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HomeMy WebLinkAboutJanuary - December 2012City 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. Tile 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 11, 2012 CLOSED SESSION CITY HALL CONFERENCE ROOM - 3:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54956.8; 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 six parcels. • Property: Lease Site 110W-112W; 1185 Embarcadero ® Negotiating Parties: George Leage (GAFCO) and City of Morro Bay Neeotiations: Lease Terms and Conditions • Property: Lease Site 122-123/122W-123W; 1205 Embarcadero Negotiating Parties: Troy & Heather Lease (Harbor Hut) and City of iviotro Bay Negotiations: Lease Terms and Conditions • Property: Lease Site 124-128/124W-128W & 113W; 1215 Embarcadero Negotiating Parties: MMBS. LLC and City of Morro Bay Neeotiations: Lease Terms and Conditions • Property: Lease Site 129W-131W; 1231 Embarcadero Negotiating Parties: Morro Bay Fish Company Inc. and City of Morro Bay Negotiations: Lease Terms and Conditions • Property: Lease Site 50-51/50W-51W; 451 Embarcadero Negotiating Parties: Reg Whibley and City of Morro Bay Negotiations: Lease Terms and Conditions • Property: 1320 Main Street Negotiating Parties: M. Lemos and City of Morro Bay Negotiations: Voluntary Purchase and Sale ® IT 1S NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. PUBLIC SESSION ® VETERANS MEMORIAL FALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on Citv 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. • The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official. commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause, comments or cheering. ® • -Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk, (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council. the following actions are approved without discussion. A -I ANNUAL REPORT ON UNFUNDED LIABILITIES IN VACATION AND SICK LEAVE ACCRUALS; (ADMINISTRATIVE SERVICES) . RECOMMENDATION: Informational item only. A-2 DELAYED PROJECT STATUS REPORT; (ADMINISTRATION) ® RECOMMENDATION: Informational item only. 2 A-3 RESOLUTION NO. 58-12 ESTABLISHING TRANSACTION OFFICERS FOR DOING BUSINESS WITH RABOBANK; (ADMINISTRATIVE SERVICES) ® RECOMMENDATION: Adopt Resolution No. 58-12. n A-4 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA AMENDING THE COUNCIL POLICIES AND PROCEDURES MANUAL REGARDING ELECTRONIC MAIL (EMAIL). THE PUBLIC RECORDS ACT AND THE BROWN ACT; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 64-12. A-5 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY. CALIFORNIA APPROVING AMENDMENT 414 TO THE LEASE AGREEMENT FOR LEASE SITES 124-128/124W-128W AND 113W LOCATED AT 1215 EMBARCADERO; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 60-12. A-6 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY. CALIFORNIA APPROVING AMENDMENT #3 TO THE LEASE AGREEMENT FOR LEASE SITES 110W-112W AND 20' OF THE EASTERLY PORTION OF LEASE SITE 111.5W LOCATED AT 1185 EMBARCADERO; (CITY ATTORNEY) RECOMMMENDATION: Adopt Resolution 61-12. A-7 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY CALIFORNIA APPROVING AMENDMENT 93 TO THE LEASE AGREEMENT FOR LEASE SITES 122-123/122W-123W LOCATED AT 1205 EMBARCADERO; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 62-12. A-8 APPROVAL OF ASSIGNMENT OF THE LEASE AGREEMENT FOR LEASE SITE 129W-131 W FROM THE MORRO BAY FISH COMPANY TO CENTRAL COAST SEAFOOD; (HARBOR) RECOMMENDATION: Adopt Resolution 63-12 Approving the Assignment of the Lease Agreement. A-9 A PROCLAMATION DECLARING DECEMBER 20TH `HOMELESS PERSONS' MEMORIAL DAY"; (ADMINISTRATION) RECOMMENDATION: Adopt Proclamation. 3 B. PUBLIC HEARINGS. REPORTS & APPEARANCES ® B-1 PUBLIC HEARING PURSUANT TO RESOLUTION 57-12 REGARDING CITY'S INTENTION TO SELL THE CITY -OWNED PROPERTY AT 1320 MAN STREET JUST SOUTH OF HIGHWAY ONE N MORRO BAY, CALIFORNIA-, (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution No. 65-12. B-2 UPO-342: 901-915 EMBARCADERO: A REQUEST FOR A CONDITIONAL USE PERMIT FOR A CONCEPT PLAN TO MAKE VARIOUS IMPROVEMENTS TO AN EXISTING FACILITY, ADD DOCKAGE: TO APPROVE AND CERTIFY A MITIGATED NEGATIVE DECLARATION ON THE PROJECT: (PUBLIC SERVICES) RECOMMENDATION: Approve and certify the Mitigated Negative Declaration and approve the Conditional Use Permit for the Concept Plan as recommended by the Planning Commission at their regular meeting of November 7, 2012. C. UNFNISHED BUSINESS - None D. NEW BUSINESS - None E. DECLARATION OF FUTURE AGENDA ITEMS ® F. ADJOURNMENT El THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TL IE SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6205 FOR FURTHER INFORMATION. MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND MILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NOWNI>,L BUSINESS HOURS. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICLPATE 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 AGENDA NO: A -la MINUTES - MORRO BAY CITY COUNCIL MEETING DATE: 1/8/2013 REGULAR MEETING — DECEMBER 11, 2012 VETERAN'S MEMORIAL HALL—6:00P.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: Jamie Irons ivlavor Christine Johnson Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker Robert Schultz Jamie Boucher Rob Livick Amy Christev_ Mike Pond Susan Slayton Eric Endersbv Joe Woods Kathleen Wold City :Manager Citv Attorney City Clerk . Public Services Director Police Chief Fire Chief Administrative Services Director Harbor Director Recreation & Parks Director Planning Manager ® ESTABLISH QUORUivi AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS. ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — City Attorney_ Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. PUBLIC COMMENT Gary Hixson wished those listening, a Merry Christmas. He is back in town now and hopes to be more active. Linda Fidel spoke commending the street maintenance staff for fixing a majority of her street in the Atascadero Beach tract. Nancy Bast spoke on the waterfront lease sites which are public property that the State Lands Commission has jurisdiction over and grants the City the granted administration over them for the public good.. She feels the public has been kept in the dark about the conditions found in the leases as they are negotiated for behind closed doors and usually only appear on the Consent ® Calendar. She feels it's important to have diversity of interests on the Embarcadero. She is also concerned about the physical condition of the revetments under the docks: she is fearful that they pose a safety concern. Girl Scouts Lillian Caneville, Amanda Leary. Cassie Orzak. Hope Whelan, Mikela Avila. Kvlie ® Applebee, and Elena Whitmore all introduced themselves and announced how old they were, what grade they were in and how many years they had been a part of Girl Scouts. Belinda Revna, the Leader of Girl Scout Troop 40021, thanked Council for the honor of performing the meeting's Opening Flag Ceremony. The Morro Bay Girl Scouts have been involved in many community events over the years. They can always use adult volunteers. Heather Vesterfelt, the Girl Scout Board Chairperson for the California Central Coast spoke on the attributes of being a girl scout. It takes courage, confidence and character to both, step up and lead. as well as be a part of such a wonderful organization. John DiNunzio. Morro Bay's Economic Development Program Coordinator spoke highlighting/clarifving/defining what Economic Development really is. He was also here to plug a new initiative - the need to prepare our businesses for a potential disaster — the Chamber is putting together packets of useful information. He extended an invitation to each individual member of the Council to meet with him and individual business owner(s) once a month for the next 6 months. Alex Beattie spoke on the WWTP issue. He feels that any site that doesn't encompass 100% reclamation is not a good site. It is both the socially and environmentally right thing to do. He also feels our consultant has grossly overstated the costs. He asked Council to assign staff to find out where the high salinity of the water is coming from. ® Pennv Harrington announced a new organization. Wellness Communitv Morro Bay. The formation of this organization establishes Morro Bay as a destination for people to come for wellness services. They meet Monday's at 10:30am at the Green Lotus Healing Center. On January 19a'. there will be an all-dav tour of Morro Bay wellness facilities and encouraged people's attendance. Nancv Castle talked about having fun in Morro Bay. To that end. St. Peters by the Sea is holding Supper and Singing at the church the 3`d Friday of every month and encouraged all interested to attend. She is also in the planning stages of a Sock Hop event to be held during the Annual Morro Bay Car Show. John Diodati spoke on the WWTP issue. He feels the newly seated Councilmembers victory was attributed to their position on the WWTP project. He wants the truth as well as the best decision for the community to be made. He stressed the need to know real costs, to look for additional financing methods. and didn't feel that the Water Quality Regional Control Board will be fining us as is being asserted. Betty Winholtz concurs with Mr. Diodati's comments. She also spoke on Item A-1. Annual Report on unfunded Liabilities in Vacation and Sick Leave Accruals. She doesn't feel that the staff report addresses the issue as the Grand Jury Report states that the City is not following their own policies. She also acknowledged Ms. Bast's comments about the lease sites feeling the ® lease site negotiations need to be done more publicly. She also spoke on the lease sites being approved tonight, there is language that the City was able to have the Coastal Commission MINUTES - MORRO BAY CITY COUNCIL - DECEMBER 11, 2012 approve which alters the language of Measure D. She feels this is an issue the Council. at some point. will need to address. ® Jane Von Keohe spoke of a tragic event that occurred at the Dog Park. She appealed to the public to help find the dog that attacked her dog back on November 17''. She pledged to do everything possible to prevent this from ever happening again. r� Steve Eckis, Member of the Morro Bay Pups Board is heartbroken over Jane's loss. The Morro Bay Pups has pledged to do everything possible to prevent this from ever happening again. He also still believes the dog park is a wonderful asset to the community and a safe place for your dogs. Mayor Irons closed the public comment period. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City_ Council, the following actions are approved without discussion. A-1 ANNi UAL REPORT ON UNFUNDED LIABILITIES N VACATION AND SICK LEAVE ACCRUALS; (ADMINISTRATIVE SERVICES) RECOMMENDATION: Informational item only. A-2 DELAYED PROJECT STATUS REPORT; (ADMINISTRATION) RECOMMENDATION: Informational item only. A-3 RESOLUTION NO. 58-12 ESTABLISHNG TRANSACTION OFFICERS FOR DOING BUSINESS WITH RABOBANK; (ADMINISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution No. 58-12. A-4 A RESOLUTION OF THE CITY COUiNCIL OF THE CITY OF MORRO BAY. CALIFORNIA AMENDNG THE COUNCIL POLICIES AND PROCEDURES MANUAL REGARDNG ELECTRONIC MAIL (EMAIL). THE PUBLIC RECORDS ACT AND THE BROWN ACT; (CITY ATTORNEY) RECONINIENDATION: Adopt Resolution 64-12. A-5 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY; CALIFORNIA APPROVING AMENDMENT 4 TO THE LEASE AGREEMENT FOR LEASE SITES 124-128/124W-128W AND 113R% LOCATED AT 1215 EMBARCADERO; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 60-12. 3 MINUTES- MORRO BAY CITY COUNCIL- DECEMBER 11; 2012 A-6 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY. CALIFORNIA APPROVING AMENDMENT 43 TO THE LEASE AGREEMENT FOR LEASE SITES 11OW- 112W AND 20' OF THE EASTERLY PORTION OF LEASE SITE 11 1.5W LOCATED AT 1185 EMBARCADERO: (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 61-12. A-7 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY CALIFORNIA APPROVING AMENDMENT 43 TO THE LEASE AGREEMENT FOR LEASE SITES 122-123/122W-123W LOCATED AT 1205 ENIBARCADERO; (CITY ATTORNEY) RECOMbIENDATION: Adopt Resolution 62-12. A-8 APPROVAL OF ASSIGNMENT OF THE LEASE AGREEMENT FOR LEASE SITE 129W-131W FROM THE MORRO BAY FISH COMPANY TO CENTRAL COAST SEAFOOD: (HARBOR) RECOMMENDATION: Adopt Resolution 63-12 Approving the Assignment of the Lease Agreement. A-9 A PROCLAMATION DECLARING DECEMBER 20TH "HOMELESS PERSONS' MEMORIAL DAY": (ADMNISTRATION) 0 RECOMMENDATION: Adopt Proclamation. Councilmember Smukler pulled Item A-1 from the Consent Calendar. Mayor Irons pulled Items A-5. A-6 and A-7. MOTION: Councilmember Smukler moved the City Council approve Items A-2. A-3. A-4, A-8 and A-9 of the Consent Calendar as presented. The motion was seconded by Councilmember Nancv Johnson and carried unanimously 5-0. A-1 ANNUAL REPORT ON UNFUNDED LIABILITIES N VACATION AND SICK LEAVE ACCRUALS; (ADMNISTRATIVE SERVICES) Councilmember Smukler pulled this item for explanation from staff. Both Administrative Services Director Susan Slayton and City Manager Andrea Lueker clarified the issue by outlining the various employee croup's accrual caps, went over City policy which has been followed throughout as well as stating that the Grand Jury's report had inaccuracies in it. Councilmember Christine Johnson encouraged employees to take vacations as she feels they are important for a person's well-being. MOTION: Councilmember Smukler moved for approval of Item A-1 as presented. The motion was seconded by Councilmember Christine Johnson and carved unanimously 4 MINUTES -MORRO BAY CITY COUNCIL- DECEMBER 11. 2012 A-5 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY. CALIFORNIA APPROVING AMENDMENT Y4 TO THE LEASE AGREEMENT. FOR LEASE SITES 124-128/124W-128W AND 113W LOCATED AT 1215 EMBARCADERO; (CITY ATTORNEY) A-6 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY. CALIFORNIA APPROVING AMENDMENT 43 TO THE LEASE AGREEMENT FOR LEASE SITES IIOW- 112W AND 20' OF THE EASTERLY PORTION OF LEASE SITE 111.5W LOCATED -AT 11 85EMBARCADERO: (CITY ATTORNEY) A-7 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY CALIFORNIA APPROVING AMENDMENT 41 TO THE LEASE AGREEMENT FOR LEASE SITES 122-123/122W-123W LOCATED AT 1205.EMBARCADERO; (CITY ATTORNEY) Mayor Irons asked for clarification from City Attorney Rob Schultz. Mr. Schultz stated that these amendments only reflect clean-up amendment language for the lease sites. These amendments have been approved by the Coastal Commission and per the Coastal Commission requirements: the City must now include these conditions as part of the lease agreement. Councilmember Lease stepped down from the dais as he has a conflict of interest in these items. MOTION: Councilmember Nancy Johnson moved for approval of Items A-5, A-6 and A-7 as presented. The motion was seconded by Councilmember Christine Johnson A and carried 4-0 with Councilmember Lease not voting. ® B. PUBLIC HEARINS. REPORTS & APPEARANCES B-1 PUBLIC HEARING PURSUANT TO RESOLUTION 57-12 REGARDING CITY'S NTENTION TO SELL THE CITY -OWNED PROPERTY AT 1320 vfAN STREET JUST SOUTH OF HIGHWAY ONE N MORRO BAY, CALIFORNIA- (CITY ATTORNEY) Ciry Attorney Rob Schultz presented the staff report. Mayor Irons opened the hearing for public comment: seeing none; the public hearing was closed. MOTION: Councilmember Smukler moved to Approve Resolution 65-12. The motion was seconded by Councilmember Lease and carried 5-0. B-2 UPO-342: 901-915 EMBARCADERO; A REQUEST FOR A CONDITIONAL USE PERMIT FOR A CONCEPT PLAN TO MAKE VARIOUS IMPROVEMENTS TO AN EXISTING FACILITY, ADD DOCKAGE: TO APPROVE AND CERTIFY A MITIGATED NEGATIVE DECLARATION ON THE PROJECT: (PUBLIC SERVICES) ® Planning Manager Kathleen Wold presented her staff report. 