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HomeMy WebLinkAboutJanuary - DecemberNOTICE OF SPECIAL CLOSED SESSION MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Closed Session Meeting on Friday, December 28, 2001 at 3:00 p.m. to be held in the City Hall Conference Room, 595 Harbor Street, Morro Bay, California. The City Council will be considering the following issues: GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price_ and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. • Property: 1055 Mono Avenue Discussion: Sale of property. ® GOVERNMENT CODE SECTION 54956.9; CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION. Discussion regarding litigation as to one (1) matter. • In the matter of Duke Energy Power Plant Project. DATED: December 20, 2001 ® NOTICE OF SPECIAL CLOSED SESSION MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Closed Session Meeting on Thursday, December 13, 2001 at 6:00 p.m. to be held in the City Hall Conference Room, 595 Harbor Street, Morro Bay, California. The City Council will be considering the following issues: GOVERNMENT CODE SECTION 54956.90: CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. Initiation of litigation exists based upon existing facts and the advice of legal counsel as to one (1) matter. GOVERNMENT CODE SECTION 54956.9; CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION. Discussion ® regarding litigation as to one (1) matter. • In the matter of Duke Energy Power Plant Project. DATED: December 11, 2001 1w*TvT4r—=i5UTFNW= 11 ® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — DECEMBER 10, 2001 CLOSED SESSION — DECEMBER 10, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA REVISED AGENDA; ITEM CS-1 TITLE CHANGE CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the ® price and terms of payment for the purchase, sale, exchange, or lease of real property as to three (3) parcels. • Property: 1055 Morro Avenue Discussion: Sale of property. • Property: 590 Morro Bay Boulevard Discussion: Real property lease. Property: Water Outfall Line Easement. Negotiating Parties: Duke Energy and the City of Morro Bay. Negotiations: Renegotiation and extension of terms and conditions of lease agreement. CS-2 GOVERNMENT CODE SECTION 54956.9; CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION. Discussion regarding litigation as to one (1) matter • In the matter of Duke Energy Power Plant Project. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS is ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. ® PUBLIC SESSION — DECEMBER 10, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three ® minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official. commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF NOVEMBER 26, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 REVIEW OF CITY AUDIT FOR FISCAL YEAR 2000-2001; (FINANCE) RECOMMENDATION: Accept the Fiscal Year 2000-2001 Financial Audit Report. 2 ® A-3 RESOLUTION NO. 74-01 APPROVING PUBLIC EMPLOYEES' RETIREMENT SYSTEM EMPLOYER PICK-UP BENEFIT FOR POLICE DEPARTMENT EMPLOYEES; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 74-01. A=4 AUTHORIZATION TO FILE NOTICE OF COMPLETION FOR STREET SLURRY SEAL PROJECT; (PUBLIC SERVICES) RECOMMENDATION: Accept the project as complete by Graham Contractors, Inc. and authorize the filing of a Notice of Completion. A-5 RESOLUTION NO. 75-01 APPROVING AMENDMENT #2 EXTENDING THE INTERIM LEASE AGREEMENT FOR LEASE SITE 144/144W FOR FIVE YEARS WITH CHUCK AND SANDRA MARCIEL. dba M&M REFRIGERATION LOCATED AT 1287 EMBARCADERO; (HARBOR) RECOMMENDATION: Adopt Resolution No. 75-01. A-6 APPROVAL OF MORRO BAY GARBAGE SERVICE REQUEST TO WAIVE PENALTY ON LATE FRANCHISE FEE PAYMENTS FOR 2001: (ADMINISTRATION) ® RECOMMENDATION: Approve the request to waive the penalties on late franchise payments for 2001. El B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 APPEAL OF AN APPROVED MINOR USE PERMIT FOR THE CONVERSION OF AN EXISTING DETACHED ACCESSORY STRUCTURE INTO A GRANNY UNIT; (PUBLIC SERVICES) RECOMMENDATION: Uphold the Planning Commission's decision to approve the granny unit located at 499 La Jolla Street. C. UNFINISHED BUSINESS C-1 DISCUSSION REGARDING REVIEW OF PUBLIC SERVICES DEPARTMENT PROCEDURES; (CITY COUNCIL) RECOMMENDATION: Discuss and determine method(s) to improve procedures in Public Services Department to make project permitting more efficient and "user-friendly." 3 D. NEW BUSINESS D-I STATUS REPORT ON DUKE ENERGY POWER PLANT MODERNIZATION PROJECT, INTERVENTION, ESTABLISHING AN EXPENSE BUDGET AND CLARIFICATION OF MOTION ON NOVEMBER 13T" REGARDING VISUAL AND AESTHETIC ISSUES: (PUBLIC SERVICES) RECOMMENDATION: Receive status report for information, and approve budget. D-2 SET DATE FOR ADVISORY BOARD INTERVIEWS: (ADMINISTRATION) RECOMMENDATION: Set date in January 2002 for advisory board interviews. D-3 CITY COUNCIL DISCRETIONARY APPOINTMENTS TO VARIOUS BOARDS AND COMMITTEES: (ADMINISTRATION) RECOMMENDATION: Select Mayor/City Council Members to serve on various boards and committees. D4 APPOINTMENT OF VICE -MAYOR: (ADMINISTRATION) ® RECOMMENDATION: Appoint a Vice -Mayor to serve a one-year term beginning in January 2002. E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL. LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT. IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE 9 ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION — DECEMBER 10. 2001 Is CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m. PRESENT: STAFF: CLOSED SESSION Rodger Anderson Colby Crotzer Dave Elliott William Peirce Janice Peters Robert Hendrix Robert Schultz Mayor Councilmember Councilmember Councilmember Councilmember City Manager City Attorney MOTION: Councilmember Peirce moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) Mayor Anderson read the Closed Session statement. CS-1 GOVERNMENT CODE SECTION 54956.8. REAL PROPERTY ® TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to three (3) parcels. • Property: 1055 Morro Avenue Discussion: Sale of property. • Property: ' 590 Morro Bay Boulevard Discussion: Real property lease. • Property: Water Outfall Line Easement. Negotiating Parties: Duke Energy and the City of Morro Bay. Negotiations: Renegotiation and extension of terms and conditions of lease agreement. CS-2 regarding litigation as to one (1) matter: In the matter of Duke Energy Power Plant Project. Discussion The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:50 P.M. MOTION: Councilmember Elliott moved the meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) 40 The meeting adjourned at 5:50 p.m. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 10, 2001 ® VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Anderson called the meeting to order at 6:35 p.m. PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember Ll E STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Rick Algert Janeen Burlingame Matt Everling Greg Fuz Clyde Ganes Jeff Jones Jim Koser Joe Loven Andrea Lueker ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS City Manager City Attorney City Clerk Harbor Director Management Analyst Associate Planner Public Services Director Chief Building Official Fire Chief Finance Director Police Chief Recreation & Parks Director CLOSED SESSION REPORT — City Attorney Robert Schultz stated the City Council met in Closed Session, and no reportable action was taken. PUBLIC COMMENT Roger Ewing addressed Item D-4 (Appointment of Vice -Mayor) and suggested the City Council consider the appointment of Councilmember Crotzer as Vice -Mayor. Pat Mullen, Duke Energy, addressed Item D-1 (Status Report on Duke Energy Power Plant Modernization Project, Intervention, Establishing an Expense Budget and Clarification of Motion on November 13'" regarding Visual and Aesthetic Issues) stating a 5350,000 endowment will be made for the maintenance of the bike and pedestrian path, and the activities will be carried out by the City of Morro Bay or other appropriate entity as determined by the Compliance Project Manager and the Project Owner in consultation with the Executive Director of the California Coastal Commission. Mr. Mullen also addressed the Intake Building, stating there are two cranes and explained their uses. Tim Kennedy read a letter of thanks from parents to the City for voicing its concerns regarding the consolidation of Morro and Del Mar Elementary Schools. MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - DECEMBER 10, 2001 Nelson Sullivan referred to his statements at the last Council meeting relating to the Duke Energy Power Plant and the gas franchise fee. and the fact that a representative of the Chamber of Commerce rebutted his comments. He also recommended the City Council appoint Councilmember Crotzer as Vice -Mayor. Shoosh Crotzer showed a picture of what Duke Energy will look like if modernized. She said it is an industrial monstrosity that does not belong on the beach. Ms. Crotzer requested a 3-D model of the proposed plant. Jim Wood read a letter regarding the Monterey Bay National Marine Sanctuary Management Plan Review. He asked Council to agendize this item for consideration. John Barta announced the Morro Bay Jazz Festival and Winter Bird Festival are coming up in January 2002. Brian Stacy, President of the Morro Bay Hook & Line Ground Fishermen's Association, addressed concerns with the miscommunications between the large cable companies and the local fishing community. ® Ken Vesterfelt, citizen, expressed support for the City in the dealing of the Duke Energy Power Plant Project. L] Dannie Rodgers -Tope thanked the City for the downtown lighting program. She also noted the City voted in support of the Duke Energy Power Plant Project. DECLARATION OF FUTURE AGENDA ITEMS — NONE. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF NOVEMBER 26, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 REVIEW OF CITY AUDIT FOR FISCAL YEAR 2000-2001; (FINANCE) RECOMMENDATION: Accept the Fiscal Year 2000-2001 Financial Audit Report. 3 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - DECEMBER 10, 2001 A-3 RESOLUTION NO. 74-01 APPROVING PUBLIC EMPLOYEES' RETIREMENT SYSTEM EMPLOYER PICK-UP BENEFIT FOR POLICE DEPARTMENT EMPLOYEES; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 74-01. A4 AUTHORIZATION TO FILE NOTICE OF COMPLETION FOR STREET_ SLURRY SEAL PROJECT; (PUBLIC SERVICES) RECOMMENDATION: Accept the project as complete by Graham Contractors, Inc. and authorize the filing of a Notice of Completion. A-5 RESOLUTION NO. 75-01 APPROVING AMENDMENT #2 EXTENDING THE INTERIM LEASE AGREEMENT FOR LEASE SITE 144/144W FOR FIVE YEARS WITH CHUCK AND SANDRA MARCIEL, dba M&M REFRIGERATION LOCATED AT 1287 EMBARCADERO; (HARBOR) RECOMMENDATION: Adopt Resolution No. 75-01. is A-6 APPROVAL OF MORRO BAY GARBAGE SERVICE REQUEST TO WAIVE PENALTY ON LATE FRANCHISE FEE PAYMENTS FOR 2001; (ADMINISTRATION) RECOMMENDATION: Approve the request to waive the penalties on late franchise payments for 2001. Councilmember Peters pulled Item A-1 from the Consent Calendar; Councilmember Crotzer pulled Item A-6. MOTION: Councilmember Peirce moved the City Council approve the Consent Calendar with the exception of Items A-1 and A-6. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF NOVEMBER 26, 2001; (ADMINISTRATION) Councilmember Peters requested language be added to her comments on page 9 of the minutes of November 26. 2001 as follows: "Councilmember Peters stated the community knows that the City Council objects to the complete FSA information not being available for our review before the hearings begin." ® MOTION: Councilmember Peters moved the City Council approve Item A-1 of the Consent Calendar as amended. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) 4 MINUTES - MORRO BAY CITY COUNCIL is REGULAR MEETING - DECEMBER 10. 2001 A-6 APPROVAL OF MORRO BAY GARBAGE SERVICE REQUEST TO WAIVE PENALTY ON LATE FRANCHISE FEE PAYMENTS FOR 2001; (ADMINISTRATION) Councilmember Crotzer addressed the request made by Morro Bay Garbage Service to waive the penalty on late franchise fee payments to the City in the amount of $12,17132. He noted concern with this request and the potential of a rate increase imposed on the consumers. MOTION: Councilmember Elliott moved the City Council approve Item A-6 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer voting no. (4-1) B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-l. APPEAL OF AN APPROVED MINOR USE PERMIT FOR THE CONVERSION OF AN EXISTING DETACHED ACCESSORY STRUCTURE INTO A GRANNY UNIT; (PUBLIC SERVICES) ® Matt Everling, Associate Planner, stated this Minor Use Permit is an application to convert an existing detached accessory building in the rear yard into a second dwelling unit. He noted the Planning Commission's action included approving an exception to parking design standards to allow a smaller parking space in the front yard to satisfy the project's parking requirement. Mr. Everling recommended the City Council uphold the Planning Commission's decision to approve the granny unit located at 499 La Jolla Street. Charles Reasor, appellant, stated the Minor Use Permit should not have been approved for this project because the correct property line location was not designated on the site plan. He also said he should not have been charged an appeal fee for a permit that should not have been approved. Mr. Reasor stated he is requesting the Council overturn the Planning Commission decision and require the project to comply with ordinance parking standards. He also is requested the City Council consider reimbursing the fees paid for this appeal because they were unjustifiably charged. Robert Purcott, applicant, stated he met with staff to address questions related to the parking issue and assured staff that a new open tandem parking space could be accommodated on the project site and would not encroach into the public right-of-way. He noted he was not initially aware that he needed a special permit to convert this detached unit into a granny unit. Mr. Purcott requested the City Council uphold the Planning Commission's approval of the detached granny unit with substandard parking in ® the front yard driveway area. Mayor Anderson opened the hearing for public comment. 5 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - DECEMBER 10, 2001 Shoosh Crotzer stated the detached unit should have been disclosed of its allowable uses when the house was purchased. She said the City should be more consistent in its code enforcement procedures. John Barta, Chairman of the Planning Commission, stated the City has allowed public right-of-way for parking in certain cases. He said there are always going to be cases where exceptions are allowed with findings. Mr. Barta stated the approval of this Minor Use Permit was within the law. Mayor Anderson closed the public comment hearing. Councilmember Crotzer stated it is easy to misunderstand a case such as this without having a survey of properties. He said the decision in this case would set a precedent for on -site parking in this neighborhood and small lots throughout the City. Councilmember Crotzer stated he has great sympathy for greater urban density and for putting the population of California growth in urban areas without degrading neighborhoods. He said he supports upholding the appeal on the admission that the approval of the Minor Use Permit was in error and should not have been issued without adequate parking. ® Councilmember Elliott stated in the past, granny units have been desired to provide affordable housing in this community. He said the nature of this City is that there is a parking problem, and the important issue is to keep vehicles off the roadway. Councilmember Elliott stated he fails to see harm from this particular location to the neighborhood. He said he supports to uphold the Planning Commission's approval of this use permit. E. Councilmember Peirce stated based on the photographs provided, the cars at this location appear to be within the setbacks and are off the street. He said there is a need for low- income and affordable housing in the City that are provided with granny units such as this. Councilmember Peirce stated he supports to uphold the Planning Commission's approval of this use permit. Councilmember Peters stated she has a problem with people creating a housing unit against the restrictions on their property, and they should have known the restrictions when purchasing the property. She said the City should refund Mr. Reasons appeal fees because this should not have been approved in the first place. Mayor Anderson stated in this case compliance would have to take place, and in this case it appears to be moving in the direction of compliance with no dangerous situations. He said he supports to uphold the Planning Commission's approval. 2 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - DECEMBER 10. 2001 MOTION: Councilmember Peirce moved the City Council deny the appeal, and uphold the Planning Commission's decision to approve the granny unit located at 499 LaJolla. The motion was seconded by Councilmember Elliott and carried with Councilmember Crotzer and Councilmember Peters voting no. (3-2) MOTION: Councilmember Peters moved the City Council approve to refund the appellant's appeal fees. The motion was seconded by Councilmember Crotzer. Councilmember Elliott stated the Minor Use Permit was processed appropriately and appeal fees should be required. Councilmember Peters stated citizens should not have to pay to enforce the City's laws. Councilmember Crotzer stated it was stated by staff that parking was an over -sight in this case, and a third parking requirement is needed for a rental unit, which means there are several incidents where City laws were not followed. He said the appellant should not have to pay for enforcing the City codes. ® VOTE: The motion failed with Mayor Anderson, Councilmember Elliott and Councilmember Peirce voting no. (2-3) Mayor Anderson called for a break at 8:37 p.m.; the meeting resumed at 8:50 p.m. C. UNFINISHED BUSINESS C-I DISCUSSION REGARDING REVIEW OF PUBLIC SERVICES DEPARTMENT PROCEDURES; (CITY COUNCIL) Councilmember Peters stated for over a decade, there have been problems with the time and effort required, both by City staff and applicants, to process permits for projects in Morro Bay. She said a recent survey performed by the Public Services Department resulted in some good suggestions, several of which have already been implemented. She said there is a real need for an overall review and reorganization of the procedures in order to provide the best service possible for applicants with the least time imposition on staff. Councilmember Peters recommended the City Council discuss and determine methods to improve procedures in the Public Services Department to make project permitting more efficient and user-friendly. Councilmember Elliott stated the same complaints on the planning process have been ® received for years. He said the City should hire an independent consultant to provide the City with an audit on the Public Services Department procedures in order to streamline the process. 7 MINUTES - MORRO BAY CITY COUNCIL is REGULAR MEETING - DECEMBER 10. 2001 Councilmember Crotzer reviewed a status report provided by the Public Services Director in October 2001 that reviewed the progress of the planning division cases. He said based on this report, it appears as if the caseload is impressive and moving along smoothly. Councilmember Crotzer stated he supports any program that would make the City more efficient. He also said he would add Option "G" to the staff report which would allow staff to do their work and not micro -manage them. Mayor Anderson stated there are all types of customers who need various forms of information on the planning and building process, and have different levels of understanding of the process. He said an auditor might be able to assist in making the process smoother, and the GIS system is an interesting prospect. Councilmember Elliott stated this issue puts a lot of pressure on the Public Services Department staff, and that is why an audit should be performed in order to provide some direction as well as let them know they are also doing a good job. Councilmember Peters stated she would like to forward this issue to the Planning Commission in order to hold a workshop to receive public comment. ® Councilmember Peirce stated historically the planning process has been known to be too cumbersome. He said the Public Services Department staff has implemented a number of suggestions that have solved a tremendous number of complaints received. Councilmember Peirce stated he has also received many positive comments from the public regarding this department. He said he supports implementing an audit in order to assist the department if not to show that they are already doing a good job. Councilmember Crotzer stated an audit would put pressure on staff by taking them away from their job. He said for the record that the Planning Commission consistently resists staffs attempt to follow the laws of this City. MOTION: Councilmember Peters moved the City Council send this issue to the Planning Commission to hold a workshop to encourage public participation and suggestions on how they would like to see the improvements in the Public Services Department. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer and Councilmember Elliott voting no. (3-2) H MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - DECEMBER 10, 2001 D. NEW BUSINESS D-I STATUS REPORT ON DUKE ENERGY POWER PLANT MODERNIZATION PROJECT, INTERVENTION, ESTABLISHING AN EXPENSE BUDGET AND CLARIFICATION OF MOTION ON NOVEMBER 13T" REGARDING VISUAL AND AESTHETIC ISSUES; (PUBLIC SERVICES) City Manager Robert Hendrix reviewed the status report on the Duke Energy Power Plant Modernization Project. He said a budget for legal and technical support is proposed for Council's review. City Attorney Robert Schultz referred to the agreement to lease that states that Duke Energy would not be required to make any changes to the intake structure that could any way adversely impact the functionality of the waterfront intake facility for water intake purposes or impair maintenance activities therein. He recommended the following language be included after the "smaller less intrusive building ...": " ... subject to the condition that no such coordination by Duke Energy shall result in or require any action by Duke Energy that could any way adversely impact the functionality of the waterfront intake facility for water intake purposes or impair maintenance activities therein." Mr. ® Schultz stated this language would coincide with the language in the agreement to lease. Councilmember Elliott stated this language means nothing to any one but the attorneys involved. He expressed concern that questions asked by the Council on the intake structure have not been directly addressed by Duke Energy. Councilmember Crotzer agreed stating the intent of Council was that they want a smaller intake building such as a single -story building that would entail bringing in different types of cranes to do that type of work. He said the benefit gained is huge by maintaining the precious viewscape. Councilmember Peters stated there is the option of leaving the existing cranes and making the building less visually obtrusive by placing windows and altering rooflines and making the building look less boxy. She said changing the language in the agreement to create less conflict is a good thing even if it is "lawyerese". Councilmember Peirce stated the agreement to lease appears to meet all the requirements. MOTION: Councilmember Peters moved the City Council amend the resolution to include the language as suggested by the City Attorney. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) ® MOTION: Councilmember Elliott moved the City Council request for an appeal of time. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0). 0 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - DECEMBER 10. 2001 MOTION: Councilmember Peters moved the City Council approve the estimated legal and technical fees in the amount of $175,560. The motion was seconded by Councilmember Peirce and carried with Mayor Anderson votingno.(4-1) . The Ciry Council continued discussion on intervention issues. Councilmember Crotzer stated he feels the health of the air is an important issue and should not be left to another agency. He said it is highly inefficient and polluting to use duct firing. Councilmember Crotzer stated visual impacts are not as important as health impacts. Councilmember Peters stated the visual impacts are already on the record. She said the City should be prepared to speak on all issues. Councilmember Elliott stated all of these issues have already been discussed over the past several months. ® Mayor Anderson stated the reason the MOU is not signed is because Council wanted to wait until the final staff assessment came out. He said he voted against funding concerns because staff said the City could take most concerns to the CEC and not at the City's expense. MOTION: Councilmember Crotzer moved the City Council authorize staff to obtain an air quality expert to testify on the very narrow issues of new proposed regulations and negative health impacts of particulate matter as it applies to this project. The motion was seconded by Councilmember Peters. Councilmember Crotzer withdrew his motion; Councilmember Peters withdrew her second. MOTION: Councilmember Peters moved the City Council go beyond 11:00 p.m. The motion was seconded by Mayor Anderson and carried unanimously. (5-0) MOTION: Councilmember Crotzer moved the City Council authorize staff to obtain an air quality expert to testify on the issues of the new proposed regulations and negative health impacts on the particulate matter created by the PM-10 and duct -firing due to inefficient fuel burning as it applies to this project. The motion was seconded by Councilmember Peters and failed with Mayor Anderson, Councilmember Elliott, and Councilmember ® Peirce voting no. (2-3) 10 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - DECEMBER 10, 2001 MOTION: Councilmember Peters moved the City Council intervene on water. The motion was seconded by Councilmember Peirce and carried with Mayor Anderson and Councilmember Elliott voting no. (3-2) The City Council scheduled a special meeting on January 3, 2002 to discuss issues of intervention. D-2 SET DATE FOR ADVISORY BOARD INTERVIEWS; (ADMINISTRATION) The City Council set the interview date for January 23, 2002 at 6:00 p.m. D-3 CITY COUNCIL DISCRETIONARY APPOINTMENTS TO VARIOUS BOARDS AND COMMITTEES; (ADMINISTRATION) MOTION: Councilmember Peters moved the City Council maintain their current seats on the various boards and committees with the addition of appointing Jim Wood to the Cable Fisheries Liaison Committee. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) ® D4 APPOINTMENT OF VICE -MAYOR; (ADMINISTRATION) Councilmember Crotzer nominated himself to serve as Vice -Mayor. Councilmember Elliott nominated Councilmember Peirce to serve as Vice -Mayor. Mayor Anderson called for a vote to elect Councilmember Crotzer as Vice -Mayor. The vote failed as follows: Councilmember Crotzer — (aye) Mayor Anderson, Councilmember Elliott, Councilmember Peirce, and Councilmember Peters — (noe) Mayor Anderson called for a vote to elect Councilmember Peirce as Vice -Mayor. The vote carried as follows: Mayor Anderson. Councilmember Elliott, Councilmember Peirce, and Councilmember Peters — (aye) Councilmember Crotzer — (noe) F. ADJOURNMENT - The meeting adjourned at 11:31 p.m. Recorded by: ® Bridget City Clerk 11 NOTICE OF SPECIAL CLOSED SESSION MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Closed Session Meeting on Thursday, December 6, 2001 at 5:00 p.m. to be held in the City Hall Conference Room, 595 Harbor Street, Morro Bay, California. The City Council will be considering the following issue: GOVERNMENT CODE SECTION 54956.90; CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. Deciding whether to initiate litigation based upon exiting facts and the advice of legal counsel as to one (1) matter: • Parties: City of Morro Bay and Duke Energy ® Issue: Intervention in the California Energy Commission process. It is noted that the contents of closed session meetings are confidential and exempt from disclosure. DATED: December 5, 2001 GZC,Q�,lio-- J ie Boucher, Deputy City Clerk r • City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — NOVEMBER 26, 2001 CLOSED SESSION — NOVEMBER 26, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54956.90; CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. Deciding whether to initiate litigation based upon existing facts and the advice of legal counsel as to one (1) matter. Parties: City of Morro Bay and Duke Energy Issue: Intervention in the California Energy Commission process. CS-2 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange. or lease of real property as to one (1) parcel. • Pro e : 590 Morro Bay Boulevard Discussion: Real property lease discussion. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. ® PUBLIC SESSION — NOVEMBER 26, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. is• All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF NOVEMBER 13. 2001. AND CLOSED SESSION MEETING OF NOVEMBER 5, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 CASH & INVESTMENT REPORT — OCTOBER 2001; (FINANCE) RECOMMENDATION: Receive for information. El 2 ® A-3 EXPENDITURE REPORT— OCTOBER 2001; (FINANCE) RECOMMENDATION: Approve as submitted. A4 APPROVAL OF MORRO BAY GARBAGE SERVICE REQUEST TO ENACT A SUNDAY SERVICE MONTHLY FEE; (ADMINISTRATION) RECOMMENDATION: Approve the requested $40 per month Sunday service fee charged to those customers requesting Sunday collection service, effective January 1, 2002 when the new integrated waste agreement is implemented. A-5 RESOLUTION NO. 73-01 APPROVING TRANSIT CAPITAL PROJECTS. AND AUTHORIZING THE FILING OF APPLICATIONS. EXECUTION OF MASTER AGREEMENTS AND PROGRAM SUPPLEMENTS FOR RURAL TRANSIT SYSTEM GRANT PROGRAM PROJECTS; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 73-01. A-6 CANCELLATION OF THE DECEMBER 24. 2001 CITY COUNCIL MEETING; (ADMINISTRATION) RECOMMENDATION: Cancel the City Council Meeting regularly scheduled ® for December 24, 2001. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 DISCUSSION ON WHETHER TO FILE FOR INTERVENTION IN THE CALIFORNIA ENERGY COMMISSION PROCEEDINGS RELATED TO THE DUKE ENERGY MORRO BAY POWER PLANT MODERNIZATION PROJECT; (CITY ATTORNEY) RECOMMENDATION: File a Petition to Intervene in the Morro Bay Modernization & Replacement Power Plant Project; and, review the draft Petition for Intervention and draft Prehearing Conference Statement and decide on the degree of participation desired by the City. C. UNFINISHED BUSINESS C-I STATUS REPORT ON LANDMARK TREES; (PUBLIC SERVICES) RECOMMENDATION: Discuss and direct staff accordingly. u 3 ® C-2 DISCUSSION REGARDING REVIEW OF PUBLIC SERVICES DEPARTMENT PROCEDURES; (CITY COUNCIL) RECOMMENDATION: Discuss and determine method(s) to improve procedures in Public Services Department to make project permitting more efficient and "user-friendly." D. NEW BUSINESS D-1 CONSIDERATION OF THE SAN LUIS COASTAL UNIFIED SCHOOL DISTRICT SUPERINTENDENT'S RECOMMENDATIONS REGARDING THE CONSOLIDATION OF ELEMENTARY SCHOOLS IN MORRO BAY; (ADMINISTRATION) RECOMMENDATION: Discuss and direct staff accordingly. D-2 STATUS REPORT ON WATER PRESSURE IN THE CITY; (PUBLIC SERVICES) RECOMMENDATION: Receive report for information. D-3 DISCUSSION ON HOLIDAY LIGHTS IN THE DOWNTOWN AREA; (RECREATION & PARKS) ® RECOMMENDATION: Discuss and direct staff accordingly. E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ® ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING 1H ® MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION — NOVEMBER 26. 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney CLOSED SESSION MOTION: Councilmember Peters moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peirce and unanimously carried. (5-0) Mayor Anderson read the Closed Session statement. is CS-1 GOVERNMENT CODE SECTION 54956.9©; CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. Deciding whether to initiate litigation based upon existing facts and the advice of legal counsel as to one (1) matter. Parties: City of Morro Bay and Duke Energy Issue: Intervention in the California Energy Commission process. CS-2 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. Property: 590 Morro Bay Boulevard Discussion: Real property lease discussion. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:55 p.m. MOTION: Councilmember Peirce moved the meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) 0 The meeting adjourned at 5:55 p.m. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 26, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. E Mayor Anderson called the meeting to.order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Frank Cunningham Greg Fuz Clyde Ganes Jeff Jones Jim Koser Joe Loven Andrea Lueker Tammy Seale City Manager City Attorney City Clerk Engineer Public Services Director Building Official Fire Chief Finance Director Police Chief Recreation & Parks Director Planner ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — City Attorney Robert Schultz stated the City Council met in Closed Session, and no reportable action was taken. PUBLIC COMMENT David Nelson reviewed reports on air and water quality relating to the Duke Energy Power Plant. He said after six years of construction, he does not see that there will be a benefit with the new plant. Ann Lemone, President of Morro Elementary PTA. addressed concerns with the consolidation of Mono and Del Mar Schools. She requested the City Council send a statement to the school district expressing the City's position on the consolidation of Mono and Del Mar Elementary Schools. Maria Slavin announced a water bottle fundraiser to assist in the efforts to keep Mono Elementary open. 2 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 26, 2001 Pam Soderback stated the City should become involved in the proposed consolidation of the elementary schools by requesting an environmental impact report relating to the potential traffic congestion and safety issues. She also stated the California Resources Board report on the recommended revisions to the PM-10 is coming out on Friday, November 30`s. Tim Kennedy invited the public to the school district open forum meeting tomorrow night at Los Osos Middle School. He requested the Council consider sending a statement to the school district expressing the City's position on the consolidation. Mr. Kennedy asked that the City consider the traffic issues that will develop if the proposed consolidation is approved. He noted that parents of Del Mar School students also have concerns with the consolidation of the two elementary schools. Nelson Sullivan stated he feels confident the City will not get the franchise fees from the natural gas fuel that Duke Energy new power plant might burn. He said Duke Energy bought West Coast Energy for 8.5 billion dollars, and asked how long Duke Energy will be purchasing gas from Pacific Gas & Electric and paying the City a franchise tax. Is Allie Slavin, student at Morro Elementary, stated the reasons of why she does not want to go to another school. Dannie Rodgers -Tope asked permission from the City to plug in the Christmas holiday lights that are in the trees in the downtown area. Andy Hamp reviewed the proposed school district budget and requested Council support in assisting to keep Morro Elementary open. Tamara Kokene requested Council's support in keeping Morro Elementary open. Kim Kimball, Director of Chamber of Commerce. stated there should be another way for the school district to balance their budget besides closing Morro Elementary. She also requested Council's support for holiday lighting in the downtown area. Ms. Kimball made a correction to the comment made regarding the franchise fees paid by Duke Energy. Brian Stacy stated he also hopes Morro Elementary can stay open. He said Duke Energy is refusing to pay for damage caused from the power plant. Mr. Stacy said the funds received from the fiber optic cable was meant as mitigation for impacts to commercial fishing and should have gone into the harbor fund and not towards a teen center. ® Teresa McClish requested Council's support in keeping Morro Elementary open. 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 26, 2001 Garry Johnson stated he is thankful for the City of Morro Bay and the good things it has to offer. He also noted it is time to get the Duke Energy power plant project underway. Laurie Noble stated the Fish and Farmers Market on Saturdays is all lit up and is very successful; she asked Council's support in approving the holiday lighting in the downtown area. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Crotzer requested discussion on the preparation of a traffic impact study if the consolidation of schools occurs. Councilmember Peirce requested a follow-up review of the RUDAT study. Mayor Anderson called for a break at 7:05 p.m.; the meeting resumed at 7:20 p.m. A. CONSENT CALENDAR ® Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF NOVEMBER 13. 2001. AND CLOSED SESSION MEETING OF NOVEMBER 5, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 CASH & INVESTMENT REPORT — OCTOBER 2001; (FINANCE) RECOMMENDATION: Receive for information. A-3 EXPENDITURE REPORT — OCTOBER 2001; (FINANCE) RECOMMENDATION: Approve as submitted. A-4 APPROVAL OF MORRO BAY GARBAGE SERVICE REQUEST TO ENACT A SUNDAY SERVICE MONTHLY FEE: (ADMINISTRATION) RECOMMENDATION: Approve the requested $40 per month Sunday service fee charged to those customers requesting Sunday collection service, effective ® January 1, 2002 when the new integrated waste agreement is implemented. Cl MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 26, 2001 A-5 RESOLUTION NO. 73-01 APPROVING TRANSIT CAPITAL PROJECTS, AND AUTHORIZING THE FILING OF APPLICATIONS. EXECUTION OF MASTER AGREEMENTS AND PROGRAM SUPPLEMENTS FOR RURAL TRANSIT SYSTEM GRANT PROGRAM PROJECTS: (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 73-01. A-6 CANCELLATION OF THE DECEMBER 24, 2061 CITY COUNCIL MEETING; (ADMINISTRATION) RECOMMENDATION: Cancel the City Council Meeting regularly scheduled for December 24, 2001. Councilmember Peters pulled Items A-1 and A-3 from the Consent Calendar. MOTION: Councilmember Peirce moved the City Council approve the Consent Calendar with the exception of Items A-1 and A-3. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) is A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF NOVEMBER 13, 2001, AND CLOSED SESSION MEETING OF NOVEMBER 5, 2001; (ADMINISTRATION) 11 Councilmember Peters requested a correction to her comment on page 6 of the November I , 2001 City Council minutes, by adding "She said the plans for the intake building should be changed to be made smaller." MOTION: Councilmember Peters moved the City Council approve Item A-] of the Consent Calendar as amended. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) A-3 EXPENDITURE REPORT— OCTOBER 2001, (FINANCE) Councilmember Peters reviewed expenditures for public information. MOTION: Councilmember Peters moved the City Council approve Item A-3 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) 5 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 26, 2001 B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 DISCUSSION ON WHETHER TO FILE FOR INTERVENTION IN THE CALIFORNIA ENERGY COMMISSION PROCEEDINGS RELATED TO THE DUKE ENERGY MORRO BAY POWER PLANT MODERNIZATION PROJECT; (CITY ATTORNEY) City Attorney Robert Schultz reviewed the process to file for intervention in the California Energy Commission (CEC) proceedings related to the Duke Energy Morro Bay Power Plant Modernization Project. He said if the City does intervene, a Prehearing Conference Statement is required to be filed with the CEC to address which substantive topic areas are ready for evidentiary hearings; which require further analysis, including the nature of, and the timeframe for, any such analysis; which topic areas the parties have reached agreement upon; and which remain subject to disagreement and require adjudication. Mr. Schultz stated if the City does file a Petition to Intervene, there will probably be a direct fiscal impact on the ability to seek reimbursement of expenses from Duke Energy. He recommended the City Council file a Petition to Intervene in the Morro ® Bay Modernization & Replacement Power Plant Project; and, review the draft Petition for Intervention and draft Prehearing Conference Statement and decide on the degree of participation desired by the City. E Larry Allen, Representative from the Air Pollution Control District (APCD), reviewed the APCD analysis and process including modeling assumptions and PM10 impacts for the existing facility and proposed facility. Mayor Anderson opened the hearing for public comment. Pam Soderback stated the APCD does not consider CEQA matters. She requested the City intervene in respects to the specific impacts of air quality. Henrietta Groot stated she would like the City to be concerned with air quality and the marine life and estuary in the intervention process. She said the scheduling of the California Energy Commission meetings leaves no time to study the Final Staff Assessment Reports. Peter Wagner stated the City has no choice but to intervene in this process. He said water should be included in the list of concerned issues. Mr. Wagner stated the APCD is only concerned with compliance with regional standards. He said he is interested in who will be responsible for the site restoration of the fate of the intake building. 0 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 26, 2001 Richard Smith strongly urged the City to be interveners in this process. He reviewed statements that were listed in the Memorandum of Understanding between the City and Duke Energy: 1).... to ensure that any potentially significant adverse environmental impacts on marine resources are fully addressed and mitigated by the CEC, Regional Water Quality Board and other applicable agencies such that as mitigated the modernization will not have an adverse significant impact on marine biological resources: 2)... to ensure that the modernization plan complies with all CEC and San Luis County Air Pollution Control District requirements: and 3) ....the City will be concerned regardless of any APCD required emission effects, and to recognize that implementation of those requirements, that the project will result with an overall improvement in air quality over existing conditions. Jack McCurdy stated Duke Energy has showed its true colors by unpaid reimbursed costs to the City, and waiting to the last minute to provide comments on the draft outfall lease agreement which was provided to them last February. He said there are thousand of scientific studies in leading medical journals that have documented the toxic hazards of emissions from natural gas. Mr. McCurdy stated the advisory measure that was approved ® by voters last November was not binding, and yet Duke Energy repeatedly points to that advisory measure as evidence of community support. Melody DeMerritt stated intervention is crazy, courageous and committed. She said the City should ask the CEC to change the deadline in order to respond to the FSA. Ms. DeMerritt encouraged Council to stay in the conversation by intervention. David Nelson stated the City should cover the deadline by applying for intervention, and perhaps withdraw later. He also said the construction phase of the modernization project is going to drive business away for years. Garry Johnson stated there is PM10 everywhere and affects people differently. He said this project should get going. Pat Mullen, Duke Energy, stated if the City decides to intervene, he recommends referring to the Prehearing Conference Statement that best addresses the issues, including the issue to lease. He said Duke Energy has lived up to cost and schedule issues. Mr. Mullen stated it is important to maintain the schedule the California Energy Commission has set out. Tom Laurie stated the changes made in the draft agreement to lease are posted on Duke Energy's website. He invited the City to join the Coastal Alliance if they decide to not intervene. 7 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 26, 2001 Betty Winholtz stated the scheduling is based on Duke Energy's untimely response to data requests, and the CEC is not to blame. She said it was a glaring omission to not include the Radcliffe/Highway 41 neighborhoods in the air chart statistics since they will be heavily impacted by the modernized power plant. Bonita Chutney stated one competent attorney would be sufficient in the intervention process. She said she hopes the City will intervene for the right purpose such as public health and air quality. Ms. Churney stated several conditions in the FSA concerning construction conditions that were dropped and should be considered by the City and see how they may impact the City. Mandy Davis stated this is a complex but simple issue. She said the City is the gatekeeper for future generations and for providing a healthy environment. Brian Stacy encouraged the City to enter into the intervention process on air issues. He also noted that Duke Energy should be responsible for reimbursing businesses for loss of business during construction. ® Mayor Anderson closed the public comment hearing. Councilmember Elliott stated based on the information received, he sees no other choice but to intervene. He said there has been plenty of expert information received in the past three years on this plant expansion, and this issue should have been resolved months ago. Councilmember Crotzer stated he strongly supports intervention because he sees the City as being confronted with a project application that has some possible benefits and clear detriments. He said he is in favor of spending City money to ensure the Morro Bay Estuary is not degraded. MOTION: Councilmember Crotzer moved the City Council advocate the dry -cooling method be supported, as the Regional Water Quality Board asked to be analyzed, because that takes away all of the detrimental impacts of the Morro Bay Estuary. The motion died due to a lack of a second. MOTION: Councilmember Crotzer moved the City Council approve to spend substantial City monies in the intervention process to consider the visual enclosure issue and the aesthetic issue of the removal of the intake building or to make it smaller; as Coastal Commission staff has asked, to maintain the view from key observation points such as Morro Bay Strand ® Beach. N ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 26, 2001 The motion died due to a lack of a second. MOTION: Councilmember Crotzer moved the City Council approve to intervene in this process to protect our residents from the detrimental impacts of air quality degradation of the continuation of the power plant present spewing pollutants particularly the PM10 pollutants which will go up some 15 fold in his neighborhood in particular and the CEC consider more stringent air protections for the residents of Morro Bay beyond those that the Air Pollution Control District has done for the regional district. The motion died due to a lack of a second. Councilmember Peters stated she supports intervention to protect the City's interests against a large corporate company. She said the City should let the California Energy Commission know that their information has not been made readily available. Councilmember Peters stated it is important the community know that the City Council ® objects to the complete FSA information not being available for their review prior to the beginning of the hearings. E Mayor Anderson stated based on the expense and the benefit that would be attained from that expense as opposed to the similar opportunities the City would have under that situation without the expense is why he is inclined to vote in opposition to intervention. He also said without having all the information available makes the decision that much harder. MOTION: Councilmember Crotzer moved the City Council approve to intervene specifying the issues of water, dry -cooling, visual impacts of the project, and air quality as major areas of concern in the City of Morro Bay. The motion died due to a lack of a second. MOTION: Councilmember Peters moved the City Council approve to intervene in the process without limiting it to any topics. The motion was seconded by Councilmember Elliott and carried with Mayor Anderson voting no. (4-1) MOTION: Councilmember Elliott moved the City Council object to any evidentiary hearings starting until thirty (30) days after the Final Staff Assessment 92 is delivered to the City. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) 7 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 26, 2001 MOTION: Councilmember Peters moved the City Council direct staff to expend monies necessary until a detailed budget is prepared for this item. The motion was seconded by Councilmember Peirce and carried with Mayor Anderson voting no. (4-1/Anderson) Mayor Anderson called for a break at 9:15 p.m.; the meeting resumed at 9:27 p.m. C. UNFINISHED BUSINESS C-1 STATUS REPORT ON LANDMARK TREES; (PUBLIC SERVICES) Staff Engineer Frank Cunningham stated in September 2001, the City Council requested a discussion of how to identify and protect landmark trees within the community. He said the City's Municipal Code serves as a comprehensive plan for planting and maintaining trees within City public streets, and the City's Tree Removal Policy establishes a required process and criteria for removing trees on private property. Mr. Cunningham stated neither the Municipal Code nor Tree Removal Policy clearly addresses the concern for identifying trees based on the species, age, historic significance, ecological value, aesthetics, location, or any ® other criteria used to designate special status. He recommended the City Council forward this item to the Public Works Advisory Board for further discussion and direction. E Councilmember Crotzer stated what he has seen over the last several years is the removal of the City's urban forest, some due to the disease of the Monterey Pines and now a new pest found in eucalyptus trees. He said he would like to find support for a Tree Protection Ordinance which would state if a person removes a tree, they have to replace it with two small trees, either on their property or somewhere within the City. Councilmember Peirce stated based on historic information, there are more trees in Morro Bay today than there were in the 1930's. He said he is not interested in amending the current tree ordinance. Councilmember Peters stated contractors and residents should be informed that there is a City Tree Removal Policy. Councilmember Elliott stated he is opposed to a private property owner needing permission to remove a tree on their property. He said he does not see a problem with the current tree replacement program. Mayor Anderson stated in his years growing up in Morro Bay, he and his siblings helped plant some of the trees in the City. 10 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 26. 2001 No further action was taken on this item. C-2 DISCUSSION REGARDING REVIEW OF PUBLIC SERVICES DEPARTMENT PROCEDURES; (CITY COUNCIL) This item was continued to the December 10. 2001 City Council meeting. D. NEW BUSINESS D-1 CONSIDERATION OF THE SAN LUIS COASTAL UNIFIED SCHOOL DISTRICT SUPERINTENDENT'S RECOMMENDATIONS REGARDING THE CONSOLIDATION OF ELEMENTARY SCHOOLS IN MORRO BAY_: (ADMINISTRATION) City Manager Robert Hendrix stated during the November 13, 2001 City Council meeting. several members of the public expressed- concern about reported budget recommendations of the San Luis Coastal Unified School District Superintendent which included consolidation of schools within the district. One proposed consolidation involves Morro Elementary and Del Mar Elementary. Mr. Hendrix recommended the ® City Council consider the comments from the public regarding the consolidation of schools. Mayor Anderson stated he would like the school district to balance their budget and keep Morro Elementary open. Councilmember Peirce suggested performing a traffic impact report to show the school district of the traffic concerns. He also said there will be maintenance costs on Morro Elementary even if it is closed. Councilmember Peters stated there is a large population of low-income families who cannot afford transportation to Del Mar School, and this could put young children at risk. She said it is self-defeating to close a school because the population has not diminished. Councilmember Elliott stated Morro Bay is generally ignored when appointing a board member to the school district. He said he would like to be active in the support to keep Morro Elementary open. Councilmember Elliott suggested sending a letter to the Superintendent of the San Luis Coastal Unified School District stating: "The City of Morro Bay does not believe that closing a Title One School with heavy parental participation is appropriate. Traffic in the City due to the nature of the City is extremely hazardous and to increase it without an environmental impact report is totally inappropriate. The Superintendent should look at other areas that are more appropriate as ® to the safety of the students in the school district and the students in Morro Bay." ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 26. 2001 Councilmember Crotzer stated professionally and as a resident of the State of California he feels betrayed and victimized by the power utility companies who have manipulated the markets in a desire to improve the bottom line for the tax holders, which has now impacted the school district. He said the Superintendent of the school district stated the budget cuts are created from decreases in utility taxes. Councilmember Crotzer stated small community schools do a better job at educating our youth. He said an analysis of impacts in Morro Bay should be prepared, and a study of what is being proposed should be made available. MOTION: Councilmember Peters moved the City Council direct staff to prepare a letter for the Mayor's signature to the Superintendent of the San Luis Coastal Unified School District voicing the Council's concerns with the consolidation of Morro and Del Mar Schools. The letter is to be read at the school district meetine on November 27, 2001. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer voting no. (4-1) D-2 STATUS REPORT ON WATER PRESSURE IN THE CITY: (PUBLIC SERVICES) ® Staff Engineer Frank Cunningham reviewed the issues regarding water system pressures in the City. He said the City has a few locations where the water pressure supplied at the service meter barely meets standard minimal pressure required by code. The areas of concern are isolated to a few homes that are generally located near the City's existing storage tanks. This minimal service condition can be adversely impacted by an occasional incident. such as fallen storage tank levels, broken lines, or excessive demand. Mr. Cunningham stated the typical solution for the property owner is to install a booster pump, which cost varies from $500 to $1,000. This was an informational item, and no action was taken. D-3 DISCUSSION ON HOLIDAY LIGHTS IN THE DOWNTOWN AREA: (RECREATION & PARKS) Recreation & Parks Director Andrea Lueker stated in November 1999,, the City purchased holiday lights and timers and had approximately 30 trees decorated in the downtown area with white holiday lights. At that time, the Chamber of Commerce collected $20 from the majority of merchants in the downtown area to offset the cost of lights, extension cords and timers. The labor was entirely supplied by the City and not reimbursed. After the holiday season, the lights and timers were removed by City staff and stored for the next season. 12 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 26, 2001 In November 2000, the City working with Coastal Tree Experts, had the trees re -strung using the lights, extension cords and timers from the previous year as well as purchasing additional equipment and replacements for those lights that were damaged the previous year. The cost for this project was approximately $6,000 which included an extended "lighted" area, costs for replacement and additional lights, timers and cords as well as labor and equipment costs for the trees to be strung. In January 2001, the extension cords and timers were removed, however, the lights in the trees remained. Based on the age and quality of the original lights, it is anticipated that less than % of the light.strings will be operable this year. On ten separate occasions in the last year, the Parks and Recreation staff has been called to. "re -string' a tree or remove a light string that has blown or fallen out of the tree. The Public Services Department has had difficulty with the lights becoming entangled in their chainsaws as well as the light strings prohibiting removal of broken limbs during and after storms. In addition, the. majority of the electrical receptacles in which the lights are plugged into are not designed - for this type of use. The aging light strings and hap -hazard connections create a liability for the lighting program, downtown businesses and the City in general. ® Ms. Lueker stated in anticipation of the upcoming holiday season, the status of the downtown lights needs to be addressed. She said based on the response of a survey sent to the businesses in the project area, staff determined that a permanent Tong -term solution was the best direction to take regarding the lights. Ms. Lueker recommended the following plan: 11 1) Deliver a letter to the merchants in the downtown area that explained the problem and indicated the light would be removed, but a long-term solution was being formed. The letter also encouraged the merchants to light their windows in order to create a "beautiful and festive" appearance, in lieu of the lights in the trees. 2) Work with an electrician during the upcoming year and encourage merchants to install adequate outdoor receptacles on their structures in order to facilitate lighting the trees in the future. 3) Explore the idea of forming a lighting district in order to evenly apply the costs for the electricity to light the trees. MOTION: Councilmember Peters moved the City Council extend the meeting to 11:30 p.m. to complete the agenda. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer voting no. (4-1) 13 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 26, 2001 Councilmember Peters stated she supports a lighting program for this holiday season. She said the lights should be allowed to remain through January 1, 2002. Councilmember Peters stated as for a long-term lighting program, the businesses would need to have outlets installed. She also stated a lighting district would be a fair way to distribute the costs. Councilmember Elliott stated the City should consider putting in a city power line for this use. He also suggested Council consider this issue when reviewing the RUDAT study. Councilmember Peirce stated he supports holiday lights for this season, and then a more long-term solution should be considered for next year. MOTION: Councilmember Peters moved the City Council allow the merchants to light the tree trunks for this season. The motion died due to a lack of a second. MOTION: Councilmember Peters moved the City Council approve the following ® holiday lighting plan: 1) deliver a letter to the merchants in the downtown area that explains the problem and indicate the lights will be removed, but a long term solution will be formed; 2) work with an electrician during the upcoming year and encourage merchants to install adequate outdoor lighting receptacles on their structures in order to facilitate lighting the trees in the future; and 3) explore the idea of forming a lighting district in order to evenly apply the costs for the electricity to light the trees. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) . F. ADJOURNMENT The meeting adjourned at 11:17 p.m. Recorded by: Bridge City Clerk 11 14 City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of . municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — NOVEMBER 13, 2001 CLOSED SESSION — NOVEMBER 13, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54956.9(A); CONFERENCE WITH ® LEGAL COUNSEL REGARDING PENDING LITIGATION. • Bonnie Applegate vs. City of Morro Bay, WCAB No. GRO 24013 • Michael McGrath vs. City of Morro Bay, WCAB No. GRO 24070 CS-2 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. Property: 950/960 Napa Avenue Negotiating Parties: John and Miriam Lein and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. ;. ® PUBLIC SESSION — NOVEMBER 13, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period. the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state ® your name and address for the record. Comments are to be limited to three minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF OCTOBER 22, 2001: (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 EXPENDITURE REPORT - SEPTEMBER 2001; (FINANCE) RECOMMENDATION: Approve as submitted. 2 ® A-3 RESOLUTION NO. 71-01 ADOPTING A NEW LEASE AGREEMENT FOR LEASE SITE 89/89W- THE BOATYARD. STEINMANN,- (HARBOR) RECOMMENDATION: Adopt Resolution No. 71-01. A-4 RECOMMENDATION ON USAGE OF PROPOSITION 12 PER CAPITA FUNDS FOR KEISER EAST FIELD LIGHT RENOVATION PROJECT: (RECREATION & PARKS) RECOMMENDATION: Allocate up to $30,000 of the Proposition 12 Per Capita Funds for the renovation of the field lights and poles on Lila Keiser East Field. A-5 FINAL ACTION ON THE CITY'S INTENTION TO SELL CITY -OWNED PROPERTY LOCATED AT 1055 MORRO AVENUE; (CITY ATTORNEY) RECOMMENDATION: By motion, take final action on the City's intention to sell City -owned real property located at 1055 Morro Avenue. B. PUBLIC HEARINGS. REPORTS & APPEARANCES ® B-1 REVIEW OF VISUAL AND AESTHETIC ISSUES REGARDING .THE MODERNIZATION OF - THE MORRO BAY POWER PLANT; (PUBLIC SERVICES) RECOMMENDATION: Receive the staff report and Planning Commission recommendations, conduct a public hearing, and provide staff with appropriate direction to complete the draft resolution. B-2 APPEAL OF CONDITIONAL USE PERMIT NO. 35-01R/COASTAL DEVELOPMENT PERMIT NO. 17-OINAR 02-01; SITE LOCATION: 650 PONDEROSA; (PUBLIC SERVICES) RECOMMENDATION: Conduct a public hearing, review the Planning Commission's determination, and direct staff accordingly. C. UNFINISHED BUSINESS —NONE. E 3 ® D. NEW BUSINESS D-1 DISCUSSION REGARDING REVIEW OF PUBLIC SERVICES DEPARTMENT PROCEDURES; (CITY COUNCIL) RECOMMENDATION: Discuss and determine method(s) to improve procedures in Public Services Department to make project permitting more efficient and "user-friendly." D-2 STATUS REPORT ON LANDMARK TREES; (PUBLIC SERVICES) RECOMMENDATION: Discuss and direct staff accordingly. E. ADJOURNMENT ® THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT. IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING. PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. E ® MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION — NOVEMBER 13, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney CLOSED SESSION MOTION: Councilmember Peirce moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) Mavor Anderson read the Closed Session statement. ® CS-1 GOVERNMENT CODE SECTION 54956.9(A); CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION. • Bonnie Applegate vs. City of Morro Bay, WCAB No. GRO 24013 • Michael McGrath vs. City of Morro Bay, WCAB No. GRO 24070 CS-2 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. • Property: 950/960 Napa Avenue Negotiating Parties: John and Miriam Lein and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:55 p.m. MOTION: Councilmember Crotzer moved the meeting be adjourned. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) 0 The meeting adjourned at 5:55 p.m. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. C Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Rick Algert Greig Cummings Frank Cunningham Greg Fuz Clyde Ganes Jeff Jones Jim Koser Joe Loven Andrea Lueker Michael Prater Tammy Seale City Manager City Attorney City Clerk Harbor Director Planning Manager Engineer Public Services Director Building Official Fire Chief Finance Director Police Chief Recreation & Parks Director Assistant Planner Planner ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — City Attorney Robert Schultz stated the City Council met in Closed Session, and no reportable action was taken. PUBLIC COMMENT David Nelson addressed the negative air quality and the hazard that will be caused to the estuary by the Duke Energy power plant. Bill Woodson read a parody on the criticism of the Duke Energy power plant project. Nelson Sullivan stated the City Council should apply for intervener status in the California Energy Commission process of the Duke Energy power plant project. He also referred to the City's responsibility to Measure P to assure no negative impacts will occur due to the Duke Energy power plant project. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13.2001 Peter Waener asked about the status of the Council's decision on the intervention process. and asked that the decision be made soon. The following people expressed concern with the potential consolidation of Morro and Del Mar Elementary Schools, and requested the City Council's support in maintaining Morro Elementary as an open campus: Tim Kennedy, Joan Solo, Roxanne Mancini. Maria Slavin, and Mary Franzer. The following people requested the City Council consider providing holiday lights in the downtown area for this upcoming holiday season: Dannie Rodgers -Tope, Phil Hill, and Bryan Griffiths. Kim Kimball, Chamber of Commerce, expressed support for the downtown holiday. lighting. She also referred to Dr. Ladd's memorandum regarding the consolidation of Morro and Del Mar Elementary Schools. Roger Ewing addressed those volunteers who are not recognized such as Bonita Chumey and Pam Soderback who spent hours on research regarding the Duke Energy project. ® Greg Fuz, Director of Public Services, gave an update on the City's project permit status. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Elliott requested discussion on acquisition of holiday lights and extension cords for the downtown area for this holiday season. Councilmember Peters requested discussion on the San Luis Coastal Unified School District Superintendent's recommendations regarding the consolidation of Morro and Del Mar Schools. Mavor Anderson called fora break at 7:10 p.m.; the meeting resumed at 7:24 p.m. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF OCTOBER 22, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13.2001 A-2 EXPENDITURE REPORT -SEPTEMBER 2001; (FINANCE) RECOMMENDATION: Approve as submitted. A-3 RESOLUTION NO. 71-01 ADOPTING A NEW LEASE AGREEMENT FOR LEASE SITE 89/89W- THE BOATYARD, STEINMANN; (HARBOR) RECOMMENDATION: Adopt Resolution No. 71-01. A-4 RECOMMENDATION ON USAGE OF PROPOSITION 12 PER CAPITA FUNDS FOR KEISER EAST FIELD LIGHT RENOVATION PROJECT: (RECREATION & PARKS) RECOMMENDATION: Allocate up to $30,000 of the Proposition 12 Per Capita Funds for the renovation of the field lights and poles on Lila Keiser East Field. ® A-5 FINAL ACTION ON THE CITY'S INTENTION TO SELL CITY -OWNED PROPERTY LOCATED AT 1055 MORRO AVENUE; (CITY ATTORNEY) 1 RECOMMENDATION: By motion, take final action on the City's intention to sell City -owned real property located at 1655 Morro Avenue. Councilmember Peters pulled Item A-2 from the Consent Calendar; and Mayor Anderson pulled Item A-3. MOTION: Councilmember Elliott moved the City Council approve the Consent Calendar with the exception of Items A-2 and A-3. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) A-2 EXPENDITURE REPORT - SEPTEMBER 2001; (FINANCE) Councilmember Peters requested staff review the report for clarification and public information. Finance Director Jim Koser summarized the information relating to a payment to PG&E in the amount of $62,899.70. MOTION: Councilmember Peters moved the City Council approve Item A-2 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) 4 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 2001 A-3 RESOLUTION NO. 7.1-01 ADOPTING A NEW LEASE AGREEMENT FOR LEASE SITE 89/89W- THE BOATYARD, STEINMANN; (HARBOR) Mayor Anderson stepped down due to a conflict of interest. MOTION: Councilmember Elliott moved the City Council approve Item A-3 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried with Mayor Anderson abstaining. (4-0-1) B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-I REVIEW OF VISUAL AND AESTHETIC ISSUES REGARDING THE MODERNIZATION OF THE MORRO BAY POWER PLANT; (PUBLIC SERVICES) Public Services Director Greg Fuz stated on November 5, 2001, the Planning Commission and City Council conducted a joint workshop to consider certain visual/ aesthetic issues related to the proposed Morro Bay Power Plant modernization project. ® He said the goals of the workshop were to provide a forum for public participation in the evaluation of the visual and aesthetic issues, and to forward a consensus recommendation for the bridge, intake building fagade, sound wall, colors, and landscaping from the Planning Commission to the City Council. The workshop included an open house, a presentation by Duke Energy regarding the options under consideration, a "dot polling' opportunity for the public to express its preferences regarding the various alternatives, and opportunities for public questions and comment regarding visual/aesthetic issues. Mr. Fuz recommended the City Council provide staff with direction upon receiving public testimony, reviewing the final public polling preferences, and reviewing the Planning Commission's recommendations. 11 Mayor Anderson opened the hearing for public comment. Peter Wagner referred to the intake building and requested the City Council consider other options, including lowering the ceiling, make it detachable and removable with cranes, or remove the intake building completely and use the dry -cooling method. David Nelson stated a resolution would give the California Energy Commission the idea that all citizens are supportive of the project, which is not the case. He referred to other power plants that have innovative blockings of their plants where they are not visible. 5 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13. 2001 Bill Woodson recommended enclosing the plant with a wall, stating it would be quieter and easier to maintain. He said more design options are needed for the intake structure. Mr. Woodson stated plants should be compatible with the surrounding area. Mayor Anderson closed the public comment hearing. Councilmember Crotzer stated there are laws and state regulations that protect the views in Morro Bay. He said there should be a consideration to build a tall wall to mask the hard industrial look of this facility from the precious viewscapes. Councilmember Crotzer stated the visual workshop was manipulated by Duke Energy to state they received public comment. He said the City Council should concur with the request of the California Coastal Commission Executive Director who stated the Coastal Commission should demand that the California Energy Commission consider the visual impacts in a real way. Councilmember Crotzer referred to the proposed bridge and stated he agrees with the Planning Commission preference for a wood/metal combination railing on a concrete bridge so you can view the shore and public access is important. Councilmember Elliott stated he doesn't believe color matters. He said the intake ® building should be redesigned to be less intrusive. Councilmember Elliott stated the bridge should be large enough to handle pedestrians and bicycles only. He said he is not convinced that an enclosure surrounding the power plant is not appropriate. Councilmember Elliott stated each opinion of each Council Member should be sent to the Coastal Commission and California Energy Commission relating to the plans for the power plant. 'Ell Councilmember Peirce stated according to the Air Quality Control Board, if there is an enclosure around the power plant, the air modeling would have to be done over again because it would change the air flow and would require raising the height of the stacks. He said he supports the public recommendations on the various issues, however, no enclosure around the plant. Councilmember Peters stated this is the time to indicate preferences for the specifics of the power plant. She said she agrees and supports the public recommendations on the various issues. Councilmember Peters stated an open plant would become an acquired visual. She said the plans for the intake building should be changed to be made smaller. Mayor Anderson stated he supports the following: large screening trees, the color green for the plant, a short concrete wall.. other options for a smaller intake building or leave it in its present state. . ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 2001 Councilmember Elliott stated people who voted at the workshop, only voted on options that were given to them and not asked what their preferences were. He said by sending the California Energy Commission the preferred options instead of the desires of the people, may not be providing them with the information they need. Councilmember Crotzer stated the people were given a choice from limited choices at the visual workshop. He said a plan to enclose the power plant should be reviewed by the Air Quality Control Board. Councilmember Crotzer stated the appearance of a block building is better than what appears like a lost space ship module. He said he supports removing the intake building or at least make it the minimum height and bring in portable cranes to move it. Councilmember Peters stated Council discussed the format of the workshop and the choices that were to be reviewed. She said this discussion should have taken place prior to the workshop. MOTION: Councilmember Crotzer moved the City Council accept the Planning Commission recommendations on all five issues. and finds that it does not is favor any of the proposed design treatments for the existing intake building and recommends that the applicant consider a smaller less intrusive intake building. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) MOTION: Councilmember Elliott moved the City Council direct staff to provide a synopsis of each Council Member's comments relating to the enclosure of the power plant be forwarded to the California Energy Commission along with Resolution No. 72-01. The motion was seconded by Councilmember Crotzer. Councilmember Crotzer requested an analysis be conducted on enclosing the power plant. He said enclosing the plant would be a benefit in that it would create a safer environment for the employees and there would be less light pollution. Mayor Anderson opened the hearing for public comment. Michael Pollock, Duke Energy, suggested the City Council give Duke Energy the opportunity to explain what the technical implications on the impacts of a plant enclosure would be. Hal Tune stated the power plant is a like a terrorist training center with ammonia trucks, hydrogen in the generators, boilers, gas lines and regulating control valves. 7 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13. 2001 David Nelson suggested the City confer with representatives of the Metcalf Power Plant and Russell City Energy Center. He said mitigation is not going to help our City. Peter Wagner stated the Council's comments should be forwarded to the California Energy Commission. He said the CEC is perfectly competent to explore the possibility of enclosing the buildings. Nancy Castle stated AGP Video would be able to assist in mailing a copy of the tape of tonight's meeting to the California Energy Commission. Councilmember Elliott withdrew his motion: Councilmember Crotzer withdrew his second. MOTION: Councilmember Elliott moved the City Council request the California Energy Commission staff to analyze a fully enclosed facility or other innovative visual shields or screens that block from view to the maximum extent feasible the industrial appearance and character of the power plant. The motion was seconded by Councilmember Crotzer. ® Councilmember Peters stated she does not have a problem with the California Energy Commission preparing an analysis; however, because she believes the citizens would prefer a more open atmosphere, she will not vote in favor of the motion. Councilmember Peirce stated he does not have enough information to vote in favor of this motion. Mayor Anderson stated the California Energy Commission will take the City's considerations and then make their decisions. His concern is if the City makes this plan too cumbersome, Duke Energy might withdraw their application, and the existing plant will operate without the upgrades that are needed. VOTE: The motion failed with Councilmember Peirce, Councilmember Peters and Mayor Anderson voting no. (2-3) 0 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13, 2001 B-2 APPEAL OF CONDITIONAL USE PERMIT NO. 35-01R/COASTAL DEVELOPMENT PERMIT NO. 17-OINAR 02-01; SITE LOCATION: 650 PONDEROSA; (PUBLIC SERVICES) Assistant Planner Michael Prater stated on June 1, 2001, the owner of the vacant property located on the corner of Ponderosa and Ironwood applied for a Coastal Development Permit, Conditional Use Permit and variance to construct a new single- family residence with an attached garage. At that time, the applicant requested that Ponderosa rather than Ironwood Street be determined to be the front property line consistent with the development and orientation of the other parcels on Ponderosa. Mr. Prater noted the applicant also proposed to construct a six-foot high solid wall along the Ironwood side of the parcel within the front yard setback. Pursuant to zoning regulations, the height of the solid wall should be limited to three feet along Ironwood within the 20-Foot front yard setback. Mr. Prater stated the Planning Commission considered this item at their regular meeting on September 17, 2001. The Commission approved the Coastal Development Permit and Conditional Use Permit for the project, including a variance with respect to the rear yard issetback. He noted the Commission's action did not include re -designating the front property line from Ironwood to Ponderosa. Rather, the Commission determined that the setbacks for the project should be reduced to accommodate the proposed residence without re -designating the front property line to Ponderosa. Mr. Prater stated it is the intent of the applicant's appeal to allow a six-foot high solid wall to be constructed along Ironwood Street within ten feet of the property line by either re -designing the front property line of the parcel or granting a variance for the increased wall height within the front yard setback along Ironwood. Staff recommends the applicant comply with the zoning ordinance requirements because there was insufficient evidence to satisfy the necessary legal findings for granting a variance. 11 Reginald Baldwin, Applicant/Appellant. reviewed the history of his application with the Public Services Department. Mayor Anderson opened the hearing for public comment. Thad Baxley, neighbor, expressed support for this project to be built as requested by the applicant. Mayor Anderson closed the public comment hearing. The consensus of the City Council was that the property frontage is on Ponderosa. we ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 13.2001 MOTION: Councilmember Peirce moved the City Council uphold the appeal based on the finding that a dedication has not been made on the land on the frontage of the property, and find the proposed property fronts on Ponderosa. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) MOTION: Councilmember Elliott moved the City Council authorize the reimbursement for the fee paid by Reginald Baldwin for Variance No. 02- 01. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) Mayor Anderson called for a break at 9:34 p.m.; the meeting resumed at 9:43 p.m. C. UNFINISHED BUSINESS —None. D. NEW BUSINESS D-1 DISCUSSION REGARDING REVIEW OF PUBLIC SERVICES DEPARTMENT ® PROCEDURES; (CITY COUNCIL) This item was continued to the November 26, 2001 City Council meeting. D-2 STATUS REPORT ON LANDMARK TREES; (PUBLIC SERVICES) This item was continued to the November 26, 2001 City Council meeting. E. ADJOURNMENT The meeting adjourned at 9:50 p.m. Recorded by: I.lJud�a �a�.tA�� Bridgett Bauer City Clerk El 10 NOTICE OF SPECIAL CLOSED SESSION MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Closed Session Meeting on Monday, November 5, 2001 at 5:00 p.m. to be held in the City Hall Conference Room, 595 Harbor Street, Morro Bay, California. The City Council will be considering the following issues GOVERNMENT CODE SECTION 54956.9(C); CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. Deciding whether to initiate litigation based upon existing facts and the advice of legal counsel as to one (1) matter. • Parties: City of Morro Bay and Duke Energy. Issue: Intervention in California Energy Commission process. ® GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to three (3) parcels. • Property: Water Outfall Line Easement. Negotiating Parties: Duke Energy and the City of Morro Bay. Negotiations: Renegotiation and extension of terms and conditions of lease agreement. DATED: November 2, 2001 Bridgett Bqper, City Clerk n MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION — NOVEMBER 5.2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m. PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager CLOSED SESSION MOTION: Councilmember Peters moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peirce and unanimously carried. (5-0) Mayor Anderson read the Closed Session statement. ® CS-1 GOVERNMENT CODE SECTION 54956.9(C); CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. Deciding whether to initiate litigation based upon existing facts and the advice of legal counsel as to one (1) matter. • Parties: City of Morro Bay and Duke Energy. Issue: Intervention in California Energy Commission process. CS-2 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. • Pro a Water Outfall Line Easement. Negotiating Parties: Duke Energy and the City of Morro Bay. Negotiations: Renegotiation and extension of terms and conditions of lease agreement. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. MOTION: Councilmember Peters moved the meeting be adjourned. The motion was seconded by Councilmember Elliott and unanimously carved. (5-0) The meeting adjourned at 5:45 p.m. PC AGENDA NO. V ® MINUTES -NOVEMBER 5, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. CITY COUNCIL/PLANNING COMMISSION WORKSHOP MORRO BAY POWER PLANT VISUAL & AESTHETIC ISSUES DATE: //- /9. D/ ACTION: agwaed a� eorree+4 vote, ll•O Mayor Anderson and Chairman Barta called the meeting to order at 6:00 p.m. PRESENT: Rodger Anderson Colby Crotzer Dave Elliott William Peirce Janice Peters John Barta Thad Baxley Stephen Carnes Don Doubledee Ken Vesterfelt Mayor Councilmember Councilmember Councilmember Councilmember Chairman Planning Commissioner Planning Commissioner Planning Commissioner Planning Commissioner ESTABLISH QUORUM AND CALL TO ORDER ® PLEDGE OF ALLEGIANCE ROLL CALL ACCEPTANCE OF AGENDA The City Council accepted the agenda as presented. MOTION: Commissioner Baxley moved the Planning Commission accept the agenda as presented. The motion was seconded by Commissioner Carries and carried unanimously. (5-0) Chairman Barta stepped down due to a potential conflict of interest in that he owns property within 500 feet of the boundary of the Duke property. PURPOSE AND GOALS OF MEETING Councilmember Peters reviewed the purpose and goals of this Visual Workshop for the Morro Bay Power Plant Modernization Project. ® EXPLANATION OF MEETING PROCESS Facilitator Jim Franklin explained the process of this workshop. He recognized the following experts who will be available to answer questions relating to the aesthetics of the power plant project: David Blau, EDAW Paul Curfinan, EDAW, Vic Montgomery, RRM Design Jeff Ferber, RRM Design Alyson Donitello, RRM Design Randy Vigor, Duke Energy — Moss Landing. PRESENTATION OF VISUAL OPTIONS David Blau, EDAW, reviewed the visual options for the bridge, intake structure, perimeter wall, landscaping and colors. QUESTIONS FROM CITY COUNCIL AND PLANNING COMMISSION WRITTEN QUESTIONS FROM PUBLIC Is The Public Comment/Question Cards are on file in the City Clerk's office. REVIEW OF OPTIONS AND EXPLANATION OF DOT POLLING PROCESS BREAK AND DOT POLLING — break taken at 7:12 p.m.; meeting resumed at 7:30 p.m. PRESENTATION OF DOT POLL RESULTS Jim Franklin reviewed the results of the dot poll votes. The City Council stepped down at this time. PUBLIC COMMENT TO PLANNING COMMISSION Betty Winholtz asked if the stacks sit at sea level and are 167 feet tall. She said the intake structure needs more diverse options. Jim Maul stated the existing intake structure best satisfies the present design guideline requirements of the Embarcadero; Options A & B do not fit the present appearance of the Embarcadero. He noted another option for this structure would be to remove the shading off the two walls on the Embarcadero side and replace it with glass so you can see what goes on inside. Charlie Palmer agreed with Jim Maul's comments; however, he noted cost should be ® considered. Paul Twedt stated angle of light should be considered when looking at colors for the plant. Mandy Davis addressed the CEC process and asked why this workshop is taking place when the project has not yet been approved. Richard Smith expressed concern with the lack of alternatives given for issues such as the cooling method for the power plant. He said the environmental issues have not been resolved and it appears dry -cooling is not being considered. Peter Wagner addressed the current intake building that is an eyesore. He said there are other alternatives such as lowering the height of the intake building with a removable roof and an exterior crane or no intake building with the dry -cooling method. Pam Soderback stated although people have placed their votes on the options does not mean they are in favor of the project. She stated the intake structure should not be considered without first considering the dry -cooling method. Jim Poly stated it is important that big trees are surrounding the plant, especially the northeast part of the plant. is John Barta stated he prefers the colors beige and green. He said (written comments). Andy Trump reviewed the intent of this workshop and the CEC process. David Nelson stated this workshop appears to be a Duke Energy presentation. He stated the proposed shorter stacks will be harmful to our health by spreading more particulate matter throughout the City. PLANNING COMMISSION DISCUSSION AND ACTION The Planning Commission made comments on the following issues: A. Perimeter Wall Commissioner Vesterfelt stated he will go with the majority of votes which are for Option A. Commissioner Carnes stated Option A is the best choice because it is consistent with the other walls that wrap around the plant. Commissioner Doubledee agreed with Option A, stating the staggered wall is a better solution which breaks up the wall, and with the cap on the top it provides some shadow. Vice -Chairman Baxley agreed with Option A, stating it is a taller wall that fits in with the present wall along the Embarcadero. El ® B. Bridge Materials Commissioner Doubledee stated he prefers Option C because it is similar to the railing detail on the new docks on waterfront and in character with the waterfront. Commissioner Carries stated he prefers something like Option C but simpler with galvanized rails and two lanes wide. Commissioner Vesterfelt stated he likes Options C due to maintenance. Vice -Chairman Baxley stated he prefers Option C, and would like a full-size bridge large enough for traffic, bicycles and pedestrians. C. Intake Building Commissioner Carnes stated he prefers to leave the intake building as it presently stands. He also noted windows on the side could be an interesting option. Commissioner Vesterfelt stated he does not like any of the choices. Commissioner Doubledee stated he prefers to leave the intake building as it is, or open it to other options such as Jim Maul's ideas of placing windows on the Embarcadero side; however, not Option A or B. Vice -Chairman Baxley stated he prefers to leave the intake building as it is with further study on other options. D. Color scheme ® Commissioner Doubledee stated he would prefer a variation of colors perhaps green with a little more blue in the stacks. Commissioner Vesterfelt stated he prefers beige. Commissioner Carries stated the complexity of this building is a significant change. He said he prefers a galvanized cover to hide the pipe racks and assist in the reduction of lights. Vice -Chairman Baxley stated he prefers green. E. Landscaping Commissioner Vesterfelt stated he prefers screening trees and shrubs for landscaping. He said palm trees along with other trees would work. Commissioner Carnes stated he prefers dune plant material with a lot of trees, especially off of Highway 41/Highway One. Commissioner Doubledee stated he prefers the larger -scale screening landscaping to make this a non -visual power plant. He said palm trees are not appropriate in Morro Bay; however, if planted, they should be clustered and not planted in a row. Vice -Chairman Baxley stated he prefers taller screening trees and shrubs to camouflage the plant. He does not support placing palm trees in a row, but planted along with other screening trees would be fine. 2 ® MOTION: Commissioner Doubledee moved the Planning Commission send their recommendations as stated on the perimeter wall, bridge materials, intake building, color scheme, and landscaping; with discussion on the width of the bridge as an issue. The motion was seconded by Commissioner Vesterfelt and carried with Chairman Barta abstaining. (4-0-1) ADJOURNMENT The meeting adjourned at 8:45 p.m. Recorded by: 1� t Bridgett Bauer City Clerk E F IJ NOTICE OF SPECIAL ALL CITY BOARDS BROWN ACT MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council, Planning Commission, Recreation & Parks Commission, Harbor Advisory Board, Public Works Advisory Board and Community Promotions Committee will be gathering for a Special Meeting on Wednesday, October 24, 2001 at 6:00 p.m. to be held in the Veterans' Memorial Building, 209 Surf Street, Morro Bay, California. The City Attorney will be reviewing Brown Act laws for informational purposes. DATED: October 18, 2001 Bridgett B er, City Clerk ® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING— OCTOBER 22, 2001 CLOSED SESSION — OCTOBER 22, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA C CS-1 GOVERNMENT CODE SECTION 54956.9(C); CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. Deciding whether to initiate litigation based upon existing facts and the advice of legal counsel as to one (1) matter. • Parties: City of Morro Bay and Duke Energy. Issue: Intervention in California Energy Commission process. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. l 'J PUBLIC SESSION — OCTOBER 22, 2001 VETERANS NIENIORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ® When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF OCTOBER 8, 2001 AND THE SPECIAL EMERGENCY MEETING OF OCTOBER 4, 2001; (ADMINISTRATION) RECON'1NIENDATION: Approve as submitted. A-2 CASH & INVESTMENT REPORT— SEPTEMBER 2001; (FINANCE) ® RECONIMENDATION: Receive report for information. 2 ® A-3 EXPENDITURE REPORT— SEPTEMBER 2001; (FINANCE) RECOMMENDATION: Approve as submitted. A-4 RESOLUTION NO. 66-01 ADOPTING THE HARBOR LEASE MANAGEMENT POLICY; (HARBOR) RECOMNIEN'DATION: Adopt Resolution No. 66-01. A-5 RESOLUTION NO. 69-01 APPROVING THE APPLICATION FOR GRANT FUNDING FOR THE PER CAPITA GRANT PROGRAM UNDER THE SAFE NEIGHBORHOOD PARKS, CLEAN WATER, CLEAN AIR AND COASTAL PROTECTION BOND ACT OF 2000; (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution No. 69-01. A-6 RESOLUTION NO. 70-01 APPROVING THE APPLICATION FOR GRANT FUNDING FOR THE ROVERTI-Z'BERG-HARRIS URBAN OPEN SPACE AND RECREATION PROGRAM UNDER THE SAFE NEIGHBORHOOD PARKS, CLEAN WATER, CLEAN AIR AND COASTAL PROTECTION BOND ACT OF 2000; (RECREATION & PARKS) ® RECONINIENDATION: Adopt Resolution No. 70-01. A-7 RESOLUTION NO. 67-01 AWARDING CONTRACT FOR QUINTANA ROAD BIKE LANES AND OVERLAY PROJECT; (PUBLIC SERVICES) 11 RECOMMENDATION: Adopt Resolution No. 67-01. A-8 RESOLUTION NO. 68-01 NOTICING THE CITY'S INTENTION TO SELL CITY -OWNED REAL PROPERTY LOCATED AT 1055 MORRO AVENUE; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution No. 68-01. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 PRESENTATION ON POLICE AND FIRE SPACE NEEDS ASSESSMENT AND CITY-WIDE FACILITIES MASTER PLAN BY RRM DESIGN GROUP; (RECREATION & PARKS) RECOMMENDATION: Receive information, and direct staff to continue with the Civic Center project by determining a phasing priority. 3 ® B-2 APPEAL OF CONDITIONAL USE PERMIT NO. 05-01/COASTAL DEVELOPMENT PERMIT NO. 18-01R; SITE LOCATION: 690 MONTEREY STREET; (PUBLIC SERVICES) RECONINIENDATION: Accept public testimony, review the Planning Commission's approval, and uphold the Planning Commission's determination and deny the appeal; and/or provide staff with direction regarding the project. C. UNFINISHED BUSINESS C-1 STATUS REPORT ON THE GENERAL PLAN/LOCAL COASTAL PLAN UPDATE; (PUBLIC SERVICES) RECONIMENDATION: Receive report for information. C-2 REPORT ON MORRO WELL FIELD MtBE RESPONSE PLAN AND STATUS OF ALTERNATIVE CITY WATER SOURCES; (PUBLIC SERVICES) RECODINIENDATION: Receive report for information. D. NEWBUSINESS — NONE. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. E ® MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION — OCTOBER 22, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember William Peirce Councilmember Janice Peters Councilmember ABSENT: Dave Elliott Councilmember STAFF: Joe Loven Acting City Manager Robert Schultz City Attorney CLOSED SESSION MOTION: Councilmember Peters moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peirce and unanimously carried. (4-0) ® Mayor Anderson read the Closed Session statement. CS-1 GOVERNMENT CODE SECTION 54956.9(C); CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. Deciding whether to initiate litigation based upon existing facts and the advice of legal counsel as to one (1) matter. • Parties: City of Morro Bay and Duke Energy. Issue: Intervention in California Energy Commission process. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:37 p.m. MOTION: Councilmember Peters moved the meeting be adjourned. The motion was seconded by Councilmember Peirce and unanimously carried. (4-0) The meeting adjourned at 5:37 p.m. 11 �J MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — OCTOBER 22, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember William Peirce Councilmember Janice Peters Councilmember ABSENT: Dave Elliott STAFF: Joe Leven Robert Schultz Bridgett Bauer Rick Algert Bill Boucher Greig Cummings Dan Doris Jeff Jones Jim Koser Andrea Lueker Mike Pond Councilmember Acting City Manager City Attorney City Clerk Harbor Director Capital Projects Manager Planning Manager Building Inspector Fire Chief Finance Director Recreation & Parks Director Fire Captain ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — City Attorney Robert Schultz reported the City Council met in Closed Session, and no reportable action was taken. PUBLIC COMMENT Joyce Albright announced the Estero Bay Newcomers Club will be celebrating their 301s anniversary at a luncheon in Pismo Beach on November 14, 2001. Peter Wagner requested clarification on the City's intervention process regarding the Duke Energy Modernization Project. He expressed concern with division in Council's decisions during the intervention process. and how that will be handled. Mr. Wagner urged the City Council to obtain public comment prior to signing final documents on the Duke Energy Project. 2 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — OCTOBER 22, 2001 Don Doubledee expressed concern with the length of time it takes for the permit process in the Public Services Department. David Nelson asked if the City Council has considered the dry cooling method for the Duke Energy Power Plant. He expressed concern with the modemization project. DECLARATION OF FUTURE AGENDA ITEMS —None. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF OCTOBER 8, 2001 AND THE SPECIAL EMERGENCY MEETING OF OCTOBER 4, 2001; (ADMINISTRATION) ® RECOMMENDATION: Approve as submitted. A-2 CASH & INVESTMENT REPORT— SEPTEMBER 2001; (FINANCE) RECOMMENDATION: Receive report for information. A-3 EXPENDITURE REPORT— SEPTEMBER 2001; (FINANCE) RECONINIENDATION: . Approve as submitted. A-4 RESOLUTION NO. 66-01 ADOPTING THE HARBOR LEASE MANAGEMENT POLICY; (HARBOR) RECOMMENDATION: Adopt Resolution No. 66-01. A-5 RESOLUTION NO. 69-01 APPROVING THE APPLICATION FOR GRANT FUNDING FOR THE PER CAPITA GRANT PROGRAM UNDER THE SAFE NEIGHBORHOOD PARKS, CLEAN WATER, CLEAN AIR AND COASTAL PROTECTION BOND ACT OF 2000; (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution No. 69-01. E 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — OCTOBER 22, 2001 A-6 RESOLUTION NO. 70-01 APPROVING THE APPLICATION FOR GRANT FUNDING FOR THE ROVERTI-Z'BERG-HARRIS URBAN OPEN SPACE AND RECREATION PROGRAM UNDER THE SAFE NEIGHBORHOOD PARKS, CLEAN WATER, CLEAN AIR AND COASTAL PROTECTION BOND ACT OF 2000; (RECREATION & PARKS) RECON NIENDATION: Adopt Resolution No. 70-01. A-7 RESOLUTION NO. 67-01 AWARDING CONTRACT FOR QUINTANA r ROAD BIKE LANES AND OVERLAY PROJECT; (PUBLIC SERVICES) RECONIMENDATION: Adopt Resolution No. 67-01. A-8 RESOLUTION NO. 68-01 NOTICING THE CITY'S INTENTION TO SELL CITY -OWNED REAL PROPERTY LOCATED AT 1055 MORRO AVENUE: (CITY ATTORNEY) ® RECONIMENDATION: Adopt Resolution No. 68-01. Councilmember Peters pulled Item A-3 from the Consent Calendar; Mayor Anderson pulled A-4. MOTION: Councilmember Peirce moved the City Council approve the Consent Calendar with the exception of Items A-3 and A-4. The motion was seconded by Councilmember Crotzer and carried unanimously. (4-0) A-3 EXPENDITURE REPORT — SEPTEMBER 2001- (FINANCE) Councilmember Peters pulled this item for clarification on the payment to PG&E in the amount of S62,899.70. Staff was requested to return this item to the next City Council meeting with clarification to Councilmember Peters' question, and for approval. A-4 RESOLUTION NO. 66-01 ADOPTING THE HARBOR LEASE MANAGEMENT POLICY Mayor Anderson stepped down on this item due to a conflict of interest. Councilmember Peirce addressed issues relating to lease renewal and negotiations with prospective tenants, and said clarification of the terms should be made to the tenants. 4 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — OCTOBER 22, 2001 Councilmember Crotzer stated he supports staff supplying a letter of clarification to prospective tenants regarding terms for lease renewals. Councilmember Peirce requested the Harbor Lease Management Policy come back to Council for review in six months. MOTION: Councilmember Peirce moved the City Council approve Item A-4 of the Consent Calendar. The motion was seconded by Councilmember Crotzer and carried with Mayor Anderson abstaining. (3-0-1) Mayor Anderson returned to his seat with the City Council. The City Council heard Item C-2 next. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 PRESENTATION ON POLICE AND FIRE SPACE NEEDS ASSESSMENT AND CITY-WIDE FACILITIES MASTER PLAN BY RRtM DESIGN GROUP; ® (RECREATION & PARKS) Recreation & Parks Director Andrea Lueker stated in February 2001, the City Council authorized staff to move forward in the development of a comprehensive City -Wide Facilities Master Plan. She noted on May 14, 20013 the City Council agreed to fund a project that would look at the space needs of both the Police and Fire Departments and then combine that information with information gathered through the "Green Building Grant" process. Ms. Lueker stated the data would then serve as a basis for Council discussion on a City -Wide Facilities Master Plan including location of facilities and phasing of the project. Ms. Lueker recommended the City Council review the information regarding the space needs of the Police and Fire Departments; prioritize the facilities in order of necessary development, with the recommended priority of City Hall, Fire and Police; and direct staff to proceed with a concept plan to present to the Council for further discussion and public comment. Representatives of RIM Design Group were available for questions and comments. Mayor Anderson opened the hearing for public comment; there were no comments, and Mayor Anderson closed the public comment hearing. Councilmember Peirce addressed locating a Fire Department sub -station in the north part of Morro Bay. 0 5 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — OCTOBER 22, 2001 Councilmember Crotzer stated the first priority should be to house Public Services in a City -owned facility. He said he would like to hear public comment on what is a high priority regarding City facilities. Mayor Anderson stated it is fair to say this Council is fiscally conservative and will not jeopardize City services. He said he agrees he would like to see the Public Services Department in a City -owned facility. MOTION: Councilmember Peirce moved the City Council prioritize the facilities in order of necessary development, with the recommended priority of City Hall, Fire and Police; and direct staff to proceed with a concept plan to present to the Council for further discussion and public comment. The motion was seconded by Councilmember Peters and carried unanimously. (4-0) Mayor Anderson called for a break at 7:27 p.m.; the meeting resumed at 7:33 P.M. B-2 APPEAL OF CONDITIONAL USE PERMIT NO. 05-01/COASTAL ® DEVELOPMENT PERMIT NO. 13-OIR; SITE LOCATION: 690 MONTEREY STREET; (PUBLIC SERVICES) Planning Manager Greig Cummings stated on September 4, 2001, the Planning Commission considered the application for the construction of a duplex with garages and parking for an existing non -conforming multiple family dwelling located at 690 Monterey Street. He said one appellant; Vicki Landis, is requesting the City Council review the project as to the adequacy of the notification and enforce notification regulations throughout the City. The other appellant, Carl Lea, asserts that less than half of the residents within the 100-foot notification area actually received the notice of the Planning Commission hearing. Mr. Cummings recommended the City Council receive public testimony, and uphold the Planning Commission's determination and deny the appeal. Vicki Landis, appellant, stated her appeal is based on the lack of notification of residents surrounding the project. She requested the City Council change the policy to make the notification process a City responsibility. Robert Bronte, representing appellant Carl Lea, reviewed Mr. Lea's points of appeal. Jeff Edwards, representing Gregory Properties, reviewed the project and the Planning Commission's review and approval. 0 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — OCTOBER 22, 2001 Mayor Anderson opened the hearing for public comment. The following people expressed support for this project: Kevin Carroll, Larry Black, and Corrine Black. Jeff Gregory, owner of the project, stated he and his family worked closely with the City in obtaining permits for this project. Mayor Anderson closed the public comment hearing. Councilmember Peters stated noticing of projects is an important issue and needs to be addressed. She said she supports this project with the conditions imposed by the Planning Commission. Councilmember Crotzer stated noticing of a project should not be provided by the applicant; and should be discussed by Council at a future date. He said projects that allow for more density with living space over parking garages or a residence over a ® business is a smart urban design. Councilmember Crotzer stated he supports this project as approved by the Planning Commission. Councilmember Peirce stated the noticing requirement is important and will be discussed at.a future City Council meeting. MOTION: Councilmember Peirce moved the City Council uphold the Planning Commission's determination on CUP 05-01/CDP 18-OIR to construct a duplex with garages and parking for an existing non -conforming multiple family dwelling located at 690 Monterey Street, and deny the appeal. The motion was seconded by Councilmember Peters and carried unanimously. (4-0) C. UNFINISHED BUSINESS C-1 STATUS REPORT ON THE GENERAL PLAN/LOCAL COASTAL PLAN UPDATE; (PUBLIC SERVICES) Planning Manager Greig Cummings stated the City is carrying out a comprehensive merger/update of its General Plan and Coastal Land Use Plan. He said the end result of this effort will be to merge various existing City land use planning documents into a single, streamlined document that will serve as the City's new General Plan and Coastal Land Use Plan. Through this process, staff and the Planning Commission are conducting a review of the status of all existing planning policies. This policy review will identify policies that have been implemented, policies/statements that need to be updated due to 7 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — OCTOBER 22, 2001 changed circumstances, policies that can be deleted because they are no longer applicable and where appropriate, new policies will be considered. Mr. Cummings stated the City's planning consultant has prepared a comprehensive analysis of City planning policies, a summary of public comment and a draft Plan for consideration by the Planning Commission. He said the Planning Commission is anticipated to conclude its review of these materials early next year at which time a final draft of the Plan will be prepared, including any necessary environmental review, and public hearings will be held before the Planning Commission and the City Council. This was an informational item: no action was taken. C-2 REPORT ON MORRO WELL FIELD MtBE RESPONSE PLAN AND STATUS OF ALTERNATIVE CITY WATER SOURCES; (PUBLIC SERVICES) Capital Projects Manager Bill Boucher stated the City is currently experiencing a planned reduction in deliveries of State Water Project water due to routine maintenance of portions of the State Water Project system that will continue through mid -November. At the same time, one of the City's primary alternative sources of water, the Morro Well ® Field, remains threatened with MtBE contamination. Mr. Boucher stated efforts have been underway since early this year to prepare for these circumstances and ensure the community will continue to have adequate water supplies. He reviewed the preparatory actions that have been taken as follows: 1) solidify existing water resources; 2) maintain and improve water delivery/supply systems; 3) complete emergency mutual aid agreements with other agencies; 4) ensure availability of State Water Project reserves for Morro Bay; 5) prepare and implement a response plan if the Morro Well Field must be activated; 6) continue to secure additional water resources for the community; and 7) satisfy regulatory requirements related to City water resource planning. Jon Rohrer, representative of Komex H2O Science, Inc. and Everett Ferguson, representative of Miller Brooks Environmental, reviewed the Response Plan for the Morro Basin Well Field. This was an informational item; no action was taken. D. NEW BUSINESS —None. F. ADJOURNMENT - The meeting adjourned at 8:40 p.m. Recorded by: Bndeett B uer City Clerk K City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be coin in to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - OCTOBER 8, 2001 CLOSED SESSION — OCTOBER 8, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA ® CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to three (3) parcels. Property: 1055 Morro Avenue Discussion: Potential Sale. • Property: Water Outfall Line Easement. Negotiating Parties: Duke Energy and the City of Morro Bay. Negotiations: Renegotiation and extension of terms and conditions of lease agreement. ADDED: • Property: 590 Morro Bay Boulevard Discussion: Real property lease discussion. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ® ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. PUBLIC SESSION — OCTOBER 8, 2001 ® VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA C E ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF SEPTEMBER 24, 2001 AND THE SPECIAL MEETING OF SEPTEMBER 27, 2001; (ADMINISTRATION) RECOi\1MENDATION: Approve as submitted. A-2 ANNUAL REPORT TO COUNCIL FOR PROPOSED USE OF AB 1913 FUNDS: CITIZEN'S OPTION FOR PUBLIC SAFETY (COPS) AND THE SUPPLEMENTAL LAW ENFORCEMENT SAFETY FUND OVERSIGHT COMMITTEE; (POLICE) RECOMMENDATION: Receive report for information. 2 ® A-3 RESOLUTION NO. 62-01 AUTHORIZING THE SUBMITTAL OF AN APPLICATION TO THE CALIFORNIA INTEGRATED WASTE MANAGEMENT BOARD FOR A 2001/2002 PARK PLAYGROUND ACCESSIBILITY AND RECYCLING GRANT; (RECREATION & PARKS) RECONEMENDATION: Adopt Resolution No. 62-01. A-4 RESOLUTION NO. 64-01 AUTHORIZING THE RECREATION AND PARKS DEPARTMENT TO APPLY FOR A SCHOOL AGE CHILD CARE LICENSE THROUGH THE DEPARTMENT OF SOCIAL SERVICES COMMUNITY CARE LICENSING DIVISION FOR A SITE AT MORRO ELEMENTARY SCHOOL; (RECREATION & PARKS) RECOMNIENDATION: Adopt Resolution No. 64-01. A-5 APPROVAL OF DESIGN CONTRACT FOR MORRO BAY BOULEVARD/QUNTANA ROAD INTERSECTION IMPROVEMENTS; (PUBLIC SERVICES) RECONIMENDATION: Approve the Engineering Consultant Contract with Penfield & Smith. ® A-6 RESOLUTION NO. 63-01 OBLIGATING FUNDS FOR WATER PROJECTS TO MITIGATE IMPACTS OF GROUNDWATER CONTAMINATION PURSUANT TO THE STIPULATED AGREEMENT BETWEEN THE CITY AND EQUILON/EQUIVA; (PUBLIC SERVICES) E RECOMNIENDATION: Adopt Resolution No. 63-01. A-7 RESOLUTION NO. 65-01 APPROVING ASSISTANCE FOR EMPLOYEES CALLED TO ACTIVE MILITARY DUTY DUE TO THE SEPTEMBER 11, 2001 ATTACK ON AMERICA; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 65-01. B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-1 PRESENTATION ON POLICE AND FIRE SPACE NEEDS ASSESSMENT AND CITY-WIDE FACILITIES MASTER PLAN BY RRM DESIGN GROUP; (RECREATION & PARKS) RECOMMENDATION: Receive information, and direct staff to continue with the Civic Center project by determining a phasing priority. 3 ® B-2 APPEAL OF PLANNING COMMISSION DECISION ON CONDITIONAL USE PERMIT NO. 15-01/COASTAL DEVELOPMENT PERMIT NO. 02-OIR: SITE LOCATION — 300 TRINIDAD STREET; (PUBLIC SERVICES) RECOMMENDATION: Conduct a public hearing, review the Planning Commission approval, and direct staff accordingly. B-3 ORDINANCE NO. 487 RELATING TO OUTDOOR LIGHTING CONTROL — FIRST READING AND INTRODUCTION; (CITY ATTORNEY) RECOMMENDATION: Approve first reading and introduction of Ordinance No. 487. B-4 RESOLUTION NO. 66-01 ADOPTING THE HARBOR LEASE MANAGEMENT POLICY; (HARBOR) RECOMMENDATION: Adopt Resolution No. 66-01. C. UNFINISHED BUSINESS —NONE. D. NEW BUSINESS — NONE. ® E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TLNIE SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFOR'1ATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, L1BR U2Y, A aND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT. IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE'MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE NIADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 4 ® MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION — OCTOBER 8, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney CLOSED SESSION MOTION: Councilmember Crotzer moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) Mayor Anderson read the Closed Session statement. ® CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terns of payment for the purchase, sale, exchange, or lease of real property as to three (3) parcels. • Property: 1055 Morro Avenue Discussion: Potential Sale. • Property: Water Outfall Line Easement. Negotiating Parties: Duke Energy and the City of Morro Bay. Negotiations: Renegotiation and extension of terms and conditions of lease agreement. • Property: 590 Morro Bay Boulevard Discussion: Real property lease discussion. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:55 p.m. MOTION: Councilmember Elliott moved the meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) ® The meeting adjourned at 5:55 p.m. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — OCTOBER 8, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 1 2 Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Rick Algert Bill Boucher Janeen Burlingame Greig Cummings Greg Fuz Jeff Jones Jim Koser Joe Loven Andrea Lueker City Manager City Attorney City Clerk Harbor Director Capital Projects Manager Management Analyst Planning Manager Public Services Director Fire Chief Finance Director Police Chief Recreation & Parks Director ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — City Attorney Robert Schultz stated the City Council met in Closed Session relating to Government Code Section 54956.8; Real Property Transactions. The City Council took the following action: 1) 1055 Morro Avenue — The City Council approved by a unanimous motion to go forward with the intent to sell that property; 2) Water Outfall Line Easement — no reportable action was taken on this item; and 3) 590 Morro Bay Boulevard — no reportable action was taken on this item. LIC COMMENT Jim Ross acknowledged the City's Public Services staff for their good service. Don Maruska announced there will be a public meeting regarding the restoration of the Piedras Blancas Lighthouse on October 10, 2001 at 6:30 p.m. at the Veterans' Hall in Cambria. 2 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — OCTOBER 8, 2001 2 O Charlie Palmer recognized the City's position during the Beach Street Incident and how the hazardous waste was disposed. David Nelson expressed concern with the pollution that will be created by the Duke Energy Power Plant. Irvin Poteat, chemist with Duke Energy, stated the ammonia used by the power plant is an ammonia dissolved in water and is not the same as the anhydrous ammonia that was leaking on Beach Street last week. Nancy Castle stated there is a county strategic plan regarding public, education and government access television being planned for this coming November. She also requested further public input be sought on the Outdoor Lighting Control Ordinance. DECLARATION OF FUTURE AGENDA ITEMS — None. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF SEPTEMBER 24, 2001 AND THE SPECIAL MEETING OF SEPTEMBER 27, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted A-2 ANNUAL REPORT TO COUNCIL FOR PROPOSED USE OF AB 1913 FUNDS: CITIZEN'S OPTION FOR PUBLIC SAFETY (COPS) AND THE SUPPLEMENTAL LAW ENFORCEMENT SAFETY FUND OVERSIGHT COMMITTEE; (POLICE) RECOMMENDATION: Receive report for information. A-3 RESOLUTION NO. 62-01 AUTHORIZING THE SUBMITTAL OF AN APPLICATION TO THE CALIFORNIA INTEGRATED WASTE MANAGEMENT BOARD FOR A 2001/2002. PARK PLAYGROUND ACCESSIBILITY AND RECYCLING GRANT; (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution No. 62-01. 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — OCTOBER 8, 2001 A-4 RESOLUTION NO. 64-01 AUTHORIZING THE RECREATION AND PARKS DEPARTMENT TO APPLY FOR A SCHOOL AGE CHILD CARE LICENSE THROUGH THE DEPARTMENT OF SOCIAL SERVICES COMMUNITY CARE LICENSING DIVISION FOR A SITE AT MORRO ELEMENTARY SCHOOL; (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution No. 64-01. A-5 APPROVAL OF DESIGN CONTRACT FOR MORRO BAY BOULEVARD/QUINTANA ROAD INTERSECTION IMPROVEMENTS; (PUBLIC SERVICES) RECOMMENDATION: Approve the Engineering Consultant Contract with Penfield & Smith. A-6 RESOLUTION NO. 63-01 OBLIGATING FUNDS FOR WATER PROJECTS TO MITIGATE IMPACTS OF GROUNDWATER CONTAMINATION PURSUANT TO THE STIPULATED AGREEMENT BETWEEN THE CITY ® AND EQUILON/EQUIVA; (PUBLIC SERVICES) RECOi•Ii\IENDATION: Adopt Resolution No. 63-01. A-7 RESOLUTION NO. 65-01 APPROVING ASSISTANCE FOR EMPLOYEES CALLED TO ACTIVE MILITARY DUTY DUE TO THE SEPTEMBER 11, 2001 ATTACK ON AMERICA; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 65-01. Councilmember Peters pulled Item A-7 from the Consent Calendar. MOTION: Councilmember Peirce moved the City Council approve the Consent Calendar with the exception of Item A-7. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) A-7 RESOLUTION NO. 65-01 APPROVING ASSISTANCE FOR EMPLOYEES CALLED TO ACTIVE MILITARY DUTY DUE TO THE SEPTEMBER 11, 2001 ATTACK ON AMERICA; (ADMINISTRATION) Councilmember Peters pulled this item for public information. ul n ® MINUTES - MORRO BAY CITY COUNCIL. REGULAR MEETING— OCTOBER 8, 2001 MOTION: Councilmember Peters moved the City Council approve Item A-7 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) Mayor Anderson called for a break at 6:56 p.m.; the meeting resumed at 7:05 p.m. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-I PRESENTATION ON POLICE AND FIRE SPACE NEEDS ASSESSMENT AND CITY-WIDE FACILITIES MASTER PLAN BY RRM DESIGN GROUP; (RECREATION & PARKS) This item was pulled from the agenda. B-2 APPEAL OF PLANNING COMMISSION DECISION ON CONDITIONAL USE PERMIT NO. 15-01/COASTAL DEVELOPMENT PERMIT NO. 02-OIR: SITE LOCATION — 300 TRINIDAD STREET; (PUBLIC SERVICES) ® Planning Manager Greig Cummings stated on August 20, 2001, the Planning Commission considered the application for the construction of the single family dwelling with attached garage at a regularly scheduled public hearing. He said the Planning Commission received public testimony, closed the public hearing and took action by approving the project after amending the staff recommended conditions of approval. Mr. Cummings noted issues that were raised during public testimony and Commission comments that included building height and front setback requirements. He said the Planning Commission, after considering public testimony, exercised its discretion to allow the project to exceed the Specific Plan height guidelines subject to a condition that would require redesign of a portion of the project. Jim Ross, appellant, stated he is requesting the City Council to review and require the applicant to revise the height of the proposed structure to a height not to exceed two stories and 25 feet. Dale Reddell, applicant, reviewed the plans of the single-family residence he proposed to the Planning Commission and which was approved by the Commission on August 20, 2001. He also addressed inconsistencies within the Public Services Department. Mayor Anderson opened the hearing for public comment. 5 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — OCTOBER 8, 2001 The following people requested the City Council approve the appeal in order to maintain the 25 foot height limit on this proposed project: Jean L'Amoreaux, Richard Scholl, Maggie Suckut, Elaine Johnson and John Biondi. Mayor Anderson closed the public comment hearing. Councilmember Elliott stated the intent of any project should be to maintain the current nature of the area. He said he supports the appeal to limit the. building height of the structure to 25 feet. Mayor Anderson stated it is clear by the public input on this project, and others similar to it, that the living space on a residential structure should be restricted to 25 feet. Councilmember Peters stated she supports the prevailing rule which is the Main Street Specific Plan, and that allows a 25-foot height limit. Councilmember Peirce stated although the language in the zoning ordinance does allow for roofline exceptions to go over the 25-foot height limit, this project does not fit into that ® exception. Councilmember Crotzer stated he is impressed with the outcome of the neighbors who spoke in opposition to the proposed height of this project. MOTION: Councilmember Crotzer moved the City Council approve the appeal, revising the Planning Commission findings and conditions of approval accordingly to limit the height of the structure to 25 feet. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) Mayor Anderson called for a break at 8:47p.m.; the meeting resumed at 8:57 p.m. B-3 ORDINANCE NO. 487 RELATING TO OUTDOOR LIGHTING CONTROL — FIRST READING AND INTRODUCTION; (CITY ATTORNEY) City Attorney Robert Schultz stated the existing regulations for outside lighting in Morro Bay are not extensive enough to provide for the effective control of outdoor lighting. For that reason, proposed Chapter 14.76 of the Municipal Code has been drafted with the primary goal of creating comprehensive standards for outdoor lighting to "minimize light pollution, glare, and light trespass caused by inappropriate or misaligned light fixtures, while improving nighttime public safety, utility, and security, and preserving the night sky as a natural resource and thus people's enjoyment of looking at the stars". Mr. Schultz recommended the City Council accept public comment, and move for introduction and first Is reading of Ordinance No. 487, Outdoor Lighting Control Ordinance. N ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — OCTOBER 8, 2001 MOTION: Councilmember Elliott moved the City Council direct staff to add language relative to the Duke Energy Power Plant's usage of Tideland's lease sites, and return the Harbor Lease Management Policy to the City Council for adoption on October 22, 2001. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) C. UNFINISHED BUSINESS — None. D. NEW BUSINESS — None. F. ADJOURNMENT The meeting adjourned at 9:57 p.m. Recorded by: Bridgett Bauer City Clerk C C ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — OCTOBER 8, 2001 Mayor Anderson opened the hearing for public comment. Andy Hamp requested Council obtain more information and public input before adding more regulations to the City books. Betty Winholtz stated this is a proactive consideration in order to prevent future problems. Nancy Castle stated a light meter would be helpful in monitoring this proposed ordinance. She said this could be a way to promote the conservation of electricity. Ms. Castle requested Council consider obtaining further review from other agencies and public input on this issue. Mayor Anderson closed the public comment hearing. MOTION: Councilmember Peirce moved the City Council send this draft ordinance to the various City boards and commissions for further study. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) ® B-4 RESOLUTION NO..66-01 ADOPTING THE HARBOR LEASE MANAGEMENT POLICY; (HARBOR) E Mayor Anderson stepped down due to a conflict of interest. Harbor Director Rick Algert stated in 1986, the City adopted a "modern" master lease as a format for all future lease agreements. In 1987, the City adopted a lease negotiation policy in response to administrative problems that were occurring at that time. Until this year, the City has not attempted to set a more comprehensive policy for overall management of the Harbor/Tidelands lease program. On January 22, 2001, the City Council reviewed a first draft Comprehensive Harbor Lease Management Policy. The City Council directed staff to have the draft reviewed by the Planning Commission and Harbor Advisory Board for comment and recommendation to the City Council. Also, on January 22, 2001, the City Council approved to reallocate S10,000 in Harbor Fund monies to update the City master lease format drafted in 1987. Mr. Algert noted on May 3, August 9 and September 6, 2001, the Planning Commission and Harbor Advisory Board met jointly to review the proposed policy, and voted to recommend the attached draft of the Harbor Lease Management policy to the City Council. 7 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — OCTOBER 8, 2001 Mr. Algert stated development of this policy has raised the public awareness of tidelands lease issues and has been a benefit to the community's understanding of this important element of the City. One of the most contentious issues to arise was the question of whether the City should let smaller lease site lease agreements expire to consolidate those smaller lease sites into one development. The primary purpose for consolidating lease sites is to maximize the public benefits (view corridors, improved sidewalks, and lateral public access, etc.) of redevelopment projects on larger parcels. Mr. Algert recommended the City Council adopt Resolution No. 66-01 approving the comprehensive Harbor Lease Management Policy. Vice -Mayor Peters opened the hearing for public comment. Inez Viole-O'Neill, leaseholder of Lease Site 67-67W, stated her lease is due to expire in December 2003, and the Harbor Department is recommending to renegotiate leases 5 to 10 years in advance of the lease expiration. Ms. O'Neill requested the City Council consider entering into an interim lease agreement with smaller lease sites such as hers until they can be combined into a redevelopment program that can meet current requirements. ® Smith Held, leaseholder of Lease Site 68/68W, stated that in order to require redevelopment of their lease site and the lease sites surrounding them, it would make sense to extend their lease until 2018, at which time a plan could be made and implemented to make the entire block an attractive asset to the City. Vice -Mayor Peters closed the public comment hearing. Councilmember Crotzer stated one solution is to consolidate the smaller lease sites with short-term leases until they come together and work jointly to become an attractive asset to the City. He said the City has a responsibility in the fair treatment of funding for public lands. Councilmember Crotzer stated the coordination between the City and the lease sites will result as a benefit in the improvement of the waterfront. Councilmember Elliott expressed his support of this policy, and stated this document is trustworthy and will benefit everyone. Councilmember Peirce stated he supports this policy, and in the long run it will be a benefit to the City and its waterfront. Councilmember Peters requested information on the Duke Energy lease sites. Staff responded language can be added regarding the Duke Energy lease sites, and the ® policy will be brought back for adoption at the City Council's next meeting. M ® NOTICE OF EMERGENCY CITY COUNCIL MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding an Emergency Meeting on Thursday, October 4, 2001 at 8:00 a.m. to be held in the City Hall Conference Room, 595 Harbor Street, Morro Bay, California. The City Council_ will receive a status briefing regarding the Beach Hazardous Materials Incident, and will be considering ratifying the declaration of local emergency. E. DATED: October 4, 2001 L � Bridgett 'Jauer, City Clerk E MINUTES - MORRO BAY CITY COUNCIL EMERGENCY MEETING — OCTOBER 4, 2001 CITY HALL CONFERENCE ROOM - 8:00 A.M. Mayor Anderson called the meeting to order at 8:05 a.m. PRESENT: ABSENT: STAFF: Rodger Anderson Dave Elliott William Peirce Janice Peters Colby Crotzer Robert Hendrix Bridgett Bauer Jeff Jones Mayor Councilmember Councilmember Councilmember Councilmember City Manager City Clerk Fire Chief MOTION: Councilmember Elliott moved the City Council approve the signing of the Declaration of Local Emergency by the Director of Emergency Services relating to the Beach Street Incident on October 4, 2001. The motion was seconded by Councilmember Peirce and carried unanimously. (4-0) Chief Jones briefed the City Council on the Beach Street Incident. The meeting adjourned at 8:45 a.m. ® DECLARATION OF LOCAL EMERGENCY BY DIRECTOR OF EMERGENCY SERVICES I, Robert E. Hendrix, Director of Emergency Services, of the City of Morro Bay, State of California, hereby find and determine that there exists a condition of extreme peril to the safety of persons and property within that area of the City of Morro Bay because of the existence of a hazardous materials leak of Anhydrous Ammonia with a leak potential of approximately 1,100 pounds. And, further, I do hereby find and detenmine that the condition or conditions set forth herein -above in this Proclamation currently exist within said area of the City of Morro Bay and are likely to be beyond the control of the services, personnel, equipment and facilities of the City of Morro Bay and require the combined forces of other political subdivisions to combat. These conditions are not a result of labor controversy. Now, therefore, I do hereby PROCLAIM A LOCAL EMERGENCY in that area of the City of Morro Bay described as follows: Major Event — Before removal of material there will be a Planned EVACATION of all areas within 1000 yards of leak. This evacuation is to begin at 0700. The evacuation area ® will include Morro Bay downtown, the Embarcadero and the Harbor will be closed. The area is encircled by Olive St. to the south, Bernardo Ave. to the east and Little Morro Creek to the North. Hwy 1 Main St. and Morro Bay Blvd off ramps will be closed Morro Bay High School and Morro Elementary school will be closed. In furtherance of this Proclamation of Local Emergency, there is hereby invoked within the above -described area of the City of Morro Bay, all of the powers and mechanisms set forth in the California Emergency Services Act and in Morro Bay Municipal Code Chapter 8.08 (Civil Defense and Emergency Services) said powers and mechanisms may be hereafter be used by authorized personnel of the City of Morro Bay. It is hereby ordered that a copy of this Proclamation of Local Emergency shall be posted on all outside public access doors of City Hall and in one public place within any area of the City of Morro Bay within which this Proclamation applies, and that personnel of said City shall endeavor to make copies of this Proclamation available to news media. This Proclamation of Local Emergency shall remain in effect for a period of 48 hours from the date hereof, unless further extended, or unless sooner terminated. Dated: October 4, 2001 Time: obert E. Hendrix, City Manager and Director of Emergency Services NOTICE OF SPECIAL CITY COUNCIL MEETING NOTICE IS HEREBY -GIVEN that the Morro Bay City Council will be holding a Special Closed Session Meeting on Thursday, September 27, 2001 at 4:00 p.m. to be held in the Community Center Studio Room, 1001 Kennedy Way, Morro Bay, California. The City Council will be considering the following issue: GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTION'S. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. • Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay ® Negotiations: Voluntary Purchase and Sale. The City Council will adjourn the Closed Session Meeting at 4:15 p.m., and open the meeting for the purpose of taking public action out.of Closed Session, and for further discussion of 220 Atascadero Road in Morro Bay, formerly known as Flippo's Surfside Skate Harbor. DATED: September 25, 2001 Bridgett uer, City Clerk ® MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - SEPTEMBER 27, 2001 COMMUNITY CENTER —4:00 P.M. Mayor Anderson called the meeting to order at 4:00 p.m. PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney GOVERNiNIENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. • Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay ® Negotiations: Voluntary Purchase and Sale. Mayor Anderson opened the meeting for public comment. The following people addressed the City Council regarding the Flippo's Surfside Skating Rink: Donna Lorenz, Bridgette Helpin, Lynda Merrill, Robin Bridges, Betty Winholtz, Jane von Kay, and Don Puitt. Mayor Anderson closed the public comment hearing. MOTION: Councilmember Peirce moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) The meeting adjourned to Closed Session at 4:45 p.m. and returned to regular session at 4:55 p.m. MOTION: Councilmember Crotzer moved the meeting be adjourned. The motion was seconded by Councilmember Peirce and unanimously carried. (5-0) City Attorney Robert Schultz reported no reportable action was taken by the City Council in Closed Session. 0 The meeting adjourned at 5:05 p.m. ® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and ivill provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — SEPTEMBER 24, 2001 VETERANS MEMORIAL HALL - 6:00 PAM. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY ® MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous; profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS 21 ® A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF SEPTEMBER 10, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 INVESTMENT REPORT —AUGUST 2001; (FINANCE) RECOMMENDATION: Receive for information. A-3 EXPENDITURE REPORT— AUGUST 2001; (FINANCE) RECOiNIMENDATION: Approve as submitted. A-4 RESOLUTION NO. 61-01 REQUESTING THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM TO WAIVE THE 960-RULE RECOMINIENDATION: Adopt Resolution No. 61-01 requesting PERS to waive ® the 960-hour limitation for Reserve Firefighter/Fire Prevention Technician Thomas D. Prows. LL B. PUBLIC HEARINGS, REPORTS & APPEARANCES — NONE. C. UNFINISHED BUSINESS —NONE. D. NEW BUSINESS — NONE. DUE TO THE ATTACK ON OUR NATION IN NEW YORK CITY AND WASHINGTON, D.C., THE MORRO BAY CITY COUNCIL WILL HOLD A PUBLIC FORUM AFTER CONDUCTING AN ABBREVIATED BUSINESS AGENDA. THE PURPOSE OF THE FORUM IS TO PROVIDE MEMBERS OF THE PUBLIC THE OPPORTUNITY TO SHARE WORDS OF COMFORT AND SUPPORT FOR VICTIMS, RELATIVES, AND FRIENDS IMPACTED BY THE TRAGEDY OF SEPTEMBER 11, 2001. 2 ® E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE ® TO PROVIDE ACCESSIBILITY TO THE MEETING. 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — SEPTEMBER 24, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. C 2 Vice -Mayor Peters called the meeting to order at 6:00 p.m. PRESENT: Janice Peters Vice -Mayor Dave Elliott Councilmember William Peirce Councilmember ABSENT: Rodger Anderson Colby Crotzer STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Rick Algert Jeff Jones Jim Koser Joe Loven Andrea Lueker ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — None. PUBLIC COMMENT Mayor Councilmember City Manager City Attorney City Clerk Harbor Director Fire Chief Finance Director Police Chief Recreation & Parks Director Meredith Bates announced the Community Promotions Committee will be holding a public workshop on October 18'h in order for the public to learn more about the Committee. Jeff O'Dell thanked those who participated in the Memorial Service held in City Park. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Peirce requested Council schedule a Special Meeting on September 27'h at 4:00 p.m. to discuss the purchase of 220 Atascadero Road (Flippo's); Council concurred. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — SEPTEMBER 24, 2001 A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF SEPTEMBER 10, 2001- (ADMINISTRATION) RECONIMENDATION: Approve as submitted. A-2 INVESTMENT REPORT —AUGUST 2001; (FINANCE) RECONIi\IENDATION: Receive for information. A-3 EXPENDITURE REPORT —AUGUST 2001; (FINANCE) RECOMMENDATION: Approve as submitted. ® A-4 RESOLUTION NO. 61-01 REQUESTING THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM TO WAIVE THE 960-RULE RECOMNIENDATION: Adopt Resolution No. 61-01 requesting PERS to waive the 960-hour limitation for Reserve Firefighter/Fire Prevention Technician Thomas D. Prows. MOTION: Councilmember Peirce moved the City Council approve the Consent Calendar. The motion was seconded by Councilmember Elliott and carried unanimously. (3-0) B. PUBLIC HEARINGS, REPORTS & APPEARANCES —NONE. C. UNFINISHED BUSINESS —NONE. D. NEW BUSINESS — NONE. ] 2 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — SEPTEMBER 24, 2001 Due to the attack on our Nation in New York City and Washington, D.C., the Morro Bay City Council held a public forum after conducting an abbreviated business agenda. The purpose of the forum was to provide members of the public the opportunity to share words of comfort and support for victims, relatives, and friends impacted by the tragedy of September I I, 2001. Vice Mayor Janice Peters invited Dr. Rushdi Abdul Cader to say a few words on the Islamic Faith. The following members of the public spoke: Gary Ream, Margaret Quigley, Roscoe Mathieu, Bill Woodson, John Bafford, Jane von Kay, Meredith Bates, Roger Evey, Bob Tefft, Gary Johnson, and Jeff O'Dell. F. ADJOURNMENT The meeting adjourned at 7:39 p.m. ® Recorded by: 4 — \&tA_ Bridgett Bauer City Clerk El 3 ® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — SEPTEMBER 10, 2001 CLOSED SESSION — SEPTEMBER 10, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., NIORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY ® TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to three (3) parcels. Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay. Negotiations: Voluntary Purchase and Sale. Property: 950/960 Napa Avenue Negotiating Parties: John and Miriam Lein and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. Property: 1055 Morro Avenue Discussion: Potential Sale. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION'MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. 11 ® PUBLIC SESSION — SEPTEMBER 10, 2001 VETERANS 11EMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three A minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. L DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF AUGUST 27, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 AWARD OF CONTRACT FOR PROJECT NO. MB-2000-S1; STREET SLURRY SEAL; (PUBLIC SERVICES) RECONIMENDATION: Award project contract to Graham Contractors, ® Incorporated in the amount of $173,619.68. 2 ® A-3 RESOLUTION NO. 60-01 AMENDING THE MASTER FEE SCHEDULE — HARBOR FEE ADJUSTMENT; (HARBOR) ul E RECOMMENDATION: Adopt Resolution No. 60-01 amending the Nlaster Fee Schedule to add Harbor Department fees for daily. mooring rate, monthly impound mooring rate, dry storage rate, and approve CPI -based increases to hoist, slip and mooring fees. A-4 PROCLAMATION DECLARING SEPTEMBER 2001 AS "U.S. CONSTITUTION MONTH'; (ADMINISTRATION) RECOMNENDATION: Adopt Proclamation. ADDED ITEM: A-5 APPROVAL OF CONTRACT FOR DESIGN OF MAIN STREET/HIGHWAY 41 INTERSECTION IMPROVEMENTS; (PUBLIC SERVICES) RECONINIENDATION: Approve the engineering consultant contract with Penfield & Smith, and authorize the City Manager to execute the contract and related documents. B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-I CONTINUED PUBLIC HEARING ON APPROVAL OF A CONCEPT PLAN FOR A TENTATIVE TRACT MAP, CONDITIONAL USE PERMIT, AND COASTAL DEVELOPMENT PERMIT FOR THE ESTABLISHMENT OF A 30-LOT SUBDIVISION FOR 30 SINGLE FAMILY DETACHED HOMES WITH ATTACHED GARAGES, ONE NEW PRIVATE STREET, ALONG WITH THE DEDICATION OF A BLUFF -TOP LOT TO THE CITY OF MORRO BAY FOR THE PURPOSES OF PERMANENT OPEN SPACE: (PUBLIC SERVICES) RECOMMENDATION: Receive public testimony, and approve concept plan for a Tentative Tract Map, Conditional Use Permit, and Coastal Development Permit for the establishment of a 30-lot subdivision for 30 single family residences, one new private street, along with the dedication of a bluff -top lot to the City of Morro Bay for the purposes of permanent open space. 3 ® C. UNFINISHED BUSINESS -NONE. D. NEW BUSINESS -NONE. E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. ® IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. ul 4 MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION — SEPTEMBER 10, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m. PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember William Peirce Councilmember Janice Peters Councilmember ABSENT: STAFF: CLOSED SESSION Dave Elliott Robert Hendrix Robert Schultz Councilmember City Manager City Attorney MOTION: Councilmember Crotzer moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peters and unanimously carried. (4-0) ® Mayor Anderson read the Closed Session statement. CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to three (3) parcels. • Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. • Pro e : 950/960 Napa Avenue Negotiating Parties: John and Miriam Lein and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. • Property: 1055 Morro Avenue Discussion: Potential Sale. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. MOTION: Councilmember Peirce moved the meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried. (4-0) 0 The meeting adjourned at 5:45 p.m. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — SEPTEMBER 10, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember William Peirce Councilmember Janice Peters Councilmember ABSENT: Dave Elliott STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Rick Algert Bill Boucher Greig Cummings Greg Fuz Clyde Ganes Jeff Jones O Jim Koser Joe Loven Andrea Lueker Councilmember City Manager City Attorney City Clerk Harbor Director Capital Projects Manager Planning Manager Public Services Director Chief Building Official Fire Chief Finance Director Police Chief Recreation & Parks Director ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — City Attorney Robert Schultz reported the City Council met in Closed Session, and no reportable action was taken. PUBLIC COMMENT Jude Long, Librarian, reported on several activities including "U.S. Constitution Month" taking place in the month of September. DECLARATION OF FUTURE AGENDA ITEMS — None. 2 ® MINUTES - MORRO BAY CITY COUNCIL . REGULAR MEETING - SEPTEMBER 10, 2001 A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF AUGUST 27, 2001, (ADMINISTRATION) RECOM IENDATION: Approve as submitted. A-2 AWARD OF CONTRACT FOR PROJECT NO. MB-2000-S1: STREET SLURRY SEAL; (PUBLIC SERVICES) RECOMMENDATION: Award project contract to Graham Contractors, Incorporated in the amount of $173,619.68. A-3 RESOLUTION NO. 60-01 AMENDING THE MASTER FEE SCHEDULE — HARBOR FEE ADJUSTMENT; (HARBOR) ® RECOMMENDATION:. Adopt Resolution No. 60-01 amending the 1N4aster Fee Schedule to add Harbor Department fees for daily mooring rate, monthly impound mooring rate, dry storage rate, and approve CPI -based increases to hoist, slip and mooring fees. A-4 PROCLAMATION DECLARING SEPTEMBER 2001 AS "U.S. CONSTITUTION MONTH'; (ADMINISTRATION) RECOMMENDATION: Adopt Proclamation. A-5 APPROVAL OF CONTRACT FOR DESIGN OF MAIN STREET/HIGHWAY 41 INTERSECTION IMPROVEMENTS; (PUBLIC SERVICES) RECOMMENDATION: Approve the engineering consultant contract with Penfield &Smith, and authorize the City Manager to execute the contract and related documents. Councilmember Peters pulled Item A-2 from the Consent Calendar; and Mayor Anderson pulled Item A-4. MOTION: Councilmember Peirce moved the City Council approve the Consent ® Calendar with the exception of Items A-2 and A-4. The motion was seconded by Councilmember Peters and carried unanimously. (4-0) 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — SEPTEMBER 10, 2001 A-2 AWARD OF CONTRACT FOR PROJECT NO. MB-2000-S1: STREET SLURRY SEAL; (PUBLIC SERVICES) Councilmember Peters requested an update from staff on the Street Slurry Seal Program. Capital Projects Manager Bill Boucher reviewed the streets involved in the program for public information. MOTION: Councilmember Peters moved the City Council approve Item A-2 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried unanimously. (4-0) A-4 PROCLAMATION DECLARING SEPTEMBER 2001 AS "U.S. CONSTITUTION MONTH'; (ADMINISTRATION) Mayor Anderson announced the Proclamation Declaring September 2001 as "U.S. Constitution Month" for public information. He also announced the City received a gift from citizen Grace Melton of a framed U.S. Constitution. ® MOTION: Councilmember Peirce moved the City Council approve Item A-4 of the Consent Calendar. The motion was seconded by Councilmember Peters. Councilmember Crotzer reviewed the third paragraph in the Proclamation that he said is not a part of the U.S. Constitution, and requested it be removed from the Proclamation. Councilmember Peirce amended his motion to remove paragraph three from the Proclamation, and correct paragraph four; Councilmember Peters amended her second. VOTE: 4-0 Mayor Anderson called for a break at 6:27 p.m.; the meeting resumed at 7:00 p.m. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-I CONTINUED PUBLIC HEARING ON APPROVAL OF A CONCEPT PLAN FOR A TENTATIVE TRACT MAP, CONDITIONAL USE PERMIT, AND COASTAL DEVELOPMENT PERMIT FOR THE ESTABLISHMENT OF A 30-LOT SUBDIVISION FOR 30 SINGLE FAMILY DETACHED HOMES WITH ATTACHED GARAGES, ONE NEW PRIVATE STREET, ALONG WITH THE DEDICATION OF A BLUFF -TOP LOT TO THE CITY OF MORRO BAY FOR THE PURPOSES OF PERMANENT OPEN SPACE: ® (PUBLIC SERVICES) M ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — SEPTEMBER 10, 2001 Planning Manager Greig Cummings reviewed issues raised by the City Council at the August 27, 2001 meeting, including re -design of improvements to Morro Avenue, maintenance of trees planted in the enhanced natural area on the bluff parcel, affordable housing, bike paths, and exceptions/modifications requested versus greater than normal public benefits. Mr. Cummings recommended the City Council approve the Mitigated Negative Declaration in accordance with CEQA, along with the Concept Plan for Tentative Tract Map 01-00/Conditional Use Permit 73-00/Coastal Development Permit 117-OOR, pursuant to the revised findings and conditions. Wayne Colmer, applicant, reviewed alternative plans for the Morro Avenue re -alignment, and affordable housing that will be provided off -site in Morro Bay. Mayor Anderson opened the hearing for public comment. Tish Tefft stated this project is a win -win proposal. She said the neighborhood wins with a residential project instead of a commercial project; and, the City wins by obtaining a bluff top, and the integrity of this bluff top is to be preserved as open space. Ms. Tefft ® stated she would like to see all the trees maintained on Morro Avenue. Grant Crowl stated affordable housing should be required to be placed on the property of the project. He proposed a plan to allow a variety of people to live in this subdivision. E Betty Winholtz stated the present plan for the Morro Avenue re -alignment appears to be more of a benefit to the applicant, and the City is obtaining less land for the park land dedication. Lynda Merrill stated the eucalyptus tree at Morro Avenue and South Street is magnificent, and requested that it be protected and remain standing. Ken Vesterfelt encouraged the City Council to fully investigate the issues relating to obtaining water equivalencies for building. He also requested consideration be made relating to the trees on Morro Avenue. Mr. Vesterfelt also suggested placing six or seven parking spaces on Morro Avenue for public use. Nancy Dunn requested the City Council resolve to protect and maintain the current character of the bluff -top. She also commented that people tend to park in bike paths, so why not make it parking spaces. 5 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — SEPTEMBER 10, 2001 Bob Tefft requested Council agree to minimize the realignment on Morro Avenue. He said the eucalyptus trees are part of the ambiance of the area. Mr. Tefft also stated Mr. Colmer has been patient with the process of building this subdivision, and he encouraged Council's support in approving Mr. Colmer's project. John Barta, Chairman of the Planning Commission, stated the Commission approved this project to the extent possible. His personal comments were the residents of this project will receive a water bill just like all other residents. Mayor Anderson closed the public comment hearing. Councilmember Crotzer stated he concurs with the consensus of the community that this is a good project as a whole. He said he appreciates the Coastal Commission having the desire to protect the habitat, and to maintain the public access in its natural state. Councilmember Crotzer stated he agrees that the eucalyptus trees along Morro Avenue should be preserved, and the trees that cause Morro Avenue to bend is a traffic calming affect, and those should be respected as landmark trees. He said he is in favor with the removal of some of the trees to allow for more parking to enjoy the bluff -top view. ® Councilmember Crotzer expressed appreciation for the conductivity of a bike path along Main Street that should be part of the Circulation Plan of the City in order to allow people to bike -commute. Councilmember Peirce stated this is a good plan, and he supports preserving the trees on Morro Avenue along with having bike lanes. He also supports the proposed affordable housing plan. Councilmember Peters stated the parking issue will grow more critical once the project is built. She said she agrees with the proposed affordable housing agreement, and that the bike lane is not necessary on Morro Avenue. Councilmember Peters stated she does not support the applicant being required to provide for more water than what he needs for his project. Mayor Anderson stated the applicant agreed to pay the proposed amount for water in order to obtain permits for his project. He said he agrees there should be parking along the west side of Morro Avenue near the stairway. Mayor Anderson stated he believes more bicyclists will use the Main Street bike path, and turn onto Morro Avenue. He said he also supports preserving the trees that cause Morro Avenue to bend which causes a traffic calming affect. ki MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — SEPTEMBER 10, 2001 MOTION: Councilmember Crotzer moved the City Council approve the Mitigated Negative Declaration in accordance with CEQA, along with the Concept Plan for the Colmer Project, Tentative Tract Map 01-00/Conditional Use Permit 73-00/Coastal Development Permit 117-OOR on the Caratan Properties pursuant to revised findings included as attachments A and B of the staff report, and with bike lanes as described in the presented displays. Also, preserving the seven foot -wide parking lane nearest the bluff top next to the sidewalk. Applicant is to provide affordable housing located within Morro Bay with occupancy permits being withheld as security. Council finds that the project will provide extraordinary public benefit due to its contribution towards securing supplemental water sources, and approves exceptions to the standard building process that will allow construction of the 33 units in a single phase. The motion was seconded by Mayor Anderson. Councilmember Peirce stated he agrees the applicant is only required to pay a certain amount for water to build his project, and he agrees with Councilmember Peters that the applicant should not have to pay more. However, he said since there are only four is support to vote on this project, and it appears to be a deadlock, he is going to vote in support in order to allow the project to move forward. Mayor Anderson stated because of the special circumstances of this project, it is a choice of the applicant to build his project all at once. Councilmember Peters expressed opposition to charging the applicant in excess of what he should for his project, stating that is not the proper way to do business. VOTE: The motion carried with Councilmember Peters voting no. (3-1) C. UNFINISHED BUSINESS — None. D. NEW BUSINESS —None. F. ADJOURNMENT - The meeting adjourned at 8:19 p.m. Recorded by: Bndgett Bauer ® City Clerk 7 City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — AUGUST 27, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY ® MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments .are to be limited to three minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual' member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF AUGUST 13, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 CASH & INVESTMENT REPORT— JULY 2001; (FINANCE) RECONMENDATION: Receive for information. A-3 EXPENDITURE REPORT— JULY 2001; (FINANCE) RECOMMENDATION: Approve as submitted. A-4 RESOLUTION NO. 56-01 APPROVING A 15-YEAR LEASE WITH DRISCOLL'S WHARF LOCATED AT 1231 EMBARCADERO - LEASE SITES 129W-133W; (HARBOR) ® RECOMMENDATION: Adopt Resolution No. 56-01. A-5 RESOLUTION NO. 57-01 REGARDING ALTERNATIVE COOLING METHODS PROPOSED FOR THE MORRO BAY POWER PLANT; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 57-01. A-6 RESOLUTION NO. 58-01 RELATING TO THE CLASSIFICATION, COMPENSATION AND TERMS OF EMPLOYMENT OF POLICE EMPLOYEES OF THE CITY OF MORRO BAY; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 58-01. A-7 RESOLUTION NO. 59-01 FOR EMPLOYER PICK-UP OF PUBLIC EMPLOYEES' RETIREMENT SYSTEM FOR MORRO BAY PEACE OFFICERS ASSOCIATION; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 59-01. A-8 PROCLAMATION DECLARING SEPTEMBER AS "MORRO BAY ART ASSOCIATION MONTH'; (ADMINISTRATION) ® RECOMMENDATION: Adopt Proclamation. PC 0 B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 CONSIDERATION OF THE PROPOSED AGREEMENT TO LEASE/ AGREEMENT REGARDING THE POWER PLANT MODERNIZATION BETWEEN THE CITY OF MORRO BAY AND DUKE ENERGY; (PUBLIC SERVICES) RECOMNIENDATION: Receive public testimony, and consider conceptual approval of the Agreement. B-2 CONSIDERATION TO AMEND THE CITY'S EXISTING CONTRACT WITH THE COUNTY OF SAN LUIS OBISPO FOR DELIVERY OF STATE WATER TO NCLUDE AN ADDITIONAL ENTITLEMENT OF UP TO 100 ACRE FEET OF WATER —"THE SHANDON WATER'; (PUBLIC SERVICES) RECOMMENDATION: Receive public testimony, and authorize the Mayor to execute the contract amendment on behalf of the City. B-3 APPROVAL OF A CONCEPT PLAN FOR A TENTATIVE TRACT MAP, CONDITIONAL USE PERMIT, AND COASTAL DEVELOPMENT PERMIT FOR THE ESTABLISHMENT OF A 30-LOT SUBDIVISION FOR 30 SINGLE FAMILY RESIDENCES, ONE NEW PRIVATE STREET, ALONG WITH THE DEDICATION OF A BLUFF -TOP LOT TO THE CITY OF MORRO BAY FOR ® THE PURPOSES OF PERMANENT OPEN SPACE; (PUBLIC SERVICES) RECOMMENDATION: Receive" public testimony, and approve concept plan for a Tentative Tract Map, Conditional Use Permit, and Coastal Development Permit for the establishment of a 30-lot subdivision for 30 single family residences, one new private street, along with the dedication of a bluff -top lot to the City of Morro Bay for the purposes of permanent open space. C. UNFINISHED BUSINESS —NONE. D. NEW BUSINESS — NONE. E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772b200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING. PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS ® PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 27, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Anderson called the meeting to order at 6:00 p.m. PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember (absent from meeting from 6:10 p.m. — 8:40 p.m.) Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Bill Boucher Greig Cummings Matt Everling Greg Fuz Jim Koser Sue Lichtenbaum Joe Loven ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS City Manager City Attorney City Clerk Capital Projects Manager Planning Manager Associate Planner Public Services Director Finance Director Harbor Business Coordinator Police Chief CLOSED SESSION REPORT — There was no Closed Session report Mayor Anderson requested to take the agenda out of order and pull Item A-5 from the Consent Calendar in order to combine its discussion with Item B-1: Council concurred. MOTION: Councilmember Peters moved the City Council pull Item A-5 from the Consent Calendar and combine its discussion with Item B-1 at 9:00 p.m. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) Councilmember Crotzer stated he had to leave the meeting due to a commitment at school; and will return later in the meeting. He addressed Item B-3 (Approval of a Concept Plan for a Tentative Tract Map, Conditional Use Permit, and Coastal Development Permit for the Establishment of a 30-Lot Subdivision for 30 Single Family Residences, One New Private Street, Along with the Dedication of a Bluff -Top Lot to the City of Morro Bay for the Purposes of Permanent Open Space). Councilmember Crotzer ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 27, 2001 expressed support for this project. He said he has some concern with the proposal to realign Morro Avenue to bend into the bluff -top parcel, and requested Council examine this issue fairly when being considered. Councilmember Crotzer addressed the "private street" with hopes that this will not give the atmosphere of a "gated community", and would like this subdivision to feel included in the rest of the community. He also requested Council give thorough consideration to the sidewalk and setbacks along Main Street. Councilmember Crotzer also announced he has started a program to assist in the loss of the urban forest in our community, he has arranged for citizens to pick up a ticket at City Hall in order to get a free tree at Tropicana Nursery to plant in Morro Bay. Mayor Anderson requested to pull Item A-8 from the Consent Calendar in order to make a presentation; Council concurred. MOTION: Councilmember Elliott moved the City Council approve Item A-8 of the Consent Calendar. The motion was seconded by Councilmember Peters and carried unanimously. (4-0) ® PUBLIC COMMENT Henrietta Groot referred to a letter to the Coastal Alliance from the American Lung Association (ALA) of the Central Coast requesting to submit a report for inclusion of the review of the Morro Bay Power Plant project. She noted the ALA is concerned with the increase of particulate matter emissions in populated areas. Jack Hansen addressed fishing closures and the mis-management of the sea lions in the ocean. Pam Soderback announced there will be a county -wide event in support of the Alzheimer's Association on September 8a' at Atascadero Lake. Dave Nelson stated he disagreed with comments made at the last Council meeting regarding the power plant. Dannie Rodgers -Tope requested Council consider researching a plan for parking in the Central Business District. Gary Johnson stated for public information that negligent disposing of plastic bags can be harmful to the environment as well as birds. He also said the population of sea lions are greater now than they were years ago. Mr. Johnson stated PM10 pollutants are ® everywhere, and would not be caused only by Duke Energy. 4 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 27, 2001 Andy Trump, Duke Energy, gave an update on the permit process of the proposed power plant project. The following people expressed opposition to Flippos Skating Rink being closed, stating it should remain open for family and community enjoyment: Jesse Powers, Dave Hallie, Sara (no last name), Ashley (no last name), and John Hallett. Shoosh Crotzer stated the CEC has asked for a statement regarding potential risks to the environment and the bay. She also expressed disappointment on the bias of the Council and the community. Bob Tefft stated the parking in -lieu parking fee program is not working, and the City should consider abolishing this program and require projects to be either pedestrian - friendly or automobile -friendly. Mayor Anderson closed the public comment hearing. DECLARATION OF FUTURE AGENDA ITEMS — None. ® A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF AUGUST 13, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 CASH & INVESTMENT REPORT—JULY 2001; (FINANCE) RECOMMENDATION: Receive for information. A-3 EXPENDITURE REPORT— JULY 2001; (FINANCE) RECOMMENDATION: Approve as submitted. A-4 RESOLUTION NO. 56-01 APPROVING A 15-YEAR LEASE WITH DRISCOLL'S WHARF LOCATED AT 1231 EMBARCADERO - LEASE SITES 129W-133W; (HARBOR) ® RECOMMENDATION: Adopt Resolution No. 56-01. 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 27, 2001 A-5 RESOLUTION NO. 57-01 REGARDING ALTERNATIVE COOLING METHODS PROPOSED FOR THE MORRO BAY POWER PLANT; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 57-01. A-6 RESOLUTION NO. 58-01 RELATING TO THE CLASSIFICATION, COMPENSATION AND TERMS OF EMPLOYMENT OF POLICE EMPLOYEES OF THE CITY OF MORRO BAY; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 58-01. A-7 RESOLUTION NO. 59-01 FOR EMPLOYER PICK-UP OF PUBLIC EMPLOYEES' RETIREMENT SYSTEM FOR MORRO BAY PEACE OFFICERS ASSOCIATION; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 59-01. A-8 PROCLAMATION DECLARING SEPTEMBER AS "MORRO BAY ART ® ASSOCIATION MONTH'; (ADMINISTRATION) RECONINIENDATION: Adopt Proclamation. Councilmember Peters pulled Item A-3 from the Consent Calendar. MOTION: Councilmember Elliott moved the City Council approve the Consent Calendar with the exception of Items A-3 and A-5. The motion was seconded by Councilmember Peters and carried unanimously. (4-0) A-3 EXPENDITURE REPORT — JULY 2001 Councilmember Peters addressed items in the Expenditure Report for clarification and public information. MOTION: Councilmember Peters moved the City Council approve Item A-3 of the Consent Calendar. The motion was seconded by Councilmember Elliott and carried unanimously. (4-0) E ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 27, 2001 B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 CONSIDERATION OF THE PROPOSED AGREEMENT TO LEASE/ AGREEMENT REGARDING THE POWER PLANT MODERNIZATION PLAN; (PUBLIC SERVICES) Public Services Director Greg Fuz presented the proposed agreement with Duke Energy regarding the power plant project. Mr. Fuz recommended the City Council approve the agreement in concept, and authorize staff to transmit the Agreement to the California Energy Commission (CEC) forthwith so that it can be considered in the CEC's preparation of the Final Staff Assessment for the Duke Energy Modernization project. Mayor Anderson opened the hearing for public comment. Nancy Johnson submitted cards from citizens who are in favor of the Duke Energy Power Plant Modernization project. . ® Shoosh Crotzer asked a procedural question for public comment on Item A-5 and B-1 Pam Soderback stated there should be a component for an adjustable lease on the outfall lease. She also said there should be a requirement for the demolition of the existing tank farm. Ms. Soderback stated the project end date of 2015 is not reasonable. Angie Miller stated there should be no more discussion regarding air cooling tanks, and the project should move ahead. Peter Wagner addressed the site restoration of the existing plant site. He requested Council have Duke Energy justify their ultimatums that punitively rule out dry -cooling, and consider the concerns of the environment until they have been assessed by experts. Dave Nelson stated the City's transient occupancy taxes will drop by 10% due to construction which will be an impact to the motels. He asked who will incur the costs for the proposed lighthouse. Mr. Nelson stated he supports dry -cooling to save the estuary. Betty Winholtz stated she objects to the City Council voting on a conceptual agreement prior to the California Energy Commission's review. Jim Pauley expressed opposition to the project. 5 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 27, 2001 Bonita Churney addressed Item A-5 stating it is premature to enter into this resolution based on incomplete and unbiased information. She referred to legal findings in the proposed resolution before Council regarding alternative cooling methods proposed for the Morro Bay Power Plant. Ms Chumey addressed the agreement and proposed a duct - firing fee which is the dirtiest aspect of the plant pouring additional PM-10 into the air, and the fee would help the health impacts related to that. Kim Kimball, Director of the Chamber of Commerce, stated the Board of Directors have voted to support the Duke Energy Power Plant Modernization project, and also voted to not support the dry -cooling alternative. She also announced the Chamber. of Commerce and Merchants Association will be holding a meeting on August 29" to discuss the issues that face the business people in Morro Bay. John Barta stated this project will bring huge tangible benefits to this community. Bob Dickson stated by his review of the information of the proposed project, he finds the modernization project will provide a cleaner, less -polluting and more aesthetic facility. He said it will provide the electricity needed statewide, and it will be a positive revenue ® base for the City. Mayor Anderson closed the public comment hearing. Councilmember Peirce stated through negotiations between the City and Duke, there are some good guarantees that may not have existed if it had gone directly to the CEC. He said the citizens of Morro Bay will benefit from the modernization of this power plant. Councilmember Peters stated the lighthouse issue is a future plan and not intended to be a part of this modernization project. She said dry -cooling would have negative impacts such as noise and size, and would aesthetically change the project. Councilmember Crotzer stated as one that looks at the world from a green prospective, the importance of the environment is of utmost importance. He said placing a power plant along a shore and using the ocean water for cooling is not ecological wisdom. Councilmember Crotzer stated his prime responsibility to his citizenry is its health, and he does not believe this project is in the best interest of the citizens. He said by adding duct -firing it adds the most insidious of particulate matter PM-10's which is the most hazardous carcinogen causing lung disease -in children and elderly people, and causing cancer, emphysema and lung diseases in the citizenry. Councilmember Crotzer stated if Duke Energy is able to use the City's cold water, it is an economic advantage to other technologies. He said it is our global responsibility to maintain air quality, health standards, and the protection of the ocean. Councilmember Crotzer stated we should ® phase out fossil fuels and convert to renewable energy sources. He said we should move li ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 27, 2001 toward obtaining a non-profit municipal utility. Councilmember Crotzer stated dry - cooling takes away one of the negatives being the estuary. He said it would be much healthier for the citizens of Morro Bay to live with the old power plant for 15-20 years, and if it were shut down, it sits on 13 acres of prime coastal real estate that is much more precious than what it is being presently used for. Councilmember Elliott stated he is in full support of the agreement and adoption of Resolution No. 57-01. Special Counsel David Madway addressed written comments submitted by Bonita Chumey and Pam Soderback. MOTION: Councilmember Peters moved the City Council continue the meeting to 11:30 p.m. The motion was seconded by Councilmember Peirce and carved unanimously. (5-0) Mayor Anderson expressed his endorsement for the modernization of the Duke Energy ® Power Plant. He said the Energy Institute of Washington D.C. states that the fossil fuel plant is the way to go to produce energy until a new technology comes along. MOTION: Councilmember Elliott moved the City Council approve in concept only the Agreement to the modernization of the Morro Bay Power Plant between the City of Morro Bay and Duke Energy, and authorize staff to transmit the Agreement to the California Energy Commission (CEC) forthwith so. that it can be considered in the CEC's preparation of the Final Staff Assessment for the Duke Energy Modernization project. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer voting no. (4-1/Crotzer) MOTION: Councilmember Elliott moved the City Council adopt Resolution No. 57-01 regarding alternative cooling methods proposed for the Morro Bay Power Plant. The motion was seconded by Mayor Anderson. Councilmember Crotzer asked if anyone can attest to the knowledge superior to the CEC, the EPA, the Federal Fish & Wildlife Service, the California Coastal Commission, the Air Pollution Control District and Regional Quality Control Board who feel there should be more research on dry -cooling before they make a determination as to the CEQA equivalent impacts to the State of California. 0. VOTE: The motion carried with Councilmember Crotzer voting no. (4-1) 7 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 27, 2001 B-2 CONSIDERATION TO AMEND THE CITY'S EXISTING CONTRACT WITH THE COUNTY OF SAN LUIS OBISPO FOR DELIVERY OF STATE WATER TO INCLUDE AN ADDITIONAL ENTITLEMENT OF UP TO 100 ACRE FEET OF WATER — "THE SHANDON WATER"; (PUBLIC SERVICES) Capital Projects Manager Bill Boucher stated the City Council authorized entering into negotiations with San Luis Obispo County for the available Shandon State Water Project allocation on June 25, 2000. The Board of Supervisors is scheduled to make a final determination at its November 30`s meeting. Mr. Boucher stated with the acceptance of funding offered as a public benefit to the City by Colmer Development (S250,000) in connection with the Colmer/Caratan Subdivision, costs can be funded within the existing Water Fund and/or with supplemental funding from the Shell/Equilon Stipulated Agreement without the need to increase revenue from service rates. If funding from Colmer Development is not accepted in connection with Colmer's request for expedited project phasing, the Council will need to determine the source of funds for this action. Potential sources of funds include a larger allocation from the Shell/Equilon water source replacement funds. ® Mr. Boucher recommended the City Council authorize the Mayor to execute a Feasibility Agreement with San Luis Obispo County on behalf of the City, for the acquisition of a minimum of 70 acre feet and up to 100 acre feet of the Shandon Water to bolster the City's long term water supplies in light of the current restrictions on City use of the Morro Wells due to nearby MtBE contamination. Mayor Anderson opened the hearing for public comment. John Barta stated there would be no additional impact with the building of the Colmer subdivision. He said the City is buying legal rights from the County and should get additional consideration by getting right of first refusal in the future. Grant Crowl stated using funds from the Colmer subdivision is somewhat "putting the cart before the horse." Mayor Anderson closed the public comment hearing. Councilmember Elliott stated this issue should be handled separate from the Colmer project. He said he is supportive only if the City needs the water. Councilmember Peters stated she supports entering into the feasibility study as long as there is no commitment at this time. F ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 27, 2001 Councilmember Peirce stated he reluctantly agrees with the agreement, but would like some benefits from the County in the long run. Mayor Anderson stated this is an opportunity the City should take advantage of. MOTION: Councilmember Elliott moved the City Council authorize the Mayor to execute a Feasibility Agreement with San Luis Obispo County on behalf of the City, for the acquisition of a minimum of 70 acre feet and up to 100 acre feet of the Shandon Water to bolster the City's long term water supplies in light of the current restrictions on City use of the Morro Wells due to nearby MtBE contamination. The motion was seconded by Councilmember Peirce and carried unanimously. (4-0) Mayor Anderson called for a break at 7:37 p.m.; the meeting resumed at 7:42 p.m. B-3 APPROVAL OF A CONCEPT PLAN FOR A TENTATIVE TRACT MAP, CONDITIONAL USE PERMIT, AND COASTAL DEVELOPMENT PERMIT FOR THE ESTABLISHMENT OF A 30-LOT SUBDIVISION FOR 30 SINGLE ® FAMILY RESIDENCES, ONE NEW PRIVATE STREET, ALONG WITH THE DEDICATION OF A BLUFF -TOP LOT TO THE CITY OF MORRO BAY FOR THE PURPOSES OF PERMANENT OPEN SPACE; (PUBLIC SERVICES) E Matt Everling, Associate Planner, reviewed the Concept Plan for a Tentative Tract Map, Conditional Use Permit, and Coastal Development Permit for the establishment of a 30- lot subdivision for 30 single family detached homes with attached garages, one new private street, along with the dedication of a bluff -top lot to the City for the purposes of permanent open space. Mr. Everling stated at its meeting of August 6, 2001, the Planning Commission unanimously recommended approval of the Concept Plan for the proposed development with some issues that need resolution. Mr. Everling recommended the City Council approve the Mitigated Negative Declaration in accordance with CEQA, along with the Concept Plan for Tentative Tract Map 01 00/Conditional Use Permit 73-00/Coastal Development Permit I I7-OOR. Wayne Colmer, Colmer Development Company, presented his project to the City Council. He showed an overhead diagram of the six different floor plans %v/six different elevations. Dennis Frey, Ecologist with Cal Poly, addressed the Monarch Butterfly habitat located adjacent to the project site. M MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 27, 2001 Kevin Small, Landscape Architect for the project, reviewed the architecture plan for this project. Ron Grider, Civil Engineer for the project, reviewed the dedication of the bluff -top to the City. Mayor Anderson opened the hearing for public comment. Betty Winholtz asked questions regarding the following: I) changes to Morro Avenue; 2) the Main Street bike lane; 3) conditions of the bluff -top; 4) noise level; and 5) mitigation issues. Grant Crowl addressed the lack of affordable housing in Morro Bay. He requested Council consider looking into grant money and study the issue of affordable housing before allowing this project to go forward; and before covering Morro Bay's vacant lands completely with only luxury homes. Dorothy Cutter showed pictures of how Morro Avenue looks presently with trees and ® how it will look when the trees come down. She requested the City Council make a condition to the project that the trees remain on this property: Ken Meavers addressed what a mess eucalyptus trees can be. Bob Tefft stated this proposal has had much community input. He addressed the modifications to Morro Avenue. David Nelson asked what the mechanism is for a developer to build. Ken Vesterfelt stated a major concern is the loss of trees. He recommended replacing the eucalyptus trees with another species of trees. John Barta, Chairman of the Planning Commission, stated the Planning Commission was clear in its direction that they want new low-income housing created in the community. He said the Planning Commission moved Morro Avenue in order to save the big tree on the comer of South and Morro Avenue. Mr. Barta stated the City is obtaining a lot of open space since this parcel use to be R-2 zoning. Mayor Anderson closed the public comment hearing. Due to the hour (9:00 p.m.), the City Council postponed discussion of this public hearing, and heard Item B-1 at this time. 10 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 27, 2001 Council returned their discussion to Item B-3 at 11:10 p.m. Councilmember Elliott expressed concern with the realignment of Morro Avenue. Councilmember Peters stated parking is already at a premium at this location especially when there are events on the Embarcadero, and with the impact of homes, she favors sharing the street with a bike lane on one side of the street and parking on both sides. Councilmember Crotzer stated a Class 2 bike lane would be sufficient along Main Street and Morro Avenue. He said he agrees that Morro Avenue could be narrowed, and have four -foot Class 2 bike lanes. Councilmember Crotzer stated he does not find the eucalyptus trees precious and necessary to maintain to forfeit a bike lane or parking, MOTION: Councilmember Peters moved the City Council continue this public hearing to the next regularly scheduled City Council meeting of September 10, 2001. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) C. UNFINISHED BUSINESS —None. ® D. NEW BUSINESS — None. F. ADJOURNMENT The meeting adjourned at 1 1:30 p.m. Recorded by: Bridgett Bauer City Clerk UJ City of Morro Bay City Council Agenda Mission Statentent The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING —AUGUST 13, 2001 CLOSED SESSION —AUGUST 13, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA ® CS -I GOVERUNMENT CODE SECTION 54956.8. REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to two (2) parcels. Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. Property: Water Outfall Line Easement. Negotiating Parties: Duke Energy and the City of Morro Bay. Negotiations: Renegotiation and extension of terms and conditions of lease agreement. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. E ® PUBLIC SESSION — AUGUST 13, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three ® minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETINGS OF JULY 9, 2001 AND JULY 23, 2001; (ADMINISTRATION) RECONIMENDATION: Approve as submitted. A-2 RESOLUTION NO. 50-01 APPROVING AMENDMENT OF BIKE PATH EASEMENT WITH SAN LUIS COASTAL UNIFIED SCHOOL DISTRICT TO INCORPORATE WATER LINE; (PUBLIC SERVICES) ® RECOMMENDATION: Adopt Resolution No. 50-01. 2 A-3 RESOLUTION NO. 51-01 APPROVING THE EASEMENT AGREEMENT WITH CHARLES E. OGLE FOR BIKE PATH PURPOSES; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 51-01. A-4 RESOLUTION NO. 54-01 AWARDING CONTRACT FOR ARCHITECTURAL SERVICES ON PROPOSED USCG/HARBOR OFFICE BUILDING; (HARBOR) RECOMMENDATION: Adopt Resolution No. 54-01 awarding the contract for architectural services on the proposed _USCG/Harbor Office Building to Dettmer Architecture. A-5 RESOLUTION NO. 52-01 APPROVING A SIX-MONTH EXTENSION TO CABLE FRANCHISE AGREEMENT; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 52-01. A-6 LETTER IN OPPOSITION TO SB 910 (DUNNi) — HOUSING ELEMENTS. FINES, PENALTIES, AND LAWSUITS/STATE SEIZURE OF GAS TAX RECOMMENDATION: Approve and authorize the Mayor's signature on letter ® opposing SB 910 (Dunn). B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-1 PUBLIC HEARING ON CDBG PLANNING TECHNICAL ASSISTANCE GRANT FOR DEVELOPMENT OF A SEAFOOD PROCESSING PLANT, AND RESOLUTION NO. 55-01 AUTHORIZING THE CITY TO APPLY FOR A GRANT; (HARBOR) RECOMMENDATION: Accept public hearing on planning technical assistance grant for development of a seafood processing plant; and, adopt Resolution No. 55-01 authorizing the Mayor to sign the grant application. B-2 DISCUSCUSSION ON MARINE LIFE PROTECTION ACT INITIAL DRAFT CONCEPT PLAN' FOR STATEWIDE MARINE PROTECTED AREAS; (HARBOR) RECOMMENDATION: Accept public hearing, discuss the proposed correspondence to the California Department of Fish & Game on this issue, and authorize the Mayor to sign said correspondence with any desired modifications. 3 UNFINISHED BUSINESS C-1 RECONSIDERATION OF "NO PARKING ZONE" AND SPEED LIMIT ON QUINTANA ROAD; (PUBLIC SERVICES) RECOMMENDATION: Accept the Traffic Engineer's recommendation to retain the "no parking" designation on Quintana Road; and, direct staff to prepare an ordinance to include Quintana Road from Main Street to Kennedy Way into the Central Traffic District's 25 mph speed limit. C-2 STATUS REPORT ON DUKE ENERGY POWER PLANT PROJECT: (A) VISUAL AND OTHER IMPACTS OF DRY -COOLING ALTERNATIVE (B) AGREEMENT TO LEASE AND ATTACHMENTS RECON'IMENDATION: Receive information and direct staff accordingly. D. NEW BUSINESS D-1 RESOLUTION NO. 53-01 AUTHORIZING EXPANDED THREE-HOUR PARKING ON THE EMBARCADERO; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 53-01 implementing three-hour ® on -street parking along the Embareadero between Dunes and Drifhrood Streets. D-2 CONSIDERATION OF PARKING IN -LIEU FEE ADJUSTMENT; (ADMINISTRATION) RECOMMENDATION: Discuss and direct staff accordingly. D-3 APPROVAL OF TERM LIMITS FOR NEWLY -APPOINTED ADVISORY BOARD MEMBERS; (ADMIN'ISTRATION) RECOMMENDATION: Discuss and direct staff accordingly. D-4 CONSIDERATION OF INCREASED PLANNING COMMISSION COMPENSATION: (CITY COUNCIL) RECOMMENDATION: Discuss and direct staff accordingly. D-5 DISCUSSION ON RECOGNITION DINNER FOR COMMISSION AND ADVISORY BOARD MEMBERS; (CITY COUNCIL) RECOMMENDATION: Discuss and direct staff accordingly. I El 4 ® E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. � 1 ® MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION —AUGUST 13, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF Robert Hendrix City Manager Robert Schultz City Attorney CLOSED SESSION r MOTION: Councilmember Peirce. moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) Mayor Anderson read the Closed Session statement. ® CS-1 GOYERi\'MENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to two (2) parcels. • Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. • Property: Water Outfall Line Easement. Negotiating Parties: Duke Energy and the City of Morro Bay. Negotiations: Renegotiation and extension of terms and conditions of lease agreement. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:50 p.m. MOTION: Councilmember Elliott moved the meeting be adjourned. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) The meeting adjourned at 5:50 p.m. LD] � I' MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —AUGUST 13, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Anderson called the meeting to order at 6:15 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Mike Boyajian Bridgett Bauer Rick Algert Bill Boucher Greg Fuz Jeff Jones Joe Loven Andrea Lueker City Manager Assistant City Attorney City Clerk Harbor Director Capital Projects Manager Public Services Director Fire Chief Police Chief Recreation & Parks Director ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — Assistant City Attorney Mike Boyajian reported the City Council met in Closed Session, and no reportable action was taken. PUBLIC COMMENT Betty Winholtz requested background information on Item A-6 (Letter in Opposition to SB 910 (Dunn) — Housing Elements, Fines, Penalties, and Lawsuits/State Seizure of Gas Tax). David Nelson referred to the Duke Energy project stating duct -firing will cause an increase in the discharge of particulate matter which is a dangerous situation. He also said the City needs to be more informed on the dry -cooling method for the power plant project. Mr. Nelson stated Council should be working for the good of the City as a whole when considering Duke's proposal. El ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —AUGUST 13, 2001 Pam Soderback stated the staff report for Item C-2 (Status Report on Duke Energy Power Plant Project) is at least 90% of Duke Energy information which does not seem to allow for an impartial discussion. She said the City should have a back-up position to negotiate for an outfall lease that calls for the demolition of the existing plant if the plant ceases operation. Jack McCurdy stated at the last Planning Commission meeting, a member of the Planning Commission used a majority of Duke Energy information regarding the dry -cooling method, which was a misrepresentation of the technology. He stated the dry -cooling technology is the preferred mitigation because it would directly eliminate the causes of fish destruction, and the adverse ecological effects of a new plant. Mr. McCurdy requested the City Council take no action until they have obtained more -balanced information on the dry -cooling technology. Wally McCray announced the City's "Adopt -A -Tree" program, stating 60 trees have been planted throughout the City, and requested volunteers to adopt a tree to water. Bill Woodson stated the existing power plant cooling system has been working for 50 ® years. He referred to the Morro Bay National Estuary's Comprehensive Conservation and Management Plan, approved by Federal and State Agencies, which does not refer to the power plant and its cooling system. John Barra referred to Item D-2 (Consideration of Parking In -Lieu Fee Adjustment) stating this system is fundamentally flawed, and Council should be considering a new method of financing for parking in the City. Peter Wagner stated the proposed power plant will be running 90% more than the existing plant in order to use the same amount of water. Tom Laurie spoke in support of the dry -cooling method for the proposed power plant project. He requested the City Council keep an open mind to this technology when meeting with the California Energy Commission. Kim Kimball, Executive Director of Chamber of Commerce, representing the Chamber's Executive Committee in expressing opposition to the increase of parking in -lieu fees. Shoosh Crotzer stated a new business will bring in additional impacts to the City and should pay for these impacts through taxes. She asked the City not to cause residents to subsidize local businesses. Shawn Stiler expressed opposition to raising the parking in -lieu fees. 3 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —AUGUST 13, 2001 Bill Clayton expressed opposition to increase in parking in -lieu fees and stated the cost of in -lieu parking fees will cost more than construction of a new business. Dannie Rodgers -Tope stated there is not sufficient parking in the downtown or Embarcadero area. Andy Trump, representative of Duke Energy, stated impugning character and misleading statements is not productive and will not become a part of the evidentiary hearings of the CEC process. Ken Vesterfelt stated 99% of the businesses in town are small businesses and need to be considered when reviewing the parking in -lieu fees. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Peters requested discussion on a management audit and/or ad -hoc committee to research short term improvements for the Public Services Department; and, the implementation of a GIS plan. Councilmember Peters stated she will provide a AN Mir report. Councilmember Crotzer requested a report on Landmark Tree Status (natural, native, normal) in the City to be agendized as a future agenda item. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETINGS OF JULY 9. 2001 AND JULY 23, 2001; (ADMINISTRATION) RECONINIENDATION: Approve as submitted. A-2 RESOLUTION NO. 50-01 APPROVING AMENDMENT OF BIKE PATH EASEMENT WITH SAN LUIS COASTAL UNIFIED SCHOOL DISTRICT TO INCORPORATE WATER LINE; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 50-01. Id ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 13, 2001 A-3 RESOLUTION NO. 51-01 APPROVING THE EASEMENT AGREEMENT WITH CHARLES E. OGLE FOR BIKE PATH PURPOSES; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 51-01. A-4 RESOLUTION NO. 54-01 AWARDING CONTRACT FOR ARCHITECTURAL SERVICES ON PROPOSED USCG/HARBOR OFFICE BUILDING; (HARBOR) RECOMMENDATION: Adopt Resolution No. 54-01 awarding the contract for architectural services on the proposed USCG/Harbor Office Building to Dettmer Architecture. A-5 RESOLUTION NO. 52-01 APPROVING A SIX-MONTH EXTENSION TO CABLE FRANCHISE AGREEMENT; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 52-01. A-6 LETTER IN OPPOSITION TO SB 910 (DUNTN) —HOUSING ELEMENTS, FINES, is PENALTIES, AND LAWSUITS/STATE SEIZURE OF GAS TAX RECOMMENDATION: Approve and authorize the Mayor's signature on letter opposing SB 910 (Dunn). El MOTION: Councilmember Crotzer moved the City Council approve the Consent Calendar. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 PUBLIC HEARING ON CDBG PLANNING TECHNICAL ASSISTANCE GRANT FOR DEVELOPMENT OF A SEAFOOD PROCESSING PLANT, AND RESOLUTION NO. 55-01 AUTHORIZING THE CITY TO APPLY FOR A GRANT; (HARBOR) Harbor Director Rick Algert stated the City is eligible to apply for up to S870,000 in Community Development Block Grant (CDBG) funds from the California Department of Housing and Community Development in Fiscal Year 2001-02. Eligible activities under the 2001-2002 State CDBG program include: housing construction and rehabilitation, public works, community facilities, public services, economic development and planning/technical assistance. G ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —AUGUST 13, 2001 Mr. Algert stated in 1991, the City received a CDBG planning and technical assistance grant to study methods and potential sites for retaining the seafood processing industry in Morro Bay. That study determined that a seafood processing facility would be an important way to retain a viable commercial fishing presence in the harbor. Mr. Algert recommended the City Council accept public hearing on a proposed CDBG economic development planning and technical assistance grant application for development of a seafood processing plant; and, adopt Resolution No. 55-01 authorizing staff to enter into a professional services agreement with Applied Development Economics and apply for a S35,000 planning and technical assistance grant for development of a local seafood processing plant. Mayor Anderson opened the hearing for public comment; there were no comments, and Mayor Anderson closed the public comment hearing. MOTION: Councilmember Crotzer moved the City CounciladoptResolution No. 55-01 authorizing staff to enter into a professional services agreement with Applied Development Economics, and apply for a 535,000 planning and technical ® assistance grant for development of a local seafood processing plant. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) B-2 DISCUSCUSSION ON MARINE LIFE PROTECTION ACT INITIAL DRAFT CONCEPT PLAN FOR STATEWIDE MARINE PROTECTED AREAS; (HARBOR) �I, Harbor Director Rick Algert stated over the years the State has created a number of marine closure areas in the State waters through a variety of methods including voter initiative, legislation, and administrative action. In 1999, the State Legislature passed the Marine Life Protection Act that charged the California Department of Fish & Game (CDFG) with developing a statewide Marine Protected Area Plan by January 1, 2002. In June, CDFG released an initial draft concept plan in an attempt to meet requirements of the legislation. In July, the CDFG held a public workshop on the proposed initial concept in Morro Bay. Mr. Algert said staff feels the draft initial concept plan is flawed by the extremely limited public process, the lack of scientific study and evidence supporting the existing marine conservation areas and its emphasis on expanded closure areas rather than fishery management tools which have proven successful in crab and salmon fisheries. 0 ® MNUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 13, 2001 Mr. Algert recommended the City Council accept public hearing, discuss the proposed correspondence to the California Department of Fish & Game on this issue, and authorize the Mayor to sign said correspondence with any desired modifications. Mayor Anderson opened the hearing for public comment. Steve Rebuck addressed the comparison of marine mammals and commercial fish landings as they relate to proposed marine protected areas. Peter Wagner referred to a book regarding marine protected areas. Betty Winholtz asked for clarification on the intent of this letter. Mayor Anderson closed the public comment hearing. Councilmember Crotzer referred to marine -life reserves to protect habitat and the ecosystem, and stated there should be marine -protected areas to maintain a sustainable fishery. He referred to portions of the draft letter that he does not support. ® MOTION: Councilmember Elliott moved the City Council authorize Mayor Anderson to sign the letter to the California Department of Fish & Game relating to the Marine Life Protection Act Draft Concept Plan for Statewide Marine Protected Areas. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer voting no. (4-1) Mayor Anderson called for a break at 8:09 p.m.; the meeting resumed at 8: 16 p.m. C. UNFINISHED BUSINESS C-1 RECONSIDERATION OF "NO PARKING ZONE" AND SPEED LIMIT ON QUNTANA ROAD; (PUBLIC SERVICES) Capital Projects Manager Bill Boucher stated at the June 11, 2001 meeting, Council directed the preparation of an analysis by a registered Traffic Engineer for sight distance and speed issues and to meet with the affected businesses and residents in the effort to reach a negotiated solution to the matter. The businesses and residents met with the Mayor and staff on June 215`. Many issues were discussed, including possible impacts of the traffic engineer's analysis. The Traffic Engineer's analysis was received on July 25`s and copies were delivered to affected persons along the street segment. The Engineer recommends that on -street parking be prohibited on both sides of the street and that the speed limit be reduced ® to 25 mph. 7 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —AUGUST 13, 2001 Mr. Boucher stated staff recommends the City Council accept the Traffic Engineer's recommendation to retain the "no parking" designation on Quintana Road; and, direct staff to prepare an ordinance to include Quintana Road from Main Street to Kennedy Way into the Central Traffic District's 25 mph speed limit. MOTION: Councilmember Elliott moved the City Council accept the Traffic Engineer's recommendation to retain the "no parking" designation on Quintana Road; and, direct staff to prepare an ordinance to include Quintana Road from Main Street to Kennedy Way into the Central Traffic District's 25 mph speed limit. The motion was seconded by Mayor Anderson and carried with Councilmember Peirce voting no. (4-1) Mayor Anderson called for a break at 9:32 p.m.; the meeting resumed at 9:42 p.m. C-2 - STATUS REPORT ON DUKE ENERGY POWER PLANT PROJECT: (A) VISUAL AND OTHER IMPACTS OF DRY -COOLING ALTERNATIVE (B) AGREEMENT TO LEASE AND ATTACHMENTS Is stating Services Director Greg Fuz reviewed the status of the agreement with Duke Energy, stating an agreement has not been signed to date; however, it will be before the City Council at its August 27, 2001 meeting. City Manager Robert Hendrix reviewed documents submitted for Council review relating to cooling options for the Morro Bay Power Plant. Councilmember Peirce stated in visiting a power plant with a dry -cooling facility, it left him with many concerns. He said there are many impacts that come with a dry -cooling facility, including it is noisy and vibrates, as well as being aesthetically unpleasant. Councilmember Crotzer stated he supports leaming more about the dry -cooling technology. Councilmember Elliott stated one of the attractions of the modernization plan was the elimination of large buildings where the current plant stands. However, with the dry - cooling scenario, it would double the visual impact. Councilmember Elliott stated from a visual, economic and environmental standpoint, the Duke Energy Power Plant will benefit the City of Morro Bay. Councilmember Peters stated she also visited a power plant with a dry -cooling facility, and agreed with Councilmember Peirce's comments regarding the negative impacts coming from this facility. �1 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 13, 2001 Mayor Anderson stated visual blight was a great concern when the project was first proposed. He said now the cooling towers seem to be more important to some than the concerns of visual aesthetic. Mayor Anderson stated he is in support of lessening the impacts of the City and moving forward with the project. MOTION: Councilmember Elliott moved the City Council direct staff to bring back a policy position reflecting nothing more visually or sound obtrusive than the original proposal based upon information received to date. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer voting no. (4-1) D. NEW BUSINESS D-1. RESOLUTION NO., 53-01 AUTHORIZING EXPANDED THREE-HOUR PARKING ON THE EMBARCADERO; (PUBLIC SERVICES) Capital Projects Manager Bill Boucher stated the City Council approved three-hour parking zones at the "street ends" west of the Embarcadero in June"of 1998 by adoption of ® Resolution No. 54-98. This limitation was established for all days of the week between 9:00 a.m. and 9:00 p.m. The underlying intent and hope was to improve the efficiency of the on - street parking inventory and make existing spaces available to more customers by discouraging use of the spaces for extended periods of time. Mr. Boucher stated in the interveningthree years, reports to the Public Services Department on the effectiveness of the three-hour zone have all been favorable and it seems an appropriate time to consider the zones to be successes. He noted staff proposes to extend the existing three-hour parking time limit to include the Embarcadero in the five blocks between Dunes and Driftwood Streets. Mr. Boucher stated staff, the Public Works Advisory Board and the Harbor Advisory Board recommend the three-hour on -street parking be implemented along the Embarcadero between Dunes and Driftwood Streets via adoption of Resolution No. 53-01. MOTION: Councilmember Crotzer moved the City Council adopt Resolution No. 53-01 implementing three-hour on -street parking along the Embarcadero between Dunes and Driftwood Streets. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) 0 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —AUGUST 13, 2001 D-2 CONSIDERATION OF PARKING IN -LIEU FEE ADJUSTMENT; (ADMINISTRATION) City Manager Robert Hendrix stated the City Council requested staff prepare a review of the existing parking in -lieu fee. The current fee of S4,000 per off -site space is a per space offset to on -site development of required parking in the permit process. Council adopte4d this fee in October 1998; the Consumer Price Index (CPI) has increased approximately 45% from 1989 to present. Mr. Hendrix noted an increase in the parking in -lieu fee will result in incre4ased funds available to the City to acquire or improve public parking facilities in the Parking Management plan area. As an interim measure, Mr. Hendrix recommended Council direct staff to return with a proposed resolution to change the amount of the parking in -lieu fee to 56,000 per space, approximately equal with increase in the CPI from 1989 to present. Councilmember Crotzer stated he feels the majority of this cost should be home by . developers of large projects. He said a proportional amount should be paid by the smaller business owner. ® Councilmember Elliott stated he believes City's have an obligation to provide certain facilities. He said he does not support the proposed increase. Councilmember Peirce stated most businesses in Morro Bay are smaller businesses who cannot afford large parking fees. He said the City should investigate other solutions to the parking problem. Mayor Anderson stated he is not in favor of increasing the in -lieu parking fee. He said if the business community is healthy it can take care of the needs including parking. Mayor Anderson stated he supports the thought of paid parking, such as meters. Councilmember Peters suggested charging S6,000 per off -site space. She said she is sympathetic to smaller businesses, and suggested a payment plan for those businesses. MOTION: Councilmember Elliott moved the City Council maintain the current parking in -lieu fee; direct staff to bring back information relative to Items D (Assessment District) and E (Metered Parking), and bring back a report to Council. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer and Councilmember Peters voting no. (3-2) Councilmember Crotzer expressed his opposition to this motion stating there really is not is a parking problem in the City of Morro Bay. 10 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —AUGUST 13, 2001 D-3 APPROVAL OF TERM EXPIRATION FOR NEWLY -APPOINTED ADVISORY BOARD MEMBERS; (ADMINISTRATION) City Manager Robert Hendrix stated the City Council met at a Special Meeting on August 1, 2001 to fill vacancies on the Recreation & Parks Commission, Public Works Advisory Board and Community Promotions Committee. He requested Council set the expiration of terms for those appointed to the vacancies on the various boards at that Special Meeting. MOTION: Councilmember Crotzer moved the City Council set the following expiration dates for the Commissioners and Advisory Board Members appointed on August 1, 2001: Community Promotions Committee - Dannie Rodgers -Tope (January 31, 2004); Public Works Advisory Board - Vicki Landis and Nancy Johnson, and Recreation & Parks Commission- Angelyn Miller and Hazie Stollmeyer (January 31, 2003 & January 31, 2005 by lot). The motion was seconded by Councilmember Peters and failed with Mayor Anderson, Councilmember Elliott and Councilmember ® Peirce voting no. (2-3) MOTION: Councilmember Elliott the City Council set the following expiration dates for the Commissioners and Advisory Board Member appointed on August 1, 2001: Community Promotions Committee—Dannie Rodger -Tope (January 31, 2005); Recreation & Parks Commission—Angelyn Miller and Hazie Stollmeyer (January 31, 2005); and Public Works Advisory Board — Vicki Landis and Nancy Johnson (January 31, 2004 and January 31, 2005 by lot.) The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) D-4 CONSIDERATION OF INCREASED PLANNING COMMISSION COMPENSATION; (CITY COUNCIL) City Manager Robert Hendrix stated the Planning Commission expressed interest in having the City Council review compensation received by the Commissioners. The combination of both current and advanced planning responsibilities will require the Planning Commission to schedule extra meetings during the next year. A proposal has been discussed among some members which would both increase the compensation paid to the Planning Commissioners and which would relieve the staff of the process of accounting for meeting attendance for the purpose of compensating the Commissioners. The proposal would compensate the Commissioners at a flat rate of S50 per month and ® payment would occur on a quarterly basis. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —AUGUST 13, 2001 MOTION: Councilmember Elliott moved the City Council approve the compensation for the Planning Commissioners at a flat rate of S50 per month and payment would occur on a quarterly basis. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) D-5 DISCUSSION ON RECOGNITION DINNER FOR COMMISSION AND ADVISORY BOARD MEMBERS; (CITY COUNCIL) Councilmember Peters stated she would organize the recognition dinner; Councilmember Elliott offered his assistance. Council set a date for the recognition dinner for Monday, October 29, 2001. F. ADJOURNMENT The meeting adjourned at 10:46 p.m. Recorded by: Bridgett Bauer City Clerk 12 ® NOTICE OF SPECIAL MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Meeting on Wednesday, August 1, 2001 at 6:00 p.rn. to be held in the Community Center Studio Room, 1001 Kennedy Way, Morro Bay, California. The City Council will be conducting interviews to fill vacancies on the City's Recreation & Parks Commission, Public Works Advisory Board and Community Promotions Committee. ® DATED: July 27, 2001 Bridgett er, City Clerk R] 46 City of Morro Bay City Council Agenda Mission Statement The City of illorro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be conunitted to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — JULY 23, 2001 PUBLIC SESSION—JULY 23, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION isPLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANINOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS E E 11 C A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF JULY 9, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 STATEMENT OF CASH & INVESTMENTS —JUNE 2001; (FINANCE) RECOMMENDATION: Receive for information. A-3 EXPENDITURE REPORT— JUNE 2001; (FINANCE) RECONMENDATION: Approve as submitted. A-4 APPROVAL OF CONTRACT AWARD FOR BLENDING PIPELINE PROJECT; (PUBLIC SERVICES) RECOM IENDATION: Award the contract to Specialty Construction, Inc. in the amount of $362,706.50. A-5 PROCLAMATION DECLARING AUGUST 2001 AS "CENTRAL COAST NATURAL HISTORY ASSOCIATION MONTH'; (ADMINISTRATION) RECOMNENDATION: Adopt Proclamation. A-6 PROCLAMATION ACKNOWLEDGNG THE CALIFORNIA ARMY NATIONAL GUARD'S 50`" BIRTHDAY AS AN OFFICER COMMISSIONING SCHOOL; (ADMINISTRATION) RECOMMENDATION: Adopt Proclamation. A-7 PROCLAMATION ACKNOWLEDGING THE CITY'S 37`s ANNIVERSARY; (ADMINISTRATION) RECOMNENDATION: Adopt Proclamation. 2 ® A-8 APPROVAL OF PURCHASE AGREEMENT FOR 220 ATASCADERO ROAD — FLIPPO'S; (ADMINISTRATION) RECOMMENDATION: Approve the Real Estate Purchase Agreement for acquisition of certain real property and all improvements located thereon situated at 220 Atascadero Road, Morro Bay, California; and, appropriate funds from the General Fund Reserve. B. PUBLIC HEARINGS. REPORTS R APPEARANCES —NONE. C. UNFINISHED BUSINESS C-1 CONSIDERATION OF PARAGRAPH 1.2.2 OF COUNCIL POLICIES AND PROCEDURES (PLACING AN ITEM ON THE AGENDA — COUNCIL MEMBER), AND RESOLUTION NO. 47-01 APPROVING THE CITY COUNCIL POLICIES AND PROCEDURES; (ADMINISTRATION) RECOMMENDATION: Review amendments made to Paragraph 1.2.2, and adopt Resolution No. 47-01 approving the City Council Policies and Procedures. C-2 CONSIDERATION TO SCHEDULE VISUAL WORKSHOP FOR DUKE ® ENERGY PROJECT; (PUBLIC SERVICES) RECOMMENDATION: Discuss and direct staff accordingly. C-3 RECONSIDERATION OF "NO PARKING ZONE" AND SPEED LIMIT ON QUINTANA ROAD;_(PUBLIC SERVICES) RECOMMENDATION: This item has been continued to the August 13, 2001 City Council meeting due to a delay in obtaining the speed/visibility analysis from the traffic engineer. D. NEW BUSINESS D-I DESIGNATION OF VOTING DELEGATE AT LEAGUE OF CALIFORNIA CITIES ANNUAL CONFERENCE; (ADMINISTRATION) DRECONIMENDATION: Select a voting delegate to represent the City of Nlorro Bay at the League of California Cities Annual Conference Business Nleeting on Saturday, September 15, 2001, at 9:15 a.m. at the Sacramento Convention Center. D-2 CONSIDERATION OF TROLLEY ROUTE 2 EXPANSION; (ADMINISTRATION) ® RECOMMENDATION: Discuss and direct staff accordingly. 3 ® D-3 DISCUSSION OF PROPOSED CONSIDERATION OF "OUTDOOR LIGHTING CONTROL'; (COUNCIL) RECOMMENDATION: Discuss and direct staff accordingly. E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDNIENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE I\IEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORNIATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND ® AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. �J IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR . TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 4 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 23, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Joyce Bunting Janeen Burlingame Eric Endersby Greg Fuz Sue Lichtenbaum Joe Loven ® ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — None. PUBLIC COMMENT City Manager City Attorney City Clerk Finance Accountant Management Analyst Chief Harbor Patrol Officer Public Services Director Harbor Business Coordinator Police Chief Mary Puett addressed Item A-8 (Approval of Purchase Agreement for 220 Atascadero Road - Flippo's) and referred to issues relating to the purchase agreement and liability insurance issues. Doris Murray stated the workshop held by the Morro Bay Women's Caucus on Saturday was very successful. Bill Woodson addressed Item A-8 stating it is a wonderful opportunity for the City. He also addressed Item D-I (Designation of Voting Delegate at League of California Cities Annual Conference) and said he attended last year's League of California Cities Annual Meeting which was beneficial, and he suggested the City send a representative to more League meetings. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 23, 2001 Betty Winholtz addressed Item A-8 and expressed concern with the procedure that has taken place with a purchase of property for such a significant amount of money, without going before the public to receive input, and also the issue did not go before the Park & Recreation Commission for review. She requested the City Council postpone approval of this agreement until it has received public input. Nancy Castle, AGP Video, stated the Fish & Game Marine Life Protection Act Siting Workshop was videotaped, aired and is on film available for viewing. Lynda Merrill expressed support for the City's purchase of property on Atascadero Road (Flippo's) stating it is a tremendous location for many uses. She also addressed Item C-2 (Consideration to Schedule Visual Workshop for Duke Energy Project) stating this is a golden opportunity to receive public input on the Duke Energy Power Plant project. Ms. Merrill addressed Item D-2 (Consideration of Trolley Route 2 Expansion) and encouraged consideration for trolley stops at Spencer's Market and Yerba Buena Street. David Nelson stated he hopes there will be a beneficial need for such a large expensive piece ® of property such as Flippo's for a youth center. He also requested Council take a good look at the mitigation package for the Duke Energy Power Plant project. Barry Dorffman addressed Item D-2 and noted circulation should be a consideration for the trolley routes. He said the City Council should evaluate serving the citizens and enhance opportunities for tourists. Mr. Dorffinan made a suggestion for a return route on Highway One. John Barra expressed support for public input at the proposed visual workshop on the Duke Energy Power Plant project. He also requested Council voice their opinion on behalf of the community to the Regional Water Quality Board regarding the dry -air cooling option for the Duke Energy Power Plant project. Dan Costley addressed Item D-2 and said it is important to consider the timing of trolley stop. He also suggested placing decals on the trolley stops to note which route the trolley is going. Mayor Anderson closed the public comment hearing. DECLARATION OF FUTURE AGENDA ITEMS Mayor Anderson requested discussion on the Fish & Game Marine Life Protection Act Siting Workshop at the next meeting; and, discussion on cancellation of the second City Council ® meeting in August. 2 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 23, 2001 Councilmember Peters requested discussion on compensation for Planning Commissioners for attending extra meetings; and, consideration for a date for the Commission/Advisory Board appreciation dinner. Councilmember Peirce requested discussion on the dry -air cooling intake alternative. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF JULY 9, 2001; (ADMINISTRATION) RECOD'IMENDATION: Approve as submitted. ® A-2 STATEMENT OF CASH & INVESTMENTS — JUNE 2001; (FINANCE) RECOMMENDATION: Receive for information. A-3 EXPENDITURE REPORT —DUNE 2001; (FINANCE) RECOD'IMENDATION: Approve as submitted. A-4 APPROVAL OF CONTRACT AWARD FOR BLENDING PIPELINE PROJECT; (PUBLIC SERVICES) RECOiN-EMENDATION: Award the contract to Specialty Construction, Inc. in the amount of S362,706.50. A-5 PROCLAMATION DECLARING AUGUST 2001 AS "CENTRAL COAST NATURAL HISTORY ASSOCIATION MONTH'; (ADMINISTRATION) RECONUMENDATION: Adopt Proclamation. A-6 PROCLAMATION ACKNOWLEDGING THE CALIFORNIA ARMY NATIONAL GUARD'S 50`h BIRTHDAY AS AN OFFICER COMMISSIONING SCHOOL; (ADMINISTRATION) ® RECOMDMNDATION: Adopt Proclamation. c ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 23, 2001 A-7 PROCLAMATION ACKNOWLEDGING THE CITY'S 37t' ANNIVERSARY; (ADMINISTRATION) RECOi\IMENDATION: Adopt Proclamation. A-8 APPROVAL OF PURCHASE AGREEMENT FOR 220 ATASCADERO ROAD — FLIPPO'S; (ADMINISTRATION) RECONEMENDATION: Approve the Real Estate Purchase Agreement for acquisition of certain real property and all improvements located thereon situated at 220 Atascadero Road, Morro Bay, California; and, appropriate funds from the General Fund Reserve. Councilmember Peters pulled Items A-5 and A-8 from the Consent Calendar. MOTION: Councilmember Peirce moved the City Council approve the Consent Calendar ® with the exception of Items A-5 and A-8. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) A-5 PROCLAMATION DECLARING AUGUST 2001 AS "CENTRAL COAST NATURAL HISTORY ASSOCIATION MONTH" Councilmember Peters announced this Proclamation for public awareness. MOTION: Councilmember Peters moved the City Council approve Item A-5 of the Consent Calendar. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) A-8 APPROVAL OF PURCHASE AGREEMENT FOR 220 ATASCADERO ROAD — FLIPPO'S Councilmember Peters addressed a typographical error for clarification. She also requested staff clarification on the issue of when the seller will be required to vacate the roller rink. City Attorney Robert Schultz responded on the intent of the agreement signed by the seller and the City. MOTION: Councilmember Peirce moved the City Council approve Item A-8 of the Consent Calendar. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) 4 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 23, 2001 Mayor Anderson called for a break at 7:15 p.m.; the meeting resumed at 7:30 p.m. B. PUBLIC HEARINGS, REPORTS & APPEARANCES — None. C. UNFINISHED BUSINESS C-1 CONSIDERATION OF PARAGRAPH 1.2.2 OF COUNCIL POLICIES AND PROCEDURES (PLACING AN ITEM ON THE AGENDA — COUNCIL MEMBER), AND RESOLUTION NO. 47-01 APPROVING THE CITY COUNCIL POLICIES AND PROCEDURES; (ADMINISTRATION) City Manager Robert Hendrix reviewed amendments made by the City Council at the July 9, 2001 Council meeting to Paragraph 1.2.2, and recommended adoption of Resolution No. 47-01 approving the City Council Policies and Procedures. MOTION: Councilmember Elliott moved the City Council adopt Resolution No. 47-01 adopting the City Council Policies and Procedures, and rescinding Resolution ® No. 16-01. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) DJ C-2 CONiSIDERATION TO SCHEDULE VISUAL WORKSHOP FOR DUKE ENERGY PROJECT; (PUBLIC SERVICES) Councilmember Peters requested that the City Council agendize a discussion of whether the City should conduct a workshop related to visual/aesthetic issues in connection with the Duke Energy Power Plant project. The purpose of the workshop would be to gather public input on visual and aesthetic issues, allow for discussion of those issues by City Council members in a public forum, and provide the City Council with an opportunity to adopt formal recommendations concerning visual and aesthetic issues related to the project. The City -of Morro Bay has submitted comments to the California Energy Commission (CEC) indicating the City has a strong interest in aesthetic issues related to the Duke Energy Power Plant project. These issues include but are not limited to: architectural treatments, colors, materials, landscaping, bridge design, road alignments, lighting, interim storage of construction debris, design of the intake building, perimeter walls, signage, grading, mechanical equipment screening, plumes, etc. Staff expressed particular concerns regarding the appearance of the "interim condition" when the new plant is constructed and the old plant is beginning to undergo demolition since this interim condition may exist for several years as the old plant is demolished. 5 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 23, 2001 Councilmember Peters suggested holding a Saturday workshop that would make a more community -friendly workshop. Councilmember Elliott expressed opposition to what appears as an architectural review board. Councilmember Peirce supports a workshop such as proposed by Councilmember Peters. Councilmember Crotzer stated he also supports receiving input from those who will live with the impacts of this power plant. Council scheduled a meeting to discuss the Duke Energy Lease Agreement for August 13, 2001. Council tentatively scheduled the visual workshop jointly with the Planning Commission for Monday, October 1, 2001. C-3 RECONSIDERATION OF "NO PARKING ZONE" AND SPEED LIMIT ON ® QUINTANA ROAD; (PUBLIC SERVICES) El This item has been continued to the August 13, 2001 City Council meeting due to a delay in obtaining the speed/visibility analysis from the traffic engineer. D. NEW BUSINESS D-1 DESIGNATION OF VOTING DELEGATE AT LEAGUE OF CALIFORNIA CITIES ANNUAL CONFERENCE; (ADMINISTRATION) MOTION: Councilmember Peirce moved the City Council elect Mayor Anderson as voting delegate, and City Attorney Robert Schultz as alternate, to represent the City of Morro Bay at the League of California Cities Annual Conference Business Meeting. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) N ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 23, 2001 D-2 CONSIDERATION OF TROLLEY (ADMINISTRATION) 1 ROUTE 2 EXPANSION; Councilmember Crotzer requested Council discussion to expand the second trolley route at the July 9, 2001 City Council meeting. The second trolley route currently has four stops: 1) Morro Strand State Beach; 2) Atascadero Road at Embarcadero (Morro Dunes Travel Trailer Park); 3) Market at Morro Bay Boulevard; and 4) the Museum of Natural History. Staff recommends the City Council consider whether or not to expand the trolley route that operates from Morro Strand State Beach to the Natural History Museum before the end of the -2001 season, and direct staff accordingly. MOTION: Councilmember Crotzer moved the City Council approve to alter trolley route #2 with the trolley going north on Main Street and returning on Highway One with additional stops on Main Street at designated signed transit stops, stop at the state park at the northem-most point of the route, return on Highway One, stop at the San Jacinto tum-out and return on Main Street to continue on the regular route. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) D-3 DISCUSSION OF PROPOSED CONSIDERATION OF "OUTDOOR LIGHTING CONTROL'; (COUNCIL) Councilmember Crotzer introduced discussion pertaining to outdoor lighting control to create standards for outdoor lighting to minimize light pollution, glare, and light trespass caused by inappropriate or misaligned light fixtures, while improving nighttime public safety, utility, and security, and preserving the night sky as a natural resource and thus people's enjoyment of looking at the stars. Staff recommends Council discuss the proposed consideration of outdoor lighting control, and direct staff accordingly. MOTION: Councilmember Crotzer moved the City Council direct staff to review City ordinances and provide research relating to light shielding; go before the Planning Commission for review; and, return to City Council for final approval. The motion was seconded by Councilmember Elliott and carried with Councilmember Peirce voting no. (4-1) F. ADJOURNMENT - The meeting adjourned at 9:00 p.m. corded by: gett uer City Clerk 7 `® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — JULY 9, 2001 CLOSED SESSION — JULY 9, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY ® TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to three (3) parcels. Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. Property: 505 Harbor Street Negotiating Parties: Elvin and Merriam Urquhart and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. • Property: 980 Napa Avenue Negotiating Parties: (Unknown Property Owner) and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. PUBLIC SESSION — JULY 9, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ® • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF JUNE 25, 2001, AND BUDGET WORKSHOPS ON JUNE 14, 2001 AND JUNE 22, 2001; (ADMINISTRATION) RECOi•'Ii\IENDATION: Approve as submitted. A-2 RESOLUTION NO. 45-01 AWARDING CONTRACT FOR MORRO BAY HIGH SCHOOL BIKE PATH; (PUBLIC SERVICES) RECONIIYIENDATION: Adopt Resolution No. 45-01 j 2 ® A-3 RESOLUTION NO. 49-01 APPROVING CREDIT FOR PUBLIC RESTROOM SERVICES ON LEASE SITE 78-81/78W-81 W; 701 EMBARCADERO — FLYING DUTCHMAN; (HARBOR) RECOMMENDATION: Adopt Resolution No. 49-01. B. PUBLIC HEARINGS, REPORTS R APPEARANCES B-1 PRESENTATION BY REGIONAL WATER QUALITY CONTROL BOARD STAFF REGARDING THE DUKE ENERGY PROJECT PERMIT RECOMMENDATION: Receive presentation for information. C. UNFINISHED BUSINESS C-1 RESOLUTION NO. 48-01 AWARDING CONTRACT FOR SOLID WASTE, RECYCLING AND GREEN WASTE REQUEST FOR PROPOSALS; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 48-01 C-2 CONSIDERATION OF CONTRACT ISSUES PERTAINING TO THE VIDEO PRODUCTION SERVICES AND CHANNEL 54 INSERTION POINT ® MANAGEMENT CONTRACT EXTENSION; (ADMINISTRATION) RECONINIENDATION: Review the Video Production Services contract, and approve the staff recommendations. C-3 RECONSIDERATION OF "NO PARKING ZONE" AND SPEED LIMIT ON QUINTANA ROAD; (PUBLIC SERVICES) RECOMMENDATION: This item has been pulled from the agenda. C-4 RESOLUTION NO. 47-01 ADOPTING CITY COUNCIL POLICIES AND PROCEDURES; (ADMINISTRATION) RECOi\IMENDATION: Adopt Resolution No. 47-01. 3 u D. NEW BUSINESS D-I RESOLUTION NO. 46-01 APPROVING ALLOCATION OF FUNDS FROM EQUILON STIPULATED RESOLUTION TO WATER PROJECTS; (PUBLIC SERVICES) RECONEMENDATION: Adopt Resolution No. 46-01. D-2 RESOLUTION NO. 44-01 AUTHORIZING PARTICIPATION IN THE NACIMIENTO WATER SUPPLY PROJECT; (PUBLIC SERVICES) RECONIMENDATION: Adopt Resolution No. 44-01. D-3 CONSIDERATION TO SCHEDULE VISUAL WORKSHOP FOR DUKE ENERGY PROJECT; (PUBLIC SERVICES) RECONINIENDATION: Discuss and direct staff accordingly. D-4 SCHEDULE FOR INTERVIEWING APPLICANTS TO FILL VACANCIES ON ADVISORY BOARDS; (ADMINISTRATION) RECONINIENDATION: E. ADJOURNMENT Discuss and direct staff accordingly. THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL,.LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. ® MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION — JULY 9, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney CLOSED SESSION MOTION: Councilmember Peters moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Crotzer and unanimously carried.(5-0) Mayor Anderson read the Closed Session statement. CS-1 GOVERNTMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to three (3) parcels. • Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. • Property: 505 Harbor Street Negotiating Parties: Elvin and Merriam Urquhart and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. • Property: 980 Napa Avenue Negotiating Parties: (Unknown Property Owner) and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. The meeting adjourned to.Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. MOTION: Councilmember Peirce moved the meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) The meeting adjourned at 5:45 p.m. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 9, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. l Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Rick Algert Bill Boucher Janeen Burlingame Jim Koser Joe Loven Andrea Locker Tammy Seale City Manager City Attorney City Clerk Harbor Director Capital Projects Manager Management Analyst Finance Director Police Chief Recreation & Parks Director Planner ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — City Attorney Robert Schultz stated the City Council met in Closed Session, and no reportable action under the Brown Act was taken. PUBLIC COMMENT Roger Ewing addressed Item C-1 (Resolution No. 48-01 Awarding Contract for Solid Waste, Recycling and Green Waste Request for Proposals) and stated the garbage franchise fee is too high and recommended the City Council consider eliminating this fee. Sue Bigley expressed frustration with RALCCO Recycling Service. She said she would prefer to use waste wheelers. Betty Winholtz addressed Item C-1, and said she supports eliminating the garbage franchise fee. She also encouraged the City Council consider placing public recycle containers on the streets in Morro Bay. 2 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 9, 2001 Meredith Bates announced the Morro Bay Women's Caucus will be hosting a workshop, "Women Leaders for Morro Bay" on Saturday, July 2 1 " from 10:30 a.m. to 12:00 p.m. at the Community Center. She said the City needs women who are interested in the future of Morro Bay, and want to become representatives of our community. Ms. Bates stated this workshop would focus on learning about opportunities regarding representation on City commissions and boards. Matt Mackelwetsky addressed Item D-2 (Resolution No. 44-01 Authorizing Participation in the Nacimiento Water Supply Project); and asked if the State Water Project is fulfilling the prophecy that the City thought it would when it was proposed on the ballot. He also inquired about the increase of water rates. Jim Nance stated the garbage franchise fee should be removed and low -end garbage users should not subsidize the high -end users. David Nelson stated garbage rates should be fairly balanced for the low -end users. He also expressed concern with obtaining water from Nacimiento Lake due to outboard motor ospillage that has MtBE waste. Lynda Merrill requested. Council's support by approving Item A-2 (Resolution No. 45-01 Awarding Contract for Morro Bay High School Bike Path). She also requested Council consider a method of garbage pick-up where the workers do not have to lift the trashcans. Ms. Merrill expressed support for AGP Video and all of their hard work. t] Gary Johnson expressed gratitude to the Morro Bay Police Department, and noted that they handled the runaway horse incident in a professional manner. He also noted this year's 4`h of July festivities was successful. Mr. Johnson did request the City's assistance in placing more trash receptacles around the City during the holidays and during the summer months to assist Morro Bay Beautiful. Ken Vesterfelt, Morro Bay Beautiful; referred to Morro Bay Municipal Code regarding animal regulations and picking up after a pet defecates in a public place. John Barta stated Item D-2 should be heard as a public hearing item, and noted the purchase of Nacimiento Water could be a financial hardship to the City in the long run. He also expressed support for Item D-3 (Consideration to Schedule Visual Workshop for Duke Energy Project.) 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 9, 2001 Galen Ricard commended the Chamber of Commerce and the City for a successful 4 s of July celebration. She also announced the honorary living treasure award that was bestowed upon Flo Roth. Ms. Ricard stated the City of Morro Bay has set the tone for government and community television access in the County. She expressed gratitude to the City and AGP Video for their partnership in bringing the City's brown act meetings to the public. Mayor Anderson closed the public comment hearing. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Peters requested discussion on holding Council office hours in the Community Center Conference Room on a routine basis. Councilmember Crotzer requested discussion on the northbound trolley route. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF JUNE 25, 2001, AND BUDGET WORKSHOPS ON JUNE 14, 2001 AND JUNE 22, 2001; (ADMINISTRATION) RECONIMENDATION: Approve as submitted. A-2 RESOLUTION NO. 45-01 AWARDING CONTRACT FOR MORRO BAY HIGH SCHOOL BIKE PATH; (PUBLIC SERVICES) RECONIMENDATION: Adopt Resolution No. 45-01 A-3 RESOLUTION NO. 49-01 APPROVING CREDIT FOR PUBLIC RESTROOM SERVICES ON LEASE SITE 78-81/78W-81W; 701 EMBARCADERO — FLYING DUTCHMAN; (HARBOR) RECONIMENDATION: Adopt Resolution No. 49-01. Mayor Anderson pulled Item A-2 from the Consent Calendar. E ® MOTION: Councilmember Peirce moved the City Council approve Items A-1 and A-3 of the Consent Calendar. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) A-2 RESOLUTION NO. 45-01 AWARDING CONTRACT FOR MORRO BAY HIGH SCHOOL BIKE PATH; (PUBLIC SERVICES) Mayor Anderson requested clarification regarding the easement along the property of the Morro Bay High School Bike Path. City Attorney Robert Schultz reported on Mr. Ogle's intent on the easement of this property. MOTION: Councilmember Crotzer moved the City Council approve Item A-2 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-1 PRESENTATION BY REGIONAL WATER QUALITY CONTROL BOARD STAFF REGARDING THE DUKE ENERGY PROJECT PERMIT Michael Thomas, Project Manager for the Duke Energy Project from the Regional Water Quality Control Board, reviewed issues relating to the Duke Energy Project. ® Mayor Anderson opened the hearing for public comment. Henrietta Groot stated the main issue is loss of living species in the estuary, and not loss of sedimentation. She noted that power plants are no longer coastal dependent, and that most of the new proposed power plants are using dry cooling methods. David Nelson stated the estuary is irreplaceable, and is the "biggest jewel on Highway One." He said dry cooling is a real option, and urged the Council to consider this as an option. Chuck Meissner stated hundreds of thousands of dollars on studies have been spent on this project, and he would like the City to get on with it and implement the Memorandum of Understanding. Wally McCray agreed the City should move forward with this project. Pat Mullen, Public Affairs Manager for Duke Energy, stated the modernization project will be an improvement to the City. Gary Johnson also agreed the City should move forward with the project. He suggested solar energy for the conservatives in the City. John Barta stated dry -air cooling would use one million gallons of water per day. He ® suggested small scale dredging to mitigate any problem with sedimentation. 5 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 9. 2001 Jeff O'Dell shared information regarding the volume of the bay and the efficiency of the power plant. He noted if the intake is taken out of the bay, it could make for a more efficient power plant. He also noted experts from the California Thermal Power Plants state ocean water is preferred over brackish water for natural sources, and the estuary is brackish water. Mayor Anderson closed the public comment hearing. No action was taken on this item. Mayor Anderson called for a break at 8:07 p.m.; the meeting resumed at 8:20 p.m. C. UNFINISHED BUSINESS C-1 RESOLUTION NO. 48-01 AWARDING CONTRACT FOR SOLID WASTE, RECYCLING AND GREEN WASTE REQUEST FOR PROPOSALS; (ADMINISTRATION) ® Management Analyst Janeen Burlingame stated in November 2000, the City requested that the San Luis Obispo Integrated Waste Management Authority conduct the Request for Proposal (RFP) process for solid waste, recycling and green waste. The City Council considered and approved the RFP terms and conditions at its March 12, 2001 meeting, including staff direction to finalize and issue the RFP. She said the RFP was issued on April 5, 2001 and a pre -proposal conference was held on May 7, 2001. A total of 27 RFP specifications were sent out to potential bidders. Proposals were due May 31, 2001 and five companies submitted proposals by the deadline. Ms. Burlingame stated an evaluation committee consisting of City staff, Ron Munds from the City of San Luis Obispo, and Bill Worrell from the IWMA met on June 6s to evaluate the proposals. The evaluation committee recommends the City Council award the RFP to Morro Bay Garbage Service. Ms. Burlingame stated the total fiscal impact for solid waste, recycling and green waste service from Morro Bay Garbage Service is S1,266,423. She recommended the City Council adopt Resolution No. 48-01 awarding the Solid Waste, Recycling and Green Waste Franchise Agreement to Morro Bay Garbage Service. E Councilmember Crotzer stated he would like to charge a subsidized rate for low -end users. Councilmember Elliott stated he would like a requirement that waste wheelers are stored out of sight. Gi ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 9. 2001 MOTION: Councilmember Crotzer moved the City Council approve the following: 1) award the Solid Waste, Recycling and Green Waste Request for Proposal to Morro Bay Garbage Service; 2) approve that the security fund be provided to the City thirty days prior to the effective date of agreement; 3) approve Option 2, the 100% variable rates, as the solid waste rate schedule to be implemented upon the effective date of the agreement; and 4) adopt Resolution No. 48-01. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) C-2 CONSIDERATION OF CONTRACT ISSUES PERTAINING TO THE VIDEO PRODUCTION SERVICES AND CHANNEL 54 INSERTION POINT MANAGEMENT CONTRACT EXTENSION; (ADMINISTRATION) Management Analyst Janeen Burlingame stated at its February 26, 2001 meeting, the City Council approved a three year VPS Agreement with AGP Video commencing July 1, 2001. Since that meeting, staff and AGP Video principals have met twice to discuss contract issues pertaining to the Council -approved agreement to provide video production services and local ® government channel management. Ms. Burlingame recommended the City Council review the VPS contract issues, and approve compensation of $49,968 per year with a CPI adjustment for the second and third years. She clarified the compensation for the VPS Agreement is expended solely from the General Fund. MOTION: Councilmember Peters moved the City Council approve a three-year extension contract with AGP Video with no change to the scope of work, compensation to be as requested by AGP Video in their memorandum (i.e. 10% increase in each year of. the agreement), and compensation to be retroactive to July 1, 2001. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) C-3 RECONSIDERATION OF "NO PARKING ZONE" AND SPEED LIMIT ON QUINTANA ROAD - This item was pulled from the agenda. C-4 RESOLUTION NO. 47-01 ADOPTING CITY COUNCIL POLICIES AND PROCEDURES; (ADMINISTRATION) City Manager Robert Hendrix introduced the revised City Council Policies and Procedures to Council and recommended their approval by adoption of Resolution No. 47-01. Councilmember Peters addressed Item 1.3.7 (Public Comment) and stated Public Comment shall be limited to 45 minutes, and eliminate the language "and shall conclude by 7:00 is p.m.'; Council concurred. 7 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 9, 2001 Councilmember Crotzer referred to Section 1.2.2 (Placing an Item on the Agenda— Council Member) and stated this section needs to be clarified in order to allow a Council Member to place an item on the next agenda by submitting a request and expending no staff time. Councilmember Peters supported Councilmember Crotzer's request for clarification on this section. Councilmember Elliott expressed opposition to further language change on this section. MOTION: Councilmember Elliott moved the City Council adopt Resolution No. 47-01 approving City Council Policies and Procedures, and Rescinding Resolution No. 16-01. The motion was seconded by Councilmember Peirce and failed with Mayor Anderson, Councilmember Crotzer and Councilmember Peters voting no. (2-3) MOTION: Mayor Anderson moved the City Council approve to amend Section 1.2.2 of ® Council's Policies and Procedures in order to allow a Council Member, with minority support, to place an item on a future agenda. The motion was seconded by Councilmember Peters. Mayor Anderson withdrew his motion; Councilmember Peters withdrew her second. MOTION: Councilmember Peters moved the City Council approve the City Council Policies and Procedures with the exception of Section 1.2.2 (Placing an Item on the Agenda — Council Member) which shall be amended to allow for a minority of Council to place an item on the agenda as specified by the City Attorney, and to bring back for adoption of Resolution 47-01. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) D. NEW BUSINESS D-1 RESOLUTION NO. 46-01 APPROVING ALLOCATION OF FUNDS FROM EQUILON STIPULATED RESOLUTION TO WATER PROJECTS; (PUBLIC SERVICES) Capital Projects Manager Bill Boucher stated on March 26, 2001, the City Council approved a recommendation from the Public Works Advisory Board and staff to obligate S498,00 from the Equilon Agreement by adoption of Resolution No. 17-01. He said considerable progress has been made on critical tasks and the clarity gained on others. Mr. Boucher stated the F ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 9. 2001 Public Works Advisory Board and staff recommend the City Council endorse the staff proposal to obligate settlement funds received in June 2001 to various water projects by adoption of Resolution No. 46-01. MOTION: Councilmember Crotzer moved the City Council adopt Resolution No. 46-01 approving allocation of funds from Equilon Stipulated Resolution to water projects. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) D-2 RESOLUTION NO. 44-01 AUTHORIZING PARTICIPATION IN THE NACIMIENTO WATER SUPPLY PROJECT; (PUBLIC SERVICES) Capital Projects Manager Bill Boucher stated the Nacimiento Water Supply Project was designated as one of the priority water resources in our adopted Water Management Plan. As such, the City was a wart to the Project with a tentative annual subscription of 1,895 acre feet per year. He noted after the Measure "J" special election and commencement of State Water ® Project annual payments, the City Council approved the recommendation to decline participation in the Project due to financial constraints by adoption of Resolution No. 85-94 on September 12, 1994. Mr. Boucher stated after a number of years of periodic progress, the Nacimiento Project is now heading into the environmental documentation phase. The San Luis Obispo County Board of Supervisors has decided not to charge individual participants for this phase of work but rather to fund the tasks out of their General Fund and charge participants once water supply contracts and project bonding occurs, scheduled for about a year from now. s1J Mr. Boucher stated the City is now preparing the update to the Water Management Plan and it can be a fortuitous time to re -join the Project. In the intervening time since adoption of the Management Plan, the City has seen much progress on various priority tasks and the opportunity now exists to take a fresh look the viability of the Nacimiento Project with out- of-pocket expenses limited to staff time. He said to have the ability to perform the analysis of Nacimiento over the next several months and compare it to other resource options could be invaluable. Mr. Boucher stated there is currently 4,352 acre feet per year which has not been requested. With no firm obligation required at this time, staff recommends the City look to the maximum original tentative subscription amount for the analytical purposes of the Management Plan update and the Environment Impact Report. r7 r 1 i MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 9, 2001 MOTION: Councilmember Crotzer moved the City Council adopt Resolution No. 44-01 authorizing participation in the Nacimiento Water Supply Project. The motion was seconded by Mayor Anderson and failed unanimously. (0-5) D-3 CONSIDERATION TO SCHEDULE VISUAL WORKSHOP FOR DUKE ENERGY PROJECT; (PUBLIC SERVICES) This item was continued to the July 23, 2001 City Council meeting. D-4 SCHEDULE FOR INTERVIEWING APPLICANTS TO FILL VACANCIES ON ADVISORY BOARDS; (ADMINISTRATION) The City Council scheduled interviews to fill vacancies on the Recreation & Parks Commission, Public Works Advisory Board and Community Promotions Committee on Wednesday, August 1, 2001 at 6:00 p.m. F. ADJOURNMENT The meeting adjourned at 1 1:10 p.m. Recorded by: Bridgett Bauer City Clerk 10 NOTICE OF SPECIAL CLOSED SESSION MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Closed Session Meeting on Thursday, June 28, 2001 at 6:00 p.mto be held in the City Hall Conference Room, 595 Harbor Street, Morro Bay, California. The City Council will be considering the following issue: GOVERNDIENT CODE SECTION 54956.9 (c); CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. Initiation of litigation exists based upon existing facts and the advice of legal counsel as to one (1) matter. E DATED: June 25, 2001 Bridgett Ba r, City Clerk u ® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — JUNE 25, 2001 CLOSED SESSION — JUNE 25, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA ® CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. • Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXENIPT FROM DISCLOSURE. 11 PUBLIC SESSION — JUNE 25, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ® • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. • All remarks.shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF NNE 11, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 STATEMENT OF CASH & INVESTMENTS —MAY 2001; (FINANCE) RECOMMENDATION: Receive for information. L�J 2 ® A-3 EXPENDITURE REPORT- MAY 2001; (FINANCE) RECOMMENDATION: Approve as submitted. A-4 RESOLUTION NO. 42-01 APPROVING LEASE AGREEMENT EXTENSION FOR LEASE SITE 113W — VIRG'S BOAT DOCK; (HARBOR) RECOMMENDATION: Adopt Resolution No. 42-01. A-5 APPROVAL OF EXTENSION OF CITY ATTORNEY SERVICES AGREEMENT; (CITY ATTORNEY) RECOMMENDATION: Approve the continued service of Robert Schultz of Hunt & Associates as the City Attorney for the City of Morro Bay for the next term of the contract along with the rate increases set forth. A-6 PROCLAMATION DECLARING JULY 2001 AS "RECREATION & PARKS MONTH'; (RECREATION' & PARKS) RECOMMENDATION: Adopt Proclamation. B. PUBLIC HEARINGS, REPORTS & APPEARANCES ® B-1 RESOLUTION NO. 40-01 ADOPTING BUDGET FOR FISCAL YEAR 2001- 2002; (FINANCE) RECOMMENDATION: Adopt Resolution No. 40-01. B-2 RESOLUTION NO. 41-01 APPROVING THE ANNUAL PROPOSITION 4 APPROPRIATION LIMIT CALCULATION; (FINANCE) RECOMMENDATION: Adopt Resolution No. 41-01. B-3 RESOLUTION NO. 38-01 ORDERING THE LEVY OF THE ANNUAL ASSESSMENT FOR THE NORTH POINT NATURAL AREA LANDSCAPING AND LIGHTING MAINTENANCE ASSESSMENT DISTRICT: (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution No. 38-01. B-4 RESOLUTION NO. 39-01 ORDERING THE LEVY OF THE ANNUAL ASSESSMENT FOR THE CLOISTERS LANDSCAPING AND LIGHTING MAINTENANCE ASSESSMENT DISTRICT; (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution No. 39-01. 3 ® B-5 CONTINUED PUBLIC HEARING ON THE CONCEPT PLAN FOR A REMODEL OF RESTAURANT AND EXPANSION OF NEW RETAIL AND PEDESTRIAN PLAZA LOCATED AT 725 EMBARCADERO — ROSE'S LANDING; (PUBLIC SERVICES) RECOMMENDATION: Approve the Concept Plan for the remodel and addition to Rose's Landing. C. UNFINISHED BUSINESS C-1 REVIEW OF ADVISORY BOARD BY-LAWS; (ADMINISTRATION) RECONINIENDATION: Consider the comments of each committee, and direct staff accordingly related to adoption of committee by-laws: D. NEW BUSINESS D-I CONSIDERATION OF AUTHORIZATION TO NEGOTIATE FOR ACQUISITION OF SHANDON STATE WATER PROJECT ALLOCATION; (PUBLIC SERVICES) RECOMMENDATION: Direct staff to negotiate With San Luis Obispo County for acquisition of the available Shandon State Water allocation. ® D-2 RESOLUTION NO. 43-01 APPROVING AN AMENDMENT TO THE BY- LAWS OF THE LEAGUE OF CALIFORNIA CITIES TO ESTABLISH THE GRASSROOTS NETJVORK PROGRAM AND INCREASE DUES TO FUND THIS EFFORT C RECONINIENDATION: Adopt Resolution No. 43-01. E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITI' CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEDIENTS CAN BE MADE TO PROVIDE ACCESSIBILITI' TO THE MEETING. E ® MINUTES - MORRO BAY CITY. COUNCIL CLOSED SESSION —JUNE 25, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney CLOSED SESSION MOTION: Councilmember Crotzer moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) Mayor Anderson read the Closed Session statement. CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. • Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:30 p.m. MOTION: Councilmember Crotzer moved the meeting be adjourned. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) The meeting adjourned at 5:30 p.m. 711 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 25, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 2 Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Rick Algert Bill Boucher Matt Everling Greg Fuz Jeff Jones Jim Koser Joe Leven Andrea Locker City Manager City Attorney City Clerk Harbor Director Capital Projects Manager Associate Planner Public Services Director Fire Chief Finance Director Police Chief Recreation & Parks Director ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — City Attorney Robert Schultz stated the City Council met in Closed Session, and no reportable action was taken. PUBLIC COMMENT Gail Condon, Morro Bay Yacht Club, reported on the events held by the Yacht Club, and the charitable efforts of the Club. Kim Kimball, Chamber of Commerce, reported on the upcoming 4 s of July festivities. Susan Mullen addressed Item C-1 (Review of Advisory Board By -Laws), and requested Council support uniform by-laws, the appointment of seven members on all boards and support for diversity. She said the Parks and Recreation Commission is most qualified to hold discussion on open space acquisition, and this function should be included in their by-laws. Ms. Mullen also addressed abusive conduct at the budget meeting and requested the Mayor take control of this situation. 2 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 25, 2001 Meredith Bates addressed Item C-1 and noted inconsistencies found in the by-laws such as gender language; Recreation and Parks Commission by-laws should include the Bicycle Committee as a sub -committee; and the Public Works Advisory Board by-laws should be open to diversity. Pam Soderback addressed Item C-1 and recommended the by-laws include the committees be pro -active; the inclusion of diversity; and the review of Public Works Advisory Board qualifications. Bonita Chutney reviewed various issues pertaining to the Recreation and Parks Commission by-laws. She stated the Commission should be charged with open space review, and expressed the importance of the review of the Bicycle Committee. Lynda Merrill addressed Item C-1 and reviewed the importance of diversity on the boards. She also referred to Item B-5 (Continued Public Hearing on the Concept Plan for a Remodel of Restaurant and Expansion of New Retail and Pedestrian Plaza located at 725 Embarcadero) and shared comments from Betty Winholtz who requested Council's consideration to retain parking and place a deck on the site. Ms. Merrill requested ® Council consider a "lighter type" of building that would allow more viewshed. John Barta addressed Item D-1 (Consideration of Authorization to Negotiate for Acquisition of Shandon State Water Project Allocation) stating State Water is a capital cost that goes into the facilities that deliver the water, and it should not be the City's problem to bail out Shandon. He urged Council to consider the purchase of State Water from the County. Mayor Anderson closed the public comment hearing. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Peters requested to agendize the discussion of scheduling a joint City Council/Planning Commission visual workshop regarding the Duke Energy project. Councilmember Peters stated she would also like discussion on the in -lieu parking fund. Staff responded that item has already been requested, and will be placed on a future agenda. Councilmember Crotzer requested to agendize discussion on black sky lighting. 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 25, 2001 A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF JUNE 11. 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 STATEMENT OF CASH & INVESTMENTS —MAY 2001; (FINANCE) RECOMMENDATION: Receive for information. A-3 EXPENDITURE REPORT —MAY 2001; (FINANCE) RECOMMENDATION: Approve as submitted. A-4 RESOLUTION NO. 42-01 APPROVING LEASE AGREEMENT EXTENSION ® FOR LEASE SITE 113W — VIRG'S BOAT DOCK; (HARBOR) 11 RECOMMENDATION: Adopt Resolution No. 42-01. A-5 APPROVAL OF EXTENSION OF CITY ATTORNEY SERVICES AGREEMENT; (CITY ATTORNEY) RECOMMENDATION: Approve the continued service of Robert Schultz of Hunt & Associates as the City Attorney for the City of Morro Bay for the next term of the contract along with the rate increases set forth. A-6 PROCLAMATION DECLARING JULY 2001 AS "RECREATION & PARKS MONTH'; (RECREATION & PARKS) RECOMMENDATION: Adopt Proclamation. Councilmember Peters pulled Item A-3 of the Consent Calendar. MOTION: Councilmember Peirce moved the City Council approve the Consent Calendar with the exception of Item A-3. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) al ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 25, 2001 A-3 EXPENDITURE REPORT — MAY 2001; (FINANCE) Councilmember Peters requested clarification on specific line items for public information. MOTION: Councilmember Peters moved the City Council approve Item A-3 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) Mayor Anderson called for a break at 6:58 p.m.; the meeting resumed at 7:09 p.m. B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-1 RESOLUTION NO. 40-01 ADOPTING BUDGET FOR FISCAL YEAR 2001- 2002; (FINANCE) Finance Director Jim Koser stated adoption of the Fiscal Year 2001-2002 Budget will establish the estimated revenue goals and expenditure limits for the upcoming fiscal year ® and implement the financial plan of the City of Morro Bay. He noted the total appropriations, for all funds, are S19,968,014, and total estimated revenues are 520,168,917. Mr. Koser stated in addition to adopting the Operating Budget, the City Council will also be authorizing adoption of the Capital Improvement Budget as proposed. Mr. Koser recommended the City Council adopt Resolution No. 40-01 which formalizes the adoption of the budget. 11 Mayor Anderson opened the hearing for public comment; there were no comments, and the public comment hearing was closed. Councilmember Crotzer stated he will not support artificially redefining the revenues, especially with the news from Sacramento regarding the downturn in the statewide economy. MOTION: Councilmember Elliott moved the City Council adopt Resolution No. 40-01 which formalizes the adoption of the Fiscal Year 2001-2002 Budget. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer voting no. (4-1) 5 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 25, 2001 B-2 RESOLUTION NO. 41-01 APPROVING THE ANNUAL PROPOSITION 4 APPROPRIATION LIMIT CALCULATION; (FINANCE) Finance Director Jim Koser stated Proposition 4, commonly known as the Gann Initiative was approved by the California electorate in November 1979. He said the purpose of this constitutional amendment and the implementing legislation is to restrict growth of tax - funded programs and services by limiting the appropriations of the proceeds of taxes to the 1978-1979 base year limit, as adjusted annually for changes in population and for changes in inflation. Proceeds of taxes in excess of the appropriations limit, with some exceptions, must be returned to the taxpayers within rwo years by refund or reduction in tax rates unless extension of the limit is approved by majority popular vote. Mr. Koser stated proceeds of taxes include: 1) all tax revenues; 2) proceeds from licenses and user fees to the extent that they exceed cost; 3) interest earnings on investment of tax revenues; and 4) discretionary state subventions. All other revenues, including federal funds, enterprise fund revenues, and user fees that do not exceed cost are excluded from the limit. Mr. Koser recommended the City Council adopt Resolution No. 41-01 adopting the Fiscal Year 2001-2002 Appropriations Limit. is the Anderson opened the hearing for public comment; there were no comments, and the public comment hearing was closed. MOTION: Councilmember Elliott moved the City Council adopt Resolution No. 4 1 -01 adopting the Fiscal Year 2001-2002 Appropriations Limit. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) B-3 RESOLUTION NO. 38-01 ORDERING THE LEVY OF THE ANNUAL ASSESSMENT FOR THE NORTH POINT NATURAL AREA LANDSCAPING AND LIGHTING MAINTENANCE ASSESSMENT DISTRICT; (RECREATION & PARKS) . Recreation & Parks Director Andrea Lueker stated at the May 29, 2001 City Council meeting, Council adopted Resolution No. 3 1 -01 approving the Engineer's Report describing the annual maintenance to be completed at the North Point Natural Area, and declaring the City's intent to levy an annual assessment to finance this maintenance. She noted $5,645 will be collected through an assessment of all parcel owners in the North Point subdivision for the maintenance of the North Point Natural Area. Ms. Lueker recommended Council adopt Resolution No. 38-01 confirming the levy of assessment of the North Point Natural Area Landscaping and Lighting Assessment District. 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 25, 2001 Mayor Anderson opened the hearing for public comment. Edward O'Hanian, property owner of North Point Subdivision, expressed opposition to the assessment to the property owners and requested Council remove the present tax assessment in this subdivision. He also addressed a problem with erosion of the retaining wall at the North Point subdivision. Susan Mullen stated this assessment was established while she sat on the City Council. She said it would set a bad precedent to remove an assessment when it was part of the conditions to develop this subdivision. Mayor Anderson closed the public comment hearing. Councilmember Elliott expressed concern with the lack of public participation. He said property owners should not have to pay for a public benefit. He noted the Coastal Commission required open space in this subdivision. ® Councilmember Peters stated liability is an important issue with this subdivision. She also said the Coastal Commission requested the natural state of this subdivision be a condition of this assessment. Councilmember Peirce stated the property owners should have been aware of the assessment when purchasing their property. Mayor Anderson stated the property owners are not allowed to enter the beach from their property in order to preserve open space. He said a stairway has been provided for public access to the beach. MOTION: Councilmember Peters moved the City Council adopt Resolution No. 38-01 confirming the levy of assessment of the North Point Natural Area Landscaping and Lighting Assessment District. The motion was seconded by Mayor Anderson and carried with Councilmember Elliott voting no. (4-1) 7 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 25, 2001 B-4 RESOLUTION NO. 39-01 ORDERING THE LEVY OF THE ANNUAL ASSESSMENT FOR THE CLOISTERS LANDSCAPING AND LIGHTING MAINTENANCE ASSESSMENT DISTRICT; (RECREATION & PARKS) Recreation & Parks Director.Andrea Lueker stated at the May 29, 2001 City Council meeting, Council adopted Resolution No. 30-01 approving the Engineer's Report describing the annual maintenance to be completed at the Cloisters Park and Open Space, and declaring the City's intent to levy an annual assessment to finance this maintenance. She noted S148,944 will be collected through an assessment of all parcel owners in the Cloisters subdivision for the maintenance of the Cloisters Park and Open Space. Ms. Lueker recommended Council adopt Resolution No. 39-01 confirming the levy of assessment of the Cloisters Park and Open Space Landscaping and Lighting Assessment District. Mayor Anderson opened the hearing for public comment. ® Gary Brouchtrup, property owner in Cloister's subdivision, stated the assessment is excessive and not affordable for all property owners. M Mayor Anderson closed the public comment hearing. Councilmember Peirce requested the City try to keep assessments in general as economic and cost-effective as possible. Councilmember Elliott expressed opposition to this assessment stating property owners should not have to pay for a public benefit MOTION: Councilmember Peters moved the City Council adopt Resolution No. 39-01 confirming the levy of assessment of the Cloisters Park and Open Space Landscaping and Lighting Assessment District. The motion was seconded by Mayor Anderson and carved with Councilmember Elliott voting no. (4-1) ti MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 25, 2001 B-5 CONTINUED PUBLIC HEARING ON THE CONCEPT PLAN FOR A REMODEL OF RESTAURANT AND EXPANSION OF NEW RETAIL AND PEDESTRIAN PLAZA LOCATED AT 725 EMBARCADERO — ROSE'S LANDING; (PUBLIC SERVICES) Mayor Anderson stepped down due to a conflict of interest. Associate Planner Matt Everting stated on June 11, 2001, the City Council held a public hearing and reviewed Conditional Use Permit 72-00 (Concept Plan for a remodel and expansion to 725 Embarcadero — Rose's Landing.) He said two main issues were discussed: 1) public views; and 2) parking. Based on the photo simulations and the redesign provided by the applicant, the Council determined that public views were no longer an outstanding issue; however, parking remained an issue, and Council decided to continue the item to give the applicant time to address the concerns regarding the removal of the existing 15 space ® parking lot adjacent to Rose's Landing. Mr. Everting stated since that meeting, the applicant has decided to act on one of two options: 1) use the proposed outdoor patio as outdoor dining, which will require 15 parking spaces @ S4,000 per space; or 2) if the City Council decides to increase the dollar amount per space, then the applicant will not use the outdoor patio for outdoor dining, and will actually have a surplus of two parking spaces. Mr. Everting stated the City's Zoning Ordinance Section 17.44.020(C)(4)(b) allows 125 square feet of outdoor dining without requiring any additional parking spaces. He also noted if Rose's Landing had no on -site parking, and did not use the patio for outdoor dining, then the applicant would not be required to pay any in -lieu parking fees. Mr. Everting recommended the City Council approve the Mitigated Negative Declaration in accordance with CEQA, along with Conditional Use Permit No. 72-00. Vice -Mayor Peters opened the hearing for public comment. Steve Puglisi, architect representing the applicant, addressed the parking issue that currently includes 15 on -site parking spaces. He said the applicant would also include parking for the outdoor dining area. Mr. Puglisi also stated the take-out food area may be included to benefit the public. 