introduced the newly -hired Finance Director Tom McGonagill to the City Council and audience. E-1 City Council Mayor Shelton requested that a "Correspondence" listing be added to the Council agenda rather than receiving the correspondence on a piecemeal basis in their Council boxes. The Council concurred. Mayor Shelton stated the Council had decided who is going to serve on the Harbor Advisory Board, but had not determined who the alternates would be. The primary participates are as follows: 11 MINUTES - MORRO Regular Meeting, Page 6 BAY CITY COUNCIL June 11, 1979 Commercial Fishing ------------------- cliff Smith Sport Fishing ------------------------ Mike Fitzsimmons Marine Supply ------------------------ Orvas Stacy Fish Processing ---------------------- Mike DiGarimore Water Related Business --------------- Reg Whibley Mayor Shelton requested that Mr. Guluzzy advise the Harbor people by June 12, 1979 of the new Council policy relating to the end slips on the dock and the right of usage. Councilman Cantine asked when the sewer use charge, the Public Accountability Committee report relating to the Chamber of Commerce, and the draft of the Condominium Conversion Ordinance would be scheduled for a Council meeting. Mr. Guluzzy stated the sewer use charge and the Public Accoun- tability Committee report will be scheduled for June 25th and the draft Condominium Conversion Ordinance will be scheduled for June 27, 1979. E-2 City Attorney Mr. LeSage requested an Executive Session to discuss litigation. Mr. Guluzzy stated he would also like to discuss personnel. E-3 City Administrator Mr. Guluzzy advised the Council that the City had been awarded $570,000 for Step 2 (design) of the Wastewater Treatment Plant from the U.S. Environmental Protection Agency. Mr. Guluzzy stated on Friday, June 15, 1979, he will be meeting with several officials from the State Water Resources, County of SLO, and John Parkhurst in regards to the Water Management Study. Mr. Guluzzy stated that he had discussed the possibility of John Parkhurst being retained on a consultant basis throughout the design phase of the Wastewater Treatment Plant. Mr. Parkhurst could review Brown and Caldwell's plans, oversee the project, advise staff and Council on matters, e.g., Water Management Study, etc. Jim Snow of the State Water Resources stated initially Mr. Parkhurst's fee would be grant eligible up to about $10,000. Mr. Guluzzy stated that Mr. Parkhurst would be amenable to working at a rate of $1,500 per month or $50 per hour. Councilman Cantine stated he would support a $50 per hour basis and give him specific tasks to accomplish, rather than a flat $1,500 per month rate. Mayor Shelton and Councilman Rosenberg stated they would support Mr. Guluzzy negotiating a $50 per hour contract with Mr. Parkhurst. Mr. Guluzzy stated since Mr. McGonagill has been hired as Finance Director, it is necessary for him to now be appointed as City Treasurer. MOTION: Mayor Shelton moved the Council appoint Thomas McGonagill as City Treasurer. The motion was seconded by Councilman Reasor and carried unanimously. Mr. Guluzzy stated he will be advertising the City Council's hearing scheduled for June 25, 1979 on the proposed use of Federal Revenue Sharing Funds. He stated he had held the City Administrator's hearing on June 5, 1979 and was recommending the $138,000 be used for Wastewater Treatment Plant improvements, including engineer. �J MINUTES - MORRO Regular Meeting, Page 7 BAY CITY COUNCIL June 11, 1979 The Council stated they too would support the federal revenue sharing monies being used for the Wastewater Treatment Plant improve- ments and authorized Mr. Guluzzy to advertise the necessary hearing. Mr. Guluzzy asked the Council how they feel about changing the name of Atascadero State Beach to Morro Bay State Beach. Mayor Shelton stated he supports the idea, especially since Atascadero has recently incorporated. MOTION: Mayor Shelton moved the City Council authorize the City Administrator to send a letter to the appropriate autho- rities requesting Atascadero State Beach be changed to Morro Bay State Beach. The motion was seconded by Council- man Cantine and carried unanimously. MOTION: Mayor Shelton moved the meeting adjourn to Executive Session. The motion was seconded by Councilman Harmon and carried unanimously. The meeting adjourned to Executive Session at 11:05 p.m. and re- turned to regular session at 11:40 p.m. MOTION: Mayor Shelton moved the meeting adjourn to Wednesday, June 13, 1979, at 7:30 p.m. in the Morro Bay Recreation Hall for a Study Session. The :motion was seconded by Councilman Reasor and carried unanimously. The meeting adjourned at 11:40 p.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy City Clerk 9:00 a.m. I C• Administrator Rep • Donald F Guluzzy, City Administrator 1979/80 AGENDA: BUDGET REVIEW Saturday, June 9, 1979 Overview of 1979/80 Budget Report No. Date 6-5-79 9:45 a.m. II Revenue Analysis and Review 10:15 a.m. III Reorganization Proposal and Analysis 11:15 a.m. IV Budget Review: City Council, City Administrator, City Attorney, Department of Administrative Services 12:00-1:00 V Lunch Break 1:00-1:30 VI Department of Environmental Services 1:35-3:00 VII Department of Human Resources 3:00-4:30 VIII Department of Public Services Wednesday, June 13, 1979 IX Non -Departmental Budget Saturday, June 16, 1979 9:30 a.m. X Capital Improvement Programs (Initial Draft) 595 Harbor Street Morro Bay, California 93442 (805) 772-2212 MINUTES - CITY ADMINISTRATOR Public Hearing Meeting Proposed Use of Federal General Revenue Sharing Funds June 5, 1979, 10:00 a.m. City Hall Conference Room The meeting was called to order at 10:00 a.m. by Donald F. Guluzzy, City Administrator. PRESENT Eugene R. Shelton, Mayor Donald F. Guluzzy, City Administrator Elizabeth Penny, Administrative Secretary Molly Bruno, President of Morro Bay Senior Citizens Tony Ignoffo, Member of Morro Bay Senior Citizens Morro Bay City Residents Public Hearing on Proposed Use of Federal.General Revenue Sharing Funds. Mr. Guluzzy stated the City Administrator is required to hold a public hearing on the proposed use of federal revenue sharing funds. It is anticipated that the City will receive $138,000 and staff is recommending it be used for the Wastewater Treatment Plant improvements. Mr. Guluzzy advised those present that the total estimated amount of federal revenue sharing funds to be received and/or used in the 1979 municipal budget is $138,000. The total federal revenue sharing re- ceived to December 31, 1978 is $787,253. The total federal revenue sharing received on January 1, 1979 is $68,681. The total interest earned on revenue sharing funds in 1978 was $7,959. Mrs. Bruno and Mr. Ignoffo expressed their support for Mr. Guluzzy's proposed use of the federal revenue sharing funds. Mayor Shelton stated he would like to see the federal revenue sharing funds contribute to the individual "human efforts" of the City, but under the circumstances, it is necessary for the monies to go toward the Wastewater Treatment Plant. The meeting adjourned at 10:12 a.m. Recorded by: DONALD F. GULUZZY, City Administrator By: Elizabeth Penny Administrative Secretary • REVISED CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL MAY 30, 1979, 7:30 p.m. MORRO BAY RECREATION HALL Unfinished Business from Previous,'Study Sessions (1) Affirmative Action Plan (2) Policy Calendar New Business (1) Discussion of Condominium Conversion Standards (Status Report) (2) Discussion of Citizen Request System (3) Status Report, City Administrator CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL May 30, 1979, 7:30 p.m. MORRO BAY RECREATION HALL Unfinished Business from Previous Study Sessions (1) Discussion of long-term water policy (2) Affirmative Action Program New Business (1) Discussion of Condominium Conversion Standards (2) Discussion of Citizen Request System MINUTES - MORRO BAY CITY COUNCIL Continuation of May 29, 1979 Regular Meeting and Study Session May 30, 1979 - 7:00 p.m. Morro Bay Recreation Hall The meeting was called to order by Mayor Shelton. ROLL CALL Present: Councilmen Cantine, Reasor, Rosenberg and Mayor Shelton. Absent: Councilman Harmon. Staff Present Donald Guluzzy, City Administrator; Sharon Lilley, Acting Deputy City Clerk. C. UNFINISHED BUSINESS: ORDINANCES: PUBLIC HEARINGS C-3 Ordinance No. 169: Technical correction changing cost of construct- ion water from 40¢ to SO¢ per hundred cubic feet of water for fire hydrants. MOTION: Mayor Shelton moved that Ordinance No. 169 be read by title only. The motion was seconded by Councilman Reasor and unanimously carried. Mr. Guluzzy read Ordinance No. 169 by title only. MOTION: Mayor Shelton moved that this constitute the second reading and adoption of Ordinance No. 169. The motion was seconded by Councilman Reasor and was unanimously carried by roll call vote. D. NEW BUSINESS: MOTIONS TO APPROVE D-1 Transfer $4,076.00 from unobligated reserves to Parks and Recreation Account for funding Summer Elementary Playground Project. Mr. Guluzzy stated that this request for transfer of funds from unobligated reserves will not be necessary, however, what will be necessary is pre -approval for the 1979-80 fiscal year budget for what- ever amount is necessary for Mr. Braga to run the playground program ($4,076 approximate cost). There are about 160 participants in this summer program and a cost of approximately $25/per day for each participant. Mr. Guluzzy also stated that the. school system program has been eliminated for this year. The City's summer playground program would be held at both Morro and Del Mar Elementary Schools. Mayor Shelton stated that since no transfer of funds was necessary and because there has never been pre -approval in the past of the summer playground program, why is this request occuring at this time. Mayor Shelton stated that the summer playground program was specifically knocked out of last year's budget. Mr. Guluzzy stated that in the past, it was approved at budget time which occurred prior to the start of the summer program. The City Administrator stated that there is currently sufficient money in the Parks and Recreation budget to cover the cost of the program for this summer. Councilman Cantine stated that he had no intention of approving anything for next year's budget without having all the figures present. MOTION: Mayor Shelton moved that Parks F, Recreation be given the ^direction to continue the summer elementary playground program for the next fiscal year. The motion was seconded by Councilman Harmon and was unanimously carried by roll call vote. 0 0 MINUTES - MORRO BAY Continuation of May May 30, 1979 - 7:00 Page 2 CITY COUNCIL 29, 1979 Regular p.m. Meeting and Study Session cril vote. Mr. Guluzzy asked the Council if this motion took into consideration the approval for the Parks and Recreation Department to use the balance of this year's budget for the summer playground program for 78/79. The Council agreed. D-2 Approval of Master Street Tree Revisions Mr. Guluzzy presented his report to the Council stating that the Planning Commission recommended with its revisions, approval of of the Master Street Tree List -as submitted. The only City property which would be affected by this revised tree list would be those which were in the city right-of-way. Councilman Cantine stated that he really questions the expertise of the Tree Committee. Mayor Shelton stated that he would like to have a written analysis on the selection list as submitted by the Tree Committee explaining the rational. that was used in this process. Mr. Guluzzy stated that Dave Braga wanted to replace some trees and that he had a schedule of replacement according to the best time for planting. MOTION: Councilman Cantine moved that the City Master Street Tree Revision List be approved with the provision that the Council receive a report from the participants involved. The motion was seconded by Councilman Reasor and was unanimously carried. E. INDIVIDUAL DETERMINATION AND/OR ACTION E-1 City Council Councilman Rosenberg stated that the Council had received a copy of a cover letter from Clinton Milne to the Water Resources Advisory Committee. Councilman Rosenberg asked that the City Council each receive a copy of the initial letter from Clinton Milne. Councilman Rosenberg also stated that the Human Resources Committee is functioning well. He suggested that this committee could be used for getting nominations for the Finance and Environmental Resource Committees. Councilman Reasor stated that he had received some complaints on the new lighting installation at Lila Keiser Park. Councilman Reasor reported that residents are having extreme difficulty seeing the road at dusk when driving west on highway 41. Councilman Reasor request6d that the Public Works Director look into this problem as a potential liability for the City. Councilman Cantine proposed that perhaps the area in question could be shielded on one side to prevent any problems with the lighting when driving. Mr. Guluzzy stated that the Parks & Recreation Director said that he would check with the designing engineer on the situation. Councilman Caritine stated that he would rather have some other staff person check into the problem. 0 i MINUTES - MORRO BAY CITY COUNCIL Continuation of May 29, 1979 Regular Meeting and Study Session May 30, 1979 - 7:00 p.m. Page 3 Councilman Rosenberg stated that this could be an item for the Human Resources Committee. The City Administrator concurred and stated that he would bring this problem to the attention of that committee and would report back to the Council. Mr. Guluzzy stated that he and the Public Works Director did travel in this area at dusk and it was extremely bright. However, there was no potential hazard caused by a blinding glare from the lights. Mr. Guluzzy stated that there was an obvious change from the previous dark area to the current brightly lit park area. Councilman Harmon stated that the City needs to develop a disaster plan that would incorporate an emergency plan for earthquakes, flooding, etc. Councilman Harmon also stated that we need to establish a network for emergency communications with the City in case of a disaster. Councilman Harmon suggested that the Fire Chief and the Police Chief work together in up -dating and evaluating our disaster plan. Councilman Harmon suggested that the Council conduct nominations for the Harbor Advisory Board. The Council concurred. The nominations included the following: Mike Fitzsimmons - Sport Fishing Cliff Smith - Commercial Fishermen Orval Stacy - Marine Supply Reg Whibley - Water Related Business Mike DeGarimore - Fish Processing Mayor Shelton stated that any additions to this nomination list should be given to him so that they may be added for consideration. The specific appointment will be made at the next meeting. Mayor Shelton stated that Keith Gurnee had written a letter to Carol Hallett regarding saving the funds for the Cloister Area by Atascadero Beach. This item was in committee and the funds were being threatened by various legislatures. Mayor Shelton stated that it was because of Keith's quick action that these monies were secured for the protection of the Cloisters Area. Councilman Cantine stated that it shows the initative that Keith Gurnee has. Mayor Shelton stated that we also need a policy statement from the Council regarding the water related uses of the City slips. Mayor Shelton stated that the City's policy had been in the past that the lease site adjacent to Beach Street's street end docks, have the option of utilizing those slips, so that these slips would not be incompatible with its uses. There has been no problem with the leasee on the south end, however, there was a problem on the north end with the Whale's Tail. Mayor Shelton stated that the DeGarimore's and Mr. Hall have reached an agreement; and the agreement is that the DeGarimore's can rent that slip for $100 per month, and the City is charging $50.00. Mayor Shelton stated that the policy would state that a water related use has first rights to that slip even if it is a subleasee. That the subleasee on the north end on the water side has the first rights rather than the distant leasee who has the land use. MOTION: Mayor Shelton moved that the City of Morro Bay adopt the policy that the water related uses adjacent to the City slips would be the use that would receive first rights to the slips. The motion was seconded by Councilman Harmon and was unanimously carried. a MINUTES - MORRO BAY CITY COUNCIL Continuation of May 29, 1979 Regular Meeting and Study Session May 30, 1979 - 7:00 p.m. Page 4 E-2 City Attorney The City Attorney was not present. E-3 City Administrator Mr. Guluzzy stated that John Bressan had discussed with him the request for approximately 500 acres of land which is surplus property by Camp San Luis Obispo. Mr. Guluzzy stated that after talking with Health, Education and Welfare, it was established that there would need to be a resolution adopted by Council authorizing the City Administrator to make application for this land. Councilman Cantine stated that Cal Poly is still interested in leasing a.portion of that land. We could lease that portion that the City does not want. Councilman Cantine suggested re -writing the old application. MOTION: Councilman Cantine moved that staff be directed to complete an application for the H.U.D. criteria for the 1,196 acres and that the City Administrator be authorized to act as an agent for the City. The motion was seconded by Council- man Reasor and unanimously carried by roll call vote. MOTION: Mayor Shelton moved that the meeting be adjourned to executive session. The motion was seconded by Councilman Cantine and was unanimously carried. The meeting adjourned to executive session at 8:15 p.m. MOTION: Councilman Cantine moved that the meeting be returned to regular session. The motion was seconded by Councilman Rosenberg and was unanimously carried. The meeting returned to regular session at 8:45 p.m. RECESS: 8:45 p.m. RECONVENE: 8:48 p.m. STUDY SESSION Councilman Cantine left the meeting at 9:00 p.m. Mr. Guluzzy discussed the budget; when it would be ready for public review and briefly about his proposed re -organization. UNFINISHED BUSINESS FROM PREVIOUS STUDY SESSION (1) Affirmative Action Plan Mr. Guluzzy presented his draft report on the Affirmative Action Plan. He stated that his motive for such a plan was due to the City's increased utilization of federal grants. Mayor Shelton stated that he would like to see a change in the wording in the proposed resolution. The change would be the following: "Where as it has been the policy" changes to "Where as it is the policy". Councilman Rosenberg stated that he is concerned about the Federal government's involvement in local governments in trying to set hiring ratios of either minorities or women. Councilman Rosenberg MINUTES - MORRO BAY CITY COUNCIL Continuation of May 29, 1979 Regular Meeting and Study Session May 30, 1979 - 7:00 p.m. Page S said that he wants it clarified that the proposed resolution implies that we are just equal opportunity employers, giving the job to the best qualified person. Councilman Reasor stated that he is in complete agreement with Councilman Rosenberg and his assessment of Affirmative Action. Council- man Reasor questioned the term used under item #12 "Compliance". He stated that this term means within the law and that means you are tied down and are being forced to take certain action. Mayor Shelton stated that he was willing to have the proposed Affirmative Action Plan before a public hearing at a City Council meeting. The Council concurred. (2) Policy Calendar Mr. Guluzzy discussed some of the changes and additions to the policy calendar i.e. the addition of Harbor Dredging and an Emergency Disaster Plan. Mr. Guluzzy stated that he wanted to meet with someone from the Corp of Engineers to discuss the possibility of Morro Bay being a Harbor of Refuge which could open the possibilities of the City obtaining additional federal funds. Mr. Guluzzy stated that he will prepare a revised calendar showing the additions and those items which have been completed. NEW BUSINESS (1) Discussion of Condominium Conversion Standards (Status Report) Mr. Guluzzy stated that this was just a report to the Council so that they would know that Mr. Gurnee is working on it. (2) Citizen Request System Mr. Guluzzy stated that this was an item that he would be further discussing with the City Council during the budget process. To accomplish this system, it will also need to incorporate a re -organization within the City. Mayor Shelton wanted to know what the Public Works Director thought of Mr. Guluzzy's proposed re -organization plan. Mr. Guluzzy stated that in his discussions with Mr. Bressan, he received no negative comments. Mr. Guluzzy stated that it would actually assist the Public Works Director because it would relieve a lot of his time which is now being spent in the area of complaints. MOTION: Councilman Harmon stated that it is now 9:30 p.m. and moved that the meeting be extended for fifteen minutes. The motion was seconded by Councilman Rosenberg and was unanimously carried. (3) Status Report, City Administrator Mr. Guluzzy discussed his memorandum regarding Fiscal Transfers. Mr. Guluzzy stated that his first area of concern is in Finance/ Administration and Financial/Planning. He stated that the City has some equipment which is very old, i.e. typewriters. Mr. Guluzzy stated that we do have some money available in the 78/79 budget under Salary and Wages which has not been expended because of several vacant positions. Mr. Guluzzy stated that because of the addition of personnel and the increased workload, we are considering purchasing two IBM Correcting Selectric II typewriters. Mr. Guluzzy stated that he would like to get MINUTES - MORRO BAY CITY COUNCIL Continuation of May 29, 1979 Regular Meeting and Study Session May 30, 1979 -7:00 p.m. Page 6 the Council's approval for the purchase of these two typewriters (approximate cost $800 each). Councilman Harmon stated that he had no problem with this request, but wondered about the request for an additional desk for the Finance Director. Councilman Harmon suggested obtaining the desk from Public Works when the clerical position is transferred• from that department down to City Hall to be utilized for the new telephone system, another desk would then be available. Mr. Guluzzy agreed that that was a good possibility. Councilman Harmon stated that he also did not approve of the request of a $500 35 mm camera for the Police Department. He stated that this particular item was cut from the budget last year and it should stay out. Councilman Rosenberg suggested a camera that might cost $50, which also might serve their needs. The concensus of the Council was to approve this $50 expenditure for a camera for the Police Department. Mayor Shelton stated that he would approve the expenditure for the two typewriters and the Council concurred. Mayor Shelton also stated that he would approve the safety items for the Police Depart- ment. However, such requests for cameras, desks, etc. would be looked at very closely during the budget process. Mr. Guluzzy stated that he is having the Administrative Assistant finalize the "Welcome to a City Council Meeting" brochure and will have`it available soon. Mr. Guluzzy discussed the newly implemented voucher system for expenditures for all departments. It is greatly assisting in cutting down the paperwork involved. MOTION: Councilman Rosenberg moved that the City Council meeting be adjourned. The motion was seconded by Council- man Harmon and was unanimously carried. The meeting adjourned at 9:47 p.m. Recorder By: DONALD F. GULUZZY, City Clerk By: Sharon Lilley Acting Deputy City Clerk CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL May 29, 1979, 7:30 p.m. MORRO BAY RECREATION HALL Call to Order Pledge of Allegiance Invocation Roll Call Public Comment A. CONSENT CALENDAR A-1 Minutes of the April 23, 1979 regular meeting. A-2 Minutes of the April 23, 1979 executive session. A-3 Minutes of the May 7, 1979 special meeting. A-4 Minutes of the April 14, 1979 regular meeting. A-5 Expenditure Report for period covering April 1, 1979 through April 30, 1979. (RECOMMEND APPROVAL) B. HEARINGS, APPEARANCES, AND REPORTS B-1 8:00 p.m. Public Hearing: Senior Citizen's Site Analysis. B-2 9:00 p.m. Public Hearing: Sewer Use Charge. B-3 Report of City Administrator Re: Chamber of Commerce Financial Statement for period of July 30, 1978 through March 31, 1979. B-4 Resolution No. 24-79: Resolution requesting Nuclear Regulatory Commission withhold issuance of an operating license for the Diablo Canyon Nuclear Power Plant until Morro Bay develops emergency evacuation plan. B-5 Resolution No. 25-79: Resolution adopting Water Equivalency Program for 1979/80. B-6 Resolution No. 26-79: Resolution renewing. -Agreement on a tem- porary basis (3 months) with Morro Bay GF-e-Lage. C. UNFINISHED BUSINESS: ORDINANCES: PUBLIC HEARINGS C-1 Ordinance No. 167: Transportation of radioactive materials in the City of Morro Bay. C-2 Ordinance No. 168: Establishing a Harbor Advisory Board. C-3 Ordinance No. 169: Technical correction changing cost of con- struction water from 40C to 50fi per hundred cubic feet of water for fire hydrants. D. NEW BUSINESS: MOTIONS TO APPROVE D-1 Transfer $4,076.00 from unobligated reserves to Parks and Recreation Account for funding Summer Elementary Playground Project. D-2 Approval of Master Street Tree Revisions. E. INDIVIDUAL DETERMINATION AND/OR ACTION E-1 City Council E-2 City Attorney E-3 City Administrator a 0 MINUTES - MORRO BAY CITY COUNCIL Regular Meeting May 29, 1979, 7:30 P.M. Morro Bay Recreation Hall The meeting was called to order at 7:30 p.m. by Mayor. Shelton with the Pledge of Allegiance. Reverend Dear, City Chaplain was not present, therefore, a moment for silent prayer was offered. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, and Mayor Shelton Absent: Councilman Rosenberg Staff Present: Donald F. Guluzzy, City Administrator Michael T. IeSage, City Attorney John Bressan, Public Works Director Keith Gurnee, Planning Director Sharon Lilley, Acting Deputy City Clerk Councilman Rosenberg arrived at 7:35 p.m. PUBLIC COMMENT Howard Gaines addressed the harbor lease sites and stated that he feels that the City should be realizing a profit situation on them and not subsidizing the tourists. Lila Keiser discussed the Civic Center Plan which is indicated in the General Plan. She stated that this kind of facility would meet the need and take care of all the various groups within the City that require a larger facility to meet in. Faye Aldridge stated that she would like to compliment the press on their coverage the past several weeks on those items being scheduled for the City Council meetings. She would also like to compliment the Chamber of Commerce for the list they made available of gas stations in Morro Bay that were open on the weekends. Ms. Aldridge also stated that she was in agreement that a facility is needed in Morro Bay to serve all the citizens of the community. Mayor Shelton stated that $10,000 was earmarked in last year's budget for a Senior Citizen's Center. Mr. Jerry Hempenius, President of the Chamber of Commerce, stated that the Chamber of Commerce is a non -political organization. He feels that everyone needs to understand that this is a type of free enterprise and that people should be able to speak as they feel. Mr. Hempenius stated that the City Council meetings is not the place to constantly harass the Chamber of Commerce. We need to all join hands and make Morro Bay a city where we all work together. Mr. Campbell stated that he would like to challenge Mr. Gaines in his statement that he had heard that the Chamber of Commerce would institute or support a recall election. Mr. Campbell stated that he remembers -:when Councilman Cantine said he would not support funding for any one group spending tax money for solely a Senior Citizen Center. Mrs. McWilliams stated that we need to work together. Morro Bay is a very peaceful place, however, we need to give Senior Citizens their share as they have not been given this in the past. Mrs. McWilliams feels that the Seniors should get what they deserve. MINUTES - MORRO BAY* TY COUNCIL • May 29, 1979 Page 2 Mr. McHall stated that he has seen the Senior Citizens kicked around Morro Bay and he is against the inclusion of a Senior Citizen Center within a Community Center facility. Bruce Risley spoke in agreement with Mrs. McWilliams and feels that our political leaders 'should try to look at our problems as they relate to the needs of a Senior Citizens Center. Bruce Risley stated -he had seen a Public Service Announcement on T.V. which stated that Morro Bay hadlplentycof gas iiFfyyouccome to .the qu City for a visit. He estioned this. kind of advertisement since the City of Morro Bay supports the Chamber of Commerce with funds to promote the City through various kinds of advertisements. Mr. Hempenius addressed the gas situation as it pertains to Morro Bay. He stated that Morro Bay has 80% of its gas allocation and it is actually too much gas for strictly those residents of the City to use, and we need to develop some tourism in order to use this allocation up. He stated that 7-8 gas stations are remaining open on the weekends to accommodate the influx of tourists. Service stations' do have the option to remain open on the weekends or close. Recently there was a problem with one station closing on the weekend that was regularly open. He remained open as long as he had gas, and finally he ran out. Mr. Hempenius stated that if we try to close off Morro Bay from tourism, local residents will not be able to afford to live here. Mr. Hempenius stated that the Morro Bay Motel Association, the Restaurant Association, and other various merchants donated this money (approximately $750) for the advertisement (which stated that we had plenty of gas) to bring people into the City. Mr. Souza wanted to know why we cannot use the Brebe's Pier. He stated that various trucks drive out on it and if the pier is unsafe for people to walk on, why then can trucks drive out on it? Mayor Shelton responded that the pier was closed to the public because of litigation and safety questions. The meeting was closed to public comment. Mayor Shelton introduced from the audience, Mr. and Mrs. John T. Day, a Councilman in Glendale, California. Recess: 8:20 p.m. Reconvene: 8:30 p.m. A. CONSENT CALENDAR A-1 Minutes of the April 23, 1979 regular meeting. A-2 Minutes of the April 23, 1979 executive meeting. A-3 Minutes of the May 7, 1979 special meeting. A-4 Minutes of the April 14, 1979 regular meeting. A-5 Expenditure Report for period covering April 1, 1979 through April 30, 1979. (RECOMMENDED APPROVAL) Mayor Shelton reviewedt; all the items on the Consent Calendar. MOTION: Councilman Cantine moved that items A-1 through A-5 of the Consent Calendar be approved including the amendments as stated for the April 23,& 12'5-,9,197.9i.tregulart andAexecutive meetings. The motion was seconded by Councilman Harmon and was unanimously carried by roll call vote. The following changes are those recommended by Councilman Cantine: April 23, 1979 Minutes Page 3 - Councilman Cantine's last comment to read: "Councilman Cantine stated he can not support the proposed ordinance because it would be ineffective. MINUTES - MORRO BAY #TY COUNCIL May 29, 1979 Page 3 Page 5 - Insert after completion of Mr. Parkhurst's comments the following: "Councilman Cantine stated during the selection process, he understood that Mr. Parkhurst would be recog- nizing firms other than those acting solely in California. Mr. Parkhurst stated yes. Councilman Cantine stated he understood that the cost factors are always related, but that there would be some variation in the standard cost. Mr. Parkhurst stated all engineering firms have similar, but slightly different costs, e.g., computing overhead, etc., but the costs are stipulated in the State Grant Program guidelines. Councilman Cantine stated the Council has a schedule of the time frame involved in completing Step II of the Wastewater Treatment Plant and asked if the schedule is to be part of the contract. Mr. Parkhurst stated the consultant would be required to stipulate a time period to complete certain phases of the work, and also complete the plans, specifications, etc." April 25, 1979 Minutes Page 3 - Mayor Shelton and Councilmen Cantine and Reasor expressed concern with receiving background information at City Council and Study Session meetings for action on the same night of the meeting. Councilman Cantine was also concerned with the items that are placed on the Study Session agendas without prior consultation. Page 4 - Add: "It was agreed that Mr. Guluzzy would furnish data as a basis for recommendation of a selected site. The City Council believed that the questions of conflicts and alternate uses should be identified before any decision is made." Page 1 - MOTION: For clarification purposes Mayor Shelton moved that the Local Coastal Planner work under the Planning Director. The motion was seconded by Councilman Reasor and carried with Councilman Cantine voting no and Council- man Rosenberg absent. B. HEARINGS, APPEARANCES, AND REPORTS B-1 Public Hearing: Senior Citizen's Site Request Mr. Guluzzy summarized the report prepared in response to the Council's request to analyze potential sites for a Senior Citizens Center in.Morro Bay. After an initial presentation made to the Council on May 25, 1979, staff was then directed to report back their recommend- ations for a site location for a Senior Citizen Center on the following: a. Governmental Center Area C. Veteran's Memorial Building b. Catholic Church Property d. I.O.O.F. Hall Some of the advantages and disadvantages are as follows: Veteran's Memorial Building - Presented problems with its heavy usage as a community building. Catholic Church - This property had great advantages of compatible land use, nearness to public transit, and potential grant funding, but the water moratorium and uncertainty and time lag involved with grants and water problems prevents this site from consideration at this time. I.O.O.F. Hall - While close to the Governmental Center, would involve 'highland and construction costs and has no potential for parking. This facility would also require extensive remodeling. MINUTES - MORRO BAY:ITY COUNCIL May 29, 1979 10 Page 4 Governmental Center Area - This facility would be close to the concentration of elderly population and close to public transit. One of the disadvantages was if used, this public land could be used for another purpose. Mr. Guluzzy concluded that as a result of the site analysis, staff concluded that the Governmental Center Area would be the most appropriate location for a senior citizens facility. However, staff feels that there are still too many unanswered questions (due to the number of new staff), to make a final decision at this point. Therefore, their recommendation would be to use the Teen Center as an "interim" senior citizens center while policy questions are being resolved, and a permanent center is decided upon. This facility is already owned by the City and would eliminate several problems. This structure is in need of some repairs, landscaping, and overall upgrading, however, it would be public land for public use. The hearing was opened to the public. Mrs. Molly Bruno, President of Morro Bay Senior Citizens Association, was selected by the Board of Directors as the official representative of their organization. Mrs. Bruno read the Articles of Incorporation and the purposes of this charitable and educational organization and their desire to provide aid for those who have insufficient resourses i.e. transportation. Mrs. Bruno summarized the many services that they offer not only to Morro Bay Seniors, but to other citizens in the community and also to people beyond the Morro Bay city limits. We are limited in our social activities because of the size of the facility and our lack of space. Mrs. Bruno also referenced a letter from Howard Mitchell, Director of Health Services from San Luis Obispo, supporting the Senior Citizens and their involvement in recreational activities both physical and mental. The hearing was closed to the public. Councilman Rosenberg suggested that if the Seniors did move out of the fire house and into the Teen Center, then the fire house could be used for those activities normally scheduled in the Teen Center. Mr. Guluzzy agreed. Councilman Rosenberg stated that our economics does not support a scheme at this time to support a facility for the use by the Seniors. He stated that there are various groups within the community which have needs for such a facility i.e. teens, single parents, etc. There needs to be a balance between government and the use of tax dollars for special groups. He is impressed that this group has been willing to help and assist in this development. However, Councilman Rosenberg concluded that there is only one feasible site, and that is the Teen Center. He also stated that the lease of the Teen Center should incorporate several provisions: 1. The lease should be limited to 2 years with the option to renew. 2. In granting this land, they will construct a Senior Citizen Center. However, the title on that land will remain with the City and that the title to the improvements to the land will revert to the City. 3. That if a Senior Citizens Center is constructed with funds secured by the Senior Citizens of Morro Bay, then a longer lease should be considered at that time. 4. There should be some provision for other groups to have some sort of access as controlled by that group: i.e. the Yacht Club: that when their facility was not being used by their organization, they would attempt to make it available to other groups in town. 5. If the City Council during the interim, approves the MINUTES - MORRO BAYW TY COUNCIL • May 29, 1979 Page S construction of a Government Center, including that land_' site, that the Senior Citizen Center would be consistant and in conjunction with whatever the City decides to do. Councilman Harmon stated that he agrees with Councilman Rosenberg in the suggestions that he is recommending for this use. He also agreed that the logical place for this facility was the Teen Center. Council- man Harmon stated that he would like to recommend two items: 1. Approve the Teen Center as the site. 2. Have our legal staff to draw up the lease arrangement and return this document to the City Council to finalize the operations. Councilman Reasor stated the $10,000 would be used to make improvements on the real property i.e. a parking lot, and, therefore, it is an improvement on City land and he would like to see the Council adopt the staff report along with Councilmen Rosenberg's and Harmon's recommendations. Councilman Cantine stated that he had requested a better report one year ago and we now have a half -way report which says that the only logical consideration is a Government Administration Center (does not like this term), and does not want to pour the limited City funds that will be available over the next couple of years into a govern- ment center. He stated that he feels we can function with the facilities that we have for administration purposes. He goes along reluctantly with the proposal because he does not feel that the selection of the site has been done in a definitive manner. Councilman Cantine stated that we have zeroed in on the general areas as follows: 1. It is the focal point of transportation. 2. This facility can be used on an interim basis with improve- ments and use of available funds (the Senior Citizens Building Fund and the $10,000 we put into the budget reserve for it), and this would provide them with a very adequate improvement on a temporary basis over what they currently have. Councilman Cantine stated that he has talked with the Planning Director and he feels that the next logical step should be to develop a firm plan for whatever facility we want to ultimately have to serve the Senior Citizen needs. Councilman Cantine also stated that he would like to see the Senior Center placed under the management of the Recreation Department but the direct supervision by the senior citizens themselves. This eliminates a leasehold and through the cooperative agreement between the city and the senior citizens. It is handled this way in the City of San Luis Obispo. Mayor Shelton stated that the Senior Citizens came to the City Council with their desire to build a reenter, but they did not have any land. So they asked the Council if they could build a Senior Citizen Center on the City's land. Mayor Shelton stated that he didn't see this as anything but a "win situation" for the City. All they are asking for is the City to lease them the land, so that they can begin the process of obtaining federal funds for this project. Upon the completion of the Senior Citizen Center, the facility would revert to the City. The City is the beneficiary of the entire proposal. Councilman Cantine asked Ms. Bruno if the Senior Citizens would be willing to use the $13,000 that they have acquired to update the Teen Center for their use? Ms. Bruno stated that she would have to consult with the Board of Directors for a response. MINUTES - MORRO BAY#I.ITY COUNCIL • May 29, 1979 Page 6 MOTION: Mayor Shelton moved that the Senior Citizens and the City staff work together to agree upon the site (which is the first recommendation of the staff) at the existing Teen Center building, and that an agreement be worked out by resolution which will allow Seniors to occupy that site for the purposes of seeking grants and which will further allow the Seniors to occupy the existing Teen Center and return the fire station back to the City for other uses that exist in the Teen Center. The motion was seconded by Councilman Rosenberg. Councilman Cantine stated that the recommendation of the staff was that we limit our direct authorization for a lease to the General Government Area and he agrees with this recommendation. He stated that the interim use of the Teen Center while the staff has a chance to develop a plan for the senior facility would be better then to pass a motion to propose the Teen Center site irrevocably, at this time. Councilman Rosenberg stated that he supports the motion but he would like to see his issues incorporated in the agreement. Mayor Shelton amended the motion to incorporate those issues which the Council agreed upon. Mayor Shelton suggested that those issues which were recommended by the Council be incorporated into the resolution and that the resolution then be modified. A discussion followed between the Council and the City Attorney as to how the resolution should be stated. Mr. LeSage stated that he would draft the resolution with the amendments for the Council to take a look at. Councilman Rosenberg stated the conclusions of the Council are as follows: 1. At this time we have granted the Teen Center as a use and as well as we have granted that land as a site for them to try and obtain grant funds to build on that site with the following conditions: a. That if during the interim, before they build on that site, we decide on a government center plan, or a plan which in- cludes that specific site, that the development of the center should be consistent and in conjunction with that development. The motion was carried by roll call vote with Councilman Cantine voting no. B-2 Public Hearing RECESS: 9:30 p.m Sewer Use Charge RECONVENE: 9:37 p.m. Mr. Guluzzy presented his report stating that we had evaluated the needs regarding the operation and maintenance of the wastewater treatment plant based upon a projected budget and predicated upon this, we came up with a flat rate user fee for residential units, mobile home space, motel unit, and small businesses. The flat rate which staff is recommending is $1.50 per month and volume user fee for Special Rate Business which is based upon a percentage of actual use of water; either 85% or 100% of actual use of water. The recommended rate for volume use of water would be $.17/per 100 cubic feet. The combined fee of 17¢/per 100 cubic feet and $1.50 flat rate would generate an estimated $117,000 in annual revenue. He stated that the intent of this proposal is to fund the wastewater treatment plant (operation and maintenance) total out of the general fund. Mayor Shelton opened the public hearing. MINUTES - MORRO BAY:ITY COUNCIL May 29, 1979 Page 7 Ms. Hazel Cooke„owner of the Bayview Motel, stated that there is no way that a motel unit can be compared with a residential unit. She feels that the only way to be fair and equitable is to charge a percentage rate across the board for all users; 17¢ for all users. Fred Smith, President of the Motel Association, does not find that the sewer charge is necessary or justified at this point because the state is planning on eliminating the funding of schools from the property tax; therefore, leaving the property tax to take care of the property related needs, i.e. water and sewer. Mr. Smith stated that the Motel Association feels that the current proposal is very in- equitable to the motels. The motels are willing to pay their fair share if it is based on a water usage basis which would have the net result of everyone paying their fair share. He also stated that residential as well as business are peaking at the same time during the summer months. The area occupancy rate is only 55% annually. He suggested a rate of $2.00/per month for residential users and $1.00/ per month for motel users. Don Howard, E1 Morro Trailer Park, supports Ms. Cooke':s proposal for a fee to be established based upon the amount of water usage. Mr. Hempenius, speaking as a businessman in Morro Bay, stated that he does not understand assessing a motel unit by its "bedroom capacity". The water usage of all of the motel units within} the City, is extremely low as compared to the water used in a home. He stated that he feels that he should have to pay according to the ratio of water used. John Bressan discussed the equity of the proposal as it relates to motel usage. He stated that motels have very extreme peaking levels. There are those couple of months out of every year when motels have nearly 100% occupancy level. He further explained that they have to look at not only the water that they use, but the amount of peaking that they do. He stated that the motel and the restaurant are the two largest peaking facilities that we have to consider. Mr. Hempenius stated that there is one inequity in Mr. Bressan's analysis and that is that there are some motels which are making lots of money per motel unit, and then there are those units which are making considerably less. He feels that it is an inequity to charge that kind of user fee to those motel units which does not do the kind of business that the larger motel does. Mr. Bressan stated that we try to seek some kind of average that we feel is fair and proportional. He said we cannot try and pick out individual cases and that there is no absolutely equitable rate. Mr. Hempenius stated that the sewer use fee should be based upon water usage and bed tax calculations. Mr. Bruce Morgan refers to the 1978 election and an ad in the Sun -Bulletin which stated that if elected, the Council would remove the unneeded sewer tax. He stated that he doesn't even understand why this issue has come up again. Mayor Shelton stated that the sewer use charge was res�-inded and that one of the first actions of the new Council was to rescind: this tax as promised. Mayor Shelton stated that at no time did the Council before they were elected, state that the City did not need a pay -as you -go sewer plan. Councilman Rosenberg stated that we need to look at the real issues here. He stated that the issue is simply, should the facilities of the City be paid for by the people who use them; or should some people get a free ride and somebody else will have to pay for them. He stated that someone has to pay for this plant; it cannot operate in a deficit'situation. The only question is who will pay for it? MINUTES - MORRO BAY,6.ITY COUNCIL • May 29, 1979 Page 8 Councilman Cantine presented a brief overview of the sewer use fee. He stated that it was recognized in the budget process and it is not any new charge or a reversal of position. The intent of the.Council has always been to be a pay-as-you-go situation. Lila Keiser stated that the sewer user tax was removed by this Council because it was something that was passed by the previous City council. Mr. Campbell stated that if the Council wants the citizens to support their sewer fee proposal, then the Council will have to support the citizens of the City by approving some building. Mr. Lemons asked what the anticipated operation and maintenance costs would be for the wastewater treatment plant? John Bressan responded that his projected budget for 1979/80 was for $150,000 for operation and maintenance and this amount did include some items of capital outlay. Mr. Lemons asked if there was any plan to put this money into a trust fund so that the monies collected would only be used for the sole purpose of the operation and maintenance of the wastewater treatment plant. Staff responded that it is being considered as a possibility. Mr. Diffley stated that if we were under a federal grant now for construction, it would cost you a lot more then what is currently being proposed by staff. Federal regulations are quite clear, and they are based upon equity and you have to have a charge for operation and maintenance and that would be based upon the quality and well as volume. If we are going to use funds through the federal government to assist in the construction of a new plant, then the fee is here to stay. Mr. Gaines discussed the sewer use fee as it was inacted in the City of Fontana in 1963. Mr. Lemons asked about the long range plans for the recovery and collection system for the plant. Mayor Shelton stated that he hoped that it would be considered during the current budget hearings. Jim Ross asked about the expansion costs when we go to the Federal Grant. Mr. Guluzzy responded that we are currently waiting for additional data to come in from the Federal Government. The Public Hearing was closed. Councilman Rosenberg stated that the real issue here is really not over the sewer use charge, but rather over the City's total budget. Councilman Reasor stated that with all the groups he spoke to at the time of the election, he stated that the sewer use tax would be removed, and a flat rate sewer use fee would replace it. He hopes that during the budget process, that money will be released from the General Fund to assist with the collection system. Councilman Reasor also stated that our choices are to go to assessment districts or go piece meal for many years to come. Councilman Reasor stated that in his opinion, there was a lack of planning by the previous City Councils going back to 1964. Councilman Rosenberg stated that the City Council is not trying to be dishonest, etc., but a job needs to be done and the Council is trying to get that job done and they would like to get on with it. Councilman Harmon stated that this proposal is presented under Public Hearing for the first time, and this is not the final form and there may be modifications along the way. The general intent is that we have to raise the money and in one way or another it is going to happen. MINUTES - MORRO BAY,6ITY COUNCIL • May 29, 1979 Page 9 Councilman Cantine stated that he sees merit in putting the Motel Unit and Mobile Home Space on the unit rate that recognizes the consumptive use and the peaking effects and would like to see some figures and would like to consider it in the overall sewer use fee. John Bressan will check the flow figures on the Mobiile Home Space and Motel Unit in the Special Rate Business. B-3 Report of City Administrator Re: Chamber of Commerce Financial Statement for period July 30, 1978 through March 31 ^197921 Stat:;r,_ , i_-, pc:iod of July )j; 197 ,;a cl: J 1 , 1979 Mr. Guluzzy presented his status report based upon the data that he received at the time, the Chamber received about 84% of its expected revenue which was $58,458.11 while expending about 59% of its budget in appropriations at that time. The City Administrator stated that he is not an auditor and he simply took a look at the condition of the financial report, both the income and expenditures and the balance. He did not get into line item analysis. Councilman Reasor stated that he was questioning the dates on one of the schedules of the.Financial Report for'FY 77-78 Dec. 1, 1977 through Dec. 31. 1978. Mr. Guluzzy responded that this report got into the package in error. Councilman Reasor asked Mr. Hempenius about expenditures in advertising as was agreed upon in last year's budget. Mr. Hempenius stated that the real issue seemed to be over the Chamber's performance in expending the budget based upon the contractual agree- ment with the City. Mr. Hempenius pointed out that the City Council failed to draw up a new contract last year, therefore they are operating on the contract from the prior year. Mr. Hempenius stated that in lieu of this factor, the Chamber of Commerce has lived within its contractual agreement with the City. Councilman Reasor stated that it did not appear to him in this report that the Chamber of Commerce was expendingn(, the amount that was budgeted for advertising for the City. Councilman Reasor stated that if an amount is stated to be expended for a particular use, i.e. advertising, then he feels that it is in the terms of the contract to meet this agreement. Mr. Hempenius explained the Chamber's various types of advertising and when and how it is done. Councilman Cantine asked Mr. Hempenius how much the Chamber carries over each year from their budget? Mr. Hempenius stated that last year they carried over approximately $11,000. Councilman Rosenberg stated that he would like to see specificially what money is allocated somehow reported on to the City Council. There needs to be more of a breakdown in the reporting system and the input and output more closely tied to each other. Mr. Hempenius stated that if the Council would provide specific guidelines as to how they wanted the financial report broken down, they would be happy to report it in that manner. Mayor Shelton stated that he would like to see a month by month reporting to the City Council. Howard Gaines and Bruce Risley also raised questions regarding the Chamber of Commerce's financial reporting procedures. Mr. Guluzzy asked the Council if they would explain more completely how they wanted this reporting completed. Councilman Rosenberg stated that the City is paying for certain services rendered by the Chamber, and now those services need to be defined, what the cost of those services are, and finally a report that would include the progress being made using that money for those services. Mr. Guluzzy stated a performance report is what is being requested. Councilman Rosenberg concurred. MINUTES - MORRO BAY16ITY COUNCIL • May 29, 1979 Page 10 MOTION: Councilman Harmon moved that the Chamber has substantially complied with our request for a Financial Statement for this quarter and that we direct staff to work together to formulate a proper format for the quarterly report for the upcoming quarter for the next year. The motion was seconded by Councilman Rosenberg. Councilman Cantine stated that he sees no purpose in any report for this fiscal year because we gave the Chamber no direction and it is a matter for the next budget consideration. Councilman Cantine also stated that he did not want the administrative costs distributed through the items that we have requested in the financial reporting process. Councilman Harmon clarified his motion by stating that the current reporting system could finish off the remainder of this year, but would work on our proposal for next year that would be acceptable. Mayor Shelton stated that the report presented does not give him an accounting and that he had never before seen any of the sheets that were presented .that night and that he would like to go back for one year for an accounting of the budget. Councilman Cantine stated that the question raised by Mr. Gaines regarding the integrity of the accounting procedures and the program of the Chamber of Commerce has not in any way been answered. Councilman Cantine stated that he is just deferring his evaluation until the budget process. The motion was carried by roll call vote with Mayor Shelton voting no. Councilman Rosenberg then asked if this released the money that the Council had placed a hold on. The Council concurred. B-4 Resolution No. 24-79: Resolution requesting Nuclear Regulatory Commission withhold issuance of an operating license for the Diablo Canyon Nuclear Power Plant until Morro Bay develops emergency evacuation plan. Councilman Cantine stated that the fishermen have been waiting for a long time and could they put them ahead of this item. Mayor Shelton and Councilman Rosenberg stated that they would rather continue with the agenda as stated. MOTION: Councilman Harmon moved that the meeting be extended past midnight. The motion was seconded by Councilman Reasor and was carried with Councilman Cantine voting no. Mr. Guluzzy presented his report to the Council by reading the Resolution as proposed. The hearing was opened to the public. Ms. Nancy Culver spoke in support of the proposed Resolution. Her attention was primarily on safe evacuation in the event of a radiological emergency. R. Richard Locke, P.G. $ E. Representative from Boston, stated that there will continue to be an extensive re -analysis of the T.M.I. incident and as a result, the management of his company has indicated in official statements that they are dedicated in the safe operation of that plant and all nuclear power plants. He also stated that P.G.