5 MINUTES -MORRO BAY CITY COUNCIL - DECEMBER 11, 2012 Cathy Novak, representative for the applicant; Smith Held, made her presentation. ® Mayor Irons opened the hearing for public comment. Betty Winholtz responded to some of the comments made. She feels there are 4 specific issues to deliberate on. First, getting extended use into the water that other applicants haven't had. avoid hurting the eel grass and the wisdom of pile driving: secondiv is an aesthetic one as she doesn't feel the building is attractive: the third issue is parking: and, finally the project needs to be held to the lighting standard. Mayor Irons closed public comment. Councilmember Christine Johnson stated that the Harborfront Master Plan encourages opportunities for more boating. better view corridors. and coastal access. She isn't bothered by seeing the equipment on the roof of the building and would rather see the awning shorter if it means a better view of the rock. Councilmember Johnson emphasized that this is a concept plan, and a well thought out concept plan at that. She feels the need to move this onto the Coastal Commission as the project will increase retail space as well as number of boat slips. Councilmember Smukler stated that overall it is a nice project as increased boating opportunities and renovation of existing structures is always a good idea. He too wants to keep the rock views and not increase the height limit of the building/awning. He is also sensitive to the extension into the bay and would like to also see. as a condition of approval, approvals by the City. the State Lands Commission and the Army Corp of Engineers. He would also like to strengthen the monitoring program of the eel grass as much as possible. Mavor Irons feels a good compromise would be to keep the first front 1/3`d of the awning as is and then drop to 14 feet the remaining awning out to the water so as not to take away the view of the rock. Councilmember Christine Johnson stated that she doesn't feel this project presents a parking problem. MOTION: Mayor Irons moved to approve UPO-342, 901-915 Embarcadero with amended conditions to include approval of the Harbor Department and the Army Corp of Engineers of the Navigation Channel concept and have the Harbor Street side of the awning remain at 15.2 feet for the first 1/3`d and then drop down to 14 feet height limitation for the remaining distance to the water: approve and certify the Mitigated Negative Declaration as amended by the Planning Commission at their November 7, 2012 meeting; approve the attached monitoring program: and, approve the Conditional Use Permit for the Concept Plan, including the Findings and Conditions in Exhibits A and B as stated by staff. The motion was seconded by Councilmember Christine Johnson and carried unanimously 5-0. ® C. UNFINISHED BUSINESS - NONE 3 MINUTES - MORRO BAY CITY COUNCIL- DECEMBER I1. 2012 D. NEW BUSINESS - NONE 0 E. DECLARATION OF FUTURE AGENDA ITEMS - Mayor Irons requested staff bring back the Management Partners Assessment from 2008 for discussion and possible updating for 2013: there was consensus from Councilmembers Smukler and Christine Johnson. Mayor Irons requested a Special JPA Meeting to be held on January 2"d or ) for informational purposes of the new Councilmembers as well as to provide an update, to visit the contracts for the consultants and to discuss direction from the current Councilmembers_: there was consensus from Councilmembers Smukler and Christine Johnson. Mayor Irons requested a Public Goal Setting Workshop as well as a Council Goal Setting Workshop be scheduled: there was consensus from Councilmembers Smukler and Christine Johnson. Mayor Irons requested a Resolution changing the title of the Delayed Project Status Report to the Project Status Report: there was consensus from Councilmembers Smukler and Christine Johnson. Councilmember Johnson requested an agenda item for the formation of a committee to begin planning the City's 50`h Anniversay Celebration; there was consensus from Mayor Irons and Councilmembers Smukler and Christine Johnson. ® Councilmember Smukler requested a review of the last 2 Resolutions on the reduction of impact fees to either update or adjust: there was consensus from Mayor Irons and Councilmember Christine Johnson. Councilmember Smukler requested bringing back an agenda item for a Pilot Neighborhood Traffic Management Plan for the Island Streets area: there was consensus from Mayor Irons and Councilmember Christine Johnson. ADJOURNMENT The meeting adjourned at 8:23 P.M. Recorded by: Jamie Boucher City Clerk Cl 7 MINUTES - MORRO BAY CITY COUNCIL — DECEMBER 11. 2012 ® City of Morro Bay City Council Agenda Mission Statement The Cite 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. SPECIAI. MEETING MONDAY, DECEMBER 10, 2012; 6:00 P.M. 209 SURF STREET, MORRO BAY, CA I. ESTABLISH QUORUM AND CALL TO ORDER II. MOMENT OF SILENCE ® III. PLEDGE OF ALLEGIANCE IV. PUBLIC COMMENT V. APPROVAL OF MINUTES FOR THE SPECIAL CITY COUNCIL MEETING OF DECEMBER 5, 2012 AND THE REGULAR CITY COUNCIL MEETINGS OF OCTOBER 23, 2012 AND NOVEiNIBER 13, 2012 VT. COMMENTS BY CURRENT MAYOR AND COUNCILMEMBERS VII. PRESENTATION OF PLAQUES TO MAYOR WILLI. M YATES AND COUNCILMEMBER CARLA BORCHARD VIII. OATH OF OFFICE AND PRESENTATION OF CERTIFICATES OF ELECTION TO MAYOR JANHE IRONS, COUNCILMEMBER CHRISTINE JOILN`SON AND COUNCILME�IBER NOAH SMUKLER IX. COMMENTS BY NEW iMAYOR AND COUNCILMEMBERS X. ADJOURN'MENT El ® THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 24 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 772-6205 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 AGENDA NO: A-1 MINUTES - MORRO BAY CITY COUNCIL MEETING DATE: 1/8/2013 ® SPECIAL MEETING — DECEMBER 10. 2012 VETERAN'S MEMORIAL HALL — 6:06P.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker Robert Schultz Jamie Boucher Rob Livick Amy Christey Mike Pond Susan Slayton Eric Endersby Joe Woods City Manager City Attorney_ City Clerk Public Services Director Police Chief Fire Chief Administrative Services Director Harbor Director Recreation & Parks Director I. ESTABLISH QUORUM AND CALL TO ORDER II. MOMENT OF SILENCE III. PLEDGE OF ALLEGIANCE IV. PUBLIC COMMENT Former Mavor, Cathy Novak thanked both Bill Yates and Carla Borchard for their work on the Council. Former Mayor. Janice Peters thanked Council for their service, especially those stepping down. She hoped that we can all work together towards harmonious and progressive things for the future. Keith Tavlor thanked both Bill Yates and Carla Borchard for their work and support of the Fire Department. Gam Johnson concurred with the previous comments. He also stated that you could see a listing of the current Council's accomplishments and outcomes of their hard work at fogcuttemews.org. Nicole Dorfman thanked both Bill Yates and Carla Borchard for the sacrifices they made over the years. She is also impressed and inspired by the incoming Councilmembers. Robert Davis stated that whenever he asked Bill Yates for help. Bill helped him. And he has ® always been impressed by Carla Borchard's ability and desire to do what is best for iviorro Bay. Ll L� Aaron Ochs stated that he feels that Mayor Yates has done a wonderful job and that his record speaks for itself. He also feels that Carla's leadership, candor and know-how have been a huge help to Morro Bay. Father Ed thanked both Bill Yates and Carla Borchard for their willingness to serve as well as for the public service that they have provided the City and its citizens. yHe also commended those coming into office. Mayor Yates closed the Public Comment period..: V. APPROVAL OF MINUTES FOR THE SPECIAL CITY COUNCIL MEETING OF DECEMBER 5, 2012 AND THE REGULAR CITY COUNCIL MEETINGS OF OCTOBER 23, 2012 AND NOVEMBER 13. 2012 MOTION: Councilmember Borchard motioned approval of the minutes for the Special City Council Meeting of December 5. 2012 and the Regular City Council Meetings of October 23. 2012 and November 13, 2012. The motion was seconded by Councilmember Johnson and carried unanimously. VI. COMMENTS BY CURRENT MAYOR AND COUNCILMEMBERS VII. PRESENTATION OF PLAQUES TO MAYOR WILLI.AM YATES AND COUNCILMEMBER CARLA BORCHARD VIII. OATH OF OFFICE AND PRESENTATION OF CERTIFICATES OF ELECTION TO MAYOR JAMIE IRONS. COUNCILViEMBER CHRISTINE JOHNSON AND COUNCILMEMBER NOAH SMUKLER IX. COMMENTS BY NEW MAYOR AND COUNCILMEMBERS X. ADJOURNiVIENT The meeting adjourned at 7:45pm. Recorded by: Jamie Boucher City Clerk MINUTES - SPECIAL MEETING MORRO BAY CITY COUNCIL - DECEMBER 10, 2012 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 Councilmember Noah Smukler will be communicating by teleconference from the following location: 11-1884 1" Avenue, Keaau, Hawaiian Paradise Park, Hawaii WEDNESDAY, DECEMBER 5, 2012; 5:00 P.M. VETERAN'S HALL - 209 SURF STREET, MORRO BAY, CA I. ESTABLISH QUORUM AND CALL TO ORDER H. MONIENT OF SILENCE ® III. PLEDGE OF ALLEGIANCE IV. PUBLIC COMMENT V. RESOLUTION 59-12 APPROVING AND AUTHORIZING THE EXECUTION OF AN AMENDMENT TO THE AGREEMENT TO LEASE AND AN AMENDMENT TO THE OUTFALL LEASE BETWEEN THE CITY OF MORRO BAY AND DYNEGY MORRO BAY LLC VI. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 24 HOURS PRIOR TO THE DATE ANT TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT.772-6205 FOR FURTHER LN'FORMATION. 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 ASSISTANN'CE 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. AGENDA NO: V MINUTES — MORRO BAY CITY COUNCIL MEETLIiG DATE: 12/10/2012 ® SPECIAL MEETING — DECEMBER 5. 2012 VETERAN'S MEMORIAL HALL — 5:00P.M. �J Mavor Yates called the meeting to order at 5:00 p.m PRESENT: William Yates Mavor Carla Borchard Councilmember Nancy Johnson Councilmember George Lease Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker Robert Schultz Jamie Boucher Amy Christey Mike Pond Joe Woods Citv Manager Citv Attorney City Clerk Police Chief Fire Chief Recreation & Parks Director 1. ESTABLISH QUORUM AND CALL TO ORDER II. MOMENT OF SILENCE III. PLEDGE OF ALLEGIANCE IV. PUBLIC COMMENT Joan Solu. President of the ivforro Bay Tourism Bureau introduced their new Director of Tourism. Karin Moss. Karin Moss related her enthusiasm for the City_ and the position and is looking forward to getting to getting to work. Garry Johnson spoke in opposition to a letter he had read that was written by a Morro Bay citizen who criticized the sitting City Council. He thanked Mayor Bill Yates and Councilmember Carla Borchard for all their hard work on behalf of the City and its citizens. He also thanked the Police and Fire Department for the help they gave him in a recent accident he had. The following speakers spoke in opposition to the approval of the proposed Amendment to the Agreement to Lease and an Amendment to the Outfall Lease between the City of Morro Bay and Dvneev_ Morro Bay LLC: Roger Ewing, Melody Demeritt, Henrietta Groot; Barbara Doerr. Julie Tacker. Linda and Fidell. iviv Davis. Marla Jo Bruton. David Nelson. Hershel Parker. Dorothv Cutter. and Robin Cook. Reasons for the opposition included the following: lack of public involvement in the process, not a good business decision, property could be used instead ® to enhance Citv's revenue stream. harm to the Estuary and the environment. notice to public was too short. and should allow the newly elected Council to weigh in on the issue. Rick Grantham -spoke in favor of approving the Execution of the Amendment to the Agreement to Lease and an Amendment to the Outfall Lease between the Citv of Morro Bay and Dynegy Morro Bay LLC. V. RESOLUTION 59-12 APPROVING AND AUTHORIZING THE EXECUTION OF AN AMENDMENT TO THE AGREEMENT TO LEASE AND AN AMENDMENT TO THE OUTFALL LEASE BETWEEN THE CITY OF MORRO BAY .AND DYNEGY MORRO BAY LLC; (CITY ATTORNEY) City Attorney Rob Schultz presented his staff report. Mayor Yates is supportive of this agreement. The Council has been working on this transaction for over 2 years. He is pleased to have finally received the triangle property that has been discussed and negotiated for. for over 15 years. Councilmember Johnson is in agreement with Vlavor Yates. This is not a new item of discussion; Council has been working hard on this for quite some time. She also feels that this Council should have been the body to hear the item as it wouldn't have been fair to have a new Council. who doesn't have the history and background information, have to make the decision. Councilmember Smukler stated that if his vote was needed for a majority. he would have voted yes as the City needs the money and there are significant property benefits. However, he will be voting no because the unnecessary haste of the process increases risk and missed opportunities. ® He is also frustrated by the unwillingness of the Council to support discussion of additional options with Dvnegv to gain property and easements for future public access and infrastructure improvements. He is concerned about Dvnegv's unwillingness to fund 2011 fire protection. He thinks it is important that we begin working with Dynegy and the community to develop a transition plan for the future of the site. MOTION: Mayor Yates moved for approval of Resolution 59-12. The motion was seconded by Councilmember Borchard and carried =4-1 with Councilmember Smukler voting no. VI. ADJOUR\iMENT The meeting adjourned at 6:00 p.m. Recorded bv: Jamie Boucher Citv Clerk MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - DECEMBER 5, 2012 ® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement a 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, 2012 CLOSED SESSION CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., DIORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54956.8; PROPERTY TRANSACTIONS Instructing City's real property negotiator regarding the price and tetras of payment for ® the purchase, sale, exchange, or lease of real property as to one parcel. • Property: Morro Bay Fish Company Inc., Lease Site 129W-131 W Negotiating Parties: Morro Bay Fish Company Inc. and City of Morro Bay Negotiations: Lease Terms and Conditions IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTI_AL AND EXEMPT FROM DISCLOSURE. PUBLIC SESSION ® VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE 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. • The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official. commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause. ® comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk. (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF OCTOBER 23, 2012; (ADMINISTRATION) RECOINUMENDATION: Approve as submitted. n U ® A-2 DIRECTION TO ALLOCATE $50.000 RECEIVED THROUGH THE CITY'S LICENSE AGREEMENT WITH X2 TELECOM LLC TOWARD CITY'S TECHNOLOGY NEEDS; (ADMNISTRATION/CITY ATTORNEY) RECOMMENDATION: Direct the expenditure of one time monies in the amount of 550,000 on City technology needs. A-3 APPROVAL OF RESOLUTION 57-12 REGARDING CITY'S INTENTION TO SELL THE CITY -OWNED PROPERTY AT 1320 MAIN STREET N MORRO BAY. CALIFORNIA: (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution No. 57-12. A-4 REVIEW AND ADOPT DRAFT FUNDING RECOMMENDATIONS FOR THE 2013 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS; (PUBLIC SERVICES) RECOMMENDATION: Review and adopt draft funding recommendations for the 2013 . Community Development Block Grant (CDBG) funds and forward recommendations to the San Luis Obispo County Board of Supervisors. Additionally, authorize the Cite Manager to make pro rata adjustments to the allocation based on final funding amount from San Luis Obispo County. A-5 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA REAFFIRMING COMMUNN1'ITY SUPPORT OF THE LOCAL COMMERCIAL FISHING INDUSTRY; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 56-12. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 RESOLUTION NO. 55-12 APPROVING MORRO BAY GARBAGE SERVICE INTERIM RATE YEAR ADJUSTMENT APPLICATION AND ADJUSTING SOLID WASTE COLLECTION RATES; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 55-12. C. UNFINISHED BUSINESS - None D. NEW BUSNESS D-I REVIEW OF CONCEPT PLAN FOR IMPROVEMENTS TO CENTENNIAL STAIRCASE; (CITY ATTORNEY) RECOMMENDATION: Review and discuss the Concept Plan for Improvements to Centennial Staircase and direct Staff to schedule this item for review at the ® Recreation and Parks Commission and the Planning Commission and return to the Cih, Council with their recommendations. 