0 Susan Mullen requested Council consider maintaining the current 15 on -site parking spaces. 0 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 25, 2001 John Barta, Chairman of the Planning Commission, stated the project will include an open public plaza with will benefit the public. Vice -Mayor Peters closed the public comment hearing. Councilmember Crotzer stated the proposed design of this project appears more boxy and should include more viewshed. He said signage should make it clear of where public access is available. Councilmember Crotzer also noted regardless of California law, common decency would not allow smoking in an outdoor dining area. Councilmember Elliott stated visitor -serving purposes is as important to the Coastal Commission as public access. He referred to the City's General Plan and its intent of the in - lieu parking program. Councilmember Elliott stated he supports this project for both the visitors and the citizens of Morro Bay. Councilmember Peirce stated signage would assist in direction to public access. He said he ® would prefer to have on -site parking rather than in -lieu parking fees; however, he does support this project. Councilmember Peters stated she spoke with the applicant, and he is very agreeable to provide on -site parking. She said if necessary, she supports the S4,000 in -lieu parking fee. Councilmember Peters stated she supports the proposed project with a take-out dining window. MOTION: Councilmember Elliott moved the City Council approve the Mitigated Negative Declaration in accordance with CEQA, along with Conditional Use Permit No. 72-00, with the following modifications: 1) an amendment to Planning Condition #20 (In- lieu parking fees) to read as follows - "Prior to the issuance of building permits, the applicant shall pay an amount equal to S60,000 to the City of Morro Bay for parking in -lieu fees in conjunction with the deficiency of 15 required parking spaces for the proposed use, or in the alternative, provide 15 on -site parking spaces pursuant to Morro Bay Municipal Code Section 17.44.020(A)"; and 2) inclusion of a take-out dining window. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer voting no and Mayor Anderson abstaining. (3-1-1) Vice -Mayor Peters called for a break at 9:12 p.m.; the meeting resumed at 9:23 p.m. ® Mayor Anderson returned to his seat with Council. 10 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 25, 2001 C. UNFINISHED BUSINESS C-1 REVIEW OF ADVISORY BOARD BY-LAWS; (ADMINISTRATION) City Manager Robert Hendrix stated at the April 23, 2001 Council meeting, the City Council gave staff direction to request comments from the various advisory groups on language to be included in updated by-laws. Mr. Hendrix recommended the City Council consider the comments of each committee, and direct staff accordingly related to adoption of committee by-laws. The City Council reviewed the by-law amendment suggestions prepared by Councilmember Peters. Council agreed that consistency throughout the by-laws for all commissions and advisory boards is important to maintain. Council directed staff to amend the by-laws and return for Council approval. MOTION: Councilmember Peters moved the City Council continue this meeting to Is carried p.m. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) D. NEW BUSINESS D-1 CONSIDERATION OF AUTHORIZATION TO NEGOTIATE FOR ACQUISITION OF SHANDON STATE WATER PROJECT ALLOCATION; (PUBLIC SERVICES) Capital Projects Manager Bill Boucher stated the City has received an offer of financial assistance from Colmer Development (developer of the Caratan property) to provide 5250,000 toward the Shandon water acquisition. In making this offer, Colmer Development seeks to demonstrate that the development of the Caratan property with 30 new homes will not result in any significant effects on the community's long-term water supply. Mr. Boucher stated Colmer also seeks City consideration of a request to potentially construct the project in a single phase, if approved by the City, rather than over several years as generally required. He said if this funding offer is accepted, the additional cost for the Shandon water acquisition is about $46,620 per year, not including any Chorro Valley Pipeline costs. Mr. Boucher stated if Morro Bay decides to acquire this water allocation, the County will insist upon Shandon's recovery of both present and past capital costs related to the Shandon allocation. He recommended the City Council accept the offer made by Colmer Development, in concept, and subject to normal City review of the project; and, that Council direct staff to negotiate with San Luis Obispo ® County for acquisition of the available Shandon State Water allocation. 11 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 25, 2001 MOTION: Councilmember Elliott moved the City Council accept the offer made by Colmer Development, in concept, and subject to normal City review of the project; and, that Council direct staff to negotiate with San Luis Obispo County for acquisition of the available Shandon State Water allocation. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) D-2 RESOLUTION NO. 43-01 APPROVING AN AMENDMENT TO THE BY- LAWS OF THE LEAGUE OF CALIFORNIA CITIES TO ESTABLISH THE GRASSROOTS ATETFVORK PROGRAM AND INCREASE DUES TO FUND THIS EFFORT City Manager Robert Hendrix stated the Grassroots Network will cost cities, on a Statewide basis, an additional SL6 million each year in dues. However, the potential payback on this investment is enormous. He said this SL6 million is equivalent to one- fourth of one percent of the S650 million cities lose each year due to the ERAF Property ® Shift and less than one -eighth of one percent of the S 1.42 billion cities receive each year in VLF revenues, which may become the victim of legislative raids in the near future should the State suffer another recession. Mr. Hendrix stated consequently, the cost of the Grassroots Network proposal is relatively small when compared to the expenditures made by organizations that compete with cities and the League for the allocation of dollars in Sacramento. He said the City's League dues for 2001-02 are estimated to be S4,772. This amount has been included within the 2001-02 proposed budget; the Grassroots Network portion of the dues are S 1,924. Mr. Hendrix recommended the City Council adopt Resolution No. 43-01 approving an amendment to the by-laws of the League of California Cities to establish the Grassroots Network program and the increase in dues to fund this effort. MOTION: Councilmember Peirce moved the City Council adopt Resolution No. 43-01 approving an amendment to the by-laws of the League of California Cities to establish the Grassroots Network program and the increase in dues to fund this effort. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) F. ADJOURNMENT - The meeting adjourned at 1 1:05 p.m. Recorded b � ndgett uer` ® City Clerl 12 NOTICE OF SPECIAL CITY COUNCIL MEETING BUDGET STUDY SESSION NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Meeting on Friday, June 22, 2001 at 7:00 p.mto be held in the Community Center Multi Purpose Room, 1001 Kennedy Way, Morro Bay, California. The City Council will be reviewing the proposed budget for Fiscal Year2001-2002. DATED: June 19, 2001 Bridgett BMier, City Clerk LJ ® MINUTES - MORRO BAY CITY COUNCIL BUDGET WORKSHOP — JUNE 22, 2001; 7:00 P.M. COMMUNITY CENTER MULTI PURPOSE ROOM Mayor Anderson called the meeting to order at 7:10 p.m. PRESENT: Mayor Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Councilmember Peters Councilmember STAFF: Robert Hendrix City Manager Greg Fuz Public Services Director Jim Koser Finance Director Joe Loven Police Chief Andrea Lueker Recreation & Parks Director PUBLIC COMMENT ® Lillian Jedd, EOC representative, requested Council consideration of funding for the Economic Opportunity Commission. Jonni Biaggini, VCB representative, requested Council consideration of funding for the Visitor & Conference Bureau. Kim Kimball, Chamber of Commerce representative, requested Council consideration of funding for the Visitors Center. John Solu, Member of Community Promotions Committee, addressed the Transient Occupancy Tax in Morro Bay. Ed Biaggini, Chairman of Community Promotions Committee, stated the City has gained S92,000 in revenue from the Transient Occupancy Tax. Lynda Merrill requested Council consider the social services agencies when discussing the budget. Bill Woodson requested Council consider streets and sidewalks as a top priority when discussing the budget; and consider the Update for a Bikeway Plan. Shoosh Crotzer requested Council consider funding more money for the non-profit agencies. She said she does not support funding more towards the tourism industry. ® Betty Winholtz requested Council consider funding for underground utilities when discussing the budget. John Barta made suggestions on how to reduce the budget. Ken Vesterfelt requested Council consider funding more money towards the Fire and Police Departments. Mayor Anderson closed the public comment hearing. Finance Director Jim Koser made a presentation and overview of the budget workshop held on June 14, 2001. He reviewed information on the Sacramento Meeting of Finance Officers regarding the State Budget and implications for local government. Mr. Koser discussed the Vehicle License Fee and its impact on the budget. He also reviewed the Transient Occupancy Tax in Morro Bay. MOTION: Councilmember Elliott moved the' City Council fund the Community Promotions Committee, Visitor and Conference Bureau and Visitors Center at the requested level, and increase the estimate of Transient Occupancy Tax revenue by a like amount. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer and Councilmember Peters voting no. (3-2) is MOTION: Councilmember Crotzer moved the City Council increase the Aid to Agencies budget to S25,000 total, and allocate the S4,505 proportionately over all 22 agencies on a percentage basis. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) MOTION: Councilmember Peters moved the City Council allocate 510,000 toward the City Department Orientation Videos, 54,000 toward the Commission/Board Members recognition dinner, 54,000 toward part-time employee benefits, and S11000 towards public services information on- line system. The motion died for lack of a second. MOTION: Councilmember Peters moved the City Council allocate S10,000 toward the City Department Orientation Videos. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) MOTION: Councilmember Peters moved the City Council allocate S4,000 toward the Commission/Board Members recognition dinner. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) MOTION: Councilmember Peters moved the City Council allocate 55,000 toward part-time employee benefits, with staff to determine if feasible. The motion was seconded by Councilmember Peirce and carried unanimously. ® (5-0) 2 Ell 11 DI The City Council requested staff to report on automation of the Public Services information system, and advise Council of requirements and costs of the requested system. The meeting adjourned at 10:30 p.m. 3 ® NOTICE OF SPECIAL CITY COUNCIL WORKSHOP NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Workshop on Monday, June 18, 2001 at 6:00 p.m. to be held in the Veterans Memorial Hall, 209 Surf St., Morro Bay, California. The workshop is scheduled review the draft of an Agreement to Lease between the City and Duke concerning the modernization of the Morro Bay Power Plant. DATED: June 15, 2001 Bridgett Bauer, City Clerk City of Morro Bay, California By Ardith Davis all ® NOTICE OF SPECIAL CITY COUNCIL MEETING BUDGET STUDY SESSION NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Meeting on Thursday, June 14, 2001 at 6:00 p.m. to be held in the Community Center Studio Room, 1001 Kennedy Way, Morro Bay, California. The City Council will be reviewing the proposed budget for Fiscal Year 2001/2002. DATED: June 12, 2001 Bridgett B er, City Clerk Li ® MINUTES - MORRO BAY CITY COUNCIL BUDGET WORKSHOP — JUNE 14, 2001; 6:00 P.M. COMMUNITY CENTER STUDIO ROOM El Vice -Mayor Peters called the meeting to order at 6:12 p.m PRESENT: Janice Peters Vice -Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember ABSENT: Rodger Anderson Mayor STAFF: Robert Hendrix City Manager Rick Algert. Harbor Director Bill Boucher Capital Projects Manager Greg Fuz Public Services Director ,. Clyde Ganes Building Official Jeff Jones Fire Chief Jim Koser Finance Director Joe Loven Police Chief Andrea Lueker Recreation & Parks Director PUBLIC COMMENT Doral McKee requested Council consider undergrounding utilities in their discussion of the budget. John Solu expressed support for increasing the Community Promotions Committee budget. Jonni Biaggini expressed support for increasing the Visitor and Conference Bureau budget. John Sorgenfrei, Tom Jones Advertising, reviewed the Community Promotions Committee marketing plan for next year. Meredith Bates expressed support for increasing the Community Promotions Committee budget. Roger Ewing requested Council consider reducing the garbage franchise fee. Jim Nance requested Council consider reducing the garbage franchise fee. ® Bill Clayton expressed support for increasing the Community Promotions Committee budget. Lynda Merrill expressed concern that scheduling the CEC hearing and the budget workshop at the same time will create a disadvantage for people to attend both meetings. John Barta, Chairman for the Planning Commission, stated the Commission did not receive copies of the budget, or a staff report relating to the budget, in order to review and have an opportunity to address Council on the proposed budget. Vice -Mayor Peters and Councilmembers Crotzer, Elliott and Peirce made opening remarks. City Manager Robert Hendrix made opening remarks. Finance Director Jim Koser made a presentation on the proposed budget for fiscal year 2001-2002. MOTION: Councilmember Elliott moved the City Council fund all requests at the higher of the Aid to Agencies' requests or the actual amount paid in the prior year. The motion was seconded by Councilmember Peirce and carried unanimously. (4-0) is The City Council adjourned the Budget Workshop to June 22, 2001 at 7:00 p.m. in the Community Center Multi -Purpose Room. The meeting adjourned at 10:00 p.m. 2 City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — JUNE 11, 2001 CLOSED SESSION — JUNE 11, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.Nl. 595 HARBOR ST., MORRO BAY, CA 0 CS-1 GOVERNMENT CODE SECTION 54957; PERSONNEL ISSUES. Discussions regarding Personnel Issues including one (1) public employee regarding discipline/release/evaluation, specifically the City Attorney. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. ® PUBLIC SESSION — JUNE 11, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state ® your name and address for the record. Comments are to be limited to three minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF MAY 29, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 RESOLUTION NO. 35-01 APPROVING FUND TRANSFER AGREEMENT FOR MORRO BAY HIGH SCHOOL BIKE PATH PROJECT; (PUBLIC SERVICES) 0 RECODINIENDATION: Adopt Resolution No. 35-01. 2 ® A-3 RESOLUTION NO. 36-01 APPROVING CALTRANS PROGRAM SUPPLEMENT FOR MORRO BAY BOULEVARD/QUINTANA ROAD ROUNDABOUT, AND SURFACE TRANSPORTATION IMPROVEMENT PROGRAM - PHASE 2 STREET REHABILITATION; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 36-01. A-4 RESOLUTION NO. 37-01 APPROVING INSTALLATION OF YIELD SIGNS ON OLIVE STREET AT BERNARDO AVENUE; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 37-01. A-5 AUTHORIZATION TO FILE NOTICE OF COMPLETION FOR THE EOC STANDBY GENERATOR PROJECT; (PUBLIC SERVICES) RECOMMENDATION: Accept the project as completed by Electricraft, Inc., and authorize the filing of the Notice of Completion. A-6 PROCLAMATION DECLARING NNE I & 12, 2001 AS "SPECIAL OLYMPICS LAW ENFORCEMENT TORCH RUN DAY'; (ADMINISTRATION) ® RECONMENDATION: Adopt Proclamation. B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-1 CONSIDERATION OF CONCEPT PLAN FOR A REMODEL OF RESTAURANT AND EXPANSION OF NEW RETAIL AND PEDESTRIAN PLAZA LOCATED AT 725 EMBARCADERO — ROSE'S LANDING; (PUBLIC SERVICES) RECONINIENDATION: Approve the Concept Plan for the remodel and addition to Rose's Landing. C. UNFINISHED BUSINESS C-I REVIEW OF ADVISORY BOARD BY-LAWS; (ADMINISTRATION) RECOMMENDATION: Consider the comments of each committee, and direct staff accordingly related to adoption of committee by-laws. C-2 RECONSIDERATION OF NO PARKING DESIGNATION ALONG THE SOUTH SIDE OF QUINTANA ROAD, AND SPEED LIMIT DISCUSSION; (PUBLIC SERVICES) ® RECOMMENDATION: Retain the "no parking" designation, and provide direction on speed limits along the street segment. t C-3 STATUS REPORT ON THE DUKE ENERGY POWER PLANT ® MODERNIZATION PROJECT; (PUBLIC SERVICES) RECOMMENDATION: Receive report for information. a] D. NEW BUSINESS D-I CONSIDERATION OF PUBLIC ORIENTATION VIDEO ON "HOW YOUR CITY WORKS" FOR BROADCAST ON CHANNEL 54; (ADMINISTRATION) RECOMMENDATION: Discuss and direct staff accordingly. D-2 CONSIDERATION OF MAYOR'S LETTER TO REPRESENTATIVE CAPPS REGARDING OFF -SHORE OIL DEVELOPMENT; (ADMINISTRATION) RECOMMENDATION: Discuss and direct staff accordingly. E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE. CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 4 ® MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION — JUNE 11, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney CLOSED SESSION MOTION: Councilmember Peirce moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Elliott and unanimously carried. (5-0) Mayor Anderson read the Closed Session statement. CS-1 GOVERNMENT CODE SECTION 54957; PERSONNEL ISSUES. Discussions regarding Personnel Issues including one (1) public employee regarding discipline/release/evaluation, specifically the City Attorney. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:30 p.m. MOTION: Councilmember Crotzer moved the meeting be adjourned. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) The meeting adjourned at 5:30 p.m. U MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 11, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Rick Algert Bill Boucher Matt Everling Greg Fuz Jeff Jones Jim Koser Andrea Lueker City Manager City Attorney City Clerk Harbor Director Capital Projects Manager Planning Associate Public Services Director Fire Chief Finance Director Recreation & Parks Director ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — City Attorney Robert Schultz stated City Council met in Closed Session and no reportable action was taken. PUBLIC COMMENT Henrietta Groot stated the proposed power plant modernization plan will have a greater affect on the City due to the emissions that will be emitted. She requested the City Council direct the City Attorney to draft more stringent standards for certain emissions that will remain in the local area in order to protect the those in and surrounding the City. Betty Winholtz addressed Item C-1 (Review of Advisory Board By -Laws) and stated the Public Works Advisory Board is openly defying the City Council by their intent of the number of members, and the deletion of term representative cross-section of lay and professional knowledge. She said the Public Works Advisory Board also added two ® additional qualifications that will complicate the process. Ms. Winholtz requested the City Council reconsider the by-laws and not approve the proposed by-laws. 2 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 11, 2001 Susan Mullen addressed Item C-1 and stated the City Council should appoint seven members to all boards, including the Planning Commission, which would allow more diversity on the boards. She stated the restrictive language regarding qualifications is discriminatory, and does not encourage diversity. Ms. Mullen expressed support for Item D-I (Consideration of Public Orientation Video on "How Your City Works" for Broadcast on Channel 54); and she expressed support for Item D-2 (Consideration of Mayor's Letter to Representative Capps Regarding Off -Shore Oil Development.) David Nelson addressed air quality concerns with regard to the Duke Energy Modernization Project, and stated health and safety of Morro" Bay's citizens should be paramount. He also recommended painting murals on the water tanks in the City. Roger Ewing thanked the City and those who donated to the public art fund. He also noted gratitude should be given to the "Coastal Alliance" for their time and energy to present facts and knowledge pertinent to the health and safety of the citizens of Morro Bay. is the DeMerritt referred to the water bill inserts which should have included a flyer on the CEC workshop dates. 11 Arby Kitzman addressed Item C-2 (Reconsideration of No Parking Designation Along the South Side of Quintana Road, and Speed Limit Discussion) and stated parking is critical in Morro Bay, and requested a workshop to discuss the parking issue on Quintana Road. Bill Keil, Owner of Morro Bay Tire, expressed the importance of maintaining parking along Quintana Road. John Bashon, Second Hand Store, addressed the parking problem on Quintana Road. Kim Kimball, Chamber of Commerce, addressed the following issues: 1) Item C-2 - she encouraged the City Council to lower the speed limit on Quintana Road; 2) Item C-1 - she requested the boards return to seven members; 3) Item A-6 — support; 4) Item D-1 - support; 5) Item D-2 — support; and 6) thanks for donations to public art, the Natural History Museum, and 4 s of July celebration. John Yurskowski addressed Item C-1 and stated qualifications on boards should not be the basis of appointment. 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 11, 2001 Ken Vesterfelt addressed the issue of litter in the City, and requested more trash receptacles be placed throughout the City for the summer. He noted he attended a Planning Commission workshop where there was dialogue on the number of members on a commission. Mr. Vesterfelt stated it was found that seven member Planning Commissions are not effective. John Barta stated the Planning Commission has requested no changes be made to their by-laws. He also noted the public art support has been generous. Mr. Barta requested support for the 4's of July celebration. Jim Lester requested the City Council maintain parking along Quintana Road. Bonita Chumey addressed Item C-1 and stated the by-laws proposed by the Public Works Advisory Board appear to be intimidating and may discourage citizens to apply for appointment to this board. She said these by-laws should be dictated by the City Council. Ms. Chumey noted the proposed by-laws could result in legal ramifications with regard to the qualifications. ® Shoosh Crotzer expressed opposition to the Public Works Advisory Board's attempt to change their by-laws which is the City Council's position as the governing body. Bill Woodson, member of the Public Works Advisory Board, reviewed the Board's attempt of reviewing and recommending amendments of their by-laws to the City Council. Karen Croley stated she was representing women in the City who are interested in serving on City boards and commissions, and suggested applicant qualifications to boards and commissions for Council's consideration. Mayor Anderson closed the public comment hearing. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Peters requested discussion in support to establish a new Grassroots Network for the League of California Cities. She also stated for information that Global Photon has not been communicating with the fishermen as promised, and requested information from staff. Councilmember Peters also requested consideration of placing Public Services information on the City website. Mayor Anderson requested discussion and review of the workshop attended by himself ® and three Councilmembers and the City Manager regarding team building 4 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 11, 2001 Mayor Anderson called for a break at 7:13 p.m.; the meeting resumed at 7:19 p.m. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF MAY 29, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 RESOLUTION NO. 35-01 APPROVING FUND TRANSFER AGREEMENT FOR MORRO BAY HIGH SCHOOL BIKE PATH PROJECT; (PUBLIC SERVICES) RECOi\LMENDATION: Adopt Resolution No. 35-01. ® A-3 RESOLUTION NO. 36-01 APPROVING CALTRANS PROGRAM SUPPLEMENT FOR MORRO BAY BOULEVARD/QUINTANA ROAD ROUNDABOUT, AND SURFACE TRANSPORTATION IMPROVEMENT PROGRAM - PHASE 2 STREET REHABILITATION; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 36-01. A-4 RESOLUTION NO. 37-01 APPROVING INSTALLATION OF YIELD SIGNS ON OLIVE STREET AT BERNARDO AVENUE; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 37-01. A-5 AUTHORIZATION TO FILE NOTICE OF COMPLETION FOR THE EOC STANDBY GENERATOR PROJECT; (PUBLIC SERVICES) RECOiVMMENDATION: Accept the project as completed by Electrieraft, Inc., and authorize the filing of the Notice of Completion. A-6 PROCLAMATION DECLARING JUNE 11 & 12, 2001 AS "SPECIAL OLYMPICS LAW ENFORCEMENT TORCH RUN DAY'; (ADMINISTRATION) ® RECOMMENDATION: Adopt Proclamation. G ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 11, 2001 MOTION: Councilmember Crotzer moved the City Council approve the Consent Calendar. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) B. PUBLIC HEARINGS, REPORTS R APPEARANCES B-1 CONSIDERATIONr OF CONCEPT PLAN FOR A REMODEL OF RESTAURANT AND EXPANSION OF NEW RETAIL AND PEDESTRIAN PLAZA LOCATED AT 725 EMBARCADERO — ROSE'S LANDING; (PUBLIC SERVICES) Mayor Anderson stepped down due to conflict of interest. Planning Associate Matt Everting presented the Concept Plan for the remodel and addition to Rose's Landing. He stated the applicant is requesting to remodel the 5,776 square foot building, along with replacing an existing parking lot with a new 3,915 square foot two story retail/restaurant use, and a new public plaza. The Planning Commission ® reviewed this Concept Plan on April 16, 2001 and made a recommendation of approval to the City Council. Mr. Everting noted due to a viewshed concern, the Planning Commission required the removal of the proposed second floor office, storage room and employee area along the front elevation to preserve public views of the harbor from the Centennial Stairway. The applicant has revised this area by extending the proposed second floor view deck, which will be open to the public. Mr. Everting stated the issue of parking is the greatest area -wide concern and the issue that draws the most complaints from residents and visitors. However, parking does exist in the form of private, on -site parking for some businesses, public parking on City streets, and several public parking lots. He stated the existing use provides 15 parking spaces. By eliminating the parking lot, the new construction will make a positive step in maintaining a consistent street frontage by providing continuous pedestrian -oriented design. The majority of the parking lot will be used for the new public view corridor. Mr. Everting stated by today's standards, the existing uses require 87 parking spaces, and the proposed project as revised requires 99 parking spaces. He said this results in a parking deficit of 12 parking spaces, which calculates to a total of S48,000 in parking in - lieu funds. Mr. Everting recommended the City Council approve the Mitigated Negative Declaration in accordance with CEQA, along with Conditional Use Permit No. 72-00. C ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 11, 2001 Vice -Mayor Peters opened the hearing for public comment. Roger Ewing expressed opposition to the way the parking in -lieu fund is being generated. Steve Puglisi, architect for the project, reviewed the proposed plans for the remodel of Roses Landing. Susan Mullen expressed concern with the viewshed issues. She said this project does not comply with the Waterfront Master Plan that requires viewshed and parking. Ms. Mullen recommended this issue be further reviewed by the Planning Commission. Shoosh Cromer stated she does not like the boxy design of the proposed project. She said the City Attorney should review the calculations for required parking. Jim Wood stated the worth of in -lieu parking should be seriously considered. Dan Dom addressed the importance of maintaining the City's public view sheds. He ® stated this project is in violation of the City's Local Coastal Plan. John Barta, Chairman of Planning Commission, stated there is one thing not being represented tonight regarding this project which is the benefit of a public plaza with public art and public access. Betty Winholtz stated parking does include public access. Vice -Mayor Peters closed the public comment hearing. Councilmember Crotzer stated the view appears degraded with the proposal of this project, and does not comply with the Waterfront Master Plan. He said public access is problematic and appears more restrictive in the proposed plans. Councilmember Crotzer stated he prefers the Embarcadero become a more pedestrian -friendly environment. He also noted further discussion on the parking in -lieu fund is necessary. Councilmember Elliott stated parking needs to be addressed. He said the Coastal Commission is supportive of visitor -serving and would be supportive of this project. Councilmember Elliott expressed his support of the project, and said the public restrooms are a benefit to the City. Councilmember Peirce expressed his support for the proposed project and stated it is a definite improvement to the existing building. 7 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 11, 2001 Councilmember Peters stated the proposed plans do not appear to obstruct the viewshed, except for a minor obstruction from the Centennial Stairway, which is caused by an elevator shaft, which is required by law for handicap accessibility. She said parking is a concern, and would like to retain one lane of parking. MOTION: Councilmember Elliott moved the City Council approve the Mitigated Negative Declaration in accordance with CEQA, along with Conditional Use Permit No. 72-00, with an amendment to Planning Condition #20 (In - lieu parking fees) per the City Attorney recommendation to remove "equal to $24,000 dollars" and replace with "pursuant to Morro Bay Municipal Code Section 17.44.020(A)." The motion was seconded by Councilmember Peirce and failed with Councilmember Crotzer and Councilmember Peters voting no and Mayor Anderson abstaining. (2-2-1) MOTION: Councilmember Crotzer moved the City Council return this item to the Planning Commission with direction that they obtain further information on the following: 1) parking in -lieu fee amount; 2) impingement of the ® viewshed; and, 3) public access, including the view deck. The Planning Commission is to forward this information to the City Council. The motion was seconded by Councilmember Peters. Councilmember Elliott stated he does not support the motion because the Planning Commission has reviewed the project, and it is the City Council's responsibility to approve the Concept Plan as submitted with the attached conditions. Councilmember Peters stated she does not support removing 15 parking spaces with the addition of shops and a view deck. Councilmember Crotzer stated it is time for the parking in -lieu fees to be adjusted due to inflation. He said the remodel of Rose's Landing is welcome; however, there are issues that need to be addressed. Councilmember Peirce stated the parking in -lieu funds can be dealt with separately from the approval of the Concept Plan. VOTE: The motion failed with Councilmember Elliott, Councilmember Peirce and Councilmember Peters voting no and Mayor Anderson abstaining. (1-3-1) 9 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 11, 2001 MOTION: Councilmember Peirce moved the City Council continue this public hearing in order for the City Attorney to review the conflict of interest law. The motion was seconded by Councilmember Elliott and carried with Mayor Anderson abstaining. (4-0-1) Mayor Anderson took his seat with Council and continued to Item C-1. Council returned to Item B-1. City Attorney Robert Schultz recommended the Mayor review the issue of his conflict of interest with the Fair Political Practices Commission. Mayor Anderson stepped down due to a potential conflict of interest. Councilmember Elliott expressed his support for this project. Councilmember Crotzer stated he supports an economical and viable project that meets ® the Waterfront Master Plan design guidelines that would not encroach any views. He said the parking fees have not yet been imposed which should not be an impediment to the project. 2 Councilmember Peirce suggested continuing this item to the June 25, 2001 City Council meeting in order for the applicant to work on the parking issue. Vice -Mayor Peters stated the proposed plan would need to provide parking spaces before she will support the project. MOTION: Councilmember Peters moved to continue this item. The motion died for lack of a second. MOTION: Councilmember Elliott moved the City Council approve the Mitigated Negative Declaration in accordance with CEQA, along with Conditional Use Permit No. 72-00, with an amendment to Planning Condition #20 (In - lieu parking fees) per the City Attorney recommendation to remove "equal to $24,000 dollars" and replace with "pursuant to Morro Bay Municipal Code Section 17.44.020(A)' , and addition of a condition that the applicant is to provide adequate parking in accordance with the Morro Bay Municipal Code. The motion died for lack of a second. L9 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 11, 2001 MOTION: Councilmember Elliott moved the City Council continue this item to the June 25, 2001 City Council meeting. The motion was seconded by Councilmember Crotzer and carried with Mayor Anderson abstaining. (4-0-1) C. UNFINISHED BUSINESS C-1 REVIEW OF ADVISORY BOARD BY-LAWS; (ADMINISTRATION) City Manager Robert Hendrix introduced this item for Council review and direction. MOTION: Councilmember Elliott moved the City Council continue this item to the June 25, 2001 City Council meeting, and direct staff to provide the necessary information. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) C-2 RECONSIDERATION OF NO PARKING DESIGNATION ALONG THE SOUTH SIDE OF QUINTANA ROAD, AND SPEED LIMIT DISCUSSION; (PUBLIC is SERVICES) Capital Projects Manager Bill Boucher stated on May 14, 2001, the City Council adopted Resolution No. 25-01 approving the prohibited on -street parking on the south side of Quintana Road from east of Main Street to the Von's Shopping Center driveway. He said the prohibition came as result of specific request from two businesses and one resident and followed the prohibition of parking along the north side of the street. Mr. Boucher stated on May 29, 2001, staff installed "no parking" signs on the south side of the street. That evening at the City Council meeting, the Council directed staff to not implement the prohibition until the matter was reconsidered. He said a petition was received and the item was continued to the next meeting. The Council further requested the matter of the speed limit along this segment of Quintana Road also be discussed. Mr. Boucher stated on the next morning, staff covered the "no parking" signs, and a letter was distributed to the adjacent businesses and residents informing them of the Council action and asking for comments and participation in the decision -making process. Mr. Boucher stated the issue of traffic speed along Quintana Road is one that been previously discussed. Until 1995, the speed limit for Quintana Road from Main Street to Morro Bay Boulevard was 35 mph. He said that same year, the City Council adopted Ordinance No. 447 that expanded the "central traffic district" to include this segment of Quintana Road and, as result of that action, reduced the speed limit to 25 mph between ® Kennedy Way and Morro Bay Boulevard; the 35 mph speed limit between Main Street and Kennedy Way was not changed. 10 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 11, 2001 Mr. Boucher recommended the City Council reconsider the on -street parking prohibition and retain the "no parking" designation; and, and provide direction on whether modification of the speed limit is to be pursued. Councilmember Peters stated limited time parking should be established in the business area of Quintana Road. Councilmember Peirce stated limited time parking is appropriate as long as employee parking is provided. He said he supports lowering the speed limit to 25 mph. Mayor Anderson stated he supports lowering the speed limit to 25 mph. He said employee parking should be restricted. Councilmember Crotzer stated on behalf of bicyclists, eliminating parking on the street would be helpful. He said he would like a speed survey to be provided before making a decision on that issue. ® Councilmember Elliott recommended staff meet with the business owners to try and resolve and provide a solution for parking and speed limit and return to Council. MOTION: Councilmember Peters moved the City Council continue this item to the July 9, 2001 City Council meeting. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) Mayor Anderson called for a break at 9:32 p.m.; the meeting resumed at 9:42 p.m. C-3 STATUS REPORT ON THE DUKE ENERGY POWER PLANT MODERNIZATION PROJECT; (PUBLIC SERVICES) Public Services Director Greg Fuz reviewed the status of the Duke Energy Power Plant Modernization Plan. Council received the report for information, and no action was taken. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 11, 2001 D. NEW BUSINESS D-1 CONSIDERATION OF PUBLIC ORIENTATION VIDEO ON "HOW YOUR CITY WORKS" FOR BROADCAST ON CHANNEL 54; (ADMINISTRATION) Councilmember Peters stated an orientation video could be an educational tool for the advisory board members, staff and the public. She said she will contribute S750 from this year's discretionary fund, and $750 from next year's funds towards the production of this video. Councilmember Peters stated the total cost of this project is approximately S9,800. Staff recommended preparing a packet of information for Council review; Council concurred. No further action was taken D-2 CONSIDERATION OF MAYOR'S LETTER TO REPRESENTATIVE CAPPS REGARDING OFF -SHORE OIL DEVELOPMENT; (ADMINISTRATION) ® Mayor Anderson reviewed the draft letter prepared to send to Congresswoman Capps, and requested Council support. MOTION: Councilmember Crotzer moved the City Council approve sending a letter signed by all Council Members to Congresswoman Capps regarding offshore oil development. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) F. ADJOURNMENT The meeting adjourned at 10:48 p.m. Recorded by: Bridgett Bauer City Clerk F 12 ® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be conunitted to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — MAY 29, 2001 CLOSED SESSION — MAY 29, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54957.6: CONFERENCE WITH ® LABOR NEGOTIATOR. Conference with the City Manager, the City's Designated Representative, for the purpose of reviewing the City's position regarding salaries, salary schedules, or compensation paid in the form of fringe benefits, and giving instruction to the Designated Representative. CS-2 GOVERNMENT CODE SECTION 54957; PERSONNEL ISSUES. Discussions regarding Personnel Issues including one (1) public employee regarding discipline/release/evaluation, specifically the City Attorney. CS-3 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. 11 ® PUBLIC SESSION —111AY 29, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., 140RRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state ® your name and address for the record. Comments are to be limited to three minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A -I APPROVAL OF MINUTES FOR THE REGULAR MEETING OF MAY 14, 2001; (ADMINISTRATION) RECONIIIENDATION: Approve as submitted. A-2 . CASH & INVESTMENT REPORT— APRIL 2001; (FINANCE) ® RECOMMENDATION: Receive for information. 2 ® A-3 EXPENDITURE REPORT— APRIL 2001; (FINANCE) RECOMMENDATION: Approve as submitted. A-4 RESOLUTION NO. 32-01 APPROVING ASSIGNMENT OF LEASE AGREEMENT FOR LEASE SITE 90/90W — OTTER ROCK CAFE; (HARBOR) RECOMMENDATION: Adopt Resolution No. 32-01. A-5 APPROVAL OF CONTRACT WITH BOYLE ENGINEERING CORPORATION FOR PREPARATION OF A WATER MANAGEMENT PLAN UPDATE; (PUBLIC SERVICES) RECOMMENDATION: Approve the contract and authorize the City Manager to execute the documents on behalf of the community. A-6 APPROVAL OF MUTUAL AID AGREEMENT FOR TEMPORARY WATER SERVICE BETWEEN THE CITY AND THE CALIFORNIA MEN'S COLONY; (PUBLIC SERVICES) RECOMMENDATION: Approve the agreement and authorize the Mayor to execute the documents on behalf of the community. ® A-7 RESOLUTION NO. 33-01 IN SUPPORT OF SENATE BILL 691 RELATING TO THE RECOVERY OF ATTORNEY'S FEES WHEN DEFENDING MOBILEHOME ORDINANCES; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution No. 33-01. A-8 RESOLUTION NO. 34-01 IN SUPPORT OF SENATE BILL 621 RELATING TO WATER TRANSFERS; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution No. 34-01. B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-1 RESOLUTION NO. 30-01 DECLARING THE CITY'S INTENrTION TO LEVY THE ANNUAL ASSESSMENT FOR THE MAINTENANCE OF THE CLOISTERS PARK AND OPEN SPACE, AND APPROVAL OF THE ENGINEERS REPORT; (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution No. 30-01 E t ® B-2 RESOLUTION NO. 31-01 DECLARING THE CITY'S INTENTION TO LEVY THE ANNUAL ASSESSMENT FOR THE MAINTENANCE OF THE NORTH POINT NATURAL AREA, AND APPROVAL OF THE ENGINEERS REPORT; (RECREATION & PARKS) C RECOMMENDATION: Adopt Resolution No. 31-01. C. UNFINISHED BUSINESS C-1 REPORT ON SOLID WASTE RATE INCREASE DUE TO HIGHER RECYCLING COST; (ADMINISTRATION) RECOMNIENDATION: Receive report for information. C-2 STATUS REPORT ON THE DUKE ENERGY POWER PLANT MODERNNIZATION PROJECT; (PUBLIC SERVICES) RECOMNIENDATION: Receive report for information. D. NEW BUSINESS — NONE. E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER NTORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. N COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 0 MINUTES - MORRO BAY CITY COUNCIL ® CLOSED SESSION —MAY 29, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m. PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney CLOSED SESSION MOTION: Councilmember Elliott moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peirce and unanimously carved. (5-0) Mayor Anderson read the Closed Session statement. ® CS-1 GOVERNMENT CODE SECTION 54957.6; CONFERENCE WITH LABOR NEGOTIATOR. Conference with the City Manager, the City's Designated Representative, for the purpose of reviewing the City's position regarding salaries, salary schedules, or compensation paid in the form of fringe benefits, and giving instruction to the Designated Representative. CS-2 GOVERN'i\IENT CODE SECTION 54957; PERSONNEL ISSUES. Discussions regarding Personnel Issues including one (1) public employee regarding discipline/release/evaluation, specifically the City Attorney. CS-3 GOVERNMENT CODE SECTION 54956.8, REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. • Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Mono Bay Negotiations: Voluntary Purchase and Sale. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 6:00 p.m. MOTION: Councilmember Peters moved the meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) 0 The meeting adjourned at 6:00 p.m. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 29, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Anderson called the meeting to order at 6:10 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney Bridgett Bauer City Clerk Rick Algert Harbor Director Bill Boucher Capital Projects Manager Greg Fuz Public Services Director Jeff Jones Fire Chief Jim Koser Finance Director Joe Loven Police Chief Andrea Locker Recreation & Parks Director ® ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — City Attorney Robert Schultz stated the City Council met in Closed Session, and there was no reportable action taken. PUBLIC COMMENT Roger Ewing addressed Item C-1 (Report on Solid Waste Rate Increase Due to Higher Recycling Cost) and expressed opposition to a rate increase paid by the citizens. He stated the City should pick up any increase that is imposed. Pam Soderback stated Duke Energy does not comply with the Memorandum of Understanding by providing improved air quality in Morro Bay. She requested the City Council consider the Sconox method instead of catalytic converters. David Nelson addressed the Duke Energy project and requested the City Council consider the Sconox method as an alternative method to provide cleaner air quality. 2 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - MAY 29, 2001 Shoosh Crotzer expressed opposition to an increase in recycling rates. She also addressed Item A-4 (Resolution No. 32-01 Approving Assignment of Lease Agreement for Lease Site 90/90W) and stated the Otter Rock Cafe is an illegal use with no public access. Ms. Crotzer noted Duke Energy is a corporation that only cares about profit and not the citizens of Morro Bay. Bonita Chutney stated the City owes the citizens of Morro Bay the guarantee that there will be no significant health risk from air emissions emitted by the proposed power plant stacks. She referred to California Health R Safety Code 41508 that addresses air quality. Kim Kimball, Director of Chamber of Commerce, requested the City Council reconsider the no -parking designation along Quintana Road because it will negatively affect the businesses along that street. She also addressed a fundraiser (Kiss a Pig) to benefit the 4's of July festivities. Ms. Kimball also noted businesses can obtain free advertising if open on the 4 h of July. John Barta addressed Item A-5 (Approval of Contract with Boyle Engineering Corporation for Preparation of a Water Management Plan Update) stating this contract should go out for bid. He said the last Water Management Plan prepared by Boyle Engineering is not ® completely correct. Meredith Bates asked what the timeframe is to develop the proposed "Handbook for Commissions and Boards". She also addressed concern with the increase of harmful emissions produced by the proposed power plant stacks. Gail Squires, tenant of Silver City Mobilehome Park, addressed issues presented to the tenants by the Park owner that may not be in compliance with City codes. Andrew Trump, Duke Energy, presented an update on the Duke Energy Power Plant modernization plan process. He announced that Duke Energy has purchased the Den Dulk property. Steve Mathieu addressed Item C-1 stating he opposes a rate increase in recycle costs. Lynn Folsom, tenant of Silver City Mobilehome Park, also informed Council of the increase in living costs proposed by the Park owner. Dr. Eric Walther, consultant for Duke Energy, addressed air quality issues. He referred to thresholds of measurable affects from pollutants and air quality. Mayor Anderson closed the public comment hearing. Elr MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - MAY 29, 2001 DECLARATION OF FUTURE AGENDA ITEMS Councilmember Peters requested the consideration of a public orientation video on "How Your City Works" for broadcast on Channel 54. Councilmember Peirce requested reconsideration of the "no parking" designation along the south side of Quintana Road, and also discussion on the speed limit on Quintana. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF MAY 14, 2001; (ADMINISTRATION) RECODIMENDATION: Approve as submitted. ® A-2 CASH & INVESTMENT REPORT—APRIL 2001; (FINANCE) RECOMMENDATION: Receive for information. A-3 EXPENDITURE REPORT—APRIL 2001; (FINANCE) RECOMMENDATION: Approve as submitted. A-4 RESOLUTION NO: 32-01 APPROVING ASSIGNMENT OF LEASE AGREEMENT FOR LEASE SITE 90/90W — OTTER ROCK CAFE; (HARBOR) RECOMMENDATION: Adopt Resolution No. 32-01. A-5 APPROVAL OF CONTRACT WITH BOYLE ENGINEERING CORPORATION FOR PREPARATION OF A WATER MANAGEMENT PLAN UPDATE; (PUBLIC SERVICES) RECOMMENDATION: Approve the contract and authorize the City Manager to execute the documents on behalf of the community. A-6 APPROVAL OF MUTUAL AID AGREEMENT FOR TEMPORARY WATER SERVICE BETWEEN THE CITY AND THE CALIFORNIA MEN'S COLONY; (PUBLIC SERVICES) ® RECOMMENDATION: Approve the agreement and authorize the Mayor to execute the documents on behalf of the community. 2 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 29. 2001 A-7 RESOLUTION NO. 33-01 IN SUPPORT OF SENATE BILL 691 RELATING TO THE RECOVERY OF ATTORNEY'S FEES WHEN DEFENDING MOBILEHOME ORDINANCES; (CITY ATTORNEY) RECONENIENDATION: Adopt Resolution No. 33-01. A-8 RESOLUTION NO. 34-01 IN SUPPORT OF SENATE BILL 621 RELATING TO WATER TRANSFERS; (CITY ATTORNEY) RECONE IENDATION: Adopt Resolution No. 34-01. Councilmember Crotzer pulled Item A-2 from the Consent Calendar; Councilmember Peters pulled Item A-3, and Mayor Anderson pulled Items A-4, A-5, and A-6. MOTION: Councilmember Peirce moved the City Council approve the Items A-1, A-7 and A-8 of the Consent Calendar. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) ® A-2 CASH & INVESTMENT REPORT— APRIL 2001; (FINANCE) Councilmember Crotzer reviewed the City's total portfolio value for this month for public information. MOTION: Councilmember Crotzer moved the City Council approve Item A-2 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) A-3 EXPENDITURE REPORT — APRIL 2001; (FINANCE) Councilmember Peters reviewed specific line items for public information. (Councilmember Crotzer stepped out of the room prior to the vote.) MOTION: Councilmember Peters moved the City Council approve Item A-3 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried unanimously. (4-0) A-4 RESOLUTION NO. 32-01 APPROVING ASSIGNMENT OF LEASE AGREEMENT FOR LEASE SITE 90/90W — OTTER ROCK CAFE; (HARBOR) 0 Mayor Anderson stepped down due to a conflict of interest. 5 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - MAY 29, 2001 MOTION: Councilmember Elliott moved the City Council approve Item A-4 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried with Mayor Anderson abstaining. (4-0-1) A-5 APPROVAL OF CONTRACT WITH BOYLE ENGINEERING CORPORATION FOR PREPARATION OF A WATER MANAGEMENT PLAN UPDATE; (PUBLIC SERVICES) Mayor Anderson requested staff clarification on this item. Capital Projects Manager Bill Boucher responded the preparation of a Water Management Plan Update includes two critical components: 1) update of the community's existing Water Management Plan; and 2) preparation of an Urban Water Management Plan required by State law. He stated the Water Management Plan identifies and prioritizes water resources and tasks needed to provide adequate water supplies into the community. Mr. Boucher stated Boyle Engineering Corporation prepared the 1997 Water Master Plan and Analysis and Recommendation from which the Water Management Plan was derived, which places this firm in a unique position to prepare and complete the proposed update in a timely manner. ® Councilmember Peirce stated this contract should go out for bid. MOTION: Mayor Anderson moved the City Council approve Item A-5 of the Consent Calendar. The motion was seconded by Councilmember Elliott and carried with Councilmember Peirce voting no. (4-1) A-6 APPROVAL OF MUTUAL AID AGREEMENT FOR TEMPORARY WATER SERVICE BETWEEN THE CITY AND THE CALIFORNIA MEWS COLONY; (PUBLIC SERVICES) Mayor Anderson requested staff clarification on this item for public information. Capital Projects Manager Bill Boucher responded with the announcement that deliveries from the State Water Project are to be completely interrupted for maintenance purposes for the month of November 2001, and on -going community groundwater issues, the City Council endorsed a staff recommendation to investigate a number of options for replacement potable water including temporary delivery of water from the California Men's Colony water treatment plant. He said the intent of this agreement is to provide both agencies the ability to assist the other during times of need yet in the larger sense also opens a door of opportunity for broader regional cooperation into the future. ® MOTION: Mayor Anderson moved the City Council approve Item A-6 of the Consent Calendar. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) 6 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 29, 2001 Mayor Anderson called for a break at 7:20 p.m.; the meeting resumed at 7:30 p.m. B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-1 RESOLUTION NO. 30-01 DECLARING THE CITY'S INTENTION TO LEVY THE ANNUAL ASSESSMENT FOR THE MAINTENANCE OF THE CLOISTERS PARK AND OPEN SPACE, AND APPROVAL OF THE ENGINEERS REPORT; (RECREATION & PARKS) Recreation & Parks Director Andrea Lueker stated on April 9, 2001, the City Council adopted Resolution No. 30-01 which initiated the proceedings to levy the annual assessment for the maintenance of the Cloisters Park and Open Space, and direction to have an Engineers Report prepared detailing the estimated annual assessment for the parcel owners for fiscal year 2001/2002. She said based on the Engineers Report, the fiscal impact is estimated at S 148,944 for the maintenance of the Cloisters Park and Open Space, and stated these costs will be offset by the collection of an assessment for the same amount from the parcel owners in the Cloisters Subdivision. Ms. Lueker recommended the City Council ® adopt Resolution No. 30-01 declaring the intent to levy the annual assessment for the maintenance of the Cloisters Park and Open Space and approving the Engineers Report. Mayor Anderson opened the hearing for public comment; there were no comments, and Mayor Anderson closed the public comment hearing. Councilmember Elliott, expressed opposition to assessing fees to homeowners for a public park. MOTION: Councilmember Crotzer moved the City Council adopt Resolution No. 30-01 declaring the intent to levy the annual assessment for the maintenance of the Cloisters Park and Open Space and approving the Engineers Report. The motion was seconded by Councilmember Peters and carried with Councilmember Elliott voting no. (4-1) B-2 RESOLUTION NO. 31-01 DECLARING THE CITY'S INTENTION TO LEVY THE ANTINUAL ASSESSMENT FOR THE MAINTENANCE OF THE NORTH POINT NATURAL AREA, AND APPROVAL OF THE ENGINEERS REPORT; (RECREATION & PARKS) Recreation & Parks Director Andrea Lueker stated on April 9, 2001, the City Council adopted Resolution No. 3 1 -01 which initiated the proceedings to levy the annual assessment for the maintenance of the North Point Natural Area, and direction to have an Engineers isReport prepared detailing the estimated annual assessment for the parcel owners for fiscal year 2001/2002. She said based on the Engineers Report, the fiscal impact is estimated at S5,645 for the maintenance of the North Point Natural Area, and stated these costs will be 7 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - MAY 29, 2001 offset by the collection of an assessment for the same amount from the parcel owners in the North Point Subdivision. Ms. Lueker recommended the City Council adopt Resolution No. 31-01 declaring the intent to levy the annual assessment for the maintenance of the North Point Natural Area and approving the Engineers Report. Mayor Anderson opened the hearing for public comment; there were no comments, and Mayor Anderson closed the public comment hearing. Councilmember Elliott stated the homeowners in this subdivision entered into an agreement" with an outside agency to maintain the open space in this subdivision. He expressed opposition to assessing further fees on the homeowners. MOTION: Councilmember Peters moved the City Council adopt Resolution No. 3 1 -01 declaring the intent to levy the annual assessment for the maintenance of the North Point Natural Area and approving the Engineers Report. The motion was seconded by Mayor Anderson and carried with Councilmember Elliott voting no. (4-1) ® C. UNFINISHED BUSINESS C-1 REPORT ON SOLID WASTE RATE INCREASE DUE TO HIGHER RECYCLING COST; (ADMINISTRATION) City Manager Robert Hendrix stated the recently executed weekly recycling and weekly green waste agreement will become effective June 1, 2001, and the monthly cost will change from 57,024.50 to S 19,950. He said due to the S 12,925.50 per month increased cost to provide weekly recycling and weekly green waste collection services, an increase to the solid waste collection rates would be necessary in order to remain revenue neutral and not require general fund monies to fund the addition cost. Mr. Hendrix stated this report is for discussion only; however, this matter will be placed on the June 11, 2001 City Council agenda for consideration to approve a solid waste rate increase. Councilmember Crotzer stated the City's General Fund has benefited over the past months, and it would be appropriate not to impose an increase to the consumers, especially the minimal users. Councilmember Peters agreed with Councilmember Crotzer and stated appreciation should be given to the citizens for their efforts in conscientious waste disposal. Councilmember Elliott stated the solid waste collection rates should be equitable for all citizens. E MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - MAY 29, 2001 Councilmember Peirce stated the rate for disposing trash in an orange bag should be the same as one can. He noted the importance of education in recycling that would assist in the recycling percentages to go up which would be a benefit to the City. Mayor Anderson stated the changes that have occurred throughout the County regarding waste disposal has been irrefutable evidence in the huge increase in the recycling business. C-2 STATUS REPORT ON THE DUKE ENERGY POWER PLANT MODERNIZATION PROJECT; (PUBLIC SERVICES) Public Services Director Greg Fuz reported on the status of the Duke Energy Power Plant Modernization Project, and upcoming meetings related to the project. MOTION: Councilmember Peirce moved the City Council approve the live taping of the upcoming California Energy Commission meetings, and tape delay Commission and Advisory Board meetings. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) ® Presentations were made by representatives of the Air Pollution Control District and SAIC, Inc. on air quality issues related to the Duke Energy Power Plant Project. No further action was taken on this item. D. NEW BUSINESS — None. F. ADJOURNMENT The meeting adjourned at 10:17 p.m. Recorded by: Bridgett Bauer City Clerk 11 C • City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public REGULAR MEETING — MAY 14, 2001 CLOSED SESSION —'MAY 14, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54957.6: CONFERENCE WITH LABOR NEGOTIATOR. Conference with the City Manager, the City's ® Designated Representative, for the purpose of reviewing the City's position regarding salaries, salary schedules, or compensation paid in the form of fringe benefits, and giving instruction to the Designated Representative. CS-2 GOVERNMENT CODE SECTION 54957; PERSONNEL ISSUES. Discussions regarding Personnel Issues including one (1) public employee regarding discipline/release/evaluation, specifically the City Attorney. CS-3 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. • Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. ® PUBLIC SESSION —MAY 14, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three ® minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF APRIL 23, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 RESOLUTION NO. 27-01 APPROVING ASSIGNMENT OF LEASE AGREEMENT FOR LEASE SITE 86/86W; (HARBOR) ® RECOMMENDATION: Adopt Resolution No. 27-01. PA ® A-3 RESOLUTION 25-01 AUTHORIZING A "NO PARKING ZONE" ALONG QUINTANA ROAD AND MAIN STREET; (PUBLIC SERVICES) RECONLMENDATION: Adopt Resolution No. 25-01. A-4 RESOLUTION 26-01 PROVIDING THE DIRECTOR OF PUBLIC SERVICES THE BLANKET AUTHORITY TO EXECUTE RIGHT-OF-WAY CERTIFICATIONS; (PUBLIC SERVICES) RECONENIENDATION: Adopt Resolution No. 26-01. A-5 RESOLUTION NO. 28-01 ACCEPTING THE COASTAL COMMISSION'S MINOR AMENDMENTS TO THE LOCAL COASTAL PLAN AMENDMENT TO CHANGE ZONING FROM VISITOR -SERVING AND MIXED -USE VISITOR-SERVING/RESIDENTIAL TO ONLY RESIDENTIAL FOR THE COLMER PROJECT AT OLIVE/SOUTH/MORRO/MAIN STREETS; (PUBLIC SERVICES) RECOMNIENDATION: Adopt Resolution No. 28-01. A-6 RESOLUTION NO. 24-01 APPROVING MEMORANDUM OF AGREEMENT BETWEEN THE MEMBER JURISDICTIONS OF THE SAN LUIS OBISPO COUNTY INTEGRATED WASTE MANAGEMENT AUTHORITY AND THE ® COMMUNITY SERVICE DISTRICTS IN SAN LUIS OBISPO COUNTY; (ADMINISTRATION) RECOi\IDIENDATION: Adopt Resolution No. 24-01. A-7 PROCLAMATION DECLARING MAY 13-19, 2001 AS "POLICE OFFICER MEMORIAL WEEK" AND WEDNESDAY, MAY 16, 2001 AS "POLICE OFFICER MEMORIAL DAY"; (POLICE) RECOMMENDATION: Adopt Proclamation. A-8 PROCLAMATION DECLARING MAY 20-26, 2001 AS "NATIONAL PUBLIC WORKS WEEK'; (PUBLIC SERVICES) RECONIiMENDATION: Adopt Proclamation. A-9 RESOLUTION NO. 29-01 GRANTING A CONDITIONAL EXCEPTION TO QUALIFIED RESERVE FIREFIGHTERS OF THE PARAMEDIC HIRING REQUIREMENT FOR FULL-TIME FIREFIGHTER; (FIRE) RECOMMENDATION: Adopt Resolution No. 29-01. 2 3 B. PUBLIC HEARINGS, REPORTS & APPEARANCES —NONE. C. UNFINISHED BUSINESS C-1 UPDATE ON TRANSIT CONTRACTOR TRANSITION FROM LAIDLAW TO MV TRANSPORTATION; (PUBLIC SERVICES) RECOINIMENDATION: Receive report for information. C-2 AUTHORIZATION TO CONTINUE WITH THE CIVIC CENTER PROJECT THROUGH A SPACE NEEDS ASSESSMENT AND MASTER PLAN FOR POLICE, FIRE AND CITY HALL BUILDINGS; (RECREATION & PARKS) RECOMMENDATION: Discuss and direct staff accordingly. C-3 DISCUSSION ON APPOINTMENT TO THE SAN LUIS OBISPO COUNTY CONSORTIUM ON LOW-INCOME HOUSING NEEDS; (ADMINISTRATION) RECOMMENDATION: Discuss and direct staff accordingly. D. NEW BUSINESS ® D-I CONSIDERATION OF A CITY -SPONSORED RECOGNITION DINNER FOR COMMISSION AND ADVISORY BOARD MEMBERS, AND PREPARATION OF HANDBOOK FOR COMMISSION AND BOARD MEMBERS; (ADMINISTRATION) RECOMMENDATION: Discuss and direct staff accordingly. E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. a] MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION —MAY 14, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. ® Vice -Mayor Peters called the meeting to order at 5:00 p.m. PRESENT: Janice Peters Vice -Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember ABSENT: STAFF: CLOSED SESSION Rodger Anderson Robert Hendrix Robert Schultz Ardith Davis Mayor City Manager City Attorney Personnel Officer MOTION: . Councilmember Peirce moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Crotzer and unanimously carried. (4-0) Vice -Mayor Peters read the Closed Session statement. ® CS-1 GOVERNMENT CODE SECTION 54957.6; CONFERENCE WITH LABOR NEGOTIATOR. Conference with the City Manager, the City's Designated Representative, for the purpose of reviewing the City's position regarding salaries, salary schedules, or compensation paid in the form of fringe benefits, and giving instruction to the Designated Representative. CS-2 GOVERNMENT CODE SECTION 54957; PERSONNEL ISSUES. Discussions regarding Personnel Issues including one (1) public employee regarding discipline/release/evaluation, specifically the City Attorney. CS-3 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:50 p.m. ® MOTION: Councilmember Elliott moved the meeting be adjourned. The motion was seconded by Vice -Mayor Peters and unanimously carried. (4-0) The meeting adjourned at 5:50 p.m. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MAY 14, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. ® Vice -Mayor Peters called the meeting to order at 6:00 p.m. PRESENT: Janice Peters Vice -Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember ABSENT: Rodger Anderson Mayor STAFF: Robert Hendrix City Manager Robert Schultz City Attorney Bridgett Bauer . City Clerk Rick Algert Harbor Director Bill Boucher Capital Projects Manager Janeen Burlingame Management Analyst Matt Everling Planning Associate Greg Fuz Public Services Director Jeff Jones Fire Chief Andrea Lueker Recreation & Parks Director ® ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — City Attorney Robert Schultz reported the City Council met in Closed Session, and no reportable action was taken. 