& E. is ready and willing to consult and assist with the City within the area to aid in an interfacing of their local emergency response plans with the overall County response plans. MINUTES - MORRO BAY* TY COUNCIL • May 29, 1979 Page 11 Bruce Risley spoke in support of this resolution and feels that. it is a necessary protection for the City. Judy Lutz stated that she feels that is very important for Morro Bay to have an evacuation plan of its own. Jerry Elenniss stated that we don't have the time to wait for another agency to notify us whether it is safe or not should there be a nuclear accident and that he also supported the resolution. The hearing was closed to the public. Councilman Rosenberg stated that he supports the idea that Morro Bay should have their own emergency plan but that he is not in favor of the Resolution as it is currently worded. He does not think we should tie the licensing of the plant to make that our obligation. He would support a resolution that would instruct us to develop an emergency plan. Councilman Harmon stated that this Resolution is really a statement to other government agencies to let them know that the plan as it exists now is inadequate. He stated that the Resolution is reasonable. Councilman Reasor stated that the burden is on the City and it is the City's responsibility to develop such a plan. Councilman Reasor stated that now we are asking that they hold up licensing the plant for something we didn't do (developing our own emergency plan). Mayor Shelton stated that he sees the resolution as a dedication upon the part of the Council to take a leadership role and we are going to do something and that other agencies should also do something. He stated that he likes the resolution -because it gives us something concrete to examine. He really supports the Council in getting behind this resolution. MOTION: Councilman Harmon moved that Resolution124"79<ibe9 he approved with the addition that a copy be sent to the County Board of Supervisors. The motion was seconded by Councilman Cantine.and was unanimously carried. MOTION: Councilman Harmon moved that Resolution 24779 be read by title only. The motion was seconded by Councilman Cantine and unanimously carried. Mr. Guluzzy read Resolution 24-79 by title only. The motion was carried by roll call vote with Councilman Rosenberg voting no. B-5 Resolution No. 25-79: Resolution adopting Water Equivalency Program for 1979/80. Keith Gurnee stated that at the Council's last meeting, they considered and passed thefinalpassage of Ordinance No.'166 which setforth the new method of developing a water equivalency program which is required by the City annually. With this adoption, it now enables the City to adopt the water equivalency program that was recommended by the staff and the Planning Commission for 1979/80. Councilman Cantine stated that he has consistantly been opposed to the Fisher project during the time Be served�as Planning Commissioner because it opens up a type of development which is not appropriate for this area. Councilman Cantine also suggested that it be made clear that this is not an endorsement by the City Council but only a vehicle for the resolution of the question which only the Coastal Commission can determine, which is whether it is in the "pipeline". Councilman Cantine stated that he was concerned about the 72 unit MINUTES - MORRO BAYW TY COUNCIL • May 29, 1979 Page 12 Coastal Recreation Investment Group and the street alignment which discharges onto Main Street, and would create traffic problems. Mayor Shelton suggested that the issue of these various construction projects and their being in the "pipeline" or not should be referred to legal counsel. Mike LeSage stated that the issue should not be incorporated into this resolution. MOTION: Mayor Shelton moved the Resolution No. 25-79 be read by title only. The motion was seconded by Councilman Reasor and was unanimously carried by.roll call vote. Mr. Guluzzy read Resolution No. 25-79 by title only. MOTION: Mayor Shelton moved for the adoption of Resolution No. 25-79 as amended to include the footnoting of 68.24 water equivalency units and the Fisher project (11 water equivalency units). The motion was seconded�by Councilman Reasoriandlwasounanimously carried by roll call vote. B-6 Resolution No. 26-79:Resolution renewing agreement on a temporary basis (3 months) with Morro Bay Garbage. Councilman Harmon asked if they could move on to item C-2. The Council concurred. C. UNFINISHED BUSINESS: ORDINANCES: PUBLIC HEARINGS C-2 Ordinance No. 168: Establishing A Harbor Advisory Board Mayor Shelton opened this to public hearing. Mr. Guluzzy briefly recapped the ordinance for the audience. Mr. Smith asked about an alternate board member because fishermen are notaalways'availablev�)rMayortSheltonustaEed ifiat'Councilman•Cantine hadubroughtsthisauptat thet1asttCouncil meeting. MOTION: Councilman Cantine moved that Ordinance No. 168 be read by title only. The motion was seconded by Councilman Harmon and was unanimously carried. Mr. Guluzzy read by title only Ordinance No. 168. MOTION: Councilman Cantine stated that this constituted the second reading and adoption of-310rd'inancie Non"Y68'. 1; The motion was seconded by Councilman Harmon and was unanimously carried by roll call vote. B-6 Resolution No. 26-79: Resolution renewing agreement on a temporary basis (3 months) with Morro Bay Garbage. Mr. Guluzzy stated that this is the annual agreement that comes up each year. Mr. Guluzzy further stated that he was requesting this temporary renewal of three months because he has not had adequate time to analyze this issue. MOTION: Councilman Harmon moved that Resolution No. 26-79 be read by title only. The motion was seconded by Councilman Reasor and unanimously carried. Mr. Guluzzy read Resolution No. 26-79 by title only. MOTION: Councilman Harmon moved that this consiiiutes the second reading and adoption of Resolution No. 26-79 granting a temporary basis (3 months) the renewal of the agreement between the City of Morro Bay and Morro Bay Garbage. The motion was seconded by Councilman Reasor and unanimously carried by roll call vote. MINUTES - MORRO BAY�ITY COUNCIL • May 29, 1979 Page 13 C-1 Ordinance No. 167: Transportation of radioactive materials in the City of Morro Bay. Mayor Shelton opened this to public hearing. Mr. Richard Locke stated that last week the NRC had adopted a set of emergency rules that would go into effect (30) days after publication in the Federal Register and this deals with the physical protection of irradiated reactive fuel in transit. These new regulations provide more stringent requirements for the shipment of spent fuel rods. Walter Laden spoke in support of this ordinance. Mayor Shelton closed the public hearing. MOTION: Councilman Rosenberg moved that Ordinance No. 167 be read by title only. The motion was seconded by Councilman Harmon and was unanimously carried. Mr. Guluzzy read Ordinance No. 167 by title only. MOTION: Councilman Rosenberg moved that this constitutes the second reading and adoption of Ordinance No. 167. The motion was seconded by Councilman Harmon and was carried with Councilman Cantine voting no. Mayor Shelton recommended to the Council that Items C3-E-3 be continued until May 30, 1979 starting at 7:00 P.M. Councilman Cantine stated that he would like to call for an executive session tomorrow night to discuss personnel. V MOTION: Mayor Shelton moved that the meeting be adjourned. The motion was"seconded.by'Cbuncilman'Redsor & was'unanimously carried. MOTION: Mayor Shelton moved that the meeting adjourn to Wednesday, May 30, 1979 at 7:00 P.M. at the Recreation Hall, located at Shasta $ Dunes Street to continue the regular City Council meeting of May 29, 1979. At 7:30 P.M. the regularly scheduled Study Session will commence. The motion was seconded by Councilman Harmon and was unanimously carried. The meeting was adjourned at 1:50 A.M. Recorded by: DONALD F. GULUZZY, CITY CLERK 3:..ron A. 11..tine Pr i„ Ciry Clerk By: Sharon A. Lilley Acting Deputy City Clerk • MINUTES - MORRO BAY CITY COUNCIL Special Meeting May 21, 1979, 7:30 p.m. City Hall Conference Room The meeting was called to order at 7:30 p.m. by Mayor Shelton. ROLL CALL Present: Councilmen Cantine, Harmon and Mayor Shelton Absent: Councilmen Reasor and Rosenberg STAFF PRESENT Bernie Zerr, Fire Chief Elizabeth Penny, Deputy City Clerk (1) City Council shall hear and pass upon each appeal concerning the Weed Abatement Program. Chief Zerr stated the purpose of the meeting is to allow any citizens who are aggrieved by any act or determination of the Morro Bay Fire Department in connection with the Weed Abatement Program, to present their appeals. Mr. Ross stated the "Weed Abatement Notice" reads: If property has been sold or already cleaned, please disreguard." Mr. Ross felt the card should be revised to read something to the effect of, "if the property has been sold, please return the card to the City. If property has been cleaned, please disreguard card." Mr. Ross stated he did not feel he had received adequate notice of the abatement of weeds last year, and felt if the individual lots had been posted this would have been avoided. He stated he had hired someon to abate his weeds last year, but because of the inadequate notice, the man who he hired was unable to complete the job, and the City came in and finished abating his weeds. Therefore, he requested the City refund the charge of abating his weeds. The City Council requested that Mr. Ross submit his request in writing to the City Attorney for review. The Council also requested that Chief Zerr submit a revised "Weed Abatement Notice" to the City Council noting the revision in wording as Mr. Ross indicated. MOTION: Councilman Cantine moved the meeting adjourn to the regular meeting, Monday, May 29, 1979, 7:30 p.m. in the Recreation Hall. The motion was seconded by Mayor Shelton and carried with Councilmen Reasor and Rosenberg absent. The meeting adjourned at 7:45 p.m. Recorded by: Donald F. Guluzzy, City Clerk By: Elizabeth Penny Deputy City Clerk El CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL May 16, 1979, 7:30 p.m. MORRO BAY RECREATION HALL Unfinished Business from previous Study Sessions (1) Sewer use charge (2) City Administrator's Policy Calendar New Business (1) Discussion of long-term water policy (2) Discussion of pending items and report of City Administrator MINUTES - MORRO BAY CITY COUNCIL Study Session May 16, 1979, 7:30 p.m. Morro Bay Recreation Hall The meeting was called to order at 7:30 p.m. by Mayor Shelton. ROLL CALL Present: Councilmen Cantine, Harmon, and Mayor Shelton Absent: Councilmen Reasor and Rosenberg STAFF PRESENT Donald F. Guluzzy, City Administrator John Bressan, Public Works Director T. Keith Gurnee, Planning Director Elizabeth Penny, Deputy City Clerk UNFINISHED BUSINESS FROM PREVIOUS STUDY SESSIONS (1) Sewer Use Charge Mr. Guluzzy reviewed the "Proposed Schedule of Sewer Use Fees" with the Council. He recommended the City Council adopt either the $1.50 or $2.00/month fee plus the 17C or 226, volume fee as soon as possible, so that he can anticipate the revenue in the 1979/80 budget. Mr. Guluzzy also stated the $18.00 or $24.00 one-year fee is not ex- cessive. He supported his statement with fee schedules from nine other California cities that were supplied by the League of California Cities. Mayor Shelton asked how the proposal effects the existing delivery system and upgrading it. Mr. Guluzzy stated staff has not proposed any capital improve- ments in the area of upgrading the system since the Council has requested the focus be on the operation and maintenance of the plant. Mayor Shelton stated he would like for San Luis Obispo County City's fee schedules to be supplied to the Council. Mayor Shelton stated in the existing plant, in order to meet the Summer needs, it requires a certain amount of staffing, support equip- ment, and supplies that will increase the cost of operation because of having to take into account the higher use. Mr. Bressan stated, not in a direct proportion, however, it will increase the operation and maintenance cost of the plant. Mayor Shelton stated with the formula we have and the way it is written, it -indicates the homeowner, who supplies a consistent quan- tity of flow to 'the plant, is paying the same as a business or a con- cern that induces a high pattern of flow requiring the maximum amount of staff. Mr. Bressan stated that is correct. Mayor Shelton asked if a formula can be developed to take into account the need for a higher flow and have it off -set some of the cost. MINUTES - MORRO BAY CITY COUNCIL Study Session, May 16, 1979 Page 2 Mr. Bressan stated high flows are generated by tourism. There Are two types of businesses that are catered to by the tourist trade -- restaurants and motels. Mr. Bressan advised the Council that the restaurants and motels could be charged more, assuming they will pass the raise (increase of rate) onto the customer. However, there are certain inequitites built into this, e.g., the quality of motel effluent is better than a seafood processor. The problem with this also is the full-time resident of Morro Bay that may eat on the Embarcadero will pay the inflated price to pay for the tourism. He also stated that tourism is the life -blood of Morro Bay and while tourists may not pay their fair share in the sewer system, they do pay their fair share in tourist dollars. The City Council discussed the pros and cons involved with regu- lar seasonal or weekend residents of Morro Bay incurring the sewer charge when the system is not being used in their homes, if the City went to a flat rate rather than a metered system. Mr. Bressan advised the Council that vacation credit could be given to these people. Councilman Cantine expressed concern with the seafood processors, restaurants, and laundromats, and felt they should be 100%. Mayor Shelton requested staff review the water equivalencies and look at alternatives of percentages that are beyond 85%. The City Council concurred. Mr. Gurnee stated when staff updated the water equivalency ordi- nance, staff checked the old figures and felt they were generally accurate. Mr. Bressan then took the figures and estimated the revenue to be generated, given those proportions, but the billing would be based on how much water is actually used by those uses. The City Council set the sewer use charge for a public hearing on May 29, 1979. Mr. Palmer stated he feels the City Council is talking about the ratios between 174 and $1.50. The Council is talking about operation and maintenance, but not about capital recovery or maintenance on dis- tribution system, and from an economical standpoint if the costs are applied here the property taxes will go down. The Environmental Resources Committee gave data to staff in regards to wells, rain water, etc. so that an anticipatorial water rationing program for times of dry years, or anticipated dry years, could be developed. Mr.Dif-fley stated eventually the City will have to review usage on a B.O.D. basis in order to satisfy the requirements of the grant, therefore, this should be looked at with the idea in mind that the rates are going to change. He stated additional data is needed as it relates to the Culligan Water Softner Plant because there is a dis- crepancy of what was given in the final report that was submitted for the grant and the amount of other industrial uses. Mr. Diffley sug- gested that a set of tables, which he had taken from a professional journal on wastewater, be compared to the ratio of uses that staff has. He also stated that the "up -front" money is not necessary because the City is going to have a bond issued. Mr.Diffley closed his com- ments in saying that equity among tourists and residents must be done and suggested that an analysis of the facilities that serve tourists be done. MINUTES - MORRO BAY CITY COUNCIL Study Session, May 16, 1979 Page 3 Councilman Cantine stated he would like to have a press release, prior to the public hearing, that will outline the data the public needs to know, so when they come to the meeting they will be as in- formed as possible. He also stated he would like staff to develop an ordinance concerning the sewer'use charge that will allow flexability in it e.g., to modify rates, without having to pass new ordinances each time. The City Council concurred. (2) City Administrator's Policy Calendar Mr. Guluzzy briefly reviewed his proposed policy calendar with the Council. Mayor Shelton suggested that City newsletter, Land Use Element, and a long-term and an interim paper study of the Capital Improvement Program be added. Councilman Harmon stated he would like item 3-H "Adopt use of citizen complaint/request for service system" happen before September or October 1979. Councilman Cantine stated he would like to have a day set aside for the Police Department to check out gardeners as to whether or not they have a business license. He also stated he would like to have a current updating of zoning added to the calendar. Mayor Shelton stated he would also like to have added to the calendar, more docks being added to the harbor and how the Council is going to spend the money that is in the budget ($43,000 for street -end docks). Councilman Cantine stated he would like to add waterfront improve- ments to the calendar. Mayor Shelton suggested the Council review the calendar in more detail during the next two weeks and be ready to make any other addi- tions at the next Study Session. The Council concurred. NEW BUSINESS (1) Discussion of long-term water policy Mr. Gurnee stated the long-range policy and program represents how much supplemental water the City needs, and how to go about de- veloping it. He then stated the Land Use Element must be reviewed as it relates to the water policy, along with looking at interim Zoning Ordinance revisions, County Land Use Element, groundwater resources, alternative supplemental water supplies, water importation, Growth Management Program, and the public involvement in process. Mayor Shelton stated he would like to have the water policy come back to the Council in a resolution form. The City Council scheduled the long-term water policy for May 30, 1979 at the Study Session. Mr. Diffley stated the Environmental Resources Committee submit- ted a report on the water policy and asked when this would be addressed. Mayor Shelton advised him because of the time the ERC's report on the water policy will be discussed at the next Study Session. MINUTES - MORRO BAY CITY COUNCIL Study Session, May 16, 1979 Page 4 (2) Discussion of pending items and report of City Administrator Because of the time, the City Council continued "New Business item 2" to the next Study Session on May 30, 1979. MOTION: Mayor Shelton moved the meeting adjourn to Monday, May 21, 1979, at 7:30 p.m. for a Special Meeting to hear any appeals concerning the Weed Abatement Program. The motion was seconded by Councilman Harmon and carried unanimously. The meeting adjourned at 9:45 p.m. Recorded by: Donald F. Guluzzy, City Clerk By: Elizabeth Penny Deputy City Clerk 4 61 CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL MAY 14, 1979, 7:30 P.M. MORRO BAY RECREATION HALL Call to Order Pledge of Allegiance Invocation Roll Call Public Comment A. CONSENT CALENDAR A-1 Minutes of the April 23, 1979 regular meeting. A-2 Minutes of the April 23, 1979 executive session. A-3 Financial statement for March 1, 1979 through April 30, 1979 (RECOMMEND APPROVAL). A-4 Recommend awarding 1978/79 audit contract to Knight, Towle, Sage, and Johnson at a cost not to exceed $6,000.00. A-5 Transfer $4,076.00 from unobligated reserves to Parks and Recre- ation Account for funding Summer Elementary Playground Program. A-6 Rejection of bids regarding Storm Drain Projects. B. HEARINGS, APPEARANCES AND REPORTS B-1 8:30 p.m. --City staff recommendation of engineering firm to pre- pare Step 2 Design for Wastewater Treatment Plant Expansion and modernization. C. UNFINISHED BUSINESS Ordinances C-1 Amendment to Ordinance No. 166: Water Equivalencies C-2 Amendment to Ordinance No. 167: Transportation of radioactive materials in the City of Morro Bay. C-3 Amendment to Ordinance No. 165: Impoundment of vehicles. Resolutions C-4 Resolution No. 18-79: Purchasing Rules and Regulations. (Con- tinued from the April 23, 1979 meeting.) D. NEW BUSINESS D-1 Transfer $2,864.00 from unobligated reserve to the Buildings and Grounds Account in the Water Department to repair two Blanca Street tanks. Ordinances D-2 Ordinance No. 168: Establishing a Harbor Advisory Board. D-3 Ordinance No. 169: Technical correction changing cost of con- struction water from 40C to 50G per hundred cubic feet of water for fire hydrants. Resolutions D-4 Resolution No. 23-79: Addendum to lease between City and State of California, Department of Fish and Game, regarding North "T" Pier. E. INDIVIDUAL DETERMINATION AND/OR ACTION E-1 City Council E-2 City Attorney E-3 City Administrator i MINUTES - MORRO BAY CITY COUNCIL Regular Meeting May 14, 1979, 7:30 p.m. Morro Bay Recreation Hall The meeting was called to order at 7:30 p.m. by Mayor Shelton with the Pledge of Allegiance. Reverend Dear, City Chaplain, gave the invocation. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, Rosenberg, and Mayor Shelton Absent: None STAFF PRESENT Donald F. Guluzzy, City Administrator Michael T. LeSage, City Attorney John Bressan, Public Works Director Keith Gurnee, Planning Director Elizabeth Penny, Deputy City Clerk PUBLIC COMMENT No.; public comment was offered. At 7:35 p.m. Councilman Rosenberg arrived. A. CONSENT CALENDAR A-1 Minutes of the April 23, 1979 regular meeting. A-2 Minutes of the April 23, 1979 executive session. A-3 Financial statement for March 1, 1979 through April 30, 1979 (RECOMMEND APPROVAL). A-4 Recommend awarding 1978/79 audit contract to Knight, Towle, Sage, and Johnson at a cost not to exceed $6,000. A-5 Transfer $4,076.00 from unobligated reserves to Parks and Recre- ation Account for funding Summer Elementary Playground Program. A-6 Rejection of bids regarding Storm Drain Projects. Councilman Cantine requested that items A-1 and A-2 be continued to the next meeting to allow time for the Council to review his pro- posed corrections. The City Council concurred. Councilman Harmon requested items A-5 and A-6 be pulled for dis- cussion. The City Council concurred. MOTION: Councilman Cantine moved items A-3 and A-4 be approved. The motion was seconded by Councilman Reasor and carried unani- mously by roll call vote. A-5 Transfer $4,076.00 from unobligated reserves to Parks and Recre- ation Account for funding Summer Elementary Playground Program. Councilman Reasor expressed concern with the request and asked if the program was overlooked during budget time because it is over and above the 1978/79 budget. Mr. Guluzzy stated that the Parks and Recreation Director had advised him that it was originally put into the budget, and feels that it was inadvertently left out of the final budget. If the program is to be carried out this year, then staff must be hired to implement it. Mr. Guluzzy stated after reviewing the program that he would recom- mend the Council support it. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, May 14, 1979 Page 2 Mayor Shelton asked if there is any documentation available regarding last year's program. Mr. Guluzzy stated there is nothing in writing, only verbal com- ments made. He advised the Council that he has requested the Parks and Recreation Director gather written statistics and data from this year's program to enable the Council to better determine the program's results for the next year. Councilman Harmon expressed concern with the proposed cost of the program without statistics to back-up how it will be used, e.g, field trips. He also stated there are ways to recover costs, e.g., charging for babysitting. MOTION: Councilman Harmon moved to approve item A-5 as recommended by staff. The motion was seconded by Councilman Reasor. Mayor Shelton and Councilman Rosenberg stated they would not sup- port the motion because they feel it is necessary to have some data to document the need for the program. The motion failed with Councilmen Cantine and Harmon voting yes and Councilmen Reasor, Rosenberg, and Mayor Shelton voting no. Mayor Shelton requested the item be brought back to the Council at thex May 29th meeting, not to place it on the Consent Calendar, and to have the department head present with additional data. The City Council concurred. A-6 Rejection of bids regarding Storm Drain Projects. Councilman Harmon asked if the high cost of bids isn't a matter of inflation rather than bad bidding. Mr. Guluzzy advised the Council that the engineer's estimate that was made two months ago, should not have risen $20,000 within that time. He also stated that whenever a bid is not signed it is automatically rejected. Councilman Harmon asked what the time frame would be if the pro- ject was put back out to bid. Mr. Guluzzy stated six weeks. Councilman Cantine asked if the work could be accomplished before the rainy season occurs if the project is put out to bid again. Mr. Bressan stated it could. MOTION: Councilman Cantine moved that the City Council reject all bids and authorize staff to re -advertise for new bids. The motion was seconded by Councilman Harmon and carried uani- mously by roll call vote. B. HEARINGS, APPEARANCES, AND REPORTS B-1 8:30 p.m. --City staff recommendation of engineering firm to pre- pare Step 2 Design for Wastewater Treatment Plant Expansion and modernization. Mayor Shelton stated since it is not 8:30, the time that item B-1 is scheduled for, that he would like to proceed with "Unfinished Business" of the agenda and then return to B-1 at 8:30. The City Council concurred. •, 0 MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, May 14, 1979 Page 3 C. UNFINISHED BUSINESS C-1 Amendment to Ordinance No. 166: Water Equivalencies. Mr. Gurnee stated the City Council is considering adoption of the draft Water Equivalency Ordinance this evening. He stated the proposed ordinance defines what a water equivalency actually is, outlines the responsibilities of the Planning Director, Planning Commission, and City Council. An annual report will be submitted to the City Council and Planning Commission by the Planning Director which will evaluate the Water Equivalency Program during the previous year, review Water Equivalency Ordinance and suggest improvements to it, and recommend a Water Equivalency Program for the approaching year. Mr. Gurnee also stated that historical ratios for building permits will be considered along with the characteristics of water use and building permits during previous year, goals and policies of Land Use Element and Housing Element, and special conditions such as moratoriums or resource constraints that may affect the development of Morro Bay will also be considered. Mr. Gurnee noted the proposed ordinance also outlines a water equivalency table and shows how the allocation of water equivalency units to proposed building projects are to be done. He also explained that water equivalencies are non- transferable and the time limit for using the water equivalency units that are granted to a project. Dale Rydell expressed concern with the proposed ordinance be- cause if it takes longer than two years to get a building permit, the developers will lose their water equivalencies. He then sug- gested that the time limit for using water equivalency units, item "A" be amended to reflect 2 years rather than 120 days. Mr. Gurnee stated if the ordinance is adopted it will grant water equivalencies to the 25 projects that are in the "pipeline" now, if it is not adopted these projects will not be granted the water equivalencies until the moratorium is lifted. Mr. Campbell stated the ordinance states that there are water equivalencies available, but with the moratorium this is not true, therefore, it is contradictory. Councilman Rosenberg stated with the proposed ordinance it will allow some building to take place in Morro Bay, without its adoption no building can take place. Mr. Hempenius asked if the proposed ordinance has anything to do with parcels of land that currently have, or have had, water equiva- lencies in the past and is the City attempting to take them away from properties because the buildings are unused. Mr. Gurnee stated as far as the City is concerned, any building that has been torn down recently the City does not feel that the water equivalency has been removed from it, but if the building was torn down 3 to 5 years ago, the Coastal Commission would probably "get tough" about it, but not the City. Mr. Hempenius expressed concern with the two years being estab- lished as a termination date for the water equivalencies when in fact all the necessary building permits may not have been obtained. He suggested, as an alternative, that the time period be shortened to one year after all building permits have been issued. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, May 14, 1979 Page 4 Mr. Gurnee stated under the proposed ordinance building permit applications would only be received and processed if water equiva- lencies are available to provide to them. MOTION: Councilman Cantine moved that Ordinance No. 166 be read by title only. The motion was seconded by Mayor Shelton and carried by roll call vote. Mr. Guluzzy read by title only, Ordinance No. 166, "an ordi- nance amending chapter 13.20 of Title 13 of the Morro Bay Municipal Code which adopted a Building Limitation Ordinance". MOTION: Councilman Cantine moved that this constitute the second reading of Ordinance No. 166. The motion was seconded by Mayor Shelton and carried unanimously. MOTION: Councilman Cantine moved that the City Council adopt Ordi- nance No. 166. The motion was seconded by Mayor Shelton and carried unanimously. Councilman Harmon asked is there is any provision to provide tax relief to persons who are not allowed to build on their lots because of the moratorium. Mr. LeSage stated he is not aware of any provision allowing tax relief, but he could contact the County Assessor's office about this matter. B. HEARINGS, APPEARANCES AND REPORTS B-1 8:30 p.m. --City staff recommendation of Engineering Firm to Pre- pare Step 2 Design for Wastewater Treatment Plant Expansion and Modernization. Mr. Guluzzy stated John Bressan, John Parkhurst, and himself went to Sacramento on May 7, 1979, to meet with State officials to discuss the draft contract, selection procedures to be utilized, status of concept approval, financial plan, and the water management study. He also stated that he had met with Dr. David Caldwell and Lynn Hartford from Brown and Caldwell (B and C) to negotiate a contract to be pre- sented to the Council. Mr. Guluzzy then reviewed the contract with the Council noting the scope of work and time schedule involved as it relates to Phase 1 (preliminary design). He also noted the work tasks which include project management, evaluation of ocean discharge faci- lities, reclaimed water quality study, evaluation of innovative aspects of treatment processes, recommended design project, preparation of ten percent design level submittal, assessment of reclaimed water market, surveying and mapping services, and geotechnical investigations. Mr. Guluzzy also reviewed compensation of services noting the direct labor costs, indirect costs, fixed professional fee, hourly rate, direct salary cost, direct nonsalary cost, subcontracted services, limitation on cost and time, payment of compensation, the cost reim- bursement basis, planned engineering services, and special engineering services. Mr. Guluzzy then stated staff is recommending the City Council retain B and C to complete Phase II of the Wastewater Treatment Plant. Mr. Parkhurst stated B and C have the necessary technical back- ground and availability of key personnel to handle the project. The initial phase is to firm up all of the details to get a final design and will then be submitted to the State in a summary form for the MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, May 14, 1979 Page 5 State's approval prior to the actual commencement of that design. To keep everyone advised of how the project is going there will be periodic progress reports made to the Council. One of the prin- cipals of the firm, that is directly involved, will be available to the Council for periodic reports. Phase II in which most of the work will be done cannot be finalized until a design criteria "has been put into concrete". At that time an amendment to the agreement with all the details will be brought to the Council for approval of the next step. The State will also be advised of each step. The contract itself is provided with flexability so that in the event of a process or a procedure which was not called for can be handled by the provision in the contract whereby a written task order will be developed and approval obtained for expenditure of funds above and beyond which the City Council had given their approval. The contract has provisions for subcontracting special work which may include field investigation and to utilize minority subcontractors. This document has been discussed with the State and Federal agencies that will be involved and does meet with the constraints of said departments. Final comments will be made by the State within two to three weeks and should there be any changes to the format, it is believed they will be minor. Any action the Council takes on this document will be subject to changes which the State might make. It was Mr. Parkhurst's recommendation that the Council accept the firm of B and C to complete this project as they have both the ability and time in which to do so. Councilman Cantine stated his understanding of B and C's pro- posal is Phase I will be for the purpose of reviewing the Carollo report and setting down in more detail the design criteria for the pro- ject itself. The Phase II contract would make adjustments or changes that have developed through Phase I so the City has a package from the engineering firm that is expected to be carried through as presented except for unforeseen circumstances, e.g., technical data that is in the interest of lowering the cost and improving the design. Mr. Parkhurst stated the detailed design is far from ready to be undertaken with regard to using the Texaco outfall. The question is in regard to the Texaco outfall, there has been little investigation in this area. If it is usable then the City is justified to design and construct a 7,000 foot force main to reach the Texaco outfall. Until this preliminary work is done and these analyses are made, Mr. Parkhurst stated he could not recommend to the Council that they undertake that portion of the work. The second question is that the water quality that is available to the city is "marginal", and a salt balance study is required before design of the reclamation system can be completed. Councilman Rosenberg stated Phase I is actually gathering data on the outfall and things that have not been done. He then referred to the "tasks" listed in the contract and asked why things that must be done, e.g., assisting City in updating and finalizing financial plan and revenue program, is not included in the "tasks" to be accomplished. Mr. Parkhurst stated these type of things; specific task items, will have to be written and specific expenditures will have to be autho- rized. Mr. Bressan stated Brown and Caldwell have been extremely coopera- tive with staff and have "come up to speed" on the project very quickly. Dr. Caldwell stated B and C was formed in 1947. It is a profes- sional corporation of California, owned entirely by the people who are employed by the corporation. B and C specialize in the areas of water supply, water purification, transmission, and more recently, wastewater collection and treatment of solid waste disposal. He also MINUTES - MORRO Regular Meeting, Page 6 BAY CITY COUNCIL May 14, 1979 stated that B and C has a division that does nothing but oceano- graphic type of work, e.g., currents, temperature, profiles, etc. In addition, B and C has done alot of work in reclamation, not only for industrial reuse, but also in agricultural irrigation type of uses. Dr. Caldwell advised the Council that B and C has worked with the Environmental Protection Agency (EPA) and have completed a design manual for nitrogen removal for them and are in the process i'of completingla design manual for sl dge disposal. He also stated that he would be involved on B and C's Review Board of the Phase I Wastewater Treatment Plant Project. He also stated he would be available to make reports to the Council or other interest groups that the Council would like for B and C to appear before. Mayor Shelton asked how innovative Dr. Caldwell perceives B and C to be in the area of wastewater treatment processes. Dr. Caldwell stated he feels the firm is out in the "fore -front" and advised the Council that they have developed several pattens, e.g., nitrogen removal, use of lime in wastewater treatment, lime recovery, etc. Mayor Shelton stated that if alternatives were developed, e.g., less energy intensive and could provide a system of better quality of outfall, would B and C, as an engineering firm, make recommendation relating to this to the Council. Dr. Caldwell stated if in reviewing the Step I work if anything is developed that is better than what is proposed, and considering the time constraints, that B and C would advise the Council. Councilman Rosenberg stated one of the most important aspects in- volved is the communication between the firm and the Council and the citizens. Dr. Caldwell stated that B and C will be communicating with the City Council along with any Technical Citizen's Advisory Committee. Dr. Caldwell stated there is a very detailed procedure that must be,done which includes an itemization of tasks of work to be completed, estimate the man-hours that will be involved in the project, and to negotiate so that everyone understands what the scope of work will cover. Dr. Caldwell advised .the Council that he would notify the City if the amount that has been estimated for the work begins to appear that it will be higher. This will be done within 85% of the work being completed. Mr. Hartford stated Phase I.which is outlined in the agreement is in relation to the scope of the project that is described in the pro- ject report. He also stated that if there. are areas in the project report that are not feasible or not cost-effective that B and C will bring them to the attention of Council and recommend an alternate method of approach. Councilman Harmon asked how Mr. Hartford feels about the Carousel processes and the time constraints the State has put upon the City. Mr. Hartford stated portions of the work in design and construc- tion could be started prior to other portions of the work can truly "firm -up", e.g., the reclamation portion of the project. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, May 14, 1979 Page" 7 Dr. Caldwell process, but they the Council that Sludge Process. the project.. The tion cost because stated B and C has never designed the Carrousel have studied it quite extensively. He advised the Carousel process is similar to the Activated fir. Caldwell felt B and C are capable of completing Carrousel process tends to be expensive in opera - of the power demand. Mayor Shelton asked if B and C has ever done an Abbreviated Truncated Reclamation Project or a Full Reclamation Project. Dr. Caldwell stated the firm has done a project in Livermore that required irrigation of golf courses, airport medians, and plantings. He also stated they have done total reclamation for industrial reuse. Mayor Shelton left the meeting from 9:53 p.m. to 9:56 p.m. Councilman Reasor left the meeting from 9:56 p.m. to 9:59 p.m. Mr. Diffley, Chairman of Environmental Resources Committee (ERC), expressed concern that the Negotiating Team did not; discuss with the ERC the report that they had made in regards to the project. He asked if there has been any progress made on the waiver of secondary treat- ment. Mr. Hartford stated EPA will be publishing a technical document that states what is necessary in the final application. The adopted regulations and the finalization of that technical document will be in June or July. Mr. Diffley expressed concern with Dr. Caldwell's statement about the Carousel processing costing more than the Activated Sludge Process because all data that Mr. Diffley has seen states it uses less energy. He also asked if B and C look at the rotating biological contactor. Dr. Caldwell stated they could look into these areas for further information. Mr. Palmer expressed concern with the staff that would be assigned to the project from B and C, e.g., the continuity of the Phase II design work being carried out by specific persons and not changing engineers mid -stream. Mr. Hartford stated the Project Manager is named in the agree- ment committing him to the project. Mr. Guluzzy reviewed the modifications with the Council, to the draft agreement that had occurred prior to the meeting. Councilman Cantine and Rosenberg expressed concern with the re- quirement of using minority firms for the subcontracting work, in that reverse discrimination can occur. Mr. Parkhurst stated in order to meet the EPA requirements for enterprise, it is necessary that a "strong" part of the work (sub- contracting) be done by minority business enterprises. This will satisfy the grant requirements in this area. The City Council revised page 4 of the Agreement, section VI "Subcontracts" paragraph 2, last sentence to read: "Engineer shall give full consideration to minority business enterprises for these subcontracted services." 0 MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, May 14, 1979 Page 8 MOTION: Councilman Rosenberg moved that the City Council authorize the Mayor and City Clerk to execute the contract with Brown and Caldwell, subject to EPA and State approval. The motion was seconded by Councilman Reasor and carried unanimously by roll call vote. BREAK: 10:40 p.m. C. UNFINISHED BUSINESS RECONVENED: 10:46 p.m. C-2 Amendment to Ordinance No. 167: Transportation of radioactive materials in the City of Morro Bay. Mr. LeSage recommended that Section 2, first sentence be amended to read: At least two weeks prior to the transportation...". He also recommended Section 3, first paragraph to read: ...and safe- guards with respect to such shipments consistent with sections 2,4, and 5 which protectors and safeguards..." Mr. LeSage recommended Section 5 to read: ...public health, safety, and welfare of the City, as the Director of Health may direct." Mr. Ottoboni, P.G.&E., presented the following in opposition to the proposed ordinance: (1) P.G.&E. does not believe that any ordinance is necessary to insure that the public health and safety of the City of Morro Bay is pro- tected. The safety record with regard to the transportation of radioactive materials has been exemplary over the years. During the approximately 25 years of the civilian nuclear power effort, there have been no accidents involving radioactive materials that have resulted in any death or injury due to radiation expo- sure. (2) Presently existing Federal legislation preempts the area of transportation of radioactive materials and thus precludes this City Council from enacting any ordinance providing regulation of the transportation of radioactive materials. (3) State regulation: In addition, existing provisions of the California Health and Safety Code, Sections 25651 and 25653, prevent the City Council from enacting the ordinance in question. (4) Failure to comply with the provisions of the California Environ- mental Quality Act, i.e., this ordinance purports to regulate matters pertaining to the environment and thus must be in com- pliance with the requirements of CEQA. (5) The provisions of Section III of the proposed ordinance are rather vague and ambiguous. (6) Pursuant to the provisions of the Streets and Highways Code of California, Sections 40 and 90, the City may not regulate matters pertaining to State highways which are of the exclusive jurisdic- tion of the State Department of Transportation. (7)' To the extent that any ordinance is enacted by this Council, said ordinance must be forwarded to the U.S. Department of Transportation and the State of California for review as to the determination of legality. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, May 14, 1979 Page 9 At 10:50 p.m. Councilman Cantine returned to the meeting. Mrs. Diffley expressed concern with Mr. Ottoboni's presentation in that untruths were presented and ommission of facts regarding the testing of victim's condition. She requested the City Council approve the proposed ordinance. Mr. LeSage suggested the City Council consider granting a nega- tive declaration stating the Ordinance will not have a detrimental effect on the environment. Mayor Shelton requested Mr. LeSage review P.G.&E.'s comments and state his perception of them at the next meeting. MOTION: Councilman Rosenberg moved that Ordinance No. 167, as amended be read by title only. The motion was seconded by Councilman Reaosr and carried unanimously by roll call vote. Mr. Guluzzy read by title only, Ordinance No. 167: An ordinance regarding the "Transportation of radioactive materials in the City of Morro Bay." MOTION: Councilman Rosenberg moved this constitute the first reading of the ordinance. The motion was seconded by Councilman Reasor and carried with Councilman Cantine voting no. Councilman Cantine stated he cannot support the proposed ordi- nance because it would be ineffective. Mr. Campbell stated he felt the City Council should adopt a resolution expressing their concern about the transportation of radioactive materials, but not an ordinance. C-3 Amendment to Ordinance No. 165: Impoundment of Vehicles. MOTION: Mayor Shelton moved Ordinance No. 165 be read by title only. The motion was seconded by Councilman Reasor and carried unanimously by roll call vote. Mr. Guluzzy read by title only, Ordinance No. 165: "An ordinance amending section 10.80.030 of the Morro Bay Municipal Code." MOTION: Mayor Shelton moved this constitute the second reading and that the City Council approve Ordinance No. 165. The motion was seconded by Councilman Reasor and carried unanimously. C-4 Resolution No. 18-79: Purchasing Rules and Regulations. (Con- tinued from the April 23, 1979 meeting.) MOTION: Councilman Harmon moved the City Council read by title only Resolution No. 18-79. The motion was seconded by Councilman Cantine and carried unanimously by roll call vote. Mr. Guluzzy read by title only, Resolution No. 18-79: A reso- lution outlining the "Purchasing Rules and Regulations." MOTION: Councilman Harmon moved the City Council adopt Resolution No. 18-79. The motion was seconded by Councilman Cantine and carried unanimously. • 0 MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, May 14, 1979 Page 10 D. NEW BUSINESS D-1 Transfer $2,864:ppfrom unobligated reserve to the Buildings and Grounds Account in the Water Department to repair two Blanca Street tanks. MOTION: Mayor Shelton moved the City Council authorize the transfer of $2,864.00 from unobligated reserve to the Buildings and Grounds Account in the Water Department to repair two Blanca Street tanks. The motion was seconded by Councilman Harmon and carried unanimously by roll call vote. D-2 Ordinance No. 168: Establishing a Harbor Advisory Board. Councilman Cantine reviewed the changes that he had made to the proposed ordinance with the Council. Mayor Shelton stated he likes the idea of having an alternate for each member. He also expressed concern with the limitation of having only one member represented from the areas proposed. Councilman Rosenberg stated he likes the alternate member approach, but he has a problem with the assigning of seats. He feels one person should serve on the Board that is not involved directly with any of the special interest groups. Councilman Harmon stated he feels that the Board should be made up of the special interest groups as proposed, and the City Council represent the remainder of the citizens in Morro Bay. MOTION: Councilman Cantine moved Ordinance No. 168 be read by title only. The motion was seconded by Mayor Shelton and carried unanimously by roll call vote. Mr. Guluzzy read by title only, Ordinance No. 168: An "Ordinance establishing Harbor Advisory Board." MOTION: Councilman Cantine moved this constitute the first reading of Ordinance No. 168. The motion was seconded by Mayor Shelton and carried unanimously. D-3 Ordinance No. 169: Technical correction changing cost of con- struction water from 40t to 50C per hundred cubic feet of water for fire hydrants. MOTION: Councilman Cantine moved Ordinance No. 169 be read by title only. The motion was seconded by Councilman Rosenberg and carried unanimously by roll call vote. Mr. Guluzzy read by title only, "Technical correction changing cost of construction water from 40C to 50G per hundred cubic feet of water for fire hydrants." MOTION: Councilman Cantine moved this constitute the first reading of Ordinance No. 169. The motion was seconded by Councilman Rosenberg and carried unanimously. D-4 Resolution No. 23-79: Addendum to lease between City and State of California, Department of Fish and Game, regarding North "T" Pier. MOTION: Mayor Shelton moved Resolution No. 23-79 be read by title only. The motion was seconded by Councilman Reasor and carried unanimously by roll call vote. 9 MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, May 14, 1979 Page 11 Mr. Guluzzy read by title only, Resolution No. 23-79: "Resolu- tion approving an addendum to the lease between the City of Morro Bay and the State of California for Berthing and Monthly rental." MOTION: Mayor Shelton moved the City Council approve Resolution No. 23-79. The motion was seconded by Councilman Reasor and carried unanimously by roll call vote. E. INDIVIDUAL DETERMINATION AND/OR ACTION E-1 City Council Councilman Rosenberg advised the Council that the Citizen's Resource Advisory Committee is now in operation. He stated if any of the Council has any ideas or suggestions they would like'for the Committee to address to give them to him. Mayor Shelton stated because of the lack of applications filed to fill the seats on the Environmental and Finance Committees, that he would like to extend the filing deadline to the next meeting. The Council concurred. Mayor Shelton advised the Council since the City has gone to self-insurance that $30,000 was paid out in 1979/80 verses $67,000 in 1978/79 before the City had self-insurance. Councilman Harmon stated he would like for the City's evacuation plan concerning nuclear accidents to be forwarded to the Administrative Assistant to review and update, and then present it to the Council for review. Councilman Harmon suggested the Council submit nominations of people to serve on the Harbor Committee Board and at the next meeting that the appointments be made. The Council concurred. Councilman Reasor referred to the recent increase in insurance rates as it relates to pregnancy rates. He stated the State is exempt from this and thought the City would be also. Councilman Rosenberg suggested the Chamber of Commerce's financial statement be scheduled for a public hearing at the next Council meeting. The Council concurred. E-2 City Attorney None. E-3 City Administrator Mr. Guluzzy advised the Council that Jim McRoberts had given the City a new sign "Morro Bay Park" and stated he would be sending a letter of appreciation to him. MOTION: Mayor Shelton moved the City Council send him a framed certificate of commendation. The motion was seconded by Councilman Rosenberg and carried unanimously. Mr. Guluzzy advised the Council that he had hired a Finance Director, Mr. Tom McGonagill, who would be starting on June 11, 1979 at $20,239 per year. Mr. Guluzzy advised the Council a special public hearing had been scheduled on May 21, 1979 to hear any appeals concerning the Weed Abatement Program. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, May 14, 1979 Page 12 Mr. Guluzzy suggested since the Council's agenda is being printed in the paper in its entirety that the agenda mailing list consisting of about 60 names be eliminated. Councilman Harmon and Rosenberg suggested that a letter be sent to those persons on the list advising them that discontinuation of mailing the agenda will be done unless they pay for the postage. Mr. Guluzzy advised the Council that a portion of Camp San Luis Obispo's land is available, and that it has recreational and water possibilities in terms of uses. He then stated he would be making application for the land. Mr. Guluzzy requested that Steve Fabian's temporary employment with the Public Works Department be extended for an additional 30 days. MOTION: Mayor Shelton moved the City Council extend Steve Fabian's temporary employment for 30 days. The motion was seconded by Councilman Harmon and carried unanimously. MOTION: Mayor Shelton moved the meeting adjourn to Wednesday, May 16, 1979 for a Study Session in the Recreation Hall. The motion was seconded by Councilman Rosenberg and carried unanimously. The meeting adjourned at 12:00 p.