3 11 E. DECLARATION OF FUTURE AGENDA ITEMS F. ADJOURNiTIMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE DIEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HAIL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6205 FOR FURTHER INFORMATION. MATERLILS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND MILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. 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 ARRANGE,NIENTS CAN BE MADE TO PROVIDE ACCESSEBILITY TO THE MEETING. 4 AGENDA NO: V MINUTES - MORRO BAY CITY COUNCIL MEETING -DATE: 12/10/2012 ® REGULAR MEETING—NOVEMBER 13. 2012 VETERAN`S MEMORIAL HALL — 6:OOP.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mavor Carla Borchard Councilmember Nancv Johnson Councilmember Georee Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker Robert Schultz Jamie Boucher Rob Livick Amv Christev Mike Pond Susan Slayton Eric Endersby Joe Woods Cindv Jacinth Janeen Burlingame 11 Citv Manager Citv Attornev Citv Clerk Public Services Director Police Chief Fire Chief Administrative Services Director Harbor Director Recreation & Parks Director Assistant Planner Management Analyst ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS. ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — City Attorney Robert Shultz reported that City, Council met in Closed Session and no reportable action under the Brown Act was taken. PUBLIC COMMENT Marvin Sosna, a 22 vear resident, commented on the horrible state of his street wondering when it would be repaired. He doesn't agree with the City_ 's street repair policy which he says is "those in need of repair the most are last to get fixed." Rick Grantham and Bill Black advertised the upcoming Annual Thanksgiving Day Dinner which is co -sponsored by Morro Bay Rotary and the Morro Bay Peace Officers Association. They thanked the major sponsors as well as the many volunteers it takes to put the event on. They also thanked both Mavor Yates and Councilmember Borchard for all their work on the Citv Council on behalf of the residents. 11 Garry Johnson thanked the Armed Service members for their selfless service to our Country. He also thanked both Mayor Yates and Councilmember Borchard for their time and hard work over ® the years. He provided a very extensive listing of all their successes on behalf of the City. John Solo wanted to recognize all sitting Councilmembers for their service but especially Mayor Yates and Councilmember Borchard for all their efforts on behalf of Morro Bay. They have been stewards for growing business in Morro Bay. John Dinunzio; the Citv's new Economic Development Director introduced himself. providing a short bio on his qualifications. He considers it an honor to be a part of the Chamber and the Economic Development Team. Pat O'Daniels invited evervbodv to John Duran's Art Show being held on Saturday. November 170' and Sunday, November 18`" at 280 Harbor (the old Morro Bay Brewery location). Tom Martin spoke on the Cold Canyon Landfill stating that there will be a hearing on November 20`s in front of the Board of Supervisors. While the", received a permit, there were conditions levied that were entirelv discretionary and very costly. Whatever decision is made will be bome by the rate payer. He encouraged the public to speak on their behalf. Joan Solu stated publicly how much she appreciates all that the Councilmembers do; she especially focused on Mayor Yates and Councilmember Borchard both who are giving of their time and resources. ® Keith Taylor spoke promoting the Fire Department Dedication being held on Saturday. December 8`" starting at 1li0am. They have worked for the last 8 years to get this project completed and wanted to thank the community for their part in passing Measure Q. Mayor Yates closed the public comment period. 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 CITY COUNCIL tifINUTES FOR THE REGULAR MEETING OF OCTOBER 23, 2012; (ADMNISTRATION) RECOVINIENDATION: Approve as submitted. A-2 DIRECTION TO ALLOCATE S50.000 RECEIVED THROUGH THE CITY'S LICENSE AGREEMENT WITH X2 TELECOM LLC TOWARD CITY'S TECHNOLOGY NEEDS; (ADMINISTRATION/CITY ATTORNEY) RECOMAMENDATION: Direct the expenditure of one time monies in the amount of S50,000 on City technology needs. MINUTES- MORRO BAY CITY COUNCIL-NOVEMBER 13. 2012 A-3 APPROVAL OF RESOLUTION 57-12 REGARDNG CITY'S INTENTION TO SELL THE CITY -OWNED PROPERTY AT 1320 MAN STREET N MORRO BAY. ® CALIFORNIA: (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution No. 57-12. A-4 REVIEW AND ADOPT DRAFT FUNDING RECOMMENDATIONS FOR THE 2013 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS; (PUBLIC SERVICES) RECOMMENDATION: Review and adopt draft funding recommendations for the 2013 Community Development Block Grant (CDBG) funds and forward recommendations to the San Luis Obispo County Board of Supervisors. Additionally, authorize the Ciry Manager to make pro rata adjustments to the allocation based on final funding amount from San Luis Obispo County. A-5 RESOLUTION OF THE CITY" COUNCIL OF THE CITY OF MORRO BAY. CALIFORNIA REAFFIRMING COMMUNITY SUPPORT OF THE LOCAL CONLMERCIAL FISHNG INDUSTRY; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 56-12. Councilmember Smukler pulled Items A - I, A-2 and A-4 from the Consent Calendar. MOTION: Councilmember Smukler moved the City Council approve Items A-3 and ® A-5 of the Consent Calendar as presented. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. . A-1 APPROVAL OF CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF OCTOBER 23, 2012: (ADMINISTRATION) Regarding item C-1. Councilmember Smukler doesn't recall that there was Council direction for staff to request design monies for sidewalk enhancements from SLOCOG. City Clerk was directed to eo back to the AGP tape for clarification and bring the item back to the nest meeting for approval. A-2 DIRECTION TO ALLOCATE $50.000 RECEIVED THROUGH THE CITY'S LICENSE AGREEMENT WITH R2 TELECOM LLC TOWARD CITY'S TECHNOLOGY NEEDS; (ADMINISTRATION/CITY ATTORNEY) Councilmember Smukler feels that how and where the money is spent should be brought back to Council for approval. There was no Council consensus for that concept. MOTION: Mayor Yates moved for approval of Item A-2 as presented. allowing the City to spend the S50.000 on technology needs. The motion was seconded by Councilmember Johnson and carried 4-1 with Councilmember Smukler voting no. 3 MINUTES - MORRO BAY CITY COUNCIL -NOVEMBER 13.2012 A-4 REVIEW AND ADOPT DRAFT FUNDING RECOMMENDATIONS FOR THE 2013 CONI]MUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS; (PUBLIC ® SERVICES) Councilmember Smukler noted that last year the Council carved out a small amount of money for the Maxine Lewis Memorial Shelter which he would like to see continued: he would also like to see some funds go to the Senior Nutrition Program. Public Services Director Rob Livick noted that this is a draft document which then goes to the County and back to the Council for adoption. It was also noted by Assistant Planner Cindy Jacinth that only 15% of the allowable monies can go to Public Services requests of which both the Maxine Lewis Center and the Senior Nutrition are a part of. Councilmember Johnson stated that while she can support monies to the Senior Nutrition Program. at this time she can't support funding CAPSLO until they change the wav they allocate spending their monies. Based on those comments. Councilmember Smukler recommends funding the Senior Nutrition Program request. MOTION: Councilmember Smukler moved to tentatively approve the CDBG funding requests with an adjustment to fund the Senior Nutrition Program at the maximum amount requested. The motion was seconded by Councilmember Borchard and carried 3- 2 with Mayor Yates and Councilmember Leage voting no. B. PUBLIC HEARNGS. REPORTS & APPEARANCES B-1 RESOLUTION NO. 55-12 APPROVING MORRO BAY GARBAGE SERVICE INTERIM RATE YEAR ADJUSTMENT .APPLICATION AND ADJUSTING SOLID ® WASTE COLLECTION RATES: (PUBLIC SERVICES) Management Analyst Janeen Burlingame presented the staff report. Mayor Yates opened the hearing for public comment: seeing none. the public hearing was closed. MOTION: Councilmember Borchard moved to Approve Resolution 55-12. The motion was seconded by Councilmember Johnson and carried 5-0. C. UNFNISHED BUSINESS - NONE D. NEW BUSINESS D-I REVIEW OF CONCEPT PLAN FOR IMPROVEMENTS TO CENTENNIAL STAIRCASE: (CITY ATTORNEY) City Attorney Rob Schultz presented the staff report. Mayor Yates is in favor of moving forward with the funicular concept. Councilmember Johnson is also in favor the funicular and hopes we can move forward with an ® approval without having to send it to other boards for their input. 4 MINUTES - MORRO BAY CITY COUNCIL -NOVEMBER 13. 2012 Councilmember Borchard also likes the funicular concept and thinks that it would definitely enhance the property. Councilmember Lease liked the funicular concept but he had a fiscal concern. If Council moved forward with approving the funicular and it was discovered that concept was considerably more expensive than the elevator concept, would the City have to pay the difference since they were the ones requesting it? City Attorney Rob Schultz feels that both projects are similar in costs: in addition, it would be the CiWs assertion that all costs for this project will be bome by the applicant. Councilmember Smukler feels it's important to confirm who would bear those cost differences. He had a discussion with Mr. Stowasser who asserted that the decision was the Citv's to make. On another note, he would like to see the wood from the staircase that would be removed used appropriately as it has historical significance. MOTION: Mavor Yates moved for support of the Funicular, to communicate the Council's decision to Mr. Stowasser and send the project directly to the Planning Commission. The motion was seconded by Councilmember Lease and passed unanimously 5-0. E. DECLARATION OF FUTURE AGENDA ITEMS - Councilmember Smukler requested an item be sent to the Recreation & Parks Commission focusing on the appropriate use of the historically significant materials from the demolition of ® the Centennial Staircase. There was consensus from Councilmembers Borchard and Lease. Councilmember Smukler requested a discussion on the Harbor Advisory Board's request to re- establish the New Futures Committee to help influence the future of the power plant. There was consensus from Councilmembers Johnson and Borchard as long as it wasn't called the "New Future's Committee". ADJOURNMENT The meeting adjourned at TJ9 p.m. Recorded by: #ami�Boucher City Clerk E MINUTES - MORRO BAY CITY COUNCIL — NOVEMBER 13. 2012 City of Morro Bay MORRO BAY, CA 93442 (805) 772-6205 a NOTICE OF SPECIAL CLOSED SESSION MEETING NOTICE IS HEREBY GIVEN that the Morro Bay Cite Council will be holding a Special Closed Session Meeting on Thursday, November 1, 2012 at 9:00 a.m. to be held in the City Hall Conference Room located at 595 Harbor Street, Morro Bay. California. "Che City Council will be considering the following: ® CS-1 GOVERNMENT CODE SECTION 54957; PERSONNEL ISSUES Discussions regarding Personnel Issues including two (2) public employees regarding evaluation; specifically the City Manager and the City Attorney. DATED: October 29, 2012 Jamie Boucher, City Clerk IN COMPLIANCE WITH THE ANIERICANS Ny1TH 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. ® 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 10 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 23, 2012 CLOSED SESSION CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVER\IMENT CODE SECTION 54957.6; CONFERENCE WITH LABOR NEGOTIATOR. Conference with City Manager. the City's Designated Representative. ® for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. CS-2 GOVERNMENT CODE SECTION 5 t956.8; 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 parcels. Property: Lease Site 102/102W and 105.1w/105.2 Negotiating Parties: Degarimore and Citv of Morro Bay Negotiations: Lease Terms and Conditions IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. L-J ® PUBLIC SESSION VETERAN'S MEMORIAL HALL - 6:00 PAL 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on Citv business matters (other than Public Hearing items under Section 13) 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 Nlay6r, 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. • The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official, commission and/or staff. ® • Please refrain from public displays or outbursts such as unsolicited applause, comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk. (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF OCTOBER 9, 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. El ® A-2 ADOPTION OF ORDNANCE NO. 581 REPEALING, AMENDING, AND REENACTING CHAPTER 10.76 OF THE MORRO BAY MUNICIPAL CODE ENTITLED COASTERS. ROLLER SKATES. SKATEBOARDS._ SCOOTERS_. EPAMDS AND SIMILAR DEVICES: (CITY ATTORNEY) E n LJ RECOMMENDATION: Adopt Ordinance 581. A-3 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY IDENTIFYNG LOCATIONS PROHIBITING THE USE OF COASTERS. ROLLER SKATES, SKATEBOARDS, SCOOTERS, EPAMDS AND SIMILAR DEVICES ON CERTAIN CITY SIDEWALKS: (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 50-12. A-4 ADOPTION OF ORDINANCE NO. 580 ADDING SECTION 7.04.170 MENACING AND AGGRESSIVE ANIMAL ORDNANCE TO CHAPTER 7.04 OF THE NIORRO BAY MUNICIPAL CODE: (POLICE) RECOMMENDATION: Adopt Ordinance 580. A-5 APPROVAL OF LICENSE AGREEMENT BETWEEN THE CITY OF MORRO BAY AND X2 TELECOM LLC FOR USE OF A PORTION OF THE NORTH POINT NATURAL AREA AND RIGHT OF WAY AREA FOR FIBER OPTIC CABLES: (CITY ATTORNEY) RECOMMENDATION: Approve the license agreement with X2 Telecomm LLC for the use of a portion of the North Point Natural Area and right-of-way area for fiber optic cable. A-6 RESOLUTION OF THE CITY COUNCIL OF CITY OF MORRO BAY APPROVING THE APPLICATION FOR GRANT FUNDS FROM THE FEDERAL RECREATIONAL TRAILS PROGRAM- (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution 51-12 authorizing staff to submit a grant application to secure funds from the Federal Recreational Trails Program for the illorro Rock Access Ramp project. A-7 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA APPROVING AiMENDiV1ENT r`:4 TO THE LEASE AGREEMENT FOR LEASE SITE 102/102W LOCATED AT 1001 EMBARCADERO: (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 53-12. A-8 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY. CALIFORNIA APPROVNG AMENDMENT �4 TO THE LEASE AGREEMENT FOR LEASE SITE 105.1 W/105.2 LOCATED AT 1001 EMBARCADERO: (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 54-12. 3 ® A-9 RESOLUTION NO. 40-12 ADOPTING THE MEMORANDUM OF UNDERSTANDING WITH THE MORRO BAY POLICE EMPLOYEES AND RELATED COMPENSATION; (ADMINISTRATIVE SERVICES) RECOM-NIENDATION: Adopt Resolution 40-12. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-I APPEAL OF THE AMENDMENT OF CONDITIONAL USE PERMIT CUP-02-01 TO CONSTRUCT A SECOND STORY OFFICE/STORAGE AREA AT THE EXISTING HARBOR HUT, 1205 EMBARCADERO: (PUBLIC SERVICES) RECONINIENDATION: Uphold the Planning Commission's approval of the requested Amendment of Conditional Use Permit CUP-02-01. C. UNFINISHED BUSINESS C-1 UPDATE ON SIDEWALK UPGRADES ON THE EMBARCADERO BETWEEN BEACH STREET AND PACIFIC STREETS AND THE IMPACT TO PARKING: (PUBLIC SERVICES) RECOINIMENDATION: Review and discuss the feasibility of sidewalk improvements on ® the Embarcadero between Beach and Pacific Streets and provide direction to staff. C-2 PUBLIC SERVICES DEPARTMENT - DEPARTMENT REORGANIZATION_: (ADMENISTRATION'/PUBLIC SERVICES) RECOMMENDATION: Review and approve the Public Services Department reorganization, and authorize the associated reclassification, hiring and direct job description modifications of the affected positions. D. NEW BUSINESS D-1 DISCUSSION OF MORATORIUM ON BUILDING IMPACT FEES FOR COMMERCIAL AND RESIDENTIAL IMPACT FEE REDUCTION AND ADOPTION OF RESOLUTION 52-12 ESTABLISHING A REDUCTION FOR THE PAYMENT OF DEVELOPNIENT INIPACT FEES FOR RESIDENTIAL PROJECTS: (CITY COUNCIL) RECONEMENDATION: Continue with the original time frame for a moratorium on impact fees for commercial development as noted in Resolution No. 45-11 and adopt Resolution No. 52-12 which reduces impact fees on residential development until July 2013. E. DECLARATION OF FUTURE AGENDA ITEMS ® F. ADJOURNMENT 4 ® THIS AGENDA IS SUBJECT TO AMENDINIENT 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 772-6205 FOR FURTHER INFORUMATION. [I El MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND MILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. 