2 LIC COMMENT David Nelson referred to an article in the San Diego Tribune that refers to a natural-gas powered electric plant proposed for Otay Mesa by PG&E Generating Company. He noted a new catalytic technology called "Sconox," the plant would put out only a fraction of the smog -causing pollutant nitrous oxide that is released by plants in the South Bay and Carlsbad. Gary Ream, President of the Historical Society, gave an overview of the Historical Society and their meetings. He welcomed those who may be interested in participating in the history of Morro Bay to their meetings. Jack Smith announced the skateboarding competition that will be held in Morro Bay on Sunday, May 20'h. PA �J MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MAY 14, 2001 Bonita Chumey and Pam Soderback addressed air quality issues related to the Duke Energy Power Plant. Ms. Chumey noted she spoke with Gary Wiley of the Air Pollution Control District who confirmed that local concentrations of pollutants could increase while some emission reductions are occurring at the same time. She stated health concerns should not be compromised by the aesthetic purpose of the proposed lowered stacks. Ms. Soderback stated the American Lung Association has described PM-10 as the most serious threat to our lungs. She described the various illnesses and threats to infants and children by this pollutant. Kim Kimball, Executive Director of Chamber of Commerce, encouraged Council's support to extend the trolley hours on the 4`' of July. Jack McCurdy addressed a letter sent by Duke Energy to Governor Davis asking to help modify existing governmental constraints on its plants, and to allow Morro Bay's power plant to produce more pollution with more relaxed controls. He noted this letter also requested the Governor's assistance in getting rid of the lawsuits, investigations and regulatory complaints against Duke by the State Attorney General. Ken Vesterfelt thanked the community for making the Cmisin' Morro Bay Car Show a successful event. ® Wilma Geiger and Brent Johns, tenants of Silver City Mobilehome Park, expressed concern regarding the proposed utility billing subject to the tenants by the park owner. They requested the City's assistance stating this is an increase that is unaffordable to most tenants. Meredith Bates referred to the increase in energy rates, and requested the proposed civic center include plans for energy efficiency. She expressed support for Item D-I (Consideration of a City -Sponsored Recognition Dinner for Commissioners and Advisory Board Members, and Preparation of a Handbook for Commissioners and Board Members), and said this is a great opportunity to thank the commissioners and board members for their time in service to the City; and, also an opportunity to create a handbook that can be user-friendly to the commissioners and board members. Vice -Mayor Peters closed the public comment hearing. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Elliott requested discussion to send a letter to Governor Davis stating Council is not in support of an agency sending a letter requesting relaxation of regulations that would affect the citizens of Morro Bay. 3 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MAY 14, 2001 Councilmember Crotzer requested discussion regarding contingency funds for special projects (discussed by Public Works Advisory Board). Discussion will take place during budget workshops. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF APRIL 23, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 RESOLUTION NO. 27-01 APPROVING ASSIGNMENT OF LEASE AGREEMENT FOR LEASE SITE 86/86W; (HARBOR) RECOMMENDATION: Adopt Resolution No. 27-01. ® A-3 RESOLUTION 25-01 AUTHORIZING A "NO PARKING ZONE" ALONG QUINTANA ROAD AND MAIN STREET; (PUBLIC SERVICES) RECONINIENDATION: Adopt Resolution No. 25-01. A-4 RESOLUTION 26-01 PROVIDING THE DIRECTOR OF PUBLIC SERVICES THE BLANKET AUTHORITY TO EXECUTE RIGHT-OF-WAY CERTIFICATIONS; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 26-01. A-5 RESOLUTION NO. 28-01 ACCEPTING THE COASTAL COMMISSION'S MINOR AMENDMENTS TO THE LOCAL COASTAL PLAN AMENDMENT TO CHANGE ZONING FROM VISITOR-SERVfNG AND MIXED -USE VISITOR-SERVING/RESIDENTIAL TO ONLY RESIDENTIAL FOR THE COLMER PROJECT AT OLIVE/SOUTH/MORRO/MAIN STREETS; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 28-01. E 4 C:c MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MAY 14, 2001 A-6 RESOLUTION NO. 24-01 APPROVING MEMORANDUM OF AGREEMENT BETWEEN THE MEMBER JURISDICTIONS OF THE SAN LUIS OBISPO COUNTY INTEGRATED WASTE MANAGEMENT AUTHORITY AND THE COMMUNITY SERVICE DISTRICTS IN SAN LUIS OBISPO COUNTY; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 24-01. A-7 PROCLAMATION DECLARING MAY 13-19, 2001 AS "POLICE OFFICER MEMORIAL WEEK" AND WEDNESDAY, MAY 16, 2001 AS "POLICE OFFICER MEMORIAL DAY"; (POLICE) RECOMMENDATION: Adopt Proclamation. A-8 PROCLAMATION DECLARING MAY 20-26, 2001 AS "NATIONAL PUBLIC WORKS WEEK'; (PUBLIC SERVICES) RECONEMENDATION: Adopt Proclamation. A-9 RESOLUTION NO. 29-01 GRANTING A CONDITIONAL EXCEPTION TO ® QUALIFIED RESERVE FIREFIGHTERS OF THE PARAMEDIC HIRING REQUIREMENT FOR FULL-TIME FIREFIGHTER; (FIRE) RECONIMENDATION: Adopt Resolution No. 29-01. Councilmember Peirce pulled Item A-3 of the Consent Calendar; Councilmember Crotzer pulled Item A-5; and Councilmember Peters pulled Items A-7 and A-8. MOTION: Councilmember Elliott moved the City Council approve the Consent Calendar with the exception of Items A-3, A-5, A-7 and A-8. The motion was seconded by Councilmember Peirce and carved unanimously. (4-0) A-3 RESOLUTION 25-01 AUTHORIZING A "NO PARKING ZONE" ALONG QUINTANA ROAD AND MAIN STREET; (PUBLIC SERVICES) Councilmember Peirce requested staff clarification on the proposed "No Parking Zone" on Quintana Road. Capital Projects Manager Bill Boucher clarified the proposed no parking zone is to assist delivery vehicles and site distance coming out of business driveways, and also benefits the bike lane and rehabilitation project. MOTION: Councilmember Peirce moved the City Council approve Item A-3 of the Consent Calendar. The motion was seconded by Councilmember Elliott is and carried unanimously. (4-0) 5 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MAY 14, 2001 A-5 RESOLUTION NO. 28-01 ACCEPTING THE COASTAL COMMISSION'S MINOR AMENDMENTS TO THE LOCAL COASTAL PLAN AMENDMENT TO CHANGE ZONING FROM VISITOR -SERVING AND MIXED -USE VISITOR-SERVING/RESIDENTIAL TO ONLY RESIDENTIAL FOR THE COLMER PROJECT AT OLIVE/SOUTH/MORRO/MAIN STREETS; (PUBLIC SERVICES) Councilmember Crotzer stated this change in zoning is a benefit to the City. MOTION: Councilmember Crotzer moved the City Council approve Item A-5 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried unanimously. (4-0) A-7 PROCLAMATION DECLARING MAY 13-19, 2001 AS "POLICE OFFICER MEMORIAL WEEK" AND WEDNESDAY, MAY 16, 2001 AS "POLICE OFFICER MEMORIAL DAY"; (POLICE) Vice -Mayor Peters announced for public information. MOTION: Vice -Mayor Peters moved the City Council approve Item A-7 of the ® Consent Calendar. The motion was seconded by Councilmember Elliott and carried unanimously. (4-0) A-8 PROCLAMATION DECLARING MAY 20-26, 2001 AS "NATIONAL PUBLIC WORKS WEEK"; (PUBLIC SERVICES) Vice -Mayor Peters announced for public information. The Public Services Director also announced the new hours of the Public Services Department that will better serve the public. MOTION: Vice -Mayor Peters moved the City Council approve Item A-8 of the Consent Calendar. The motion was seconded by Councilmember Elliott and carried unanimously. (4-0) Vice -Mayor Peters called for a break at 7:15 p.m.; the meeting resumed at 7:27 p.m. B. PUBLIC HEARINGS, REPORTS & APPEARANCES — None. 11 t, u MMTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MAY 14, 2001 C. UNFINISHED BUSINESS C-1 UPDATE ON TRANSIT CONTRACTOR TRANSITION FROM LAIDLAW TO MV TRANSPORTATION; (PUBLIC SERVICES) Management Analyst Janeen Burlingame reviewed the update on the transit contractor transition from Laidlaw to MV Transportation (MV). She noted after the contract award on March 12, 2001, MV submitted the required performance bond and insurance certification within the ted-day period pursuant to the Morro Bay Dial -A -Ride and Trolley Management and Operations Agreement. Ms. Burlingame stated MV and the City are working on office space to carry out the transition activities, as the current Dial - A -Ride office is too small to accommodate more than two or three people. She said MV has made efforts to retain current drivers and the current project manager. Ms. Burlingame stated the driver trainer has been hired and is ready to start training as soon as possible. She noted on April 23 a a classified ad appeared in the paper for drivers, and there have been more than a dozen interested applicants, many already from the transit industry. Council received this item for information; no action was taken. ® C-2 AUTHORIZATION TO CONTINUE WITH THE CIVIC CENTER PROJECT THROUGH A SPACE NEEDS ASSESSMENT AND MASTER PLAIN FOR POLICE, FIRE AND CITY HALL BUILDINGS; (RECREATION & PARKS) Recreation & Parks Director Andrea Lueker stated the City Council at its February 26, 2001 meeting, authorized staff to move forward in the development of a comprehensive City Facilities Master Plan. She said RRM Design Group has provided a proposal to the City that encompasses a space needs assessment for both the Police and Fire Departments. Ms. Lueker stated following the space needs assessments, RRM will provide a Master Plan that will also include information gathered through the "Green Building Grant" process that was completed several months ago. She noted approximately S60,000 has been addressed in the fiscal year 2001/2002 budget for this project. Ms. Locker recommended the City Council authorize entering into an agreement with RRM Design Group to continue work on the Civic Center Project. Councilmember Crotzer stated he does not support a civic center without first receiving the community's support. He suggested exhibiting a model of the proposed green building for public review. Councilmember Peirce stated City staff productivity would most likely increase with a new building with room to expand. ® Councilmember Elliott asked what is the make-up of the.Green Building Council? 7 E MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 14, 2001 Councilmember Peters stated with the consolidation of departments into one building will provide the City with property to sell. She agreed that staff productivity would most likely increase with a new building. MOTION: Councilmember Elliott moved the City Council authorize entering into an agreement with RRM Design Group to continue work on the Civic Center Project. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer voting no. (3-1) C-3 DISCUSSION ON APPOINTMENT TO THE SAN LUIS OBISPO COUNTY CONSORTIUM ON LOW-INCOME HOUSING NEEDS; (ADMINISTRATION) City Manager Robert Hendrix introduced the appointment to the San Luis Obispo County Consortium on Low -Income Housing needs for Council review. MOTION: Councilmember Elliott moved the City Council direct staff to poll the Planning Commission for representation on the San Luis Obispo County Consortium on Low -Income Housing Needs. The motion was seconded by Councilmember Peters and carried unanimously. (4-0) ® D. NEW BUSINESS D-1 CONSIDERATION OF A CITY -SPONSORED RECOGNITION DINNER FOR COMMISSION AND ADVISORY BOARD MEMBERS, AND PREPARATION OF HANDBOOK FOR COMMISSION AND BOARD MEMBERS; (ADMINISTRATION) MOTION: Councilmember Elliott moved the City Council approve the funding of a recognition dinner for Commissioners and Advisory Board Members, and seek funding in the upcoming budget to fund as an on -going event. The motion was seconded by Councilmember Peirce and carried unanimously. (4-0) MOTION: Vice -Mayor Peters moved the City Council direct all Commissions and Advisory Boards to decide what they would like placed in the handbook; seek volunteers interested in serving on a sub -committee; and obtain funding in the upcoming budget. The motion was seconded by Councilmember Crotzer and carried unanimously. (4-0) F. ADJOURNMENT - The meeting adjourned at 8:07 p.m. Recorded by: Z Bn, .. , , / r City Clerk ® NOTICE OF SPECIAL CLOSED SESSION MEETING 11 ®-� NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Closed Session Meeting on Monday, May 7, 2001 at 5:00 p.m. to be held in the City Hall Conference Room, 595 Harbor Street, Morro Bay, California. The City Council will be considering the following issue: GOVERNMENT CODE SECTION 54956.8: REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for a lease and/or easement agreement. • Property: water outfall line Negotiating Parties: Duke Energy and City of Morro Bay Negotiations: Renegotiation and/or extension of terms and conditions of agreement. DATED: May 4, 2001 Bridgett BAuer, City Clerk NOTICE OF SPECIAL CLOSED SESSION MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding Closed Session at a Special Meeting on Wednesday April 25 2001 at 5.30 p.m. to be held at the Morro Bay City Hall Conference Room, 595 Harbor Street, Morro Bay, California in order to review the following closed session items: CS-1. Government Code Section 54956:8; Real Property Transactions Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property of one (1) parcel. • Property: Water Outfall Line Easement. Negotiating Parties: Duke Energy and the City of Morro Bay. Negotiations: Renegotiation and extension of terms and conditions of lease agreement. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. DATED: April 24, 2001 1 J ie Boucher, Deputy City Clerk ® NOTICE OF SPECIAL PUBLIC STUDY SESSION NOTICE IS HEREBY GIVEN.that the Morro Bay City Council will be holding a Special Public Study Session on Wednesday, April 25, 2001 at 6:00 p.mto be held in the Community Center Multi Purpose Room, 1001Kennedy Way, Morro Bay, California. The City Council will receive a presentation from legal counsel concerning proposed agreements to implement the Memorandum of Understanding between the City of Morro Bay and Duke Energy. ® DATED: April 10, 2001 W�.fJt/ Bridgett B er, City Clerk Ll ® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — APRIL 23, 2001 CLOSED SESSION — APRIL 23, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA ® CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Mono Bay Negotiations: Voluntary Purchase and Sale. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. :11 ® PUBLIC SESSION — APRIL 23, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ® • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINTUES FOR THE REGULAR MEETING OF APRIL 9, 2001; (ADMINISTRATION) RECODLLNIENDATION:. Approve minutes as submitted. 2 ® A-2 CASH & INVESTMENTS REPORT —MARCH 2O01; (FINANCE) RECOMMENDATION: Receive report for information. A-3 EXPENDITURE REPORTS — JANUARY & MARCH 2O01; (FINANCE) RECOMMENDATION: Approve reports as submitted. A-4 APPROVAL OF WEEKLY CURBSIDE RECYCLING AND GREEN WASTE FRANCHISE AGREEMENT WITH RALCCO RECYCLING; (ADMINISTRATION) RECOMMENDATION: Accept RALCCO's proposed performance bond of $40,000 cash, and authorize the Mayor to execute the weekly Curbside Recycling and Green Waste Franchise Agreement with RALCCO Recycling after compliance with insurance requirements has occurred. A-5 RESOLUTION NO. 23-01 APPROVING SUBLEASE AGREEMENT FOR SOUTHERN PORT TRADERS AT 801 EMBARCADERO — LEASE SITE 86/86W; (HARBOR) RECOMMENDATION: Adopt Resolution No. 23-01. ® A-6 PROCLAMATION DECLARING MAY AS "MORRO BAY VOLUNTEER MONTH'; (RECREATION & PARKS) RECOMMENDATION: Adopt Proclamation. B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-I REVIEW OF ADVISORY COMMITTEE COMPOSITION AND VARIOUS PROCEDURES PERTAINING TO THE CITY COUNCIL; (ADMINISTRATION) RECOMMENDATION: Review procedures and direct staff accordingly. C. - UNFINISHED BUSINESS — NONE. D. NEW BUSINESS D-1 CONSIDERATION TO AGENDIZE DISCUSSION ON APPOINTMENT TO THE SAN LUIS OBISPO COUNTY CONSORTIUM ON LOW-INCOME HOUSING NEEDS; (CITY COUNCIL) ® RECOMMENDATION: Review and direct staff accordingly. M ® E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONTERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. I] ® MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION —APRIL 23, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney CLOSED SESSION MOTION: Councilmember Peirce moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Elliott and unanimously carried. (5-0) ® Mayor Anderson read the Closed Session statement. CS -I GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one (1) parcel. • Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. The meeting adjourned to Closed Session at 5:00 p.m: and returned to regular session at 5:40 p.m. MOTION: Councilmember Elliott moved the Closed Session meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried.(5-0) The meeting adjourned at 5:40 p.m. 11 El MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 23, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Robert Schultz Jamie Boucher Rick Algert Janeen Burlingame Greg Fuz Jeff Jones Jim Koser Joe Loven Andrea Lueker ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS City Manager City Attorney Deputy City Clerk Harbor Director Management Analyst Public Services Director Fire Chief Finance Director Police Chief Recreation & Parks Director CLOSED SESSION REPORT - City Attorney Robert Schultz stated the City Council met in Closed Session, and no reportable action was taken. PUBLIC COMMENT Ken Vesterfelt announced the Crusin' Morro Bay Car Show will be held on the weekend of May 4`h-6 h. He said organizers are looking for $25 donations in order to help offset the cost of trophies. Mr. Vesterfelt stated he would like to ensure that a picnic for City Employees is held, and he has arranged for the Knights of Columbus of St. Timothy's Catholic Church to barbecue and the Ladies Alter Society to serve. 2 ® MINUTES - MORRO BAY CITY COUNCIL -REGULAR MEETING — APRIL 23, 2001 Joe Carter and Morgan Windbeil, 8 s grade students at Los Osos Middle School and members of the Estero Bay Youth Bay Coalition, spoke about the 40 Developmental Assets. They stated the Estero Bay Youth Coalition meetings are held on the first Thursday of every month at 6:00 p.m. at the Morro Bay Community Center and invited anyone to attend. Also, the First Annual Celebration of Youth will be held at Morro Bay City Park on Saturday, April 28`" from 1:30-5:00 p.m., and everyone is invited to attend. Melody DeMerritt announced if citizens are interested in volunteering to water City trees, they should contact Roger Pelletier at the Public Services Department. She also thanked Barry Ross of Morro Bay Furniture for his donation of 100 gallons of water each month. Ms. DeMerritt stated she is teaching an analytical writing class at Cal Poly, and her students are researching the realignment of Morro Bay State Park Road. She said students might be contacting City employees to research the pros and cons regarding this concept. Sue Bigley publicly thanked the Police Department, especially Police Chief Joe Leven and Sgt. Norm Smyth for their calming support while the Police Department located her ® 11 year -old grandson who was lost. Bill Woodson expressed frustration that it took so much time and money to get the handrail project underway. He suggested the City set up a contingency fund for projects not considered during the fiscal year budget process. Lynda Merrill reported on her observations of the usage of the BMX track. She stated 'van loads" of families and kids are enjoying the use of the track. Ms. Merrill thanked Andrea Lueker and the Recreation & Parks staff for keeping up these programs as well as keeping the parks in such marvelous condition. David Nelson expressed concern with the passage of an emergency resolution relating to a legislative bill in support of placing a modernized power plant in Morro Bay. He stated promises made by Council are being broken, that the people's wishes are not being considered, and that this new plant will not be cleaner, quieter or smaller. Meredith Bates stated she attended the "Blessing of the Morro Bay Fishing Fleet" over the weekend, and thought this event was wonderful and would like it to be continued. Jonni Biaggini, Executive Director of the San Luis Obispo County Visitors and Conference Bureau, announced they have completed their Brand Campaign to promote tourism in this County. She presented a poster to the City commemorating `Ni ational ® Tourism Week" which takes place from May 6s — 12`s, and -requested the poster be displayed in order to advertise the "Essence of San Luis Obispo County". 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 23, 2001 Peter Wagner stated the City, in their negotiations with Duke Energy, should "drive a harder bargain" by obtaining a better deal while also improving the benefits to the City. He said Duke Energy has misrepresented themselves and their only interest is in making money. Jack McCurdy stated Duke Energy has spent an inordinate amount of money in advertising and political and local group contributions in an effort to polish their image, which influenced voters and led to the passage of Measure P. John Barta announced the State Health Authority will be holding a meeting on Tuesday, April 24s from 1-4 p.m. at the San Luis Obispo Veteran's Hall to discuss health insurance issues. Mr. Barta also stated as editor of The Morro Bay Crossroad, this publication received no money from Duke Energy. Betty Winholtz addressed the lack of affordable housing in Morro Bay, noting that she is currently aware of three homes that used to rent for approximately S800/month and as tenants vacated, the rent went up to S 1200/month. ® DECLARATION OF FUTURE AGENDA ITEMS Councilmember Peters requested the following items be agendized for Council consideration: 1) matter of City preparation of handbook for Commission and Board members; and 2) matter of City sponsoring a recognition dinner for Commission and Board members. Councilmember Peirce requested to agendize for Council consideration a status report on the transition from Laidlaw to MV Transportation. Councilmember Crotzer requested to agendize for Council consideration a status report on water pressure within the City limits. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINTUES FOR THE REGULAR MEETING OF APRIL 9, 2001; (ADMINISTRATION) ® RECOMMENDATION: Approve minutes as submitted. 4 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 23, 2001 A-2 CASH & INVESTMENTS REPORT —MARCH 2O01; (FINANCE) RECOMMENDATION: Receive report for information. A-3 EXPENDITURE REPORTS — JANUARY & MARCH 2O01; (FINANCE) RECOMMENDATION: Approve reports as submitted. A-4 APPROVAL OF WEEKLY CURBSIDE RECYCLING AND GREEN WASTE FRANCHISE AGREEMENT WITH RALCCO RECYCLING; (ADMINISTRATION) RECOMMENDATION: Accept RALCCO's proposed performance bond of $40,000 cash, and authorize the Mayor to execute the weekly Curbside Recycling and Green Waste Franchise Agreement with RALCCO Recycling after compliance with insurance requirements has occurred. ® A-5 RESOLUTION NO. 23-01 APPROVING SUBLEASE AGREEMENT FOR SOUTHERN PORT TRADERS AT 801 EMBARCADERO — LEASE SITE 86/86W; (HARBOR) E RECOMMENDATION: Adopt Resolution No. 23-01. A-6 PROCLAMATION DECLARING MAY AS "MORRO BAY VOLUNTEER MONTH'; (RECREATION & PARKS) RECOMMENDATION: Adopt Proclamation. Councilmember Peters pulled Items A-3 and A-5 from the Consent Calendar; and staff pulled Item A-4. MOTION: Councilmember Peters moved the City Council approve the Consent Calendar with the exception of Items A-3, A-4 and A-5. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) 5 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 23, 2001 A-3 EXPENDITURE REPORTS — JANrUARY & MARCH 2O01; (FINANCE) Councilmember Peters requested staff clarification on specific entry items in the January and March 2001 Expenditure Reports. Finance Director Jim Koser reviewed each specific item. MOTION: Councilmember Peters moved the City Council approve Item A-3 of the Consent Calendar. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) A-4 APPROVAL OF WEEKLY CURBSIDE RECYCLING AND GREEN WASTE FRANCHISE AGREEMENT WITH RALCCO RECYCLING; (ADMINISTRATION) Subsequent to the release of the staff report on this item, City Manager Robert Hendrix spoke with Greg Shipley of RALCCO Recycling. Mr. Shipley said that RALCCO is unable to come up with the required S40,000 performance bond as required by the revised contract, and requested the performance bond be waived and the contract ® executed. Mr. Hendrix stated staff recommends Council not enter into the contract without a performance bond. Mr. Shipley, in response to a question by Mr. Hendrix, said he would be more than willing to exchange the S40,000 performance bond for a security interest in the vehicles he was about to purchase. 1 MOTION: Councilmember Peters moved the City Council meeting go beyond_ 11:00 p.m. in order to complete the agenda. The motion was seconded by Mayor Anderson and carried unanimously. (5-0) MOTION: Councilmember Elliott moved the City Council retain the $40,000 bond requirement as a condition of the contract. The motion was seconded by Mayor Anderson and failed with Councilmembers Crotzer, Peirce and Peters voting no. (2-3) MOTION: Councilmember Crotzer moved the City Council arrange to accept title for rolling stock in lieu of the S40,000 cash bond, and begin to execute the contract for the balance of the contract period. The motion was seconded by Councilmember Peters and carried with Mayor Anderson and Councilmember Elliott voting no. (3-2) on ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 23, 2001 A-5 RESOLUTION NO. 23-01 APPROVING SUBLEASE AGREEMENT FOR SOUTHERN PORT TRADERS AT 801 EMBARCADERO — LEASE SITE 86/86W; (HARBOR) Mayor Anderson stepped down from discussion on this item due to a potential conflict of interest. MOTION: Councilmember Peters moved the City Council approve Item A-5 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried unanimously. (4-0-1) B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-I REVIEW OF ADVISORY COMMITTEE COMPOSITION AND VARIOUS PROCEDURES PERTAINING TO THE CITY COUNCIL; (ADMINISTRATION) ® City Manager Robert Hendrix reviewed requested information relating to the increase of membership as well as the selection process of the Recreation & Parks Commission and Community Promotions Committee. In addition, by-laws were provided for the Public Works Advisory Board and the Harbor Advisory Board in hopes that decisions could be reached with those boards as well. Mayor Anderson opened the hearing for public comment. Ed Biaginni, Chairman of the Community Promotions Committee, requested Council reconsider their last action and place the membership of the Community Promotions Committee back to seven members as well as reinstate the board requirements for membership. Dawn Williams, who serves on the San Luis Obispo County Commission on the Status of Women, spoke regarding the lack of female representation on the five City advisory boards. She recommended the Council do the following: 1) adopt a diversity resolution expanding all boards and commissions to seven members; 2) establish a Morro Bay commission on the status of women; and 3) seek out and maintain gender balance. Bonita Chumey, member of the Recreation & Parks Commission, stated the Commission unanimously supports maintaining the Recreation & Parks Commission at seven members based on the following reasons: 1) ongoing commitment to diversity of membership; 2) the current work load distribution within the Commission; 3) ability to ® retain the wide variety of viewpoints; and, 4) ability to serve the City Council and the community better with a broader based board. d ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 23, 2001 Betty Winholtz took a survey of incorporated cities in the County of San Luis Obispo as to the board types and their membership composition. All cities had Recreation & Parks Commissions as well as Planning Commissions. Of special note, she stated that half of the cities had seven members on their Planning Commissions, which she believes promotes diversity. Barbara Jo Osborne stated she feels the City should allow citizens to apply anytime of the year for participation in boards or commissions and that those applications should remain on file for at least two years. She also advocated the City advertise in the NEW TIMES as that is the only paper she reads. Ms. Osborne stated she feels that all boards or commissions should have a minimum of seven members and should potentially even have a member from Morro Bay High School on each board. Diane Davies brought forth an expansion of Betty Winholtz's list to include the following counties: 1) Monterey County has three comparable cities - two cities have seven - member planning commissions, and one has a five -member planning commission; 2) Kern County has three comparable cities - two cities have five -member planning ® commissions, and one has a seven -member planning commission. Ms. Davies stated she feels that a seven -member board would allow for greater diversity. Jim Woods stated he applied to serve on the Harbor Advisory Board three times before being appointed. He stressed that citizens should apply and if they aren't appointed, stay involved and apply again. Mr. Woods said he doesn't believe that this City is been exclusionary. Ken Vesterfelt stated he feels it is important to keep the public informed and educated, and noted Channel 54 goes a long way to ensuring this. Meredith Bates, member of the Community Promotions Committee, agrees with Ed Biaginni that the Community Promotions Committee needs to return to seven members. She said seven members are necessary so that tasks can be completed in a more timely fashion. In addition, she feels that the at -large -positions are important so that a resident (non -business sector) can remain on the Committee. Ms. Bates speaking as a private citizen, said she feels the City needs to find a way to increase applications. She suggested the Council consider holding an appreciation/recognition dinner for board and commission members. Ms. Bates also suggested a handbook be prepared for applicants with information including the board's by-laws and standards of behavior. Pam Soderback agrees that all boards and commissions should have seven members, which should result in more diversity. She also feels the boards should have less of a ® professional membership and more of a lay membership. K; ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 23, 2001 John Barta stated he feels that a five -member Planning Commission is sufficient. He said with seven members, meetings would go even longer than they do now, and it would be more difficult to make good decisions. Mr. Barta stated over the last three cycles of appointments, there have been nine women and thirty men who interviewed; of those nine women, six were appointed, and of the thirty men, sixteen were appointed. He said it is not an issue that women aren't being appointed but that women aren't applying. Melody DeMerritt stated numbers can say anything we want them to. She said the City should look at the most recent trend of board appointments, and not the past. Kathleen Boyd stated that board membership should be based on obtaining a diversity of ideas and approaches. Donna Lawrence stated she agrees that all board and commissions should increase their membership to seven members. She said the resolution submitted by Pam Soderback at the March 26a' Council meeting should be accepted and implemented in its entirety. ® Patty Dutton stated diversity can make a commission or board and community stronger. She suggested the following outreach ideas that she would be willing to help implement: 1) help non-english speaking people fill out applications; 2) post all openings in more wide spread locations; 3) produce a pamphlet discussing the board and commission members' responsibilities; and 4) form a committee made up of youth to look at youth issues. u Mayor Anderson closed the public comment hearing. Mayor Anderson recommended Council review each issue individually. Issue C - is a recommended change to Section 6.5 and 6.6 of the adopted Policies & Procedures. City Manager stated the selection procedures are found in the Policy and Procedures of the City Council. These changes are necessary in order to more accurately reflect the desires of the Council. The changes have been a practice but were not reflected in the Policies & Procedures. MOTION: ' Councilmember Crotzer moved the City Council revise the language of Section 6.5 and 6.6 of the adopted Council Policies and Procedures. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) 4 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 23, 2001 El Issue D - is a recommended change to Section 1.3.7 of the adopted Policies and Procedures. There were several references to speaker slips in the adopted Policies and Procedures and this would eliminate those multiple references. It would also change the responsibility of allowing for speaker slip use from a council motion to a single action from the Mayor or Mayor Pro-Tem. Councilmember Peirce stated the use of speaker slips would be very rare, and by allowing the Mayor or Mayor Pro-Tem to authorize the need for speaker slips would allow the meeting to be streamlined rather than stalled with motions and discussions. Councilmember Crotzer concurs with Councilmember Peirce. He also noted he would like to examine Exhibit 5 where it is noted that the Public Comment period shall conclude by 7:00 p.m. Councilmember Crotzer stated he does not feel there should be any finite time to end the Public Comment period, and the City Council should not eliminate the people's ability to address their City Government. Councilmember Peirce brought up the fact that there have been a number of meetings in the last twelve months that Council has not been able to complete the agenda. He noted he would not be adverse to hearing from the public at the conclusion of the meeting, but believes the Council has to conduct the business of the City first and foremost. Councilmember Peters stated she feels Council should allow one hour for public comment. She opposes moving or cutting short the presentation period as it inconveniences those in attendance for that specific item. Councilmember Elliott stated the issue that Council has business to perform is an extremely valid point. He said Council should establish a time for Public Comment, and possibly move the Consent Calendar and announcements to the end of the meeting. Mayor Anderson concurs that the City's business is the most important thing that Council does. He said he feels that Public Comment should be at the beginning of the meeting and should extend for a specified period of time. MOTION: Councilmember Peters moved the City Council extend the Public Comment period to a maximum of 45 minutes per meeting with Public Hearing being the next order of business. The motion was seconded by Mayor Anderson and carried with Councilmembers Elliott and Peirce voting no. (3-2) 10 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 23, 2001 MOTION: Councilmember Elliott moved the City Council revise the language of Section 1.3.7 of the Council's adopted Policies and Procedures. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) Issue E - is a recommended change to Section 1.2.2 of the adopted Policies and Procedures. The requested change provides for items to go on the agenda only when supporting information is provided. The decision to place an item on the agenda is made by consensus of a majority of the Council. Councilmember Crotzer stated an individual Council member should be able to bring forth any item. He also noted the paragraph would read much clearer if two paragraphs were made and the word "Additionally" be placed at the beginning of the new paragraph so that it would read, "Additionally, an individual Council member..." Councilmember Elliott stated this change would allow for Council to bring forth items and speed up the process by two weeks. Councilmember Peirce stated he supports expediting the process by two weeks. ® MOTION: Councilmember Elliott moved the City Council approve the revised language of Section 1.2.2 of the adopted Policies and Procedures. In addition, the word "Additionally" should be placed in the specified area as discussed and a new paragraph begun. This motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) Issue A - deals with the number of members on all boards and commissions. Staff requests Council decide on the appropriate Committee size so that all by-laws may be revised. Councilmember Peters stated she is in favor of increasing all boards and commissions to seven members, as well as placing a broad description of membership qualifications. She said she has concern with five member boards, if three have to step down due to a conflict of interest then there will be no quorum. Councilmember Peters also noted that seven board members bring a broader sense of ideas to the table. Councilmember Crotzer stated he concurs that seven members is an ideal number for all City boards and commissions. He said a five -member board is limiting and exclusionary, - in fact, he would like to increase the number of Citizen Advisory Boards in an effort to increase citizen participation in their government. Councilmember Crotzer stated the Public Works Advisory Board should consist of seven members since they have such a broad umbrella of tasks to deal with. He noted the concept of a professional Planning ® Commission is not healthy, and diversification among members should be encouraged. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 23, 2001 Councilmember Elliott stated due to the amount of travel time, increasing the Community Promotions Committee membership to seven is reasonable. He said five members are more than sufficient for the remaining boards. Mayor Anderson stated he would like to honor the request of the Recreation & Parks Commission and Community Promotions Committee members by increasing their membership to seven. He said he does not support increasing the Planning Commission to seven members, noting that board has been a five -member board since the City's incorporation and has functioned effectively. Mayor Anderson stated the Public Works Advisory Board was changed to a five -member board a year -an -a -half ago and is working well as it is. Councilmember Peters stated the Planning Commission is not only about enforcement, but also deals with General Plan updating and long-range planning, and diversity could be good. Councilmember Peirce stated the Planning Commission should have a qualified ® membership. He said the Planning Commission has had diversity of opinions with five - members, and he does not feel it is necessary to increase the membership in order to create diversity. C MOTION: Councilmember Elliott moved the City Council approve the following: 1) maintain the Planning Commission with five Commissioners; 2) return the Community Promotions Committee with seven members with the membership designations they have in place; 3) maintain the Harbor Advisory Board with seven members; 4) maintain the Public Works Advisory Board with five members; and 5) return the Recreation & Parks Commission with seven members providing that one member is a student and Morro Bay resident, and one is a senior or a senior service person. Councilmember Peirce seconded the motion and failed with Mayor Anderson and Councilmembers Crotzer and Peters voting no. (2-3) MOTION: Councilmember Peters moved the City Council approve the appointment of seven -members for the Recreation & Parks .Commission. the Public Works Advisory Board and the Community Promotions Committee. The motion was seconded by Councilmember Crotzer and carried with Councilmembers Elliott and Peirce voting no. (3-2) 12 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 23, 2001 MOTION: Councilmember Crotzer moved the City Council approve changing the Planning Commission to seven -member with the stipulation that it be a diverse group representing the population of the City of Morro Bay. The motion was seconded by Councilmember Peters and failed with Mayor Anderson and Councilmembers Elliott and Peirce voting no. (2-3) Issue B - addresses the selection process for appointing advisory board members in 6.6.3 of the Council's Policies and Procedures. Councilmember Crotzer stated he supports the act of Council making separate motions on each appointment made. Councilmember Peters stated she strongly feels the appointments should strive to be a representative cross section of both lay and professional knowledge. She said this should be in each board or commission's by-laws or in the Council's Policies and Procedures. Councilmember Peirce referred to the stipulation in the Recreation & Parks by-laws that ® states if a commissioner misses three consecutive meetings they will be removed from the board, and noted he would like this to be enforced. Councilmember Elliott stated he would like to be ensured that potential applicants know they are eligible to apply. He said there are some boards that allow for non -residency status, but there is no way they would know that based on the qualifications portion of the Council's Rules and Regulations. Councilmember Peters suggested that a comma be removed from Section 6.6.1.1 between "approved" and "special". MOTION: Councilmember Peters moved the City Council approve Issue B with the amendments made to Sections 6.6.1 and 6.6.3 of Council's adopted Policies and Procedures. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) C. UNFINISHED BUSINESS —NONE. EI 13 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 23, 2001 D. NEW BUSINESS D-1 CONSIDERATION TO AGENDIZE DISCUSSION ON APPOINTMENT TO THE SAN LUIS OBISPO COUNTY CONSORTIUM ON LOW-INCOME HOUSING NEEDS; (CITY COUNCIL) City Manager discussed the City's possible involvement in the San Luis Obispo County Consortium on Low -Income Housing Needs. Mr. Hendrix stated Council should be cautious in their review of this prospect as this consortium's funding source is local government revenues. He said Council should decide at what level they would like the City to participate in this consortium. Councilmember Peters asked how much money would be requested of the City. Councilmember Crotzer stated the City could benefit greatly from this consortium. Councilmember Elliott expressed concern that even if the City put money towards the ® consortium, it does not mean there would be any benefit. He said the funds allocated would be based on need and the City of Morro Bay may not qualify. Councilmember Elliott did agree that it would be prudent to send a delegate to gather information. Mayor Anderson stated he would like to move on this item with caution. He said he would like to ensure that Morro Bay would benefit before allocating any funds. MOTION: Councilmember Peters moved the City Council appoint Ken Vesterfelt, with his approval, as the City of Morro Bay's delegate to the San Luis Obispo County Consortium on Low -Income Housing Needs. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) F. ADJOURNMENT The meeting adjourned at 1 1:30 p.m. Recorded by: Jamie Boucher Deputy City Clerk 14 ® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhanceneent of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public REGULAR MEETING — APRIL 9, 2001 CLOSED SESSION — APRIL 9, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERINNIENT CODE SECTION 54956.8; REAL PROPERTY ® TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to two (2) parcels. Propert : The Shell Shop Parking Lot at 590 Embarcadero. Negotiating Parties: The Shell Shop and the City of Morro Bay. Negotiations: Renegotiation and extension of terms and conditions of lease agreement. Property: Water Outfall Line Easement. Negotiating Parties: Duke Energy and the City of Morro Bay. Negotiations: Renegotiation and extension of terms and conditions of lease agreement. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. Lr] 0 M C PUBLIC SESSION — APRIL 9, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., NIORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF MARCH 26, 2001, AND SPECIAL MEETINGS OF MARCH 13, 2001 AND MARCH 27, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 RESOLUTION NO. 19-01 APPROVING THE COMPLETION OF THE CITY DOCK FIRE SPRINKLER PROJECT, AND AUTHORIZING THE FILING OF A NOTICE OF COMPLETION; (HARBOR) RECOMMENDATION: Adopt Resolution No. 19-01. 2 ® A-3 APPROVAL OF CONTRACT WITH CAROLLO ENGINEERS FOR CALIFORNIA MEN'S COLONY WATER TREATMENT PLANT ANALYSIS; (PUBLIC SERVICES) RECOMMENDATION: Approve the agreement, and authorize the City Manager to execute the contract documents. A-4 APPROVAL OF CONTRACT WITH KOMEX, INC. TO PERFORM ANALYSES OF CHORRO WELLFIELD, INCLUDING STREAMFLOW MEASUREMENTS, NECESSARY TO IMPLEMENT CITY WATER RIGHTS PERMIT CONDITIONS; (PUBLIC SERVICES) RECOMMENDATION: Authorize the Director of Public Services to execute the contract with Komex, Inc. A-5 APPROVAL OF CONTRACT WITH KOMEX, INC. TO PERFORM TECHNICAL OVERSIGHT RELATED TO IMPLEMENTATION OF THE STIPULATED AGREEMENT BETWEEN THE CITY OF MORRO BAY AND SHELL/EQUILON TO RESOLVE THE MtBE CONTAMINATION AT 1840 MAID' STREET; (PUBLIC SERVICES) RECOMMENDATION: Authorize the Director of Public Services to execute the ® contract with Komex, Inc. A-6 PROCLAMATION DECLARING THE TENTH ANNIVERSARY OF THE GARDEN FESTIVAL; (ADMINISTRATION) RECONE IENDATION: Adopt Proclamation. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 RESOLUTION NO. 20-01 DIRECTING THE PREPARATION OF AN ENGINEERS REPORT FOR THE LEVY OF THE ANNUAL ASSESSMENT FOR THE CLOISTERS PARK AND OPEN SPACE LANDSCAPING & LIGHTING MAINTENANCE ASSESSMENT DISTRICT; (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution No. 20-01. B-2 RESOLUTION NO. 21-01 DIRECTING THE PREPARATION OF AN ENGINEERS REPORT FOR THE LEVY OF.THE ANNUAL ASSESSMENT FOR THE NORTH POINT NATURAL AREA LANDSCAPING & LIGHTING MAINTENANCE ASSESSMENT DISTRICT; (RECREATION & PARKS ® RECOi\IMENDATION: Adopt Resolution No. 21-01. 3 ® C. UNFINISHED BUSINESS C-1 - STATUS REPORT ON DUKE ENERGY POWER PLANT MODERNIZATION PROJECT; (PUBLIC SERVICES) RECOMMENDATION: Receive report for information. D. NEW BUSINESS D-1 CONSIDERATION TO AGENDIZE THE DISCUSSION ON OPEN SPACE IN MORRO BAY; (CITY COUNCIL) RECOMMENDATION: Discuss and direct staff accordingly. D-2 CONSIDERATION TO AGENDIZE THE APPOINTMENT OF A BROWN ACT COMMITTEE TO PROVIDE ADVICE ON BIKEWAYS; (CITY COUNCIL) RECOMMENDATION: Discuss and direct staff accordingly. D-3 CONSIDERATION TO AGENDIZE THE REVIEW OF REVISED POLICIES WITH RESPECT TO CITY COMMISSIONS AND ADVISORY BOARDS; ® (CITY COUNCIL) RECOMMENDATION: Discuss and direct staff accordingly. E. ADJOURNMENT El THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING. PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 0 MINUTES - MORRO BAY CITY COUNCIL ® CLOSED SESSION — APRIL 9, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. i Mayor Anderson called the meeting to order at 5:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney Rick Algert Harbor Director Greg Fuz Public Services Director CLOSED SESSION MOTION: Councilmember Peirce moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) ® Mayor Anderson read the Closed Session statement. CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to two (2) parcels. • Property: The Shell Shop Parking Lot at 590 Embarcadero. Negotiating Parties: The Shell Shop and the City of Morro Bay. Negotiations: Renegotiation and extension of terms and conditions of lease agreement. • Property: Water Outfall Line Easement. Negotiating Parties: Duke Energy and the City of Morro Bay. Negotiations: Renegotiation and extension of terms and conditions of lease agreement. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:50 p.m. MOTION: Councilmember Elliott moved the meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) 0 The meeting adjourned at 5:50 p.m. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 9, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. EI Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Rick Algert Bill Boucher Greg Fuz Jeff Jones Jim Koser Joe Loven Andrea Lueker ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS City Manager City Attorney City Clerk Harbor Director Capital Projects Manager Public Services Director Fire Chief Finance Director Police Chief Recreation & Parks Director Mayor Anderson requested to take the agenda out of order to hear Item A-6 at this time; Council concurred. A-6 PROCLAMATION DECLARING THE TENTH ANNIVERSARY OF THE GARDEN FESTIVAL; (ADMINISTRATION) MOTION: Councilmember Peirce moved to approve Item A-6 of the Consent Calendar. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) Mayor Anderson presented the Proclamation declaring the Tenth Anniversary of the Garden Festival to Mary Ann Rutshaw, President of the Friends of Botanical Garden. CLOSED SESSION REPORT — City Attorney Robert Schultz reported the City Council met in Closed Session, and no reportable action was taken. 2 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - APRIL 9, 2001 PUBLIC COMMENT John Barta announced a County Health Fair will be held on April 24"' from 11:00 a.m. — 4:00 p.m. at the San Luis Obispo Veterans Building. He noted representatives from various agencies will be there to address questions concerning health issues. Mary Ann Semlar requested Council consider adopting a resolution on the status of women. Rick Grantham stated he has made application for appointment to City boards on numerous occasions and has yet to be appointed; he said he takes exception to the remarks being made that the appointments are made mostly to white males. Mr. Grantham also made note that the pay scale for the City police officers and firefighters is too low, and the City should take care of the people who take care of us. Ken Vesterfelt stated he attended a meeting on behalf of the Chamber of Commerce for a proposal by the San Luis Obispo County Affordable Housing Trust Fund. He said this proposal is to address the need for affordable housing in San Luis Obispo County. Mr. ® Vesterfelt requested the Council consider appointing a Morro Bay representative to the San Luis Obispo Supportive Housing Consortium to represent the City of Morro Bay's housing needs. He also announced the "Cruisin Morro Bay" Car Show will be held the first weekend in May. Robert Davis, member of the Citizen's Bike Committee, addressed Item D-2 (Consideration to Agendize the Appointment of a Brown Act Committee to Provide Advice on Bikeways) stating bike paths has been placed as a top priority in the City budget process. He requested Council place this item on a future agenda in order to receive public input. Pam Soderback addressed Item D-3 (Consideration to Agendize the Review of Revised Policies with Respect to City Commissions and Advisory Boards) and stated her proposed resolution was not intended to support a quota system or to denigrate the recent selection of board members. Tom Williams, Duke Energy, gave an update on the Duke Energy Power Plant project. Jude Long, Librarian for the Morro Bay Library, announced this is National Library Week, and reported on upcoming improvements at the Morro Bay Library. Mike Multari, Director of the Morro Bay National Estuary Program, shared a new map of the Morro Bay National and State Estuary. He invited the community to a reception that ® will be held on April 19a' at 1 1:00 a.m. at Windows on the Water in celebration of the approved National Estuary Management Plan. 3 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - APRIL 9, 2001 David Nelson addressed the EPA study and the need to save the estuary. He said there are still questions to be addressed at the California Energy Commission (CEC) meetings. Betty Forsythe announced the First Annual Celebration of Youth sponsored by the Estero Bay Youth Coalition on April 28d' from 1:00 p.m. — 5:00 p.m. to be held at the Morro Bay City Park. Melody DeMerritt urged Council to schedule Item D-I (Consideration to Agendize the Discussion on Open Space in Morro Bay) on a future agenda to review and receive public input on open space in Morro Bay. She also requested Council consider appointing a committee who could review this issue and offer input to the City. Susan Mullen addressed Item D-1 and asked Council to take this item to the next step by appointing a committee to review open space acquisition in Morro Bay, and offer input for Council's consideration. She said the City General Plan and Coastal Land Use Plan both address the preservation and protection of open space, watershed, viewshed, sensitive habitat and agricultural lands within the City. ® Jack McCurdy referred to requests that were made at last week's CEC workshop for an additional workshop to review visual aspects and a three-dimensional model of the Duke Energy Power Plant. Meredith Bates, member of the Citizens Bike Committee, expressed thanks to Council, Commissioners, Committee Members and staff for their input to the Committee. Gary Johnson addressed the CEC workshop held last week and. stated this project needs to move forward. He also referred to the article in the San Francisco Chronicle titled "Nuclear Warning" with a picture of Morro Bay is ridiculous. Rosalie Valvo addressed Item D-1 stating she enjoys the open space presently offered in Morro Bay and would like it to remain the same. She also stated diversity is needed on the commissions and advisory boards. Kim Kimball, Director of Chamber of Commerce, addressed a blessing of the fisher - peoples' fleet will take place on April 22"d at 12:30 p.m. held at the North T-Pier with a reception at Tidelands Park. Bonita Chumey stated she supports Items D-1 and D-3 to be agendized as public hearings. She said the current General Plan is being written to provide for protection of views of hills and ridgelines, and she recommends adding the protection of surrounding hills and ridgelines. Ms. Churney also supports agendizing discussion on diversity for ® input on different perspectives and bringing new knowledge to the City. 9 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - APRIL 9, 2001 Betty Winholtz addressed the summary of appointments on advisory boards that she provided for Council review. Mayor Anderson closed the public comment hearing. Mayor Anderson called for a break at 7:03 p.m.; the meeting resumed at 7:17 p.m. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Peters requested to discuss Senate Bill 691, City/County recovery of attorney's fees when defending Mobilehome Ordinances. This matter was referred to the City Attorney for analysis. Councilmember Peters also requested discussion on a community infrastructure update schedule on the Public Services website. This matter was referred to the Public Works Advisory Board. Councilmember Crotzer requested to agendize discussion on the appointment of a Morro ® Bay representative to the San Luis Obispo County consortium on low-income housing needs. This matter was referred for report on a future agenda. Councilmember Crotzer requested to add an urgency item to tonight's agenda in order to meet the deadline for comments on the State Park Master Plan. He said the assurances made at a joint meeting with State Parks and the San Luis Obispo Council of Governments to facilitate and help implement a coastal trail plan is not reflected in the Master Plan. Councilmember Crotzer stated he would like Council to discuss sending a letter to our legislators regarding the City's disappointment that this is not a part of the Master Plan. MOTION: Councilmember Crotzer moved the City Council add an urgency item to tonight's meeting to authorize the Mayor to execute a letter to legislators and State Park leaders regarding the City's concerns on the State Parks Master Plan. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) Council directed staff draft a letter for the Mayor's signature regarding the City's concerns on the State Parks Master Plan. This letter to be directed to Senator O'Connell, Assemblyman Maldonado, State Parks, and to the Coastal Commission. 5 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - APRIL 9, 2001 A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A -I APPROVAL OF MINUTES FOR THE REGULAR MEETING OF MARCH 26, 2001, AND SPECIAL MEETINGS OF MARCH 13, 2001 AND MARCH 27, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 RESOLUTION NO. 19-01 APPROVING THE COMPLETION OF THE CITY DOCK FIRE SPRINKLER PROJECT, AND AUTHORIZING THE FILING OF A NOTICE OF COMPLETION; (HARBOR) RECOMIMENDATION: Adopt Resolution No. 19-01. A-3 APPROVAL OF CONTRACT WITH CAROLLO ENGINEERS FOR CALIFORNIA MEN'S COLONY WATER TREATMENT PLANT ANALYSIS; ® (PUBLIC SERVICES) RECOMNIENDATION: Approve the agreement, and authorize the City Manager to execute the contract documents. A-4 APPROVAL OF CONTRACT WITH KOMEX, INC. TO PERFORM ANALYSES OF CHORRO WELLFIELD, INCLUDING STREAMFLOW MEASUREMENTS, NECESSARY TO IMPLEMENT CITY WATER RIGHTS PERMIT CONDITIONS; (PUBLIC SERVICES) RECOMMENDATION: Authorize. the Director of Public Services to execute the contract with Komex, Inc. A-5 APPROVAL OF CONTRACT WITH KOMEX, INC. TO PERFORM TECHNICAL OVERSIGHT RELATED TO IMPLEMENTATION OF THE STIPULATED AGREEMENT BETWEEN THE CITY OF MORRO BAY AND SHELL/EQUILON TO RESOLVE THE MtBE CONTAMINATION AT 1840 MAIN STREET; (PUBLIC SERVICES) RECOMMENDATION: Authorize the Director of Public Services to execute the contract with Komex, Inc. 0 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - APRIL 9, 2001 A-6 PROCLAMATION DECLARING THE TENTH ANNIVERSARY OF THE GARDEN FESTIVAL; (ADMINISTRATION) RECONINIENDATION: Adopt Proclamation. Councilmember Peters pulled Item A-1 (March 26, 2001) from the Consent Calendar, - and Mayor Anderson pulled Item A-3. MOTION: Councilmember Peirce moved the City Council approve the Consent Calendar with the exception of Item A-1 (Minutes of March 26, 2001) and Item A-3. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF MARCH 26, 2001, AND SPECIAL MEETINGS OF MARCH 13, 2001 AND MARCH 27, 2001: (ADMINISTRATION) Councilmember Peters referred to the minutes of the March 26, 2001 City Council meeting, ® and requested the public comment made by Shawn Cantu be added to the minutes. MOTION: Councilmember Peters moved the City Council approve Item A-1 of the Consent Calendar as amended. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) A-3 APPROVAL OF CONTRACT WITH CAROLLO ENGINEERS FOR CALIFORNIA MEN'S COLONY WATER TREATMENT PLANT ANALYSIS; (PUBLIC SERVICES) Mayor Anderson requested staff to review the purpose of this contract with Carollo Engineers. Capital Projects Manager Bill Boucher responded water from the California Men's Colony (CMC) Water Treatment Plant is one of the options for potable water supply for the programmed State Water Project shut down in November 2001. He said funds for the first phase tasks have been received from Equilon as part of the Stipulated Agreement, and the second phase will not be pursued unless subsequent funds from Equilon are received and the City Council authorizes their use for that purpose. Mr. Boucher stated the preparation of this and the second phase of analysis is intended to fulfill the predominance of the City's financial obligation for accessing this water resource. He recommended the City Council approve the Engineering Services Agreement with Carollo Engineers for an analysis of the CMC Water Treatment Plant. 7 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - APRIL 9, 2001 MOTION: Mayor Anderson moved the City Council approve Item A-3 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 RESOLUTION NO. 20-01 DIRECTING THE PREPARATION OF AN ENGINEERS REPORT FOR THE LEVY OF THE ANNUAL ASSESSMENT FOR THE CLOISTERS PARK AND OPEN SPACE LANDSCAPING & LIGHTING MAINTENANCE ASSESSMENT DISTRICT; (RECREATION & PARKS) Recreation & Parks Director Andrea Lueker stated on January 26, 1998, the City Council adopted Resolution No. 10-98 which accepted the public improvements for Cloisters Tract 1996. She said although the public improvements were completed, the developer was responsible for their maintenance for the one-year warranty period, with the City taking over the maintenance of the area on January 26, 1999. Ms. Lueker stated the Fiscal Year 2000/01 assessment provided S148,944 for the maintenance of the Cloisters ® Park and Open Space totaling 34 acres. She recommended the City Council adopt Resolution No. 20-01 ordering the preparation of an Engineer's Report detailing the expenses projected for Fiscal Year 2001/02 for the maintenance of the Cloisters Park and Open Space. Mayor Anderson opened the hearing for public comment; there were no comments and Mayor Anderson closed the public comment hearing. MOTION: Councilmember Peters moved the City Council adopt Resolution No. 20-01 ordering the preparation of an Engineer's Report detailing the expenses projected for Fiscal Year 2001/02 for the maintenance of the Cloisters Park and Open Space. The motion was seconded by Councilmember Crotzer and carried with Councilmember Elliott voting no. (4-1) B-2 RESOLUTION NO. 21-01 DIRECTING THE PREPARATION OF AN ENGINEERS REPORT FOR THE LEVY OF THE ANNUAL ASSESSMENT FOR THE NORTH POINT NATURAL AREA LANDSCAPING & LIGHTING MAINTENANCE ASSESSMENT DISTRICT; (RECREATION & PARKS Recreation & Parks Director Andrea Locker stated on December 9, 1996, the City Council adopted Resolution No. 89-96 which ordered the formation of the North Point Landscaping and Lighting Maintenance Assessment District. She said the Fiscal Year 2000/01 assessment provided $5,645 for the maintenance of the North Point Natural is Area. Ms. Lueker recommended the City Council adopt Resolution No. 21-01 ordering the preparation of an Engineer's Report detailing the expenses projected for Fiscal Year 2001/02 for the maintenance of the North Point Natural Area. N MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - APRIL 9, 2001 Mayor Anderson opened the hearing for public comment; there were no comments and Mayor Anderson closed the public comment hearing. MOTION: Councilmember Peters moved the City Council adopt Resolution No. 21-01 ordering the preparation of an Engineer's Report detailing the expenses projected for Fiscal Year 2001/02 for the maintenance of the North Point Natural Area. The motion was seconded by Mayor Anderson and carried with Councilmember Elliott voting no. (4-1) C. UNFINISHED BUSINESS CA STATUS REPORT ON DUKE ENERGY POWER PLANT MODERNIZATION PROJECT; (PUBLIC SERVICES) MOTION: . Councilmember Crotzer moved the City Council add Resolution No. 22-01 clarifying the City's position on the . Duke Energy Power Plant Modernization Project to tonight's' agenda. The motion was seconded by ® Councilmember Elliott and carried unanimously. (5-0) Public Services Director Greg Fuz reviewed the status of the Duke Energy Power Plant Project, and recommended the City Council schedule a public study session on April 25, 2001 to receive a presentation from legal counsel concerning proposed agreements to implement the Memorandum of Understanding between the City of Morro Bay and Duke Energy. Council scheduled a public study session on April 25, 2001 at 6:00 p.m. in the Community Center Multi -Purpose Room as recommended by staff. Mr. Fuz reviewed Resolution No. 22-01 and read its content. MOTION: Councilmember Elliott moved the City Council adopt Resolution No. 22-01 clarifying the City's position on the Duke Energy Power Plant Modernization Project. The motion was seconded by Councilmember Peirce. Councilmember Crotzer expressed concern with this resolution due to the impacts to the estuary, and the proposed health risks to the citizens. Councilmember Elliott stated the intent of this resolution is stating to the State that the City will decide on issues when information is received from the experts. ® Councilmember Peters stated she supports the resolution. 