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy'City Clerk MINUTES - MORRO BAY CITY COUNCIL Special Meeting May 7, 1979, 7:30 p.m. City Hall Conference Room The meeting was called to order at 7:30 p.m ROLL CALL by Mayor Shelton. Present: Councilmen Reasor, Rosenberg, and Mayor Shelton Absent: Councilmen Cantine and Harmon STAFF PRESENT Elizabeth Penny, Deputy City Clerk Mayor Shelton stated the purpose of the meeting was to consider a use permit request from the Chamber of Commerce's Retail Trade Task Force to allow a sidewalk sale. Rhoda DeSomer read a letter into the record dated May 7, 1979 from Bob DeSomer which expressed appreciation for the Council having a special meeting to discuss the use permit request. It also stated Mr. DeSomer felt this action typifies the cooperation efforts that will be necessary between the business community and the City in or- der to maintain adequate income levels during the time of e.g., nega- tive business indecators, etc. Mayor Shelton stated he would like for Mrs. DeSomer to ask her husband if he would permit the letter to be sent to the Sun Bulletin's Editor for publication. Mrs. DeSomer stated she would ask him. Wally Banner stated the use permit request is to allow a sidewalk sale in Morro Bay on Morro Bay Boulevard and Main Street on May 10, 11, and 12, 1979 between the hours of 9:00 a.m. and 6:00 p.m. He also stated that no cash would be taken from customers outside. The purpose of the sale is to get people to shop locally. MOTION: Mayor Shelton moved the City Council approve the use permit request amending line 13 to read "9:00 a.m." rather than "10:00 a.m." and line 15 to read "6:00 p.m." rather than "6:00 a.m." The motion was seconded by Councilman Rosenberg and carried with Councilmen Cantine and Harmon absent. MOTION: Mayor Shelton moved the meeting adjourn to Monday, May 14, 1979 at 7:30 p.m. for the Council's regular meeting. The motion was seconded by Councilman Reasor and carried with Councilmen Cantine and Harmon absent. The meeting adjourned at 7:40 p.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy City Clerk 1 1 61 CITY OF MORRO-BAY AGENDA - MORRO BAY CITY COUNCIL APRIL 25, 1979, 7:30 P.M. MORRO BAY RECREATION HALL (1) Discussion concerning sewer use charge. (2) Discussion concerning Senior Citizens' Site Analysis (3) Status reports by City Administrator 6 MINUTES - MORRO BAY CITY COUNCIL Adjourned Meeting/Study Session April 25, 1979, 7:00 p.m. Morro Bay Recreation Hall The meeting was called to order at 7:10 p.m. by Mayor Shelton. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, and Mayor Shelton Absent: Councilman Rosenberg STAFF PRESENT Donald F. Guluzzy, City Administrator John Bressan, Public Works Director T. Keith Gurnee, Planning Director Elizabeth Penny, Deputy City Clerk E. INDIVIDUAL DETERMINATION AND/OR ACTION E-1 City Council Councilman Reasor asked what the status of determining where the Local Coastal Planner falls within the organizational chart. He felt that since it is a planning position he should be under the guidance or umbrella of the Planning Director. Mayor Shelton stated he felt that administratively the Local Coastal Planner is placed in the Planning Department and he under- stood that he is under the Planning Director. Councilman Cantine stated he felt the I:ocal Coastal Planner should be under the Planning Department. MOTION: For clarification purposes Mayor Shelton moved that the Local Coastal Planner work under the Planning Director. The motion was seconded by Councilman Reasor and carried with Councilman Cantine voting no and Councilman Rosenberg absent. Councilman Cantine expressed concern having a formal motion and felt it might cause more harm than good. Mayor Shelton stated he would like to make the appointments to the Inventory Resources Advisory Committee that Councilman Rosenberg had initiated and the Council approved. He stated the Committee's purpose is to appoint people to assess what types of resources are available in Morro Bay. Mayor Shelton advised the Council that Councilman Rosenberg will talk to the members of the Committee con- cerning their specific charges. Mayor Shelton then suggested the following persons be appointed to the Committee: Jody Giannini, Molly Bruno, Charles Erickson, Norma Dengler, and Dorothy Cutter. The City Council concurred. Mayor Shelton stated a City staff person approached him re- garding "local trash" being dumped into City dumpsters and garbage cans, and had asked him if the City Council could do anything to prevent this. Councilman Reasor stated he understands the concern, but does not know how it can be controlled. 0 0 MINUTES - MORRO BAY CITY COUNCIL April 25, 1979 Page 2 Councilman Cantine suggested that a newspaper requesting the citizens not use the City dumpster's from their homes. Councilman Harmon concurred. E-3 City Administrator article be published for their trash Mr. Guluzzy reviewed a letter from Ray Gallo, Attorney repre- senting Orval Leage. The letter requested the City Council approve the assignment of lease site no. 36W and a portion of lease site no. 35W from Orval Leage to High Valley Investments. Mr. Guluzzy stated that Mr. LeSage, City Attorney, had reviewed the assignment papers and felt they were in order and could be approved. Councilman Reasor expressed concern with (1) whether the City Council needs to know who the out-of-state principals of a corpora- tion are and (2) whether financial statements should be required to be submitted by potential owners of lease sites. Councilman Cantine expressed concern with (1) if the City does not have a procedure for doing a background check on potential owners of lease sites would like to have one developed and (2) the terms of the lease, e.g., construction being completed by the new owners. Ray Gallo stated the new owners have made a substantial down payment on the lease site. Mayor Shelton expressed concern with the matter not having the necessary advertising prior to the meeting. MOTION: Mayor Shelton moved that Resolution No. 24-79 be read by title only. The motion was seconded by Councilman Reasor and carried with Councilman Rosenberg absent. Mr. Guluzzy read by title only, Resolution No. 24-79. MOTION: Mayor Shelton moved the City Council approve Resolution No. 24-79. The motion was seconded by Councilman Harmon and carried with Councilman Rosenberg absent. Councilman Reasor requested Mr. Guluzzy check with Mr. LeSage, City Attorney, to see if the Council can request a list of the officers of the corporation or the principal stockholders when a transfer of a lease site is involved. He also asked Mr. Guluzzy tc check the City's ordinance to see if a financial statement from potential lease site owners --namely corporations, can be required. Mayor Shelton stated he would like a report on how the Tidelands grant treats this, so if there is any ambiguity on the interpretation, the City Council can re-examine it. He stated he would like to have the City Attorney research all of the above elements and report back to the Council. The City Council concurred. Mr. Guluzzy stated he had received a letter on April 18, 1979 from the Chamber of Commerce requesting the City Council approve the display of merchandise for a sidewalk sale from May loth through May 12th. Mayor Shelton expressed concern with the letter not being sub- mitted in a timely manner so that it could be placed on the agenda. He stated he would like to have someone make a presentation regarding what the Chamber wishes. Councilmen Cantine and Reasor concurred. Mr. Guluzzy stated he would contact the Chamber of Commerce regarding this matter. MINUTES - MORRO BAY CITY COUNCIL April 25, 1979 Page 3 Mr. Guluzzy stated the City Council authorized City staff to have Ed Neary and James Montgomery do the plant modifications and plan specifications in order to comply with the Regional Water Quality Board Cease and Desist Order. He also stated he discussed this with the Water Quality Board and it does not appear that the City will be able to go out to bid and also meet the June deadline of the Board's hearing. Mr. Guluzzy advised the Council he had talked to the City Attorney and he stated there is a section in the City's ordinance that allows the City Council to waive the competitive bid requirement for the work on the plant. Mr. Guluzzy recommended the City Council waive this requirement. MOTION: Councilman Cantine moved the City Council waive the compe- titive bid provision in the interest of protecting the City's integrity with the Regional Water Quality Board and as an emergency health and safety action. The motion was seconded by Councilman Reasor and carried with Councilman Rosenberg absent. Mr. Guluzzy stated that Steve Fabian has been employed as a temporary maintenance worker II since September 15, 1978. According to the Personnel Rules and Regulations it is necessary that a tempo- rary employee, after six months of employment, either be hired perma- nently or his temporary status extended for an additional 30 days by the Council. Staff is recommending his employment be extended for 30 days. MOTION: Councilman Cantine moved that the City Council authorize the extension of Steve Fabian's employment for 30 days. % The motion was seconded by Councilman Reasor and carried with Councilman Rosenberg absent. Mayor Shelton and Councilmen Cantine and Reasor expressed concern with receiving background information at City Council and Study Session_, meetings for action on the same night of the meeting. Councilman Cantine was also concerned with the items that are placed on the Study Session agendas without prior consoltation. Councilman Harmon stated he does not feel it is absolutely neces- sary to receive the information for Study Sessions prior to the meeting because the Council is discussing the matter and not taking action. At 8:30 p.m. the regular meeting adjourned and the Study Session began. Mayor Shelton advised the audience that based on new City Council policy, the public will have an opportunity to speak to each issue after it has been discussed, as opposed to speaking at the end of the meeting. Kathy Scott of Dial -A -Ride provided the Council with a report concerning the accident rate of Dial -A -Ride noting those accidents that would have been prevented and those that could not have been. (1) Discussion concerning the sewer use charge. Mr. Guluzzy reviewed his staff report dated April 25, 1979 "Sanitary User Fees" with the Council noting the proposed appro- priation levels needed to fund the Sanitary Sewage Department. He then reviewed hos the fees affect the original 1978/79 budget, the amended 1978/79 budget in terms of personnel, cost -of -living increases, operating supplies, maintenance, utilities, and infla- tionary cost of goods and services (alternate #1 and #2). He also • • MINUTES - MORRO BAY CITY COUNCIL April 25, 1979 Page 4 reviewed the sources of revenue available to finance operating budget. Mr. Guluzzy recommended that a $1.50/month per residential unit/small business and a 17C per 100 cubic foot rate to the City Council as the bare minimum is what the City will need to cover operating costs for fiscal year 1979/80. He then reviewed the pro- posed schedule of sewer use fees noting the type of user and the projected revenue/monthly. Mayor Shelton stated based on Mr. Guluzzy's recommendation the Council must (1) decide whether to collect enough money to just run the plant or whether the City Council should look for such things as a sewer collection system for the following years. The Council must also consider when updating it would be done, what vehicle would be used, and should the Council consider it in this process as well, and (2) the fact that Morro Bay has a higher use with the tourist impact must be addressed. The Council needs to see if the impact of tourism can pay for any of the system. Mayor Shelton stated the Council needs to consider the people who live in Morro Bay and are incurring the expenses because of tourists. He stated he would like to see the alternatives of upgrading the sewer system with figures. Councilman Cantine stated the Council needs to (1) recover the cost of operation and maintenance, (2) look at the needed improve- ments which are a capital cost, (3) get the front end money, and (4) then go to full operation and maintenance subsistence condition for when the City has the operation and maintenance plant. (2) Discussion concerning Senior Citizens' Site Analysis. Mr. Gurnee reviewed his staff report with the Council advising them he had looked at 11 sites those being: Del Mar Park, Government Center, Veterans Memorial Building, Catholic Church, Morro Bay High School, Embarcadero, Ironwood/Highway #41, Lila Keiser Park, I.O.O.F. Hall, Los Amigas Women's Club, and Fire Station No. 2. He stated the following factors were considered in assessing the sites: Proximity to seniors, accessibility by seniors, proximity to public transpor- tation, prognosis for water, nearness to activity, compatibility with adjacent land uses, land cost, construction cost, parking development potential, potential for grant funding, and time for construction/ occupancy. He then answered questions that the Council had previously presented that included: (1) How many Senior Citizens are there in Morro Bay--3,065, (2) Where are Morro Bay's Senior Citizen's concen- trated --south Morro Bay, especially in in areas immediately north and south of the downtown area, (3) How many people should a "Senior Citizens Center" be designed for --do not have sufficient information to answer, (4) How soon could the Senior Citizens have a center --if a new structure was to be built the Coastal water moratorium would be a major factor that would slow the building down, if an exisiting structure was used the water situation would not have to be considered, and (5) How much parking would have to be provided for a Senior Citizens Center --it is an accepted practice to allow reduction in parking for elderly because seniors tend to use fewer cars and rely on public transportation. Mr. Gurnee then reviewed a matrix chart showing the correlation between the various sites and selection factors. Mayor Shelton felt based on the report given by Mr. Gurnee he felt the existing Teen Center would best serve the needs of the seniors for a center. It was agreed that Mr. Guluzzy would furnish data as a basis for recommendation of a selected site. The City Council believed that the questions of conflicts and alternate uses should be identified before any decision is made. MINUTES - MORRO BAY CITY COUNCIL April 25, 1979 Page 5 MOTION: Councilman Reasor moved the meeting be extended for 15 minutes (9:30 to 9:45 p.m.). The motion was seconded by Councilman Harmon and carried with Councilman Rosenberg absent. Councilman Cantine expressed concern with the Coastal water moratorium being used as criteria in determining what site would best suit the needs of the seniors. Mr. Guluzzy stated the seniors have been talking with the Office of Aging regarding grant funding and they have requested staff assis- tance to complete the application and submit the paperwork. Councilman Cantine stated the Council must also consider if the senior citizens were to utilize an existing building what functions would be displaced. Jim Goldsborough stated he felt the Teen Center with necessary renovation would be the best site because it is on the bus route. Mr. Kline asked if the Scout property, across from the Veteran's Building, had been compared to the Teen Center in terms of parking, conjestion of traffic, location of site and size. Mayor Shelton stated he felt in his opinion the Teen Center was better in all the areas Mr. Kline had mentioned. Councilman Harmon stated he would like to have the matter set for a public hearing on May 28, 1979. The City Council concurred. The City Council stated they would support City staff providing assistance to the seniors in completing their grant application for funding. MOTION: Mayor Shelton moved the meeting adjourn to Monday, May 14, 1979 at 7:30 for the Council's regular meeting. The motion was seconded by Councilman Reasor and carried with Council- man Rosenberg absent. The meeting adjourned at 10:10 p.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy City Clerk CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL APRIL 23, 1979, 7:30 P.M. MORRO BAY RECREATION HALL Call to Order Pledge of Allegiance Invocation Roll Call Public Comment A. CONSENT CALENDAR 1. Minutes of the February 13, 1979 regular meeting. 2. Minutes of the March 26, 1979 regular meeting. 3. Minutes of the March 28, 1979 executive session. 4. Minutes of the April 9, 1979 regular meeting. 5. Financial Statement for March 1, 1979 through March 31, 1979 (RECOMMEND APPROVAL) 6. Resolution No. 23-79 approving Amendment #1 to the Local Coastal Program. B. HEARINGS, APPEARANCES, AND REPORTS 1. Discussion of the Harbor Advisory Committee. 2. Discussion of Resolution No. 21-79 concerning the transporting of nuclear materials through Morro Bay. 3. Discussion of Resolution No. 22-79 concerning the licensing of Diablo Nuclear Power Plant. 4. 9:00 p.m. --Staff public information report regarding the selec- tion of the Step 2 engineer for the Wastewater Treatment Plant. 5. Planning Director will make an explanatory statement regarding the number of apartments that have been converted to condominiums. C. UNFINISHED BUSINESS 1. Ordinance No. 164 providing for the purchase of supplies and equipment. 2. Consideration of approving Resolution No. 18-79 for purchasing rules and regulations. 3. Consideration of adopting an interim water policy strategy. D. NEW BUSINESS 1. Introduce and pass -to -print Ordinance No. 165 amending Ordinance No. 10 (section 10.08.030) regarding impoundment of vehicles. 2. Introduce and pass -to -print Ordinance No. 166 regarding water equivalencies. 3. Discussion concerning the nonconforming use of Ray Teixeira's property at 1105 Las Tunas Avenue; Joseph A. King, complaintant. 4. Consideration of renewing the Dial -A -Ride system. E. INDIVIDUAL DETERMINATION AND/OR ACTION 1. City Council 2. City Attorney 3. City Administrator MINUTES - MORRO BAY CITY COUNCIL Regular Meeting April 23, 1979, 7:30 p.m. Morro Bay Recreation Hall The meeting was called to order at 7:30 p.m. by Mayor Shelton with the Pledge of Allegiance. Reverend Dear, City Chaplain, gave the invocation. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, Rosenberg, and Mayor Shelton Absent: None STAFF PRESENT Donald F. Guluzzy, City Administrator Michael T. LeSage, City Attorney John Bressan, Public Works Director Keith Gurnee, Planning Director Elizabeth Penny, Deputy City Clerk PUBLIC COMMENT Jim Ross spoke on the issue ofrweedabatement stating he felt the individual properties should be posted, in addition to letters being sent to the property owners. Fire Chief Zerr stated letters are sent to property owners be- cause some of them live out of the area, and if properties were posted they would not receive notification regarding weed abate- ment. Another reason the City does not post properties is because children knock the signs down. Also the preparation and posting of the properties requires extra man-hours (100 hours). Mayor Shelton stated he would like to have Chief Zerr present a proposal to the Council concerning the cost involved in posting properties, e.g., cost of signs, man-hours, etc. Mr. Campbell expressed concern with the current procedure of abating weeds because they are cut down, but not cleared away and therefore create a fire hazard. Tina Francis stated she was pleased with the new advertising format for City Council agendas. Jim Ross expressed concern with the sewer and water charges for ,2- the City. He did not feel the citizens are paying enough and asked that an assessment of various cities be done to see how much they are charging. Tom Bradagin stated he would not be able to stay at the meeting until discussion regarding Dial -A -Ride is considered, and advised the Council he supports Dial -A -Ride, it is doing a good job, and he would like to see the Council renew the system. A. CONSENT CALENDAR A-1 Minutes of the February 13, 1979 regular meeting A-2 Minutes of the March 26, 1979 regular meeting A-3 Minutes of the March 28, 1979 executive session A-4 Minutes of the April 9, 1979 regular meeting C, MINUTES - MORRO BAY CITY COUNCIL 11 April 23, 1979 Page 2 A-5 Financial Statement for March 1, 1979 through March 31, 1979 (RECOMMEND APPROVAL) A-6 Resolution No. 23-79 approving Amendment #1 to the Local Coastal Program Mayor Shelton reviewed all of the items on the Consent Calendar. MOTION: Councilman Rosenberg moved the Consent Calendar be approved. The motion was seconded by Councilman Reasor and unani- mously carried by roll call vote. B. HEARINGS, APPEARANCES, AND REPORTS B-1 Discussion of the Harbor Advisory Board, Mr. Guluzzy reviewed his memorandum to the Council dated April 17, 1979 regarding his meeting with the Morro Bay Fishermen and Chamber of Commerce Task Force regarding a Harbor Advisory Board. He reviewed his recommendations concerning number of members, qualifications, membership alternates, term of office, vacancies, minutes, meetings, and duties and responsibilities. Mr. Campbell stated he felt it should be called a Harbor Advisory Commission rather than a Harbor Advisory Board. Mr. Cantine stated he supported the title of Harbor Advisory Board because it will be functioning in an advisory capacity to the Council. Mr. Smith felt a representative from the M.B.F.A., or his dele- gate, should be represented on the Board. Jack Hanson, President of M.B.F.A. stated they have about 100 members and about five of these persons are knowledgable concerning the harbor and could serve on the Board. He stated one of the five could be appointed, and the other four could serve as alternates. Councilman Rosenberg stated he felt there should be specific alternates for specific persons serving on the Board. He also ex- pressed concern with assigning a seat to a specific interest group and the need to have representation from the non -business aspect of the City. Councilman Reasor stated he would like to have the same person present at the meetings as much as possible, but that he does recog- nize this as a unique situation and should be handled as such. Councilman Harmon stated he agrees with staff's recommendation and feels that the fishermen present a special situation, and that he feels an alternate from the M.B.F.A. is appropriate. Councilman Cantine stated he would support staff's recommendation regarding appointments to the Board being made from the five recom- mended segments of the community. Mr. Guluzzy stated the draft ordinance would be presented to the City Council at their May 14, 1979 meeting. Mr. Guluzzy suggested after an ordinance is introduced that it be published in the newspaper in its entirety prior to the next meeting rather than publishing it after adoption. This would allow the citizens an opportunity to see the proposed ordinance before it becomes policy. MINUTES - MORRO BAY CITY COUNCIL April 23, 1979, 7:30 p.m. Page 3 Mr. LeSage stated he would have to review legislation regarding this matter. B-2 Discussion of Ordinance No. 167 concerning the transporting of nuclear materials through Morro Bay Mr. LeSage stated he has not made a real in-depth study of the federal and state laws relating to this. He advised the Council that the City of San Luis Obispo has requested an opinion from the Attorney General's office concerning a City's authority on regulating the transportation of nuclear materials through cities. Jay Salter stated the basic reason for introducing the ordinance was to make it possible for cities to have prior warning and notice of shipments of nuclear materials that would be coming through the City. He also felt the Council should not consider not acting on the matter just because their action may be preempted by what the Attorney General's office may say. Mr. Campbell stated the government already regulates the trans- porting of nuclear materials, e.g., tells how these materials can be transported, -when, where, etc. Meg Simmons stated because of the numerous accidents that occur on State Highways it is necessary to be aware when radioactive materials will be coming through the area of Morro Bay, so if an accident should occur the City would be prepared to deal with it. Bart Ottoboni of PG&E stated he did not agree with section 8 of the proposed ordinance because he did not feel there was any need for the ordinance to be of an emergency nature. John Rolston stated that the common cause of disasters are due to "human error". He also stated he felt the City should pass the proposed ordinance even though State Government has jurisdiction over the highway. Ralph Peters stated he felt the City Council should pass an ordi- nace that they feel protects the citizens of Morro Bay. He also stated whether the ordinance is preempted or not does not matter, the Council should fulfill their responsibility of doing what is best for the City. Mrs. Difley stated the laws of the land protect the nuclear in- dustrialists, not people. She stated the minimum that the Council should do is to assure that a truck driver with nuclear materials does not drive into Morro Bay and stop for a cup of coffee. Councilmen Rosenberg and Reasor stated they would support the proposed ordinance:, with the deletion of section 6 which reads: "This ordinance shall not apply to material shipped on State Highway 1" and the entire section 8 declaring the ordinance to be an emergency measure. Councilman Harmon stated he agrees with Ralph Peters. He felt the transportation of nuclear materials in the City of Morro Bay is the Council's responsibility and felt the proposed ordinance should be adopted as an emergency nature. Councilman Cantine stated he dan. not support the proposed ordi- nance because it would be ineffective. MINUTES - MORRO BAY CITY COUNCIL April 23, 1979, 7:30 p.m. Page 4 MOTION: Councilman Cantine moved the sentence in section 6 which reads: "This ordinance shall not apply to material shipped on State Highway 1" be deleted. The motion was seconded by Councilman Rosenberg and carried unanimously by roll call vote. MOTION: Councilman Cantine moved to retain section 8 of the proposed ordinance. The motion died for lack of a second. MOTION: Councilman Rosenberg moved to delete section 8 of the pro- posed ordinance. The motion was seconded by Councilman Reasor and carried with Councilman Harmon voting no. MOTION: Councilman Rosenberg moved that Ordinance No. 167 be read by title only. The motion was seconded by Councilman Cantine and carried unanimously. Mr. Guluzzy read by title only, Ordinance No. 167. An Ordinance "Concerning the Transportation of Radioactive Materials in the City of Morro Bay." MOTION: Councilman Rosenberg moved this constitute the first reading of Ordinance No. 167. The motion was seconded by Councilman Harmon and carried with Councilman Cantine voting no. MOTION: Councilman Rosenberg moved that staff send a letter to the appropriate State authority recommending that the intent of the City of Morro Bay's ordinance be included in State law. The motion was seconded by Councilman Harmon and carried with Councilman Cantine voting no. Mayor Shelton stated the City's consultant was present to make a presentation concerning the status of selecting the Step 2 engineer for the Wastewater Treatment Plant, therefore he requested this item be discussed prior to item B-3. The City Council concurred. B-4 Staff public information report regarding the selection of the Step 2 Engineer for ther-Wastewater Treatment P1antl Mr. Guluzzy reviewed his staff report with the Council stating John -Parkhurst, John Bressan and himself had met on April 4, 1979 to discuss the Council charge to staff regarding the selection and recommendation to the Council of a firm to provide design engineering services for Step 2 of the Plant. He stated they reviewed the lists of engineers from the State of California and San Luis Obispo County Engineering Department and reduced their choices to four firms that were common to both lists. They then ranked the four firms based upon mutually agreed criteria and contacted the top choice to see if they were interested in Morro Bay's project. Mr. Guluzzy stated they then met with the potential project manager of the firm and gave them a detailed assessment of the City's needs and wants. They also discussed the parameters regarding scope of services, design problems, and the steps in the process as well as the process itself. John Parkhurst stated he does not have any affiliation with any engineering firms. Ile reviewed his engineering background. He cautioned the Council about the selection procedure that must be followed and which must adhere to the State guidelines. Mr. Parkhurst stated that John Bressan, Donald Guluzzy, and himself reviewed the criteria of the firms and saw a need that the firm selected have: (1) experience in the areas of ocean outfalls, (2) modification of existing treatment plant (design/additions to plant), (3) quality of water produced at the plant is to be considered as to whether it will MINUTES - MORRO BAY CITY COUNCIL April 23, 1979, 7:36 p.m. Page 5 be used for recharge, irrigation, etc., (4) background in processing and administering the grant application (5) what the firm's past track record has been, and (6) the availability of personnel. Mr. Parkhurst stated he has requested a time schedule and other data from the firm the staff is considering. Councilman Cantine asked if Mr. Parkhurst could foresee any prob- lem in meeting the May 14, 1979 deadline as it relates to making a recommendation to the Council of a Step 2 consultant. Mr. Parkhurst stated he feels that he can have a preliminary draft, and possibly the final format. Councilman Cantine stated stood that Mr. Parkhurst would acting solely in California. Mr. Parkhurst stated yes. during the selection process, he under - be recognizing firms other than those Councilman Cantine stated he understood the cost factors are always related, but that there would be some variation in the standard cost. Mr. Parkhurst stated all engineering firms have similar, but slightly different costs, e.g., computing overhead, etc., but the costs are stipulated in the State Grant Program guidelines. Councilman Cantine stated the Council has a schedule of the time frame involved in completing Step II of the Wastewater Treatment Plant and asked if the schedule is to be part of the contract. Mr. Parkhurst stated the consultant would be required to stipulate a time period to complete certain phases of the work, and also complete the plans, specifications, etc. No action was taken by the City Council Councilman Cantine left the Council meeting from 10:00 p.m. to 10:12 p.m. z B-3 Discussion of Resolution No. 22-79 concerning the licensing of Diablo Nuclear Power Plant? Nancy Culver stated she supports the resolution as proposed. She reviewed a report she had prepared stating that contact with radiation can cause cancer and cataracts. Ms. Culver also stated genetic changes can occur that include birth defects and infertility. She also stated that many changes have occured since the 1960's, but the regulations regarding nuclear materials have not been updated to reflect various situations and problems that can occur. Meg Simmons urged the City Council to adopt the proposed reso- lution. Earnest Sobrell read into the record an opinion by Congressman Mike McCormack concerning how he feels the energy crisis can be solved. Steve Auslender stated he agrees with Nancy Culver and that he is also concerned with the City having an evacuation plan. Tina Francis stated conservation of everything including energy should be stressed, e.g., driving slower. MINUTES-'MORRO BAY CITY COUNCIL April 23, 1979, 7:36 p.m. Page 6 Councilman Cantine expressed concern with the word "thorough" as it is used in the proposed resolution("...that the decision whether or not to issue an operating license for the Diablo Canyon Nuclear Power Plant be postponed and continued until such time as a thorough investigation of the accident at the Three Mile Island..."). The City Council discussed the wording of the proposed resolu- tion and amended the fourth paragraph to read: "...together with an analysis of any modifications which may be necessary to the Diablo Canyon Nuclear Power Plant to assure that no environmental..." Mayor Shelton stated he felt the resolution was long overdue and that he felt municipalities should stand up and be counted by its people. Councilman Reasor stated he supports the resolution. MOTION: Councilman Harmon moved that Resolution No. 22-79 be read by title only. The motion was seconded by Councilman Cantine and carried unanimously. Mr. Guluzzy read by title only, Resolution No. 22-79. A reso- lution "Concerning the Licensing of Diablo Nuclear Power Plant". MOTION: Councilman Harmon moved to approve Resolution No. 22-79 as amended. The motion was seconded by Councilman Cantine and carried unanimously by roll call vote. B-5 Planning Director's explanatory statement regarding number of apartments that have been converted to condominiums. Keith Gurnee stated he reviewed the figures regarding condo- minium conversions and condominium construction as the City Council requested. He stated the records show a total of 28 units having been approved by the City for condominium conversion since January, 1977; 39 units had applications originally submitted, but changed to condominium application after they_were submitted; 108 units were submitted for application to build condominiums directly, and over this same period of time 59 apartment units were built. Mr. Gurnee also stated the Ironwood condominium conversion was approved in September, 1977 and the tract map was extended in October, 1978. The Surf and Shasta conversion was approved by the Planning Commission prior to the building moratorium and is being considered by the Coastal Commission at this time. Mr. Reamer stated the reason the urgency ordinance was approved by the Council was based upon the "rash" of condominium conversions and the figures do not show this. Mr. Gurnee stated the reason for the ordinance was because the City does not have sufficient guidelines in regards to condominium conversions. C. UNFINISHED BUSINESS C-1 Ordinance No. 164 Providing for the Purchase of Supplies and Equipment. Mr. Guluzzy reviewed the revisions the Council had made at their previous meeting. 0 MINUTES - MORRO BAY CITY COUNCIL April 23, 1979, 7:30 p.m. Page 7 MOTION: Councilman Cantine moved that Ordinance No. 164 be read by title only. The motion was seconded by Councilman Reasor and carried unanimously by roll call vote. Mr. Guluzzy read by title only, Ordinance No. 164, "An Ordinance Providing for the Purchase of Supplies and Equipment". MOTION: Councilman Cantine moved that Ordinance No. 164 be approved. The motion was seconded by Councilman Harmon and carried unanimously by roll call vote. C-2 Consideration of approving Resolution No. 18-79 for purchasing rules and regulations. Mr. LeSage stated the resolution cannot be approved until Ordi- nance No. 164 takes effect. The City Council continued consideration of Resolution No. 18-79 to the May 14, 1979 meeting. C-3 Consideration of adopting an`interim water policy strategy (Resolution No. 21-79). l Mr. Gurnee reviewed his staff report dated April 23, 1979 re- garding Water Policy and Land Use. He stated the Planning Department has been analyzing the development potential of vacant and under- utilized land within the City limits. He reviewed the proposed resolutions (1) a general policy statement and (2) a policy statement with a draft outline of a program designed to address Morro Bay's water problem. He also suggested than an "h" be added to page 2 to read: "analysis of the water use characteristics of the City of Morro Bay." Councilman Harmon, Rosenberg, and Cantine stated they would sup- port adopting the first resolution (general policy statement) as proposed. Mayor Shelton expressed concern with adopting the proposed reso- lution because the Council had received it at the meeting and had not had an opportunity to review it. He felt it should be scheduled for a public hearing. Mr. Campbell stated when Morro Bay has its normal rainfall the City does not experience a water shortage, it is only when there is a drought. Mr. Rydell stated the City has received a letter from the Coastal Commission that states permits from them for hot tubs, sauna, and pools are not required because they do not feel Morro Bay has a water shortage. MOTION: Councilman Cantine moved the City Council adopt the first resolution proposed and give it number 21-79. The motion was seconded by Councilman Harmon and carried unanimously by roll call vote. D. NEW BUSINESS D-1 Introduce and pass -to -print Ordinance No. 165 amending Ordinance No. 10 (Section 10.08.030) regarding impoundment of vehicles\ Mr. LeSage stated the proposed ordinance provides a procedure' to be used for anyone whose vehicle is impounded. MINUTES - MORRO BAY CITY COUNCIL April 23, 1979, 7:36 p.m. Page 8 MOTION: Councilman Reasor moved that Ordinance No. 165 be read by title only. The motion was seconded by Councilman Harmon and carried unanimously by roll call vote. Mr. Guluzzy read by title only, Ordinance No. 165. "An Ordinance amending Ordinance No.'10 (Section 10.08.030) regarding Impoundment of Vehicles". MOTION: Councilman Reasor moved this constitute the first reading of Ordinance No. 165. The motion was seconded by Mayor Shelton and carried unanimously by roll call vote. D-2 Introduce and pass -to -print Ordinance No. 166 regarding( water equivalencies. Mr. Gurnee reviewed the proposed Ordinance with the Council noting the responsibilities of the Planning Director, Planning Commis- sion, and City Council. He stated an annual report by the Planning Director will be submitted. Mr. Gurnee then reviewed the water equivalency table, allocation of. water equivalency units to proposed building projects, nontrasferability of water equivalency units and the time limit for using water equivalency units. Mr. Red expressed concern with the ordinance being proposed for its first reading prior to the public having a chance to comment on it. Councilman Cantine stated he felt the ordinance should be accepted as a proposal and scheduled at a public hearing for discussion. Mr. Ray Gallo requested the Council approve the ordinance as a first reading because there is sufficient time until the next Council meeting for public input. MOTION: Councilman Cantine moved the meeting continue from 12:00 p.m. to 12:30 p.m. The motion was seconded by Mayor Shelton and carried with Councilman Harmon voting no. MOTION: Councilman Rosenberg moved that Ordinance No. 166 be read by title only. The motion was seconded by Mayor Shelton and carried unanimously by roll call vote. Mr. Guluzzy read by title only, Ordinance No. 166. "An Ordinance amending Chapter 13.20 of Title 13 of the Morro Bay Municipal Code which adopted a Building Limitation." MOTION: Councilman Rosenberg moved this constitute the first reading of Ordinance No. 166. The motion was seconded by Mayor Shelton and carried with Councilmen Cantine and Reasor voting no. D-3 Discussion concerning the nonconforming use of Ray Teixeira's property at 1105 Las Tunas Avenue; Joseph A. King, complaintant. Mr. LeSage stated the nonconforming use V-as in effect prior to the City incorporating. Since incorporation the population in the area of Las Tunas Avenue has grown and residential development has occured. Mr. LeSage stated the Council can consider revising the City's ordinance to phase the towing/storage of wrecked vehicles out of a residential area. He also stated the Council could regulate the use and have the Police Department oversee it, e.g., hours of operation. MINUTES - MORRO BAY CITY COUNCIL April 23, 1979, 7:30 p.m. Page 9 Mr. Teixeira stated he does not haul the wrecked cars to Las Tunas every night. The reason he takes them to Las Tunas versus his place of business is because if the compressor machine and the gasoline from wrecked cars combined it could cause a fire. He also stated Mr. Costa drives his cement truck four or five times a night up and down the street, but Mr. Manley does not complain because they are friends. William Manley stated on January 5, 1979 Mr. Teixeira drove in at 1:45 a.m.; his orange flashing light was shining into the residences, the loud speaker was going, and he hauled in five cars. There are screws and washers that drop along the streets from the wrecked cars and they can be hazardous to vehicles driving on the street. The chains and the hoist on the truck make noise, his assistant and Mr. Teixeira talk loudly to one another, the pro- cedure takes about 25 minutes to do. Mr. Manley stated about 10 years ago the citizens in the area developed a petition and circulated it. The petition expressed concern with the noise, Mr. Manley stated that Mr. Teixeira stopped somewhat, but after awhile he began to make more noise. He also stated at one time he counted 15 wrecked cars at Las Tunas. Staff Recommendation Requested The City Council requested Mr. Guluzzy research this matter to see if there is any other property in Morro Bay that could be used for hauling the wrecked vehicles to, and report back to the Council. D-4 Consideration of renewing the Dial-A-Ridelsystem. Mr. Guluzzy reviewed the amendment to agreement noting the budget estimates and contract amendment for the continued operation of Dial -A -Ride for the period of July 1, 1979 through June 30, 1980. He also reviewed a breakdown of the SB325 funds that have been allo- cated for Dial -A -Ride, Joint Powers Agreement --Handicap, and the North Coastal Transit Authority. Councilman Rosenberg stated he fully supports Dial -A -Ride. He stated he would like to have a report presented to the Council out- lining whether the program has accomplished its original goals. MOTION: Councilman Cantine moved that the City Administrator be authorized to sign the amendment to the agreement for Dial -A -Ride. The motion was seconded by Councilman Reasor and carried unanimously by roll call vote. E. INDIVIDUAL DETERMINATION AND/OR ACTION Due to the late hour the Council decided to continue the City Council and City Administrator reports (items E-1 and E-3) to May 25, 1979. E-2 City Attorney Mr. LeSage requested an executive session to discuss personnel. MOTION: Councilman Cantine moved the meeting adjourn to executive session. The motion was seconded by Mayor Shelton and carried unanimously. The meeting adjourned at 12:40 p.m. to executive session and returned to regular session at 12:50 p.m. MINUTES - MORRO BAY CITY COUNCIL April 23, 1979, 7:36 p.m. Page 10 MOTION: Mayor Shelton moved the meeting adjourn to Wednesday, April 25, 1979 to complete "Individual Determination and/or Action" of the April 23, 1979 meeting and then to their regular Study Session. The motion was seconded by Councilman Rosenberg and carried unanimously. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy City Clerk CITY (IF MOftftO BAf GENERAL INFORMATION BULLETIN DEPARTMENT: Administration SUBJECT: 2. 3. City Council Study Session Agenda DATE: April 11, 1979 NO: Discussion of User Charges to make Sanitary Enterprise Fund financially self-sufficient. Discussion of draft Code of Ethics Ordinance recommended by City Administrator. Status report by City Administrator including discussion of City Newsletter and new format for City Council agenda. MINUTES - MORRO BAY CITY COUNCIL Study Session April 11, 1979, 7:30 p.m. MORRO BAY RECREATION HALL The meeting was called to order at 7:30 p.m. by Mayor Shelton. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, and Rosenberg Absent: Mayor Shelton STAFF PRESENT Donald F. Guluzzy, City Administrator John Bressan, Public Works Director Elizabeth Penny, Deputy City Clerk I (1) Discussion of User Charges to make Sanitary Enterprise Fund . L financially self-sufficient. Mr. Guluzzy briefly reviewed his department staff report with the City Council noting the three proposed alternatives concerning the 1979/80 projected budget and potential alternative (sewer use charges) Mayor Pro Tem Cantine expressed concern with the proposals made stating he did not feel the proposals addressed the Council's con- cerns which had been previously stated at meetings, e.g., the general fund should fund the Capital Improvement Program rather than the enterprise fund. Councilman Reasor expressed concern with the title "enterprise fund" and suggested it be called sewer user fund, water user fund, park user fund, etc. Mayor Pro Tem Cantine also stated he wants the commercial users, e.g., restaurants, to be identified by cubic feet of water used. Mr. Guluzzy stated he would present a revised 1979/80 projected budget and potential alternative sewer use charges at the April 25, 1979 meeting. (2) Discussion of draft Code of Ethics Ordinance recommended by City Administrator Mr. Guluzzy stated he would be reviewing with the employee groups the draft Code of Ethics, and then presenting it to the Council. He stated he has reviewed other City's Code of Ethics and will be ad- dressing the areas of fair and equitable treatment, gifts and favors, use of public property, conflict of interest, disclosure of confi- dential information, etc. Councilman Rosenberg stated he would like for the City's Code of Ethics to be in conformance with the State's Code of Ethics. Councilman Reasor asked Mr. Guluzzy to check with the other cities in San Luis Obispo County as to whether or not they have a Code of Ethics. MINUTES - MORRO BAY CITY COUNCIL April 11, 1979 PAGE TWO (3) Status report by City Administrator including discussion of City Newsletter and new format for City Council agenda. Mr. Guluzzy stated he would suggest that 4,000 newsletters be distributed quarterly or semi-annually. He then reviewed the costs involved on various options of printing and distribution of the newsletter to include: (1) back page of TV Times Supplement to Sun Bulletin cost about $200.00 to $390.00, (2) include with City water bills would cost about $190.00, and (3) printing costs ranging from about $250.00 to $450.00 from Blake Printery, San Luis Printing, and People's Postal Service. The City Council discussed having a column printed in the Sun Bulletin advising the public of the action taken on various matters of concern, e.g., sewer use charge, selection of wastewater treatment plant, etc. Mr. Guluzzy stated he felt the Study Sessions should be used for the purpose of "first time" discussion of an item so that all questions and concerns can be made at that time. Then the item should be sched- uled at a regular meeting for action. He also stated he reviews the Council agendas with the Mayor prior to publication. Mayor Pro Tem Cantine expressed concern with the "time gap" be- tween Council meetings and stated he felt committees should be formed in order to know what is happening in the various City departments and provide reports back to the Council. Mr. Guluzzy stated he disagreed with the proposed committee con- cept because the City Council should act as a unit and not as indi- viduals. Mr. Guluzzy stated he felt the current policy of providing status reports to the Council regarding the various department's activities should continue. Mayor Pro Tem Cantine expressed concern with the need for addi- tional engineering staff in the Public Works Department and suggested a consultant be hired until such a time as someone permanent is hired. The City Council asked Mr. Guluzzy to prepare a priority list which would incorporate the Council's and the City Administrator's priorities into one consolidated list and present it at the April 25, 1979 Study Session. MOTION: Mayor Pro Tem Cantine moved the meeting adjourn to the April 18, 1979 Joint Study Session between the City Council and the Planning Commission at the Recreation Hall. The motion was seconded by Councilman Reasor and carried with Mayor Shelton absent. The meeting adjourned at 9:30 p.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy City Clerk 0 CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL April 9, 1979, 7:30 p.m. MORRO BAY RECREATION HALL Call to Order Pledge of Allegiance Invocation Roll Call Public Comment A. CONSENT CALENDAR 1. Minutes of the February 13, 1979 regular meeting. 2. Minutes of the March 26, 1979 regular meeting. 3. Minutes of the March 26, 1979 executive session. 4. Minutes of the March 28, 1979 executive session. 5. Resolution No. 19-79 approving Joint Powers Agreement for San Luis Obispo County Area Council of Governments. 6. Authorize City Administrator to negotiate purchase of wheelchair bus. 7. Resolution No. 20-79 opposing SB 182 (School Crossing Guard Legislation). B. HEARINGS, APPEARANCES, AND REPORTS None. C. UNFINISHED BUSINESS 1. Ordinance No. 163, amending Chapter 9.16 of Title 9 of Morro Bay Municipal Code, regarding Firearm Possession Prohibition in City Hall/Council Chambers or other public hearing room. D. NEW BUSINESS 1. Introduce and pass -to -print Ordinance No. 164' providing for the purchase of supplies and equipment. 2. Consideration of approving Resolution No. 18-79 for pur- chasing rules and regulations. 3. Introduce and pass -to -print Ordinance No. 165.amending Ordinance No. 10 (section 10.08.030) regarding impoundment of vehicles. 4. Consideration of approving the 1979/80 Handicapped Transit Budget and authorizing Mayor to sign. 5. Request by City Administrator to transfer $2,546.00 from unobligated reserves for insurance for the Dial -A -Ride System. 6. Request for approval to hire a psychologist to conduct psychological profiles for public safety employees. E. INDIVIDUAL DETERMINATION AND/OR ACTION 1. City Council 2. City Attorney 3. City Administrator MINUTES - MORRO BAY CITY COUNCIL Regular Meeting April 9, 1979, 7:30 p.m. Morro Bay Recreation Hall The meeting was called to order at 7:30 p.m. by Mayor Shelton with the Pledge of Allegiance. Reverend Dear, City Chaplain, gave the invocation. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, Rosenberg, and Mayor Shelton Absent: None STAFF PRESENT Donald F. Guluzzy, City Administrator Michael T. LeSage, City Attorney Elizabeth Penny, Deputy City Clerk PUBLIC COMMENT Mr. Risley asked what is the status of presenting the resolution regarding the Council's position as it relates to water for the City of Morro Bay. Mr. Guluzzy stated staff has collected data, critiqued it with the appropriate department heads, and a draft will be presented at the April 23, 1979 Council meeting. Nancy Culvert read into the record a "resolution urging delay Ito issue operating license for the Diablo Nuclear Power Plant". She stated the City of San Luis Obispo adopted the resolution, Citizen's Action League has voted to express their support of Morro Bay adopting a similar resolution, and requested the City Council do so. Mr. Earnest Souza expressed concern with a possible violation at 2780 Elm Street in regards to a garage being rented to someone to live in. Mr. Gaines asked if there is a written contract between the City and the Chamber of Commerce for 1978/79, expiring on June 30, 1979. Mr. LeSage stated no. Mr. Gaines asked "under the current budget (1978/79), how much money has been given the Chamber, and on what dates, and did the majority of this present City Council approve said payments on said dates?" Mr. Guluzzy stated the Council approved $32,320 and $25,713 has been used to date. Mr. Gaines asked "did the Chamber submit to the City Treasurer a quarterly financial condition report, supported by itemized expen- ditures commencing with the quarters ending September 30, December 30, 1978 and including the quarter ending March 31, 1979 as required by written contract?" Mr. Guluzzy stated no. MINUTES - MORRO BAY COUNCIL • April 9, 1979 PAGE TWO Mr. Gaines asked "(1) 'what the total of the Chamber's budget for 1978/79 is, (2) what percentage was funded by the Chamber, and (3) what percentage was funded by the City, including the value of goods and services furnished by the City. Mr. Guluzzy stated he did not know. Mr. Gaines stated on March 14th and 15th of 1979, both the Telegram Tribune and the Sun Bulletin published on their front pages that the executive director of the Morro Bay Chamber of Commerce was charged with six counts of grant theft, and on April 5, the Sun Bulletin published "the arraignment of Morro Bay Chamber of Commerce, Al Schwartz on six counts of grand theft has been continued to April 23, according to court officials, and he faces a trial on similar charges scheduled to begin May 7 in Los Angeles County. He asked if his understanding that almost a month has gone by and yet the City Council has not asked for an audit of the Chamber's books as provided in the contract. Mr. Guluzzy stated that is correct. Mr. Gaines asked if the Chamber's director's salary is being paid out of City funds during the time of his court appearances? Mr. Guluzzy stated he did not know. Mr. Gaines asked if the city has conducted any investigation into the allegations that the Chamber has used public funds to engage in political activity, for example a quote from the Sun Bulletin written by Anne Zerrien on March 21, 1979 "Schwartz has been an out- spoken critic of the City Council and has frequently said he would support a recall movement against council members if one was organized." Mayor Shelton stated the Council has not investigated any of the allegations. Mr. Gaines expressed concern with the current public records such as contracts and expenditures of public money, not being kept up to date and readily available for public inspection as required by law. Mr. LeSage stated that is correct. Mr. Rydall asked the Council whether Mr. Schwartz could speak out publicly against the Council since the City provides funds to the Chamber. Mayor Shelton stated the Chamber's charter states that it cannot engage in political activities. The Council briefly discussed with Mr. Rydall the issue of Mr. Schwartz speaking as an individual vs. speaking for the Chamber. Mr. Campbell stated the court will address the entire situation and that he objects to citizens speaking against people. Mr. Campbell then asked if the City is obligated by law to supply water to every citizen that applies for it. Mr. LeSage stated his understanding is that a City does not have to supply a resource when it is not available. He also stated that a determination by the courts has not been made at this time. Mr. Campbell expressed concern with the City not preventing the tourists from using Morro Bay's water. He also asked if the Council would support not taxing people that own property in Morro Bay since they can not build upon it. MINUTES - MORRO BAY CITY COUNCIL April 9, 1979 PAGE THREE Mr. Jim Ross expressed concern with scuba divers being permitted to dive off of the City pier where people fish because of the dis- turbance they cause with their air bubbles. Ile asked if the scuba divers could dive from the closed pier rather than the T-Pier. The City Council requested Mr. Guluzzy contact the Harbor Master regarding this matter. Mr. Palmer asked if Mr. Schwartz takes a political stand on an issue and it is not denied by the Chamber, does this mean that the Chamber is automatically endorsing it. Mr. LeSage stated it would be a matter of interpretation as to whether he is acting as an individual or on behalf of the Chamber of Commerce. Mrs. Culvert stated she would like for the Council to take some type of action concerning the proposed resolution regarding the Diablo Nuclear Power Plant. Mayor Shelton stated the Council would be addressing the issue under agenda item "E" Individual Determination and/or Action. Mr. Difley stated he felt the City Council and the Chamber of Commerce should get together and develop a working relationship and consider what they want from one another. Mr. Difley stated he felt the minutes that pertained to setting up the Environmental Resources Committee did not clearly specify the term of office. Mayor Shelton stated the tape reflects the term to be for one year. Vince Mackell referred to Mr. Campbell's comment concerning water and stated the Coastal Commission or Water Resource Board will not permit restriction of the tourists. Mr. LeSage stated the Public Resources Code of the Coastal Act sets forth the coastal area's priorities. Tourist -oriented facili- ties have priority over single-family residences. A. CONSENT CALENAR A-1 Minutes of the February 13, 1979 regular meeting. A-2 Minutes of the March 26, 1979 regular meeting. A-3 Minutes of the March 26, 1979 executive session. A-4 Minutes of the March 28, 1979 executive session. A-5 Resolution No. 19-79 approving Joint Powers Agreement for San Luis Obispo County Area Council of Governments. A-6 Authorize City Administrator to negotiate purchase of wheel- chair bus. A-7 Resolution No. 20-79 opposing SB 182 (School Crossing Guard Legislation). Councilman Cantine requested item A-1, A-2, and A-4 be pulled for clarification. In regards to A-1, page 4, his comment, Council- man Cantine requested the tape be reviewed for clarification. Item A-2 page 6, his comment amended to read: "...support option #3." He also requested the tape be reviewed concerning a policy statement that should have been included in the minutes pertaining to the Design Phase of the Sewage Treatment Plant to read: "Councilman Cantine asked how staff would proceed on the hiring of a consultant." MINUTES - MORRO BAY CITY COUNCIL April 9, 1979 PAGE FOUR Councilman Cantine stated the Council has not made the determi- nation to not continue to approve the Study Session minutes at their regular meetings and that he felt it is just as easy to approve them as to receive them. Mayor Shelton stated the Council would discuss this matter under item "E". MOTION: Councilman Cantine moved the City Council approve items A-3, and A-5 through A-7. The motion was seconded by Mayor Shelton and carried unanimously by roll call vote. B. HEARINGS, APPEARANCES, AND REPORTS None. C. UNFINISHED BUSINESS C-1 Ordinance No. 163 amending Chapter 9.16 of Title 9 of Morro Bay Municipal Code, regarding Firearm Possession Prohibition in City Hall, Council Chambers, or other public hearing room. Mr. Guluzzy, Mr. LeSage, and Councilman Cantine discussed the enforcement of the ordinance if adopted. Frank Thompson felt the ordinance was not necessary because State law already prohibits firearms unless a person is authorized to carry one. Councilman Cantine stated he would support the ordinance. Councilmen Rosenberg and Harmon stated they would support the ordinance because they feel it is inappropriate to bring a gun to a e.g., City Council meeting. Councilman Reasor stated he is not against firearms, that he has had concealed weapon permits, and strongly supports firearms. He stated he would support the ordinance, however, because he does not feel it is necessary for anybody to carry a gun to any public meeting. Mayor Shelton stated he would support the ordinance and does not feel the issue concerning the difficulty of enforcing the ordi- nance warrants it not being adopted. MOTION: Councilman Cantine moved Ordinance No. 163 be read by title only. The motion was seconded by Councilman Reasor and carried unanimously. Mr. Guluzzy read by title only, Ordinance No. 163. MOTION: Councilman Cantine moved Ordinance No. 163 be adopted. The motion was seconded by Councilman Reasor and carried unanimously by roll call vote. D. NEW BUSINESS D-1 Introduce and pass -to -print Ordinance No. 164 providing for the purchase of supplies and equipment. Mr. Guluzzy stated he is requesting section 10 concerning the contract procedure as it relates to bidding be raised from $2,500 to $5,000. MINUTES - MORRO April 9, 1979 PAGE FIVE BAY CITY COUNCIL Mr. LeSage stated he felt the following revisions to the proposed ordinance should be made: Page one, after "The City Council of the City of Morro Bay does Ordain as follows:" add: "Chapter 3.08 'Pur- chase and Sale of Supplies and Equipment', sections 3.08.010 through 3.08.210 are hereby repealed and the following sections are adopted in lieu thereof:"; page two, section 7 "Bidding. ...Public Works projects, shall be be bid procedures...Bidding or open market proce- dure may be dispensed with... MOTION: Mayor Shelton moved that Ordinance No. 163 be read by title only. The motion was seconded by Councilman Rosenberg and carried unanimously. Mr. Guluzzy read by title only, Ordinance No. 163. MOTION: Mayor Shelton moved this constitute the first reading of Ordinance No. 163. The motion was seconded by Councilman Rosenberg and carried unanimously by roll call vote. D-2 Consideration of approving Resolution No. 18-79 for purchasing rules and regulations. Mr. Guluzzy stated he would suggest this matter be continued until such a time that Ordinance No. 163 regarding the purchase of supplies and equipment is approved by the Council. The City Council concurred. Break: 9:15 P.M. Reconvened: 9:25 p.m. D-3 Introduce and pass -to -print Ordinance No. 165 amending ordi- nance No. 10 (section 10.08.030) regarding (impoundment of vehicles.) l Mr. Guluzzy stated the Ordinance was not ready.for presentation and requested the matter be continued to the April 23, 1979 meeting. The City Council concurred. D-4 Consideration of approving the 1979/80 Handicapped Transit Budget and authorizing Mayor to sign. The City Council discussed the use of the SB325 funds as they relate to the Handicapped Transit Budget, Dial -A -Ride, etc. Mayor Shelton stated he would like to review the allocation of SB325 funds at a future Study Session. MOTION: Mayor Shelton moved the City Council approve the 1979/80 Handicapped Transit Budget and authorize the Mayor to sign. The motion was seconded by Councilman Rosenberg. Councilman Cantine expressed concern in approving the budget prior to knowing the status of the SB325 funds. The motion carried with Councilman Cantine voting no. D-5 Request by City Administrator to transfer $2,546.00 from unobli- �l gated reserves for insurance for the Dial -A -Ride System. V Mayor Shelton expressed concern with the cost of the Dial -A -Ride insurance and asked about the feasibility of the liability being covered by the JPA. Mayor Shelton and Councilman Reasor stated they would like an incident report from Dial -A -Ride concerning the various accidents that have been occuring. MINUTES - MORRO BAY CITY COUNCIL April 9, 1979 PAGE SIX MOTION: Councilman Reasor moved the City Council approve the trans- fer of $2,546.00 from unobligated reserves for insurance Ifor the Dial -A -Ride System. The motion was seconded by Mayor Shelton and carried unanimously by roll call vote. D-6 Request for approval to hire a psychologist to conduct psycho- logical profiles for public safety employees. Mr. Guluzzy recommended to the Council that prior to hiring or promoting policemen that a psychological exam be done to assure that well -adjusted individuals are working for the Police Department. He also stated that the City of San Luis Obispo does this and the doctor they use charges $115 per candidate. Mr. Guluzzy stated the exam would include an interview lasting 1 1/2 to 2 hours at which time a battery of psychological tests are administered, in addition, two other tests are given which take about 3 to 5 hours of testing time. A verbal report of the applicant's test results are given to the City Administrator and Police Chief within 24 hours, followed by a written report. Mr. Guluzzy stated he would recommend the top three applicants be tested. Mayor Shelton stated he feels psychological exam and based upon the job. The Council concurred. the top candidate should take the the results of the test be offered Ruth Blanco, S.E.I.U. Representative, expressed concern with the client/patient relationship being violated and results of a psychological exam should not be privy to the City Council, City Administrator, etc. She also stated she did not feel this exam is necessary for persons who are being considered for promotion within the Department, only new hires. Mrs. Blanco stated she understood a proposed Code of Ethics was going to be presented to the Council and that she felt this was a subject for the bargaining table. Mayor Shelton suggested that Mental Health, the Courts, the Men's Colony, etc. be contacted to see what their procedure is. Mrs. Difley expressed concern with potential dangers involved, e.g., the doctor's guidelines. Tina Francis stated she felt the City Administrator should handle this function especially because of the tight City budget. Nancy Culver stated she would be more supportive of a psycho- logical interview rather than a battery of tests. Mr. Gaines stated he felt administering psychological exams is an invasion of a person's privacy. Mr. Campbell stated the City may lose a good candidate because they refuse to submit to the psychological exam. Mayor Shelton and Councilman Rosenberg stated they would support the recommendation in concept. Councilman Reasor stated he would support psychological testing for new hires, but not for promotions. Officer Nist requested the City Council hold off on this matter so the recommended firm can be researched in more detail. MINUTES - MORRO BAY CITY COUNCIL April 9, 1979 PAGE SEVEN Mayor Shelton stated he felt Mr. Guluzzy should initiate the /program, get a consultant to work with, and if the cost does not approximate what has been quoted then return to the Council. The Council concurred. E. INDIVIDUAL DETERMINATION AND/OR ACTION E-1 City Council Mayor Shelton stated he had spoke with Mary Phillips and she has requested the City Council ask Governor Brown to stop the licensing of(Diablo Canyon) until the problems that are related to that particular kind of nuclear reactor are resolved. Mayor Shelton stated the Council has several alternatives, they are: (1) the Council can ignore the request, (2) modify the request, (3) respond to the request made by Mrs. Culver, (4) authorize Mayor to write a letter to Governor Brown, or (5) pass a minute order supporting or rejecting the request. Councilman Harmon stated he would support the adoption of a resolution similar to the one San Luis Obispo City adopted (as pre- sented by Mrs. Culver). Councilman Rosenberg stated he does not agree with shutting down the nuclear power plant. He also stated he is concerned with the wording in the resolution proposed by Mrs. Culver, namely the section which states "...an operating license for the Diablo Canyon Nuclear Power Plant be postponed and continued until such time as a full, complete, and objective analysis of the accident at the Three Mile Island...in order to assure that no environmental contamination.... he does not feel this can be done. Councilman Rosenberg stated he would support an expression of concern regarding the incident. Mayor Shelton stated he would like to have staff develop a reso- lution for the Council to consider and then schedule the matter for a public hearing. MOTION: Councilman Cantine moved that the City Council adopt the same resolution as San Luis Obispo City did. The motion was seconded by Councilman Harmon. The motioned failed with Councilman Reasor, Rosenberg, and Mayor Shelton voting no. MOTION: Councilman Rosenberg moved that a resolution be developed expressing the Council's concern with the Three Mile Island accident and express concern with the Nuclear Regulatory Commission and other appropriate agencies do their job to reduce the chances of this occuring anywhere else, and particularly Diable Canyon. The motion was seconded by Councilman Cantine. Mrs. Difley expressed concern with the motion because she feels the NRC has not done their job, unnecessary delays have occured, the public has not been told the truth, etc. The motion carried with Councilman Harmon voting no. The City Council discussed the Resources Advisory Committee and stated they would like to have advertised in the Sun Bulletin that applications are being accepted with a deadline of April 18, 1979. Appointments to this committee will then be made at the April 23, 1979 City Council meeting. MINUTES - MORRO BAY CITY COUNCIL April 9, 1979 PAGE EIGHT The City Council requested discussion of the Harbor Advisory Committee be scheduled for a public hearing at the April 23, 1979 meeting. MOTION: Councilman Harmon moved that (1) the regular Study Session meetings begin at 7:30 p.m. and adjourned meetings, e.g., a portion of a regular meeting that was not completed on the previous Monday, begin at 7:00 p.m., (2) no more than two agenda items plus any status reports to be given by the City Administrator be scheduled per meeting, (3) the public comment input be after each discussion item, (4) the Mayor set a time limit for public comments based on the number of people wishing to speak, (5) the meetings end at 9:30 p.m. unless there is a majority vote to con- tinue past 9:30 p.m., and (6) the policy be effective immediately. The motion was seconded by Councilman Rosenberg. Councilmen Cantine and Reasor stated they would not support the motion because they do not feel the present policy concerning Study Sessions has been tried for a sufficient amount of time to determine its effectiveness. Mayor Shelton stated he would support the motion. Councilman Rosenberg had no comment. The motion carried with Councilmen Cantine and Reasor voting no. Mayor Shelton advised the Council he would be out-of-town on Wednesday, April 11, 1979, and would not be attending the Study Session. E-2 City Attorney Mr. LeSage advised the Council that the San Luis Obispo City Attorney has requested the Attorney General's opinion regarding the transportation of Nuclear Waste materials. Councilman Rosenberg suggested a letter be sent to PG&E requesting they advise the City if any nuclear materials are to be transported prior to the ordinance being completed. Mr. Palmer stated he felt the ordinance should address the transporting of radioactive medical materials. Mr. LeSage stated it is necessary for the Council to approve the contract between the City and Ted Elder and Associates concerning the Del Mar Park. MOTION: Councilman Rosenberg moved the City Council authorize the Mayor and the City Clerk to sign the contract with Ted Elder and Associates. The motion was seconded by Councilman Cantine and carried unanimously. E-3 City Administrator Mr. Guluzzy advised the Council that Chief Buelna requested the Council consider allowing him to go on the beach and fish via a small motor -type of vehicle. Chief Buelna is handicapped and would like to have access to the beach, provided by the City. MINUTES - MORRO BAY CITY COUNCIL April 9, 1979 PAGE NINE Mayor Shelton and Councilman Reasor felt the operation of motor - type vehicles on the beach would be dangerous and expose the City to a liability situation. Councilman Cantine stated he would like for John Parkhurst to attend the next Council Meeting and discuss at a public hearing the procedure involved in the selection of the Wastewater Treatment Plant (Phase II) consultant. Mr. Guluzzy stated he felt this would be a redundant action and that the Council had charged staff with the responsibility of the procedure for selecting the consultant. Councilman Rosenberg stated he agreed with Mr. Guluzzy and the Council had voted to delegate this matter to staff, therefore, he would not support the suggestion. Mr. Difley stated the Environmental Resources Committee has not had an opportunity to meet with Mr. Parkhurst and would like to do so, therefore, he felt his presence at a Council meeting would be helpful. Councilman Reasor stated he would support this matter. MOTION: Councilman Cantine moved the City Council invite Mr. Parkhurst to attend the April 23, 1979 meeting to make a presentation, as he feels is appropriate, regarding the progress made on the selection of the Wastewater Treatment Plant consultant. The motion was seconded by Councilman Reasor. The motion carried with Councilmen Cantine, Harmon and Reasor voting yes and Councilman Rosenberg and Mayor Shelton voting no. Councilman Cantine expressed concern with initiating the hiring of engineering staff for the Public Works Department. fie felt the hiring should not be deferred until budget time. MOTION: Mayor Shelton moved the meeting adjourn to Wednesday, April 11, 1979, at 7:30 p.m. in the Morro Bay Recreation Hall for a Study Session. The motion was seconded by Councilman Rosenberg and carried unanimously. The meeting adjourned at 12:00 p.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny. Deputy City Clerk 4 (1 STUDY SESSION CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL March 28, 1979, 7:30 p.m. - 9:30 p.m. MORRO BAY RECREATION HALL (1) 1979/80 Budget Calendar (2) Revision of Purchasing Ordinance (3) Discussion regarding adoption of Affirmative (4) Status Report of Local Coastal Planner (5) Status Report and Projected Projects of City 9:30 p.m. Public Comments Executive Session (1) Labor Negotiations: 1979/80 Parameters (2) Police Disability Problems and Procedures Action Plan Administrator MINUTES - MORRO BAY CITY COUNCIL Study Session March 28, 1979, 7:30 p.m. MORRO BAY RECREATION HALL The meeting was called to order at 7:30 p.m. by Mayor Shelton. ROLL CALL Present: Councilman Cantine, Harmon, Reasor, Rosenberg, and Mayor Shelton Absent: None STAFF PRESENT Donald F. Guluzzy, City Administrator John Bressan, Public Works Director Elizabeth Penny, Deputy City Clerk Mayor Shelton stated prior to beginning the Study Session agenda, that the March 26, 1979 agenda item E-1 would be completed as the Council had agreed to previously. INDIVIDUAL DETERMINATION AND/OR ACTION E-1 City Council MOTION: Councilman Rosenberg moved the City Council authorize the Mayor to appoint a Citizen's Resource,Advisory Committee to consist of five citizens representing the diverse in- terests of Morro Bay's populace. Such Committee to have the following charges: (1) to construct an inventory of Citizen Resources to include the names and skills of citi- zens of Morro Bay willing to volunteer their efforts to assist the City Council and the City Administrator in such tasks as may be requested, (2) to formulate and suggest to the City Council the mechanisms and guidelines that will most effectively utilize public input and resources in the work and decision of the City Council and City Admini- strator, and (3) the guidelines should be submitted to the City Council for consideration by May 14, 1979. The motion was seconded by Councilman Harmon. Councilman Rosenberg stated it is necessary to develop an inven- tory of the community's skills and begin using them. Structure of the Committee needs to be considered, and he suggested the Committee be made up of the business community, the senior citizens, the fisher- men, residential, and retired persons. He also suggested the Committee be advisory in nature and have no right to speak for the City. Councilman Rosenberg stated who the Committtee reports to, the development of by-laws, establishing guidelines outlining the Commit- tees reponsibilities must also be addressed. Ile noted this type of Committee would serve as a method of bringing the various segments in the community together. Mayor Shelton stated he supports the idea of having an action group and the Council can evaluate the depth and the scope of the recommendations that are made. Councilman Reasor stated San Luis Obispo City has a Human Re- sources Committee that is working very well and suggested they be contacted as to how they established themselves, charges, etc. MINUTES - MORRO BAY CITY COUNCIL Study Session, March 28, 1979 PAGE TWO Councilman Cantine stated he has no problem with five persons developing the inventory, but does not feel a five -person committee' is sufficient to develop the guidelines. The motion carried unanimously. Mayor Shelton stated he would make the appointments to the Committee at the next meeting. Councilman Rosenberg stated he feels the Council's action con- cerning the limitation of public input placed on Study Sessions should be amended. MOTION: Councilman Rosenberg moved the City Council amend the policy regarding public input at Study Sessions as follows: (1) public input shall follow each item of the agenda, (2) the Mayor shall set a fixed, limited time for public comment and shall specify and enforce procedures for fair and equitable allocation of this time among those desiring to speak before the Council, and (3) this policy is effective immediately. The motion was seconded by Mayor Shelton. Councilman Reasor stated he disagrees with the motion and feels that Study Sessions should be for the purpose of the Council disussing issues among themselves, discussion with staff and various resource people, e.g., John Parkhurst and the last 30 minutes of the meeting be for public input. Councilman Cantine stated he feels it is absurb to change the policy before it has been adequately tried and that he does not support the motion. Councilman Harmon stated he feels the Study Sessions should be for only two hours, as the Council previously stipulated and the public comment be at the end of the meeting. Mayor Shelton stated he supports the motion because he feels it is necessary to have public input after each item and when various resource people are present the community should have an opportunity to ask questions. The motion failed with a 3-2 vote. Councilman Rosenberg and Mayor Shelton voted yes and Councilmen Cantine, Harmon, and Reasor voted no. Councilman Cantine asked the City Administrator (1) if he had determined whether we have a current contract with the Chamber of Commerce, (2) the status of hiring an Engineering Technician for the Public Works Department, and (3) status of developing a City newsletter. He stated he would like to have the City Administrator develop a list prioritizing the "Work Program" items as he will be addressing them. Mr. Guluzzy stated (1) he has not researched the issue regarding the contract with the Chamber, (2) until budget status is known he will not be hiring the Engineering Technician, (3) he has received copies of various newsletters from the League of California Cities and has requested copies of other cities newsletters, and (4) he felt the minutes from the Study Session MINUTES - MORRO BAY CITY COUNCIL Study Session, March 28, 1979 PAGE THREE Mr. Guluzzy stated he intereviewed three people from the CETA office for position of Administrative Assistant. He also stated the woman that he has selected will be starting on April 2, 1979 and will be able to assist him with e.g,. newsletter. Councilmen Harmon and Reasor expressed concerns with the Parks and Recreation Department offering classes, e.g., Conversation Spanish, which are not recreation -oriented. This type of class should be handled through adult education. Councilman Harmon expressed concern with an employee in the Planning/Building Department advising persons submitting applications to build not to do so because they will never be able to build in Morro Bay. Mayor Shelton stated since he had not heard from any of the Councilmen about wishing to serve as a liaison between Morro Bay and other governmental jurisdictions concerning proposed Outer Continental Shelf lease sale #53, that he would do so. Mayor Shelton stated in May, 1979 it will be time to make re- appointments to the Environmental Resources Committee and Finance Committee and suggested applications be submitted via advertisement of vacancies in newspaper, take recommendations from Councilmen, and if those persons on Committees now wish to continue have them make re -application. Mayor Shelton stated he would like for the Council to review the City's ordinance that outlines the Harbor Advisory Board and review his suggestions concerning the Board and be prepared to dis- cuss the matter at the April 9, 1979 meeting. Mr. Guluzzy stated he does not feel the Council's Study Session minutes need to be placed on the agenda for formal approval since the items will be scheduled at subsequent regular meetings and for- mal minutes taken. Mayor Shelton reviewed the Study Session agenda items. (1) 1979/80 Budget Calendar Mr. Guluzzy stated he developed a budget calendar that he would like for the Council to review and let him know if they can attend the proposed meeting dates. (2) Revision of Purchasing Ordinance Mr. Guluzzy stated that he is in the process of re -vamping the Purchasing Ordinance which is section 3.08 of the Municipal Code and that he will send his recommended revisions to the City Council by the end of this week or the beginning of next week depending upon the availability of time to type said document. Some of the areas that are recommended for change are: Purchasing Officer and duties and responsibilities, bidding requirements and amounts, incumbrance of funds, performance bonds, increasing the requirement for public bidding from $2,500 to $5,000, surplus supplies and equipment, and formal contract procedure. He also stated he will recommend a reso- lution adopting purchasing rules and regulations. 11 (3) Discussion regarding adoption of Affirmative Action Plan MINUTES - MORRO BAY CITY COUNCIL Study Session, March 28, 1979 PAGE FOUR Mr. Guluzzy provided background information as to why it is necessary to implement an Affirmative Action Plan noting its purpose is designed to overcome the under utilization of minorities. He also stated that small cities are not exempt from this and that e.g., Farmer's Home Administration has stated it necessary for cities that apply for grant monies to have an Affirmative Action Plan. Mr. Guluzzy stated the cost of implementing said program would be minimal and that he would designate a current City employee as the Affirmative Action Officer. He stated the Affirmative Action Plan draft will be on the next Council Study Session for discussion. (4) Status report of Local Coastal Plan Mr. Guluzzy stated the memo dated March 20, 1979 from William Campbell, Local Coastal Planner, is for information purposes. It out- lines the time involved and the status of the various components of plan. Mayor Shelton stated he would like for Mr. Campbell to make a presentation to the Council concerning the Local Coastal Plan prior to the budget hearings. The Council concurred with Mayor Shelton and also expressed concern with the need for public hearings to be held during the development stages so the community can express their concerns with the plan. (5) Status report and projected projects of City Administrator Mr. Guluzzy stated he will be meeting with John Parkhurst and John Bressan in Los Angeles next week to discuss the procedure that will be taken in securing an engineering firm for Phase II of the Wastewater Treatment Plant. He also stated he contacted Carollo Engineer's concerning the Council's decision not to retain them for Phase II, and contacted the State and requested a copy of the pre - qualified list of MBE firms be sent to him. Mr. Guluzzy stated he has been documenting and will continue to document all of the actions taken regarding this project. Mr. Guluzzy stated he would be scheduling the Senior Citizen Center discussion at the April 25, 1979 Council Study Session. Councilman Cantine expressed concern regarding the water situ- ation in Morro Bay and stated he would like to discuss this at a Study Session. Mr. Guluzzy stated he is currently reviewing the draft concerning the water policy resolution that Councilman Harmon has developed and will be scheduling this for discussion at the April 25, 1979 Study Session. PUBLIC COMMENT Mr. Gaines suggested the Council listen to the tape dealing with the appropriation of funds to the Chamber of Commerce. MOTION: Mayor Shelton moved the meeting adjourn to Executive Session. The motion was seconded by Councilman Reasor and carried unanimously. The meeting adjourned to Executive Session at 9:45 p.m. and returned to regular session at 10:20 p.m. MINUTES - MORRO BAY CITY COUNCIL Study Session, March 28, 1979 PAGE FIVE MOTION: Mayor Shelton moved the meeting adjourn to Monday, April 9, 1979, at 7:30 p.m. in the Morro Bay Recreation Hall for a Study Session. The motion was seconded by Councilman Reasor and unanimously carried. The meeting adjourned at 10:20 p.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy City Clerk 4L CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL March 26, 1979, 7:30 p.m. MORRO BAY RECREATION HALL Call to Order Pledge of Allegiance Invocation Roll Call Public Comment A. CONSENT CALENDAR 1. Minutes of the March 12, 1979 regular meeting 2. Minutes of the March 14, 1979 study session 3. Financial Statement for January 1, 1979 through February 28, 1979 (RECOMMEND APPROVAL) 4. Consideration of purchasing Answerline Model LP-5 14 hour, cassette recorder for $402.75. B. HEARINGS, APPEARANCES, AND REPORTS 1. Presentation of an ordinance concerning the transpor- tation of radioactive materials in the City of Morro Bay by Jay Salter, Safe Streets Lobby. C. UNFINISHED BUSINESS 1. Consideration of granting a one year extension for a variance at 2620 Koa Avenue, Lloyd N. Ainslie, appli- cant. (Continued from March 12, 1979 meeting.) 2. Consideration of approving the Morro Bay - Cambria Bus System agreement between the County of San Luis Obispo and Morro Bay. (Continued from March 12, 1979 meeting.) D. NEW BUSINESS 1. Request for Proposal from John Carollo Engineers (or alternative firm) for Step 2: Design Phase of Sewage Treatment Plant modernization. 2. Discussion of Planning Commission's recommendations regarding water equivalencies and amendment to Ordinance No. 152. 3. Claim against the City regarding sewer disfunction at 995 Carmel; Thomas J. Barket, Claimant. (RECOMMEND DENIAL AND REFER TO INSURANCE CARRIER.) 4. Introduce and pass -to -print Ordinance No.`1.63 amending Chapter 9.16 of Title 9 of Morro Bay Municipal Code, regarding Firearm Possession Prohibition in City Hall/ Council Chambers or other public hearing room. 5. Consideration of amending Ordinance No. 10 (Section 10.08.030) regarding Impoundment of Vehicles. 6. Authorization to have City Administrator bid for copy (reproduction) equipment. 7. Consideration of hiring part-time personnel to accelerate recreation needs assessment; transfer of $1,05u'4 from unobligated reserve will be necessary to implement objective. E. INDIVIDUAL DETERMINATION AND/OR ACTION 1. City Council 2. City Attorney 3. City Administrator F. Executive Session regarding litigation. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting March 26, 1979, 7:30 p.m. MORRO BAY RECREATION HALL The meeting was called to order at 7:30 p.m. by Mayor Shelton with the Pledge of Allegiance. Reverend Dear, City Chaplain, gave the invocation. ROLL CALL Present: Councilman Cantine, Harmon, Reasor, Rosenberg, and Mayor Shelton Absent: None STAFF PRESENT Donald F. Guluzzy, City Administrator Michael T. LeSage, City Attorney John Bressan, Public Works Director Keith Gurnee, Planning Director Elizabeth Penny, Deputy City Clerk PUBLIC COMMENT Howard Gaines spoke to the issue of Al Schwartz, Chamber of Commerce Executive Director. He provided background to the selection and hire of Mr. Schwartz and the fact the Chamber requested that the City provide additional funds so that Mr. Schwartz and a secretary could be hired. The funds were not to be utilized for any political purpose. Mr. Gaines stated a 1979 contract between the City and the Chamber does not exist --the last contract is dated 1976. Mr. Gaines refered to the various articles published in the Sun Bulletin and the Telegram Tribune on March 9 and March 15, 1979. He also stated that Mr. Schwartz has publicly stated that he would support a City Councilman recall election and this is a political action. Mr. Gaines stated he felt that Mr. Schwartz was hired for the purpose of what he could do for political purposes, not for tourism. He then suggested the following: (1) all funding be stopped as of the third quarter ending March 31, 1979, (2) take all legal actions and steps necessary to avoid the existing contract that is implied or otherwise, (3) the contract requires that the Chamber submit their bills to the City quarterly for the Finance Department to pay --most cities review these bills, but the Morro Bay Council has not been doing this and should do so, (4) do not fund the Chamber in the upcoming fiscal year because of the inherit tendencies to misuse public monies for political purposes, and (5) if the City does see fit to promote advertising the merits of the City that it be contracted to a neutral advertiser having no conflict of interest or interest in the political aspects of the City. Mayor Shelton asked Mr. LeSage whether the City should respond to any of the allegations that have been made concerning Mr. Schwartz. Mr. LeSage stated he would need to review the contract and the by-laws before responding to this. The City Council requested the substance of Mr. Gaines comments be given to Mr. LeSage along with the contract and by-laws, and a report be provided to the Council at the next meeting as to whether the City should respond to the allegations made. E MINUTES - MORRO Regular Meeting, PAGE TWO BAY CITY COUNCIL March 26, 1979 Mr. Campbell stated he would like to see all the various groups, individuals, etc. in Morro Bay work together. He also stated that Mr. Schwartz will be judged by a court of law and it is not the Council's place to do this. Mr. Redell asked if any additional information concerning his comments made at the previous meeting pertaining to the 56 apartments that Mr. Gurnee had stated had been converted from apartments to condominiums had been researched. Mr. Gurnee explained that there had been a misunderstanding of the definition of what constitutes a conversion between the building inspector and himself. He stated that within the figure that he used it included e.g., apartments proposed for conversion but not yet structually completed. Mayor Shelton requested that Mr. Gurnee compile a more accurate assessment of the proposed conversions, those apartments that have been converted, etc. and present a report to the Council at the next meeting. A. CONSENT CALENDAR A-1 Minutes of the March 12, 1979 regular meeting. A-2 Minutes of the March 14, 1979 study session. A-3 Financial statement for January 1, 1979 through February 28, 1979 (RECOMMEND APPROVAL). A-4 Consideration of purchasing Answerline Model LP-5, 14 hour, cassette recorder for $402.75. Mayor Shelton reviewed the items on the consent calendar. Mr. Guluzzy stated approval of item A-4 would require the transfer of $300.00 from unobligated reserves --the $102.75 monies are currently within the necessary budget account. MOTION: Councilman Cantine moved consent calendar items A-1 through A-4 be approved as recommended by staff and that $300.00 be transfered from unobligated reserves to the Administrative Equipment account. The motion was seconded by Councilman Reasor and carried with Councilman Harmon absent. B. HEARINGS, APPEARANCES, AND REPORTS I B-1 Presentation of an or�dnance concerning the (transportation of radioactive materials )in the City of Morro Bay by Jay Salter, Safe Streets Lobby. Mr. Salter stated although he lives in Atascadero he has business in Morro Bay and is concerned with the City. He reviewed two articles from the Los Angeles Times of March 6 and March 7, 1979 concerning "Judge Names State Nuclear Statute --Federal Controls Preempt Law that had Led to Plant Moratorium, Court Rules", "Our Chemical Chickens-- Copter Tries to Detect Radium Dumps in Denver", and "Readioactive Dumping into Sea Confirmed". The transportation of radioactive materials in Morro Bay needs to be addressed, therefore, Mr. Salter urged the Council to adopt his proposed ordinance. John Rosenthal stated that more than three million radioactive materials travel the highways every year. Federal regulations con- cerning this have many shortcommings, (1) they do not require noti- fication to local and State agencies, (2) do not require emergency MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, March 26, 1979 PAGE THREE / response time along transportation routes, and (3) provide inadequate 11 monitoring of nuclear shipments. In the event of an accident.in route local towns and municipalities have the burden of any response and supervision. Councilman Harmon arrived at 8:15 p.m. Mr. Rosenthal provided background as to how the ordinance origi- nated, reviewed the number of accidents that occur yearly and in- volve radioactive materials, he reviewed a couple of cases that in- volved an accident with radioactive materials that were hazardous to people's health and finally resulted in death. He also stated there are no emergency response plans or teams available because prior notification to the various cities that radioactive materials will be traveling through the City is not required. Mr. Rosenthal stated that 1.9 accidents per week involve radioactive materials. He noted that San Luis Obispo City has adopted the ordinance. Councilmen Rosenberg and Reasor felt the ordinance should address the insurance aspect and that section four of the proposed ordinance is too general. Mr. Borden explained how radioactivity and terrorism relate to transporation by noting various examples e.g., President Kennedy's death in a car. Nancy Culver nuclear wastes is the Department of actually oversees stated although regulated by the Transporation is this. the transporation of high level Nuclear Regulatory Commission, the governmental agency that Jim Lutz stated he has grown up in Morro Bay and is currently a resident here. He also stated he would personally like to see the Council totally ban the shipment of nuclear wastes through the City. Sandy Downing stated she agrees with Mr. Lutz and is very con- cerned with the accident rate of 1.9 per week. Meg Simmons stated she lives in Morro Bay, but has decided not to purchase property here because of Diablo Canyon. She feels the solution is to not open Diablo. Ms. Simmons stated she agrees with Mr. Lutz and Ms. Downing and would urge the Council to support the ordinance. Councilman Rosenberg stated he is fundamentally in favor of a notification procedure to the City, but there are some details in the proposed ordinance that he is concerned about. Councilman Rosenberg stated he would like for the ordinance to be reworked by staff and presented to the Council for consideration. Mayor Shelton stated he is concerned with some of the wording of the proposed ordinance. He also stated he would like to have the proponent of the issue make a presentation to the Council and finally, would like the matter referred to staff for rewording. Councilman Cantine stated he does not see any reason for nuclear materials to be transported through Morro Bay since Morro Bay is not on a major highway. He also stated he would like to have staff screen the ordinance, and if necessary simplify it to make it more restric- tive. MINUTES - MORRO Regular Meeting, PAGE FOUR BAY CITY COUNCIL March 26, 1979 Councilman Reasor stated he agrees with Councilman Rosenberg's comments. Councilman Harmon stated he feels the proposed ordinance should be referred to staff for rewording and suggested the Council adopt a resolution this evening stating their intent to support an ordinance concerning the transporation of radioactive materials. MOTION: Councilman Cantine moved the City Council (1) return the ordinance to staff for review and/or modification, (2) return the ordinance to the Council for consideration on April 23, 1979, (3) that the appropriate agencies be .advised of the pending hearing (April 23, 1979) and be provided copies of the proposed ordinance and other docu- ments that are prepared by staff concerning this matter, and (4) is concerned with the issue of transporting radio- active materials. The motion was seconded by Councilman Rosenberg and carried unanimously. The Council requested that Mr. Guluzzy get a copy of the ordinance that San Luis Obispo City passed regarding this matter and to contact other locales in the County concerning their disposition of the matter. Break: 9:05 p.m. C. UNFINISHED BUSINESS Reconvened: 9:15 p.m. C-1 Consideration of granting a one year extension for a variance at 2620 Koa Avenue, Lloyd N. Ainslie, applicant. (Continued from March 12, 1979 meeting.) Mr. Gurnee reviewed the request and recommended the application for a variance be referred back to the Planning Commission since this is where the request originated. Councilman Rosenberg expressed concern with a variance being granted for a two year period. Mayor Shelton provided background concerning the situation in- volved and noted the applicant has taken action against the realtor, and this may be one of the reasons for the litigation taking so long. The City Council briefly discussed with Mr. LeSage the pros and cons involved if they granted, denied, or refered to the Planning Commission the variance request. The Council determined it would be best if the application was denied and have Mr. Ainslie submit a new request for a variance outlining the situation as it now stands. MOTION: Mayor Shelton moved the request for a one year extension for a variance at 2620 Koa Avenue be denied. The motion was seconded by Councilman Reasor and unanimously carried. C-2 Consideration of approving the c- orro Bay Cambria Bus System) agreement between the County of San Luis Obispo and Morro Bay. (Continued from March 12, 1979 meeting.) Mr. Bressan stated he has completed the agreement by filling in all the blanks and incorporating Mr. LeSage's revisions concerning the insurance coverage. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, March 26, 1979 PAGE FIVE MOTION: Councilman Cantine moved the City Council authorize the Mayor and the City Clerk to sign the Morro Bay - Cambria Bus System agreement incorporating the recommendations of the City Attorney. The motion was seconded by Councilman Rosenberg and carried unanimously. D. NEW BUSINESS D-1 Request'for Proposal from John Carollo Engineers (or alterna- tive firm) for C tep 2: Design Phase of Sewage Treatment Plan modernization. Councilman Rosenberg reviewed his memo addressed to the City Council and the City Administrator dated March 24, 1979 regarding the procedure for selection of Phase II consultant. He reviewed his memo noting the results of his telephone conversation with Jerry Anders of the State Water Resources Control Board stating (1) the choice of a consultant as far as Phase II is concerned is completely up to the Council, and the State or EPA does not get in- volved in this, (2) the State and EPA has stated they have no desire to promote any one firm, (3) all parties concerned in this wish to keep it as short as possible and not delay the process, (4) regard- less of which of the seven options the Council chooses, as far as EPA is concerned, it is highly unlikely that the grant will be endangered. Councilman Rosenberg reviewed the seven options that are available to the Council as follows: (1) choose Carollo Engineers tonight, (2) request proposal from Carollo--then approve, (3) reject Carollo to- night and choose one alternate firm, (4) solicit proposal from Carollo Engineers if rejected and choose one alternative firm, (5) use pre - qualified list to select six firms (6) publicly advertise to select six firms, and (7) appeal staff interpretation. Councilman Rosenberg noted if option #3 was selected this would require the Council rejecting Carollo Engineers first, and then selecting another firm. Option #5 is the standard process that is used for municipalities over 25,000. A minimum of three proposals must be solicited and chosen from the list of MBE firms. Option #6 would require a "Request for Proposal" being done. Option #7 deals with the Council not being permitted to consider two firms sequen- cially--the State feels this constitutes competitive bidding requiring six firms to apply. Councilman Rosenberg stated the goals of the Council are to choose the best possible firm for Phase II and minimize the time delay involved. The selection of a consultant is not required until concept approval has been received by the State which would be around May. Councilman Rosenberg stated as far as option #1 is concerned, he does not see it being any better than going with option #2. There is no time delay involved. He stated he felt option #2 is the fastest. Carollo Engineers has the advantage of being familiar with the pro- ject, no time delay is involved, and Cayucos as indicated their support of Carollo. The disadvantage to this is that no alternatives are looked at. Option #3 has the advantage of a comparison being done by Mr. Parkhurst. There is no potential delay in considering more than one alternative. The biggest disadvantage is that the City Council has little choice after Mr. Parkhurst has made a selection --the Council cannot reject the proposal. The only alternative the Council would have is to go with the pre -qualified list. As far as option #4 is concerned the Council has the advantage of seeing the Carollo proposal first and then determining whether to reject or accept Carollo. The disadvantage is the time involved. Options #5 and #6 open the City 46 MINUTES - MORRO Regular Meeting, PAGE SIX BAY CITY COUNCIL March 26, 1979 'up to legal challenge by the MBE firms. Justification to the State must be made if a minority -owned firm is not chosen. Councilman Rosenberg stated he feels option #7 is unfeasible. Councilman Rosenberg stated he did a time estimation concerning the various options available. He also stated that he does not agree with Don Rothenbaum's memorandum concerning the time constraints as it relates to the completion of the project report (design). He then reviewed the time frame for the various options as follows: Estimated minimum time for options #3 and #5 is 8 to 9 months, estimated minimum time for options #6 and #7 is 11 to 12 months, the estimated maximum time for options #1 and #2 is 15 months, the estimated maximum time for options #3 and #5 is 20 months, and the estimated maximum time for options #4 and #7 is 25 months. Councilman Rosenberg stated the Council must determine whether they are willing to spend "familiarization time" if a firm other than Carollo is selected. Mr. Parkhurst estimates 2 to 4 weeks; Don Rothenbaum estimates 2 months. Jim Ross stated he feels the Council should make the decision tonight and suggested the Council go with option #2 or #3. Mr. Guluzzy stated staff supports either option #2 or #3. Mr. Campbell stated he felt the Council should act upon this matter as soon as possible, taking into consideration the inflation - factor is about $65,000 per month. Mr. Palmer stated the Council must also consider the need to get a competent engineering firm and not only the dollar figure. John Bergmiller of the Cayucos Sanitary District stated they would strongly support option #2 and/or #4. Mr. Difley stated he agrees with Mr. Palmer's comments. The City Council discussed the pros and cons of the various alternatives and the time frames involved with each one. Councilman Rosenberg stated he would support option #3 but would not support option #5 because of the risks involved. Mayor Shelton stated he would support option #4 and that he feels the Council should have a voice in the decision -making process of the consultant firm, not only Mr. Parkhurst. Councilman Cantine stated he would support option 0. Councilman Reasor stated he would support option #3 or #5. Councilman Harmon stated he would support option #3 or #5. He stated he strongly objects to Mr. Parkhurst doing the entire selection and feels more people should be involved, e.g., Clint Milne aand John Bressan. MOTION: Councilman Rosenberg moved the City Council instruct staff to negotiate with and present to the Council by May 14, 1979, a contract with a firm other than Carollo Engineers, that in staff's opinion, will be the best qualified to perform the Phase II design work. The motion was seconded by Councilman Cantine and carried with Mayor Shelton and Councilman Harmon voting no. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, March 26, 1979 PAGE SEVEN Councilman Reasor stated the reason he supported the motion is because his other alternatives did not appear to be viable. D-2 Discussion of Planning Commission's recommendations regarding water equivalencies) and amendment to Ordinance No. 152. Mr. Gurnee reviewed his memo to the City Council dated March 20, 1979 regarding 1979/80 water equivalency recommendations and stated the Planning Commission at their March 19, 1979 meeting accepted planning staff's recommendations as follows: (1) make 45.24 water equivalency units available in 1979/80 to be earmarked for those projects which qualify as being "in the pipeline" --projects which had made application to the City prior to December 14, 1977 (effec- tive date of Coastal Commission's moratorium), (2) water equivalency units earmarked for pipeline projects should be awarded as needed during 1979/80 and not be subject to quarterly distribution formula of previous years, (3) set aside 12 water equivalency units in 1979/80, or 3 units per quarter, for those remodelings, renovations, or building additions which require additional water equivalencies but can "trade- off" compensating reductions in water use, and (4) set aside a "reserve" of 60 water equivalency units as a backup in case of a partial lift of the Coastal Commission's moratorium. None of these units could be awarded until any lifting or loosening of the moratorium occurs. MOTION: Mayor Shelton moved the meeting continue after midnight. The motion was seconded by Councilman Reasor and carried with Councilman Harmon voting no. MOTION: Mayor Shelton moved the City Council direct staff to work with the City Attorney and present at the next regular meeting (1) a proposed resolution that sets forth the water equivalency allocations as noted in the above staff recom- mendation, and (2) a proposed'amendment to the current water equivalency ordinance as it relates to the section dealing with quarterly allocations of water equivalencies. The motion was seconded by Councilman Rosenberg. Monte Red stated he feels the proposed changes to the ordinance will in essence place a moratorium on the City, e.g., he wishes to build a low-cost housing project on an R-3 lot requiring 30 water equivalencies --he would have to wait a year and one-half to get the equivalencies and within this time the Coastal moratorium could be lifted. Mayor Shelton stated he felt the resolution would be advantageous to the City and the people who wish to build because it would permit development sooner, rather than waiting for quarterly water equiva- lency allocations. The motion carried unanimously. At 12:05 a.m. Councilman Harmon left. D-3 Claim against the City regarding sewer disfunction at 995 Carmel; Thomas J. Barket, Claimant. (RECOMMEND DENIAL AND REFER TO INSURANCE CARRIER.) MOTION: Mayor Shelton moved the City Council deny the claim and refer it to the insurance carrier. The motion was seconded by Councilman Rosenberg and carried with Councilman Harmon absent. • I] MINUTES - MORRO Regular Meeting, PAGE EIGHT BAY CITY COUNCIL March 26, 1979 D-4 Introduce and pass -to -print Ordinance No. 160 amending Chapter 9.16 of Title 9 of Morro Bay Municipal Code, regarding Firearm Possession Prohibition in City Hall, Council Chambers, or other public hearing room. MOTION: Councilman Cantine moved that Ordinance No. 160 be read by title only. The motion was seconded by Councilman Reasor and carried with Councilman Harmon absent. Mr. Guluzzy read by title only, Ordinance No. 160. MOTION: Councilman Cantine moved this constitute the first reading of Ordinance No. 160. The motion was seconded by Council- man Reasor. Fred Witt stated there is no way this ordinance can be enforced and that he feels it is unnecessary. The motion carried with Councilman Harmon absent. D-5 Consideration of amending Ordinance No. 10 (Section 10.08.030) regarding [impoundment of vehicles.) Mr. LeSage stated the Supreme Court has said a City cannot impound a car without giving the owner an immediate hearing. He referred to his memorandum to the Police Chief dated March 12, 1979, concerning vehicle impounds as it relates to the "Stypmann" decision. MOTION: Mayor Shelton moved the City Council direct staff to prepare an ordinance consistent with the City Attorney's recommen- dation as it relates to the "Stypmann" decision. The motion was seconded by Councilman Reasor and carried with Councilman Harmon absent. 1 D-6 Authorization to have City Administrator bid for copy (repro- duction) equipment. MOTION: Councilman Cantine moved the City Council authorize the City Administrator bid for copy reproduction equipment. The motion was seconded by Councilman Rosenberg and carried with Councilman Harmon absent. D-7 Consideration of hiring part-time personnel to accelerate rec- reation needs assessment; transfer of $1,058.40 from unobligated reserve will be necessary to implement objective. Mr. Guluzzy reviewed the staff report and stated the proposed hiring of part-time personnel to complete the needs assessment stemmed from Councilman Harmon's comments concerning the length of time the survey is taking because one person is doing the entire assessment. Councilman Cantine stated if the request is for the purpose of getting information to assist in the preparation of the Parks and Recreation element of the General Plan then he feels it is necessary, but if it is only for the purpose of'getting information for the Senior Citizens' site, then it is not as urgent. Councilman Cantine stated he would like for staff to prepare a report to the Council by the April 11, 1979 Study Session concerning (1) how the Senior Citizen's site study is being conducted, and (2) what the progress is. The Council concurred. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, March 26, 1979 PAGE NINE E. INDIVIDUAL DETERMINATION AND/OR ACTION E-1 City Council Mayor Shelton suggested item E-1 Study Session on March 28, 1979 due to proceed with the remaining agenda this E-2 City Attorney be continued to the Council's the lateness of the hour and evening. The Council concurred. Mr. LeSage stated he would like to have an Executive Session to discuss litigation. Councilman Cantine stated he would also like to discuss personnel under the Executive Session. E-3 City Administrator Mr. Guluzzy stated the Planning Department needs to have $400.00 transferred from unobligated reserves to the "Automobile Supply and Maintenance" account. MOTION: Councilman Cantine moved the City Council transfer $400.00 from unobligated reserves to the Planning Department's Automobile Supply and Maintenance account. The motion was seconded by Mayor Shelton and carried with Councilman Harmon absent. Mr. Guluzzy stated he will try to have by March 28, 1979 for the Council's Study Session, a draft concerning the composition of the Harbor Advisory Board. Mr. Guluzzy stated he met with the Farmer's Home Administration in Arroyo Grande and was advised that the City could apply for grant monies concerning the replacement of all the two inch pipes in the City. He. stated he would like Council's authorization to develop a pre -application concerning the cost involved to the City (25%) and the use of the grant monies (75%) and submit an application to FHA for consideration. MOTION: Councilman Cantine moved the City Council authorize the City Administrator to make pre -application for grant monies to Farmer's Home Administration concerning the replacement of the two inch pipelines in the City. The motion was seconded by Councilman Reasor anc carried with Councilman Harmon absent. MOTION: Mayor Shelton moved the meeting adjourn to Executive Session. The motion was seconded by Councilman Reasor and carried with Councilman Harmon absent. The meeting adjourned to Executive Session at 12:25 a.m. and returned to regular session at 12:50 a.m. MOTION: Councilman Cantine moved the meeting adjourn to Wednesday March 26, 1979, at 7:30 p.m. in the Morro Bay Recreation Hall for a Study Session. The motion was seconded by Councilman Reasor and carried with Councilman Harmon absent. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, March 26, 1979 PAGE TEN The meeting adjourned at 12:50 a.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy City Clerk q/ ft CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL AND PLANNING COMMISSION JOINT STUDY SESSION March 21, 1979, 7:30 p.m. MORRO BAY RECREATION HALL Subjects for Discussion (1) Downtown/Embarcadero Plan (2) Discussion of General Plan and Zoning consistency (3) Supplemental Water (4) Plan of work for the Planning Commission (5) What the functional relationship between the City Council and Planning Commission is. (6) Sign Ordinance and Policies (7) Further joint meetings I .• s 61 MINUTES - MORRO BAY CITY COUNCIL AND PLANNING COMMISSION Joint Study Session - March 21, 1979 Morro Bay Recreation Hall The joint study session of the Morro Bay City Council and Planning Commission was called to order by Mayor Shelton at 7:30 p.m. ROLL CALL: PRESENT: Councilmen Cantine, Harmon, Reasor, Rosenberg and Mayor Shelton. Ccmmissioners Elster, Hofstead, Paul, Peters and Chairman Kelsay. ABSENT: None. STAFF: Donald F. Guluzzv City Administrator T. Keith Gurnee Planning Director Nellie C. Cecil Secretary Mayor Shelton explained there were seven items on th:2 agenda which were of concern. It was agreed that Item Number Five, "What the functional relationship between the City Council and Planning Commission is", would be discussed first. Councilman Cantine stated he felt from the Council's interviews with each Planning Commissioner, that the Planning Commission under the new director, should concentrate basically upon planning activities and that the handling of Variances, Use Permits, etc., be minimized and that it could be worked out so that they could be departmentalized and w�»ld not have to come before the Commission. Mr. Gurnee explained that each City in the State of California, is required by law to have a planning agency. It is the responsibility of the Planning Director to oversee the City's long range planning programs of the General Plan, as well as oversee various application requests for Variances, Use Permits, I.ot Splits, Environmental Impact determinations, etc. Traditionally, every item has been brought before the Planning Commission with respect to Variances or Conditional Use Permits. Mr. Gurnee stated that many communities are now bringing the minor permits for departmental staff review only. During a Planning Commission meeting, as many as five or.six Variances are determined. Many are setback Variances which could be determined by the department. Also, some Negative Declarations could be determined by staff. This would eliminate some of the work load of the Planning Commission so that they could work with major projects. Councilman Reasor stated he felt it was imoortant to have public input for each application. He suggested perhaps to continue notifying the property owners within a three hundred feet radius and to set a nominal appeal period for citizen input. Mayor Shelton felt this should be advertised also in the newspaper. Councilman Harmon suggested looking into eliminatin( nonconforming uses by changing the Ordinance. He stated 800 of _he houses'have nonconforming uses. For instance, if a two car garage is required and only a one car garage is available, the Planning Commission should look at the parking requirements in the ordinance to see if it is necessary to have a two car garage in an R-1 zone. I MINUTES - MORRO BAY CITY COUNCIL AND PLANNING COMMISSION Joint Study Session - March 21, 1979 PAGE TWO Commissioner Hofstead stated that at the Planning Commission conference in Monterey which she had attended recently, the need is for living space for people, not for car space. Perhaps garages were not necessary since land is at a premium for living space. Councilman Rosenberg stated that he would like to see the Planning Commission become a more active body. He wanted the Commission to respond to work requests from the Council. Also to look at potential problems, finding a solution, and then forwarding it to the City Council. Councilman Harmon felt the Planning Department shoul: really know what was going on. They should see the trends of wh-t is happening in the City and inform the Council. Commissioner Peters remarked that if Mr. Gurnee is going to take over the determination of minor problems, he would hope .:hat the Planning Director would negotiate this very carefully at first. He felt this should be started in a very modest way with the intent that this would develop more in the future. Commissioner Paul stated that one of the dangers of this action would be'that the public will feel that they are not getting the full interest of the Planning Commission and Council. Also, what might seem minor to the Planning Director, could turn out to be a major problem to the applicant. Councilman Rosenberg suggested starting things going by having a "Consent Calendar" on the agenda. Commissioner Peters suggested the Chairman of the Commission or a rotating committee meet with the Planning Director to decide on each application. Mr. Gurnee stated this would not happen over night and suggested that possibly a Board of Adjustment should be formed as the City of San Luis Obispo has, consisting of the Chairman of the Planning Commission, Planning Director and City Engineer, which would hear each item. Councilman Cantine stated he would like the Planning Commission to enter more actively into the toll of taking the initiative to investigate anything that needs input in formulating recommendations to the City Council. If this requires meeting every week, then this is the way it should be done. Mr. Gurnee stated it was Commission with the budget planning they could be part of that program. his intent to involve the Planning for the next fiscal year so that Councilman Rosenberg expressed his opinion that he felt it was very healthy for the Commission to have a different opinion than the Council. He did not feel that the Commissioners should have to go to the City Council to see what their opinion was. However, if a decision is made in reverse of the Planning Commission, he would then feel that the Commission should abide by it. Councilman Reasor explained he felt the Commission had been very thorough in their decision with regard to the two signs which had been appealed to the City Council. He felt.he might have made a wrong decision on one of the signs. .However, it is the responsibility of the Council to make the final decision. MINUTES - MORRO BAY CITY COUNCIL AND PLANNING COMMISSION Joint Study Session - March 21, 1979 PAGE THREE Councilman Cantine stated he had heard an expression made during a Planning Commission meeting, that because a certain item such as "view" was not in the Ordinance, the Commission did not have to consider it. He felt that every issue should be considered, and if it was not in the ordinance, perhaps they should look into it to see that it is placed in the Ordinance. Commissioner Peters stated he felt while attending a Council meeting, that the Council had a different set of guide lines than the Planning Commission. For instance, when an applicant brings in a appeal from the Planning Commission decision, they seem to have more e- dence to bring before the Council. Commissioner Paul stated from his experience on both the Council and the Planning Commission, that the public had a right: to appeal and present a better case to the Council. This is his fiw.al chance and he is going to do everything he can to fight for his ease. The Planning Commission should not feel badly if the Council ove.:rules their decision, this is their perogative. Mr. Guluzzy stated that it is the obligation of the Planning Director to make a full report of what the recommendation of staff was, and the action of the Planning Commission. There are times when the Commission's decision differs from staff. This is all taken into consideration by the Council. Commissioner Peters questioned the function of the City Attorney and inquired if the Commissioners could personally contact the City Attorney for advice and guidance. Mr. Guluzzy stated the proper procedure would be for the Commissioner to contact the Planning Director, who would in turn contact the City Attorney through the City Administrator. Councilman Cantine asked if there would be any reason why the City Attorney could not be available for the meetings of the Planning Commission as he is to the City Council. ,11 Councilman Reasor stated that the Council had requested a.full transcript of projects that were appealed to the City Council. Mr. Guluzzy stated a court reporter..would have to be hired and perhaps paid for by the applicant for an appeal. Mayor Shelton stated the next item to be considered would be the Downtown/Embarcadero Plan. Mr. Gurnee explained this element has been distributed to the community, through the library and by checking the document out through the Planning Department. There are meetings being Yald by different groups in preparation for a public meeting to be held with Owen Menard, the consultant who prepared this plan. Mr. Menard's contract calls for his presence at two public meetings. Mr. Gurnee stated a public advertised meeting for a study 'session should be held on April 18, 1979, Wednesday evening, wits Mr. Menard in attendance to answer any questions the public migt..: have. Councilman Rosenberg noted this was a draft document. MINUTES - MORRO BAY CITY COUNCIL AND PLANNING COMMISSION Joint Study Session - March 21, 1979 PAGE FOUR Councilman Reasor stated he felt there was very little advertisement of these public hearings and he would like to see the City take out a quarter page ad, stating the issues, to get the people involved. Commissioner Kelsay stated in past history, Owen Menard would meet with the Planning Commission at a public hearing for :he first meeting. The next meeting the Planning Commission would i rk on it and present their findings to staff. These findings were ent to Owen Menard who would rewrite the element including the findings of the Planning Commission. That plan is then presented to the .Aty Council by Owen Menard. • At the second Council meeting, the Council could rewrite it with their additions and comments, after which it is adopted. Commissioner Paul questioned whether or not the Downtown Element should be considered before the General Plan is brought into conformance with the Zoning Ordinance. Councilman Rosenberg stated he did not want this element delayed as there is some very pragmatic reasons for getting on with this plan to answer some of the larger 'issues coming up. Councilman Cantine stated he felt the Council could go either way. He personally, would not set the Downtown/Embarcadero Element in concrete. He would go through and study the issues and then lay it aside. Councilman Harmon questioned whether the Downtown/Embarcadero Element is a required element to the General Plan. Mayor Shelton stated it was not required by the State, it was just another element. Mr. Gurnee explained there are a number of these plans that are going to have to be considered simultaneously. There are four major areas of work. (1) Planning (2) Ordinances (3) Permit processing (4) General Plan programs. Mr. Gurnee stated in the mandatory elements, such as Land Use, they are in need of some review. Zoning consistency stems from an agreed upon Land Use Element. Also in need of study is consistency between the elements. There are deviations between our Housing Element and the Circulation Element. On top of that is the Local Coastal Plan. The Development Concepts Plan is suppose to be ready to act on. There are hearings on the County Land Use Element. Most importantly at present is to bring the zoning into consistency with the General Plan. Mr. Gurnee stated it is imperative that a good hard look be given to supplemental water, as well as waste water treatment. Other areas to study are Planned Development, deed restrictions, water equivalencies, noise abatement, subdivision, parking, upde':ing our planning force, reviewing past Conditional Use Permits, Capi.:al Improvement Plan, street trees, freeway landscaping, requirement..: for undergrounding, storm drains, grants. Mr. Gurnee explained the City of Morro Bay's General Plan programs are really not in bad shape at all. We have all but one completed. We have a pretty good foundation upon which we can erect the program. We have a lot of elements that need to relate to each other.. MINUTES - MORRO BAY CITY COUNCIL AND PLANNING COMMISSION Joint Study Session - March 21, 1979 PAGE FIVE Councilman Rosenberg stated he was concerned with the Planned Development category which is not clearly defined in the Zoning Ordinance. Also a study should be made on how to handle the area between the Embarcadero and downtown. Perhaps a new zoning should be made for this area. Councilman Harmon suggested the meeting with Owen Menard and the Planning Commission on April 18th, 1979, should include ':he City Council. Mayor Shelton continued on with the agenda. "DiscusE:on of General Plan and Zoning consistency." Mr. Gurnee displayed two maps showing the areas whey: the Land Use Element differs from the Zoning Ordinance. Mr. Gurnee explained each area in detail. Mayor Shelton stated that Item #3, "Supplemental Water" had been covered at a previous Council meeting. Two steps were taken, one was to propose a resolution that was to state what the Council's philosophic intent is; and to lay out what our intent of plan is. Mayor Shelton stated he would like to see the Council continue analyzing all the supplementary water which has been made in the City, many which were unsuccessful, and recognize if we can do anything to any alternatives. Councilman Reasor stated that until they knew what they wanted in Morro Bay, it would not be possible to know how much water was wanted in Morro Bay. Mayor Shelton stated he did not want an external agency coming into Morro Bay and telling uswhat we wanted. Councilman Harmon wondered how the City would come out of the moratorium with regard to how we would start building again. Mayor Shelton continued on with the Agenda---- "Plan of work for the Planning Commission", stating Mr. Gurnee had covered that item very well. Also the "Sign Ordinance and Policies" he felt had previously been covered. The last item on.the agenda was "Further joint meetings". Commissioner Paul questioned the fact that with the list Mr. Gurnee had proposed for the Planning Commission to work on, when would they have time for it? Councilman Rosenberg stated he was impressed with this first joint meeting and would like to see it continue every two months. Mr. Gurnee suggested the next joint session be held on April 18, 1979, with the first visit of the consultant, Owen Menard. Councilman Reasor advised the Planning Director to :ske sure there is a time limit set on these meetings so that they d( not get out of hand and run into all hours of the morning. Mayor Shelton opened the meeting to any public comments. MINUTES - MORRO BAY CITY COUNCIL AND PLANNING COMMISSION Joint Study Session - March 21, 1979 PAGE SIX Chamber of Commerce member Manny Del La Rosa spoke from the audience and suggested the Council and Planning Commission work together with the Chamber of Commerce as well as CAL in their studies of the General Plan. Chamber of Commerce Manager Al Schwartz offered the expertise of a committee consisting of Chamber of Commerce members who are studying the Downtown/Embarcadero Element, and of other committees including the PROD committee w:io are working on the revitalization of the downtown area. MOTION: Councilman Cantine moved the meeting be adjourned. The motion was seconded by Commissioner Rosenberg and unanimously carried. The meeting adjourned at 10:15 P.M. RECORDED BY: Ne ie C. Cecil, Secretary M rro Bay City Planning Commission 4, 0- CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL STUDY SESSION, March 14, 1979, 7:30 p.m. MORRO BAY RECREATION HALL Study Session Items for Discussion 1. Discussion of the Cease and Desist Order regarding the wastewater treatment plant as it relates to the meeting scheduled in Solvang on March 16, 1979. 2. Discussion concerning water equivalencies. 3. Discussion concerning the water policy and/or plan of the City. 4. Discuss report prepared by John Parkhurst, Consultant regarding wastewater facilities project report and engineer design. 5. Status report on the Senior Citizens Community Center. 6. Discussion concerning the Downtown and Embarcadero Specific Plan. 7. Discussion concerning the Circulation Element. 8. Status report concerning the 1978/79 budget as it relates to possible purchases and/or leases of equipment. 9. Consideration of holding meetings to discuss proposed agenda items prior to their being scheduled for City Council action. 10. City Administrator, Donald F. Guluzzy, to provide a status report regarding pending items. i MINUTES - MORRO BAY CITY COUNCIL Study Session March 14, 1979, 7:30 p.m. MORRO BAY RECREATION HALL The meeting was called to order at 7:30 p.m. by Mayor Shelton. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, Rosenberg, and Mayor Shelton Absent: None STAFF PRESENT Donald F. Guluzzy, City Administrator John Bressan, Public Works Director Keith Gurnee, Planning Director Elizabeth Penny, Deputy City Clerk Mr. Guluzzy requested that item four be heard first since Mr. Parkhurst was present at this time. The Council concurred. (4) Discuss report prepared by John Parkhurst, Consultant, regarding wastewater facilities project report and engineer design. Mr. Guluzzy stated Mr. Parkhurst is attending the meeting in order to avail himself to the City Council to clarify or answer questions in regards to the report he prepared. Mr. Parkhurst presented background data on himself stating that he is a retired engineer, had been employed for 18 years by the Los Angeles Sanitation District, and is a registered professional engineer with the State of California. He has considerable experience on all levels of government from Federal to Local, and his expertise is in the field of water reclamation and reuse. He stated he began working on this project by reviewing the documents the City had turned over to him, reviewed the project report, and has made a summary report concerning its implementation. Councilman Cantine stated that Councilman Rosenberg, Mr. Guluzzy, Mr. Parkhurst, and himself had met that morning to review items that were not covered in Mr. Parkhurst's report. Mr. Guluzzy read a letter dated March 14, 1979, addressed to Mr. Parkhurst from himself, into the record. The letter outlined four questions to which Mr. Parkhurst responded as follows: Questions (1) and (3)--what firm do you recommend for the design phase for a Carrousel process plant? What firm do you recommend for the design phase for the process recommended in question two? Mr. Parkhurst replied to the questions by stating in his opinion the decision to engage Carollo Engineers is one which must be ,decided by the City Council and not by himself, or a third -party engineer. In his opinion, Carollo Engineers are competent engineers and could carry out the project. However, he felt if the Council themselves were not satisfied with Carollo Engineers and wanted him to recommend another firm he would, but the decision was with the Council to retain Carollo or not to. He then stated the John Wright firm in Kentucky is the only firm in his opinion, that can implement the Carrousel process. The reason is that this process has not been used in California. Z �6 MINUTES - MORRO BAY CITY COUNCIL March 14, 1979, Regular Meeting PAGE TWO Mayor Shelton asked Mr. Parkhurst what guidelines and criteria he would suggest using in selecting an engineering firm. Mr. Parkhurst replied that Carollo Engineers may submit a proposal setting forth the various staff assignments, fees, time schedule, etc., then the Council would be in a position to make a judgement as to whether you wish to proceed with Carollo Engineers. He then stated the Council must also determine if they feel the final project report is sufficient as presented, or if supplemental information is neces- sary. Question (2)--What do you consider the most cost and resource effec- tive biological oxidation process which is feasible to consider in the design phase and which would be most favorably considered for innovative/alternative funding? Mr. Parkhurst stated the biological process which is the most efficient is an activated sludge process which utilizes a mechnical type of aeration. There are several processes that do this and the Carrousel is one of them. The mechnical aeration is more efficient in the transfer of oxygen. The mechnical aeration is more efficient than compressed air or high percent oxygen. As far as the Carrousel is concerned, it is the only activated sludge process that would have a chance at innovative funding. The final decision on innovative funding will be done by the Environmental Protection Agency, and not by the State. Question (4)--What additional costs to Morro Bay may be associated with Mr. Parkhurst's recommendations of questions two and three? Mr. Parkhurst stated that additional expenses to the City will be due to the installation of the pumping facilities and the faci- lities that pump the reclaimed water. The operating costs will be borne by the City as long as the City uses them. Councilman Rosenberg summarized his understanding of Mr. Parkhurst's participation in this matter by stating: (1) if the Council decides to retain Carollo Engineers, the Council should request a proposal from Carollo and then Mr. Parkhurst will look at it if the Council so desires, and (2) if the Council decides to change engineering firms, then Mr. Parkhurst would be willing to suggest an alternate engineering firm and request an evaluative proposal from them. Mr. Parkhurst concurred. (1) Discussion of the Cease and Desist Order regarding the wastewater treatment plant as it relates to the meeting scheduled in Solvang on March 16, 1979. Mr. Guluzzy stated that Mr. Bressan, Ed Neary, Mr. Shelton, and himself will be attending the meeting to state the City's position and request the moratorium be lifted. He also stated he had discussed this matter with the Regional Quality Control Board. (2) Discussion concerning water equivalencies. Mr. Gurnee stated this matter will be discussed by the Planning Commission on March 19, 1979. He then reviewed a memorandum addressed to Mr. Guluzzy dated March 7, 1979 concern "1979/80 water equivalency allocations" noting four recommendations being made by staff. Mr. Gurnee then reviewed his memorandum dated March 14, 1979 concerning "Term of building permits and water equivalencies" with the Council. 0 MINUTES - MORRO March 14, 1979, PAGE THREE ' BAY CITY COUNCIL Regular Meeting Mayor Shelton stated he would like to see staff work on alterna- tive growth management plans. Councilman Rosenberg suggested as a matter of policy, those structures that have been granted a water equivalency since the date of the moratorium (this does not consider what happens to those structures before that date) would fall under the existing ordinance with no contemplation of taking water equivalencies away from those people. The City Council requested the matter be referred to the Planning Commission and then scheduled for a Council meeting for discussion. (3) Discussion concerning the water policy and/or plan of the City. Mayor Shelton stated he would like to encourage staff to con- tinue to seek alternative means of water since the Council recognizes the long-term needs as it relates to the reclamation process which may be "on again/off again" based on EPA response to each part of the project, and then to schedule it for a future agenda. The Council concurred. a (5) Status report on the Senior Citizens Community Center Mr. Guluzzy stated he has referred the questions that were raised at a Council study session concerning the Center to various department heads for response. He also stated that he had met with a represen- tative from the Community Development Block Grants Program and was advised a proposal had been previously submitted requesting funds for a Senior Center, but that it was deficient and did not meet the neces- sary points and qualify for funds as it relates to the Community Development's guidelines and criteria. Mayor Shelton requested this information be relayed to the President of the Senior Citizens. (6) and (7) Discussion concerning the Downtown and Embarcadero Specific Plan and the Circulation Element. Councilman Harmon stated this matter could be discussed at the joint meeting between the Council and the Planning Commission on March 21, 1979. Mayor Shelton stated the Chamber of Commerce has reviewed these items and that he would like to have a report prepared by the Chamber of its evaluation and present it to the Planning Commission and the City Council for review. Councilman Cantine suggested Mr. Guluzzy develop a "plan of attack" for reviewing the various elements of the General Plan and revising the Zoning Ordinance. The Council concurred. 3 (8) Status report concerning the C1978/79 budget as it relates to possible purchases and/or leases of equipment. Mr. Guluzzy briefly reviewed the section of the final budget as it relates to unolbigated reserves stating the City has approximately $200,000 remaining for the 1978/79 fiscal year. MINUTES - MORRO BAY CITY COUNCIL March 14, 1979, Regular Meeting PAGE FOUR Mr. Guluzzy stated he has been looking into the purchase of a copier machine vs. leasing a machine, he stated he does not feel the City needs a reduction feature on the machine, but would recommend the duplex feature which would save money by allowing printing on both sides of the paper. Mr. Guluzzy stated he would like for the Council to authorize him to go out to bid to purchase a copier. Mayor Shelton stated he would like for Mr. Guluzzy to present the various alternatives to the Council at a regular session. The Council concurred. Mr. Guluzzy also stated he has been looking at various alterna- tives concerning the City's computer, e.g., purchasing new equipment, participating with the County on their terminal computer system. (9) Consideration of holding meetings to discuss proposed agenda items prior to their being scheduled for City Council action. The Council and Mr. Guluzzy briefly discussed the format of the agenda, the possibility of holding "agenda meetings" prior to the actual Council meeting to air the questions concerning the various items so the meetings do not last so long, more enforcement concerning the midnight deadline, and adhering to said deadline and continuing any other matters that were not heard at the regular Monday meeting to the following day (Tuesday). Mayor Shelton requested Mr. Guluzzy research these matters and present more specific findings to the Council concerning this. The Council concurred. (10) City Administrator provide status report regarding pending items. Mr. Guluzzy stated he is about ready to submit the "911 Order" for the Fire Department and is working towards October, 1979 as the goal date. He also stated the volunteer fire services advised him there is an income protection program available to volunteer reserve fire fighters and would like for the City to consider providing this for the reserves. The Council requested this matter be researched as to whether other cities are providing this for their volunteer reserves and pre- sent it at the budget hearings. Mr. Guluzzy stated he is having the City's present telephone system evaluated to see whether or not it is the most cost-effective, time -saving device, or whether a switchboard/console type of operation would be a better alternative. A proposal concerning this will be presented at the budget hearings. Mr. Guluzzy stated he has assessed the purchasing of a tape recorder for the purpose of recording Planning Commission and City Council meetings, since the current system has been experiencing technical difficulties. He stated he would recommend the Answerline Model LP-5, 14 hour cassette recorder be purchased. The Council stated they would concur with Mr. Guluzzy's recommendation, and re- quested this item be scheduled at the next regular meeting on the Consent Calendar for Council approval. MINUTES - MORRO BAY CITY COUNCIL March 14, 1979, Regular Meeting PAGE FIVE PUBLIC COMMENT Peter Diffley expressed concern with how the Study Session are handled, namely not permitting public comments to be given after each individual item. He also stated he is concerned when special resource people, such as Mr. Parkhurst, are present and the public is not permitted to ask them questions. Monte Red stated he concurred with Mr. Diffley. He also sug- gested a time limit be given to allow the public to comment after each individual item. Neil Kline asked when the Council plans to discuss moorings on the harbor. Mayor Shelton stated the matter will be heard at the next meeting as it relates to the composition and the charges that would be given to the Harbor Committee. Jim Ross commented that Mr. Guluzzy, Mr. Bressan, and Mr. Gurnee have been working very hard and although he does not agree with every- thing they have done, he appreciates their effort. MOTION: Councilman Harmon moved the meeting adjourn to March 21, 1979 for the joint study session between the City Council and the Planning Commission at the Morro Bay Recreation Hall. The motion was seconded by Mayor Shelton and carried unanimously. The meeting adjourned at 11:55 p.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy City Clerk CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL March 12, 1979, 7:30 p.m. MORRO BAY RECREATION HALL Call to Order Pledge of Allegiance Invocation Roll Call Proclamation Public Comment A. CONSENT CALENDAR 1. Minutes of the February 19, 1979 special meeting. 2. Minutes of the February 26, 1979 regular meeting. 3. Minutes of the February 26, 1979 executive session. 4. Minutes of the February 28, 1979 special meeting. 5. Expenditure Report for February 1, 1979 through February 28, 1979. (RECOMMEND APPROVAL) 6. Ratify hiring of John Parkhurst, Consultant, to evaluate wastewater facilities project report and make recommen- dations concerning Design Phase of Wastewater Project. 7. Resolution No. 16-79 granting approval for five and one-half percent increase in wages for Police and General Employees, including Administrative Staff. 8. Claim against the City regarding sewer line at Laurel and Cuesta Avenue. (RECOMMEND DENIAL AND REFER TO INSURANCE CARRIER) 9. Resolution No. 15-79 authorizing an agreement with the Security First National Bank of Morro Bay for storage of microfilm records of the City of Morro Bay. 10. Consideration of hiring Ted Elder and Associates to complete the landscape architect work for Del Mar Park. (RECOMMEND APPROVAL) 11. Transfer of $15,000 from unobligated reserves to allow Mongomery Engineers to prepare plans and specifications for public bidding regarding modifications to Wastewater Treatment Plant. 12. Transfer of $604.20 from harbor dredging reserve account to relocate mooring buoys prior to the dredging operation beginning. 13. Transfer of $1,000.00 from unobligated reserves to allow for advertising in the newspapers. B. HEARINGS, APPEARANCES, AND REPORTS 1. Resolution No. 17-79 committing Morro Bay actively to cooperate with other local governments and the appro- priate agencies of the State of California to ensure that local concerns about the economic and environmental effects of proposed lease sale #53 are fully and fairly met by the federal government, before any Outer Continental Shelf (OCS) oil development is permitted in the OCS lease sale #53 area. 2. Discussion of State water importation. 3. Discussion concerning the sewer user charge. C. UNFINISHED BUSINESS 1. None. W 0 AGENDA - MORRO BAY CITY COUNCIL Regular Meeting, March 12, 1979 PAGE TWO D. NEW BUSINESS 1. Consideration of granting a one-year extension for a variance at 2620 Koa Avenue, Lloyd N. Ainslie, applicant. 2. Consideration of approving lease with the Department of Fish and Game for Morro Bay Public Angling Access Area. 3. Consideration of approving an expenditure of $1,185.15 from unobligated reserves to Richard L. Fisher, General Contractor to make modifications to the City Hall building. 4. Discussion concerning the Morro Bay - Cambria Bus System agreement between the County of San Luis Obispo and Morro Bay. 5. Request for a "verbal tentative agreement" concerning the installation of a traffic signal being installed at .. Highway 41 and north Main Street. E. INDIVIDUAL DETERMINATION AND/OR ACTION 1. City Council 2. City Attorney 3. City Administrator 6 i MINUTES - MORRO BAY CITY COUNCIL Regular Meeting March 12, 1979, 7:30 p.m. MORRO BAY RECREATION HALL The meeting was called to order at 7:30 p.m. by Mayor Shelton with the Pledge of Allegiance. Reverend Dear, City Chaplain, gave the invocation. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, Rosenberg, and Mayor Shelton Absent: None STAFF PRESENT Donald F. Guluzzy, City Administrator Michael T. LeSage, City Attorney John Bressan, Public Works Director Dave Braga, Parks and Recreation Director Keith Gurnee, Planning Director Elizabeth Penny, Deputy City Clerk PROCLAMATION Mayor Shelton stated the proclamation has been pulled and will not be presented this evening. PUBLIC COMMENT Jim Talbot stated he had played basketball through the City's Parks and Recreation Department, fell down and hurt his ankle while playing a game, could not walk the next morning, contacted the Parks and Recreation Department to ascertain whether he was covered for insurance, was advised that he was, went to the doctor, filled out the insurance papers and submitted them to Parks and Recreation, was then advised he was not covered by the City's insurance, and that the Parks and Recreation (City) would not pay the doctor's bill. Mayor Shelton asked that Mr. Talbot leave his name and telephone number with the City Administrator so the matter could be resolved. Grace Melton stated she would like to encourage people to attend the hearing in Solvang on March 16, 1979 when the Regional Water Control Board will be considering the Morro Bay/Cayucos Sanitary Dis- trict discharge. A letter was read by Ms. Melton from the Scenic Coast Board of Realtors concerning their pledge to protect individuals rights of real estate ownership and widen the opportunity to enjoy it. In regards to the proposed change of issuing building permits in Morro Bay, the Board of Realtors feel that all permits that have been issued by the City and the Coastal Commission, regardless of the water equivalency status, should be permitted to be used without setting a time limit on such permits. She also stated that she would agree with Cayucos in continuing with the design firm, Carollo Engineers, to complete the Step 2 (Design Phase) of the Wastewater Treatment Plant. Jim Cambell stated he is frustrated because he cannot enjoy the use of his property in Morro Bay, is paying taxes on vacant property, feels the citizens are being taxed without representation, the citizens welfare is not being looked after, and is concerned that the citizens' that speak to issues at the Council meetings never have their names in the paper --only the Council's comments. MINUTES - MORRO BAY CITY COUNCIL March 12, 1979, Regular Meeting PAGE TWO Jim Ross spoke to the issue of weed abatement and explained his personal experience with this matter, he referred to a letter he had sent to the editor of the paper, and stated he did not feel that adequate notice is given to property owners and requested that the individual properties be posted with signs. The City Council requested that Mr. Guluzzy contact the Fire Chief concerning this matter, and provide a report back to the Council. Dale Reddell referred to a statement that Mr. Gurnee had made concerning 56 apartments being converted from apartments to condominiums and asked where they are located, because Ruth Schwartz of the Coastal Commission stated there have not been any conversions come before the Coastal Commission. Mr. Reddell also stated there has never been an existing apartment building converted to a condominium --there have been applications submitted,'but then withdrawn. Mr. Gurnee stated that some of the 56 units were not actually occupied apartments, some of the units were changed to condominiums after their applications for apartments were submitted. CONSENT CALENDAR (A-1) Minutes of the February 19, 1979 special meeting. (A-2) Minutes of the February 26, 1979 regular meeting. (A-3) Minutes of the February 26, 1979 executive session. (A-4) Minutes of the February 28, 1979 special meeting. (A-5) Expenditure Report for February 1, 1979 through February 28, 1979. (RECOMMEND APPROVAL) (A-6) Ratify hiring of John Parkhurst, Consultant, to evaluate wastewater facilities project report and make recommendations concerning Design Phase of Wastewater Project. (A-7) Resolution No. 16-79 granting approval for five and one-half percent increase in wages for Police and General Employees, including Administrative Staff. (A-8) Claim against the City regarding sewer line at Laurel and Cuesta Avenue. (RECOMMEND DENIAL AND REFER TO INSURANCE CARRIER.) (A-9) Resolution No. 15-79 authorizing an agreement with the Security First National Bank of Morro Bay for storage of microfilm records of the City of Morro Bay. (A-10) Consideration of hiring Ted Elder and Associates to complete the landscape architect work for Del Mar Park. (RECOMMEND APPROVAL) (A-11) Transfer of $15,000 from unobligated reserves to allow Montgomery Engineers to prepare plans and specifications for public bidding regarding modifications to Wastewater Treatment Plant. (A-12) Transfer of $604.20 from harbor dredging reserve account to relocate mooring buoys prior to the dredging operation beginning. (A-13) Transfer of $1,000.00 from unobligated reserves to allow for advertising in the newspapers. Councilman Cantine requested that items A-4, A-6, A-8, A-10 through A-13 be pulled for discussion. Councilman Roseberg requested item A-2 be pulled. Councilman Reasor requested item A-7'be pulled. .(A-2) Minutes of the February 26, 1979 regular meeting. i • MINUTES - MORRO BAY CITY COUNCIL March 12, 1979, Regular Meeting PAGE THREE Councilman Rosenberg corrected his statement on page five, third paragraph to read: "...concerning the memorandum regarding State Water importation should have been...". Councilman Cantine corrected Mr. Lemmon's statement on page five to read: "...plan on 1,500 acre feet...". Councilman Rosenberg corrected the motion on page six to be seconded by Councilman Reasor and not himself. Mayor Shelton corrected his comment on page seven to read: "...headed up by the Chamber of Commerce to determine...". (A-4) Minutes of the February 28, 1979 special meeting. Councilman Cantine requested that his statement on page four be deleted and the following inserted: "The City Council indicated their concurrence with Mr. Guluzzy's proposed salary range for the Finance Director and authorized him to begin the recruitment process." MOTION: Councilman Cantine moved items A-1 through A-5 and A-9 be approved as amended. The motion was seconded by Councilman Rosenberg. Councilman Harmon stated he would support the motion except for item A-9 of which he would have to abstain from voting upon, because he is an employee of Security Pacific Bank. The motion carried by roll call vote. / (A-6) Ratify hiring of John Parkhurst, Consultant, to evaluate wastewater facilities project report and make recommen- dations concerning0esi.gn Phase of Wastewater Project) Councilman Cantine stated there have been numerous questions raised concerning this matter, and felt it deserved public disucssion. Mr. Guluzzy stated Mr. Parkhurst was hired at a rate not to exceed $23.00 per hour, plus actual expenses incurred, to evaluate the project report for step 1 as prepared by Carollo Engineers. Jay Runner asked how many of the City Council members had approved of Mr. Parkhurst's hire. The City Council stated they all supported the hiring of a con- sultant for the purpose of evaluating the project report. Monte Red asked if the City Engineer has the necessary qualifi- cations to evaluate the report. Mayor Shelton stated he did not, and that that is why an ouside consultant was sought. Councilman Harmon stated Carollo Engineers has presented a faulty report to Sacramento and the City lost about 10 percent of its funding ($5,000.00) for the Carrousel project. MOTION: Mayor Shelton moved to accept staff's recommendation and approve item A-6. The motion was seconded by Councilman Cantine and carried unanimously by roll call vote. (A-7) Resolution No. 16-79 granting approval for five and one-half percent increase in wages for Police and General Employees, including Administrative Staff. MINUTES - MORRO BAY CITY COUNCIL March 12, 1979, Regular Meeting PAGE FOUR Councilman Reasor stated the Fire Fighters should not be included in the salary resolution because they opted to accept the benefit package in -lieu of the five and one-half percent increase in pay. Mayor Shelton asked for clarification concerning the resolution number and Ms. Penny stated the number should have been 16-79 as stated on the agenda, rather than 18-79 as stated on the actual reso- lution. MOTION: Councilman Reasor moved that item A-7 be approved with the ommission of any reference made to the Fire Fighters' personnel and the resolution number be amended to be 16-78. The motion was seconded by Mayor Shelton and carried unani- mously by roll call vote. (A-8) Claim against the City regarding sewer line at Laurel and Cuesta Avenue. (RECOMMEND DENIAL AND REFER TO INSURANCE CARRIER.) Mr. Guluzzy and Mr. Bressan reviewed the claim and staff reports for a sewer claim regarding a sewer lateral tie-in at Laurel and Cuesta. Brian Bittke, Claimant, stated his home was built and was hooked up to the sewer main prior to Morro Bay incorporating and was requesting reimbursement of charges incurred in the repair and hook up of a sewer lateral that had been hooked into his four inch sewer line rather than to the main. Mr. LeSage stated the City has a procedure whereby the claim is denied and referred to the insurance carrier to review. Mr. Guluzzy noted that the City requires the property owner to install their own laterals, therefore, any charge for the extension of the line and tieing the existing six inch main would have been at the property's owner's expense. Councilman Cantine stated he would like to have staff present to the Council a report concerning what a City inspection actually in- volves. MOTION: Councilman Harmon moved to deny the claim and refer it to the insurance carrier. The motion was seconded by Council- man Cantine and carried unanimously by roll call vote. r (A-10) Consideration of hiring Ted Elder and Associates to com- plete the landscape architect work for[bel Mar Park.' (RECOMMEND APPROVAL) Councilman Cantine stated when this matter was presented to the Council previously, it was sent back to staff to work on the proposal and resolve the questions that had been raised concerning the plan. He also stated he is concerned with the scattering of the tennis courts, rather than having them centrally located. Mayor Shelton stated he recalled the Council previously approving the master plan and the next step is for the Council to approve and retain a landscape architect. Councilman Reasor stated he understood that changes could still be made to the master plan. MINUTES - MORRO BAY CITY COUNCIL March 12, 1979, Regular Meeting PAGE FIVE Mr. Gaines stated the park plans, as presented, are deficient in looking out for the needs of the City. He also stated the senior citizens of Morro Bay represent 64 percent of the population, there- fore, he would like to know what is being planned for the seniors in - lieu of what is being done for the other people in the community. Ted Elder stated this matter has gone through several public hearings and as far as the senior citizens are concerned he stated he has tried to meet their recreational needs. Mr. Elder stated the only thing that is not included in the park for the seniors is an actual senior building, but there is horse shoes, basketball, volly ball playing area, racketball club facilities (currently being nego- tiated with a private entity), open turf area e.g., frisbee playing, etc., and the selection of grasses that require the least amount of water was also considered. Councilman Rosenberg expressed concern with the foot and bicycle traffic paths and stated he would support the placement of signs delineating the traffic. Mr. Guluzzy stated staff supports the concept, there has been quite a bit of public input into the plan, Morro Bay is a tourist - oriented community, and the addition of Del Mar Park would help the economy for the future of Morro Bay. MOTION: Councilman Harmon moved the City Council approve item A-10 as recommended by staff and the professional services fees not exceed $26,600.00. The motion was seconded by Council- man Rosenberg and carried unanimously by roll call vote. Councilman Reasor stated his approval is with the understanding that there is some leeway for making changes to the master plan. Mayor Shelton commended staff for the project, stated that North Morro Bay needs a recreational facility, the project provides an access route, thereby producing additional safety, and that it will be a real asset to the community. (A-11) Transfer of $15,000 from unobligated reserves to allow �/. Montgomery Engineers to prepare plans and specifications !/ for public bidding regarding modifications to Wastewater Treatment Plant. Mr. Guluzzy reviewed the staff report noting the expenditure of funds would be to (1) construct recirculation line on plant no. one which bypasses the secondary clarifier ($3,500), (2) construct float valve -operated recycle line at plant no. two trickling filter pump wet well ($3,500), (3) install slotted gaffles in primary and secondary rectangular clarifiers ($3,500), and (4) Montgomery Engineers prepare the PS & E for this project ($4,500). MOTION: Councilman Cantine moved the City Council authorize the transfer of $15,000 from unobligated reserves to permit the above. The motion was seconded by Councilman Harmon and unanimously carried by roll call vote. (A-12) Transfer of $604.20 from harbor dredging reserve account to relocate mooring buoys prior to the dredging operation beginning. 0 • MINUTES MORRO BAY CITY COUNCIL March 12, 1979, Regular Meeting PAGE SIX Mr. Bressan provided the staff report and requested that $604.20 be transferred from the harbor dredging reserve account to the Harbor Department Improvements, not Buildings account (3705.32) for the pur- pose of paying for an aerial survey to determine the extent of eelgrass growth in the bay. MOTION: Councilman Cantine moved the City Council approve item A-12 as recommended by staff. The motion was seconded by Councilman Reasor and carried unanimously by roll call vote. (A-13) Transfer of $1,000.00 from unobligated reserves to allow for advertising in the newspapers. Mr. Guluzzy stated the City needs to have more money for adver- tising e.g., vacancies of personnel, public hearings, ordinances, etc. MOTION: Mayor Shelton moved the City Council approve item A-13 as recommended by staff. The motion was seconded by Council- man Cantine and carried unanimously by roll call vote. Break: 9:35 p.m. Reconvened: 9:50 p.m. B. HEARINGS, APPEARANCES, AND REPORTS (B-1) Resolution No. 17-79 committing Morro Bay actively to cooperate with other local governments and the appro- priate agencies of the State of California to ensure that local concerns about the economic and environmental effects of proposed lease sale #53 are fully and fairly met by the federal government, before any Outer Continental Shelf (OCS) oil development is permitted in the OCS lease sale #53 area. Kurt Kupper, Board of Supervisor, spoke in support of the above - mentioned resolution. He stated the local and surrounding communities are greatly concerned that the Department of Interior take proper action to ensure that our economy, being based on tourism, will not suffer, nor the environment be effected by the proposed lease sale #53, for oil and gas development off the northern and central California coast. Following a brief discussion with the public the City Council moved the following: MOTION: Councilman Cantine moved that Resolution No. 17-79 be read by title only. The motion was seconded by Mayor Shelton and carried unanimously. Mr. Guluzzy read by title only, Resolution No. 17-79. MOTION: Councilman Cantine moved the City City Council approve Resolution No. 17-79. The motion was seconded by Mayor Shelton and carried unanimously by roll call vote. Mayor Shelton asked that the Council consider serving as a liaison between Morro Bay and other affected local jurisdictions and the State government to attend such meetings as necessary to estab- lish and carry out a formal method of cooperation between the affected local governments and the State government relative to pro- posed OCS lease sale #53. He stated that one Councilman will be appointed at the next regular meeting to serve in this capacity. 0 MINUTES - MORRO March 12, 1979, PAGE SEVEN BAY CITY COUNCIL Regular Meeting (B-2) Discussion of,State water importation.> Mayor Shelton stated the item was placed on the agenda for one purpose --to provide additional input into the process concerning State water importation. Mrs. Keiser stated options open, as far as imporation, Naciemento, she would like for the Council to keep their whether they are going to support State water etc. Mr. VanLoren, County Engineering Department, Division Engineer for Hydrolics stated the State water project is divided into two divisions, (1) costs relative to coastal branch, and (2) costs rela-' tive to local facilities. He quoted Mr. Miln's letter which stated the cost of water with all counties participating would be $42.00 per acre foot assuming that all communities that voted yes would participate and all those that voted no would not participate. This also assumed that Santa Barbara would participate, however, Santa Barbara County has voted down this project and it is assumed that they will not continue with it. Mr. VanLoren also stated the cost for Morro Bay would be approximately $422.00 per acre foot based on the entitlement of 3,030. Conceivably, if Nipomo did not participate the cost could go either up or down. This could raise the cost to approxi- mately $450.00 per acre foot which is comparable to what Morro Bay would be charged for treated water at Naciemento. The projected cost for the Whale Rock Reservoir facilities including an inflation factor would be $588.00. He explained that any action was not imperative since Santa Barbara is not participating and the matter could be deferred to a later date. In order for the design of the Coastal Branch to be deferred both Santa Barbara and SLO Counties have to request jointly the State defer the design. This request was made previously and granted to July of 1979. During public comment Mr. Van Loren stated he had misquoted himself on the cost per acre foot. If Santa Barbara County partici- pates the cost per acre foot would be $346.00--without Santa Barbara County the cost to Morro Bay would be $422.00 per acre foot. Some of the concerns expressed by the public and City Council were: Mr. Gaines expressed concerns regarding costs to individual residents and how the project would be funded. Councilman Harmon questioned the time frame. Councilman Rosenberg questioned if the City maintains the 3,050 foot acre allocation and does not use it, would the City still have to pay for it. Mr. Palmer asked what portion of the pipeline would be funded by the County since the majority of the pipeline would be laid in the County. Mr. Campbell stated he supports State water being imported. Monte Red questioned ,the quality of the water the City would receive vs. what Morro Bay has now. r] MINUTES - MORRO March 12, 1979, PAGE EIGHT BAY CITY COUNCIL Regular Meeting Councilman Harmon suggested that staff prepare a resolution for the City Council to review stating the following: (1) the City Council is in favor of securing enough supplemental water to permit a buildout of existing subdivided lots within the present City limits and take care of future industrial -related needs as well as a reso- lution supporting a supplemental water solution that would not induce a Los Angeles type of growth within our community, but rather a con- trolled percentage rate per year and also a resolution that clearly states we are initiating both short-term local solutions to the water problem as well as long-term solutions. The City Council concurred. V (B-3) Discussion concerning theesewer user charge Councilman Cantine stated he would like to have staff present a proposal concerning this matter and discuss it at a public hearing. Mayor Shelton stated in light of new staff just being hired and the City not having a Finance Director, he would like for this matter to be held off until the budget hearings. Mr. Guluzzy stated he has been collecting data from other areas and will be preparing a comparative study concerning sewer user charges. Councilman Cantine stated he would like to see on the next agenda an up-to-date budget and a draft proposal of the sewer user charge. UNFINISHED BUSINESS None. NEW BUSINESS (D-1) Consideration of granting a one year extension for a variance at 2620 Koa Avenue, Lloyd N. Ainslie, applicant. Mr. Guluzzy reviewed the letter dated February 1, 1979 from Mr. Ainslie in which he is requesting an additional one year exten- sion on his variance. He also reviewed the minutes from the previous Council meeting held on March 13, 1978, whereby the Council granted a one year extension on the variance. Mr. Ainslie was not present to respond to the Council's questions, therefore, the Council requested staff prepare a report at their next meeting and provide more background concerning request, e.g., what the variance is for, etc. (D-2) Consideration of approving lease with the Department of Fish and Game for Morro Bay Public Angling Access Area. Mr. Bressan stated that prior to the incorporation of Morro Bay, San Luis Obispo County leased to the State the Morro Bay Angling Access Area to provide public with access to fishing and entered into an agreement with the State for the operation and maintenance of said area. The proposed cooperative agreement would be between the State of California's Department of Fish and Game and the City of Morro Bay stating that Morro Bay will assume the operation responsibilities which were formerly handled by the County. MINUTES - MORRO BAY CITY COUNCIL March 12, 1979, Regular Meeting PAGE NINE MOTION: Mayor Shelton moved that staff be directed to execute the agreement. The motion was seconded by Councilman Harmon and carried unanimously by roll call vote. (D-3) Consideration of approving an expenditure of $1,185.15 from unobligated reserves to Richard L. Fisher, General Contractor to make modifications to the City Hall building. Mr. Bressan reviewed the staff report and recommended the Council authorize the hiring of Richard L. Fisher to proceed with the City Hall modifications'as outlined in the proposal and contract. Mr. Bressan also stated that bids were requested from four contractors and that he is recommending the project be given to Mr. Fisher. MOTION: Councilman Cantine moved that staff be directed to complete the negotiations of the contract and $1,185.15 be taken from unobligated reserves to meet the needs of the contract.