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 IVIEETING. 5 AGENDA NO: A-1 MINUTES - MORRO BAY CITY COUNCIL MEETING DATE: 11/13/2012 ® REGULAR WETNG — OCTOBER 23. 2012 VETERAN'S MEMORIAL HALL — 6:00P.1N/. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Lease Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz City Attorney Jamie Boucher City Clerk Rob Livick Public Services Director Mike Lewis Interim Police Chief Mike Pond Fire Chief Susan Slayton _ Administrative Services Director Eric Endersbv Harbor Director Joe Woods Recreation & Parks Director Bruce Keogh WWTP Manager ® ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS. ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — Ciry Attomev Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. PUBLIC COMMENT Crystal Bergman, owner of the Treasures Antique Mall_ presented the Morro Bay Business Report. Her business is located at 475 Morro Bay Blvd and features a 4200 square foot space that allows for 78 local vendors to display their antiques and vintage gifts. They are open 7 days a week; Monday thru Saturday from 10am-7pm and Sundays from 10am-5pm. Commander Bryan Millard spoke on the current strength and responsiveness of our Morro Bay Police Department. He also thanked Interim Chief Mike Lewis for such a fantastic job of keeping the department pointed in the right direction during his tenure. Michael Durrick spoke on the WWTP project. He asked Council and those watching at home to look on the City's website for the study conducted by Dudek which provides the cost analysis.of ® building the project at the existing site versus the Righetti site. He has concerns with the cost impacts on rate pavers should the Regional Water Quality Control Board and the EPA choose not to allow us to continue with our 301 h waiver during the time it would take to construct the new plant. What the study doesn't consider are the possible fines for non-compliance that could ® and would be levied at up to S10.000/day. He urged Morro Bay rate pavers to read the report before making any decision on whether or not you support moving the plant to a remote location. Gam' Johnson spoke on a new website — Fogcutter News ( Fogcutternews.org ) which brings truth into the light. The stories are written by 5 columnists and feature articles of local interest. It is also a site where you can donate to our troops overseas. There are also links on the site that allow you to fill out and send in protest petitions for both the WWTP project as well as the PG&E Seismic Testing project. Carol DeVore spoke on behalf of Womenade, a local 501(c)3 network of over 525 women who donate items. time and monev to meet essential needs in San Luis Obispo County. These monies are one time help, as opposed to cash payments to individuals, for things like furniture, diapers; doctors/dentist appointments, groceries. etc... Since 2003, $195.808 has been raised through donations and every single penny goes to help those in need. Gwen Infante and Tyra Solomon, both members of Womenade, promoted a calendar that they are selling for S2 L5O. The photography shoot was donated by Two Tall Studios with all monies from the sales going to benefit their organization. Sandy Tannler spoke regarding the article that was printed in the Wall Street Journal about the WWTP project. She feels we are being manipulated, that the article is skewed with half-truths, and that the possibility of a tsunami is being used as a scare tactic. She is also fearful of the ® expense of moving an entire new infrastructure to a new location where the sewage would have to be piped uphill. r Betty Winholtz spoke on Item A-5, the contract with the Fiber Optic Company at North Point. She was pleased that the City was receiving benefits but was concerned that this will only benefit City government: she would like to see the $50,000 go to a defined public good and not just to the general fund. She also spoke on Item C-2. the Reorganization of the Public Services Department. She feels the timing of this is poor as the new Council will be seated in 6 weeks and she feels they should have some input. She urges the Council postpone action on this item. Mayor Yates closed the public comment period. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF OCTOBER 9. 2012: (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 ADOPTION OF ORDNANCE NO. 581 REPEALING, Al'vfENDING. AND REENACTING CHAPTER 10.76 OF THE MORRO BAY MUNICIPAL CODE MINUTES - MORRO BAY CITY COUNCIL - OCTOBER 23, 2012 ENTITLED COASTERS, ROLLER SKATES, SKATEBOARDS, SCOOTERS. EPAMDS AND SIMILAR DEVICES; (CITY ATTORNEY) ® RECOMMENDATION: Adopt Ordinance 581. A-3 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY IDENTIFYING LOCATIONS PROHIBITING THE USE OF COASTERS, ROLLER SKATES, SKATEBOARDS. SCOOTERS, EPAMDS AND SIMILAR DEVICES ON CERTAIN CITY SIDEWALKS -. (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 50-12. A-4 ADOPTION OF ORDNANCE NO. 580 ADDING SECTION 7.04.170 MENACING AND AGGRESSIVE ANIMAL ORDNANCE TO CHAPTER 7.04 OF THE MORRO BAY MUNICIPAL CODE; (POLICE) RECOMMENDATION: Adopt Ordinance 580. A-5 APPROVAL OF LICENSE AGREEMENT BETWEEN THE CITY OF MORRO BAY AND X2 TELECOM LLC FOR USE OF A PORTION OF THE NORTH PONT NATURAL AREA AND RIGHT OF WAY AREA FOR FIBER OPTIC CABLES; (CITY ATTORNEY) RECOMMENDATION: Approve the license agreement with X2 Telecomm LLC for the use of a portion of the North Point Natural Area and right-of-way area for fiber optic cable. A-6 RESOLUTION OF THE CITY COUNCIL OF CITY OF MORRO BAY APPROVING THE APPLICATION FOR GRANT FUNDS FROM THE FEDERAL RECREATIONAL TRAILS PROGRAM-, (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution 51-12 authorizing staff to submit a grant application to secure funds from the Federal Recreational Trails Program for the Morro Rock Access Ramp project. A-7 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA APPROVING AMENDMENT 44 TO THE LEASE AGREEMENT FOR LEASE SITE 102/102W LOCATED AT 1001 EMBARCADERO; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 53-12. A-8 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY. CALIFORNIA APPROVING AMENDMENT #4 TO THE LEASE AGREEMENT FOR LEASE SITE 105.1 W/105.2 LOCATED AT 1001 EMBARCADERO; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 54-12. 3 MINUTES - MORRO BAY CITY COUNCIL - OCTOBER 23, 2012 A-9 RESOLUTION NO. 40-12 ADOPTING THE MEMORANDUM OF UNDERSTANDING WITH THE MORRO BAY POLICE EMPLOYEES AND ® RELATED COMPENSATION; (ADMINISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution 40-12. Councilmember Borchard pulled Item A-5 from the Consent Calendar. MOTION: Councilmember Borchard moved the City Council approve Items A-1. A- 2. A-3, A-4. A-6. A-7. A-8 and A-9 of the Consent Calendar as presented. The motion was seconded by Councilmember Smukler and carried unanimously 5-0. A-5 APPROVAL OF LICENSE AGREEMENT BETWEEN THE CITY OF MORRO BAY AND X2 TELECOM LLC FOR USE OF A PORTION.OF THE NORTH POINT NATURAL AREA AND RIGHT OF WAY AREA FOR FIBER OPTIC CABLES; (CITY ATTORNEY) Councilmember Borchard doesn't want to see this monev go to the general fund. Her thought is to put it towards a facility maintenance fund for technology improvements. Councilmember Smukler agrees that designating the monies will allow tracking of where funds are spent. V MOTION: Councilmember Borchard moved to approve the license agreement with X2 Telecom LLC with the provision that an item be brought back to the nest meeting ® stipulating where the money will be spent. The motion was seconded by Councilmember Smukler and carried unanimously 5-0. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 APPEAL OF THE AMENDMENT OF CONDITIONAL USE PERMIT CUP-02-01 TO CONSTRUCT A SECOND STORY OFFICE/STORAGE AREA AT THE EXISTING HARBOR HUT, 1205 EMBARCADERO; (PUBLIC SERVICES) Councilmember Leage had to step down from the dais due to a conflict of interest. Public Services Director Rob Livick presented the staff report. Appellant Betty Winholtz presented her arguments supporting her appeal of the project. Cathy Novak, speaking as the representative for the applicant, presented her arguments in favor of upholding the Planning Commission's decision. Mayor Yates opened the hearing for public comment; seeing none, the public hearing was closed. Councilmember Smukler was curious to hear from Public Services Director Livick staffs and ® the Planning Commission's opinion on why this wasn't an exception to Measure D. 4 MINUTES - MORRO BAY CITY COUNCIL- OCTOBER 23, 2012 Mayor Yates feels this that this addition provides ancillary benefit only; they are not adding restaurant space. In addition, this project provides public benefit as adding this office space adds ® square footage to the building which the City owns. He is in favor of upholding the Planning Commission's decision. Councilmember Johnson agrees with Mayor Yates. Councilmember Borchard stated that Council has been made fully aware, during the entire process of the lease site amendment process that this office space was proposed and Council approved it as such. It was vetted through the Planning Commission for the specifics. MOTION: Councilmember Johnson moved to deny the appeal and uphold the Planning Commission's approval of the requested Amendment of Conditional Use Permit CUP-02-01. The motion was seconded by Councilmember Borchard and carried 4-0-1 with Councilmember Leage abstaining due to a conflict of interest. C. UNFINISHED BUSINESS C-1 UPDATE ON SIDEWALK UPGRADES ON THE EMBARCADERO BETWEEN BEACH STREET AND PACIFIC STREETS AND THE IMPACT TO PARKING: (PUBLIC SERVICES) Public Services Director Rob Livick presented the staff report. ® Councilmember Smukler is intrigued by this concept and feels it is worth looking at; during his time on Council, there has been a transition in thought of a lot of business owners from concern to now looking into support of making changes. He feels that a conversation would need to begin regarding the update of the Local Coastal Plan and circulation element. He is interested in exploring a pilot program in the area to look at what could work and would be most cost effective. He would like to hear formally from the businesses in the area as these improvements would need to be supported by the businesses — maybe the first step could be a business forum on this topic. El Mayor Yates has walked this area with Ron DiCarli, Executive Director of SLOCOG and feels that COG would be able to fund this; however, it could be a 2-3 year process. He agrees that businesses would need to be on board. He also feels that waiting for an LCP update would take too long. He feels that COG could supply design monies, maybe as much as 90%. He would like to see the process begin, write COG requesting money to begin the design phase. Councilmember Leage agrees with Mayor Yates completely as he has been a proponent of this for a long time. He has personally talked to businesses on the Embarcadero and they feel that widening the sidewalk will help their businesses. Councilmember Johnson agrees we need something and this could be our best chance. She agrees that moving forward seeing what SLOCOG cando for us is the most expedient and least expensive solution at this time. 5 MINUTES - MORRO BAY CITY COUNCIL- OCTOBER 23. 2012 Councilmember Borchard stated that not having signs on the sidewalks has greatly improved the flow for the limited space we have. As projects on the Embarcadero come forward. the new Council and Planning Commission needs to be mindful of sidewalk enhancement and upgrade ® possibilities. ACTION: There was unanimous Council consensus to start dialogue with SLOCOG: letting them know what we would like to see happen as well as to request design money for enhancements. C-2 PUBLIC SERVICES DEPARTMENT - DEPARTMENT REORGANIZATION: (ADMINISTRATION/PUBLIC SERVICES) Public Services Director Rob Livick presented'his staff report. Councilmember Smukler is feeling cautious about this request. While he agrees with most of the adjustments both in salary and increased duties. he has concerns that in the future, he is fearful of additional expansions in salaries. He wants to postpone the request for the Permit Technician moving back to a full-time position. Mayor Yates is in favor of moving the Permit Technician position back to full-time as things have been moving much smoother in the last couple of months. He sees this as continued improvement. Councilmember Johnson is happy with the new organizational chart as she feels it is a good plan, she would like to wait however until mid -year to look at moving the Permit Technician position ® from'/< time to full-time. Councilmember Borchard agrees with Councilmembers Smukler and Johnson and feels we should wait until mid -year for the new Council to make a determination on the %d time position based on the budget. She is also fine with the new reorganization. She called into question the approval of the filling of the vacant Collection System position; she thought that they hadn't approved refilling that spot. MOTION: Councilmember Johnson moved to approve the Public Services Department Reorganization Plan with the exception of the Building Permit Technician moving from 1/4 time to full time; require tracking business licenses so there is information available when it comes back: and pending confirmation that Council approved filling the Collection System Operator II position. The motion was seconded by Councilmember Smukler and passed unanimously 5-0. D. NEW BUSINESS D-1 DISCUSSION OF MORATORIUM ON BUILDING IMPACT FEES FOR COMMERCIAL AND RESIDENTIAL IMPACT FEE REDUCTION AND ADOPTION OF RESOLUTION 52-12 ESTABLISHING A REDUCTION FOR THE PAYMENT OF DEVELOPMENT IMPACT FEES FOR RESIDENTIAL PROJECTS; (CITY COUNCIL) 6 MINUTES - MORRO BAY CITY COUNCIL - OCTOBER 23. 