7 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - APRIL 9, 2001 Councilmember Peirce stated he is in favor of the resolution, and said the trade off within 20 years will be a more -environmentally friendly power source. Councilmember Crotzer called for the question. The motion carried unanimously. (5-0) Mayor Anderson called for a break at 8:37 p.m.; the meeting resumed at 8:45 p.m. D. NEW BUSINESS D-1 CONSIDERATION TO AGENDIZE THE DISCUSSION ON OPEN SPACE IN MORRO BAY; (CITY COUNCIL) Councilmember Crotzer requested this item during Future Agenda Items at the March 26, 2001 City Council meeting. He reviewed his intent for discussion on open space in Morro Bay. Councilmember Crotzer requested Council's consideration, and direct staff accordingly. ® Consensus of the City Council was in support to agendize further review of open space in Morro Bay before the Recreation & Parks Commission. F'� LJ MOTION: Councilmember Crotzer moved the City Council direct staff to agendize this item before the Recreation & Parks Commission, and return to Council with recommendations. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) D-2 CONSIDERATION TO AGENDIZE THE APPOINTMENT OF A BROWN ACT COMMITTEE TO PROVIDE ADVICE ON BIKEWAYS; (CITY COUNCIL) Councilmember Crotzer requested this item during Future Agenda Items at the March 26, 2001 City Council meeting. He reviewed his intent for appointing a Brown Act Committee to study public pathways. Councilmember Crotzer requested Council's consideration, and direct staff accordingly. Consensus of the City Council was to direct staff to agendize a quarterly report by the Citizens Bike Committee before the Recreation & Parks Commission, and the Commission to make recommendations to the City Council concerning public pathways. 10 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 9, 2001 MOTION: Councilmember Crotzer moved the City Council direct staff to agendize a quarterly report by the Citizens Bike Committee before the Recreation & Parks Commission, and the Commission to make recommendations to the City Council concerning public pathways. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) D-3 CONSIDERATION TO AGENDIZE THE REVIEW OF REVISED POLICIES WITH RESPECT TO CITY COMMISSIONS AND ADVISORY BOARDS; (CITY COUNCIL) Councilmember Crotzer requested this item during Future Agenda Items at the March 26, 2001 City Council meeting. He reviewed his intent for further review of the revised Council policies with respect to City commissions and advisory boards. Councilmember Crotzer requested Council's consideration, and direct staff accordingly. Consensus of the City Council was to direct staff to agendize a public hearing on Council procedures for appointment of commissioners and advisory board members, and potential reconsideration of the number of members on commissions and advisory boards. ® MOTION: Councilmember Crotzer moved the City Council agendize a public j hearing on Council procedures for appointment of commissioners and advisory board members, and potential reconsideration of the number of members on the boards. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) F. ADJOURNMENT The meeting adjourned at 9:32 p.m. Recorded by: Bridgett Bauer City Clerk n U NOTICE OF SPECIAL CITY COUNCIL WORKSHOP NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Workshop on Tuesday, March 27, 2001 at 6:00 p.m.to be held in the Community Center Multi -Purpose Room, 1001 Kennedy Way, Morro Bay, California. The workshop is scheduled to review priorities and g)als for the City of Morro Bay. DATED: March 23, 2001 171 Bridgett BEger, City Clerk "71 11 MORRO BAY CITY COUNCIL GOALS AND PRIORITY WORKSHOP MARCH 27, 2001; 6:00 P.M. COMMUNITY CENTER MULTI PURPOSE ROOM Council: Rodger Anderson, Mayor Colby Crotzer, Councilmember Dave Elliott, Councilmember Bill Peirce, Councilmember Janice Peters, Councilmember Staff: Robert Hendrix, City Manager Bridgett Bauer, City Clerk James Koser, Finance Director Joyce Bunting, Accountant Laurie Goforth, Accounting Clerk Finance Director James Koser gave an introduction of the Goals and Priority Workshop. ® Don Maruska is the consultant assisting the City in this goal -setting process. He reviewed the categories that Council will be considering in the following order: 1) review of goal statements; 2) rank goals for 2001-2003 budget; and 3) determine categories. Mr. Maruska reviewed the categorized list of goals received from public input. Mayor Anderson called for a break at 7:35 p.m.; the meeting resumed at 7:52 p.m. The categorized list of goals was submitted to Council who then ranked the goals for the 2001-2003 budget. Mayor Anderson called for a break at 9:05 p.m.; the meeting resumed at 9:22 p.m. The goals were ranked by Council as follows: Major City Goals 1. Infrastructure— implement program to accelerate bringing streets and public pathways up to good condition and establish ongoing maintenance program; coordinate this with water and wastewater repairs and upgrades, and conduits for underground utilities. ® MORRO BAY CITY COUNCIL GOALS AND PRIORITY WORKSHOP 2. Build roundabouts at the intersections of Morro Bay Boulevard/Quintana Road, Main Street/Highway 41, and San Jacinto/Alder; and landscape them as attractive entrances to the City. 3. Harbor Maintenance and Improvements — assure second Coast Guard Vessel/Coop on Coast Guard/Harbor Patrol building; pursue ongoing harbor mouth and outer and inner harbor navigational channels. 4. Extend and interconnect sections of the waterfront boardwalk; support planning and implementation of a boat yard, haulout facility and seafood processing facility, keep a space for a maritime museum; examine feasibility of State Park Marina dredging and operations (lease from Parks). Other Important City Goals 5. Underground Utilities — examine the costs and options available to accomplish the ® process; what are the options and the means; be opportunistic in burying conduit whenever feasible. 6. Civic Center Project— continue to next phase of the Civic Center Project; plan for the replacement of the Police and Fire departments as well as City Hall; implement plans for Public Services Department. 7. Increase links in the bike path system, completion of new or improved skateboard facility, and develop feasibility plan for community pool, soft -surface tennis courts, leash -free dog park and other facilities using General Fund, grants and match -funding, joint -use and other financing options. 8. Acquire additional parking in high need areas; consider pay parking (meters), diagonal parking and other measures to increase parking efficiency; re-examine the Parking Management Plan; consider alternatives. Address as Resources Permit 9. Implement City improvement projects including RUDAT for the downtown area, including installation of lighted bollards in the downtown area. 10. Establish long-range plan to keep all City plans on an update schedule. E LA MORRO BAY CITY COUNCIL GOALS AND PRIORITY WORKSHOP 11. Continue removal of dying trees and establish maintenance program for existing and replacement trees. 12. Charter City status — examine Charter City status for Morro Bay and pursue as appropriate. 13. Create City-wide standards for communications and telecommunications equipment; develop a program to replace obsolete communications equipment in coordination with facility replacement. 14. Examine alternatives to increase affordable housing and assess their feasibility. Adjournment — 10:08 p.m. Recorded by: Bridgett Bauer City Clerk ® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to Hie needs of the public. REGULAR MEETING — MARCH 26, 2001 CLOSED SESSION -MARCH 26, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54957; PERSONNEL ISSUES. ® Discussion regarding personnel issues including the evaluation of one (1) public employee, specifically the City Manager. CS-2 GOVERNMENT CODE SECTION 54956.8: REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to two (2) parcels. • Property: Lots/Monterey Avenue & Harbor Street Negotiating Parties: Al Jorge and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXENIPT FROM DISCLOSURE. E. PUBLIC SESSION - MARCH 26, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ® When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. tJ COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF MARCH 12, 2001, AND SPECIAL MEETING OF MARCH 13, 2001; (ADMINISTRATION) RECOMi\1ENDATION: Approve as submitted. 2 ® A-2 CASH & INVESTMENT REPORTS — JANUARY & FEBRUARY 2001; (FINANCE) RECOi1I1NlENDATION: Receive for information. A-3 EXPENDITURE REPORTS — JANUARY & FEBRUARY 2001; (FINANCE) RECOMMENDATION: Approve as submitted. A-4 RESOLUTION NO. 18-01 AUTHORIZING THE MAYOR TO EXECUTE REAL PROPERTY AGREEMENT FOR ACQUISITION OF 870 MORRO BAY BOULEVARD AND APPROPRIATING FUNDS FROM THE GENERAL FUND; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 18-01. A-5 PROCLAMATION DECLARING APRIL 7, 2001 AS "DAY OF THE CHILD", AND APRIL 2001 AS "MONTH OF THE CHILD'; (RECREATION & PARKS) RECOMMENDATION: Adopt Proclamation. A-6 AUTHORIZATION FOR MAYOR TO SIGN LETTER OF SUPPORT FOR ® FUNDING FOR THE NATURAL HISTORY MUSEUM; (ADMINISTRATION) E RECOMMENDATION: Authorize Mayor to sign letter of support. B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-1 RESOLUTION NO. 17-01 ALLOCATING FUNDS FOR WATER PROJECTS TO MITIGATE IMPACTS OF GROUNDWATER CONTAMINATION PURSUANT TO STIPULATED AGREEMENT BETWEEN THE CITY OF MORRO BAY AND EQUILON/EQUIVA RECOMMENDATION: Adopt Resolution No. 17-01. C. UNFINISHED BUSINESS C-1 ORDINANCE NO 485 AMENDING MORRO BAY MUNICIPAL CODE SECTION 5.30 REGARDING CABLE SYSTEM - SECOND READING AND ADOPTION; (ADMINISTRATION) RECOMMENDATION: Approve second reading and adoption of Ordinance No. 485. 1 ® C-2 ORDINANCE NO. 486 ADOPTING ZONING ORDINANCE AMENDMENT TO THE S.2A STANDARDS IN THE BEACH TRACTS — SECOND READING AND ADOPTION; (PUBLIC SERVICES) RECOMMENDATION: Approve second reading and adoption of Ordinance No. 486. D. NEW BUSINESS D-1 CONSIDERATION OF A LICENSE AGREEMENT BETWEEN THE CITY OF MORRO BAY AND GLOBAL PHOTON FOR TELECOMMUNICATIONS FACILITY; (PUBLIC SERVICES) RECOMMENDATION: Authorize the Mayor to execute the License Agreement upon execution by authorized representatives from Global West. E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE ® AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 11 ® MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION — MARCH 26, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney CLOSED SESSION MOTION: Councilmember Peirce moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peters and unanimously carved. (5-0) Mayor Anderson read the Closed Session statement. ® CS-1 GOVERNMENT CODE SECTION 54957; PERSONNEL ISSUES. Discussion regarding personnel issues including the evaluation of one (1) public employee, specifically the City Manager. CS-2 GOVERINNIENT CODE SECTION 54956.8: REAL PROPERTY TRANSACTIONS. .Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to two (2) parcels. • Property: Lots/Monterey Avenue & Harbor Street Negotiating Parties: Al Jorge and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. • Property: 220 Atascadero Road Negotiating Parties: Donald and Mary Jane Puett and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:50 p.m. MOTION: Councilmember Peters moved the meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) is The meeting adjourned at 5:50 p.m. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 26, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. r�1 L�J E Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Rick Algert Bill Boucher Greg Fuz Jeff Jones Jim Koser Joe Loven Andrea Lueker City Manager City Attorney City Clerk Harbor Director Capital Projects Manager Public Services Director Fire Chief Finance Director Police Chief Recreation & Parks Director ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — City Attorney Robert Schultz stated the City Council met in Closed Session, and no reportable action was taken. Mayor Anderson requested to take the agenda out of order to hear Item A-5 next; Council concurred. MOTION: Councilmember Peirce moved the City Council approve Item A-5 of the Consent Calendar. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) In honor of the Proclamation declaring April 7, 2001 as "Day of the Child", and April 2001 as "Month of the Child," the City Council received pictures by children who attend the City's Kids Club. 2 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 26, 2001 PUBLIC COMMENT Roger Ewing requested the City Council consider a reduction in the franchise fee and low income fixed rates when negotiating for the garbage and recycling contract. The following people addressed the need for diversity on the City commissions and advisory boards: Dorothy Cutter, Grace Dean, Doris Murray, Reverend Nancy Ballinger, Shawn Cantu, Barbara Jo Osborne, Joan Carter, Jesse (no last name), Bonita Chumey, Caitlan Morris, and Melody DeMerritt. Shawn Cantu requested the City Council consider agendizing the creation of a Morro Bay commission on the status of women. Pam Soderback proposed a resolution revising policies with respect to the appointment of City commissioners and advisory board members. Don Maruska announced there will be a public meeting regarding the Piedras Blancas ® Lighthouse on April 9, 2001. DECLARATION OF FUTURE AGENDA ITEM Councilmember Crotzer requested the following items be agendized for Council consideration: 1) discussion on open space in Morro Bay; 2) discussion on the appointment of a Brown Act Committee to provide advice on bikeways; and 3) discussion on the review of revised policies with respect to City commissions and advisory boards. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City.Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF MARCH 12, 2001, AND SPECIAL MEETING OF MARCH 13, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 CASH & INVESTMENT REPORTS — JANUARY & FEBRUARY 2001: (FINANCE) _ ® RECOMMENDATION: Receive for information. 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 26, 2001 A-3 EXPENDITURE REPORTS — JANUARY & FEBRUARY 2001; (FINANCE) RECOMNIENDATION: Approve as submitted. A-4 RESOLUTION NO. 18-01 AUTHORIZING THE MAYOR TO EXECUTE REAL PROPERTY AGREEMENT FOR ACQUISITION OF 870 MORRO BAY BOULEVARD AND APPROPRIATING FUNDS FROM THE GENERAL FUND; (ADMINISTRATION) RECOMMENDATION: . Adopt Resolution No. 18-01. A-5 PROCLAMATION DECLARING APRIL 7. 2001 AS "DAY OF THE CHILD", AND APRIL 2001 AS "MONTH OF THE CHILD'; (RECREATION & PARKS) RECOMMENDATION: Adopt Proclamation. A-6 AUTHORIZATION FOR MAYOR TO SIGN LETTER OF SUPPORT FOR ® FUNDING FOR THE NATURAL HISTORY MUSEUM; (ADMINISTRATION) RECONINIENDATION: Authorize Nlayor to sign letter of support. Councilmember Crotzer pulled Items A-1 (March 13, 2001) and A-2 from the Consent Calendar; and Councilmember Peters pulled Items A-1 (March 12, 2001), A-3, and A-6. MOTION: Councilmember Elliott moved the City Council approve the Consent Calendar with the exception of Items A-1, A-2, A-3 and A-6. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF MARCH 12, 2001, AND SPECIAL MEETING OF MARCH 13, 2001; (ADMINISTRATION) Councilmember Crotzer made clarification that the language in Item D-2 (Resolution No. 15-01 adopting the City's position on Marine Sanctuary Programs) in the minutes of March 12, 2001, should state that the Central California Marine Sanctuary is a part of the National Marine Sanctuary Program. MOTION: Councilmember Crotzer moved the City Council approve Item A -I of the Consent Calendar - (March 12, 2001 City Council minutes). The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) 4 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 26, 2001 Councilmember Peters requested clarification on her dissenting vote in the March 13, 2001 minutes. She stated she voted in opposition to the motion appointing the Harbor Advisory Board members not because she did not support the advisory board members who were being appointed, but was in opposition to the procedure. Councilmember Crotzer requested his comments regarding his opposition to the procedure be added as well. The City Clerk was asked to amend the minutes of March 13, 2001 and return them for Council approval A-2 CASH & INVESTMENT REPORTS — JANUARY & FEBRUARY 2001; (FINANCE) Councilmember Crotzer stated the City should set aside money for General Fund projects that will satisfy the residents' needs. MOTION: Councilmember Crotzer moved the City Council approve Item A-2 of the ® Consent Calendar. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) r A-3 EXPENDITURE REPORTS — JANUARY & FEBRUARY 2001; (FINANCE) Councilmember Peters requested clarification on entry item numbers 69265 (photography), 69365 (candidates' statements) and 69390 (tree removal and maintenance) in the January 2001 Expenditure Report. Staff was requested to return the January 2001 Expenditure Report with clarification to the specified expenditures for approval. MOTION: Councilmember Peters moved the City Council approve Item A-3 (February 2001) of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) A-6 AUTHORIZATION FOR MAYOR TO SIGN LETTER OF SUPPORT FOR FUNDING FOR THE NATURAL HISTORY MUSEUM; (ADMINISTRATION) Councilmember Peters announced the request for support for funding for the Natural History Museum Project, and encouraged support from the public. 5 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 26, 2001 MOTION: Councilmember Peters moved the City Council approve Item A-6 of the Consent Calendar. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) Mayor Anderson called for a break at 7:09 p.m.; the meeting resumed at 7:45 p.m. B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-1 RESOLUTION NO. 17-01 ALLOCATING FUNDS FOR WATER PROJECTS TO MITIGATE IMPACTS OF GROUNDWATER CONTAMINATION PURSUANT TO STIPULATED AGREEMENT BETWEEN THE CITY OF MORRO BAY AND EQUILON/EQUIVA Public Services Director Greg Fuz stated a series of events is occurring which could likely lead to shortages of potable water this year as a result of the unavailability of the Morro Wells due to the nearby MtBE contamination. He said there are two separate yet related periods of possible shortage, the City's peak seasonal usage from March through ® the end of October and the specific month of November. Mr. Fuz stated the proposed tasks would be funded through the Stipulated Resolution and/or existing allocations from the Water Fund. He said staff and the Public Works Advisory Board recommend the City Council endorse the staff proposal to allocate settlement funds received to date to various water projects by adoption of Resolution No. 17-01. Mr. Fuz also stated staff and the Public Works Advisory Board further recommend the City Council bolster the Water Fund by directing that beginning in the upcoming budget year, the City General Fund be responsible for payment for water used by City facilities. Capital Project Manager Bill Boucher reviewed alternatives of water resources for Council's consideration. Mayor Anderson opened the hearing for public comment. Don Smith stated he is concerned with the placement of another water tank on Kings Avenue. Marilyn Rosa requested Council be circumspect of another water tank on Kings Avenue not only because of the cost but also due to the aesthetics in a residential area. Dennis Capria, The Toilet Man, supports the rebate of retrofitting toilets. Harry Rogers stated the placement of water tanks should be a high priority. R ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 26, 2001 Mayor Anderson closed the public comment hearing. Council concurred in endorsing the staff proposal to allocate settlement funds received to date for various water projects. MOTION: Councilmember Elliott moved the City Council adopt Resolution No. 17-01 allocating funds for water projects to mitigate impacts of groundwater contamination pursuant to Stipulated Agreement between the City of Morro Bay and Equilon/Equiva. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) Mayor Anderson called for a break at 8:52 p.m.; the meeting resumed at 9:00 p.m. C. UNFINISHED BUSINESS C-I ORDINANCE NO 485 AMENDING MORRO BAY MUNICIPAL CODE SECTION 5.30 REGARDING CABLE SYSTEM - SECOND READING AND ® ADOPTION; (ADMINISTRATION) Management Analyst Janeen Burlingame stated the City Council held a public hearing and approved the first reading and introduction of Ordinance No. 485 at the March 12, 2001 City Council meeting. She recommended the City Council approve the second reading and adoption of Ordinance No. 485 amending Morro Bay Municipal Code Section 5.30 regarding Cable System. MOTION: Councilmember Elliott moved the City Council approve the second reading and adoption of Ordinance No. 485 amending the Morro Bay Municipal Code Section 5.30 regarding Cable System. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) City Manager Robert Hendrix read Ordinance No. 485 by number and title only. C-2 ORDINANCE NO. 486 ADOPTING ZONING ORDINANCE AMENDMENT TO THE S.2A STANDARDS IN THE BEACH TRACTS — SECOND READING AND ADOPTION; (PUBLIC SERVICES) Public Services Director Greg Fuz stated the City Council held a public hearing and approved the first reading and introduction of Ordinance No. 486 at the March 12, 2001 City Council meeting. He recommended the City Council approve the second reading and adoption of Ordinance No. 486. 7 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 26, 2001 MOTION: Councilmember Crotzer moved the City Council approve the second reading and adoption of Ordinance No. 486 adopting the Zoning Ordinance Amendment to the S.2A Standards in the Beach Tracts. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) City Manager Robert Hendrix read Ordinance No. 486 by number and title only. D. NEW BUSINESS D-1 CONSIDERATION OF A LICENSE AGREEMENT BETWEEN THE CITY OF MORRO BAY AND GLOBAL PHOTON FOR TELECOMMUNICATIONS FACILITY; (PUBLIC SERVICES) Public Services Director Greg Fuz stated pursuant to the adoption of the Interim Telecommunications Ordinance last year, the City has reached an agreement with Global West for use of City owned property at North Point Natural Area as a fiber optic cable landing site. He said Global West would use approximately 10 feet by 9 feet by 9 feet of the ® site (within the existing parking area) to install a subterranean vault that would receive fiber optic cables from Global's offshore festoon cable system that has been approved by the State Lands Commission and California Coastal Commission. Mr. Fuz stated this agreement is in the form of a revocable license for use that has been prepared and reviewed by the City Attorney and accepted by legal counsel for Global West. Mr. Fuz recommended the City Council authorize the Mayor to execute the License Agreement upon execution by authorized representatives from Global West. r Tim Stamnitz, President of Global Photon Systems, reviewed the proposed fiber optic project for Council information. Mark Tognazzini, President of the Morro Bay Commercial Fishermen's Organization, requested all fishermen be represented in the fiber optic project process. Brian Stacy expressed the importance that the fishing industry is represented when negotiating this contract. Shoosh Crotzer is distraught with the process that public comment was cut short earlier, and now comments are being taken for a non-public hearing item. N MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 26, 2001 Councilmember Crotzer expressed the importance of underground utilities throughout the City, and noted this fiber optic project is a unique opportunity for a trend of undergrounding utilities. He said proceeds from this project should be set aside for placing conduits underground for utilities rather than using the General Fund. Councilmember Elliott addressed the impact of utility lines in certain sections of the City that need to be placed underground. He also expressed concern with the lack of representation of Morro Bay fishermen in regard to this project. Councilmember Peters stated there are advantages to the community in this agreement, and designation of funding from this project should be set aside for underground utilities. Councilmember Peirce stated he is in support of this license agreement. Councilmember Crotzer stated reference to the deregulation of public utility lines is the problem in charging consumers with high utility bills, and that is why the windfall of the fiber optic project should be dedicated to underground utilities. ® MOTION: Councilmember Peters moved the City Council authorize the Mayor to execute the License Agreement with amendment to page one, paragraph three under Compensation. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer voting no. (4-1) F. ADJOURNMENT The meeting adjourned at 10:10 p.m. Recorded by: Bridgett Bauer City Clerk 0 ® NOTICE OF SPECIAL CITY COUNCIL MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Meeting on Tuesday, March 13, 2001 at6:00 p.m. to be held in the Community Center Multi Purpose Room, 1001 Kennedy Way, Morro Bay, California. The City Council will be interviewing applicants for City Commission and Advisory Board vacancies. ® DATED: March 9, 2001 Bridgett Boler, City Clerk E1 Amk MINUTES - MORRO BAY CITY COUNCIL 49 SPECIAL MEETING — MARCH 13, 2001; 6:00 P.M. COMMUNITY CENTER MULTI PURPOSE ROOM Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager The City Council held interviews to fill vacancies on the City's Planning Commission, Recreation & Parks Commission, Harbor Advisory Board and Public Works Advisory Board. The following action was taken: RECREATION & PARKS COMMISSION MOTION: Councilmember Crotzer moved the City Council re -appoint Leabah Winter to serve on the Recreation & Parks Commission for a four-year term to begin April 1, 2001 and expire January 31, 2005. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) HARBOR ADVISORY BOARD A general discussion of the candidates for Harbor Advisory Board ensued after the interviews were completed. MOTION: Councilmember Crotzer moved the City Council consider the re- appointment of James Wood to the Harbor Advisory Board without his presence at the interview. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) Further discussion took place on which of the candidates should serve on the Harbor Advisory Board, and it became obvious that three candidates had minimum support from majority of the Council. MOTION: Councilmember Elliott moved the City Council re -appoint Dee Mace, Dean Tyler and James Wood to serve on the Harbor Advisory Board for a four-year term to begin April 1, 2001 and expire January 31, 2005. The motion was seconded by Councilmember Peirce. Councilmember Crotzer commented that he would prefer an opportunity to vote on the candidates individually. Councilmember Elliott called for the question. Councilmember Peters stated she would be voting in opposition to this motion. She said her dissenting vote is not related to the candidates, but rather a protest in opposition to the process of appointing the three candidates in a single motion. Councilmember Peters stated she would prefer to make each appointment with a separate motion. VOTE: The motion carried with Councilmember Peters voting no. (4-1) PUBLIC WORKS ADVISORY BOARD MOTION: . Councilmember Elliott moved the City Council appoint Wallace McCray to serve on the Public Works Advisory Board for a four-year term to begin April 1, 2001 and expire January 31, 2005. The motion was seconded by ® Councilmember Peirce and carried unanimously. (5-0) MOTION: Councilmember Elliott moved the City Council re -appoint Bill Olson to serve on the Public Works Advisory Board for a four-year term to begin April 1, 2001 and expire January 31, 2005. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer and Councilmember Peters voting no. (3-2) PLANNING COMMISSION MOTION: Councilmember Peirce moved the City Council re -appoint Don Doubledee to serve on the Planning Commission for a four-year term to begin April 1, 2001 and expire January 31, 2005. The motion was seconded by Mayor Anderson and carried with Councilmember Crotzer voting no. (4-1) MOTION: Councilmember Elliott moved the City Council appoint Ken Vesterfelt to serve on the Planning Commission for a four-year term to begin April 1, 2001 and expire January 31, 2005. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer and Councilmember Peters voting no. (3-2) ADJOURNMENT - The meeting adjourned at 9:15 p.m. 2 City of Morro Bay ® City Council Agenda Mission Statement The City of Aforro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — MARCH 12, 2001 CLOSED SESSION — MARCH 12, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54957.6. CONFERENCE WITH LABOR NEGOTIATOR. CONFERENCE WITH THE CITY MANAGER, THE CITY'S DESIGNATED REPRESENTATIVE. FOR THE PURPOSE OF ® REVIEWING THE CITY'S POSITION REGARDING SALARIES, SALARY SCHEDULES, OR COMPENSATION PAID IN THE FORM OF FRINGE BENEFITS, AND GIVING INSTRUCTION TO THE DESIGNATED REPRESENTATIVE. CS-2 GOVERNMENT CODE SECTION 54957; PERSONNEL ISSUES. DISCUSSION REGARDING PERSONNEL ISSUES INCLUDING THE EVALUATION OF ONE (1) PUBLIC EMPLOYEE, SPECIFICALLY THE CITY MANAGER. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. El PUBLIC SESSION — MARCH 12, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. is 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. • All remarks shall be addressed to Council_, as a whole, and not to any individual member thereof. ® • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF FEBRUARY 26, 2001; (ADMINISTRATION) RECOMMENDATION: Approve minutes as submitted. A-2 RESOLUTION NO. 13-01 REVOKING RESOLUTION NO. 72-98 GRANTING A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY TO YELLOW CAB COMPANY. AND GRANTING A NEW CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY TO BEACH CITIES CAB COMPANY. INC.; (POLICE) RECOMMENDATION: Adopt Resolution No. 13-01. r1 LI A-3 RESOLUTION NO. 14-01 AUTHORIZING THE PURCHASE OF ONE R'FIEELCHAIR-ACCESSIBLE VEHICLE FOR MORRO BAY DIAL -A -RIDE ® FROM THE STATE OF CALIFORNIA DEPARTMENT OF GENERAL SERVICES PROCUREMENT DIVISION CONTRACT; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 14-01. A-4 RESOLUTION NO. 16-01 ADOPTING COUNCIL POLICIES AND PROCEDURES; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 16-01. A-5 PROCLAMATION DECLARING MARCH 2O01 AS `GRAND JURY AWARENESS MONTH'; (ADMINISTRATION) RECOMMENDATION: Adopt Proclamation. A-6 PROCLAMATION DECLARING MARCH 30, 2001 AS "ARBOR DAY": (ADMINISTRATION) RECOMMENDATION: Adopt Proclamation. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 PUBLIC HEARING ON CITY PRIORITY AND GOAL -SETTING PROCESS: ® (FINANCE) RECOMMENDATION: Receive report and public input, and direct staff to incorporate input into report for March 27, 2001 facilitated workshop. B-2 ORDINANCE NO. 485 AMENDING MORRO BAY MUNICIPAL CODE SECTION 5.30 REGARDING THE CABLE SYSTEM - FIRST READING AND INTRODUCTION; (ADMINISTRATION) RECOMMENDATION: Approve the first reading and introduction of Ordinance No. 485. B-3 ORDINANCE NO. 486 AMENDING THE ZONING ORDINANCE RELATING TO THE S.2A STANDARDS IN THE BEACH TRACTS — FIRST READING AND INTRODUCTION; (PUBLIC SERVICES) RECOMMENDATION: Approve the first reading and introduction of Ordinance No. 486. B-4 APPEAL OF THE PLANNING COMMISSION'S APPROVAL OF THE DUKE ENERGY INTAKE DREDGING PROJECT — APPELLANT: COASTAL ALLIANCE; (PUBLIC SERVICES) ® RECOMMENDATION: Uphold the Planning Commission's decision to approve the Special Use Permit for Duke Energy's intake structure maintenance 3 dredging in Morro Bay Harbor with the condition that the applicant submit an application for a Coastal Development Permit to the California Coastal ® Commission. C. UNFINISHED BUSINESS C-I STATUS REPORT ON DUKE ENERGY POWER PLANT MODERNIZATION PLAN; (PUBLIC SERVICES) RECOMMENDATION: Receive report for information. D. NEW BUSINESS D-I CONSIDERATION OF SOLID WASTE AND RECYCLING REQUEST FOR PROPOSALS TERMS AND CONDITIONS; (ADMINISTRATION) RECOMMENDATION: Review and approve the terms and conditions that will make up the framework for the solid waste and recycling RFP; and, direct staff to develop the RFP according to the schedule outlined in the staff report. D-2 CONSIDERATION OF CONTRACT AWARD FOR MORRO BAY DIAL -A - RIDE AND TROLLEY OPERATIONS AND MANAGEMENT REQUEST FOR PROPOSALS; (ADMINISTRATION) RECOMMENDATION: Consider the two proposals for operation and ® management of Morro Bay Dial -A -Ride and trolley; award the contract to MV Transportation; and authorize the City Manager to execute the contract. D-3 RESOLUTION NO. 15-01 ADOPTING THE CITY'S POSITION ON MARINE SANCTUARY PROGRAMS; (HARBOR) RECOMMENDATION: Adopt Resolution No. 15-01. E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 4 ® MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION —MARCH 12, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney CLOSED SESSION MOTION: Councilmember Elliott moved the meeting be adjourned to Closed Session. The motion was seconded by Counciimember Peters and unanimously carried. (5-0) Mayor Anderson read the Closed Session statement ® CS-1 GOVERiNINIENT CODE SECTION 54957.6; CONFERENCE WITH LABOR NEGOTIATOR. CONFERENCE WITH THE CITY MANAGER, THE CITY'S DESIGNATED REPRESENTATIVE, FOR THE PURPOSE OF REVIEWING THE CITY'S POSITION REGARDING SALARIES, SALARY SCHEDULES, OR COMPENSATION PAID N THE FORM OF FRINGE BENEFITS, AND GIVING INSTRUCTION TO THE DESIGNATED REPRESENTATIVE. CS-2 GOVERNMENT CODE SECTION 54957; PERSONNEL ISSUES. DISCUSSION REGARDING PERSONNEL ISSUES INCLUDING THE EVALUATION OF ONE (1) PUBLIC EMPLOYEE, SPECIFICALLY THE CITY MANAGER. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:50 p.m. MOTION: Councilmember Elliott moved the meeting be adjourned. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) The meeting adjourned at 5:50 p.m. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MARCH 12, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Rick Algert Janeen Burlingame Greig Cummings Matt Everling Greg Fuz Jeff Jones Jim Koser ® Dan Long Joe Loven Joe Woods City Manager City Attorney City Clerk Harbor Director Management Analyst Planning Manager Associate Planner Public Services Director Fire Chief Finance Director Assistant Planner Police Chief Acting Recreation & Parks Director ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — City Attorney Robert Schultz reported the City Council met in Closed Session, and no reportable action was taken. PUBLIC COMMENT Rick Young and Jean Beck of the San Luis Obispo County Grand Jury announced March 2001 is being declared as "Grand Jury Awareness Month". Tarren Collins, Co -Chair for SLO Coast Alliance, addressed Item D-3 (Resolution No. 15-01 adopting the City's Position on Marine Sanctuary Programs), stating the SLO Coast Alliance remains dedicated to the vision of an undeveloped and untrammeled North Coast in perpetuity, to the preservation wherever possible of historic public access to the shore, and to raising public awareness of the many sacred sites that comprise the Is prehistory of the Central Coast. 2 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MARCH 12, 2001 Roger Ewing addressed Item D-1 (Consideration of Solid Waste and Recycling Request for Proposals Terms and Conditions), and urged Council to consider promoting the recycling program by raising fees for high -end trash users. He also requested Council consider issues such as offering a hardship rate and special program for the disabled. Mr. Ewing stated the City's franchise fee is the highest in the county and should be lowered from 10% to 5%. He also expressed support for Item D-3 on tonight's agenda. Jonathan Bogart, District Sales Manager for Delta Liquid Energy, requested Council consider purchasing alternative -fuel vehicles for their City fleet. Rhonda Vigil, San Luis Obispo County Chumash Council, expressed support for Item D-3. Susan Mullen addressed Item B-1 (Public Hearing on City Priority and Goal -Setting Process), and noted the prospect of purchasing the Tri-W property. She requested Council consider appointing an "Open -Space Committee" to review the prospect of purchasing this property. Ms. Mullen stated the sanctuary could help with the off -shore oil issue. ® Lynda Merrill stated she has Spaghetti Feed tickets available for purchase. Betty Winholtz addressed Item A-4 (Resolution No. 16-01 adopting Council Policies and Procedures), and noted grammatical amendments and also requested clarification on certain policies and procedures that appear vague. She also addressed Item D-3 asking for clarification on issues such as the fiscal impact, and other items listed in the document. Ms. Winholtz requested this item be scheduled as a public hearing to allow for public input. Peter Wagner referred to an incident at the South Gate Power Plant. He stated the Morro Bay Power Plant should be retired with dignity. David Nelson expressed concern with the power plant outfall lease being discussed in Closed Session. He requested Council reconsider the power plant project that could be devastating to the City. Jack McCurdy addressed Item D-3 and expressed disappointment with the lack of public participation. He said the staff report is vague and needs further review and public input. John Barta stated getting rid of the old power plant is not realistic Meredith Bates addressed Item D-3 stating off -shore oil drilling should not be a part of the marine sanctuary program. 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MARCH 12, 2001 Bonita Chumey stated the marine sanctuary is a County -wide interest and should not be represented in Washington, D.C. She also addressed a news article regarding tests that were performed on Morro Bay's drinking water that resulted in containing bacteria. Pam Soderback stated she supports the marine sanctuary. She said clarification needs to be made regarding setting public hearings in Council's policies and procedures. Ms. Soderback stated rates need to reflect the amount of garbage being disposed and the amount that is being recycled in the contract. Mayor Anderson closed the public comment hearing. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Crotzer and Councilmember Peters stated Item D-3 should be reagendized as a public hearing. A. CONSENT CALENDAR ® Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF FEBRUARY 26, 2001; (ADMINISTRATION) RECOMMENDATION: Approve minutes as submitted. A-2 RESOLUTION NO. 13-01 REVOKING RESOLUTION NO. 72-98 GRANTING A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY TO YELLOW CAB COMPANY, AND GRANTING A NEW CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY TO BEACH CITIES CAB COMPANY, INC.; (POLICE) RECOINIMENDATION: Adopt Resolution No. 13-01. A-3 RESOLUTION NO. 14-01 AUTHORIZING THE PURCHASE OF ONE WHEELCHAIR -ACCESSIBLE VEHICLE FOR MORRO BAY DIAL -A -RIDE FROM THE STATE OF CALIFORNIA DEPARTMENT OF GENERAL SERVICES PROCUREMENT DIVISION CONTRACT; (ADMINISTRATION) ® RECONIMENDATION: Adopt Resolution No. 14-01. E, MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MARCH 12, 2001 A-4 RESOLUTION NO. 16-01 ADOPTING COUNCIL POLICIES AND PROCEDURES; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 16-01. A-5 PROCLAMATION DECLARING MARCH 2O01 AS "GRAND JURY AWARENESS MONTH'; (ADMINISTRATION) RECOMMENDATION: Adopt Proclamation. A-6 PROCLAMATION DECLARING MARCH 30, 2001 AS "ARBOR DAY'; (ADMINISTRATION) RECOMMENDATION: Adopt Proclamation. Councilmember Peters pulled Item A-1 from the Consent Calendar; and Councilmember Crotzer pulled Item A-4. ® MOTION: Councilmember Elliott moved the City Council approve the Consent Calendar with the exception of Items A-1 and A-4. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF FEBRUARY 26, 2001; (ADMINISTRATION) Councilmember Peters requested an amendment be made to page 11 of the February 26, 2001 minutes referring to her comment that Commissions and Advisory Boards be "more" gender balanced. MOTION: Councilmember Peters moved the City Council approve Item A-1 of the Consent Calendar as amended. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) A-4 RESOLUTION NO. 16-01 ADOPTING COUNCIL POLICIES AND PROCEDURES; (ADMINISTRATION) Councilmember Crotzer stated he is opposed to term limits and funding for spousal support at the League of California Cities Annual Conference. MOTION: Councilmember Peters moved the City Council approve Item A-4 of the Consent Calendar. The motion was seconded by Councilmember Elliott ® and carried unanimously. (5-0) 5 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MARCH 12, 2001 Mayor Anderson called for a break at 7:03 p.m.; the meeting resumed at 7:14 p.m. B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-1 PUBLIC HEARING ON CITY PRIORITY AND GOAL-SETTNG PROCESS; (FINANCE) Finance Director Jim Koser stated the City of Morro Bay is undertaking a new initiative in the budget process to receive City Council direction on City goals and priorities in advance of beginning the traditional budget process. He said instead of focusing on the numbers, staff is looking for guidance on policies, issues and goals that the City Council can consider and prioritize. Then, based on the priorities the City Council chooses, staff should be able to proceed in developing a proposed budget to address those priorities. Mr. Koser stated the City has requested the help of Don Maruska in the priority -based process, and introduced Mr. Maruska who reviewed suggestions, guidelines, and goal categories for Council during the goal -setting process. ® Mr. Koser recommended the City Council receive the report and public input, and direct staff to incorporate the input into a report for March 27, 2001 facilitated workshop. Mayor Anderson opened the hearing for public comment. Doral McKee, Co -Chair for Wires-B-Gone, requested Council consider the following: 1) installation of underground utilities; 2) amending the City's municipal code to allow for possible future formation of underground utility/assessment districts; and 3) form a "task force" for the purpose of creating a procedural guideline on how to pursue underground utilities. Lynda Merrill suggested the consideration of expanding Del Mar Park by purchasing the vacant property between North Main Street and Del Mar Park. She said this would be a good location for a teen center that would allow for indoor and outdoor activities, and this site would also allow for improved access into Del Mar Park. Betty Winholtz listed the following goal -setting priorities for Council consideration: 1) improvement to the City infrastructure; 2) placement of a skateboard park and bike paths; 3) promotion of affordable housing; 4) policy on livable wage; 5) the purchase or facilitate purchase of Cerrito Peak; and 6) complete policy on public and educational TV access. Ernie Miller, Representative for Habitat for Humanity, requested Council consider low- income housing needs in the City. 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MARCH 12, 2001 Pam Soderback recommended a questionnaire be sent out to the public for input on priorities and goals. George Tway requested consideration be made regarding the water pressure in certain sections of the City. He also suggested the Duke Energy salt water outfall be used for entertaining purposes in the bay. Meredith Bates stated priority needs to be focused on the City's infrastructure. She also would like the RUDAT study be revisited, and recommended bikeways that interconnect with other communities be considered. Don Doubledee expressed the importance that the General Plan and Local Coastal Plan amendments be completed. He said there are public facilities that need to be upgraded. Mr. Doubledee also listed the following priorities for Council consideration: infrastructure, roundabout, parking, youth programs, and he added the City should be frugal with some of the money. ® Hank Roth requested Council consider a modified benefit package for part time employees. Gary Johnson stated he would like the Duke Energy project completed. He added consideration should be made the City's infrastructure, including underground utilities and repaving of streets. Mr. Johnson expressed the importance for a youth center and skateboard park. He added there should be a city employee celebration in appreciation for their services. Mr. Johnson suggested consideration be made for a Maritime Museum, and also sidewalks and bike paths throughout the City. Patty Dunton expressed the importance of cultural and historical preservation, and requested the City pursue the study of archaeological reports in order to follow CEQA standards. Bonita Chumey stated the City's infrastructure should be made a priority when discussing the budget. She said future resources should be considered when considering water delivery to the City. Ms. Chumey also suggested instituting a policy for a housing ombudsman to address housing needs in the City. Mayor Anderson closed the public comment hearing. 40 7 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MARCH 12, 2001 MOTION: Councilmember Elliott moved the City Council direct staff to incorporate the appropriate public input into material for Council review at the March 27, 2001. Goal -Setting Workshop. The motion was seconded by Councilmember Peirce. Councilmember Crotzer expressed the importance of receiving public input prior to the March 27, 2001 Goal -Setting Workshop. Councilmember Elliott called for the question. Councilmember Peters stated a prioritized list of goals should be displayed at the workshop as a visual aid. The motion carried unanimously. (5-0) MOTION: Councilmember Crotzer moved the City Council direct staff to send out postcards inviting the public to the March 27, 2001 Goal -Setting ® Workshop, and written comments should be received by March 20, 2001 to be included at the workshop. The motion was seconded by Mayor Anderson and carried unanimously. (5-0) �,J B-2 ORDINANCE NO. 485 AMENDING MORRO BAY MUNICIPAL CODE SECTION 5.30 REGARDING THE CABLE SYSTEM - FIRST READING AND INTRODUCTION; (ADMINISTRATION) Management Analyst Janeen Burlingame stated the City Council authorized the City to hire Carl Pilnick of Telecommunications Management Corporation to provide consulting services to draft an updated cable ordinance for Council to adopt, review Charter's franchise renewal proposal, conduct a technical evaluation of the cable system, and draft a new franchise agreement. She said a new cable ordinance must be adopted prior to the approval of a new franchise agreement with Charter Communication. Ms. Burlingame stated staff and the Public Works Advisory Board recommends the City Council approve the first reading and introduction of Ordinance No. 485. She said the Public Works Advisory Board also recommends the addition of more detailed undergrounding provisions in the cable ordinance; staff however does not recommend this addition as Morro Bay Municipal Code Section 13.16 already regulates undergrounding utilities, of which cable is included. Michael Friedman of Telecommunications Management Corporation reviewed an evaluation of the cable ordinance for Council information. 9 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MARCH 12, 2001 Ed Merrill, General Manager for Charter Communication, stated he is available for questions. Mayor Anderson opened the hearing for public comment. John Barta recommended conduits be placed underground and require utilities to use them. Mayor Anderson closed the public comment hearing. MOTION: Councilmember Crotzer moved the City Council approve the first reading and introduction of Ordinance No. 485 amending Morro Bay Municipal Code Section 5.30 regarding the Cable System. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) City Manager Robert Hendrix read Ordinance No. 485 by number and title only. ® Mayor Anderson called for a break at 9:00 p.m.; the meeting resumed at 9:10 p.m. B-3 ORDINANCE NO. 486 AMENDING THE ZONING ORDINANCE RELATING TO THE S.2A STANDARDS IN THE BEACH TRACTS — FIRST READING AND INTRODUCTION; (PUBLIC SERVICES) Planning Manager Greig Cummings stated the Planning Commission held a public hearing on January 16, 2001 to receive public testimony on this proposed ordinance amendment. He said the public testimony was in favor of the proposed amendment in the Atascadero Beach Tract, and there were no comments in opposition. Mr. Cummings recommended the City Council open the public hearing, receive public testimony, approve the first reading and introduction of Ordinance No. 486, and continue this item to March 26, 2001 to conduct the second reading and adoption of Ordinance No. 486. Assistant Planner Dan Long reviewed the background on the zoning ordinance setbacks for the beach tracts. Mayor Anderson opened the hearing for public comment; there were no comments, and Mayor Anderson closed the public comment hearing. MOTION: Councilmember Crotzer moved the City Council approve the first reading and introduction of Ordinance No. 486 amending the Zoning Ordinance relating to the S.2A standards in the beach tracts. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) 0 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 12, 2001 City Manager Robert Hendrix read Ordinance No. 486 by number and title only. B-4 APPEAL OF THE PLANNING COMMISSION'S APPROVAL OF THE DUKE ENERGY INTAKE DREDGING PROJECT — APPELLANT: COASTAL ALLIANCE; (PUBLIC SERVICES) Associate Planner Matt Everling stated on January 16, 2001, the Planning Commission reviewed and approved a Special Use Permit (SUP) for maintenance dredging in Morro Bay Harbor to remove sand that has accumulated adjacent to the Morro Bay Power Plant cooling water intake structure. He said the Planning Commission's decision of approval was appealed on January 25, 2001. The basis for the appeal is that the appellant feels that the proposed dredging is not a maintenance event, and that the dredging area is not within a navigational channel, and should be subject to further review by the California Coastal Commission. Mr. Everling recommended the City Council uphold the Planning Commission's decision to approve the SUP for Duke Energy's intake structure maintenance dredging in Morro Bay Harbor with the condition that the applicant submits an application for a Coastal Development Permit to the California Coastal Commission. ® Tom Laurie, representing the appellant Coastal Alliance, reviewed the purpose of the appeal on the Planning Commission's decision to approve an SUP for maintenance dredging in Morro Bay Harbor. He said the Alliance requests the City Council uphold this appeal and deny approval of the SUP until the environmental impact report of the sedimentation and the source of it is determined. El Joe Stinger and James White, representing Duke Energy, reviewed the environmental and biological aspects of the maintenance dredging in the Morro Bay Harbor. Mayor Anderson opened the hearing for public comment; there were no comments, and Mayor Anderson closed the public comment hearing. Councilmember Crotzer stated he supports the appeal filed by the Coastal Alliance. MOTION: Councilmember Elliott moved the City Council uphold the Planning Commission's decision to approve the SUP for Duke Energy's intake structure maintenance dredging in Morro Bay Harbor with the condition that the applicant submits an application for a Coastal Development Permit to the California Coastal Commission. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer voting no. (4-1) 10 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING— MARCH 12, 2001 C. UNFINISHED BUSINESS C-1 STATUS REPORT ON DUKE ENERGY POWER PLANT MODERNIZATION PLAN; (PUBLIC SERVICES) Public Services Director Greg Fuz reported on the status of the Duke Energy Power Plant Modernization Plan, and discussed upcoming CEC workshops in Morro Bay. This was an informational item, and no action was taken. D. NEW BUSINESS D-1 CONSIDERATION OF SOLID WASTE AND RECYCLING REQUEST FOR PROPOSALS TERMS AND CONDITIONS,- (ADMINISTRATION) Management Analyst Janeen Burlingame stated the current Solid Waste and Curbside Recycling Franchise Agreements expire December 31,-2001, and the City Council has ® directed staff to develop a Request for Proposals (RFP). She said staff requested assistance from the Integrated Waste Management Authority in the development and dissemination of an RFP, including assistance with the evaluation and selection process for solid waste, curbside recycling and green waste services. Ms. Burlingame stated staff and the Public Works Advisory Board recommends the City Council review and approve the terms and conditions that will make up the framework for the solid waste and recycling RFP, and direct staff to develop the RFP according to the schedule submitted to Council. Bill Worrell, IWMA Director, showed Council slides and discussed various waste management services and rates. MOTION: Councilmember Elliott moved the City Council direct staff to develop the Request for Proposals for Solid Waste and Recycling Terms and Conditions according to the schedule outlined in the staff report. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) MOTION: Councilmember Elliott moved the City Council go beyond 11:00 pm. in order to complete the agenda. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer and Councilmember Peters voting no. (3-2) MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING —MARCH 12, 2001 D-2 CONSIDERATION OF CONTRACT AWARD FOR MORRO BAY DIAL -A - RIDE AND TROLLEY OPERATIONS AND MANAGEMENT REQUEST FOR PROPOSALS; (ADMINISTRATION) Management Analyst Janeen Burlingame stated the annual cost paid to the current contractor for Dial -A -Ride and trolley operations and management for fiscal year 1999/2000 was S160,724 and the estimated annual cost for the 2000/2001 fiscal year is S176,920. She said an award of the contract to MV Transportation would result in a S 10,499 decrease in the annual cost for operation and management of Morro Bay Dial -A - Ride, and would require less general fund monies to be contributed to the Morro Bay Dial -A -Ride program. Ms. Burlingame stated MV Transportation CEO Jon Monson notified the Public Works Advisory Board that its company's proposal included a "money back guaranty" whereby the City may terminate the agreement at any time. Ms. Burlingame recommended the City Council consider the two proposals for operation and management of Morro Bay Dial -A -Ride and trolley, award the contract to MV Transportation, and authorize the City Manager to execute a contract. ® Keith. Whalen, Vice President for MV Transportation, stated he is available for questions. Jann Almquist, Project Manager for Laidlaw Transit, stated she is available for questions. Mel Brenneise and Bill Whitaker, drivers for Laidlaw Transit; spoke in support of their present employer. MOTION: Mayor Anderson moved the City Council award the contract for Morro Bay Dial -A -Ride and trolley operation and management to MV Transportation subject to the City Attorney's approval. The motion was seconded by Councilmember Crotzer and carried with Councilmember Elliott voting no. (4-1) D-3 RESOLUTION NO. 15-01 ADOPTING THE CITY'S POSITIONr ON MARINE SANCTUARY PROGRAMS; (HARBOR) Harbor Director Rick Algert stated on June 12, 2000, the City Council adopted Resolution No. 36-00 in support of the California Marine Affairs and Navigation Conference (CMANC) position on the National Marine Sanctuary Reauthorization Act. He said Resolution No. 15-01 will insure the City's position is in step with CMANC and will allow City personnel to voice the City's policy in Washington and with the Alliance of Communities for Sustainable Fisheries as the Monterey Bay National Marine ® Sanctuary Program's management plan update process develops this year. Mr. Algert recommended the City Council adopt Resolution No. 15-01 updating the City's position 12 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MARCH 12, 2001 on National Marine Sanctuary Programs and authorizing staff to continue working with the Alliance of Communities for Sustainable Fisheries in conformance with the policy set out in Resolution No. 15-01. Council discussed and amended Resolution No. 15-01 by adding `BE IT FURTHER RESOLVED, that the City of Morro Bay supports the creation of a separate Central California Marine Sanctuary." Council also requested Policy #7 of the California Marine Affairs and Navigation Conference Legislative Policy Statement be removed. MOTION: Councilmember Crotzer moved the City Council adopt Resolution No. 15- 01 updating the City's position on National Marine Sanctuary Programs and the Legislative Policy Statement as amended, and authorize staff to continue working with the Alliance of Communities for Sustainable Fisheries. The motion was seconded by Councilmember Peters and carried unanimously. (5-0). ® F. ADJOURNMENT The meeting adjourned at 12:48 a.m. Recorded by: � Bridgett Bauer City Clerk n L*J 13 11 11 NOTICE OF SPECIAL CLOSED SESSION MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Closed Session Meeting on Wednesday, February 28, 2001 at 5:30 p.m. to be held in the Community Center Senior Lounge, 1001 Kennedy Way, Morro Bay, California. The City Council will be considering the following issue: GOVERNMENT CODE SECTION 54956.8: REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for a lease and/or easement agreement. • Property: Water outfall line Negotiating Parties: Duke Energy and City of Morro Bay Negotiations: Renegotiation and/or extension of terms and conditions of agreement. The City Council will adjourn to Open Session at 7:00 p.m. in the Community Center Multi -Purpose Room to discuss and establish City goals and priorities. DATED: February 27, 2001 Brid' -g r, City Clerk THE COMMISSION/ADVISORY BOARD INTERVIEWS SCHEDULED FOR WEDNESDAY, FEBRUARY 28, 2001 HAVE BEEN CANCELED; ® AND RESCHEDULED FOR TUESDAY, MARCH 13, 2001 In ® NOTICE OF SPECIAL . CITY COUNCIL MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Meeting on Wednesday, February 28, 2001 at 6:00 p.mto be held in the Community Center Studio Room, 1001 Kennedy Way, Morro Bay, California. The City Council will be interviewing candidates to fill vacancies on the Planning Commission, Recreation & Parks Commission, Harbor Advisory Board, Public Works Advisory Board, and Community Promotions Committee. DATED: February 23, 2001 Bridgett Qier, City Clerk 0 { ® City of Morro Bay City Council Agenda jVission Statement The City of tblorro Bay is dedicated to the preservation and entrancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — FEBRUARY 26, 2001 CLOSED SESSION - FEBRUARY 26, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54956.9(A); CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION • ISOP v. Reliance, San Luis Obispo Superior Court Case No. CV990623. ADDED: CS-2 GOVERNMENT CODE SECTION 54956.8: REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for a lease and/or easement agreement. Property: Water outfall line Negotiating Parties: Duke Energy and City of Morro Bay Negotiations: Renegotiation and/or extension of terms and conditions of agreement. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. 11 ® PUBLIC SESSION - FEBRUARY 26, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA �J ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETINGS OF JANUARY 8, 2001 AND JANUARY 22, 2001, AND THE SPECIAL COUNCIL WORKSHOP ON FEBRUARY 7, 2001; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 RESOLUTION NO. 08-01 AUTHORIZING THE NOTICE OF COMPLETION FOR CHORRO CREEK BRIDGE REVEGETATION PROJECT; (PUBLIC SERVICES) RECOMi1IENDATION: Adopt Resolution No. 08-01. 4 ® A-3 RESOLUTION NO. 10-01 AUTHORIZING A TRANSFER OF FUNDS FOR THE PURCHASE OF 1055 MORRO AVENUE TO REIMBURSE THE PARKING N-LIEU FUND; (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution No. 10-01. A-4 RESOLUTION NO. 11-01 AUTHORIZING THE MAYOR TO EXECUTE REAL PROPERTY AGREEMENT FOR ACQUISITION OF THE REAL PROPERTY LOCATED AT THE NORTHEAST CORNER OF MARKET AND PACIFIC STREETS; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 11-01. A-5 RESOLUTION NO. 12-01 DIRECTING STAFF TO TAKE IMMEDIATE ACTION TO DEVELOP AND IMPLEMENT STRATEGIES TO REDUCE ENERGY USAGE; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 12-01. A-6 PROCLAMATION DECLARING MARCH 8, 2001 AS "CALIFORNIA POLYTECHNIC STATE UNIVERSITY HISTORY DAY'; (ADMINISTRATION) ® RECOMMENDATION: Adopt Proclamation. A-7 PROCLAMATION DECLARING FEBRUARY 27, 2001 AS "SPAY DAY USA"; (ADMINISTRATION) RECOMMENDATION: Adopt Proclamation. B. PUBLIC HEARINGS. REPORTS & APPEARANCES — NONE. C. UNFINISHED BUSINESS C-1 CONSIDERATION TO PROCEED WITH VIDEO PRODUCTION SERVICES AND CITY GOVERNMENT CHANNEL INSERTION POINT MANAGEMENT REQUEST FOR PROPOSALS; (ADMINISTRATION) RECOMMENDATION: Direct staff to proceed with the Request for Proposal process for video production services and City Government channel insertion point management. C-2 CONSIDERATION OF JOINT CITY/COUNTY CIVIC CENTER PROJECT; (RECREATION & PARKS) RECOMMENDATION: Receive report for information; and direct staff accordingly. 3 C-3 STATUS REPORT ON DUKE ENERGY POWER PLANT MODERNIZATION PLAN; (PUBLIC SERVICES) RECOINIAIENDATION: Receive report for information. D. NEW BUSINESS D-I APPROVAL OF THE STIPULATED RESOLUTION OF ABATEMENT HEARING AGAINST SHELL/EQUILON/EQUIVA; (PUBLIC SERVICES) RECOMi\IENDATION: Approve the Stipulated Resolution of Abatement Hearing against Shell/Equilon/Equiva. D-2 DISCUSSION ON THE 4" OF JULY CELEBRATION; (ADMINISTRATION) RECOMMENDATION: Receive report for information, and direct staff accordingly. D-3 CONSIDERATION OF MAKE-UP OF COMMISSIONS AND ADVISORY BOARDS MEMBERSHIP, AND INTERVIEW PROCEDURES; (ADMINISTRATION) ® RECOMINIENDATION: Discuss and direct staff accordingly. D-4 SCHEDULE DATE FOR COUNCIL TO ESTABLISH CITY PRIORITIES; (FINANCE) RECOMMENDATION: Schedule date for Council consideration of City priorities. E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ® ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 0 MINUTES - MORRO BAY CITY COUNCIL ® CLOSED SESSION — FEBRUARY 26, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney Greg Fuz Public Services Director CLOSED SESSION MOTION: Councilmember Crotzer moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Elliott and unanimously carried. (5-0) Mayor Anderson read the Closed Session statement. ® CS-1 GOVERNMENT CODE SECTION 54956.9(A); CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATI • ISOP v. Reliance, San Luis Obispo Superior Court Case No. CV990623. CS-2 GOVERNMENT CODE SECTION 54956.8: REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for a, lease and/or easement agreement. • Property: Water outfall line Negotiating Parties: Duke Energy and City of Morro Bay Negotiations: Renegotiation and/or extension of terms and conditions of agreement. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:55 p.m. MOTION: Mayor Anderson moved the meeting be adjourned. The motion was seconded by Councilmember Elliott and unanimously carried. (5-0) 0 The meeting adjourned at 5:55 p.m. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26. 2001 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Anderson called the meeting to order at 6:10 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Robert Schultz Bridgett Bauer Rick Algert Greg Beuer Bill Boucher Janeen Burlingame Greg Fuz Steve Knuckles Andrea Lueker 1 City Manager City Attorney City Clerk Harbor Director Acting Police Chief Capital Projects Manager Management Analyst Public Services Director Fire Captain Recreation & Parks Director ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT = City Attorney Robert Schultz stated the City Council met in Closed Session, and no reportable action was taken. PUBLIC COMMENT Roger Ewing addressed Item C-1 (Consideration to Proceed with Video Production Services and City Government Channel Insertion Point Management Request for Proposals) stating he is grateful to AGP Video for their efforts as a production company; and requested Council continue with their services by awarding a new contract. Faella Chapman, Morro Bay High School Pirate Recycling, requested Council continue the funding for this recycling program. r MINUTES- MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26. 