- The motion was seconded by Councilman Harmon and carried unanimously by roll call vote. (D-4) Discussion concerning the (Morro Bay - Cambria Bus System agreement between the County of San Luis Obispo and Morro Bay. Mr. Bressan stated the route is a part of the overall County Transportation Plan, the Council has conceptually approved the opera- tion agreement, the County will supply all equipment and pay for all operation and maintenance cost, and the City of Morro Bay through its contractor will operate the system. Mr. LeSage stated the agreement is basically fine, there are a number of blanks that must be filled in, e.g., hourly rates to be negotiated. He expressed concern with the insurance statement that the County will take out the insurance and the City will hold the County harmless --which is somewhat inconsistent. The City Council requested this item be,continued to the next meeting to allow for the City Attorney to resolve the above -mentioned concerns. (D-5) Request for a "verbal tentative agreement" concerning the installation of a traffic signal being installed at High- way 41 and north Main Street. Mr. Bressan stated in order to commit Federal Aid Urban funds for the 1979/80 fiscal year, it is necessary to have a verbal tenta- tive agreement of the project by the Council. He stated staff recom- mends that a traffic signal be installed at the interesection of Highway 41 and north Main Street. If the project does not gain State and/or Council approval, staff recommends as an alternative the instal- lation of curb, gutter, and sidewalk, drainage structures, and overlay of existing pavement on Main Street from Morro Bay Boulevard to Olive Street. Councilman Reasor stated he drives the area daily and does not feel the installation of a street light at said intersection is neces- sary because the traffic congestion does not appear to warrant it. The City Council discussed the areas in Morro Bay that are in need of repair, Atascadero Beach area, north Morro Bay, Main, etc., and asked if the FAU funds could be used toward these areas. MINUTES - MORRO BAY CITY COUNCIL March 12, 1979, Regular Meeting PAGE TEN Mr. Bressan stated the streets must be FAU streets otherwise the funds could not be used for this purpose. The City Council discussed the pros and cons of the signal light and raised questions regarding other streets in Morro Bay that are greatly in need of repair, they questioned if a traffic survey had been conducted by Cal -Trans for this area, and if the results warranted the installation of a signal light. The City Council continued the item to March 14, 1979, City Council Study Session, since additional documentation was required. E. INDIVIDUAL DETERMINATION AND/OR ACTION (E-1) City Council Councilman Reasor stated he had received a telephone call as to whether Morro Bay has an emergency plan relative to evacuation and nuclear waste discharges. The Council asked staff to see if there is such a document on file. Councilman Harmon stated the Council appropriated money several months ago for trash receptacles, which was a joint agreement with the County, and asked what the status of getting them was. Councilman Reasor responded that the litter tax has been amended by the legislation in the last 30 days and it is probably going to be reassessment of the funds. Councilman Harmon asked if Mr. Manley, who had voiced a complaint concerning Ray Teixteira's possible zone violation had been advised by the City whether or not he was in violation of the City's Zoning Ordinance. Mr. Guluzzy stated the matter had been taken care of. Councilman Harmon and Mr. Guluzzy briefly discussed the agenda for the joint meeting between the City Council and the Planning Commission to be held on March 21, 1979. Councilman Harmon suggested that signs be posted at the rock stating hazardous swimming area due to the stingrays that surfers have been encountering. People from out-of-town are not familiar with the stingray and do not know the consequences that a sting can produce. Mr. Guluzzy stated he would have the Parks and Recreation Director research the matter. Councilman Harmon asked what the status of securing an interim Finance Director was. Mr. Guluzzy stated he will be meeting with a gentleman from the Bank of America concerning this matter. Councilman Harmon asked what the status of the City's newsletter is. Mr. Guluzzy stated he has requested and received information from the League of California Cities concerning this. Councilman Harmon asked how the $43,000 for the harbor and the $10,000 for the senior citizens could be reinstated in the budget since they were inadvertently deleted. He also asked the status of developing the Harbor Committee. Councilman Cantine stated he would like to have the item Harbor Committee scheduled for discussion on a regular meeting agenda. 10 MINUTES - MORRO BAY CITY COUNCIL March 12, 1979, Regular Meeting PAGE ELEVEN Mayor Shelton stated that prior to the next meeting he would like for the Council to submit their thoughts on this matter to staff so they can prepare a report to the Council. The City Council requested that staff develop some alternatives as it relates to street -end docks which have been previously budgeted. Councilman Harmon suggested that funds be taken from the senior citizens' recreation building fund to hire an additional person to help complete the recreation assessment survey. (E-2) City Attorney None. (E-3) City Administrator Mr. Guluzzy reviewed the staff report for the Federal Aid Off - System Agreement and requested tht the Council authorize the Mayor to sign the agreement approving the allocation of $11,082.89 for Morro Bay. MOTION: Councilman Reasor moved that the City Council authorize the Mayor to sign the Federal Aid Off -System Agreement with the County. The motion was seconded by Councilman Cantine and carried unanimously by roll call vote. MOTION: Mayor Shelton moved the meeting adjourn to Wednesday, March 14, 1979 for a Study Session at the Morro Bay Recreation Hall. The motion was seconded by Councilman Reasor and carried unanimously. The meeting adjourned at 12:45 p.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy City Clerk 4 6 CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL February 28, 1979, 7:30 p.m. Study Session (bIORR0_BAYCRECREATION" HALL) (1) Council - Administrator Relations (2) Format of Study Sessions (3) SOP regarding official business travel (4) Request for equipment purchases and stationery (5) Overall City priority listing of Work Program List (6) Discussion of City Administrator's Projects Priority Work Program (7) Personnel matters (Police and General Employees) (8) Finance Director position (9) CETA Special Projects Coordinator • MINUTES - MORRO BAY CITY COUNCIL Study Session February 28, 1979, 7:30 p.m. Morro Bay Recreation Hall The meeting was called to order at 7:30 p.m. by Mayor Shelton. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, Ro,genberg, and Mayor Shelton Absent: None STAFF PRESENT Donald F. Guluzzy, City Administrator Elizabeth Penny, Deputy City Clerk (1) Council/Administrator Relations Mr. Guluzzy stated he would like to discuss with the Council his role and their role. Mayor Shelton gave various examples of situations, e.g., how Mr. Guluzzy would feel about Council requesting information, sitting in on staff meetings, etc. Mr. Guluzzy responded. Mayor Shelton asked the procedure that Mr. Guluzzy would use in contacting the Council concerning matters that arise in between the Council meetings. Mr. Guluzzy stated he would probably use the written report format (from City Administrator to City Council). Councilman Rosenberg stated he would like for Mr. Guluzzy's reports to state various alternatives, note the pros/cons of an issue, and also the recommendation. He also stated he would like the same type of report format to be used by the City consultants when they are submitting reports to the Council. Mr. Guluzzy stated he is going to request the City consultants submit regular monthly status reports to him. The City Council requested that rather than making individual copies of status reports and the like, to place a single copy in the "Council Read File". Mayor Shelton expressed his concern with the advertising, preparation of the agenda packages, submittal of agenda items, etc. being done in a more timely manner. He stated the Council has a policy that Monday noon, one week prior to the Council meeting, is the newspaper's deadline for submittal of agenda items. The Thursday prior to this Monday is the deadline for submittal of agenda items to the City Clerk's office. Councilman Reasor asked that Mr. Guluzzy contact the City Attorney concerning the "request to set a public hearing" being placed on a Council's agenda vs. just setting the item for public hearing. 6 • MINUTES - MORRO BAY CITY COUNCIL Study Session, February 28, 1979 PAGE TWO Mr. Guluzzy stated he feels the Council should give him the authority, responsibility, and have the confidence in him to allow him to make decisions. He also stated that he works strongly under the "Manager's Code of Ethics", his philosophy is to be open with people, believes in effective time -management, and that he plans to walk the community talking with the various sectors, e.g., churches, businesses, etc. Councilman Rosenberg requested that items that are postponed, referred to staff, etc. have regular status reports furnished to the Council on a bi-weekly basis. Councilman Rosenberg clarified the fact that the City Council had originally directed staff that discussion of water equivalencies for one-year disconnects be scheduled at a study session and then to schedule the matter for a Public Hearing at the next regular meeting. Councilman Reasor stated he would like for Mr. Guluzzy to strive for the team -management approach. Mr. Guluzzy stated he believes very strongly in delegation. He also stated he would like to spend time making recommendations con- cerning policy issues to the Council. (2) Format of Study Sessions Mr. Guluzzy stated he feels that constructive time set aside for the City Council and City Administrator, e.g., to discuss City policy, is very important. He also stated the role that public comment would play at study sessions should be determined, and the length of the sessions. Councilman Rosenberg noted that the Council had determined at the prior meeting that any issue that was discussed at a Study Session would not have any action taken on it that evening, and that it would be scheduled at a public hearing. (3) S.O.P. regarding official business travel Mr. Guluzzy stated the reason he brought the matter before the Council was for the purpose of getting the Coun.cil's feelings con- cerning his traveling, e.g., to Sacramento, San Francisco, etc. (within the State) on behalf of the City, without requesting(1jj or perm`iss'ion of the Council. Mayor Shelton stated 1ittwas b'e`cause of staff and Council rtraveTing ,--.Mayor ice'----.��� -: sa-v� '_ `'. -,e y t iP -Ta Ito Sacramento to lobby £fiat saved the tax a er• s money iri the, on run. i He then stated that he would support giving the City Administrator clear mandate to travel. (4) Request for equipment purchases and stationery Mr. Guluzzy stated that he has been looking into purchasing the following equipment: (a) a Cannon caluculator ($225.00) for himself, (b) because the Council authorized an additional secretarial position in the Planning Department the Personnel Secretary (Sharon Lilley) will have to return the Planning Department's typewriter to them, therefore, this will necessitate an additional typewriter being purchased. He suggested that an IBM Correcting Selectric II ($810.00) be purchased, and (c) he advised the Council that Mid -State Sound and Equipment had assessed the tape recorder and P.A. system of the City, and recommended the purchase of a 7-hour long tape cassette recorder be purchased ($402.75). r MINUTES - MORRO Study Session, PAGE THREE BAY CITY COUNCIL february 28, 1979 Councilman Rosenberg suggested that local businesses be contacted and also Santa Barbara businesses to assess price differential. Councilman Reasor stated he would like to have the equipment demonstrated prior to purchasing it. Mayor Shelton stated he would like to know what types of service guarantees and warrantees come with the equipment. Councilman Cantine stated he would like for Mr. Guluzzy to look into a better public display overhead projector with a mounted screen. Councilman Rosenberg stated he would like for Mr. Guluzzy to look at the current layout of the Council meetings, e.g., the public when speaking at the podium have their backs to the audience. Mr. Guluzzy stated he is still in the process of assessing and gathering information concerning the City's copier and computer and would provide a report concerning this in the near future. Mr. Guluzzy advised the Council that he has been devising various formats for e.g., memorandums, staff reports, etc. and having forms printed. Break: 9:15 p.m. Reconvened: 9:23 p.m. (5) Overall City priority listing of Work Program List Councilman Cantine stated his top priority items of the Work Program List as follows: (1) develop a schedule of completion con- cerning the hiring of a consultant for the Wastewater Treatment Plant, (2) develop a proposal as to how the water situation in Morro Bay should be addressed, (3) how the Harbor should be approached, e.g., should a Harbor Commission, an Environmental Resources Committee, be developed and if so the structure etc., (4) review the Embarcadero and the business district (5) report on Senior Citizen's Community Center should be finalized, (6) review of the general plan, namely the Circulation Element and (7) zoning regulations. Councilman Rosenberg stated his number one priorities of the Work Program List as follows: (1) water and sewer situation in Morro Bay, (2) Embaracadero, (3) Land Use Element, (4) Senior Citizen's Center, (5) the issue of communication which is the counter side of citizen -input, (6) develop a brochure that the City will distribute telling who does what, what the different services, functions, etc. that are available to the community, (7) City computer, and the Finance Department in the area of accounting and the budgeting system for the City, (8) condominium conversion moratorium should be responded to as soon as possible, (9) the Planning Commission's proposal relative to water equivalencies, (10) the Embarcadero and Downtown Specific Plan, (11) the current Zoning Ordinance requiring off-street parking and the Sign Ordinance should be reviewed, (11) develop a definition of what the term "water -related" means, (13) there are a number of laws and ordinances that should be abolished because they no longer apply, outdated, etc. and would like for these to either be revised, deleted entirely as new laws, ordinances, etc. are passed by the Council. Mayor Shelton stated he would like for the report concerning the Senior Citizen's Center and a status report concerning the Condominium Conversion Ordinance to be provided to the Council as soon as possible. 0 MINUTES MORRO Study Session, PAGE FOUR BAY CITY COUNCIL February 28, 1979 (6) Discussion of City Administrator's Projects Priority Work Program and (8) Finance Director position Mr. Guluzzy stated his priorities are as follows: (1) the City's budget, (2) the hiring of the Finance Director is extremely impor- tant, and would like to advertise extensively in the Los Angeles, San Francisco, and Fresno papers in addition to the local papers. He also stated he would be advertising in the I.C.M.A. and Western Cities. Mr. Guluzzy stated he felt the salary range should be raised to $17,000 to about $20p000 in order to attract a person with municipal financing background. Mayor Shelton suggested perhaps the position should be reclassi- fied to reflect Finance Director/Assistant City Administrator to attract well -qualified individuals seeking career! advancement oppor- tunities. Councilman Reasor stated he would hope that other department heads would have the opportunity to serve as City Administrator in Mr. Guluzzy's absence rather than one individual. Mr. Guluzzy stated the bookkeeping system is the number one priority. The water billing problems, the City Treasurer, purchases, the centralization and accountability of the purchases are top pri- ority items. The City Council:.indicated their concurrence with Mr. Guluzzy's I proposed salary range for the Finance Director and authorized him to begin the recruitment process. — (7) Personnel matters (Police and General Employees) J Mr. Guluzzy requested clarification concerning the negotiations with the Police Department and General City Employees concerning the recent Supreme Court ruling permitting a five and one-half percent increase in wages. The Council stated the increase in wages had been approved by the City Council. Mayor Shelton stated he would like for Mr. Guluzzy to find out what is happening with the Police Department to cause,morale;staffing, and health problems. Councilman Rosenberg concurred. Mr. Guluzzy stated he would be presenting an Affirmative Action Plan to the Council for their approval shortly. He also stated he is holding off giving the Police Sergeant's exam because he would like to investigate having psychological profiles for potential candidates. Mayor Shelton asked Mr. Guluzzy what the status of securing an interim Finance Director was. Mr. Guluzzy stated he had contacted various bankers to see if they could assist the City. Councilman Rosenberg suggested Mr. Guluzzy contact retired CPA's living in Morro Bay. At 10:20 p.m. Councilman Harmon arrived. (9) CETA Special Projects Coordinator 0 MINUTES - MORRO BAY CITY COUNCIL Study Session, February 28, 1979 PAGE FIVE Mr. Guluzzy stated he is in the process of trying to secure someone through the CETA program to serve as a grantsman for the City. He noted that this would not cost the City anything. PUBLIC COMMENT John Linhaxes stated the CETA guidelines are getting more re- strictive, e.g, a person is hired as a painter and that is all that person can do. He also expressed concern with the Council hiring people at e.g, step 3 rather than having them start at step 1 and and work up to step 5. MOTION: Mayor Shelton moved the meeting adjourn to Monday, March 12, 1979, at 7:30 p.m. in the Morro Bay Recre- ation Hall for their regular meeting. The motion was seconded by Councilman Reasor and unanimously carried. The meeting adjourned at 10:30 p.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy City Clerk CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL February 26, 1979, 7:30 p.m. MORRO BAY RECREATION HALL Call to Order Pledge of Allegiance Invocation Roll Call Public Comment A. CONSENT CALENDAR 1. Expenditure Report for January 1, 1979 through January 31, 1979 (RECOMMEND APPROVAL) 2. Appointment of Eleanore Goedeck as City Treasurer. 3. Transfer of $1,100.00 from unobligated reserves for City seals. 4. Resolution authorizing Donald F. Guluzzy, City Administrator, to file applications for Federal and State grants for publicly owned wastewater treatment works and providing certain assurances. B. HEARINGS APPEARANCES, AND REPORTS 1. Carollo Engineers will present the Morro Bay-Cayucos Wastewater Treatment and Disposal Facilities Environmental Impact Report Addendum. C. UNFINISHED BUSINESS None. D. NEW BUSINESS 1. Consideration of Resolution No. 13-79 granting approval of of a Sublease for Lease Sites No. 134, 135, and 136 to David A. Ross and Mary E. Ross. �; 2. Introduce and pass -to -print Ordinance No.L162)as an Interim Urgency Ordinance of the City of Morro Bay establishing a moratorium on the conversion of multiple family dwellings to condominiums. 3. Consideration of adopting a resolution concerning Territorial Rating by Automobile Insurers. 4. Consideration of Job No. PW78-023-36 to recoat interiors of two Blanca Street water storage tanks and two Kings Avenue water storage tanks. E. INDIVIDUAL DETERMINATION AND/OR ACTION 1. City Council 2. City Attorney 3. City Administrator 46 6 MINUTES - MORRO BAY CITY COUNCIL Regular Meeting February 26, 1979, 7:30 p.m. Morro Bay Recreation Hall The meeting was called to order at 7:30 p.m. by Mayor Shelton with the Pledge of Allegiance. Reverend Dear, City Chaplain; gave the invocation. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, Rosenberg, and Mayor Shelton Absent: None STAFF PRESENT Donald F. Guluzzy, City Administrator Michael T. LeSage, City Attorney John Bressan, Public Works Director Keith T. Gurnee, Planning Director Elizabeth Penny, Deputy City Clerk PUBLIC COMMENT No public comment was offered. A. CONSENT CALENDAR A-1 Expenditure Report for January 1, 1979 through January 31, 1979 (RECOMMEND APPROVAL). A-2 Appointment of Eleanore Goedeck as City Treasurer. A-3 Transfer of $1,100.00 from unobligated reserves for City seals. A-4 Resolution authorizing Donald F. Guluzzy, City Administrator, to file applications for Federal and State grants for publicly owned wastewater treatment works and providing certain assurances. Mayor Shelton reviewed all items on the Consent Calendar. MOTION: Councilman Reasor moved the City Council approve Consent Calendar items A-1 through A-4. The motion was seconded by Councilman Harmon and unanimously carried by roll call vote. B. HEARINGS APPEARANCES, AND REPORTS B-1 Carollo Engineers presentation of the Morro Bay-Cayucos Wastewater Treatment and Disposal Facilities Environmental Impact Report Addendum. Mayor Shelton requested this item be deferred until John Johnson and Harvey Hunt of Carollo Engineers was present. The City Council concurred. C. UNFINISHED BUSINESS None. D. NEW BUSINESS D-1 Consideration of Resolution No. 13-79 granting approval of a Sublease for Lease Sites No. 134, 135, and 136 to David A. Ross and Mary E. Ross. 0 MINUTES - MORRO Regular Meeting, PAGE TWO BAY CITY COUNCIL February 26, 1979 MOTION: Mayor Shelton moved that Resolution No. 13-79 be read by title only. The motion was seconded by Councilman Rosenberg and unanimously carried. Mr. Guluzzy read by title only, Resolution No. 13-79. MOTION: Mayor Shelton moved that Resolution No. 13-79 be approved. The motion was seconded by Councilman Rosenberg and unanimously carried by roll call vote. B. HEARINGS APPEARANCES, AND REPORTS B-1 Carollo Engineers presentation of the Morro Bay-Cayucos Wastewater / Treatment and Disposal Facilities Environmental Impact Report Addendum. Harvey Hunt of Carollo Engineers advised the Council since the Environmental Impact Report and the Project Report for the Morro Bay- Cayucos Wastewater Facilities has been completed, and upon concept approval by the State, the City must do the following: (1) acquire the Texaco pipelines, (2) complete the ocean study, (3) obtain a Coastal Commission permit, (4) begin negotiations for the land, (5) complete the soils work, and (6) complete the design of the required facilities. D. NEW BUSINESS D-2 Introduce and pass -to -print Ordinance No.(162 as an Interim Urgency Ordinance of the City of Morro Bay establishing a moratorium on the conversion of multiple family dwellings to condominiums. Councilman Reasor stated that he had initiated this matter be- cause of the activity in this area, and the City not having an ordi- nace relating to conversion of apartments to condominiums. He stressed the fact that this would only be an interim urgency ordi- nace for a specific amount of time. Councilman Reasor went on to say under State law the initial ordinance would be for a four -month period, with the flexability of extending the time for an additional four months or eight months, and that said extensions would require City Council approval with a four -fifths vote. Mr. James Ross questioned the economic repercussions that would result from the interim moratorium being placed upon converting apartments to condominiums. Councilman Cantine stated the requirements for condominiums are not spelled out in the City's Building Code. For example, the quality of the condominiums, the number of parking spaces required, etc. must be addressed. Mayor Shelton stated the Council of Governments has been working on a Housing Study and their study reflects that Morro Bay is in need of low -.and middle -income housing. Mr. Jim Campbell expressed his concern with the building mora- torium on Morro Bay. He stated he felt the Council should take posi- tive steps so that citizens would be allowed to utilize their property. Bee Marciel asked how many apartments had been converted to condominiums in Morro Bay. She also expressed concern about the economical situation involved with placing an interim moratorium on the conversion of apartments to condominiums. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, February 26, 1979 PAGE THREE Mr. Gurnee stated since January, 1977, 96 co ndominiums.have been initiated in the City. Fifty-four of these condominums are converted from apartments, the remaining 42 condominiums were initial construction. The City Council discussed how the proposed Ordinance would affect those projects that have been submitted to the Planning Department and are going through the process of approval/disapproval. Mr. Mackel expressed his concern with the "deception" involved with people submitting plans to construct apartments when they are actually planning to build condominiums as the endyresult. Mr. Gaines stated the reason property owners are converting their apartment buildings to condominiums is because of the economic factor. The governmental agencies are placing restrictions on the developers, e.g., rent control, therefore, developers must seek other avenues to fight inflation. Mr. Reamer expressed concern about the proposed interim urgency ordinance. He felt staff should be working on the development of an ordinance outlining the guidelines of converting an apartment to a condominium rather than adopting the proposed Ordinance. Mr. Reamer stated there is quite a demand for low-cost, owner -occupied housing in Morro Bay which does not currently exist. Rebecca Ross asked the Council what they would be doing during the next four to eight months if the urgency ordinance was passed. She suggested as an alternative, the Council direct the Planning Commission to (postponD consideration of apartments converting to condominiums for a t to four week period to allow for planning staff to develop a condominium conversion ordinance. Mr. Krass suggested Morro Bay obtain a copy of another City's condominium conversion ordinance and adopt it. Then as situations arise, and changes in the ordinance are warranted, then revise it as necessary. He also stated that he agreed with Mr. Campbell's comments. Mayor Shelton stated the problem that the City is faced with is that it is losing apartment rentals to condominiums. He reiterated the fact that the Council of Governments has recognized the shortage of low- to middle -income housing in Morro Bay. In light of this, Mayor Shelton stated he would support the Interim Urgency Ordinance as proposed. Councilman Rosenberg stated he would support the proposed ordi- nace with great reluctance. He also stated he wants to have adequate housing for Morro Bay with appropriate building standards, and does not want to adopt an Ordinance that violates propertyC-owners rights. Councilman Reasor stated the Housing Element must be amended to include the Condominium Conversion Ordinance, and that that is part of the reason for a four month moratorium, to allow for the necessary amendments, public hearings, and adoption of the revised Housing Element. Councilmen Harmon and Cantine expressed concern regarding the need for the City to look at the processes and the standards involved for apartments converting to condominiums, and therefore, they stated they would support the Interim Urgency Ordinance as proposed. 1�= s MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, February 26, 1979 PAGE FOUR MOTION: Councilman Cantine moved that Ordinance No. 162 be read by title only. The motion was seconded by Councilman Reasor and unanimously carried. Mr. Guluzzy read Ordinance No.�162 by title only. MOTION: Councilman Cantine moved that the City Council approve Ordinance No. `62:: The motion was seconded by Councilman Reasor and unanimously carried by roll call vote. D-3 Consideration of adopting a resolution concerning Territorial Rating by Automobile Insurers. Mayor Shelton reviewed the report concerning Territorial Rating by Automobile Insurers. He also reviewed the four proposed reso- lutions and suggested the Council adopt Resolution "A" which urges the Commissioner of Insurance to maintain, and recommend to the Legislature maintenance of, an equitable system of territorial rating by which loss costs of automobile insurers are allocated to those areas in which persons causing such losses reside. Councilmen Harmon and Rosenberg concurred. MOTION: Mayor Shelton moved that proposed Resolution "A" be given the number 14-79 and the title of "Resolution supporting Territorial Rating by Automobile Insurers". be read by title only. The motion was seconded by Councilman Harmon and unanimously carried. Mr. Guluzzy read by title only, Resolution No. 14-79. MOTION: Mayor Shelton moved that the City Council adopt Resolution No. 14-79. The motion was seconded by Councilman Reasor and unanimously carried by roll call vote. Break: 8:50 p.m. Reconvened: 9:00 P.M. D-4 Consideration of Job No. PW78-023-36 to recoat interiors of two Blanca Street water storage tanks and two Kings Avenue water storage tanks. Mr. Bressan reviewed his staff report with the City Council and recommended that the bid be awarded to Robison-Burnap, Inc. in the amount of $23,264.00. MOTION: Councilman Reasor moved that the City Council award the bid to Robison-Burnap in the amount of $23,264.00. The motion was seconded by Councilman Cantine and unanimously carried by roll call vote. E. INDIVIDUAL DETERMINATION AND/OR ACTION E-1 City Council / Councilman Rosenberg stated he is currently renting a house on land from landlords that are involved in the (Tidelands?suit of the City, and the City Attorney has advised him that he should abstain from voting on matters pertaining to the suit. Councilman Rosenberg asked that a status report be given to the Council concerning Ray Texeira's possible zoning violation. MINUTES - MORRO Regular Meeting, PAGE FIVE BAY CITY COUNCIL February 26, 1979 Councilman Rosenberg asked if the Supreme Court of California decision concerning the granting of salary increases would affect Morro Bay City. Mr. LeSage stated that it affects all cities whether the City has a contract with its employees or is currently in negotiations. Councilman Rosenberg stated he felt that discussion concerning the memorandum regarding State Water Importation which should have been scheduled for this meeting, however, since it was not placed on the agenda he would like for it to be scheduled for the next regular iCity Council meeting (March 12, 1979). Mayor Shelton stated he would like for the public to submit their written comments to the City Clerk concerning the State Water Importation and be compiled with the Council's agenda package to be considered at a public hearing to address the specific points. Mr. Gaines stated the cost analysis of the water, the quality of the water, the demographics, and how tourism affects the City's water needs to be considered. Mr. Lemmons stated he does not think the City should plan on 1-,50©;-)acre:-eet of water being available because it is just not there. Mr. Ross expressed concern regarding who would pay for the water we need on an !`ongoing? basis, on a capital improve or invest- ment basis, who will pay for maintenance and existing distribution of sewage disposal systems that are in need of repair, and how much it costs for sewage and water for a single-family residence in Morro Bay. Mr. Campell asked the following: (1) When the City incorporated (and also now) was (is) the City required to provide water services to the residents, or potential residents, of the City? (2) Is this a requirement by law that the City provide water for all of those citizens or a part of the citizens. and (3) If Mr. Campbell had a building request to submit to the City and the Coastal Commission said he could not build on his land, would that be violating his civil rights by denying him the right to build or receive water services the same as his neighbor has? Mrs. Keiser stated in the Owen and Menard Economic section of the master plan, it outlines the population and how much water will be necessary for each year. Mr. Gaines asked how much water is supplied to the State Parks and if Morro Bay is disposing of any of its sewage. He also asked what the relationship between Morro Bay and any other governmental agencies, e.g., State, County, etc., relative to sewage. Mr. Risley asked based upon an ongoing basis, on a capital L improvement, - or investment_basis.,_who_will-oav--for- the- maintenance__-_ of existing -distribution of sewage disposal systems that are in need of repair. Councilman Rosenberg requested staff compile the questions that have been raised at this meeting, those questions raised at the last study session, and any questions that are submitted to the City Clerk's office (March 5, 1979) be included in the Council's package and scheduled for discussion. The City Council concurred. MINUTES - MORRO Regular Meeting, PAGE SIX BAY CITY COUNCIL February 26, 1979 Councilman Reasor expressed concern in regards to the City's regulations concerning the issuance of permits allowing Bingo games, and asked that the City Administrator be sure that there is an Ordinance permitting this. Mayor Shelton stated he would not want to ignore the audience totally, and would like to have staff present specific information on an item, have Council discussion, and then allow the public to address the issue for a set time limit by speaking directly to the issue at�•hand. Mr. Lemmons stated he feels that study sessions are a very valid time to allow for public input. He suggested that two -man councilmen committees be formed, and make reports to the entire City Council to address the Council's various concerns. Al Schwartz stated that he feels that it is very necessary for public comment to be given during the study sessions. He also noted that while the Council was campaigning they expressed their openness to wanting and inviting the public to comment. Mr. Risley stated the City Council has leaned over backwards to invite and encourage the public's participation, and that he feels the public should recognize the Council does need to have time to discuss matters with the City staff. Councilman Rosenberg stated the primary purpose of study ses- sions are for the Council to discuss the issues among themselves and then for a limited time allow for public input at the end of each issue. Mayor Shelton concurred. Councilman Reasor stated the City Council is discussing issues and then at times when public input is given it does not address the specific issue, and he felt this should be "cut-off". Councilman Harmon suggested that the discussion between the Council and staff be for two hours followed by public comment. MOTION: Councilman Cantine moved that the City Council recognize that the primary purpose of study sessions is for the Council to explore the policy and factual issues involved and that input of the public be invited as appropriate at the end of the Council's study session. The motion c`a was seconded by Councilman Reasor and carried with mayor CShelton voting- no:�,_ Councilman Rosenberg stated he supported the motion, however, he feels it would have been better to have allowed public comments after each individual item. Mayor Shelton stated he voted against the motion because he feels public input should be given after each individual item. Councilman Harmon stated he would like to hold a joint study session between the City Council and the Planning Commission. The City Council directed staff to investigate the feasibility of scheduling a date for such a meeting, and to have the Council and the Commission submit their suggestions for the agenda to the City Clerk. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, February 26, 1979 PAGE SEVEN Councilman Harmon advised the Council concerning the Casas/ Hittle lease site transfer, that the legal documents authorizing such a transfer, referenced the lease sites with the old county numbers 62 and 62W, rather than the City lease site number 8, and that it is necessary for the Council to authorize these documents be changed to reflect the above. MOTION: Councilman Cantine moved that the necessary lease site transfer documents be amended to reflect the City lease site number 8. The motion was seconded by Councilman Harmon and unanimously carried.by roll call vote. The City Council concurred with Councilman Cantine's suggestion to schedule the water equivalency discussion for a public hearing at the March 12, 1979 Council meeting. Councilman Cantine asked what the status of the dredging in Morro Bay was. Mr. Bressan stated there is some question as to how much eels grass will be disturbed, and this is pending on an analysis of an aerial photograph which is schedule to be done on March 8, 1979. Councilman Cantine expressed concern regarding the staffing, structure, and organization of the Public Works Department. E-2 City Attorney Mr. LeSage requested an executive session to discuss present litigation. E-3 City Administrator Mr. Guluzzy advised the Council that the representative of the Fire Fighters has executed the Memorandum of Understanding concerning pay rates and ranges applicable to the Association. Mr. Schwartz expressed concern with the Council's study sessions being held in the City hall Conference Room because it is too small. He also requested that the Ordinances that are to be "read by title only" be posted on the City's bulleting board so the public can read them prior to the Council's meeting. Mr. Schwartz also expressed concern with the treatment the Council gave to Fletcher Peck when he presented a song for the Council to consider adopting as the City song. Mayor Shelton stated Mr. Peck is not the only person that has written a song about Morro Bay and that Mr. Peck is aware of this. Mayor Shelton advised Mr. Schwartz that he had spoke with Mr. Peck prior to his presentation and had told him no action would be taken as to approving or disapproving his song. He suggested that a con- test be conducted, headed up by_,the Chamber 'of Commerce, to determine which -song should'be''chosen,for Morro Bay. The CityCouncil concurred. MOTION: Councilman Harmon moved the meeting be adjourned to executive session. The motion was seconded by Councilman Cantine and unanimously carried. The meeting adjourned to executive session at 10:45 p.m. and returned to regular session at 11:10 p.m. MINUTES - MORRO Regular Meeting, PAGE EIGHT BAY CITY COUNCIL February 26, 1979 MOTION: Mayor Shelton moved the meeting adjourn to Wednesday, February 28, 1979, at 7:30 p.m. in the Morro Bay Recreation Hall for a Study Session. The motion was seconded by Councilman Harmon and unanimously carried. The meeting adjourned at 11:20 p.m. Recorded by: DONALD F. GULUZZY, City Clerk By: Elizabeth Penny Deputy City Clerk MINUTES - MORRO BAY CITY COUNCIL Special Meeting February 19, 1979, 7:30 p.m. Morro Bay Recreation Hall The meeting was called to order at 7:30 p.m. by Mayor Shelton. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, Rosenberg, and Mayor Shelton Absent: None STAFF PRESENT Carl J. Thornton, City Administrator Michael T. LeSage, City Attorney Elizabeth Penny, Deputy City Clerk Mayor Shelton stated that the purpose of the meeting was to continue discussion of the Firefighter's Local 1855 fiscal year 1978/79 benefit negotiations. He then reviewed what had happened at the previous meeting held on February 13, 1979. Mr. Thornton reviewed his memorandum to Captain Stan Thomas concerning his position on the 1978/79 benefit negotiations and presented the following: (1) The City is willing to pay a five and one-half percent increase in base wages, retroactive to July 1, 1978, if this became legally available during the fiscal year. (2) Explained his trip to the State Controller's and PERS office in Sacramento requesting permission to institute a reimbursement procedure on PERS payments as a substitute for the wage increase. (3) The Firefighters took the position rather than waiting for any change in the legal situation relative to wage increases they would prefer (a) in -lieu benefit payments (deduction of health and hospital coverage for dependants) and (b) relieved of pre- sent payback system requiring the equivalent of a 60 hour work week to 56 hours. Mr. Thornton stated such a reduction in working hours in itself is a 6.7% increase in benefits which is beyond the willingness or ability of the City to agree. (4) Mr. Thornton stated he prepared a Memorandum of Understanding (MOU) which would give the Firefighters (a) the advantage of a reduction in the cost of hospital insurance program, (b) reduc- tion from the 60 to the 56 hour week, and (c) assurance of reimbursement through the grant of additional time -off for the extra payback shifts already worked during this fiscal year up to the equivalent of a five and one-half percent increase in pay. (5) The MOU was returned signed, but with interlined changes added which called for a total value of increased benefits equivalent to approximately 8 1/4%. Mr. LeSage reviewed Section 13 of Resolution No. 74-69 which out- lines the City's impasse procedure. •. 0 MINUTES - MORRO Special Meeting, PAGE TWO BAY CITY COUNCIL February 19, 1979 Jerry Parker, Fire Engineer, presented the following concerning the Firefighter's position on the 1978/79 benefit negotiations: (1) In April or May of 1978 the Firefighters began negotiations with Murray Warden, City Administrator. Mr. Warden asked negotiations be suspended until after the election on which Proposition 13 was voted upon. The Firefighters agreed to this on the basis that whatever was negotiated would be retroactive until July, 1978. (2) The City offered the Firefighters a 5.5% package and the Firefighters understood that the PERS benefit payments would be paid on a quarterly basis, but because the State Controller's office and the PERS office would not permit such a reimburse- ment procedure, this proposal was not permitted. The Fire- fighters requested (a) fully paid insurance, (b) elimination of all paybacks, and (c) that the two percent at fifty retirement system for public safety employees and a post retirement survivor's benefit program survey be paid by the City rather than by the Firefighters. (3) Mr. Parker stated that the Firefighters had compromised and paid for the survey. He also noted there would be no dollar cost to the taxpayer concerning the paybacks, all that it would cost is time. Councilman Rosenberg questioned how the payback system works and Jerry Parker responded. Councilman Rosenberg expressed concern regarding the four hours the Firefighters would be off from work because of the paybacks, and that this could possibly necessitate the hiring of additional staff to cover the time off from work. Mr. Parker reviewed a chart which showed the relationship of a_Plorro Bay City, fifth- step, Fire Engineer's salary with Atascadero, San Luis Obispo, South Bay, and the Department of Forestry. He pointed out the fact that Morro Bay has the lowest monthly salary at $1,197 in relation to the highest held by San Luis Obispo at $1,494. He also pointed out the hours that are worked by the Fire Engineers range from 56 hours to 72 hours. He pointed out the fact that the insurance for the Fire Engineers of the other above -mentioned agencies range from 90% to 100% paid except for Morro Bay which has a low of 64.5% paid. The City Council expressed their concern with the information presented and stated they would have to look at the salaries and benefits of all employees so that they may strive for equality among all employees. Councilmen Rosenberg and Cantine stated they would support Mr. Thornton's recommendation. Councilman Harmon stated he felt the City should provide fully paid insurance for the firefighters, otherwise he would support, the City Administrator's recommendation. Break: 9:35 p.m. Reconvened: 9:45 p.m. 0 Cl MINUTES - MORRO Special Meeting, PAGE THREE BAY CITY COUNCIL February 19, 1979 Mayor Shelton introduced Donald F. Guluzzy to the audience. Mr. Guluzzy has been hired as the City Administrator. MOTION: Councilman Cantine moved the City Council adopt the negotiator's proposal. The motion was seconded by Councilman Reasor and carried with Councilmen Harmon and Rosenberg voting no. MOTION: Mayor Shelton moved the meeting adjourn to Monday, February 26, 1979, at 7:30 p.m. in the Recreation Hall for the next regular meeting. The motion was seconded by Councilman Cantine and unanimously carried. The meeting adjourned at 9:55 p.m. Recorded by: CARL J. THORNTON, City Clerk By: Elizabeth Penny Deputy City Clerk CITY'OF MORRO BAYS AGENDA - MORRO BAY CITY COUNCIL February 13, 1979 MORRO BAY RECREATION HALL Call to Order Pledge of Allegiance Invocation Roll Call Public Comment Proposed City Song A. CONSENT CALENDAR 1. Minutes of the January 22, 1979 regular meeting 2. Minutes of the January 22, 1979 executive session 3. Minutes of the January 24, 1979 special meeting 4. Minutes of the.January 29, 1979 special meeting 5. Expenditure Report, January 1, 1979 through January 31, 1979 (RECOMMEND APPROVAL) 6. Conversion of transportation claim from Article 8 to Article 4 for fiscal year 1977/78 and 1978/79. (RECOMMEND APPROVAL) 7. Local Agency -State Agreement 05-5391 covering Federal Aid pro- ject in the City of Morro Bay. (RECOMMEND APPROVAL) 8. Resolution No. 9-79 authorizing erection of required stop signs at the cross street with Kern and Piney Way.(RECOMMEND ADOPTION) 9. Agreement granting permission for the City to use PG&E's portable foam tank. (RECOMMEND APPROVAL) 10. Appropriation transfer of funds, voucher no. 8-9-08. (RECOMMEND APPROVAL) 11. Appointment of Stella Hamud, Finance Director, as City Treasurer,Effective February 19, 1979. (RECOMMEND APPROVAL) B. HEARINGS, APPEARANCES, AND REPORTS 1. Presentation by Firefighter's Local 1855 regarding fiscal year 1978/79 benefit negotiations. 2. Presentation by W. Andrew Baldwin, Legal Director of Friends of the Earth, concerning Diablo Canyon Nuclear Plant. 3. Public Testimony by any person aggrieved by any act or deter- mination of the Morro Bay Fire Department in connection with the current Weed Abatement Program. 4. Consideration of an appeal of a Planning Commission decision denying the erection of a sign at Bayview Motel, 225 Harbor, City Neon, Inc., appealant. 5. Consideration of an appeal of a Planning Commission decision denying the erection of a sign at Fish Shanty, 1245 Embarcadero, David Ross, appealant. C. UNFINISHED BUSINESS 1. Follow-up report of buildings removed, buildings with water meters off, and vacant lots with water meters locked or removed. D. NEW BUSINESS 1. Consideration of Resolution No. 10-79 approving the assignment of lease sites no. 62 and 62W from Frank and Tom Casas to Robert and Marilyn Hittle and approving an amendment to the lease site agreement concerning the permitted uses. 2. Consideration of approving attendance of the City's Parks and Recreation Commission at the State Conference (CPRS) in March and authorizing the transfer of $1,125 from unobligated reserves. 3. Consideration of upgrading position of Engineering Aide to Engineering Technician. _ 4. Consideration of a request to add a secretary to_>(tkie_Plaing Department. I - E. INDIVIDUAL' DETERMINATION AND/OR ACTION 1. City Council 2. City Attorney 3. City Administrator 0 6 MINUTES - MORRO BAY CITY COUNCIL Regular Meeting February 13, 1979 7:30 P.M. Morro Bay Recreation,Hall The meeting was called to order at 7:30 P.M. by Mayor Pro Tempore Cantine with the Pledge of Allegiance. Reverend Dear, City Chaplain, gave the invocation. ROLL CALL Present: Councilmen Reasor, Harmon, Rosenberg and Mayor Pro Tempore Cantine Absent: Mayor Shelton STAFF PRESENT Michael T. LeSage, City Attorney John Bressan, Public Works Director Bill George, Building Inspector Bernie Zerr, Fire Chief Sharon Lilley, Acting Deputy City Clerk PUBLIC COMMENT There was no public comment. PROPOSED CITY SONG Mr. Fletcher Peck, composer of a proposed city song, played a tape as his presentation to the City Council. CONSENT CALENDAR::_? A. CONSENT CALENDAR 1. Minutes of the January 22, 1979 regular meeting 2. Minutes of the January 22, 1979 executive session 3. Minutes of the January 24, 1979 special meeting 4. Minutes of the January 29, 1979 special meeting 5. Expenditure Report, January 1, 1979 through January 31, 1979 (RECOMMEND APPROVAL) 6. Conversion of transportation claim from Article 8 to Article 4 for fiscal year 1977/78 and 1978/79. (RECOMMEND APPROVAL) 7, Local Agency -State Agreement 05-5391 covering Federal Aid pro- ject in the City of Morro Bay. (RECOMMEND APPROVAL) 8. Resolution No. 9-79 authorizing erection of required stop signs at the cross street with Kern and Piney Way. (RECOMMEND ADOPTION) 9. Agreement granting permission for the City to use PG & E's portable foam tank. (RECOMMEND APPROVAL) 10. Appropriation transfer of funds, voucher no. 8-9-08. (RECOMMEND APPROVAL) 11. Appointment'- of Stella' Hamud, Finance Director, as City Treasurer Effective February 19, 1979. (RECOMMEND APPROVAL) Mayor Pro Tempore Cantine reviewed all the items on the Consent Calendar. Councilman Reasor requested that items A-1 through A-11 be approved, with the exception of item A-5, and requested that this item be held over until the next meeting. MOTION: Councilman Reasor moved that items A-1 through A-11 be approved, with the exception of item A-5, and that this item be carried over until the next regular meeting. The motion was seconded by Councilman Rosenberg and unanimously carried by roll call vote. 0 6 MINUTES - MORRO BAY CITY COUNCIL February 13, 1979 Page Two B. HEARINGS, APPEARANCES, AND REPORTS B-1 Presentation by Firefighter's Local 1855 regarding fiscal year 1978/79 benefit negotiations Jim Tracy, representing the Morro Bay Firefighter's Local 1855, presented some background information regarding the Memorandum of Understanding for FY 1978-79. He stated that the clarification of a couple points is the primary problem. He also stated that in the past, the wordage has been a problem. He feels that there needs to be more understanding between the negotiators and the firefighters with better communication. Mr. Tracy gave a history of the progress and negotiations beginning in March 1978, and leading up to the present time. He stated that they were told that negotiations were being postponed until after the election. Then they were told to hold off from further negotiations until after the impact of proposition 13 was realized by the City. Although the City was a recipient of bail -out money, there were still some areas that could be negotiated. One of these areas discussed was the Public Employees' Retirement System (P.E.R.S.); however, there was the possibility of some legal questions with this area. The only other areas still open for negotiations was that of work hours and medical costs paid by employees. He stated that they had discussed 100% paid medical and a reduction in the work week from 60 hours to 56 hours retroactive to July 1, 1978. The request for medical costs being paid was due to the increased cost of living. The firefighters presented several graphs supporting this premise. Mr. Tracy also stated that Mr. Thornton had indicated that the only portion of the insurance that would be picked up by the City would be the increase in medical insurance which occurred in July. As for the reduction in the work week, the City negoti- ator felt that there would be 4 shift pay -backs that were worked in 1978 and 4 shift pay -backs in 1979; and that the 4 shifts worked in 1978 were only worth 1 shift off. Mr. Tracy stated that the only increase to the City would be the medical insurance and that the reduction in the work week would not cost the City anything at this time. However, the pay -back system should be credited as 4 shifts worked, 4 shifts off. They, there- fore, feel that they are entitled to 3 additional shifts off. The firefighter representative then turned the presentation over to their chief negotiator for FY 1978-79, Stan Thomas. Mr. Thomas stated that he would only cover those areas of specific disagreement. He presented an overview of the negotiation which had begun back in February 1978. Mr. Thomas stated that after several meetings with Mr. Thornton, he thought that a mutual agreement had been reached. He then asked that the proposed Memorandum of Understanding be placed on the City Council agenda for approval and that the firefighters be given a copy of the memorandum for their review. However, Mr. Thornton stated that he had other priorities and for this reason, the item had not been placed on the agenda. Then just hours before the City Council was to meet, the fire- fighters were given a copy of the agreement for their review. Mr. Tracy reviewed this agreement and found that he had a couple of corrections. This then corrected Memorandum of Understanding was then presented to the City Council by Mr. Thornton who stated that he had some minor changes. Mr. Thomas contends that these minor changes were very important and that they were not what was agreed upon during the negotiation process at the bargainingt.table. 0 MINUTES - MORRO BAY CITY COUNCIL February 13, 1979 Page THREE Councilman Harmon requested that Mr. Thomas state once again the points of disagreement. Mr. Thomas replied that there were 2 primary points of disagreement: (1) The elimination of the pay -back day reducing the work week hours from 60 to 56 hours retroactive to July 1, 1978, to be compensated on a 1 to 1 basis which was to be included in each members'vacation (prior to January, 1979) 4 shifts to be added on their vacation time and on a 1 to 1 basis thereafter, beginning January 1, 1979, until after the agree- ment was signed. (2) 100% insurance premiums to be paid by the City retroactive to July 1, 1978, paid in one lump sum which was on the signing of the agreement based on each members contribution. Councilman Reasor stated that City Council should become involved legal position is. he did not know whether or not the in the negotiations and what their Mr. Thomas stated that at no time did he call an impasse. He stated that it was the City Administrator who stated that they were at an impasse. Mr. LeSage asked Mr. Thomas if it was his understanding that this was an official impasse public hearing. Mr. Thomas replied "no" that it was not an impasse hearing because he had never called "impasse". Mr. LeSage then responded that if this was not an impasse hearing, then the next step would be to pass the negotiation process on to the new City Administrator to pick up things where they were left off. MayoriPro-.Tempore Cantine stated that Mr. Thornton had done a fine job and that this puts it back into the hands of the new incoming City Administrator. Mayor Pro Tempore Cantine expressed the appreciation of the City Council for bringing this before them'and further: -explained, that the Council does not wish to delay this and the matter in question would be resolved. Jim Tracy requested that when the City Administrator and the negotiating team cannot reach an agreement, that the City Council make some kind of a decision. Mr. Tracy went on to say that it was his under- standing that this was an impasse hearing or proceeding. A discussion followed as to who called "impasse", whether it was Mr. Thornton or the firefighters. Councilman Reasor stated that he would need staff input and that he was not prepared to make a decision at this meeting. Councilman Harmon stated that the City had no problem with picking up 100% medical costs for dependent coverage. Councilman Harmon also stated that he was not in a position to make a decision tonight and Councilman Rosenberg also concurred with this. Mr. LeSage stated that there is a certain time limitation on this impasse procedure and it was later established that it was within a two week period. Mr. Thomas and Mr. Tracy declared that this was an official impasse hearing. Mayor Pro Tempore Cantine stated that it seemed to be a misunder- standing between the City Administrator and the firefighter negotiators on the basic facts and not on the philosophy. 