2012 Councilmember Borchard presented the staff report noting that there is a correction in the Resolution that needs to be made in the date — it needs to say "...permit as of October 23, 2012 ® shall be eligible until Julv 1, 24173 2014. for the residential projects impact fee waiver." This only changes impact fees, it doesn't change any other building fees. She stated that it is currently very cost prohibitive to build and is requesting that for the nest 18 months, to only charge % of what they currently are. Councilmember Johnson approves but wonders about limiting it to single family_ homes. Is it possible to include allowing this for projects of less than 8? Councilmember Smukler is not in support of this as proposed. We currently have opportunities for us to help people construct new structures and smaller renovations. What we are doing here is giving a considerable amount and there isn't a standard that we are asking them to comply with. He would be interested in pursuing if we could require they provide a higher standard of enhanced efficiencies. Mayor Yates disagrees with Councilmember Smukler: the idea behind this is to spur construction. He also feels this is the same thing as waiving commercial impact fees. By doing this. it sends a message - there is a timetable as it won't last forever. Councilmember Smukler agrees that it is important to build new homes as well as renovate existing homes. But moving forward with this cuts back on the funding sources that allow us to accommodate new infrastructure improvements that we have been trying to move forward with. He feels that tying this into a higher standard makes more sense and provides us a sense of security that we won't lose the quality of life that we are trying to provide. Mayor Yates feels that impact fees are just another tax; it's a revenue generation machine. He thinks that the trade off in losing the impact fees but gaining in property taxes and sales taxes will more than make up for the losses. Councilmember Borchard reinforced that this isn't a waiver of impact fees, it is a reduction of impact fees. In addition. this isn't a subdivision development waiver: it is intended for single family residences. Councilmember Smukler spoke about dual plumbing fixtures stating they are the wave of the future. He feels we should mandate that dual plumbing fixtures be installed for these types of requests as he feels it will be saving residents money in the long run when these fixtures become a requirement. Council consensus was not to trade a cost for a waiver of cost. Councilmember Johnson feels it should be limited to single family residences or small 2 or 3 unit subdivisions. Councilmember Borchard is comfortable with 3 units. MOTION: Councilmember Borchard moved for the adoption of Resolution No. 52-12 with the following change to the last "Whereas', where the sentence now reads: WHEREAS, in furtherance of these goals. the City Council hereby desires to establish the following reductions to the payment of Development Impact Fees for single family residential projects up to three units:..." as well as changes the eligibility date for the ® reduction of impact fee waiver on residential development until July 1, 2204-3 2014. The 7 MINUTES - MORRO BAY CITY COUNCIL -OCTOBER 23, 2012 motion was seconded by Councilmember Johnson and passed 4-1 with Councilmember Smukler votine no. 0 E. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Borchard requested an item recommending earmarking the $50,000 monies from X2 Telecom LLC to City's technology needs: there was unanimous Council consensus. ADJOURNMENT The meeting adjourned at 8:02 p.m. Recorded by: / amie Boucher City Clerk E r1 J 0 MINUTES- MORRO BAY CITY COUNCIL-OCTOBER 23, 2012 ® 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 9, 2012 CLOSED SESSION CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNIMENT CODE SECTION 54956.8; 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 eleven parcels. • Property: 1320 Main Street, Access Easement over Lot B Negotiating Parties: M. Lemos and City of Morro Bay Negotiations: Voluntary Purchase and Sale Property: North Point Natural Area, Toro Lane Negotiating Parties: opticAccess, LLC and City of Morro Bay Negotiations: Lease Terms and Conditions IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. E PUBLIC SESSION ® VETERANS MEi•IORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on Cite 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. • The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official, commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause, ® comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders Mill be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk; (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved NNithout discussion. A-1 APPROVAL OF CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF SEPTEMBER 25, 2012;.(ADMNISTRATION) RECOINIA'IENDATION: Approve as submitted. 11 A-2 DELAYED PROJECT STATUS REPORT; (ADMINISTRATION) RECOMMENDATION: Informational item only. A-3 ENTERING INTO A REVISED MEMORANDUM OF UNDERSTANDING WITH SAN LUIS OBISPO COUNTY FOR THE PREPARATION OF AN INTEGRATED REGIONAL WATER MANAGEMENT PLAN; (PUBLIC SERVICES) RECOMMENDATION: Authorize the Public Services Director to enter into a Memorandum of Understanding (MOU) with San Luis Obispo County and to represent the City in preparing the Integrated Regional Water Management (IRWM) plan. A-4 QUARTERLY FINANCIAL STATUS REPORT FOR THE FISCAL YEAR ENDED SEPTEMBER 30.2012; (ADMINISTRATIVE SERVICES) RECOMMENDATION: Accept the report as presented. A-5 AUTHORIZATION TO FILL ONE RECREATION AND PARKS DEPARTMENT MANTENANCE WORKER III POSITION — CONSOLIDATED MAINTENANCE: (RECREATION & PARKS) RECOMMENDATION: Authorize staff to fill this essential Recreation and Parks Department Maintenance Worker III position. ® A-6 AUTHORIZATION TO FILL ONE RECREATION AND PARKS DEPARTMENT ADMNISTRATIVE TECHNICIAN — ADMINISTRATION; (RECREATION & PARKS) RECOMMENDATION: Authorize staff to fill this essential Recreation and Parks Department Administrative Technician position. A-7 AUTHORIZATION TO CONDUCT A RECRUITMENT PROCESS TO FILL THE FIRE CHIEF POSITION; (ADMINISTRATION) RECOMMENDATION: Authorize the City Manager to begin the recruitment process to fill the Fire Chief position. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 INTRODUCTION AND FIRST READING OF ORDINANCE NO. 581 REPEALING, AMENDING, AND REENACTING CHAPTER 10.76 OF THE MORRO BAY MUNICIPAL CODE ENTITLED COASTERS. ROLLER SKATES. SKATEBOARDS, SCOOTERS, EPAMDS AND SIMILAR DEVICES: AND DISCUSSION OF DRAFT RESOLUTION PROHIBITING SUCH DEVICES ON COMMERCIAL DISTRICT is SIDEWALKS WITHN THE CITY; (CITY ATTORNEY) 3 RECOMMENDATION: Accept public comment and then move for introduction and ® first reading of Ordinance No. 581 by number and title only. In addition, review and comment on the attached Resolution that would prohibit such devices on sidewalks in the commercial districts of the City. B-2 NTRODUCTION AND FIRST READING OF ORDNANCE NO. 580 ADDING SECTION 7.04.170 MENACING AND AGGRESSIVE ANIMAL ORDNANCE TO CHAPTER 7.04 OF THE MORRO BAY MUNICIPAL CODE; (ADMINISTRATIONi) RECOMMENDATION: Open the public hearing, receive testimony and approve the First Reading and Introduction of Ordinance No. 580 adding Section 7.04.170 by number and title only. C. UNFNISHED BUSINESS C-I DISCUSSION AND APPROVAL OF THE AGREEMENT WITH THE MORRO BAY CHAMBER OF COMMERCE TO PROVIDE CERTAIN ECONOMIC SERVICES N EXCHANGE FOR $58.250, AND A LEASE AGREEMENT WITH THE CHAMBER FOR PROPERTY LOCATED AT 695 HARBOR STREET; (CITY ATTORNEY) RECOMMENDATION: Approve a funding Service Contract totaling S58,250 and a no cost office space lease at 695 Harbor Street. ® D. NEW BUSINESS - None E. DECLARATION OF FUTURE AGENDA ITEMS F. 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 AGENTA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6205 FOR FURTHER INFORMATION. MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595. HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND MILL'S COPY CEN"I'ER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. 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 AGENDA NO: A-1 MINUTES - MORRO BAY CITY COUNCIL MEETING DATE: 10/23/2012 ® REGULAR MEETING — OCTOBER 9, 2012 VETERAN'S MEMORIAL HALL — 6:00P.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker Robert Schultz Jamie Boucher Rob Livick Mike Lewis Mike Pond Susan Slayton Eric Endersbv Joe Woods Kyle Shaffer Citv Manager City Attorney Citv Clerk Public Services Director Interim Police Chief Fire Chief Administrative Services Director Harbor Director Recreation & Parks Director Lifeguard Supervisor, Harbor Dept ® ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS. ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — City Attorney Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. PUBLIC COMMENT Heather Koide; owner of Smoobage, a local company located at 898 Main St., Ste. C. presented the Morro Bay Business Report. She and her husband Adam started the business 2 months ago. Smoobage is an esoteric word for "something you love" and in that spirit, they feature unique art, gifts, jewelry and kid's toys. Their hours are Monday thru Sunday from 10am-6pm and they would love it if people came by to take a look. Kyle Shaffer. Lifeguard Supervisor for the City presented a recap of the activities of the Summer Beach Lifeguard program. Craig Schmidt, Chamber of Commerce CEO, stressed that his office has both the talent and ® resources to make the Citv's Economic Development Program successful. He recognizes that economic development was one of the City's top goals in their strategic planning sessions. He is hoping that through a reduced rent agreement with the City to relocate the Chamber and Economic Development in a City provided facility, that they can present a professional fagade to their efforts and allow them the space to establish a partners office and a small incubator without ® spending additional dollars. Mike Manchak of the Economic Vitality Corporation spoke in support of the Chamber of Commerce's efforts. They are very excited about the program that the Chamber is proposing and feels the incubator program is a perfect fit for our community. Christine Rogers thanked the City Council for their position taken in promoting Economic Development. She also encouraged Council to support the Chamber's current proposal. Anita Ayoob is a member of the Board of Directors of the Morro Bay Pups. She hoped that the enforcement component of the Aggressive Animal Ordinance includes the Jodv Giannini Dog Park as well. Sandy Tannler questioned the motives of those speaking on behalf of moving the plant. She wondered who the people were that wanted to move the plant so badly that they would give faultv information to the California Coastal Commission. She also wondered if we were being manipulated by the Surf. Rider Organization. Garry Johnson spoke on the importance of being trained in ocean awareness and safety. He also encouraged parents to enroll their children in the City's lifeguard training programs. Commander Charles Adams is a new resident to Morro Bay and spoke just to introduce himself. ® He hopes we will consider him available for volunteer services. His background is in structural and seismic engineering. Jennifer Redman spoke in support of the Chamber of Commerce. She feels that the economy can turnaround with the City's support of small business. The City needs something to help the small business learn and the Chamber's Economic Development program can do that. Israel Dominguez. Director of Cuesta's Business and Entrepreneurship Center, spoke in support of the Chamber in their efforts to create a Business Incubator Program. He feels that having an incubator program in Morro Bay can only be beneficial as well as create additional sales revenues for the City. Susan Stewart has seen a lot of Morro Bay businesses come and go as entrepreneurship and light business has had a difficult time making it on the coast. She feels the Economic Development Program is another innovative way to invest in the community. Bob Swain thanked the Eco-Rotary Club for their work at the Harbor Festival. He also spoke in support of the Chamber of Commerce. especially with their rent proposal. If they have to pay more to rent then they will have to pass those costs onto the members. Mayor Yates closed the public comment period. ® A. CONSENT CALENDAR MINUTES - MORRO BAY CITY COUNCIL - OCTOBER 9, 2012 E • Unless an item is pulled for separate action bv_ the City Council, the following actions are approved without discussion. A-1 APPROVAL OF CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF SEPTEMBER 25, 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 DELAYED PROJECT STATUS REPORT; (.ADMINISTRATION) RECOMMENDATION: Informational item only. A-3 ENTERING INTO A REVISED MEMORANDUM OF UNDERSTANDING WITH SAN LUIS OBISPO COUNTY FOR THE PREPARATION OF AN INTEGRATED REGIONAL WATER MANAGEMENT PLAN; (PUBLIC SERVICES) RECOiNIMEINMATION: Authorize the Public Services Director to enter into a Memorandum of Understanding (MOU) with San Luis Obispo County and to represent the City in preparing the Integrated Regional Water Management (IRWWI) plan. A-4 QUARTERLY FINANCIAL STATUS REPORT FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2012; (ADMINISTRATIVE SERVICES) RECOM]NIENDATION: Accept the report as presented. A-5 AUTHORIZATION TO FILL ONE RECREATION AND PARKS DEPARTMENT MAINTENANCE WORKER III POSITION — CONSOLIDATED MAINTENANCE; (RECREATION & PARKS) RECOMINMENDATION: Authorize staff to fill this essential Recreation and Parks Department Maintenance Worker DI position. A-6 AUTHORIZATION TO FILL ONE RECREATION AND PARKS DEPARTMENT ADMINISTRATIVE TECHNICIAN — 'ADMINISTRATION; (RECREATION & PARKS) RECOMMENDATION: Authorize staff to fill this essential Recreation and Parks Department Administrative Technician position. A-7 AUTHORIZATION TO CONDUCT A RECRUITMENT PROCESS TO FILL THE FIRE CHIEF POSITION; (ADMINISTRATION) RECOMMENDATION: Authorize the City Manager to begin the recruitment process to rill the Fire Chief position. Item A-7 was pulled from the Agenda. 3 MINUTES - MORRO BAY CITY COUNCIL - OCTOBER 9, 2012 MOTION: Councilmember. Borchard moved the City Council approve Items A-1. A- 2, A-3, A-4, A-5, and A-6 of the Consent Calendar as presented. The motion was ® seconded by Councilmember Johnson and carried unanimously 5-0. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 INTRODUCTION AND FIRST READING OF ORDINANCE NO. 581 REPEALING, AMENDING, AND REENACTING CHAPTER 10.76 OF THE MORRO BAY MUNICIPAL CODE ENTITLED COASTERS, ROLLER SKATES, SKATEBOARDS, SCOOTERS, EPAMDS AND SIMILAR DEVICES; AND DISCUSSION OF DRAFT RESOLUTION PROHIBITNG SUCH DEVICES ON COMMERCIAL DISTRICT SIDEWALKS WITHIN THE CITY; (CITY ATTORNEY) City Attorney Rob Schultz presented the staff report. Mayor Yates opened the hearing for public comment; seeing none, the public hearing was closed. Councilmember Smukler is in support of this Ordinance. He feels this is an improved model and that it is important to designate the sidewalks in the business area as being prohibited to these devices. He also hopes that discretion would be applied when it comes to enforcement issues. Mayor Yates and Councilmembers Leage, Borchard and Johnson are also in support of the Ordinance. ® MOTION: Councilmember Johnson moved approval of the Introduction and First Reading of Ordinance No. 581 Repealing, Amending and Reenacting Chapter 10.76 of the MBMC entitled Coasters. Roller Skates. Skateboards, Scooters. EPAMDS and Similar Devices by number and title only as well as bringing back a Resolution prohibiting such devices on commercial sidewalks within the City. The motion was seconded by Councilmember Borchard and carried unanimously. 