2001 Jim Wood requested Council consider extending the contract with AGP Video instead of going out with a Request for Proposal. He also addressed Item D-3 (Consideration of Make -Up of Commissions and Advisory Boards Membership. and Interview Procedures) stating a reduction in membership of the Harbor Advisory Board could send a broader message of reduced interest and support for the City's working harbor. He also referred to the Duke Energy Project and suggested one way to lessen the impacts of anticipated construction traffic would be to consider barging in the bulk of construction materials as was done during the construction of Diablo Canyon. Susan Coward addressed Item C-1 and requested Council look at all options by going out with a Request for Proposal for video production services. John Barta addressed the benefits of converting one of the Duke Energy power stacks into a lighthouse. Kim Kimball expressed the support of the Chamber of Commerce Board of Directors for the consideration of converting one of the power stacks into a ® lighthouse. Harry Rogers addressed Item D-3 and expressed the importance of appointing qualified applicants to the City's commissions and advisory boards. He also stated he salutes the military who perform flyovers. l DECLARATION OF FUTURE AGENDA ITEMS Councilmember Peirce requested the future consideration of converting one of the power plant stacks into a lighthouse. . Councilmember Peters requested the consideration of compensation to temporary employees who have worked for a number of years. Councilmember Elliott requested the consideration of managing the Dial -A -Ride and trolley services as an in-house City service. 3 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26. 2001 A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETINGS OF JANUARY 8, 2001 AND JANUARY 22, 2001, AND THE SPECIAL COUNCIL WORKSHOP ON FEBRUARY 7. 2001: (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 RESOLUTION NO. 08-01 AUTHORIZING THE NOTICE OF COMPLETION FOR CHORRO CREEK BRIDGE REVEGETATION PROJECT; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 08-01. ® A-3 RESOLUTION NO. 10-01 AUTHORIZING A TRANSFER OF FUNDS FOR THE PURCHASE OF 1055 MORRO AVENUE TO REIMBURSE THE PARKING IN -LIEU FUND: (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution No. 10-01. A-4 RESOLUTION NO. 11-01 AUTHORIZING THE MAYOR TO EXECUTE REAL PROPERTY AGREEMENT FOR ACQUISITION OF THE REAL PROPERTY LOCATED AT THE NORTHEAST CORNER OF MARKET AND PACIFIC STREETS: (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 11-01. A-5 RESOLUTION NO. 12-01 DIRECTING STAFF TO TAKE IMMEDIATE ACTION TO DEVELOP AND IMPLEMENT STRATEGIES TO REDUCE ENERGY USAGE: (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 12-01. 4 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - FEBRUARY 26, 2001 A-6 PROCLAMATION DECLARING MARCH 8. 2001 AS "CALIFORNIA POLYTECHNIC STATE UNIVERSITY HISTORY DAY"; (ADMINISTRATION) RECOMMENDATION: Adopt Proclamation. A-7 ' PROCLAMATION DECLARING FEBRUARY 27, 2001 AS "SPAY DAY USA"; (ADMINISTRATION) RECOMMENDATION: Adopt Proclamation. Councilmember Crotzer pulled Item A-4; Councilmember Peters pulled Item A-5; and Mayor Anderson pulled Items A-6 and A-7. MOTION: Councilmember Peirce moved the City Council approve Items A-1, A-2, and A-3 of the Consent Calendar. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) ® A-4 RESOLUTION NO. 11-01 AUTHORIZING THE MAYOR TO EXECUTE REAL PROPERTY AGREEMENT FOR ACQUISITION OF THE REAL PROPERTY LOCATED AT THE NORTHEAST CORNER OF MARKET AND PACIFIC STREETS; (ADMINISTRATION) Councilmember Crotzer stated his question is and has been how much does it cost to provide a parking space. He said the debate should be if the Embarcadero property owners should be responsible for paying the whole fee, or should a portion be paid through the General Fund. Councilmember Elliott stated a parking structure is a benefit to the entire City and the requirement of parking should be realistic for the businesses on the Embarcadero. MOTION: Councilmember Elliott moved the City Council approve Item A-4 of the Consent Calendar. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) 5 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - FEBRUARY 26. 2001 A-5 RESOLUTION NO. 12-01 DIRECTING STAFF TO TAKE IMMEDIATE ACTION TO DEVELOP AND IMPLEMENT STRATEGIES TO REDUCE ENERGY USAGE; (ADMINISTRATION) Councilmember Peters stated the downtown merchants are assisting in the reduction of energy by turning off the downtown tree lights. Councilmember Crotzer stated the local government could lead the way in energy reduction by reducing energy usage by 10%. He requested an amendment be made to Resolution No. 12-01 by adding that local government will reduce energy consumption by a minimum of 10%. Council did not support Councilmember Crotzer's recommended language to Resolution No. 12-01. MOTION: Councilmember Peirce moved the City Council approve Item A-5 of the Consent Calendar. The motion was seconded by Councilmember Elliott and carried with Councilmember Crotzer ® voting no. (4-1) A-6 PROCLAMATION DECLARING MARCH 8, 2001 AS "CALIFORNIA POLYTEC14NIC STATE UNIVERSITY HISTORY DAY"; (ADMINISTRATION) MOTION: Councilmember Crotzer moved the City Council approve item A-6 of the Consent Calendar. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) Mayor Anderson presented the Proclamation declaring March 8. 2001 as "California Polytechnic State University History Day" to Dr. Haile of Cal Poly. A-7 PROCLAMATION DECLARING FEBRUARY 27, 2001 AS "SPAY DAY USA"; (ADMINISTRATION) MOTION: Councilmember Crotzer moved the City Council approve item A-7 of the Consent Calendar. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) Mayor Anderson called for a break at 7:25 p.m.; the meeting resumed at 7:40 p.m. ® B. PUBLIC HEARINGS. REPORTS & APPEARANCES —NONE. 3 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26.2001 C. UNFINISHED BUSINESS C-1 CONSIDERATION TO PROCEED WITH VIDEO PRODUCTION SERVICES AND CITY GOVERNMENT CHAN-NIEL INSERTION POINT MANAGEMENT REQUEST FOR PROPOSALS; (ADMINISTRATION) Management Analyst Janeen Burlingame stated the current Video Production Services with AGP Video expires on June 30. 2001. She noted on December 11, 2000. Council directed staff to return this matter before Council to discuss whether or not to proceed with the Request for Proposal (RFP) process. Ms. Burlingame reviewed the following benefits in soliciting competitive proposals for this service: 1) introduce competition; 2) increase efficiency and quality; 3) achieve lower prices; and 4) assure proposers that the selection process is open and fair. Ms. Burlingame recommended the City Council direct staff to proceed with the Request for Proposal process for video production services and. City Government channel insertion point management. Councilmember Crotzer stated he does not support going out for the RFP process ® because "if it isn't broken don't fix it," and expressed his support for the service currently provided by AGP Video. 1 Councilmember Elliott stated AGP Video has gone above and beyond the call of duty and supports extending their contract for a longer period than one year. Councilmember Peters also expressed her support for the service provided by AGP Video. She recommended Council consider extending the contract with AGP Video with a three year contract, remove the surety bond requirement, and reimburse AGP Video for the $1.570.91 withheld to build up a cash bond. Mayor Anderson stated the taxpayers money should be used wisely, and an RFP process should be considered. MOTION: Councilmember Peters moved the City Council extend the AGP Video contract for 3 years, remove the surety bond requirement. reimburse AGP Video for $1.570.93 that was withheld by the City to build up a cash bond, and return the contract to Council for approval. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) 7 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - FEBRUARY 26. 2001 C-2 CONSIDERATION OF JOINT CITY/COUNTY CIVIC CENTER PROJECT; (RECREATION & PARKS) Recreation & Parks Director Andrea Lueker stated the first part of the presentation revolves around the Green Building Grant, awarded to the City from the California IWMA Board. She noted RRM Design Group was contracted to perform the scope of work for the grant, and introduced Katrina Rosa and Todd Hanson of RPM Design Group who reviewed the documents generated from the Green Building Grant. Ms. Lueker recommended the City Council accept the documents generated from the Green Building Grant in order to close out the grant; review the issues in support or against a City/County project, and direct staff to pursue the next step with one or the other option in terms of preliminary design and permitting; and, approve the development of a comprehensive City Facilities Master Plan. Councilmember Peirce stated the City's Police and Fire Departments need new facilities, and he supports that taking place instead of a joint City/County building. ® Councilmember Crotzer stated consideration needs to be given to response time when considering the relocation of the City Police and Fire Departments. He stated he supports building a joint City/County building because it would bring increased services to the City. r Councilmember Elliott stated with a joint City/County Civic Center would increase traffic, pollution, and parking needs in the. City. He expressed support for a City -only Civic Center. Mayor Anderson stated with a joint effort of this Civic Center would increase the parking deficit in the City. He said currently with City departments being separated in locations is creating duplication in costs, and if combined, these duplications could be resolved. Councilmember Peters stated it is important to look at the long-term needs of the City when reviewing the Civic Center plans. She said the consolidation of departments would facilitate cooperation and save money at the same time. Councilmember Peters stated if feasible it would benefit to have a Cit_v-owned Civic Center. E MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - FEBRUARY 26, 2001 MOTION: Councilmember Peirce moved the City Council accept the documents generated from the Green Building Grant in order to close out the grant. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) MOTION: Councilmember Elliott moved the City Council approve the development of a comprehensive City Facilities Master Plan. The motion was seconded by Councilmember Peirce and carried with Councilmember Crotzer voting no. (4-1) ivlayor Anderson called for a break at 9: L3 p.m.; the meeting resumed at 9:22 p.m. C-3 STATUS REPORT ON DUKE ENERGY POWER PLANT MODERNIZATION PLAN; (PUBLIC SERVICES) Public Services Director Greg Fuz reported on the status of the Duke Energy Power Plant Modernization Plan. and the CEC workshops held in Morro Bay last week. ® This was an informational item. and no action was taken. El D. NEW BUSINESS D-1 APPROVAL OF THE STIPULATED RESOLUTION OF ABATEMENT HEARING AGAINST SHELL/EQUILON/EQUIVA; (PUBLIC SERVICES) City Attorney Robert Schultz reviewed the approved Stipulated Resolution of the Abatement Hearing against Shell/Equilon/Equiva that requires Shell/Equilon/ Equiva to pay the City up to $2.275.000. He noted in addition, the City will receive up to $6,500 per month for ongoing costs to monitor the remediation. Public Services Director Greg Fuz reviewed the plans and permit process underway with the Shell Station. He said the City facilitated the site assessment by using emergency permits and secured the services of a technical consultant specializing in MtBE matters to review and comment on Shell's site assessment and remediation plans. Mr. Fuz introduced John Rohr of Komex who reported on the remediation process of the MtBE contamination in Morro Bay. M MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - FEBRUARY 26. 2001 MOTION: Councilmember Crotzer moved the City Council approve the Stipulated Resolution of the Abatement Hearing against Shell/Equilon/Equiva. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) Council concurred to move the agenda out of order to hear Items D-3 and D-4 next. D-2 DISCUSSION ON THE 4'h OF JULY CELEBRATION: (ADMINISTRATION) Recreation & Parks Director Andrea Lueker reviewed the history of the 41h of July event, stating the event has been held at Tidelands Park for the past three years. She said the event has been community -run with the Chamber of Commerce taking the lead on organization. Ms. Locker stated in the past, the 4 h of July coordinating committee, consisting mostly of volunteers organized by the Chamber of Commerce, has worked to raise approximately $20,000 for the fireworks event. She noted the City of Morro Bay is providing a number of ® services to the 41h of July event as well as a small amount of direct funding. Ms. Lueker stated currently, the City does not accept the liability exposure for the event or the fireworks show and does not fund the direct expenses of the event, with the exception of the $2,400 from the Harbor Fund. Council directed staff to work with the Chamber of Commerce in locating funding for the 4`h of July celebration for this year, and further requested the discussion of budgeting funds for next year's event during the upcoming budget process. D-3 CONSIDERATION OF MAKE-UP OF COMMISSIONS AND ADVISORY BOARDS MEMBERSHIP, AND INTERVIEW PROCEDURES; (ADMINISTRATION) City Manager Robert Hendrix stated at a recent special meeting, Council discussed Policies and Procedures and the issue of the number of members of the City's Commissions and Advisory Boards was mentioned as a subject for future discussion. He said currently the Planning Commission and Public Works Advisory Board are the only two bodies with five members. Councilmember Peirce stated he supports five -member commissions and boards because it appears to work more efficiently, with the exception of the Harbor ® Advisory Board. 10 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26, 2001 Councilmember Peters concurs with the appointment of five -member boards; however, would like the boards to be more gender -balanced. She stated she is hesitant in reducing the -Harbor Advisory Board due to the fact that the harbor is represented by a non-resident board member. Councilmember Crotzer stated the Harbor Advisory Board should remain with seven board members since it is a joint -jurisdictional area, but supports the Recreation & Parks Commission and Community Promotions Committee to be reduced to five members. Councilmember Elliott stated he supports reducing all Commissions . and Advisory Boards to five members. He said five members work more effectively than seven members. Mr. Hendrix stated the established procedure for interviews consists of each applicant being interviewed individually. He noted Councilmember Peters suggested the Council consider a different and perhaps more informative and ® efficient format for the interview process. Mr. Hendrix reviewed the following suggestions made by Councilmember Peters: 1) all applicants for a particular board or commission be interviewed together; 2) each applicant would state their qualifications and reasons for seeking appointment, after which the Council would ask questions of all applicants, giving each the opportunity to answer individually; 3) the order of answering would rotate with each question to avoid one applicant always having to answer first. Mr. Hendrix noted the anticipated result of this procedure would be a shorter interview process, as the Council would only need to ask their questions once. In addition, it may be informative to see how the applicants respond in a group situation similar to that of the boards and commissions. Councilmember Peirce stated he supports the proposed group interview process. He said individual interviewing works when it is only the interview panel and applicant, however that is not the case since it is a public meeting. Councilmember Crotzer expressed support for the proposed group interview process. Councilmember Elliott finds group interviews, also known as assessment centers, to be unsuccessful and less effective than individual interviews. C� MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING - FEBRUARY 26, 2001 MOTION: Councilmember Crotzer moved the City Council approve to reduce the membership of the Recreation & Parks Commission and Community Promotions Committee to five members; and maintain the Harbor Advisory Board with seven members. He further moved the City Council approve the proposed group interview process. The motion was seconded by Councilmember Peters and carried with Councilmember Elliott voting no. (4-1) D-4 SCHEDULE DATE FOR COUNCIL TO ESTABLISH CITY PRIORITIES: (FINANCE) The City Council scheduled a special meeting for February 28, 2001 at 7:00 p.m. in the Community Center Multi Purpose Room to consider City priorities. F. ADJOURNMENT The meeting adjourned at 10:55 p.m. Recorded by: Bridgett Bauer City Clerk 12 ® NOTICE OF SPECIAL CLOSED SESSION MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Closed Session Meeting on Monday, February 19, 2001 at 5:00 p.m. to be held in the City Hall Conference Room, 595 Harbor Street, Morro Bay, California. The City Council will be considering the following issue: GOVERNMENT CODE SECTION 54956.8: REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for a lease and/or easement agreement. Property: Water outfall line ® Negotiating Parties: Duke Energy and City of Morro Bay Negotiations: Renegotiation and/or extension of terms and conditions of agreement. DATED: February 16, 2001 Bridgett B er, City Clerk E ® NOTICE OF SPECIAL CLOSED SESSION MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Closed Session Meeting on Tuesday, February 13, 2001 at 4:00pm. to be held in the City Hall Conference Room, 595 Harbor Street, Morro Bay, California. The City Council will be considering the following issue: GOVERNMENT CODE SECTION 54956.9(c): CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION: Initiation of litigation exists based upon existing facts and the advise of legal counsel to one (1) matter: City of Morro Bay v. Shell Oil Company; Equilon Enterprises, LLC and Equiva Services, LLC ® It is noted that the contents of closed session meetings are confidential and exempt from disclosure. DATED: February 9, 2001 9';�� 0OR a, JaYie Boucher, Deputy City Clerk ® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. SPECIAL MEETING — FEBRUARY 7, 2001 CLOSED SESSION - FEBRUARY 7, 2001 CITY HALL CONFERENCE ROOM - 6:00 P.M. 595 HARBOR ST., iYIORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to three (3) parcels. ® • Property: Comer of Market and Pacific Streets Negotiating Parties: Com-Spec Properties, Inc. and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. Property: Lots/Monterey Avenue & Harbor Street Negotiating Parties: Al Jorge and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. Property: End of Toro Lane Negotiating Parties: Global West and the City of Morro Bay Negotiations: Easement/Lease. CS-2 GOVERNMENT CODE SECTION 54956.9 (C); CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. Initiation of litigation exists based upon existing facts and the advice of legal counsel as to one matter. Citv of Morro Bay v. Shell Oil Companv,; Equilon Enterprises, LLC and Equiva Services, LLC ® IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. ® SPECIAL CITY COUNCIL WORKSHOP FEBRUARY 7, 2001 - 7:00 P.M. COMMUNITY CENTER - MULTI PURPOSE ROOM 1001 KENNEDY WAY, MORRO BAY, CA A. ESTABLISH QUORUM AND CALL TO ORDER B. CLOSED SESSION REPORT C. PUBLIC COMMENT PERIOD D. BUSINESS ITEMS ADOPTION OF RESOLUTION IN OPPOSITION TO PROPOSAL BY U.S. NAVY TO USE FORT HUNTER-LIGGETT AS A TRAINING BOMBING RANGE ® 2. CONSIDERATION OF COUNCIL POLICIES AND PROCEDURES E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TLN1E SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORDIATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE NN7TH THE AMERICANS NVITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT ® REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. ® MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - FEBRUARY 7, 2001 CITY HALL CONFERENCE ROOM - 6:00 P.M. Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney Greg Fuz Public Services Director CLOSED SESSION MOTION: Councilmember Peirce moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) ® Mayor Anderson read the Closed Session statement. CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to three (3) parcels. • Property: Comer of Market and Pacific Streets Negotiating Parties: Com-Spec Properties, Inc. and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. • Property: Lots/Monterey Avenue & Harbor Street Negotiating Parties: Al Jorge and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. • Property: End of Toro Lane Negotiating Parties: Global West and the City of Morro Bay Negotiations: Easement/Lease. ® CS-2 GOVERNMENT CODE SECTION 54956.9 (C); CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. Initiation of litigation exists based upon existing facts and the advice of legal counsel as to one matter. • City of Morro Bay v. Shell Oil Company, Equilon Enterprises, LLC and Equiva Services, LLC The meeting adjourned to Closed Session at 6:00 p.m. and returned to regular session at 6:55 p.m. MOTION: Councilmember Elliott moved the meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) The meeting adjourned at 6:55 p.m. 11 !] ® MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING — FEBRUARY 7, 2001; 7:00 P.M. COMMUNITY CENTER MULTI PURPOSE ROOM Mayor Anderson called the meeting to order at 7:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix City Manager Robert Schultz City Attorney Bridgett Bauer City Clerk A. ESTABLISH QUORUM AND CALL TO ORDER B. CLOSED SESSION REPORT City Attorney Robert Schultz reported the City Council met in Closed Session, and no reportable action was taken. C. PUBLIC COMMENT PERIOD Pam Soderback expressed her appreciation for the City's action against Shell regarding the MtBE contamination found in Morro Bay. She also noted she would be available for questions relating to her written comments regarding Council policies and procedures. John Barta stated the proposed policy for selection of commissioners and advisory board members is a form of cronyism and he expressed opposition to this proposed policy, and also the proposed policy wherein each Councilmember serves as liaison on each commission and board. Mr. Barta also opposes the 6:00 p.m. speaker slips. Jim Wood also expressed opposition to the proposed policy for selection of commissioners and advisory board members. Harry Rogers stated the consideration of qualifications of those selected to serve on commissions and advisory boards are important. 3 ® MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING — FEBRUARY 7, 2001 Meredith Bates stated she supports the proposed policy of each Councilmember appointing a member to serve on each of the commissions and advisory boards. She also supports each Councilmember serving as liaison on the commissions and advisory boards. Ms. Bates stated the proposed speaker slips seem too cumbersome. Thad Baxley requested Council consider the appointment of five member commissions and advisory boards that seem to have worked for the Public Works Advisory. Nancy Castle stated speaker slips should not be based on a time limit. Nancy Ferraro expressed support for Resolution No. 09-01 in opposition of the proposal by the U.S. Navy to use Fort Hunter -Liggett as a Training Bombing Range. Betty Winhotz issued written comments on policies that are unclear or ® inconsistent with City goals. D. BUSINESS ITEMS 1. RESOLUTION 09-01 IN OPPOSITION TO PROPOSAL BY U.S. NAVY TO USE FORT HUNTER-LIGGETT AS A TRAINING BOMBING RANGE MOTION: Councilmember Crotzer moved the City Council adopt Resolution No. 09-01 in opposition of the proposal by the U.S. Navy to use Fort Hunter -Liggett as a Training Bombing Range. ' The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) 2. CONSIDERATION OF COUNCIL POLICIES AND PROCEDURES The City Council discussed the proposed policies and procedures, and made amendments to various sections. Staff was directed to return the amended policies and procedures to Council for adoption. 4 ® MfNUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING — FEBRUARY 7, 2001 E. ADJOURNMENT The meeting adjourned at 10:20 p.m. Recorded by: Bridgett Bauer City Clerk u El ® NOTICE OF SPECIAL CLOSED SESSION MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Closed Session Meeting on Thursday, February 1, 2001 at 7:00 p.m. to be held in the City Hall Conference Room, 595 Harbor Street, Morro Bay, California. The City Council will be considering the following issue: GOVERNMENT CODE SECTION 54956.90; CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION: Initiation of litigation exists based upon existing facts and the advice of legal counsel as to one (1) matter: • City of Morro Bay v. Shell Oil Company; Equilon Enterprises, LLC and Equiva Services, LLC It is noted that the contents of closed session meetings are confidential and exempt from disclosure. DATED: January 31, 2001 Bridgett B er, City Clerk ®1 ® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation: and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public REGULAR MEETING — JANUARY 22, 2001 CLOSED SESSION — JANUARY 22, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY ® TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to two (2) parcels. Property: 870 Morro Bay Boulevard Negotiating Parties: Woody's Antiques and the City of Morro Bay Negotiations:.Voluntary Purchase and Sale. Property: End of Toro Lane Negotiating Parties: Global West and the City of Morro Bay Negotiations: Easement/Lease. CS-2 GOVERNMENT CODE SECTION 54956.9 (C); CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. Initiation of litigation exists based upon existing facts and the advice of legal counsel as to two (2) matters. • City of Morro Bay vs. DeGarimore • City of Morro Bay vs. Morro Bay Fuel Dock Inc. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. ® PUBLIC SESSION — JANUARY 22, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ® All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF DECEMBER 11, 2000; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 CASH & INVESTMENT REPORTS — NOVEMBER AND DECEMBER 2000; (FINANCE) RECOMMENDATION: Receive reports for information. 11 2 A-3 EXPENDITURE REPORTS — NOVEMBER AND DECEMBER 2000; ® (FINANCE) RECOMMENDATION: Approve as submitted. A-4 RESOLUTION NO. 06-01 AUTHORIZING THE SUBMITTAL OF AN APPLICATION TO THE CALIFORNIA INTEGRATED WASTE MANAGEMENT BOARD FOR A 00/01 PARK PLAYGROUND ACCESSIBILITY AND RECYCLING GRANT PROGRAM; (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution No. 06-01. A-5 AWARD OF CONTRACT FOR EMERGENCY OPERATIONS CENTER STAND-BY GENERATOR PROJECT; (PUBLIC SERVICES) RECOMMENDATION: Award the project contract to Electricraft, Inc. in the amount of $25,977 representing the base bid plus the extended maintenance contract. A-6 RESOLUTION NO. 05-01 APPROVING A SIX-MONTH EXTENSION TO THE CABLE FRANCHISE AGREEMENT; (ADMINISTRATION) ® RECOMMENDATION: Adopt Resolution No. 05-01. B. PUBLIC HEARINGS, REPORTS & APPEARANCES — NONE. C. UNFNISHED BUSINESS C-1 SCHEDULING INTERVIEW DATE FOR APPOINTMENTS TO CITY COMMISSIONS AND ADVISORY BOARD VACANCIES; (ADMINISTRATION) RECOMIN ENDATION: Discuss and direct staff accordingly. C-2 CONSIDERATION OF SCHEDULE TO REVIEW PROPOSED COUNCIL POLICIES AND PROCEDURES; (ADMINISTRATION) RECOMMENDATION: Discuss and direct staff accordingly. C-3 UPDATE ON THE SHELL/EQUILON/EQUIVA MtBE CONTAMINATION N MORRO BAY; (PUBLIC SERVICES) RECOMMENDATION: Receive update for information. 3 C-4 STATUS REPORT ON DUKE ENERGY POWER PLANT MODERNIZATION PLAN; RECOMMENDATION: Receive report for information. D. NEW BUSINESS D-1 RESOLUTION NO. 07-01 AMENDING THE OPERATING AND CAPITAL IMPROVEMENT BUDGETS AND MAKING SUPPLEMENTAL APPROPRIATIONS AND INTERFUND LOANS FOR FISCAL YEAR 2000- 2001; (FINANCE) RECOMMENDATION: Adopt Resolution No. 07-01. D-2 REVIEW AND COMMENT ON HARBOR LEASE MANAGEMENT POLICY; (HARBOR) RECOMMENDATION: Discuss and direct staff accordingly. D-3 APPROVAL OF MAYOR'S LETTER REGARDING PROPOSAL BY U.S. NAVY TO USE FORT HUNTER-LIGGETT AS A TRAINING BOMBING RANGE; (ADMINISTRATION) ® RECOMMENDATION: Review and approve Mayor's letter regarding proposal by U.S. Navy to use Fort Hunter -Liggett as a training bombing range. D-4 APPOINTMENT OF ONE COUNCIL MEMBER TO THE EVALUATION COMMITTEE FOR THE MORRO BAY DIAL -A -RIDE AND TROLLEY REQUEST FOR PROPOSALS; (ADMINISTRATION) RECOMMENDATION: Appoint one Council Member to the Evaluation Committee for the review of the Morro Bay Dial -A -Ride and Trolley Request for Proposals. E. . ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY. AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ® ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 0 171 MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION — JANUARY 22, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Vice -Mayor Peters called the meeting to order at 5:00 p.m. PRESENT: ABSENT: STAFF: CLOSED SESSION Janice Peters Colby Crotzer Dave Elliott William Peirce Rodger Anderson Robert Hendrix Robert Schultz Rick Algert Greg Fuz Greig Cummings Vice -Mayor Councilmember Councilmember Councilmember Mayor City Manager City Attorney Harbor Director Public Services Director Planning Manager MOTION: Councilmember Peirce moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Elliott and unanimously carried. (4-0) Vice -Mayor Peters read the Closed Session statement. CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to two (2) parcels. • Property: 870 Morro Bay Boulevard Negotiating Parties: Woody's Antiques and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. • Property: End of Toro Lane Negotiating Parties: Global West and the City of Morro Bay Negotiations: Easement/Lease. CS-2 GOVERNMENT CODE SECTION 54956.9 (C); CONFERENCE WITH ® LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. Initiation of litigation exists based upon existing facts and the advice of legal counsel as to two (2) matters. • City of Mono Bay vs. DeGariniore • City of Morro Bay vs. Mono Bay Fuel Dock Inc. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:50 p.m. MOTION: Councilmember Elliott moved the meeting be adjourned. The motion was seconded by Councilmember Peirce and unanimously carried. (4-0) The meeting adjourned at 5:50 p.m. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. Vice -Mayor Peters called the meeting to order at 6:00 p.m PRESENT: Janice Peters Vice -Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember ABSENT: Rodger Anderson Mayor STAFF: Robert Hendrix City Manager Robert Schultz City Attorney Bridgett Bauer City Clerk Rick Algert Harbor Director Greg Fuz Public Services Director Jeff Jones Fire Chief Jim Koser Finance Director Joe Loven Police Chief Andrea Lueker Recreation & Parks Director `J 2 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 2001 ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS CLOSED SESSION REPORT — City Attorney Robert Schultz reported City Council met in Closed Session and the following action was taken: Item CS-1 — no reportable action was taken; Item CS-2 — Council directed staff if this matter is not resolved and the defaults are not cured, or a plan is issued to cure the defaults within one week, then the City will issue notice of default on both properties. PUBLIC COMMENT ® Peter Wagner addressed the Shell issue and commended the City for taking action against this company. He said no MtBE should be allowed in the City's water. Mr. Wagner publicly cut up his Shell credit card and asked others to do the same. El David Nelson stated he forwarded two reports for Council review regarding cooling water systems used by power plants. He suggested Duke Energy consider using an air- cooling technique to run the plant. Jack McCurdy addressed the emergency variance issued to Duke Energy by the Air Pollution Control District to increase pollution from the Morro Bay Power Plant. He stated this increase of pollution causes the potential for danger to the environment and public health. Mr. McCurdy expressed concern that this variance was issued without public notice or the opportunity for a public hearing. Ed Tongett announced there is a new community service program called the Morro Bay/ Cayucos Caregivers Group. This group will provide support to seniors, and their families, who are no longer able to care for themselves. Betty Winholtz stated she is a renter who does not receive a water bill, and she did not receive the notice that was sent out with the water bills advising of the General Plan meeting that was held last week. She requested the City notice these meetings so that all citizens will be advised. 3 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 2001 Melody DeMerritt addressed the emergency variance issued to Duke Energy to increase pollution from the Morro Bay Power Plant. She said as an asthmatic she does not know if she can remain living in Morro Bay due to the amount of discharge created by the power plant. Ms. DeMerritt stated Duke Energy provides 5% of this state's total energy, so why do they need to increase the pollutants that are harmful to the citizens of Morro Bay. Bonita Chumey addressed the emergency variance issued -to Duke Energy, and requested the City's representative on the Air Pollution Control District Board will address the citizen's concerns at the Board's next meeting. She expressed concern with the pollution caused by Duke Energy that is evident in the air quality. Steve Goschke, Plant Manager at Duke Energy Power Plant, stated the Air Pollution Control District requested Duke Energy apply for this emergency variance based on the current energy conditions. He said whenever the plant goes over the 3.5 ton per day limit, Duke is required to pay a 57,800/ton contribution to the Air Pollution Control District coffers that can be used to reduce pollution in the county. ® Jim Nance stated the energy shortage is a conspiracy between the producers and providers of electrical power to raise rates on the consumer. Pam Soderback stated the Jazz Festival was a great experience. She also referred to the "gunk" in the air caused by the power plant discharge. Lynda Merrill expressed concern with the pollution caused by the power plant discharge. She asked if a public notice could be broadcasted on Channel 54 when the power plant will be discharging large amounts of pollution. Don Maruska thanked the City and volunteers for the Morro Bay Bird Festival and Jazz Festival which were both very entertaining. Vice -Mayor Peters closed the public comment hearing. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Crotzer requested a follow-up on the League of California Cities' request that municipalities cut their energy usage by 7%. 0 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 2001 A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF DECEMBER 11, 2000; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 CASH & INVESTMENT REPORTS — NOVEMBER AND DECEMBER 2000; (FINANCE) RECOMMENDATION: Receive reports for information. A-3 EXPENDITURE REPORTS — NOVEMBER AND DECEMBER 2000; (FINANCE) ® RECOMMENDATION: Approve as submitted. u A-4 RESOLUTION . NO. 06-01 AUTHORIZING THE SUBMITTAL OF AN APPLICATION TO THE CALIFORNIA INTEGRATED WASTE MANAGEMENT BOARD FOR A 2000/01 PARK PLAYGROUND ACCESSIBILITY AND RECYCLING GRANT PROGRAM; (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution No. 06-01. A-5. AWARD OF CONTRACT FOR EMERGENCY OPERATIONS CENTER STAND-BY GENERATOR PROJECT; (PUBLIC SERVICES) RECOMMENDATION: Award the project contract to Electricraft, Inc. in the amount of $25,977 representing the base bid plus the extended maintenance contract. A-6 RESOLUTION NO. 05-01 APPROVING A SIX-MONTH EXTENSION TO THE CABLE FRANCHISE AGREEMENT; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 05-01. 5 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 2001 Councilmember Crotzer pulled Item A-2 from the Consent Calendar; and Councilmember Peters pulled Item A-4. MOTION: Councilmember Peirce moved the City Council approve the Consent Calendar with the exception of Items A-2 and A-4. The motion was seconded by Councilmember Crotzer and carried unanimously. (4-0) A-2 CASH & INVESTMENT REPORTS — NOVEMBER AND DECEMBER 2000; (FINANCE) Councilmember Crotzer reviewed the Cash & Investment Report for December 2000 for public information. MOTION: Councilmember Crotzer moved the City Council approve Item A-2 of the Consent Calendar. The motion was seconded by Councilmember Peirce and carried unanimously. (4-0) ® A-4 RESOLUTION NO. 06-01 AUTHORIZING THE SUBMITTAL OF AN APPLICATION TO THE CALIFORNIA INTEGRATED WASTE MANAGEMENT BOARD FOR A 2000/01 PARK PLAYGROUND ACCESSIBILITY AND RECYCLING GRANT PROGRAM; (RECREATION & PARKS) Councilmember Peters requested staff review Resolution No. 06-01 for public information. Recreation & Parks Director Andrea Lueker stated this is the first grant available based on the results of Proposition 12 which passed in March 2000. She reviewed the purpose for submittal of the application to the California Integrated Waste Management Board for a 2000/01 Park Playground Accessibility and Recycling Grant Program. MOTION: Councilmember Peters moved the City Council approve Item A-4 of the Consent Calendar. The motion was seconded by Councilmember Crotzer and carried unanimously. (4-0) B. PUBLIC HEARINGS, REPORTS & APPEARANCES —NONE. E n. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 2001 C. UNFINISHED BUSINESS C-1 SCHEDULING INTERVIEW DATE FOR APPOINTMENTS TO CITY COMMISSIONS AND ADVISORY BOARD VACANCIES; (ADMINISTRATION) The City Council scheduled the interview date for appointments to City Commissions and Advisory Board vacancies for February 28, 2001 at 6:00 p.m. at the City Hall Conference Room. C-2 CONSIDERATION OF SCHEDULE TO REVIEW PROPOSED COUNCIL POLICIES AND PROCEDURES; (ADMINISTRATION) The City Council scheduled a public workshop to review the proposed Council Policies and Procedures for February 7, 2001 at 7:00 p.m. in the Community Center Multi -Purpose Room. C-3 UPDATE ON THE SHELL/EQUILON/EQUIVA MtBE CONTAMINATION N ® MORRO BAY; (PUBLIC SERVICES) Public Services Director Greg Fuz reviewed the status of the Shell/Equilon/Equiva MtBE contamination issue in Morro Bay. This item was informational, and no action was taken. C-4 STATUS REPORT ON DUKE ENERGY POWER PLANT MODERNIZATION PLAN; Public Services Director Greg Fuz reviewed the status of the Duke Energy Power Plant Modernization Project in Morro Bay. This item was informational, and no action was taken. Vice -Mayor Peters called for a break at 8:09 p.m.; the meeting resumed at 8:23 p.m. r 7 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 2001 D. NEW BUSINESS D-I RESOLUTION NO. 07-01 AMENDING THE OPERATING AND CAPITAL IMPROVEMENT BUDGETS AND MAKING SUPPLEMENTAL APPROPRIATIONS AND INTERFUND LOANS FOR FISCAL YEAR 2000- 2001; (FINANCE) Finance Director Jim Koser stated the. City Council adopted the annual budget for the General Fund and all other City funds last June 2000. He said as the City is now halfway through the fiscal year, staff has reviewed the City's budgetary status and recommends certain amendments to respond to new City Council direction and/or changing funding levels. Mr. Koser recommended the City Council adopt Resolution No. 07-01 making certain adjustments to the City's various budgets. MOTION: Councilmember Peirce moved the City Council adopt Resolution No. 07-01 making certain adjustments to the City's various budgets. The motion was seconded by Councilmember Crotzer and carved unanimously. (4-0) ® D-2 REVIEW AND COMMENT ON HARBOR LEASE MANAGEMENT POLICY; (HARBOR) Harbor Director Rick Algert introduced and reviewed the proposed Harbor Lease Management Policy. He recommended the City Council review the proposed lease management policy, provide staff with comments, refer the policy to the Harbor Advisory Board for review, and return to Council for action within the next 180 days. Council received the report for information, and referred the policy to the Harbor Advisory Board and Planning Commission for review. The Harbor Lease Management Policy is to return to Council for approval within the next 180 days. D-3 APPROVAL OF MAYOR'S LETTER REGARDING PROPOSAL BY U.S. NAVY TO USE FORT HUNTER-LIGGETT AS A TRAINING BOMBING RANGE; (ADMINISTRATION) Vice -Mayor Peters requested Council's support for the Mayor's letter opposing the proposal by the U.S. Navy to use Fort Hunter -Liggett as a training bombing range. MOTION: Councilmember Elliott moved the City Council support the Mayor's letter opposing the proposal by the U.S. Navy to use Fort Hunter -Liggett as a training bombing range. The motion was seconded by Councilmember ® Crotzer and carved unanimously. (4-0) 0 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 2001 D-4 APPOINTMENT OF ONE COUNCIL MEMBER TO THE EVALUATION COMMITTEE FOR THE MORRO BAY DIAL -A -RIDE AND TROLLEY REQUEST FOR PROPOSALS; (ADMINISTRATION) City Manager Robert Hendrix requested Council appoint one Council Member to the Evaluation Committee for the review of the Morro Bay Dial -A -Ride and Trolley Request for Proposals. MOTION: Councilmember Peirce moved the City Council appoint Councilmember Elliott as Council representative to the Evaluation Committee for the review of the Morro Bay Dial -A -Ride and Trolley Request for Proposals. The motion was seconded by Councilmember Crotzer and carried unanimously. (4-0) E. ADJOURNMENT ® The meeting adjourned at 10:05 p.m. Recorded by: Bridgett Bauer City Clerk 0 ® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING — JANUARY 8, 2001 CLOSED SESSION - JANUARY 8, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA ® CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to two (2) parcels. Property: 870 Morro Bay Boulevard Negotiating Parties: Woody's Antiques and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. Property: Corner of Market and Pacific Streets Negotiating Parties: Com-Spec Properties, Inc. and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. ® PUBLIC SESSION — JANUARY 8, 2001 VETERANS NIEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section B) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ® • All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF DECEMBER 11, 2000, AND SPECIAL MEETING OF DECEMBER 18, 2000; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 RESOLUTION NO. 01-01 ADOPTING THE CITY OF MORRO BAY INVESTMENT POLICY; (FINANCE) 0 RECOMMENDATION: Adopt Resolution No. 01-01. ® A-3 RESOLUTION NO. 02-01 PROHIBITNG ON -STREET PARKING ALONG QUNTANA ROAD EAST OF MAIN' STREET; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 02-01. A-4 RESOLUTION NO. 03-01 DESIGNATNG RELOCATION OF HANDICAP AND LOADING ZONE PARKING SPACES AT THE DUNES STREET DOCKS; (HARBOR) RECOMMENDATION: Adopt Resolution No. 03-01. A-5 AUTHORIZATION FOR MAYOR TO ATTEND THE CALIFORNIA MARINE AFFAIRS AND NAVIGATION CONFERENECE "WASHNGTON WEEK" MEETINGS MARCH 20-22, 2001; (HARBOR) RECOMMENDATION: Approve travel expenses from Harbor Department funds for Mayor Anderson to attend C-MANC's "Washington Week" meetings. A-6 PROCLAMATION RECOGNIZNG THE CENTRAL COAST WATER AUTHORITY FOR THEIR SERVICE TO THE CITIZENS OF MORRO BAY DURING THE RECENT MAINTENANCE SHUTDOWN OF THE STATE WATER PROJECT; (PUBLIC SERVICES) ® RECOMMENDATION: Adopt Proclamation. B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-1 REVIEW OF . CABLE CONSULTANT'S REPORTS REGARDING CHARTER COMMUNICATION'S PROPOSAL FOR FRANCHISE RENEWAL AND TECHNICAL EVALUATION OF CABLE SYSTEM; (ADMINISTRATION) RECOMMENDATION: This item will be continued to the January 22, 2001 City Council meeting. B-2 ORDINANCE NO. 485 AMENDING MORRO BAY MUNICIPAL CODE SECTION 5.30 REGARDING CABLE SYSTEM — FIRST READING AND INTRODUCTION; (ADMINISTRATION) RECOi1IMENDATION: This item will be continued to the January 22, 2001 City Council meeting. t ® B-3 ANNUAL WATER REPORT ON CITY WATER SUPPLY/DEMAND STATUS AND RECOMMENDATIONS FOR WATER ALLOCATION FOR NEW DEVELOPMENT IN CALENDAR YEAR 2001; (PUBLIC SERVICES) RECOMMENDATION: Receive report, and direct staff accordingly. C. UNFINISHED BUSINESS CA REVIEW OF WATER ALLOCATION POLICY, AND ALTERNATIVES TO THE RETROFIT PROGRAM; (PUBLIC SERVICES) RECOMMENDATION: Review water allocation policy and alternatives to the retrofit program, and direct staff accordingly. C-2 REVIEW OF COUNCIL POLICIES AND PROCEDURES; (ADMINISTRATION) RECOMMENDATION: Review proposed Council policies and procedures, and direct staff accordingly. C-3 SELECTION OF VICE -MAYOR TO SERVE A ONE-YEAR TERM; (ADMINISTRATION) RECOMMENDATION: Select a Council Member to serve a one-year term as Vice- ® Mayor effective immediately. E C-4 SELECTION OF CITY COUNCIL DISCRETIONARY APPOINTMENTS TO VARIOUS BOARDS AND COMMITTEES; (ADMINISTRATION) RECOMMENDATION: Discuss and appoint or re -appoint representatives to serve on various boards and committees. C-5 ACTION REQUIRED TO FILL CITY COMMISSIONS AND ADVISORY BOARD VACANCIES; (ADMINISTRATION) RECOMMENDATION: Discuss and direct staff accordingly. C-6 UPDATE ON THE SHELL/EQUILON/EQUNA MtBE CONTAMINATION N MORRO BAY, AND AUTHORIZATION OF FUNDS FOR EXPERTS AND ATTORNEYS ASSOCIATED THEREWITH; (PUBLIC SERVICES) RECOMMENDATION: Receive report for information, and direct staff accordingly. 4 ® C-7 STATUS REPORT ON DUKE ENERGY POWER PLANT MODERNIZATION PLAN; (PUBLIC SERVICES) RECOi•IbIENDATION: Receive report for information. D. NEW BUSINESS — NONE. E. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT ® 772-6200 FOR FURTHER INFORMATION. 1 COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 5 11 MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - JANUARY 8, 2001 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Anderson called the meeting to order at 5:00 p.m. PRESENT STAFF CLOSED SESSION Rodger Anderson Colby Crotzer Dave Elliott William Peirce Janice Peters Robert Hendrix Robert Schultz Mayor Councilmember Councilmember Councilmember Councilmember City Manager City Attorney MOTION: Councilmember Elliott moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peirce and unanimously carried. (5-0) Mayor Anderson read the Closed Session statement. CS-1 GOVERIMN4ENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS. Instructing City's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to two (2) parcels. Property: 870 Morro Bay Boulevard Negotiating Parties: Woody's Antiques and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. Property: Corner of Market and Pacific Streets Negotiating Parties: Com-Spec Properties, Inc. and the City of Morro Bay Negotiations: Voluntary Purchase and Sale. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:20 p.m. MOTION: Councilmember Elliott moved the meeting be adjourned. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) The meeting adjourned at 5:20 p.m. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 2001 VETERANS MEMORIAL HALL - 6:00 P.M. E C� Mayor Anderson called the meeting to order at 6:00 p.m PRESENT: Rodger Anderson Mayor Colby Crotzer Councilmember Dave Elliott Councilmember William Peirce Councilmember Janice Peters Councilmember STAFF: Robert Hendrix Robert Schultz Jamie Boucher Rick Algert Bill Boucher Greg Fuz Clyde Ganes Larry Kraemer Jim Koser Joe Loven Andrea Lueker Mike Pond ESTABLISH QUORUM AND CALL TO ORDER PRAYER PLEDGE OF ALLEGIANCE THOUGHT FOR THE DAY MAYOR'S REPORTS & ANNOUNCEMENTS City Manager City Attorney Deputy City Clerk Harbor Director Capital Projects Manager Public Services Director Building Official Civil Engineer Finance Director Police Chief Recreation & Parks Director Fire Captain CLOSED SESSION REPORT - City Attorney Robert Schultz reported the City Council met in Closed Session, and no reportable action was taken. PUBLIC COMMENT Dale Ginder requested Council's support in approval of Resolution No. 02-01, which would prohibit parking on parts of Quintana Road. Harry Rogers stated he feels that all water customers should bear the fair share of water costs by getting rid of unfair developer fees. He also believes that the City should end the current retrofit program. Mr. Rogers stated the screening process of applicants for vacant commission positions is the most impartial process. 2 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 2001 Bill Woodson addressed Item C-1 (Review of Water Allocation Policy and Alternatives to the Retrofit Program) stating the following: 1) he does not feel the existing customers should have to pay higher water rates due to need for additional water; 2) he feels that fixing the desalination plant will prove to be too expensive; 3) the City needs to look at receiving a higher allocation of Sate Water; and 4) what will the City do with the extra water that the School District will no longer need, and how will the lost fees that the district will no longer be paying be recovered. Ed Sylvester addressed Item A-4 (Designating Relocation of Handicap and Loading Zone Parking Spaces at the Dunes Street Docks) requesting the City move the handicapped space furthest away from Giovanni's at the end of the parking lot, and open up a loading zone spot and still have six parking spaces. Barry Dorfman addressed Item C-2 (Review of Council Policies and Procedures) stating he would like to see the current policies and procedures compared to the proposed policies and procedures so that it is easier to follow the changes. He expressed concern with the ® commission/advisory board appointments stating appointments should be made through an interview process in public. Danny Tope stated she wants to help find a solution to the City's parking problem and also hopes that the money will be returned to the parking -in -lieu fund soon. Leebah Winter asked what would happen to her position on the Recreation & Parks Commission when her term is up at the end of January. She also noted she would not be embarrassed to be interviewed in public. John Barta addressed Item C-2 stating the policy and procedure document is very significant to the inner workings of the City, and suggested ample time is given to review the document. He said he opposes the proposed liaison concept. Pam Soderbeck also addressed Item C-2 and suggests that the interview process remain available for public viewing. She said she is disappointed that the last item at the last council meeting was not discussed that evening. Jim Wood addressed Item C-2 and maintains that filling out a speaker slip prior to the meeting is not his desired approach. He said as a current advisory board member, he agrees that the current approach to appointing commission and advisory board members is acceptable. ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 2001 Andy Foster, Recreation & Parks Commissioner, addressed Item C-5 and maintains that the interview process while being very uncomfortable allows the viewer the ability to see the attributes of the applicant. Mayor Anderson closed the public comment hearing. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Crotzer stated he would like a report on traffic circulation to be reviewed when future parking lot plans are being considered. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. ® A-1 APPROVAL OF MINUTES FOR THE REGULAR MEETING OF DECEMBER 11, 2000, AND SPECIAL MEETING OF DECEMBER 18, 2000; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 RESOLUTION NO. 01-01 ADOPTING THE CITY OF MORRO BAY INVESTMENT POLICY; (FINANCE) RECOMMENDATION: Adopt Resolution No. 01-01. A-3 RESOLUTION NO. 02-01 PROHIBITING ON -STREET PARKING ALONG QUNTANA ROAD EAST OF MAN STREET; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 02-01. A-4 RESOLUTION NO.03-01 DESIGNATNG RELOCATION OF HANDICAP AND LOADING ZONE PARKING SPACES AT THE DUNES STREET DOCKS; (HARBOR) RECOMMENDATION: Adopt Resolution No. 03-01. 4 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 2001 A-5 AUTHORIZATION FOR MAYOR TO ATTEND THE CALIFORNIA MARINE AFFAIRS AND NAVIGATION CONFERENECE "WASHINGTON WEEK" MEETINGS MARCH 20-22, 2001; (HARBOR) RECOMMENDATION: Approve travel expenses from Harbor Department funds for Mayor Anderson to attend C-MANC's "Washington Week" meetings. A-6 PROCLAMATION RECOGNIZING THE CENTRAL COAST WATER AUTHORITY FOR THEIR SERVICE TO THE CITIZENS OF MORRO BAY DURING THE RECENT MAINTENANCE SHUTDOWN OF THE STATE WATER PROJECT; (PUBLIC SERVICES) RECOMMENDATION: Adopt Proclamation. Councilmember Peters pulled Item A-3 from the Consent Calendar; and Mayor Anderson pulled Items A-4, A-5 and A-6. ® MOTION: Councilmember Crotzer moved the City Council approve the Consent Calendar with the alteration of Item A-1 (removal of minutes of December 11, 2000), and with the exception of Items A-3, A-4, A-5 and A-6. The motion was seconded by Councilmember Peirce and carved unanimously. (5-0) 1 A-3 RESOLUTION NO. 02-01 PROHIBITING ON -STREET PARKING ALONG QUINTANA ROAD EAST OF MAIN STREET Councilmember Peters stated she would like to be assured that the affected businesses alone this portion of Quintana Road are in agreement with this proposal. Councilmember Peirce would like to consider changing the speed limit to 25 mph in this affected area in the future. MOTION: Councilmember Peters moved the City Council approve Item A-3 of the Consent Calendar. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) 5 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 2001 A-4 RESOLUTION NO.03-01 DESIGNATING RELOCATION OF HANDICAP AND LOADING ZONE PARKING SPACES AT THE DUNES STREET DOCKS; (HARBOR) Mayor Anderson stated Mr. DeGarimore has allowed the City to encroach on his property, and also provided Council and staff with a proposal to allow for six parking spaces. Harbor Director Rick Algert made an alternate proposal that would move the handicap and loading zone parking spaces, and provide for five parking spaces. MOTION: Councilmember Peirce moved the City Council approve Item A-4 of the Consent Calendar with the modifications as proposed by staff. The motion was seconded by Councilmember Crotzer and carried unanimously. (5-0) A-5 AUTHORIZATION FOR MAYOR TO ATTEND THE CALIFORNIA MARINE AFFAIRS AND NAVIGATION CONFERENCE "WASHINGTON WEEK" MEETINGS TO BE HELD MARCH 20-22, 2001; (HARBOR) ® MOTION: Mayor Anderson moved the City Council approve Item A-5 of the Consent Calendar. The motion was seconded by Councilmember Elliott and carved unanimously. (5-0) A-6 PROCLAMATION RECOGNIZING THE CENTRAL COAST WATER AUTHORITY FOR THEIR SERVICE TO THE CITIZENS OF MORRO BAY DURING THE RECENT MAINTENANCE SHUTDOWN OF THE STATE WATER PROJECT; (PUBLIC SERVICES) MOTION: Councilmember Peirce moved the City Council approve Item A-6 of the Consent Calendar. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) Mayor Anderson presented the proclamation to Bill Brennan, Operations Manager of the CCWA. is 6 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 2001 B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-1 REVIEW OF CABLE CONSULTANT REPORTS REGARDING CHARTER COMMUNICATION'S PROPOSAL FOR FRANCHISE RENEWAL AND TECHNICAL EVALUATION OF CABLE SYSTEM; (ADMINISTRATION) MOTION: Councilmember Peters moved the City Council continue Item B-1 to the February 26, 2001 City Council Meeting. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) B-2 ORDINANCE NO. 485 AMENDING MORRO BAY MUNICIPAL CODE SECTION 5.30 REGARDING CABLE SYSTEM - FIRST READING AND INTRODUCTION; (ADMINISTRATION) MOTION: Councilmember Peters moved the City Council continue Item B-2 to the February 26, 2001 City Council Meeting. The motion was seconded by ® Councilmember Peirce and carried unanimously. (5-0) B-3 ANNUAL WATER REPORT ON CITY WATER SUPPLY/DEMAND STATUS AND RECOMMENDATIONS FOR WATER ALLOCATION FOR NEW DEVELOPMENT IN CALENDAR YEAR 2001; (PUBLIC SERVICES) Public Services Director Greg Fuz reviewed the annual water report and recommended the following: 1) allocation of 55 single family and 22 multi -family units; 2) the processing of the Residential Allocations pursuant to Ordinance 266; 3) authorization of the allocation of 130% of the residential water equivalency units to commercial and industrial projects; and, 4) the termination of the current retrofit program. He further recommended that this matter be continued to the January 22, 2001 City Council meeting to allow for more time to review and allow comment on the recommendations. Mayor Anderson opened the hearing for public comment. Harry Rogers questioned why current rate payers aren't held accountable for solving some of the City's water problems. John Barta requested the City Council consider reagendizing this item for discussion later in the evening. 7 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 2001 Leebah Winter expressed support for staffs recommendation on impact fees; and feels that those citizens on limited income should not have to pay for new development. Pam Soderbeck stated these problems are very serious in nature, and Council should consider long-term solutions. Ed Sylvester stated Shell Oil is responsible for this problem and should be liable for replacing the polluted well with a new well. Mayor Anderson closed the public comment period. MOTION: Councilmember Peters moved the City Council continue discussion of Item B-3 after considering Item C-1 on tonight's agenda. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) ® Mayor Anderson called for a break at 7:20 p.m.; the meeting resumed at 7:35 p.m. MOTION: Councilmember Elliott moved the City Council approve the Planning Commission's recommendations found in Items 3(A) and (B) listed in the staff report. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) C. UNFINISHED BUSINESS C-1 REVIEW OF WATER ALLOCATION POLICY, AND ALTERNATIVES TO THE RETROFIT PROGRAM; (PUBLIC SERVICES) Public Services Director Greg Fuz stated earlier this year, the Planning Commission, Public Works Advisory Board and City Council considered changes to the City's long-standing water allocation policy based in part on a legal opinion from Special Counsel David Hunt indicating the City can conjunctively allocate water derived from conservation, groundwater, desalination and the State Water Project to new development pursuant to existing adopted City plans, policies and ordinances. He said in 1997, the City began to receive deliveries from the State Water Project in addition to the local sources of water that it has traditionally relied upon. Mr. Fuz stated the City has also updated and adopted a revised Water Management Plan, which was approved by the Coastal Commission, recognizing the ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 2001 addition of State Water to the community's water supply and provided for allocation of water from sources other than savings derived through conservation. Mr. Fuz recommended the City Council consider the following: Begin allocation of State Water to new development together with either a) a 3.5 gallon toilet retrofit program; or b) imposition of a new conservation fee to fund a City managed conservation program; and c) provide staff direction with respect to the purchase of additional state water with an increased impact fee, and more aggressive enforcement of retrofit upon sale ordinance and expand retrofit requirements for addition and remodel projects. Councilmember Crotzer stated that due to purity and affordability it seems more economical to fix and use the desalination plant rather than go out and purchase additional state water. He said he has concerns that if the City depends too highly on state water that it may not be available when it is needed. Councilmember Crotzer stated it would be appropriate if Shell Oil and Duke Energy would assist the City financially to further reduce the cost estimate of running the desalination plant. He also expressed the importance that the cost of water to existing consumers should not be raised. Councilmember Elliott stated the desalination plant is a very valuable and long-term ® resource. He said he is concerned with the lack of enforcement of the current retrofit program. Councilmember Elliott stated he supports the option to purchase additional state water through the County. Councilmember Peirce stated the real estate agents should be responsible for making sure that retrofits are done upon sale of a property. He said he does not feel that developers need to pay additional for water impact fees. Mayor Anderson stated he also wants to ensure that retrofits are done upon the sale of a property. He said he would like to pursue making Shell Oil 100% responsible for replacing the water costs of not being able to use the Morro Wells. Councilmember Peters stated in the case of a drought, the desalination plant should be operational, especially if the wells run dry or state water allotments get cut. She said she also likes the idea of negotiating with Duke Energy for less expensive electricity rates. Councilmember Peters said she concurs with the rest of Council that a certificate of retrofit compliance must be submitted upon sale of property. MOTION: Councilmember Elliott moved the City Council approve the elimination of the current retrofit program; begin allocation of state water for new development; require low flow water fixtures and toilets for remodels or additions, as well as prior to the transfer of the sale of a home. The motion ® was seconded by Councilmember Peters and carried unanimously. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 2001 MOTION: Councilmember Elliott moved the City Council direct staff to research all of the feasible sources of additional water including state water, and enter into negotiations to determine availability and price. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) C-2 REVIEW OF COUNCIL POLICIES AND PROCEDURES; (ADMINISTRATION) Mayor Anderson introduced the review of the Council Policies and Procedures for Council discussion. Councilmember Peters made the following recommendations: 1) each Commission and Advisory Board should consist of five members; 2) dismiss the current Commissioners and Advisory Board Members; and 3) each Council Member would be allowed to pick their own individual appointment after the open interview process. MOTION: Councilmember Elliott moved the City Council approve to go beyond 1 t :00 p.m. to complete the agenda. The motion was seconded by Councilmember Peirce and carried with Councilmember Peters voting no. (4-1) ® MOTION: Councilmember Crotzer moved the City Council continue Item C-2 to a date to be determined in order to discuss it in a workshop format. He also moved to extend the current Board Member's terms an additional 60 days, and direct staff to advertise for the vacant positions. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) C-3 SELECTION OF VICE -MAYOR TO SERVE A ONE-YEAR TERM; (ADMINISTRATION) Mayor Anderson opened the floor up for nominations. MOTION: Councilmember Elliott moved the City Council nominate Councilmember Peters to a one-year term as Vice -Mayor. The motion was seconded by Councilmember Peirce and carried unanimously. (5-0) C-4 SELECTION OF CITY COUNCIL DISCRETIONARY APPOINTMENTS TO VARIOUS BOARDS AND COMMITTEE; (ADMINISTRATION) MOTION: Mayor Anderson moved the City Council maintain their current appointments on the various boards and committees. The motion was seconded by Councilmember Peters and carried unanimously. (5-0) ® 10 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 2001 C-5 ACTION REQUIRED TO FILL CITY COMMISSIONS AND ADVISORY BOARD VACANCIES; (ADMINISTRATION) No discussion or action was taken on this item. C-6 UPDATE ON THE SHELL/EQUILON/EQUIVA MtBE CONTAMINATION IN MORRO BAY, AND AUTHORIZATION OF FUNDS FOR EXPERTS AND ATTORNEYS ASSOCIATED THEREWITH; (PUBLIC SERVICES) Public Services Director Greg Fuz reported that Shell has begun on -site remediation activities. He stated an abatement hearing is scheduled on Wednesday, January 17, 2001 at 2:00 p.m. at the Morro Bay Community Center. MOTION: Councilmember Peirce moved the City Council authorize the expenditure of up to 5500,000 on experts and attorneys for the Shell/Equilon/Equiva MtBE contamination studies. The motion was seconded by Councilmember Elliott and carried unanimously. (5-0) ® -7 C-7 STATUS REPORT ON DUKE ENERGY POWER PLANT MODERNIZATION PLAN; (PUBLIC SERVICES) Public Services Director Greg Fuz gave an update on the Duke Energy Modernization Plan. This was an informational item, and no action was taken. D. NEW BUSINESS — None. E. ADJOURNMENT The meeting was adjourned at 11:00 p.m. Recorded by: Jamie Boucher Deputy City Clerk