0 4 MINUTES - MORRO BAY CITY COUNCIL February 13, 1979 Page FOUR B-2 Presentation by W. Andrew Baldwin, Legal Director of Friends of the Earth, concerning Diablo Canyon Nuclear Plant Mr. Baldwin could not be present for his presentation. Therefore, there was no further consideration of this item at this time. B-3 Public Testimony by any person aggrieved by any act or determination of the Morro Bay Fire Department in connection with the current .Weed Abatement Program_? John Bressan, Acting City Administrator, stated that this+•was a routine procedure and that he would defer all questions to Fire Chief Zerr. The hearing was opened to the public. Jim Ross, Mr. Campbell, and Ms. Marciel spoke in opposition to the Weed Abatement Program and its charges for vacant lots. Mr. Palmer stated that he had cut down his own weeds and feels that citizens should be responsible for their own property. Mr. Campbell continued with his statement of philosophy on the program. Councilman Harmon stated that this hearing was to hear specific comments from aggrieved persons on any determinations of charges incurred as a result of the Weed Abatement Program. Councilman Harmon stated that if Mr. Campbell had a policy statement, that it should be done at another City Council meeting. The public hearing was closed. Mayor Pro Tempore Cantine stated that the City Council had'adopted a policy that they would encourage individuals to take the initative to take care of their own weed abatement and this then would cause the City to get out of the operation of the weed abatement program. It was also established in the best interest of the City, that it,would`make!, the City self-supporting at least in the operations and maintenance of various City programs. Fire Chief Zerr explained the weed abatement program and the procedure that is followed. Mr. LeSage stated that there was no further action needed and that this concluded the weed abatement procedure. RECESS: 8:55 p.m. RECONVENED: 9:10 P.M. B-4 Consideration of an appeal of a Planning Commission decision denying the erection of a sign at Bayview Motel, 225 Harbor,'City Neon, Inc., appealant. Mr. George stated that the applicant wanted to erect a pole sign seventy-two (72) square feet in area and twenty-five (25) feet in height, to replace an existing sign that is one hundred and fifty (150) square feet in area, and thirty-five (35) feet in height. The application was denied by the Planning Commission due to their concerns of height and size of the sign as well as the obstruction of the view of the rock. The hearing was open to the public. Mr. Robert Spinelli, applicant, was represented by Mr. Paul Morman of City Neon, Inc. Mr. Morman stated that this sign request was consistant with the sign ordinance of 1973. He stated that the applicant was going to a smaller sign and also a more esthetically pleasing sign. MINUTES - CITY OF MORR BAY February 13, 1979 Page FIVE Councilman Rosenberg stated that the Harbor View Motel sign seemed to be the same size as the one being proposed in an R-4 Zone. Mr. George stated that the sign should be moved back closer to the building. Mayor Pro Tempore Cantine also agreed with this idea. However, Mr. Morman stated that the applicant is having the office portion of the building expanded, therefore., the sign would have to remain in the proposed location. Councilman Harmon stated that the appeal should be granted. Ralph Peters, Planning Commissioner, made reference to the Sign Ordinance 14.64.150 which states that exceptions for permits should be made only when the exceptions are not detrimental to the neighborhood or the general welfare of the City. He stated that as you walk down Harbor Street, that the sign directly projects on the rock. Mr. Peters stated that the sign should not conflict with the projection on the rock and should rather be constructed and designed in conjunction with the view. Al Schwartz, Director of the Chamber of Commerce, requested that the City Attorney read the portion of the ordinance which pertains to the exception. Mr. LeSage did so. Mr. Schwartz stated that the Council should take into consideration the fact that the zoning directly across the street from the Bayview Motel is zoned C-1, thereby allowing a much larger sign from that of Mr. Spinelli's who is zoned R-4. He feels that two like commercial business are not permitted to advertize on an equal basis. The public hearing was closed. Councilman Harmon stated that there were no viable alternatives and, therefore, the exception should be granted. Councilman Reasor stated that he was unaware of the office expansion and was also in hopes of moving the sign back closer to the building. Councilman Rosenberg stated that the view really is not a significant factor and it is a trade off and is in support of the sign. Mayor�Pro Tempore Cantine thanked Mr. Peters for his presentation on behalf of the Planning Commission and for providing the history and background on this matter. Mayor Pro Tempore Cantine credited Mr. Spinelli for the quality he has brought to Morro Bay with the improvements he has made on his various properties. He stated that there needs to be another look at the sign ordinance in a commercial area as it pertains to 35 ft. height limitation. Mayor Pro Tempore also stated that he regrets having to override the Planning Commission. He stated that it is the responsibility of the City Council to support the Planning Commission since it was the Council who appointed them and that they reflect the view points of the Council. Councilman Rosenberg agreed with Mayor Pro Tempore Cantine in that the City Council will support the Planning Commission whenever possible. However, in lieu of the newly appointed Planning Commission, a relation- ship needs to be developed between the City Council and the Planning Commission., MOTION: Councilman Rosenberg moved Commission decision to the Robert Spinelli, be upheld was seconded by Councilman roll call vote. that the appeal of the Planning City Council by the Bayview Motel, and the sign permitted. The motion Harmond and unanimously carried by Mike LeSage stated that it is an exception because it is in an R-4 Zone, therefore, you need a finding of fact. He stated that you need to find on some fact basis that there is a substantial property right on the existing non -conforming use otherwise this is consistent with the sign ordinance and that this will not have a substantial adverse affect on the health and safety of the community. 10 MINUTES - CITY OF MORRO BAY February 13, 1979 Page SIX MOTION: Councilman Rosenberg moved that the appeal be upheld permitting the sign to be -erected at the Bayview Motel based on these facts: (1) that there is a substantial property right on the existing non -conforming use, otherwise this is consistent with the purpose of the sign ordinance and (2) that this will not have a substantial adverse affect on the health and safety of the community. The motion was seconded by Councilman Harmon and was unanimously carried. B-5 Consideration of an appeal of a Planning Commission decision denying the erection of a sign at Fish Shanty, 1245 Embarcadero, David Ross, appealant. Bill George, Building Inspector, presented his report. The real concerns of the Planning Commission was the visual impact of the sign on the rock and surrounding area. Councilman Harmon asked for the orientation of the sign on the property. Mr. George stated that it would set at right angles to the building and the Embarcadero. Mayor Pro Tempore Cantine stated that he had requested that Mr. George possibly propose a lessor sign that would accomplish the same amound of advertising. The hearing was open to the public. David Ross, appealant, stated that he wanted to lower the height of the new sign and that his purpose for the new signage was to make it esthetically more pleasing. He had also checked the records in the Planning Department and found that the existing sign was conforming. Mr. Morman, City Neon, Inc. stated that a detailed analysis was completed on the sign, and that the existing sign is in need of major repair. It would be more costly to try and repair the old one than it would be to install a new sign. Mr. Morman stated that the poles would be cased in redwood and it would have some netting- hanging over it and boxes around the sign so that it would blend in with the establishment. Councilman Reasor asked what color the background of the sign would be. Mr. Morman stated that it would be yellow. A discussion followed regarding the brightness of the background when colored yellow. Mr. Morman provided several alternatives and stated that he would be willing to work with staff so that the proposed sign would not be too bright. He could use a soft mat yellow color so that it will not eluminate this brightness. Ralph Peters, Planning Commissioner, stated that there was one major difference between this sign and the last one being considered. That is that this sign is in a P.D. Zone and the other establishment is in an R-4 Zone. He suggested that the sign be incorporated with the building so that the sign would not obstruct the rock, a very important asset. Mr. Campbell spoke in favor of the proposed sign. However, he did not want to see the Planning Commission's power lost in their attempt to negotiate with the people who make signs. He does not want to see the quest for profit override the need to protect the valuable assets of the community. The rock should not be obliterated by large massive signs. He stated that the Planning Commission is trying to develop control over the community and this should not be taken away from the Commission. Al Schwartz feels that the sign is appropriate for the tourist area and that the sign does meet the P.D. Zone sign requirements; thus, he is in favor of the proposed sign. Mayor Pro Tempore Cantine closed the public hearing. 0 MINUTES - MORRO BAY CITY COUNCIL February 13, 1979 Page SEVEN Councilman Rosenberg stated that he is for the beauty of the rock and maintaining what makes the community valuable and he has often been crit- icized_for.jg his environmental concerns. He also stated that the Council has never taken any action which was intended to take away from the Planning Commission, but rather a need to negotiate between the Council and the Commission. He stated that there is an ordinance which states that all appeals are to be heard by the City Council and that this procedure is not an attempt to take away from the Planning Commission's decision making process. Councilman Reasor stated that he still feels that the sign could come down a little in height and be lowered. At the present proposed height, he would not vote in favor of the sign. Councilman Harmon stated that he was in favor of the appeal with the proviso that a lower elumination lighting be used on the sign and that the background for the sign be of a non -reflective material. He also stated that perhaps something could be worked out to lower it slightly, but that the appeal should be granted. Mayor Pro Tempore Cantine stated that as he considers each sign, what he is looking at is whether the sign is an improvement over what is being proposed. He would hope that better negotiation could take place in the future at the Planning Commission level. He stated that he would also like to see in the future a color layout of the signs being proposed. Mayor Pro Tempore Cantine requested that a color scheme be submitted and also suggested the possibility of lowering the sign a couple of feet. Perhapsrhe could work with staff to find a minimum height necessary for the observance of the sign from the T-point of the T-Pier. Mr. Ross stated a willingness to work with staff to try and reach an adjusted sign height:. Councilman Reasor feels that this could be accomplished. MOTION: Mayor Pro Tempore Cantine moved that we approve the appeal subject to a color sketch being submitted to the staff and that a minimum height required for the observance of the sign from the T-point of the T-Pier be worked out between the staff and the owner. The motion was seconded by Councilman Rosenberg and was unanimously carried by roll call vote. Mayor Pro Tempore Cantine. moved that the motion be amended to read that it would not materially adversly effect the public interest and would protect the property right of the owner. Councilman Rosenberg seconded the amendment and it was unani- mously carried by roll call vote. UNFINISHED BUSINESS C-1 Follow-up report of buildings removed, buildings with water meters off, and vacant lots with water meters locked or removed John Bressan stated that no action needed to be taken by the Council at this time, but rather this was simply a follow-up report to the Council by Bill George. Mayor Pro TemporeeCantine stated that he would like to defer this item until Mr. Guluzzy was aboard. Councilman Rosenberg concurred. Councilman Harmon asked for the clarification of this item. Bill 'George then presented a brief explanation of the list indicating those water meters removed, structures with water meters off, and vacant lots with meters locked or removed. MINUTES - CITY OF MORRO BAY February 13, 1979 Page EIGHT Bob Mills, Mills Construction Company, stated that he owns, a lot and requested a building permit in 1972 to construct 22 motel units. The concerns which he expressed wascthat he notL>have 8 water equivalencies taken away. Councilman Rosenberg requested that this agenda item be deferred to a study session for further consideration after the arrival of Don Guluzzy and at that time it will be determined what action, if any, is necessary, and at that time it will be decided whether or not to bring this item back to a regular City Council meeting. Mayor Pro Tempore Cantine and the other City Council members agreed. NEW BUSINESS D-1 Consideration of Resolution No. 10-79 approving the assignment of lease sites no.C2 and 62W�from Frank and Tom Casas to Robert and 1 Marilyn Hittle and approving an amendment to the lease site agree- ment concerning the permitted uses John Bressan stated that this item was the approval of the transfer of ownership and the expanded permitted uses for this lease site. These additional permitted uses were approved in concept only at a prior City Council meeting. Councilman Reasor stated that he had only one objection with the permitted uses in the lease as presented and that was the inclusion of the candy store. He would like to see this deleteda because this is not related to marine sales or service. Mr. George stated that it was his understanding that at a prior City Council meeting, the determination had already been made to delete:. this permitted use. However, he did not have a copy of the minutes from that meeting. Mayor Pro Tempore requested that this item be deferred to the next meeting so that the Admendment to the Lease could be corrected to reflect the desires of the Council. Councilman Harmon stated that he was questioning the permitted use of the lounge area for checkers and chess with an information center and technical data (community center). Councilman Harmon requested that the amendment be changed to delete the words "checkers and chess and community center thus, a lounge area with an information center and technical data center. Bob Hittle, owner, stated that he had a hardship in that some modifications are necessary on the waterfront because of an expected vessel that will arrive and that to delay this item for approval for another meeting would be very difficult. MOTION: Mayor Pro Tempore Cantine moved that Resolution 10-79 be approved with the condition that the Amendment to the Lease be corrected to delete the words "checkers and chess, and community center". The motion was seconded by Councilman Reasor and unanimously carried by roll call vote. D-2 Consideration of approving attendance of the City's Parks and Recreation Commission at the State Conference (CPRS) in March Mayor Pro Tempore Cantine stated that Mayor Shelton is in favor of all Parks and Recreation Commissioners attending this conference. Councilman Reasor stated that he feels that this is very beneficial for the new members of the Commission to attend. MINUTES - CITY OF MORRO BAY February 13, 1979 Page NINE Councilman Rosenberg stated that as worthwhile as this conference may be, he feels that perhaps the money could be put to better uses. He was in favor of not sending anyone this year based upon the amount of information that he had at that time. Councilman Harmon recommended that two members of the Commission be sent. Mayor Pro Tempore Cantine stated that he would approve representation at the Conference with the Director of the Parks and Recreation Department attending and the Commission deciding how many members they wish to send. Councilman Rosenberg stated that he could not agree with this because it was letting another body decide the amount of the budget. A discussion followed regarding the funds available in the budget. MOTION: Councilman Harmon moved that at least two members of the Parks and Recreation Commission be sent to the conference and that they bring back to the Council an itemized list of expenses and then a transfer of reserve funds to the Council. Councilman Reasor amended the motion to state that at least one of the members is to consist of a newly appointed Parks and Recreation Commissioner. Councilman Harmon agreed. The motion was then seconded by Councilman Reasor. Councilman Rosenberg stated that he is still very reluctant to spend taxpayers money on a conference when he does not know what real benefit it will have for the City and how much this conference will cost and that he would have to still vote against this motion based upon these reasons. Mayor Pro Tempore Cantine also asked if the Director of the Parks & Recreation Department had funding to attend this conference? He stated that he would like to amend the motion to have the flexibility to include the Director who would stand to gain the most information from the conference. The motion was further amended by Mayor Pro Tempore Cantine to read that the Director and two Commissioners with one of the Commissioners being a new member be approved to attend the CPRS Convention. The motion did not carry as the roll call vote was split with Mayor Pro Tempore and Rosenberg voting no and Councilman Harmon and Reasor voting yes. MOTION: Mayor Pro Tempore moved that two members of the Parks and Recreation Commission one of which will be a new member, be authorized to accompany the Director to the CPRS State Conference in March 1979 with the necessary funds being transferred from the unobligated reserve to the Parks and Recreation account on the basis of the actual expenses incurred. The motion was seconded by Councilman Reasor. Councilman Rosenberg stated for the same reasons as stated before, he will vote no. The motion was carried by roll call vote with Councilman Rosenberg voting no. Mr. George stated that there was a conference coming up in Monterey that the Planning Commission will be attending and he feels that it might be very beneficial for the new Planning Director, Keith Gurnee to attend on March 22, 23, and 24th. The Council agreed and authorized Mr. George to go ahead and make a reservation for the new Planning Director to attend. D-3 Consideration of upgrading the position of Engineering Aide to Engineering Technician MINUTES - CITY OF MORRO BAY February 13, 1979 Page TEN D-3 (continued) John Bressan presented in his staff report a request for the upgrading of this position. A brief discussion followed. MOTION: Councilman Harmon moved that approval be granted to upgrading the position of Engineering Aide to Engineering Technician. The motion was seconded by Councilman Reasor and was unanimously carried by roll call vote. D-4 Consideration of a request to add a secretary to the Planning Department Mr. George presented some background information on this position. He also stated that with the increase in staff that will be taking place with the addition of the Local Coastal Planner and his staff, that there will be an increase in the amount of paper work to be processed. There- fore, the justification for this position was based upon workload. Mayor Pro Tempore Cantine stated that this request had been initiated by Carl Thornton and that he felt that this addition was very important. Mayor Pro Tempore Cantine endorsed the recommendation made by Mr. Thornton and Mr. George. The Council concurred. Staff was then instructed to proceed with the advertising process. INDIVIDUAL DETERMINATION AND/OR ACTION E-1 City Council Councilman Rosenberg stated that he requested that a Study Session be held, scheduled for February 14, 1979, relative to parking and also any issues which the Chamber of Commerce wanted to bring up. I have since talked with Al Schwartz and we discussed several other alternatives and issues and that he wanted to discuss these with his staff and would, therefore, like to hold off on these items until the staff discussions are complete. Councilman Rosenberg stated that the study session subject is now up for suggestions. Councilman Harmon asked Mr. Schwartz why a couple of months ago everything had to be done yesterday and now there is nothing coming from the various committees in the Chamber of Commerce and the City Council is taking the blame for it: Mr. Schwartz responded that his committees are finalizing their reports in preparation for a presentation. Mayor Pro Tempore Cantine stated that a copy of a letter was received from the State Aqueduct System and it states that they are going to ask all interested agencies to reaffirm how much water we want from the California Aqueduct on the premises that the Santa Barbara decision will occur on March 1st. He stated that the vote in Morro Bay strongly supported our continued interest in the California Aqueduct System. Therefore, we need to make our expressions known to the County. Mayor Pro Tempore Cantine also stated that he was against the letter because we were in need of better cost estimates. Mayor Pro Tempore Cantine recommended that the meeting be adjourned and continued to finish the INDIVIDUAL DETERMINATION AND/OR ACTION item of the agenda at the study session scheduled for February 14, 1979. E-2 City Attorney MINUTES CITY OF MORRO BAY February 13, 1979 Page ELEVEN Mr. LeSage stated that there had been a meeting with Tom Harmon on the Tidelands suit and that it was a very productive meeting. He also stated that there needed to be a motion approving the weed abate- ment charges. MOTION: Councilman Reasor moved that the charges for weed abatement be approved as presented. The motion was seconded by Councilman Rosenberg and unanimously carried by roll call vote. Councilman Rosenberg requested an official written ruling from the City Attorney stating his position relative to the Tidelands suit. E-3 City Administrator There was nothing to report. MOTION: Councilman Reasor moved that the meeting be adjourned to 7:00 P.M. at the Recreation Hall for the continuation of the agenda to be held on February 14, 1979. The motion was seconded by Councilman Rosenberg and was unanimously carried. The meeting was adjourned at 11:45 P.M. Recorded by: SHARON A. LILLEY Acting. Deputy Clerk 6 CITY OF MORRO BAY - SPECIAL MEETING AGENDA - MORRO BAY CITY COUNCIL January 29, 1979, 7:00 p.m. CITY HALL RECREATION HALL Subjects for Discussion (1) City committees (2) Selection/hire of sewer plant consultant (3) Issuance of building permits (4). Further discussion of problems contained on the City Council's work program list MINUTES - MORRO BAY CITY COUNCIL Special Meeting January 29, 1979, 7:00 p.m. City Hall Conference Room The meeting was called to order at 7:00 p.m. by Mayor Shelton. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, amd Mayor Shelton Absent: Councilman Rosenberg GUESTS PRESENT Don Rothenbaum, State Water Resources Control Board Jim Snow, State Water Resources Control Board STAFF PRESENT Carl J. Thornton, City Administrator John Bressan, Public Works Director Elizabeth Penny, Deputy City Clerk / Discussion of procedure for selection/hire of) -wastewater consultant) k- - — Mr. Rothenbaum stated the City can either continue to contract with John Carollo Engineers, or hire a new consultant to complete the Step 2 design services. Be reviewed a memorandum dated January 22, 1979, entitled "Step 2 A/E consultant selection and procurement effects on project costs and schedule for City of Morro Bay" with the City Council. Mr. Thornton asked what the relationship of the Coastal Commission is with the Wastewater Treatment Plant. Mr. Rothenbaum stated the Coastal Commission has jurisdiction over the sizing and the aesthetics of the Wastewater Treatment Plant. John Bergmueller, Cayucos Sanitary District, stated he would like for the Cayucos Sanitary District to be involved in the selection and hiring process of the wastewater consultant. Mr. Rothenbaum stated he has tentatively set aside February 7th to discuss the management plan with the City Council. He asked that two Councilmen be designated to serve on a subcommittee. Mayor Shelton stated he would like for the appointments to be made at the next regular meeting (February 13, 1979) when all Councilmen are present. Councilmen Cantine and Reasor concurred. Break: 8:10 P.M. Reconvened: 8:25 p.m. City Committees Councilman Cantine stated he felt the Harbor Committee should have representation from marine service, waterfront, recreational boats, commercial fishermen, federal agencies, e.g., Corp of Engineers, Fish and Game, and the business people. He suggested the Committee operate under the Planning Director. MINUTES - MORRO BAITY COUNCIL Special Meeting, January 29, 1979 PAGE TWO Mayor Shelton stated he feels the Harbor Committee should be involved in the initial re-examination of the Harbor Ordinance, policy relating to the waiting list of City slips in the bay, examining future harbor uses, and the possibility of developing a Harbor Plan. The Fishermen's Association, at this time, does not have a place to bring their concerns to, and the Harbor Committee could facilitate this need, and make recommendations to the Planning Commission and City Council. A Harbor Committee would provide greater continuity, control over what happens at the harbor, and a broader base for subsequent planning decisions in the area of the harbor. Councilman Reasor stated he feels an ad -hoc committee would best serve the purpose initially, because they could be charged with a specific goal, e.g., development of the,Harbor,?lan, and then their function could be expanded. Mayor Shelton stated when the fishermen leave the City for six or eight months at a time, they have no one to represent them. They have asked that a committee be developed for the purpose of ad- vocating their interest. The City Council discussed with Al Schwartz and Lois Rowland composition, selection procedures, function, responsibility, etc., of the Harbor Committee that operates under the Chamber of Commerce. Mayor Shelton asked the Council to submit their views con- cerning the development of the Harbor Committee, taking into con- sideration the possibility of incorporating the Chamber's Harbor Committee. Issuance of building permits Councilman Cantine reviewed the plans in the pipeline with fees collected, and the building permits that are ready for issuance with no fees collected, with the Council. He expressed concern about issuing permits when the actual building cannot take place until the water problems in Morro Bay are resolved. Councilman Cantine stated this does not involve people that have had prior approval to build. It only deals with those persons -who' have brought in requests after the building moratorium was placed upon•the City. Mayor Shelton stated e.g., additions to residences that do not require additional water equivalencies may continue to build. He also stated he would like to have this matter scheduled for a public hearing. Mr. Lemons stated the City Council should consider whether the City wants water equivalencies, review the existing ordinance, and consider obtaining State water. MOTION: Councilman Cantine moved the meeting adjourn to Saturday, February 3, 1979, at 8:15 a.m. to interview applicants for the position of Planning Director. The motion was seconded by Councilman Reasor and unanimously carried with Councilman Rosenberg absent. The meeting adjourned at 10:13 p.m. Recorded by: CARL J. THORNTON, City Clerk By: Elizabeth Penny Deputy City Clerk MINUTES - MORRO BAY CITY COUNCIL Special Meeting January 24, 1979, 6:30 p.m. City Hall Conference Room The meeting was called to order at 6:30 p.m. by Mayor Shelton. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, Rosenberg, and Mayor Shelton Absent: None STAFF PRESENT Elizabeth Penny, Deputy City Clerk The City Council interviewed Marcelle Bakula as a potential candidate to fill the unexpired term of William Payne on the Parks and Recreation Commission. The term will expire on June 30, 1980. The Council also interviewed David A. Ross, Stephen A. Paul, Merwin K. Stott, and John E. Batey as potential candidates to fill the three vacancies on the Planning Commission. The vacancies are two, full, four-year terms and the.unexpired term of Richard Baxter. The term will expire on December 31, 1981. Bruce Elster and Chuck Orr were interviewed previously when the unexpired term of Ivan Rosenberg was filled. Therefore, these persons were not re -interviewed, but were also considered to possibly fll_one=of . these vacancies. MOTION: Councilman Cantine moved to re -appoint Ralph Peters to fill a full, four-year term as a Planning Commissioner. The motion was seconded by Councilman Rosenberg and carried unanimously. MOTION: Mayor Shelton moved to appoint Bruce Elster to fill a full, four-year term. The motion was seconded by Councilman Harmon. Councilman Rosenberg stated he would support the appointment of Mr. Elster, but would like for the City Council to consider Mr. Ross. He reiterated the Council has invited the business community to get involved, and this is an opportunity for them to do so. Councilman Cantine stated he felt Mr. Paul has the necessary maturity, prior experience as a Planning Commissioner and City Councilman, and would add balance to the current Planning Commis- sion. He also stated he had spent some time speaking with Mr. Elster and felt he too demonstrates the necessary qualifications to be a Planning Commissioner. Councilman Cantine did not spend any time on an individual basis with Mr. Batey, but noted he was impressed with his oral interview this evening. Councilman Harmon stated he could not support Mr. Batey at this time, because he is still employed with the City of Los Angeles and will not become a permanent resident of Morro Bay until March of 1979, the fact that Mr. Stott is a contractor could possibly be a conflict of interest, therefore, he would support Mr. Elster as the number one candidate. MINUTES - MORRO BAY#ITY COUNCIL 4P Special Meeting, January 24, 1979 PAGE TWO Councilman Reasor stated Mr. Stott is an interesting person and his perceptions of what he foresees for Morro Bay are similar to his own, since Mr. Batey is not currently living in Morro Bay he has concerns in considering him to fill one of the vacancies even though his qualifications are tremendous, therefore, Councilman Reasor stated he would still continue to support Mr. Elster as his first choice to fill one of the vacancies. Mayor Shelton stated he felt there are other candidates that have more qualifications than Mr. Ross, and the City could benefit more so from Mr. Elster or Mr. Orr. The following notes how each City Councilman prioritized the candidates in the order of their preference to fill one of the full, four-year terms: Mayor Shelton--Elster, Orr, Paul, Batey, and Ross. Councilman Cantine--Paul, Elster, and Ross. Councilman Reasor--Elster, Paul, Stott, Orr, and Batey. Councilman Harmon--Elster, Orr, Ross, and Paul. Councilman Rosenberg--Elster, Orr, Ross, and Paul. Mayor Shelton re -stated the motion on the floor to appoint Bruce Elster to fill a full, four-year term. The term will expire on December 31, 1982. The motion carried unanimously. Councilman Cantine stated he would like to see Mr. Paul appointed to fill the unexpired term of Richard Baxter. Councilman Harmon stated he felt Mr. Orr has the necessary experience, familiarity of the area, and residency to qualify as a Planning Commissioner. Mayor Shelton stated he agrees with Councilman Cantine's analysis of Mr. Paul's experience and balancing of the Commission. The following notes how each individual City Councilman priori- tized the candidates in the order of their preference to fill the unexpired term: Mayor Shelton --Paul, Orr, and Ross. Councilman Reasor--Paul, Orr, and Ross. Councilman Rosenberg --Ross, Paul, and Orr. Councilman Harmon --Orr, Ross, and Paul. MOTION: Councilman Harmon moved to appoint Stephen A. Paul to fill the unexpired term of Richard Baxter. The term will expire on December 31, 1981. The motion was seconded by Councilman Reasor and unanimously carried. Mayor Shelton requested letters be sent to all persons who applied for the position of Planning Commissioner and invite them to make application on any of the City's Advisory Committees when vacancies occur. MOTION: Councilman Harmon moved the meeting adjourn to Monday, January 29, 1979, at 7:00 p.m., in the City Hall Conference Room for a study session to discuss (1) City committees, (2) procedure of selecting/hiring a sewer plant consultant, and (3) whether to continue issuing building permits. The motion was seconded by Councilman Reasor and unanimously carried. MINUTES - MORRO BAOCITY COUNCIL Special Meeting, January 24, 1979 PAGE THREE The meeting adjourned at 10:13 p.m. Recorded by: CARL J. THORNTON, City Clerk By: Elizabeth Penny Deputy City Clerk CITY OF MORRO BAY 4 0 AGENDA - MORRO BAY CITY COUNCIL January 22, 1979, 7:30 P.M. MORRO BAY RECREATION HALL Call to Order Pledge of Allegiance Invocation Roll Call Public Comment Awards Presentation A. CONSENT CALENDAR 1. Minutes of the December 6, 1978 special:meeting 2. Minutes of the December 11, 1978 regular meeting 3. Minutes of the January 2, 1979 special meeting 4. Minutes of the January 5, 1979 special meeting 5. Minutes of the January 8, 1979 regular meeting.: 6. Financial statement, second quarter, December 31, 1978 (RECOMMEND APPROVAL) B. HEARINGS, APPEARANCES, AND REPORTS 1. Appeal of a Planning Commission decision by W.M. Sooter concerning a variance for a fireplace encroachment. 2. Follow-up report by Public Works Director concerning required stop signs on Kern Avenue and Piney Way. (Continued from the January 8, 1979 City Council meeting.) C. UNFINISHED BUSINESS 1. Consideration of adopting Ordinance No. 156 amending Ordinance No. 62, section 5306.5 regarding Planning Commissioner's attendance at meetings. 2. Consideration of adopting Ordinance No. 157 amending Ordinance No. 94, section 6220 entitled, "Art, Hobby or Handicraft Shows and Exhibitions". D. NEW BUSINESS 1. 2. 3. 4. 5. 6. 7. 8. E. 1. 2. 3. Request to schedule a public hearing to consider an appeal of a Planning Commission decision denying the erection of a sign at Bayview Motel, 225 Harbor; City Neon, Inc., appealant. Request to schedule a public hearing to consider an appeal of a.Planning Commission decision denying the erection of a sign at Fish Shanty, 1245 Embarcadero; David Ross, appealant. Consideration of Resolution No. 6-79 approving Reg Whibley's (Associated Divers) request for an amendment to lease agree- ment for lease sites No. 52 and 52W. Building'Limitat'ions Ordinance No. 152, Chapter 13.20 of Title 13 6f the Morro Bay -Municipal Code regardingabandonment of existing water equivalencies. Consideration of Resolution No. 7-79 approving an Agreement for Mutual Fire Protection Aid between the City of Morro Bay and the City of San Luis Obispo. Consideration of Memorandum of Agreement between City of Morro Bay and Fire Fighters Local 1855. Consideration of Resolution No. 8-79 accepting the resignation of Carl J. Thornton as interim City Administrator and City Clerk; and appointing Donald F. Guluzzy as City Administrator and City Clerk. Consideration of appointment of City Treasurer. INDIVIDUAL DETERMINATION AND/OR ACTION City Council City Attorney City Administrator MINUTES - MORRO BAY CITY COUNCIL Regular Meeting January 22, 1979, 7:30 p.m. Morro Bay Recreation Hall The meeting was called to order at 7:30 p.m, by Mayor Shelton with the Pledge of Allegiance. Reverend Dear, City Chaplain; gave the invocation. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, Rosenberg, and Mayor Shelton Absent: None STAFF PRESENT Carl Thornton, City Administrator Michael T. LeSage, City Attorney John Bressan, Public Works Director Bill George, Building Inspector Bernie Zerr, Fire Chief Elizabeth Penny, Deputy City Clerk PUBLIC COMMENT Mr. Ray Williams praised the City Council for their efforts they have put forth in the last fews months. He also complimented Carl Thornton on his job performance as Interim City Administrator. Mr. Jim Campbell requested the City Council do three things: (1) level with the people and let us know whether or not we can build in Morro Bay, (2) use the water the City has and allow those lots that are presently zoned for use to be built upon, and (3) begin to negotiate with individuals and groups, organizations, etc., about the possibility of them supplementing the City's present water system. Mr. Charles Palmer stated that the City Council is not delaying any building to take place in the City. The.Council and its com- mittees are working diligently with the various governmental agencies. It takes two to four years to implement a major capital improvement, e.g., the sewer system or an improvement in the water system. Mr. Campbell stated that the Coastal Commission would lift the water moratorium in February if the City Council would support a water reclamation program. Mayor Shelton stated that the Coastal•Commission will not lift the water moratorium in February because we do not have supplemental water and can not get any for about two years. In February the sewer hook-up moratorium will be lifted, but that is only because the City has complied with all of the necessary guidelines. AWARDS PRESENTATION Mayor Shelton presented a certificate of appreciation to Paul Brown, Morro Bay Reserve Fire Fighter, who is retiring after 18 years of volunteer service to Morro Bay. Ray Teixeira, Sr., Morro Bay Reserve Fire Fighter, was presented a certificate of appreciation as a form of recognition and gratitude for his 36 years of volunteer service to Morro Bay. Mr. Teixeira will continue to provide his services to the City. Horace Strong, Morro Bay Fire Fighter, who is retiring after 22 year of volunteer service was not present to receive his certificate, but his services to the City were so recognized. , MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, January 22, 1979 PAGE TWO A. CONSENT CALENDAR 1. Minutes of the December 6, 1978 special meeting 2. Minutes of the December 11, 1978 regular meeting 3. Minutes of the January 2, 1979 special meeting 4. Minutes of the January 5, 1979 special meeting 5. Minutes of the January 8, 1979 regular meeting 6. Financial statement, second quarter, December 31, 1978 (RECOMMEND APPROVAL) Mayor Shelton reviewed all items on the Consent Calendar. Councilman Harmon requested items A-1 and A-5 be pulled for cor- rection. Councilman Cantine requested items A-3 and A-4 be pulled for correction. The Council concurred. A-1 Minutes of the December 6, 1978 regular meeting Councilman Harmon corrected his statement under "b" to read: "...suggested the special 1977 census..." A-3 Minutes of the January 2, 1979 special meeting Councilman Cantine made the following corrections: Page three, his comment, "...concerning his telephone conversation... State Water Resources Control Board concerning the City's..."; page three, last paragraph, "...see if they can attend the January loth State Water Resources Control Board meeting in Sacramento."; page four, his comment "...concern regarding the changes in the require- ments of City slips for commercial fishing boats and stated..."; and page five, Ann Zerrien's comment, "...Cantine's "agenda" (check- list) which he developed..." A-4 Minutes of the January 5, 1979 special meeting Councilman Cantine corrected his comment on page one to read: "...stated the City Council hoped to discuss with Congressman Panetta..." A-5 Minutes of the January 8, 1979 regular meeting Councilman Harmon corrected his statement to read: "...should be allowed the same right to encumber their leases." MOTION: Councilman Cantine moved the City Council approve items A-1, A-3, A-4, and A-5 as corrected. The motion was seconded by Mayor Shelton and unanimously carried by roll call vote. MOTION: Councilman Cantine moved the City Council approve items A-2, and A-6. The motion was seconded by Councilman Harmon and unanimously carried by roll call vote. B. HEARINGS, APPEARANCES', AND REPORTS B-1 Appeal of a Planning Commission decision by W.M. Sooter con- ;cerning a variance for a fireplace encroachment. Mr. George stated Mr. Sooter had contacted him today, at 5:00 p.m., and advised him he would not be attending the City Council meeting to appeal the Planning Commission decision. He has decided to work with the Building Inspector to make the necessary adjustments to his fireplace so it will meet the requirements of the City's Zoning Ordinance. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, January 22, 1979 PAGE THREE Mr. Howard Gaines stated he owns a lot next to Mr. Sooter's property (corner of Tustin and Dawson) and is concerned with the fire hazard that is created by the fireplace encroaching onto the property line. The statute of limitations is also an issue, therefore, he does not see any reason for an exception to the Zoning Ordinance to be granted. Mr. LeSage stated in order for a variance to be granted, Mr. Sooter must demonstrate there is a special situation to warrant it. He read into the record section 17.60.040 of the City's Zoning Ordinance which deals with variances. Mr. Campbell stated the Council should look at the surrounding area, the houses, etc., and see if there are any special circumstances that would allow the variance to be granted. Councilman Rosenberg stated he was involved in the issue since the time he was a Planning Commissioner, and he did not see any new evidence being presented to warrant him changing his vote on the matter. Mayor Shelton stated Mr. Sooter had contacted him regarding his appeal, and that he had encouraged him to re -file his appeal since there is no statute in the Code that would not allow him to re -file. Mr. Sooter had advised Mayor Shelton he had additional information and he was willing to pay the necessary appeal fees in order to present it to the Council. Councilman Reasor stated he agreed with Councilman Rosenberg and Mayor Shelton. He also stated he felt a transcript of the hearing, noting the findings made that supported the denial, should be given to all appealants so they know where they stand. Councilman Cantine read a letter dated July 20, 1978, from Monty L. Red, of Red and Reamer; into the record. MOTION: Councilman Cantine moved the appeal made by W.M. Sooter concerning a Planning Commission decision denying a variance for a fireplace encroachment at 590 Dawson be denied and the Planning Commission's decision be upheld. Denial is based on the determination that there are no unusual or unique circumstances that warrant the granting of a variance. The motion was seconded by Councilman Reasor and unanimously carried by roll call vote. B-2 Follow-up report by Public Works Director concerning required stop signs on Kern Avenue and Piney Way. (Continued from the January 8, 1979 City Council meeting.) Mr. Bressan reviewed his staff report with the City Council and recommended (1) a stop sign be placed at eastbound approach of Kern Street at Marina Street because of the severely short sight distance. (2) Yield signs continue to control traffic at the inters' section at Piney Way at Anchor, and (3) stop signs be placed at Piney Way at the intersection of (a) Marina Street westbound, (b) Olive Street eastbound and westbound, and (c) Ridgeway Street westbound. MOTION: Mayor Shelton moved the City Council support Mr. Bressan's above -stated recommendation and direct staff to prepare a resolution for the Council to consider at their next meeting which would incorporate said recommendations. The motion was seconded by Councilman Cantine and unanimously carried by roll call vote. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, January 22, 1979 PAGE FOUR C. UNFINISHED BUSINESS C-1 Consideration of adopting Ordinance No. 160'amending Ordinance No. 62, section 5306.5 regarding Planning Commissioner's attendance at meetings. MOTION: Councilman Rosenberg moved Ordinance No.;160-be read by title only. The motion was seconded by Councilman Harmon and unanimously carried. Mr. Thornton read by title only, Ordinance No.1160.. MOTION: Councilman Rosenberg moved the City Council adopt Ordinance No.a16.0.). The motion was seconded by Councilman Harmon. Councilman Cantine stated he does not feel there is a need for any revision to the current ordinance. The absence of Planning Commissioners are too infrequent to warrant such a change. Mayor Shelton stated the recommendation came from the Planning Commission, therefore, they must have felt the need for such a change in the ordinance to take place. The motion carried, by roll call vote, with Councilman Cantine voting no. C-2 Consideration of adopting Ordinance No.161 amending Ordinance No. 94, section 6220 entitled, "Art, Hobby or Handicraft Shows and Exhibitions". MOTION: Councilman Harmon moved Ordinance No. 161 be read by title only. The motion was seconded by Councilman Cantine and unanimously carried. Mr. Thornton read by title only, Ordinance No. 161'- MOTION: Councilman Harmon moved the City Council adopt Ordinance No. The motion was seconded by Councilman Cantine and unanimously carried by roll call vote. D. NEW BUSINESS Councilman Harmon requested items D-1 and D-2 be considered by the Council simultaneously. The City Council concurred. D-1 Request to schedule a public hearing to consider an appeal of a Planning Commission decision denying the erection of a sign at Bayview Motel, 225 Harbor; City Neon, Inc., appealant. D-2 Request to schedule a public hearing to consider an appeal of a Planning Commission decision denying the erection of a sign at Fish Shanty, 1245 Embarcadero; David Ross, appealant. MOTION: Councilman Cantine moved the City Council schedule items D-1 and D-2 for public hearings at their next regular meeting (February 13, 1979). The motion was seconded by Councilman Harmon and unanimously carried. D-3 Consideration of Resolution No. 6-79 approving Reg Whibley's (Associated Divers) request for an amendment to lease agree- ment for lease sites no. 52 and 52W. MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, January 22, 1979 PAGE FIVE MOTION: Mayor Shelton moved Resolution No. 6-79 be read by title only. The motion was seconded by Councilman Reasor and carried unanimously. Mr. Thornton read by title only, Resolution No. 6-79. MOTION: Councilman Harmon moved the City Council approve Resolution No. 6-79. The motion was seconded by Councilman Reasor and unanimously carried by roll call vote. D-4 Building Limitations Ordinance No. 152, Chapter 13.20 of Title 13 of the Morro Bay Municipal Code regarding abandonment of existing water equivalencies) Mr. Thornton stated three members of City staff would like to request the City Council defer the item to a later date because there are some problems with the proposed Ordinance that must be resolved prior to the Council acting upon it. Mr. LeSage stated the Building Limitations Ordinance deals with three areas: (1) existing structure with an established water equivalency is removed from parcel, (2) if water meter is disconnected from existing structure for period of one year, water equivalency is thereby abandoned, and (3) if structure is substantially destroyed by fire or condemned and use of structure is wholly discontinued. Mr. Leo Charpentier, Landscape Architecture student stated that Morro Bay would sooner or later, have to seek outside water and must get away from the acquifer. Mr. Crass stated all growth in Morro Bay has taken place because the City has allowed all subdivisions to develop. He feels it is not fair to have people pay taxes on their properties each year when they are not permitted to develop their land. Beatrice Marciel stated when the purchase of property was made prior to the building moratorium being placed upon the City, those properties also purchased the right to have water. `Those properties that have been purchased after the moratorium do not have water at this time. Therefore an ordinance should not be proposed to take away the water equivalencies given to properties that were purchased prior to the moratorium. Mayor Shelton requested the matter be referred back to staff to resolve the concern. The City Council concurred. Break: 9:30 p.m. Reconvened: 9:40 p.m. Councilman Rosenberg stated he is not questioning anyone's right to build. The question is a matter of interpretation of the existing ordinance relative to a situation where people already have a water meter. He asked that staff gather data concerning the number of water equivalencies the City has. D-5 Consideration of Resolution No. 7-79 approving an Agreement for LMutual Fire Protection Aid between the City of Morro Bay and the City of San Luis Obispo. MOTION: Mayor Shelton moved Resolution No. 7-79 be read by title only. The motion was seconded by Councilman Harmon and unanimously carried. Mr. Thornton read by title only, Resolution No. 7-79. MINUTES - MORRO Regular Meeting, PAGE SIX Councilman Reasor moved the City Council approve Resolution No. 7-79. The motion was seconded by Mayor Shelton and carried unanimously by roll call vote. Consideration of Memorandum of Agreement Bay and Fire Fighters Local 1855. Mr. Thornton read into the record, a draft agreement between the City of Morro Bay and the Fire Fighters of Local 1855. Mr. Thornton stated the representative of the Fire Fighters had made a change in the agreement which he feels requires clarification. After this has been resolved, Mr. Thornton will sign the agreement along with the Fire Fighter's representative. This will then conclude the negotiations for the Fire Fighters. Consideration of Resolution No. 8-79 accepting the resignation of Carl J. Thornton as Interim City Administrator and City Clerk; and appointing Donald F. Guluzzy as City Administrator and City Clerk. Councilman Rosenberg moved Resolution No. 8-79 be read by title only. The motion was seconded by Mayor Shelton and unanimously carried. Resolution Councilman Rosenberg moved the City Council adopt Resolution No. 8-79. The motion was seconded by Mayor Shelton and unanimously carried by roll call vote. Mr. Thornton read into the record the proposed dates for terminating his services as Interim City Administrator with the City of Morro Bay, and requested the Council approve the dates or make any adjustments as they see fit. The dates are as follows: January 22nd--regular City Council meeting. February 6th--new Finance Director due on job February loth --Thornton begins week off to transact in Santa Ana February 19th--new City Administrator due on job; Thornton returns to active duty February 23rd--at close of work day (5:00 p.m.) Thornton finally -terminates service to City of Morro The City Council concurred for terminating his services as Morro Bay. Thornton's proposed dates City Administrator for INDIVIDUAL DETERMINATION AND/OR ACTION Mayor Shelton requested the City Council scheduled the Planning Commission and the Parks and Recreation Commission interviews at 6:30 p.m. rather than 7:00 p.m. on January 24, 1979, because one of the candidates has an appointment at 7:00 p.m. The City Council concurred. Councilman Rosenberg expressed his appreciation to Mr. his job performance as the Interim City Administrator. Council discussed having a farewell party Councilman Cantine to organize the party. 