5-0. B-2 INTRODUCTION AND FIRST READING OF ORDNANCE NO. 580 ADDING SECTION 7.04.170 MENACING AND AGGRESSIVE ANIMAL ORDNANCE TO CHAPTER 7.04 OF THE MORRO BAY MUNICIPAL CODE: (ADMINISTRATION) Interim Police Chief Mike Lewis presented the staff report. Mayor Yates opened the hearing for public comment: seeing none, the public hearing was closed. Mayor Yates stated that he would be voting no on principal as he is against added regulations. All other Councilmembers were in support of the Ordinance. MOTION: Councilmember Borchard moved for approval of the Introduction and ® First Reading of Ordinance 580 adding Section 7.04.170 Menacing and Aggressive 4 MINUTES - MORRO BAY CITY COUNCIL - OCTOBER 9, 2012 Animal Ordinance to Chapter 7.04. of the MBMC by number and title only. The motion was seconded by Councilmember Johnson and carried 4-1 with Mayor Yates voting no. ® C. UNFINISHED BUSINESS C-1 DISCUSSION AND APPROVAL OF THE AGREEMENT WITH THE MORRO BAY CHAMBER OF COMMERCE TO PROVIDE CERTAIN ECONOMIC SERVICES N EXCHANGE FOR $58,250, AND A LEASE AGREEMENT WITH THE CHAMBER FOR PROPERTY LOCATED AT 695 HARBOR STREET: (CITY ATTORNEY) Citv Attomev Rob Schultz presented the staff report. Councilmember Borchard is supportive of moving forward with the Economic Development Program however she does have a problem with a 3 year lease and is adamantly against free rent as she doesn't feel it is the City's responsibility to fund the Chamber's rent; she can support shared expenses. Councilmember Johnson is also supportive of the program however she would like to see shorter lease terms and an agreement for reduced rent as opposed to free rent. She is also hopeful that Council will be receiving quarterly and annual reports. If Council provided the program a 1 year contract now, then at the end of the first year, if successful. they could then renegotiate a 3 year contract at that time. Mavor Yates is supportive of the Chamber. He doesn't see the difference in giving them money ® or allowing them free rent.. He likes the contract and he sees no need for any changes. He is looking forward to the incubator program starting. E Councilmember Leage would like to see a 1 year contract: he feels 3 years is too long. That would also give the Council the ability to look at the program in a year to see if it's working. He is also against the concept of free rent. Councilmember Smukler is in full support of this program. He would like to add a couple of things to the contract. He sees the free rent as an investment; its monev we can track directly back to economic development and he sees this as an excellent opportunity for us to help this program along. If they have to continue to come back each year to justify their program. that is time wasted that they could be focusing on providing a better program. Rob Schultz informed Council that based on the funding agreement: the Council still has the control each year. If at any time the program isn't performing to Council's satisfaction as an economic development engine, then the contract can be terminated or renegotiated. After some thought. Councilmember Borchard made the statement that she will support the 3 year agreement with free rent. It is her understanding that the new Council will more than likely bring this item back once they are seated and implement the 3 year lease and free rent so it would be in everybody's best interest to move forward now. as presented. Following that statement, there was consensus from Councilmembers Johnson and Leage to do the same. 5 MINUTES - MORRO BAY CITY COUNCIL- OCTOBER 9, 2012 MOTION: Mavor Yates moved for approval of both the agreement with the Morro Bav Chamber of Commerce to provide certain economic services as well as the lease agreement for the property located at 695 Harbor, as presented. The motion was seconded by Councilmember Smukler and carried unanimously. 5-0. D. NEW BUSINESS - None E. DECLARATION OF FUTURE AGENDA ITEMS - None ADJOURNMENT The meeting adjourned at 7:58 p.m. Recorded bv: x4�w_ Jamie Boucher Citv Clerk r MINUTES - MORRO BAY CITY COUNCIL - OCTOBER 9, 2012 ® 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 CLOSED SESSION CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNNIENT CODE SECTION 54957.6; CONFERENCE WITH LABOR NEGOTIATOR. Conference with City Manager; the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms and compensation ® paid to the City Employees and giving instructions to the Designated Representative. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. 11 ® PUBLIC SESSION — SEPTEMBER 25, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE 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. • The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official, commission and/or staff. ® • Please refrain from public displays or outbursts such as unsolicited applause, comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk, (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF SEPTEMBER I E 2012: (ADMINISTRATION) RECOMMENDATION: Approve as submitted. r ® A-2 ADOPTION OF FAIR POLITICAL PRACTICES (FPPC) FORM 806 RELATING TO APPOINTMENTS OF ' COUNCILiVIEMBERS TO OUTSIDE COMMITTEES, BOARDS, AND/OR COMMISSIONS FOR WHICH COMPENSATION IS PAID PURSUANT TO CALIFORNIA CODE OF REGULATIONS §18705.5: (ADMINISTRATION AND CITY ATTORNEY) RECOMMENDATION: Adopt the FPPC approved and required Form 806 listing all Council Appointments for which compensation is received as well as direct the City Clerk to post Form 806 on the City's website. A-3 RESOLUTION NO. 39-12 ADOPTING THE MEMORANDUM OF UNDERSTANDING WITH THE MORRO BAY FIREFIGHTERS AND RELATED COMPENSATION; (ADMINISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution 39-12. A-4 DELAYED PROJECT STATUS REPORT; (ADMINISTRATION) RECOMMENDATION: Review the quarterly Delayed Project Status Report. A-5 A PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY DECLARING OCTOBER. 2012 AS "RIDESHARE MONTH"; (ADMINISTRATION) ® RECOMMENDATION: Adopt Proclamation B. PUBLIC HEARINGS. REPORTS R APPEARANCES - None C. UNFINISHED BUSINESS - None D. NEW BUSINESS D-1 DISCUSSION OF THE REQUEST BY 600 MORRO BAY LP FOR THE REMOVAL OF AFFORDABLE HOUSING DEED RESTRICTIONS AT 600 MORRO BAY BLVD AND TO ALSO WANE THE AFFORDABLE HOUSING N-LIEU FEE: (ADMINISTRATIVE SERVICES) RECOMMENDATION: Abide by the City's adopted 2009 Housing Element, and either leave the deed restriction in place or require the payment of the affordable housing in -lieu fee. D-2 DISCUSSION ON THE MORRO BAY TOURISM BUSINESS IMPROVEMENT DISTRICT'S (TBID) REQUEST FOR ADDITIONAL FUNDING; (ADMINISTRATIVE SERVICES) RECOMMENDATION: Direct staff to review this request at mid -year budget review. ® D-3 REPORT ON FNDNGS OF PLANNING STUDY COMMITTEE: (ADMINISTRATION) 3 ® RECOWMENDATION: Review the results from the Planning Study Committee process as well as the changes that have been incorporated to date, and provide staff with further direction to include continuing to work toward solutions from the Planning Study Committee results. D-4 DISCUSSION OF DRAFT OF MENACING AND AGGRESSIVE ANIMAL ORDNANCE: (ADMINISTRATION) RECOMMENDATION: Review the draft Menacing and Aggressive Animal Ordinance, make amendments to said Ordinance and schedule the Introduction and First reading for the October 9, 2012 City Council meeting. D-5 REVIEW OF DRAFT AMENDMENTS TO CHAPTER 10.76 OF THE MORRO BAY MUNICIPAL CODE ENTITLED COASTERS. ROLLER SKATES. SKATEBOARDS; SCOOTERS. EPAMDS AND SIMILAR DEVICES: (CITY ATTORNEY) RECONIMENDATION: Review the attached draft Chapter 10.76 entitled Coasters, Roller Skates, Skateboards, Scooters, EPAMDs and Similar Devices and direct staff to return this item with any changes for Introduction and First Reading at a public hearing. E. - DECLARATION OF FUTURE AGENDA ITEMS ® F. ADJOURNMENT 11 THIS AGENBA 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 772-6205 FOR FURTHER INFORMATION. MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND iVIILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. IN COiVIPLL-UNCE 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. M AGENDA NO: A-1 FETING DATE: 10/09/2012 MNUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETING — SEPTEMBER 25. 2012 VETERAN'S MEMORIAL HALL — 6:00P.M. Mavor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leaee Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz City Attorney y Jamie Boucher City Clerk Rob Livick Public Services Director Mike Lewis Interim Police Chief Mike Pond Fire Chief Susan Slavton Administrative Services Director Eric Endersby Harbor Director Joe Woods Recreation & Parks Director ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS_. ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — City Attornev Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. PUBLIC COMMENT Brett Bishop, Operations Manager for Aero Seal of California located at Miners Hardware in Morro Bay, presented the Morro Bay Business Report. As a new business in town, he first wanted to thank Morro Bay for developing a Green Building Program. Aero Seal is a process for improving the efficiency in ventilation systems and is offered to both home and business owners. The process will help stop energy waste and could save up to 30% in costs as well as provide cleaner indoor air. They are holding an Open House on October 4 h from 630-730pm. Steve Buffalo spoke on behalf of the Morro Bay Harbor Festival inviting everybody to nest weekend's big event. He boasted there will be 23 wineries. 7 breweries, 8 restaurants and a great line up of entertainment as well as free activities for children. ® Michele Jacquez spoke on behalf of TBID regarding Item D-2. TBID's Request for Additional Funding. She hopes that Council will grant their request of $58,500 for marketing and up to $10.000 for site improvements to the new Visitor's Center. She stressed that TBID was in place to market the entire City and her hopes are that with these funds, their strong marketing efforts would continue. She also advertised this weekend's Savor the Central Coast event. ®. Nancy Castle spoke on behalf of AGP, requesting those having presentations as a part of their public comment; please bring them on flash drives. She also invited the public to attend the Annual BBQ at St. Peters by the Sea where they will be holding their 50`" Anniversary of the Church and `Parish House' dedication. In addition. there will be a bbq, crafts, music and an art show. Jim Davis announced an event happening this Sunday_ September 30`s at the Morro Bay Veteran's Hall — "Veteran's Express Shuttle Benefit Concert". The event goes from 130-430pm and supports Ride -on Transportation for Veteran's to get to Santa Maria and even Los Angeles for their doctor appointments. Red Skunk Band and the Louie Ortega band will both be performing. Food and drinks will also be available for sale. Steve Eckis, the City's liaison with the Morro Bay Pups, spoke on Item D-4. the draft Aggressive Animal Ordinance. Morro Bay Pups supports this effort as it will enhance the safety of both animals and people. He looks forward to speaking with staff regarding enforcement issues and the role the Morro Bay Pups may be asked to play. Linda Merrill objected having the City spend money to educate people on the value of tourism. She also thanked Councilmember Smukler on the update of the Seismic Imaging Project. Marc Tognazzini spoke regarding the Coalition put together called COAST — Citizens Opposing is tests. Seismic Testing - which they hope will end the efforts of PG&E to perform these tests. He also felt it important for people to speak with Supervisor Gibson and State Senator Blakeslee who are supportive of the project. E Mandy_ Davis. also spoke on behalf of the Coast Alliance. They have been getting support from all up and down the State. There will be a rally that includes a Flotilla held on Saturday, October 6'' @ 2pm at the public launch ramp finishing at Coleman Park. The beauty of this Alliance is that it encompasses a very diverse group of "users" and "preservers". She then went on to read the position statement of the Coastal Alliance. She requested the City send a representative to the nest Department of Fish and Game meeting and ask them to NOT issue the permit. David Nelson agreed that money should not be spent to teach residents about tourism. He also backs what Mandy Davis and Marc Tognazzini said and hopes the City will step up as this problem is more important than how our comments came across. He also spoke on Item D-1 stating that the contractor should not be allowed to receive a waiver of his low income housing requirements. Suzanne Moyer. a Cayucos resident, spoke behalf of keeping the WWTP where it is. The Coastal Commission staff report doesn't reflect the information provided to them. She stated that the current plant is not on ocean front property and the upgrade of the site wouldn't change or affect the character of the surrounding area. She also questioned how people were going to be able to afford the plant. 2 MINUTES - MORRO BAY CITY COUNCIL - SEPTEMBER 25.2012 Althea Starvo is bothered by the number of letters that the paper has printed questioning the Citv's lack of vision in their attempts to keep the WWTP in the same location. She is equally ® concerned that people aren't looking at the true costs. We are aware it needs upgrading but hopes it does not get moved. Jim Haves, former City employee of the WWTP and Collection Department has read the letters written by the 2 elected Counciimembers neither of which makes sense to him. There are no facts in either letter that support moving the plant. It is his opinion that moving the plant will be the biggest; most expensive lapse in judgment in Morro Bay history. Aaron Ochs; Managing Editor of The Rock spoke on the Seismic Testing issue. He feels this test is a $64 million dollar redundancy. He went on to say that there were over 44.000 emails sent to the Department of Fish and Game opposing the project. I's very gratifying to see that beauty can come from conflict as the community is coming together over this issue. It's also good to see objective balance come into the discussion. Joan Solu, Chairperson of the TBID, spoke on Item D-2. TBID is proud to have been a part of that success of the record breaking TOT revenues for fiscal year 2011/12. Based on the numbers, she feels that the TOT revenues exceeded the projected revenues by $176.000. With that in mind, she hopes that Council can fund the TBID an additional S58.500 as well as split the costs for improvements to the new Visitor Center site up to $10,000. Ken Vesterfelt feels that there is a crisis in the Police Department as he states they are probably on track to lose more than '/ of the staff at the department. Most of the reason behind this is money. He is concerned about the health and safety of the citizens of Morro Bay. Betty Winholtz spoke on Item D-1 feeling that there is no reason to grant an exception. The applicant hasn't shown a financial hardship. A developer has 3 options on how to provide low income housing; they must do one and he doesn't want to do any. To allow an exception at this point is unfair. She also said that it is Sea Otter Awareness Week and she went on to read a Resolution/Proclamation. Roger Ewing also spoke on Item D-1 lending his voice in support of opposition to the requested waiver. He feels doing business in Morro Bay is a privilege and part of that means you have a. responsibility; to have a developer come before you to ask not to honor that responsibility is wrong. To give exemptions to business owners is also wrong as these fees go towards the City's infrastructure. He also spoke on the Seismic Testing and feels that any issue putting Mandy Davis and Marc Tognazzini at the same table is an issue he can support. Mayor Yates closed the public comment period. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF ® SEPTEMBER 11, 2012; (ADMNISTRATION) MLN'UTES - MORRO BAY CITY COUNCIL - SEPTEMBER 25, 2012 RECO«'IENDATION: Approve as submitted. ® A-2 ADOPTION OF FAIR POLITICAL PRACTICES (FPPC) FORM 806 RELATING TO APPOINTMENTS OF COUNCILMEMBERS TO OUTSIDE COMMITTEES. BOARDS. AND/OR COMMISSIONS FOR WHICH COMPENSATION IS PAID PURSUANT TO CALIFORNIA CODE OF REGULATIONS §18705.5: (ADMINISTRATION AND CITY ATTORNEY) RECO.4MENDATION: Adopt the FPPC approved and required Form 806 listing all Council Appointments for which compensation is received as well as direct the City Clerk to post Form 806 on the City's website. A-3 RESOLUTION NO. 39-12 ADOPTING THE MEMORANDUM OF UNDERSTANDING WITH THE MORRO BAY FIREFIGHTERS AND RELATED COMPENSATION: (ADMINISTRATIVE SERVICES) RECOM]NIENDATION: Adopt Resolution 39-12. A-4 DELAYED PROJECT STATUS REPORT: (ADMINISTRATION) RECOM r IENDATION: Review the quarterly Delayed Project Status Report. A-5 A PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY DECLARING OCTOBER. 2012 AS "RIDESHARE MONTH"; (ADMINISTRATION) ® RECOiMNIENDATION: Adopt Proclamation MOTION: Councilmember Borchard moved the City Council approve all items of the Consent Calendar as presented. The motion was seconded by Councilmember Johnson and carried unanimously 5-0. B. PUBLIC HEARINGS. REPORTS & APPEARANCES - None C. UNFINISHED BUSINESS - None D. NEW BUSINESS D-1 DISCUSSION OF THE REQUEST BY 600 MORRO BAY LP FOR THE REMOVAL OF AFFORDABLE HOUSING DEED RESTRICTIONS AT 600 MORRO BAY BLVD 'AND TO ALSO WAIVE THE AFFORDABLE HOUSING N-LIEU FEE_: (ADMINISTRATIVE SERVICES) Administrative Services Director Susan Slayton presented the staff report. Public Services Director Rob Livick went on to say that affordable housing is a requirement of all housing projects of a certain size and was stipulated in the mitigated negative declaration and was a project condition. If the City Council choses to waive this condition, he recommends that we amend their conditional use permit and bring it back to a duly noticed public hearing. 