0 MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, January 22, 1979 PAGE SEVEN Councilman Harmon asked the status on the following: (1) report concerning the Senior Citizens's Center, (2) report concerning the implementation of the sewer tax, (3) scheduling the Planning Director interviews, and (4) completion of the road work on Morro Bay Boulevard as the Council directed staff to do. He suggested the City Council begin their regular meetings at 6:30 p.m. rather than 7:30 p.m., and use the extra hour as study session time. Mr. Thornton stated the Council would have a report concerning the Senior Citizen's center and the implementation of the sewer tax prior to his leaving. He also stated the applications for Planning Director have been preliminarly screened by himself and recommended the Council schedule February 3, 1979 to interview the candidates for the position. The City Council briefly discussed holding their regular meetings at 6:30 p.m. rather than 7:30 p.m. and using the hour as a study session. The majority felt the additional hour would not provide sufficient time to throughly discuss the items on the Council's work program list. Mr. Bressan stated as soon as weather permits, e.g., the street dries, the road work on Morro Bay Boulevard will commence. Mr. Thornton advised the City Council that Fire Chief Zerr is handling the complaint from the Morro Palms Mobile Lodge (letter dated January 16, 1979) concerning the recycling firm using the City's storage yard on Morro Bay Boulevard. Fire Chief Zerr inspected the area and reported there is a fire hazard caused because materials are piled, the housekeeping is bad, and there is evidence that the property is being used by transients. Chief Zerr has advised the people renting the property that they must enclose the area within six months. Councilman Rosenberg stated he has been working with John Bressan concerning the downtown parking situation, in terms of short and long-range solutions;= andwould'nIike_to_schedule this smatter^for a Council study session. Mayor Shelton stated he did not wish to duplicate efforts, and suggested discussion of the downtown parking situation be handled when the Council discusses the Downtown Embarcadero Plan Analysis. Councilman Cantine stated he did not wish to begin discussing the various elements of the General Plan until the Planning Director has been hired. Councilman Cantine discussed the Air Quality Attainment and Maintenance Plan with the Council and advised them on February 7th, SLO COG will consider approving the plan. Therefore, Councilman Cantine requested the Council review the Plan and provide any feed- back to him concerning the Plan. The City Council scheduled January 29, 1979, at 7:00 p.m. for a study session to discuss: (1) City committees, (2) discussion of procedure to be used in the selection/hire of wastewater consultant and (3) whether building permits should continue to be granted as ong as there is a building moratorium in Morro Bay.ti MINUTES - MORRO BAYCITY COUNCIL Regular Meeting, January 22, 1979 PAGE EIGHT 'Mayor -Shelton stated he would like to serve as the alternate to the Board of Directors for the Joint Powers Agreement rather than John Bressan because a staff member does not have voting rights. The City Council concurred. Mr. Risley stated he would like to have three copies of the Owen Menard report (Downtown Embarcadero Plan) for the three members of COG. 2. City Attorney Mr. LeSage requested the City Council hold an executive session after tonight's meeting is over. 3. City Administrator Mr. Thornton stated a member of Senator,. -Alan , Cranston's staff will be at City Hall on January 23rd, 10:00 a.m. to meet with the City's department heads, and requested two Councilmen attend the meeting. Councilman Cantine stated he would attend. Mr. Thornton paid tribute to the political representatives for their interest in the people of Morro Bay, namely Assemblywoman Hallett, Congressman Panetta, and Senator Cranston. MOTION: Councilman Harmon moved the meeting be adjourned to executive session. The motion was seconded by Councilman Reasor and unanimously carried. The meeting adjourned to executive session at 11:13 p.m. and returned to regular session at 11:22 p.m. MOTION: Councilman Reasor moved the meeting adjourn to Wednesday, January 24, 1979, at 6:30 p.m. in the City Hall Conference Room to interview applicants to fill the three vacancies on the Planning Commission. The motion was seconded by Mayor Shelton and unanimously carried. The meeting adjourned at 11:15 p.m. Recorded by: CARL J. THORNTON, City Clerk By: Elizabeth Penny Deputy City Clerk 0 0 CITY OF MORRO BAY AGENDA - MORRO BAY.CITY COUNCIL January 8, 1979, 7:30 P.M. MORRO BAY RECREATION HALL Call to Order Pledge of Allegiance Invocation Roll Call Public Comment A. CONSENT CALENDAR 1. Expenditure Report for December 1, 1978 through December 31, 1978. (RECOMMEND APPROVAL) 2. Minutes of the December 6, 1978 regular meeting 3. Minutes of the December 11, 1978 regular meeting 4. Minutes of the December 11, 1978 executive session 5. Resolution No. 66-78 amending adopted rules, regulations, and fees for mooring of vessels at piers, docks, and off- shore moorings within corporate limits of Morro Bay City. (RECOMMEND APPROVAL) 6. Resolution No. 70-78 designating five through streets and authorizing erection of stop signs. (RECOMMEND APPROVAL) B. HEARINGS, APPEARANCES, AND REPORTS 1. Oral follow-up report by Public Works Director concerning required stop signs on Kern Avenue and Piney Way. (Con- tinued from the December 11, 1978 City Council Meeting.) C. UNFINISHED BUSINESS 1. Consideration of Resolution No. 1-79 approving Reg Whibley's (Associated Divers) request for an addendum to lease__agree- ment and Resolution No. 6-79-_approving amendment to lease, agreement for lease sites no,: 52 and 52W. 2. Consideration of Resolution No. 2-79 approving annexation of Del Mar Park into the City limits of Morro Bay. 3. Consideration of making an appointment of a contractor to do the landscape architecture for Del Mar Park. 4. Consideration of Resolution No. 3-79 designating streets and speed limits to be enforced by radar. (Continued from the December 11, 1978 City Council meeting.) D. NEW BUSINESS 1._ Request'to schedule.W public-hearing,:to considercan appeal of a Planning Commission decision by W. M. Sooter concerning a variance for a fireplace encroachment. 2. Introduced and passed -to -print Ordinance No. 161'amending Ordinance No. 94, section 6220 entitled, "Art, Hobby or Handicraft Shows and Exhibitions". 3. Consideration of Resolution No. 4-79 granting approval of Use Permit Agreement to Morro Bay Art Association. 4. Consideration of Resolution No. 5-79 granting approval of Use Permit Agreement to Kiwanis Club of Morro Bay -Estero. 5. Consideration of approving an acknowledgement and agreement for a $2,000 contribution to the Morro Bay Home Repair Pro- gram between the City of Morro Bay and People's Self -Help Housing Corporation. 6. Consideration of claim for sewer lateral repair at 353 Quintana Road, Lauane Cook, Claimant. 0 0 CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL JANUARY 8, 1979, 7:30 P.M. MORRO BAY RECREATION HALL PAGE TWO D. NEW BUSINESS (CONTINUED) 7. Consideration of (a) North Coastal Joint Powers Agreement, (b) Joint Powers Agreement for,Handicapped Persons, and (c) Morro Bay -Cambria Transit System. 8. Consideration of Bid No. 12-78 for a Tandem Steel Wheel Vibratory Roller. 9. Consideration of Bid No. 13-78 to furnish the City with Commercial Grade Liquid Chlorine for the period February 1, 1979 through January 31, 1980. 10. Consideration of Bid No. 14-78 for Waterworks materials. 11. Introduced and passed -to -print Ordinance No.`i60..'amending Ordinance No. 62, section 5306.5 regarding Planning Commis- sioner's attendance at meetings. 12. Consideration of resolution authorizing filing application for Federal and State grants for publicly owned wastewater treatement works and providing certain assurances. E. INDIVIDUAL DETERMINATION AND/OR ACTION 1. City Council 2. City Attorney 3. City Administrator MINUTES - MbRRO; BAY CITY COUNCIL Regular Meeting January 8, 1979, 7:30 p.m. Morro Bay Recreation Hall The meeting was called to order at 7:30 p.m. by Mayor Pro-tem Cantine with the Pledge of Allegiance. Reverend Dear, City Chaplain, gave the invocation. ROLL CALL Present: Councilmen Cantine, Harmon, Reasor, and Rosenberg Absent: Mayor Shelton STAFF PRESENT Carl Thornton, City Administrator Michael LeSage, City Attorney Dave Braga, Parks and Recreation Director John Bressan, Public Works Director Elizabeth Penny, Deputy City Clerk PUBLIC COMMENT Mr. Risley asked if any of the water or sewer pipes in Morro Bay are made with asbestos. Mr. Bressan stated a good deal of the water pipes in Morro Bay have asbestos in the pipes, however, there is no evidence that injested asbestos disolved in the water causes cancer. PROCLAMATION Mayor Pro-tem Cantine read a proclamation into the record pro- claiming January 8 through January 12 as American Field Service (AFS) week. A. CONSENT CALENDAR 1. Expenditure Report for December 1, 1978 through December 31, 1973. (RECOMMEND APPROVAL) 2. Minutes of the December 6, 1978 regular meeting 3. Minutes of the December 11, 1978 regular meeting 4. Minutes of the December 11, 1978 executive session 5. Resolution No. 66-78 amending adopted rules, regulations, and fees for mooring of vessels at piers, docks, and off -shore moorings within corporate limits of Morro Bay City. (RECOMMEND APPROVAL) 6. Resolution No. 70-78 designating five through streets and authorizing erection of stop signs. (RECOMMEND APPROVAL) Mayor Pro-tem Cantine reviewed all items on the Consent Calendar and requested that item A-3 be deferred to the next meeting to allow for correction. Councilman Rosenberg requested that item A-2 be defe•r-red to the next meeting to allow for correction. The City Council concurred with these requests. MOTION.: Councilman Harmon moved that Consent Calendar items A-1 and A-4 through A-6 be approved. The motion was seconded by Councilman Reasor and unanimously carried by roll call vote with Mayor Shelton absent. 0 MINUTES - MORRO Regular Meeting, PAGE TWO BAY CITY COUNCIL January 8, 1979 B. HEARINGS, APPEARANCES, AND REPORTS B-1 Oral follow-up report by Public Works Director concerning required stop signs on Kern Avenue and Piney Way. (Continued from the December 11, 1978 City Council meeting.y� Mr. Bressan reviewed the results of the driving analysis field survey and recommended the following: (1) At the intersection of Marina and Piney Way, westbound on Marina, a stop sign be placed there because of the embark- ment and shrubs blocking the view of approaching traffic from the south. (2) At the intersection of Olive Street, both eastbound and westbound, and Piney Way, a stop sign is strongly recom- mended because of the extremely short, sight -distance created by the existing crest vertical curve and compounded by a wood fence to the north. To the south there are numerous shrubs and trees compounding the vertical curve situation. (3) At the intersection of Ridgeway, westbound at Piney Way, there is restriction of sight -distance created by a com- pounded horizontal and vertical crest curve. It is recom- mended that a stop sign be placed at this location. (4) The warrant for a yield sign which exists at Olive Street and Marina requires the approach speed on the minor street must be equal to, or greater than, 10 MPH. Staff feels it is not safe to approach these three intersections at 10 MPH and to proceed into the street. (5) All of the other intersections along Kern Avenue and Piney way are either currently controlled by stop signs or can be safely approached at 10 MPH or more. Mr. Risley stated he supports the recommendations made by Mr. Bressan and would like for additional review of the intersection of Piney Way and Anchor to be done. He also suggested the recom- mendations be discussed with the neighborhood involved. Councilman Harmon stated he would support the four stop signs being recommended by staff and questioned whether a stop sign at the intersection of Marina and Kern would be required. Mr. Bressan stated he would report back to the City Council on the intersections of (1) Anchor and Piney Way, and (2) Marina and Kern Avenue. The City Council deferred item B-1 to the next City Council meeting (January 22, 1979) for action. C. UNFINISHED BUSINESS C-1 Consideration of Resolution No. 1-79 approving Reg Whibley's (Associated Divers) request for an addendum to lease agreement for lease sites no.<52 and 52WW�be permitted. (Continued from November 27, 1978 City Council meeting.) u MINUTES - MORRO Regular Meeting, PAGE CTHREE BAY CITY COUNCIL January 8, 1979 Mr. Thornton stated this matter has been before the City Council before and at the last meeting Mr. Whibley was out-of-town and unable to attend the Council meeting, therefore, the request was continued to tonight's meeting. The Council has already determined they would support the leaseholders to mortgage the facilities constructed by them for the purpose of using the money for the purpose other than the development of the leasehold itself, which is required in the provisions of the lease documents at the time they obtained the leasehold. The question is the extent the City Council wishes to control the amount that would be permitted to them to hypothecate the interest in the facility. Mr. Whibley reviewed with the City Council the appraisal which was completed on December 8, 1977 by Schenberger, Ross and Taylor and outlined the replacement cost (new) of the property improvements which amounted to $92,430.00 Mr. LeSage stated the actual out-of-pocket cost is of concern and should be addressed by the City Council. Mr. Whibley stated the dollar figures that have been submitted are based upon what he charges to the general public, e.g., the wood pier costs $15.00 per square -foot. Mr. Whibley expressed concern with the one year time limit to allow for the encumbrance because two years from now $50,000 may not be a fair figure. He also requested that page six, paragraph eleven of the Lease, the sentence that reads:..."for the sole purpose of financing improvements on the property" be deleted. Councilman Rosenberg suggested the City Council set a figure good for one year, and prior to it being released, Mr. Whibley come before the Council with the proposed purpose and use of the money for approval. The City Council concurred. Mr. Whibley requested a renewal option be given on the one year. Mr. Thornton stated the current City Council may not bind the policy determination of a subsequent Council, and therefore, could not grant a renewal option. Mr. Whibley stated he could support an encumbrance of the lease site in the amount of $65,000 for a one year period. MOTION: Councilman Rosenberg moved that Resolution No. 1-79 be read by title only. The motion was seconded by Councilman Harmon and carried unanimously with Mayor Shelton absent. Mr. Thornton read by title only, Resolution No. 1-79. MOTION: Councilman Rosenberg moved that the City Council approve Resolution No. 1-79 and the Addendum to Lease as amended, which reflects an encumbrance of the lease site for $65,000, for a one year period. The motion was seconded by Councilman Reasor and carried by roll call vote with Councilman Harmon voting no and Mayor Shelton absent. Councilman Harmon stated he voted no because he feels that -all leaseholders should be allowed�__the_ssame.right_to encumber their leases. 0 171 MINUTES - MORRO Regular Meeting, PAGE FOUR BAY CITY COUNCIL January 8, 1979 The City Council deferred consideration of Resolution No. 6-79 1 for an amendment to the Lease Agreement concerning the permitted uses, to the January 22, 1979 City Council meeting because it was not listed on the current agenda. C-2 Consideration of Resolution No. 2-79 approving annexation of CDel Mar Parginto the City limits of Morro Bay. Mr. Thornton stated the Local Agency Formation Commission has approved the annexation of Del Mar Park and has authorized the City to complete the annexation, therefore, staff recommends the City Council adopt Resolution No. 2-79. MOTION: Councilman Harmon moved that Resolution No. 2-79 be read by title only. The motion was seconded by Councilman Reasor and unanimously carried with Mayor Shelton absent. Mr. Thornton read by title only, Resolution No. 2-79. MOTION: Councilman Harmon moved that the City Council adopt Resolution No. 2-79. The motion was seconded by Council- man Reasor and unanimously carried with Mayor Shelton absent. C-3 Consideration of making an appointment of a contractor to do the landscape architecture for Del Mar Park. Mr. Thornton recommended to the City Council that they approve Ted Elder, landscape architect, to prepare the necessary drawings and specifications for Del Mar Park and authorize staff to negotiate his fee. Mr. Elder's fee will be paid from the grant funds. Mayor Pro-tem Cantine and Councilman Reasor expressed concern in not designating a specific fee and leaving it open=ended. MOTION: Councilman Reasor moved that the City Council contract with Ted Elder, landscape architect, and instruct staff to return to the City Council with a proposal for the Council to con- sider of the negotiated fee. The motion was seconded by Councilman Harmon and unanimously carried with Mayor Shelton absent. The City Council requested staff make a presentation to the Council of the final drawings of the master plan for Del Mar Park to include the facilities, their location, etc. C-4 Consideration of Resolution No. 3-79 designating streets and speed limits to be enforced by radar. (Continued from the December 11, 1978 City Council meeting.) Mr. Bressan reviewed the speed zone summary that outlines twelve streets in Morro Bay that staff is proposing speed limits be enforced by radar. MOTION: Councilman Harmon moved that Resolution No. 3-79 be read by title only. The motion was seconded by Councilman Reasor and unanimously carried with Mayor Shelton absent. Mr. Thornton read by title only, Resolution No. 3-79. 0 MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, January 8, 1979 PAGE FIVE MOTION, Councilman Harmon moved that the City Council adopt Resolution No. 3-79. The motion was seconded by Councilman Rosenberg and unanimously carried with Mayor Shelton absent. Break: 9:05 p.m. Reconvened: 9:10 p.m. D. NEW BUSINESS D-1 Request to schedule a public hearing to consider an appeal of a Planning Commission decision by W.M. Sooter concerning a variance for a fireplace encroachment. The City Council scheduled regular meeting, on January 22, appeal. the public hearing at their 1979, to consider Mt. Sooter's D-2 Introduced and passed -to -print Ordinance No. 157 amending Ordinance No. 94, section 6220 entitled, "Art, Hobby or Handi- craft Shows and Exhibitions". MOTION: Councilman Rosenberg moved that Ordinance No. 157 be read by title only. The motion was seconded by Councilman Reasor and unanimously carried with Mayor Shelton absent. Mr. Thornton read by title only, Ordinance No. 157. MOTION: Councilman Rosenberg moved that the City Council pass -to - print Ordinance No. 157 and schedule it for adoption at the January 22, 1979 City Council meeting. The motion was seconded by Councilman Reasor and unanimously carried with Mayor Shelton absent. D-3 Consideration of Resolution �No. 4-79 granting approval of Use Permit Agreement to Morro Bay Art Association. MOTION: Councilman Rosenberg moved that Resolution No. 4-79 be read by title only. The motion was seconded by Councilman Reasor and unanimously carried with Mayor Shelton absent. Mr. Thornton read by title only, Resolution No. 4-79. MOTION: Councilman Rosenberg moved that the City Council adopt Resolution -No. 4-70. The motion was seconded by Councilman Harmon and unanimously carried with Mayor Shelton absent. D-4 Consideration of Resolution No. 5-79 granting approval of Use Permit Agreement to Kiwanis Club of Morro Bay -Estero. MOTION: Councilman Reasor moved that Resolution No. 5-79 be read by title only. The motion was seconded by Councilman Harmon and unanimously carried with Mayor Shelton absent. Mr. Thornton read by title only, Resolution No. 5-79. MOTION: Councilman Reasor moved that the City Council adopt Res- olution No. 5-79. The motion was seconded by Councilman r_ Harmon and unanimously carried with Mayor Shelton absent. 0 MINUTES - MORRO Regular Meeting, PAGE SIX BAY CITY COUNCIL January 8, 1979 D-5 Consideration of approving an Acknowledgement and Agreement for a $2,000 contribution to the Morro Bay Home Repair Program between the City of Morro Bay and People's Self -Help Housing Corporation. Mr. Thornton reviewed the Acknowledgement and Agreement with the City Council noting the $2,000.00 that Morro Bay City gives to People's Self -Help Housing Corporation would provide minor/ emergency home repair and services to senior citizens and disabled persons who own or occupy their own house or mobile home within the City of Morro Bay. Mr. Thornton also stated the Council appropriated•.the $2,000.00 for this purpose in the 1978/79 fiscal year budget. MOTION: Councilman Harmon moved that the City Council approve the Acknowledgement and Agreement and direct staff to complete the necessary paperwork. The motion was seconded by Councilman Reasor and carried unanimously by roll call vote with Mayor Shelton absent. D-6 Consideration of claim for sewer lateral repair at 353 Quintana Road, Lauane Cook, Claimant. Mr. Thornton provided the background of the claim and recommended the City Council deny responsibility and refer the matter to the City's insurance carrier. Staff feels the liability lies with either the waterline contractor who cut through the lateral, and/or the County of San Luis Obispo who was responsible for the project inspection. Mrs. Cook reviewed the letter from Morro Plumbing dated December 4, 1978 which stated the sewer lateral was damaged from prior installation of the City water main. Mrs. Cook stated she built her house two years ago and that she feels since the unforeseen damage was done prior to this time, she does not feel she is responsible for the cost of repairing the damage, and that the City should reimburse her. Mr. Bressan reviewed the history behind the installation of the sewer and waterlines in the area of Quintana Road noting that it is speculated that the waterline contractor cut through the existing laterals to excavate the trench with the intention of repairing them prior to backfilling the trench. Because there was no house at 353 Quintana Road at that time, the contractor probably overlooked the repairs of this lateral. Mr. LeSage stated because this is something that happened prior to the City incorporating, the County of San Luis Obispo or the contractor is at fault. MOTION: Councilman Reasor moved the City Council deny responsiblity and refer the matter to the City's insurance carrier. The motion was seconded by Councilman Harmon and unanimously carried with Mayor Shelton absent. D-7 Consideration of (a) North Coastal Joint Powers Agreement, (b) Joint Powers Agreement for Handicapped Persons, and (c) Morro Bay -Cambria Transit system. 0 r MINUTES - MORRO Regular Meeting, PAGE SEVEN BAY CITY COUNCIL January 8, 1979 Mr. Thornton reviewed the staff report and stated this is a cooperative venture which has been signed by the City and County of San Luis Obispo. The equipment will be furnished by the County, but the operation of the transportation system between Morro Bay and Cambria would be under the control and management of Morro Bay as the City's contribution to this operation. Ruth McDaniels stated the funds are categorized as SB325 which requires the funds be expended for unmet transportation needs. Ted Fairaday asked when the transportation system would begin. Kitty Schafer stated she had worked toward getting the program implemented with the understanding that it would be in operation by the first of the year and asked what was the delay. Mr. Bressan stated the joint powers agreement must be signed, the routes established and the schedules developed which would take about two months. Mr. Thornton stated the City Council did not meet but once in December because their regular meeting date fell on Christmas, therefore, approval of the J.P.A. was delayed. MOTION: Mayor Pro-tem Cantine moved that the City Council of Morro Bay authorize the entering into of an Agreement between the County of San Luis Obispo, City of San Luis Obispo, and City of Morro Bay to jointly operate a bus between Morro Bay Los Osos, Baywood Park, Cuesta College, the California ,Men's Colony and the City of San Luis Obispo. The City Council agrees to undertake the operation of a transit route serving Cambria, Cayucos, Rancho Colina, and Morro Bay to connect with and serve the route between Morro Bay South Bay, and the City of San Luis Obispo. All expenses for this operation to be paid for by the County of San Luis Obispo. The motion was seconded by Councilman Reasor and unanimously carried with Mayor Shelton absent. MOTION: Councilman Rosenberg moved that the City Council authorize the Mayor and the City Clerk to sign the Joint Powers Agreement between the County of San Luis Obispo and the Cities of San Luis Obispo, Arroyo Grande, Grover City, Morro Bay, Paso Robles and Pismo Beach for the joint operation of a Regional Handicapped Transporation System to serve the entire County. The motion was seconded by Councilman Reasor and unanimously carried with Mayor Shelton absent. MOTION: Councilman Rosenberg moved that the City Council authorize the Mayor and the City Clerk to sign the Joint Powers Agreement between the County of San Luis Obispo, City of San Luis Obispo, and the City of Morro Bay for the operation of a transit system between San Luis Obispo and Morro Bay including.Baywood Park and Los Osos. The motion was seconded by Councilman Reasor and unanimously carried with Mayor Shelton absent. n `J MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, January 8, 1979 PAGE EIGHT MOTION: Councilman Rosenberg moved that the City Council authorize a contribution from the City of Morro Bay to the Joint Powers Authority for the operation of the North Coastal Transit System in the amount of $16,035.00 to be paid from money received from the State of California under SB325 and authorize the Mayor and City Clerk to sign the Joint Powers Agreement. The motion was seconded by Councilman Reasor and unanimously carried by roll call vote with Mayor Shelton absent. MOTION: Councilman Rosenberg moved that the City Council authorize the expenditure of $2,793.00 from the SB325 money to be allocated for the Joint Powers Agreement between the County of San Luis Obispo, and the Cities of San Luis Obispo, Arroyo Grande, Grover City, Morro Bay, Paso Robles, and Pismo Beach for the joint operation of the Regional Handi- capped Transportation System to serve the entire County. The motion was seconded by Councilman Harmon and unanimously carried by roll call vote with Mayor Shelton absent. Mayor Pro-tem Cantine stated he would volunteer to serve on the Board of Directors because he currently is on COG, and COG is respon_._ sible for this program. He also suggested that John Bressan serve as the alternate. The City Council concurred with Mayor Pro-tem Cantine's suggestion. MOTION: Mayor Pro-tem Cantine moved that the City Council establish representation to the Board of Directors of the North Coastal Transit System consisting of Councilman Cantine and John Bressan, Public Works Director and direct staff to advise the County. The motion was seconded by Councilman Harmon and unanimously carried with Mayor Shelton absent. D-8 Consideration of Bid No. 12-78 for a Tandem Steel Wheel Vibratory Roller. MOTION: Councilman Reasor moved that the City Council award the contract to the Mustang Equipment Company in the amount of $6,143.70. The motion was seconded by Councilman Harmon and unanimously carried by roll call vote with Mayor Shelton absent. D-9 Consideration of Bid No. 13-78 to furnish the City with Commercial Grade Liquid Chlorine for the period February 1, 1979 through January 31, 1980. MOTION: Councilman Reasor moved that the City Council award the contract to Coastal Ag-Chem. The motion was seconded by Councilman Harmon and unanimously carried by roll call vote with Mayor Shelton absent. D-10 Consideration of Bid No. 14-78 for Waterworks materials. Councilman Reasor stated he requires the installation of some where permissable, to collect and water distribution system. thought the State Health Department type of filtering within the system stop any asphalt fibers within a 0 MINUTES - MORRO Regular Meeting, PAGE NINE BAY CITY COUNCIL January 8, 1979 Mr. Bressan stated to his knowledge the State Health Department has not made this a requirement, and that he would assume if it was that he would have been notified of this. He also stated the American Water Works Association, major pipe manufacturers of asbestos, and all governmental agencies, at this time, are not recognizing any connection between stomach cancer and asphalt pipe. MOTION: Councilman Reasor moved the City Council approve the bid and award the contract to Parkson, Inc. for $8,806.70. The motion was seconded by Councilman Rosenberg and unanimously carried by roll call vote with Mayor Shelton absent. D-11 Introduced and passed -to -print Ordinance Nd. 62, section 5306 attendance at meetings. Ordinance No. 156 amending 5 regarding Planning Commissioner's Councilmen Rosenberg and Reasor stated they would support the proposed Ordinance to read: ...three meetings during a calendar year... shall be deemed to constitute the voluntary resignation..." Councilman Cantine stated he would support the current Ordinance and did not see the need for any revision. When he served on the Planning Commission he did not experience any problem with lack of quorums, Commissioner's attendance being irregular, etc. The City Council further discussed the proposed amendment to the Ordinance and Councilman Cantine suggested that if the consensus of the Council is to revise the current Ordinance that it read: "...three regular meetings during a calendar year... shall be deemed to constitute the voluntary resignation..." MOTION: Councilman Rosenberg moved that Ordinance No. 156 be read by title only. The motion was seconded by Councilman Harmon and unanimously carried with Mayor Shelton absent. Mr. Thornton read by title only, Ordinance No. 156. MOTION: Councilman Rosenberg moved that the City Council pass -to - print Ordinance No. 156 with section 1 to read: "5306.5 Absence. Absence of a member from three regular meetings during a calendar year without formal consent of the Planning Commission noted in its official minutes shall be deemed to constitute the voluntary resignation of such absent member and the position shall be declared vacant." and schedule it for adoption at the January 22, 1979 City Council meeting. The motion was seconded by Council- man Harmon and carried with Mayor Pro-tem Cantine voting no and Mayor Shelton absent. D-12 Consideration of resolution authorizing filing a p1ication for Federal and State grants for publicly-owned(wastewater treatment works and providing certain assurances. Mr. Thornton requested the item be deferred to a future City Council meeting because they are requesting the Council to authorize a representative (City Administrator) to sign on behalf of the City of Morro Bay for application of Federal and State Grants. At this time, the authorized signature is Murray Warden's. Mr. Thornton stated he did not feel it is necessary to delete Mr. Warden's name, substitute his name, and then resubstitute the new City Administrator's name. The City Council concurred with Mr. Thornton's recommendation to defer the matter to such a time that a permanent City Administrator is hired. 0 MINUTES - MORRO BAY CITY COUNCIL Regular Meeting, January 8, 1979 PAGE TEN E.., INDIVIDUAL DETERMINATION AND/OR ACTION i.— City Council Mr. Thornton recommended the City Council adopt a minute order stating their approval and support ofCPhase One of the Sewer Treatment Plant j MOTION: Councilman Rosenberg moved the following minute order be adopted: "In order that there be'no misunderstanding of the position taken by the Morro Bay City Council and each of its members, Mayor (Pro-tem) Cantine is hereby instructed to convey to the membership and staff of the California State Water Control Board the unanimous approval and support by the Council of the Phase One engineering concept developed by Corollo Engineers, including plant size and treatment process, outfall sewer and water reclamation procedures as contained therein. Furthermore the Council intends that the first priority of the use of such reclaimed water would be to improve and maintain the water quality of the Chorro Basin aquifer." The motion was seconded by Councilman Reasor and unanimously carried with Mayor Shelton absent. City Attorney No comments were made. City Administrator Mr. Thornton stated he was hired as interim City Administrator and was charged with the responsibility of providing a procedure for the City Council to select a permanent City Administrator. He stated the City Council has considered this matter in executive session and would like to report, on the Council's behalf, that this has been accomplished and a new City Administrator has been selected for Morro Bay. The vacancy was advertised extensively throughout the State of California and advertisements were placed in the International City Manager's Association. There were 122 applications submitted and approximately 95 applicants, in Mr. Thornton's opinion, constituted good applications from competent people that merited consideration. The City Council investigated the resumes and applications and selected those that would be interviewed. Eleven men were invited for an in- terview, and four of them were selected by the Council to be acceptable by providing all of the education and experience backgrounds, per- sonality, personal attitudes of professionalism, and competent to perform the job of City Administrator in Morro Bay. The City Council authorized Mr. Thornton to make offers of employment, and he did so, and announced that Donald F. Guluzzy has accepted this appointment and the City Attorney is preparing a resolution for the City Council to adopt, that will make this appointment official. Mr. Thornton stated Mr. Guluzzy is, at the present time, a City Administrator in the township of Aberdeen, New Jersey, and has been for the last five years. Mr. Guluzzy has had about nine years of decision -making experience in the position of Chief Administrative Officer. He has served on various committees for the International City Manager's Association. In 1970 he was selected as one of the outstanding young men of America. He is single and 35 years old. Mr. Guluzzy is involved in the development of his City's annual budget and has requested that he not be required to begin employment with the City of Morro Bay until February 19, 1979. MINUTES - MORRO Regular Meeting, PAGE ELEVEN BAY CITY COUNCIL January 8, 1979 Councilman Cantine stated it is necessary for the City Council to schedule a study session for the purpose of discussing the water situation in Morro Bay. The Council set February 19, 1979 at 7:00 p.m. in the City Hall Conference Room for the meeting. MOTION: Councilman Reasor moved the meeting adjourn to Friday, January 19, 1979, at 7:00 p.m. in the City Hall Conference Room to discuss the water situation in Morro Bay. The motion was seconded by Councilman Harmon and unanimously carried with Mayor Shelton absent. The meeting adjourned at 11:10 p.m. Recorded by: CARL J. THORNTON, City Clerk By: Elizabeth Penny Deputy City Clerk 11 MINUTES - MORRO BAY CITY COUNCIL :Special Meeting January 5, 1979, 6:00 p.m. City Hall Conference Room The meeting was called to order at 6:15 p.m. by Mayor Pro-tem Cantine. ROLL CALL Present: Councilmen Cantine, Harmon, and Reasor Absent: Mayor Shelton and Councilman Rosenberg STAFF PRESENT Carl J. Thornton, City Administrator Elizabeth Penny, Deputy City Clerk GUESTS PRESENT Leon Panetta, Congressman Mayor Pro-tem Cantine stated the:City-Council hoped to discuss with Congressman Panetta, Morro Bay's Sewer Plant. He advised that there are several critical decisions to be made in Sacramento on January 10, 1979 concerning the plant. Mayor Shelton, Councilman Reasor, and Carl Thornton, City Administrator, have traveled to Sacramento and met with various State officials to discuss the City's Sewer Plant. Congressman Panetta stated he would like to discuss with the City Council some of the general federal programs that impact on communities and what he sees as far as the next Congress is concerned, and would then discuss any of the particulars that involve the sewage systems. Congressman Panetta reported the following to the City Council: (1) Congressman Panetta has been meeting with the various City _Councils and Board of Supervisors to listen to their concerns about the weaknesses/strengths of the federal programs. (2) In the 96 Session of Congress, the focus will probably be on budget issues and working toward reducing the deficit to about 20 to 30 billion. (3) The main focus in the upcoming year will be on ongoing programs. The exception to this would be in the area of health care, other- wise Congressman Panetta does not feel any new programs will emerge from Congress. (4) Congressman Panetta has introduced the bi-annual budget proposal in Congress. The reason for this is (a) he does not feel Congress can ever do a good job of review of on -going programs without additional time. The proposal time allows for one year, out of the two years, for review of the budget; and the second year to work on any new legislation or appropriation. This will give Congress the ability to spend more time on review of on -going spending and (b) provides a two year budget for the programs that Congress funds. The democratic leadership has endorsed this proposal. MINUTES - MORRO Special Meeting, PAGE TWO BAY CITY COUNCIL January 5, 1979 (5) The Counter Reciprocal Services Program provides additional monies to communities that have above the national average of unemployment. The White House will probably renew the program at 100 million dollars, but the funds will most likely be targeted at large urban areas. (6) Revenue Sharing has been authorized through September of 1980, at $6.85 billion dollars, but Congress has had appropriation battles each year as to who/what will be funded. There is broad support for revenue sharing and it will probably be con- tinued at the same level or slightly higher. (7) There was an indication from the Office of Management and Budget that the CETA program may be recommended for termination in order to meet the President's target on deficit spending, but Congressmen Panetta does not feel the White House will recommend this, nor will Congress support it. The salary levels that can be paid to CETA employees have been reduced, and Congress has widened the amount of money that goes to the private sector. Congressman Panetta feels the CETA program will continue to be funded, not only because Congress worked on it in the last session, but also because if a recession occurs, a slowing in the economy, or increased unemployment is experienced, CETA is one of the few programs provided by the Federal:�_Govern ment that provides jobs to people. (8) Whether the additional funds that flow to the Federal Govern- ment as a result of Proposition 13 can be returned to the community for various uses is an issue. Also, the impact on the formula in regards to on -going programs. Some programs have a matching requirement and others have a comparability requirement. Spending must be reduced. (9) Congress will be looking at Social Security because taxes are going up in January. (10) There is an on -going study looking at the possibility of requiring federal employees to come under the Social Security system. Congressmen Panetta does not feel that Congress will support any effort that has any kind of retroactivity attached to it. (11) Additional mandates that flow from the Federal Government, red tape, etc., is a very real problem. Congressmen Panetta feels that more flexibility for local communities is needed. Smaller communities have a more difficult time securing grants because they can not afford to hire grantsmen. Councilman Reasor stated he is against Social Security and questioned if there was any chance for reform in the next session of Congress. He also stated the business community is hit very hard, especially with the last increase. Congressman Panetta stated there are a number of contradictions associated with Social Security. At the same time a tax reduction bill is being worked on, several Congress members (Panetta included) feel that a tax reduction should not be considered unless Social Security is also addressed. Some people pay more in taxes because of Social Security. 0 MINUTES - MORRO BAY CITY COUNCIL Special Meeting, January 5, 1979 PAGE THREE Councilman Cantine stated the military retirement costs are rising and asked what Congress planned to do in this area. Congressmen Panetta stated that about 50 to 60 percent of the military budget is for personnel and about 40 percent is for military hardware. The possibility of reform in this area has not been looked at too much by Congress. Councilman Cantine stated he is aware of Congressmen Panetta's commitment to reclamation. The City of Morro Bay has gone on record supporting the Carollo Report, and supporting the reclamation and wastewater portion of the project. The Coastal Commission has made the statement that if the City does not create an additional water supply, then they will mandate cutting back the capacity of the wastewater treatment plant itself, which would be totally uneconomical. Mr. Thornton stated during the procedure the Federal Government almost totally eliminated any possibility of using the existing facilities, because they increased the water quality to be permitted to be put into the bay. In the attempt to link the new wastewater processing disposal plant with the reclamation, the City was caught between the State and the Federal Government. The Coastal Commission says the City can only have two million gallons unless we have a reclamation program. The grant money can not be used for any of the procurement of the property and the City would have to put out about one million dollars; this is not feasible since the City's entire budget is only two million dollars. The Environmental Protection Agency (EPA) has made the statement they are not in the business of supplying additional water for population growth. The City is not asking for this, Morro Bay is asking for protection of,their aquifer. EPA has also said they are not in the business of purchasing land for reclamation. Councilman Reasor stated there is a health problem involved if the City does not get a reclamation project. During the last drought, particularly, the older people had to purchase bottle water because the City's water was saline. Mr. Thornton explained to Congressmen Panetta how the fish processors would be affected if the City did not have a reclamation project. Congressmen Panetta stated that he would look into the dates of the various hearings and research what type of testimony needs to be presented on behalf of the City. MOTION: Councilman Harmon moved the meeting adjourn to Monday, January 8, 1979, at 7:30 p.m. in the Morro Bay Recreation Hall for the City Council's regular meeting. The motion was seconded by Councilman Reasor and unanimously carried with Mayor Shelton and Councilman Rosenberg absent. The meeting adjourned at 7:20 p.m. Recorded by: CARL J. THORNTON, City Clerk { By: Elizabeth Penny Deputy City Clerk CITY OF MORRO BAY AGENDA - MORRO BAY CITY COUNCIL JANUARY 2, 1979, 7:00 P.M. CITY HALL CONFERENCE ROOM Subiects for Discussion 1. Filling Planning Commission vacancies 2. Staff report on personnel positions 3. Report on Senior Center task force 4. Sewer use charge report 5. Harbor Committee organization 6. Filling committee openings 7. Council member report on committees 8. Develop City Council policy requiring franchises to provide financial statement prior to rate change approval 9. Harbor Master acting as agent for City and signing rental agreements MINUTES - MORRO BAY CITY COUNCIL Special Meeting January 2, 1979, 7:00 P.M. City Hall Conference Room The meeting was called to order at 7:15 p.m. by Mayor Shelton. ROLL CALL Present: Councilmen Cantine, Reasor, Rosenberg, and Mayor Shelton Absent: Councilman Harmon STAFF PRESENT Carl J. Thornton, City Administrator Elizabeth Penny, Deputy City Clerk Mayor Shelton reviewed the agenda with the City Council and re- quested that "Further discussion of problems contained on the Council's work program list" be added as item 10. The City Council concurred. Filling Planning Commission Vacancies Mr. Thornton stated any person who �is'appointed to serve on a legislative body must do so until such a time that he is replaced, discharged, or reappointed. Mr. Thornton also stated the Planning Commission vacancies have been advertised with the closing date effec- tive January 8, 1979 with a.statement that the Council act on this any time after January 15, 1979. Mr. Diffley brought up the fact the Mattey Amendment of 1977 re- quires that a 20 day period elapse from the vacancy availability. Mr. Thornton stated he felt it was a 10 day period and would check with the City Attorney.for clarification. Councilman Cantine stated he would like to interview any appli- cant that has applied and not been interviewed previously. He also stated he could support the reappointment of Ralph Peters. Mayor Shelton stated there are vacancies on the Environmental Resources Committee and Finance Committee and would invite people to apply. Councilman Cantine expressed concern -regarding the lengthly list., of work program items and requested the Council discuss how some of the items could be handled through City committees. The City Council referred Councilman Cantine's request to agenda item 10. Staff report on personnel positions Mr. Thornton stated he is discussing appointments, in accordance with instructions from the City Council, in the areas of City Admini- strator and that he had met with the potential Finance Director today for two hours. A response will possibly be given within the next week, with the assurance that if the job is accepted the individual will begin employment on February 1, 1979. The Local Coastal Planner will begin employment on January 8, 1979. The closing date for accepting applications"for Planning Director is January 5, 1979. 4 MINUTES - MORRO Special Meeting, PAGE TWO BAY CITY COUNCIL January 2, 1979 on Senior Center task force Mr. Thornton stated John Bressan, Public Works Director, and Dave Braga, Parks and Recreation Director, the staff persons mainly involved in this matter. He also stated the investigation of those areas (cities) outside of the City limits that have senior centers is almost completed and a report will be completed as the Council requested by January 15, 1979. Councilman Cantine advised the City Council that the Senior Citizen Board feels they should not go ahead with seeking grants because a site had not been chosen. He stated he had reassured the Board they should proceed with all practical speed, to seek any grants available, as the Council would furnish any necessary assurances that..a suitable site would be made available. Mr. 'Campbell reiterated his feelings from previous meetings that he is not opposed to a building being used for a senior center, but feels that other organizations should have access to the building. Sewer use charge' report Mr. Thornton stated, working on the basic assumption in an attempt to establish original equity between flat -rate users and those charged by volume, keeping mind the original attempt to establish this charge was 38C per 100 cubic feet, which is almost the equivalent of the charge of the present water rate which is 50C per cubic feet, presents two problems. They are (1) to raise a sufficient amount of money to meet the realistic requirements and the imposed requirements of the Federal and State agencies, and (2) the equitable distribution of the charge. Councilman Cantine brought up the fact when the sewer use charge was instituted it was to pay for the Operation and Maintenance of the present Sewer Plant and did not include the ultimate cost of the revised or repayment of any of the future costs. The City was on a pay-as-you-go basis recognizing that a revised and larger plant would be part of Phase II. Mr. Thornton stated in order to get the P-hase,II grant a plan of financing to provide for at least the "operation and main- tenance of the plant as it will exist when completed must be given to the Federal Government. Secondly, the City Council may be forced to levy some type of charge or arrange for a financial procedure to provide for a reserve fund to equal the depreciation values of the plant. Mayor Shelton stated the plan used before was based on volume and the 38C sewer charge was basically on water usage, and that that charge per 100 cubic feet would be increased as phase two was initiated and the plan presented to the Environmental Protection Agency (EPA) would provide for the reserve for the future sewer plant. Mr. Thornton stated the 38C charge would have brought into the City about $165,000 per year. The problem here is the antici- pated operation and maintenance, not including depreciation, for the anticipated plant when it goes into operation is about $250,000. If a depreciation reserve is set up it will be about $500,000 which is impractical for a community the size of Morro Bay. MINUTES - MORRO BAD' CITY COUNCIL Special Meeting, January 2, 1979 PAGE THREE Mr. Thornton advised the Council that a federal regulation states the EPA will not subsidize industrial users, therefore a charge must be placed on them according to the type of effluent. This would affect the seafood processors and the charge per month would be so great that they could not economically persist, and if they leave Morro Bay the fishing fleet goes, and then the tourist business leaves. The City Council discussed Morro Bay's current water system in terms of its need for replacement, the present costs of production of water, distribution of water, maintenance of water plant, and re- placement of tanks. Councilman Reasor stated he hasdoubts concerning "the water equivalency -as it relates to duplexes and apartments within the City. Mr. Campbell brought up growth in Morro Bay as it relates to the water and sewer plants. Discussion followed. Break: 8:20 p.m. Reconvened: 8:35 p.m. Councilman Cantine provided a report to the City Council concerning his telephone conversation with Don Rothenbaum of the State Water Resources Control Board concerning the City's reclamation project as a Title I grant and Phase II of the Wastewater Plant. Mr. Thornton stated the basic question of the Coastal Commission is the size of the plant relative to water supply as represented by the truncated reclamation system. They feel the extrapolation of the data on potential impact of people (users) is if we do not have the additional water, we do not have any need for more than two million gallons of water per day at the plant. Councilman Reasor stated he met with State officials on his own time and at his own expense. He met with John Bryson, Chairman of the Water Resources Control Board on December 26, 1978 and he advised him that the City of Morro Bay is supportive of reclamation. Council- man Reasor also met with Kurt Wasserman of the State Recycling Board who recommends strongly the City Council have representation at the January 10, 1979 meeting to provide input. Mayor Shelton stated he had spoke with Mr. Rothenbaum on the telephone and that he had indicated that it would be a group fIv project with a waiver on the land acquisition which would enable the City to proceed with the reclamation project if approved by the Board. Since Mayor.Shelton cannot attend the meeting in Sacramento on January 10, 1979,'Councilman Cantine will go as Mayor Pro-tempore. Councilman Cantine requested that Carl Thornton accompany him to the meeting to lend credibility at the meeting and provide his expertise. The City Council concurred. Councilman Reasor stated he would try and contact Assemblywoman Hallett and Mayor Shelton will try and contact Senator Nimmo to see \ if they can also attend the Water Resources Control Board meeting in Sacramento, held on January 10, 1979. The..City.Council:discussed.the Texaco outfall. i i Mayor Shelton advised the Council that Congressman Panetta wated to meet with the Council, therefore, he had scheduled a meeting on Januarv_5.,._1979, at__(;:_f)0 n_m., in . the_(7i.,t.,_Ei.al Confcconrc Rnom„_ MINUTES - MORRO BI CITY COUNCIL Special Meeting, January 2, 1979 PAGE FOUR Harbor Committee organization The City Council referred this item to fall under agenda item ten. Filling Committee openings _This was discussed under item (1)--no'additional comments -were made. Council Member report on Committees Councilman the City Council item. Councilman meetings usually affecting them. Council's study concurred. Ci Cantine suggested that "Committee Reports" be added to agenda after "Public Comment" as a regular agenda Rosenberg stated the public, "who attend the Council do so because of a particular item of concern to or He suggested "Committee Reports" be added to the session agendas. Mayor Shelton and Councilman Reasor it Policv reauir an ses to provide financial Councilman Reasor stated he would like for the City Council to adopt a policy requiring a financial statement that would include the profit and losses along with a balance sheet on all rate increases being requested by franchises to assess if the increase being requested is fair and warranted. Councilman Reasor also stated he felt that the statement should be for two years prior and the current year. The City Council discussed requiring an audit report vs. a financial statement,;and determined they would like to have the option if deemed necessary, to require a CPA complete an audit. The City Council directed'staff to prepare a resolution to in- corporate in the City's rules and regulations for increasing the rates on franchises. Harbor Master acting as agent for City and signing rental agreements Mr. Thornton stated the Public Works Director has redesigned the form and the system which provides for rates, termination dates, etc. and that the responsibility now lies with the Public Works Director. Mayor Shelton requested that the Public Works the procedure-foi-the-rental of City slips when a ensure that it is equitable. Director review vacancy occurs, to Councilman Cantine expressed concern regarding the changes in the requirements of City slips for commercial fishing boats, and stated he would discuss this further when the Harbor Plan is in the process of being developed. Further discussion of problems contained on the Council's work program Councilman Cantine stated.he_would like -to. discuss how the - Council plans to fill the various committee openings, obtain necessary' -public input, utilize resources, staff and consultants. MINUTES - MORRO BfCITY COUNCIL It Special Meeting, January 2, 1979 PAGE FIVE Councilman Rosenberg stated he feels the City Council should pro- vide direction to the Planning Commission concerning what the Council would like addressed in the General Plan's elements. The City Council discussed providing clarification of the func- tion of the City's Planning Commission e.g., guidelines, authority of Commission, etc. Mayor Shelton requested that Councilmen Cantine and Rosenberg, due to the fact they were previous Planning Commissioners, work to- gether, in developing a report to the Council addressing the issue of Planning Commission's function as discussed. The City Council discussed holding a joint meeting between the Planning Commission and the City Council. The Council felt the meeting should be held after the Planning Director is hired. Mayor Shelton discussed the Harbor Committee with the Council stating the need to determine whether a committee is necessary, and if it is warranted then what the composition should be. He requested this item be scheduled as the first item on the next City Council study session. Councilman Cantine stated he would like to discuss at the next Council study session water problems within the City. _-._The_ City Council decided to.set a date for.their next study session at their regular meeting on January 8-1 1979: _ --"'- Ann Zerrien requested a copy of Councilman's Cantine's "agenda" (checklist) thdt-%he developed because_ (1)'City Council_ has referred to list during meeting, (2) City Council has read items off'of list, (3) Councilman Cantine has referred to list obliquely and the Council. knows what is being referred to, but not the audience, and therefore that makes it an agenda and if no one knows about it that makes it a secret agenda. Mayor Shelton stated it is not an agenda because -it is not a published agenda. The agenda was developed by the Mayor via commu- nication from the City Council as to what they wished to discuss at the meeting. Mayor Shelton further stated that it is not an agenda but a communication from one Councilman to another. Mr. Thornton stated that because some of the items on Councilman Cantine's list deal with personnel matters it cannot be distributed to the general public. MOTION: Mayor Shelton moved the meeting adjourn to -Friday,. January-5?, 1979, at 6:00 p.m. in theXity Hall Conference; Room�for 'a special meeting to'meet with'Congressman Leon ',Panetta. The motion was 'seconded by Councilman-Reasor-and unanimously carried. The meeting adjourned at-7.:20 Recorded by: CARL J. THORNTON, City Clerk By: Elizabeth Penny Deputy City Clerk