4 MIS\'UTES - MORRO BAY CITY COUNCIL - SEPTEMBER 25. 2012 Councilmember Lease feels we should call for a public hearing with the intent to waive the fees. Councilmember Smukler understands that the housing market has put this developer in a tight 40 spot making this an awkward situation. But wanting this could also open the door for a whole slew of these kinds of requests. A full waiver would dismiss our attempt at setting closer to our goal of affordable housing units. He wondered if it would be worthwhile to look at a valuation which might shift both of those moderate valued units to one very low unit which would then bring them more in line with the current market value. Councilmember Johnson stated they had 3 options: 1) waive the whole thing which she isn't in favor of; 2) waive the deed restriction on the houses and require the developer to build 2 other deed restricted homes; or 3) pay the in -lieu fee. She feels they should move forward and waive the deed restriction on the 2 units and have the developer pay the in -lieu fees with staff working with the developer on a payment plan. Councilmember Borchard asked where the value of the homes came from. Mr. Livick responded that the figure was estimated from the square footage of the units and the building permit value they paid which makes it high for today. Councilmember Borchard is not willing to waive the fees but is willing to work with the developer to find some sort of compromise. !✓favor Yates; based on the email received today, is willing to postpone the item in order to allow the City Attorney to work with the developer on other suggestions. ACTION: It was the consensus of Council to postpone this item to allow the City ® Attorney to do research. It is hoped the Item can come back for discussion at the October 23, 2012 meeting. A D-2 DISCUSSION ON THE MORRO BAY TOURISM BUSINESS IMPROVEMENT DISTRICT'S (TBID) REQUEST FOR ADDITIONAL FUNDING; (ADMINISTRATIVE SERVICES) Administrative Services Director Susan Slayton presented the staff report. Councilmember Smukler is interested in helping the transition especially in the first year as it will be the most challenging. He would like to see the Council postpone discussing and/or allocating the S58,500 until midyear. While the numbers looks good at the moment he feels it needs tobelooked at in context of the entire budget. He is very interested in pursuing the Visitor's Center expenditures. He isn't comfortable in this money coming from the reserves but mavbe there could be an advance from next year's Visitor's Center monies and then revisit it at midyear with the possibility of being able to allocate additional funds at that time. Mayor Yates doesn't see a problem with pulling the funds from the general fund. He doesn't see the $10,000 as a problem and feels that staff should be allowed to determine where the money comes from. The sense is that more money is coming in than was budgeted. TOT is up, sales tar is up and property tax should be up. He feels we can allocate the $58,500 and the $10,000 from General Fund. MINUTES - MORRO BAY CITY COUNCIL -SEPTEMBER 2512012 Ms. Slayton stated that while the TOT did out perform their projections, the other revenues haven't been reconciled which makes it impossible to see the entire budget picture. She also stated that there is unallocated Visitors Center money for the January — June operations. Councilmember Borchard is amenable to the funding of the startup shared costs of the Visitor's Center. She is not in favor of dipping into the $50.000 unallocated monies that more than likely will go to the Visitor's Center starting in January; she doesn't want to deplete those monies. She is also concerned. without seeing the agreement for the Visitor's Center. to allocate the S58.500 now. y Councilmember Johnson agrees with the $10,000 expenditure for the Visitor's Center and likes the concept of advancing the funds from the "future" Visitor's Center monies. Councilmember Leage has always felt that the TBID was shorted money from the beginning and thinks they should get all of their requested money. We are taking a bigger risk if we don't allocate them these monies as everything is moving forward right now. MOTION: Mayor Yates moved to allocate S58.500 as well as S10.000 for a total of S68.500 from the General Fund to the TBID. The motion was seconded by. Councilmember Leage and carried 3-2 with Councilmembers Borchard and Smukler voting no. D-3 REPORT ON FINDINGS OF PLANNING STUDY COMMITTEE: (ADMNISTRATION) ® City Manager Andrea Lueker presented the staff report. Mayor Yates asked whether or not timeliness was addressed in the Committee's discussions. He is grateful this panel met. He is also opposed to charging a $300 fee for a meeting as we should be more welcoming and should be willing to sit down with applicants to discuss proposed projects. City Manager stated that the $300 fee would then be credited back to the project once the project was pursued. And usually this type of meeting only would occur in larger projects. Councilmember Smukler feels it's important for us to recognize that we will continue to run into the same wall when it comes to the planning process without having a General Plan and a Local Coastal Plan in place. He also thought it might be worth looking into smaller projects having to pay a smaller planning meeting fee. ACTION: There was Council consensus to move forward with the findings from the Planning Study Committee as well as bring back a status report in 6 months or so regarding the progress made to date. D-4 DISCUSSION OF DRAFT OF NIENACING AND AGGRESSIVE ANIMAL ORDINANCE: (ADNiNISTRATION) 6 MINUTES - MORRO BAY CITY COUNCIL - SEPTEMBER 25, 2012 City Manager Andrea Lueker presented her staff report. She also said that there shouldn't be a significant impact to the dog park. She went on to say that we are the last City in the County to ® adopt this Ordinance and if we want to continue with our working relationship with County Animal Regulation, we must move forward on this. Councilmember Johnson's only concern was enforcement. MOTION: Councilmember Borchard moved for approval of the draft Ordinance with the intent to, bring it back for Introduction and First Reading at a future meeting. The motion was seconded by Councilmember Johnson and carried 4-1 with Mayor Yates voting no. D-> REVIEW OF DRAFT AMENDMENTS TO CHAPTER 10.76 OF THE MORRO BAY MUNICIPAL CODE ENTITLED COASTERS, ROLLER SKATES. ,SKATEBOARDS. SCOOTERS. EPAMDS AND SIMILAR DEVICES: (CITY ATTORNEY) City Attorney Rob Schultz presented his staff report. Councilmember Johnson wants to include "riders" being required to use bike paths and sides of streets and to be prohibited from using sidewalks. There was Council consensus that the major concerns are bikers and skateboarders who blow ® through" stop signs. `© City Attorney Schultz reminded Council that under this Ordinance, all devices are allowed in all areas of the City unless the Council specifically prohibits their use and they can allow for or prohibit their use by Resolution as opposed to going through the Introduction. First Reading and Adoption process of an Ordinance. El iviOTION: Councilmember Johnson moved for approval of the draft Ordinance with the addition of Coasters. Roller Skates, Skateboards. Scooters. EPAME)s and similar devices prohibited on sidewalks by Resolution. for Introduction and First Reading. The motion was seconded by Councilmember Leage and passed unanimously 5-0. E. DECLARATION OF FUTURE AGENDA ITEMS - None ADJOUTU\TNIENT The meeting adjourned at 8:34 p.m. R-qcorded by: Jamie Boucher City Clerk 7 MINUTES - MORRO BAY CITY COUNCIL-SEPTEMBER 25, 2012 0 Cityof Morro Bay y 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 PUBLIC SESSION — SEPTEMBER 11, 2012 VETERANS MEi`IORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE ® 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. • The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official; commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause, comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy_ will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk; (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. ® A. CONSENT CALENDAR Unless an item is pulled for separate action by. the City Council, the following actions are approved «ithout discussion. A-1 APPROVAL OF CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF AUGUST 28, 2012; (ADMINISTRATION) RECObI'MENDATION: Approve as submitted. A-2 RESOLUTION NO. 42-12 ADOPTING THE AGREEMENT WITH THE MORRO BAY CONFIDENTIAL EMPLOYEES AND RELATED COMPENSATION: (ADMINISTRATIVE SERVICES) RECOi\ MENDATION: Adopt Resolution 42-12. A-3 RESOLUTION NO. 41-12 ESTABLISHING THE COMPENSATION AND WORKING CONDITIONS FOR MANAGEMENT EMPLOYEES OF THE CITY OF MORRO BAY: (ADMINISTRATIVE SERVICES) RECOiVLNTENDATION: Adopt Resolution 41-12. A-4 ADOPT RESOLUTION NO. 47-12 AUTHORIZATION FOR THE EXECUTION OF ® THE CERTIFICATIONS AND ASSURANCES FOR THE PUBLIC TRANSPORTATION MODERNIZATION. IMPROVEMENT, AND SERVICE ENHANCEMENT ACCOUNT BOND PROGRAM: (PUBLIC SERVICES) RECOMiN7ENDATION: Adopt Resolution 47-12. A-5 PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY DECLARING THE MONTH OF OCTOBER, 2012 AS "ENERGY AWARENESS MONTH"; (ADMINISTRATION) RECOMilfENDATION: Adopt Proclamation. A-6 RESOLUTION AUTHORIZING THE CITY OF MORRO BAY TO ENTER INTO 2012/201 1 $80.000 BOATING SAFETY AND ENFORCEMENT GRANT CONTRACT WITH THE DEPARTMENT OF BOATING AND WATERWAYS: (HARBOR) RECOMMENDATION: Adopt Resolution 48-12 A-7 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY. CALIFORNIA OPPOSING THE CENTRAL COASTAL CALIFORNIA SEISMIC IMAGING PROJECT: (ADMINISTRATION) ® RECOMMENDATION:. Adopt Resolution 49-12. 2 ® A-8 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA. AFFIRMING THE INTENDED USE OF THE CITY'S ONE-HALF CENT DISTRICT TRANSACTION TAX. COMMONLY KNOWN AS MEASURE Q; (CITY COUNCIL) RECOMMENDATION: Adopt 46-12. _ B. PUBLIC HEARINGS. REPORTS & APPEARANCES - None C. UNFINISHED BUSINESS - None D. NEW BUSINESS D-I DISCUSSION AND APPROVAL OF THE CHAMBER OF COMMERCE ECONOMIC DEVELOPMENT PROPOSAL AND LEASE CONDITIONS FOR CITY PROPERTY LOCATED AT 695 HARBOR STREET: (ADMINISTRATION) RECOMMENDATION: Review the Economic Development proposal, provide input, discuss potential milestones for achievement and approve the proposal. In addition, approve the lease terms for the building located at 695 Harbor. E. DECLARATION OF FUTURE AGENDA ITEMS is F. ADJOURNMENT THIS AGENTA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE iNIEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6205 FOR FURTHER INT'ORMATION. MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND MILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. 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 AGENDA NO: A-1 MEETPiG DATE: 09/25/2012 MINUTES - MORRO BAY CITY COUNCIL ® REGULAR MEETNG — SEPTEMBER 11, 2012 VETERAN'S MEMORIAL HALL — 6:OOP.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mavor Carla Borchard Councilmember Nancv Johnson Councilmember George Lease Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manaser Robert Schultz Citv Attomev Jamie Boucher City Clerk Rob Livick Public Services Director Mike Lewis Interim Police Chief Mike Pond Fire Chief Susan Slavton Administrative Services Director Eric Endersbv Harbor Director Joe Woods Recreation & Parks Director ® ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS. ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — There was no Closed Session Meeting held this evenins. PUBLIC COMMENT Paul Finley owner of Sojourner Surfboards, located at 986 Quintana presented the Morro Bay Business Report. Paul feels blessed to live in Morro Bay with his wife and 3 daughters. Sojourner Surfboards has been building custom surfboards since 2009 and are now branching off into screen printing. Paul is also involved in Project Surf Camp as a board member: Sojourner is completely behind this project for kids with special needs. He can be reached at 805 904- 5079, at sojoumersurfboards.com or at scjournerscreenprinting.com . Robert "Red' Davis spoke representing the SLO Bicycle Club advertising their annual bike event. the 4151 Annual Lighthouse Bike Ride. They expect over 1400 riders and monies raised through this fundraising effort goes towards local high school scholarships; college scholarships and community events. The event starts at MBHS, goes to Piedras Blancas Lighthouse Station and ends back at MBHS. Hank Roth advertised the upcoming Avocado Margarita Festival. The event is being held this Saturday from I Iam-6pm and Sunday from I Iam-3pm. The days will be filled with fun. food ® and entertainment. Additional information can be found at avomargfest.com. Dick Winiker resident at »> Piney Way; Unit B spoke bringing to the attention of staff and Council that there is a rooster living nearby who crows at all times of the day. He plaved a tape of the crowing rooster in hopes that the situation can be rectified. He stated he brought this to our attention over 3 weeks ago and he feels it shouldn't take that long to handle it. Michael Durick spoke regarding three items. He first urged Council to unanimously adopt Resolution 46-12. Affirming the Intended Use of the City's One-half Cent District Transaction Tax (Measure Q) as written. as it is entirely consistent with the intent of the voters. He also spoke on the Confidential Agreement regarding Section 6.5.5 — Approval of Compensatory Time -off. stating that the term "shall" was used inaccurately and recommended that section be revised to give management their due rights. He also spoke regarding the accumulated vacation time allowed feeling that it is quite excessive. He finally spoke on item D-1. Discussion and Approval of the Chamber of Commerce Economic Development Proposal and Lease Conditions for City Property feeling that if we rented the property to the Chamber for Wyear, we would be giving much too much away and that instead it should be put out for an RFP for business people to bid on. Sandy Tandler spoke regarding the W WTP project. After reading the Coastal Commission letter she was shocked by the fact that people would want to move the plant so badly they would provide faulty information. She is concerned about the cost of moving the plant and wondered ® what the agenda behind moving the plant is. Suzanne Mover asked a few questions regarding the WWTP project. She wondered how the Righetti property became involved. And how can we afford the plant at this new location? John Solu spoke representing the Harbor Festival Organization on item D-1. The Harbor Festival is a non-profit organization that has an over $400,000 impact to Morro Bay. They would like the opportunity to rent any City facility that may become available. He requested we respect other non -profits to rent space at a reduced rate as well. Aaron Ochs; managing editor of The Rock thanked the City for placing the Seismic testing information on our website page. He said The Rock is dedicated to covering the City's side, the fishermen's side and the resident's side of this issue. He feels it is important to get the information into the hands of people that can make a difference. Susan Stewart spoke on item D-1 encouraging the Council to approve the Chambers Economic Development Proposal and a 5 year lease of the Fire Department modular building at 695 Harbor. She feels they have provided a very viable and timely plan and that the City providing a facility would show that Morro Bav cares about growth and development. Benjamin Tema has been a commercial fisherman for 17 years and. is deeply concerned about our local waters. He feels that if the Seismic testing were to occur at the recommended decibel ® levels. it will kill everything in our waters which will obviously affect our entire local economy very badly. He hopes we will do what we can to stop it. MINUTES, MORRO BAY CITY COUNCIL - SEPTEMBER 11, 2012 Wanda Durrick spoke on item D-1 stating that Morro Bay is not "swimming in money'. The ID Fire Department modular building can be a source of income for the City. If we are to give it away_ then at least we should be giving other non -profits the ability to have a chance at it. Mayor Yates closed the public comment period. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETNG OF AUGUST 28. 2012; (ADNINISTRATION) RECOMMENDATION: Approve as submitted. A-2 RESOLUTION NO. 42-12 ADOPTING THE AGREEMENT WITH. THE MORRO BAY CONFIDENTIAL EMPLOYEES AND RELATED COMPENSATION_: (.ADMINISTRATIVE SERVICES) RECONLN ENDATION: Adopt Resolution 42-12. A-3 RESOLUTION NO. 41-12 ESTABLISHING THE COMPENSATION AND WORKING CONDITIONS FOR MANAGENfENT EMPLOYEES OF THE CITY OF ® MORRO BAY: (ADMINISTRATIVE SERVICES) E RECONINIENDATION: Adopt Resolution 41-12. A-4 ADOPT RESOLUTION NO. 47-12 AUTHORIZATION FOR THE EXECUTION OF THE CERTIFICATIONS AND ASSURANCES FOR THE PUBLIC TRANSPORTATION MODERNIZATION. IMPROVEMENT. AND SERVICE ENHANCEMENT ACCOUNT BOND PROGRAM; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution 47-12. A-5 PROCLAMATION OF THE CITY CODICIL OF THE CITY OF MORRO BAY DECLARING THE MONTH OF OCTOBER._ 2012 AS "ENERGY AWARENESS MONTH": (ADMNISTRATION) RECONINIENDATION: Adopt Proclamation. A-6 RESOLUTION AUTHORIZING THE CITY OF MORRO BAY TO ENTER INTO 2012/2013 $80,000 BOATING SAFETY AND ENFORCEMENT GRANT CONTRACT WITH THE DEPARTMENT OF BOATING AND WATERWAYS: (HARBOR) RECOM-NIENTATION: Adopt Resolution 48-12 3 MINUTES -MORRO BAY CITY COUNCIL -SEPTEMBER IL 2012 A-7 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA OPPOSING THE CENTRAL COASTAL CALIFORNIA SEISMIC ® IMAGNG PROJECT; (ADMINISTRATION) RECOMiNIENDATION: Adopt Resolution 49-12. A-8 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA, AFFIRMMING THE INTENDED USE OF THE CITY'S ONE-HALF CENT DISTRICT TRANSACTION TAX, COMMONLY KNOWN AS MEASURE Q; (CITY COUNCIL) RECOMMENDATION: Adopt 46-12. Councilmember Smukler pulled Items A-2 and A-8 from the Consent Calendar. MOTION: Councilmember Smukler moved the City Council approve Items A-1. A-3, A-4, A-5. A-6. and A-7 of the Consent Calendar. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. A-2 RESOLUTION NO. 42-12 ADOPTING THE AGREEMENT WITH THE MORRO BAY CONFIDENTIAL EMPLOYEES AND RELATED COMPENSATION_: (ADMINISTRATIVE SERVICES) Councilmember Smukler pulled Item A-2 questioning Section 6.5.5 of the Confidential Agreement and asked whether or not it would be prudent to make the change that the speaker in public comment recommended. Staff stated that they would make the change to remove the word "shall" and replace it with "may'. MOTION: Councilmember Smukler moved the City Council approve Item A-2 with the proposed change. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. A-8 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF tifORRO BAY. CALIFORNIA. AFFIRMING THE INTENDED USE OF THE CITY'S ONE-HALF CENT DISTRICT TRANSACTION TAX, COMMONLY KNOWN AS MEASURE Q; (CITY COUNCIL) Councilmember Smukler pulled Item A-8 requesting that an addition be made to Item ;�4 as he feels that as it currently reads, "Storm Drain Maintenance", it is too restrictive. He proposed to add the phrase "...and improve water quality'. Councilmembers Borchard and Johnson felt that statement was too vague. It was then proposed to use the following language found in the advertisements, "... and prevention of toxic runoff into the Bay." MOTION: Councilmember Smukler moved the City Council approve Item A-8 with the following addition to Item 44 — Storm Drain Maintenance and Prevention of Toxic Runoff into the Bay. The motion was seconded by Councilmember Borchard and ® carried unanimously 5-0. 4 MhNUTES - MORRO BAY CITY COUNCIL - SEPTEMBER I I, 2012 B. PUBLIC HEARINGS. REPORTS &.APPEARANCES - None ® C. UNFINISHED BUSINESS - None D. NEW BUSINESS D-1 DISCUSSION AND APPROVAL OF THE CHAMBER OF CONWERCE ECONOMIC DEVELOPMENT PROPOSAL AND LEASE CONDITIONS FOR CITY PROPERTY LOCATED AT 695 HARBOR STREET: (ADMINISTRATION) City Manager Andrea Lueker presented the staff report. Chamber of Commerce Executive Craig Schmidt made his presentation to the Council. He reviewed prior presentations stressing that they would be able to provide for retention and expansion of businesses: recruitment of businesses; and entrepreneurial development. To measure impacts they would provide a monthly business barometer which will track vacancies, new businesses in town. TOT receipts; employment numbers, sales tax and businesses served with exit survev results. He also discussed the use of the Fire Department modular building. This building would provide the partner space needed to fully develop the economic development proposal as well as ensure the space necessary for the business incubator program. Councilmember Smukler is fully in support of this concept. He stressed that the City would be able to monitor progress through monthly business barometer reports which can include budget reports. Councilmember Leage fully supports the Chamber of Commerce and feels they are going in the right direction but has concerns about the S1/month rent as he feels we will run into problems with other non -profits as well as the public. Mayor Yates doesn't feel that the Chamber is equitable to the Harbor Festival as we've always liven money to the Chamber. He feels our job is to support the Chamber so that more monies come into City Hall. He continues to support this concept in its entirety. Councilmember Johnson is a firm supporter of economic development in Morro Bay. She posed some questions to Mr. Schmidt regarding the qualifications of the Economic Development Director as well as how the office space will be utilized. She feels that we can have an economic development program without the use of the Fire Department. Councilmember Borchard was concerned that not all the partners that the Chamber has said would participate in the program may on board. She feels that it is the Chamber's responsibility to set the milestones. not the Citv's. She also feels we are indirectly competing with rentals in Morro Bay. She has a problem with S1/year rent without giving other non -profits the same opportunity. She doesn't feel she can make anv decision tonight without answers to some questions. Councilmember Smukler is in favor of moving forward with this as many of the questions have ® either already been answered or are on the pathway to being answered. He stated that during the Goal Setting Workshop. Economic Development was Council's 'M2 priority. He feels we have MINUTES-MORRO BAY CITY COUNCIL -SEPTEMBER 11, 2012 provided the Chamber with a moving target and they have continually stepped up to the plate. He also feels that nothing has a higher value than having the economic development program ® succeed. The Sl/year is an investment that will bring returns back to the City. This is a new program and it is important for us to provide them with the tools to succeed. Citv Attorney reminded Council that at the last Council meeting; .in a motion.. they already approved the 695 Harbor building for the Chamber's use and that tonight is to be about lease terms. Mayor Yates is in favor of coming back with more clarity but is also in favor of the Sl/year lease. Councilmember Borchard feels it is important to receive fair market value of the rent if the Chamber is receiving rent from the incubator businesses or feels they can take below fair market value if the money coming in from the incubator businesses goes back to the City. She needs a clearer picture. y Councilmember Johnson would like to see the benchmarks more clearly defined and wondered how they would be measured and by whom? What business partners are going to participate and for how long? Will they need office space? Councilmember Leage feels that we need to charge fair market value if the Chamber is making money on the incubator businesses. ACTION: This item is to be brought back to a future meeting with a lease agreement to include terms containing fair market value and a range of options of what we could rent it for; and a second portion of the agreement dealing with the economic development proposal and measurable milestones benchmarks. E. DECLARATION OF FUTURE AGENDA ITEMS - None ADJOURNMENT The meeting adjourned at 7:55 p.m. Recorded by: am Boucher Citv Clerk R MINUTES - MORRO BAY CITY COUNCIL - SEPTEMBER 11, 2012 ® 0 City of Morro Bay MORRO BAY, CA 93442 NNW" (805)772-6205 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, September 10, 2012 at 1:30 p.m. to be held in the City Hall Conference Room located at 595 Harbor Street, Morro Bay, California. The City Council will be considering the following: CS -I GOVERNMENT CODE SECTION 54956.8; 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 eleven parcels. • Property: 1320 Main Street, Access Easement over Lot B Negotiating Parties: M. Lemos and City of Morro Bay Negotiations: Voluntary Purchase and Sale • Property: North Point Natural Area, Toro Lane Negotiating Parties: opticAccess, LLC and City of Morro Bay Negotiations: Lease Terms and Conditions • Property: Lease Site 35W-36W -located adjacent to 235 Main Street Negotiating Parties: B. Martonv & B. Pekarek and City_ of Morro Bay Negotiations: Lease Terms and Conditions • Property: Lease Site 37W - Morro Bay Marina, Inc. Negotiating Parties: Morro Bay Marina. Inc. and Citv_ of Morro Ba_v Negotiations: Lease Terms and Conditions • Property: Lease Site 34W — Water Lease Adjacent to 225 Main Street Negotiating Parties: R. Crizer and City of Morro Bay Negotiations: Lease Terms and Conditions E • Property: Lease Site 30W-33NV - Bay Front Marina Negotiating Parties: Coakley and Cihv of Morro Bay Negotiations: Lease Terms and Conditions • Property: Lease Site 62/62W - Kayak Horizons Negotiating Parties: D. Krueger and City of Morro Bay Negotiations: Lease Terms and Conditions • Property: Lease Site 69-70/69R'-70R' - Morro Bay Aquarium Negotiating Parties: D. Tyler and City of Morro Bay Negotiations: Lease Terms and Conditions • Property: Lease Site 63-64/63R'-64XV - Gray's Inn Negotiating Parties: R. Grav and City of Morro Bay Negotiations: Lease Terms and Conditions • Property: Lease Site 86/86W - Embarcadero Grill Negotiating Parties: B. Caldwell and City of Morro Bay Negotiations: Lease Terms and Conditions • Property: Lease Site 87-88/87N-88W - Outrigger Negotiating Parties: V. Lease and City of Morro Bay Negotiations: Lease Terms and Conditions IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. DATED: September 6.2012 Jamie Boucher, City Clerk 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. 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 28, 2012 CLOSED SESSION 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 City Manager, the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms is Designated compensation paid to the City Employees and giving instructions to the Designated Representative. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. r1 U PUBLIC SESSION— AUGUST 28, 2012 ® VETERANS MEMORIAL HALL - 6:00 P:M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE 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. • The Council respectfully requests that you refrain from making slanderous. ® profane or personal remarks against any elected official. commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause, comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act. if you need special assistance to participate in this meeting, please contact the City Clerk, (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF AUGUST 14, 2012; (ADMINISTRATION) ® RECOMMENDATION: Approve as submitted. ® A-2 REQUEST TO APPROVE A RESPONSE TO THE GRAND JURY REGARDING MEDICAL MARIJUANA; (CITY ATTORNEY) RECOMMENDATION: Review the attached letter and authorize its submittal to the Grand Jury. A-3 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA, DIRECTNG A TIMELINE FOR COMPLETION OF CAPITAL PROJECTS APPROVED BY COUNCIL: (CITY COUNCIL) RECOMMENDATION: Adopt Resolution 45-12. A-4 APPROVAL OF MANAGEMENT AGREEMENT BETWEEN THE CITY OF MORRO BAY AND ESTERO BAY COMMUNITY RADIO TO OPERATE A LOW POWER FM (LPFM) RADIO STATION:(CITY ATTORNEY) RECOMMENDATION: Review and approve the Management Agreement between the City of Morro Bay and Estero Bay Community Radio (EBCR) to operate a "Low Power FM" (LPFM) Radio Station. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 APPEAL OF MINOR USE PERMIT 4UPO-240. COASTAL DEVELOPMENT PERMIT 3UCPO-294 AND PARKING EXCEPTION 4ADO-043 FOR THE ® CONVERSION OF 820 SQUARE FEET OF COMMERCIAL SPACE TO A RESIDENTIAL UNIT AND A PARKING EXCEPTION TO WAIVE THE REQUIREMENT OF TWO COVERED AND ENCLOSED PARKNG SPACES AND PROVIDNG TWO OPEN AND UNCOVERED PARKING SPACES. LOCATED AT 2176 MAN STREET (PNA NARAN. APPLICANT); (PUBLIC SERVICES) RECOMMENDATION: Overturn the Planning Commission's denial and approve the requested Minor Use Permit #UPO-240, Coastal Development Permit #CPO- 294 and Parking Exception #ADO-043 subject to the Findings included as Attachment "1" and the Conditions of Approval as included as Attachment "2" and the site development plans dated May 3, 2012. C. UNFINISHED BUSINESS - None D. NEW BUSINESS D-I DISCUSSION ON THE FORMATION OF A CLOISTERS ADVISORY BOARD TO MAKE RECOMMENDATIONS REGARDING CLOISTERS MAINTENANCE WORK: (RECREATION & PARKS AND CITY ATTORNEY) ® RECOMMENDATION: Review the attached draft By -Lays for the proposed Cloisters Advisory Board and direct staff to either advance the By -Laws to a final document or continue our current administration of the Assessment District. 3 D-2 DISCUSSION ON THE PROCESSING AND LICENSING OF TEMPORARY USE ® PERMITS AND PUBLIC AREA USE PERMITS AND HOW IT RELATES TO NEW BUSINESS; (CITY ATTORNEY) RECOMMENDATION: • Review and direct staff accordingly. D-3 DISCUSSION AND RECOMMENDATION OF THE MORRO BAY CHAMBER OF COMMERCE BEING HOUSED N A CITY-OWNI ED FACILITY: (ADMINISTRATION) RECOMMENDATION: Review and approve the request from the Chamber of Commerce to be housed in the City -owned facility located at 715 Harbor Street (Fire Department Administrative Building). D-4 UPDATE FROM THE CALIFORNIA STATE LANDS COMMISSION HEARINGS HELD ON AUGUST 14 & 20, 2012 AND DIRECTION TO STAFF FOR FURTHER MONITORING OF THE SEISMIC TESTING FOR DIABLO CANYON; (ADMINISTRATION) RECOMMENDATION: Review the update from the August 14 and 20, 2012 hearings regarding the Seismic Testing for Diablo Canyon and provide direction to staff on further monitoring. ® E. DECLARATION OF FUTURE AGENDA ITEMS 11 F. 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 772-6205 FOR FURTHER INFORMATION. MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR. PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND MILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. 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. 91 AGENDA NO: A-1 MEETING DATE: 09/11/2012 - MNUTES - MORRO BAY CITY COUNCIL ® CLOSED SESSION — AUGUST 28. 2012 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancv Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker Robert Schultz Susan Slayton CLOSED SESSION City Manager City Attorney Administrative Services Director Mayor Yates adjourned the meeting to Closed Session. Mayor Yates read the Closed Session Statement. CS-1 GOVERNNIENT CODE SECTION 54957.6. CONFERENCE WITH LABOR NEGOTIATOR: ® Conference with City Manager. the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. The meeting adjourned at 5:25pm. MINUTES - NIORRO BAY CITY COUNCIL REGULAR MEETING — AUGUST 28, 2012 VETERAN`S MEMORIAL HALL — 6:OOP.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mavor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz Ciry Attomev ® Jamie Boucher City Clerk Susan Slayton Administrative Services Director Mike Pond Fire Captain Mike Lewis Interim Police Chief Rob Livick Public Services Director ® Eric Endersby Harbor Director Joe Woods Recreation & Parks Director ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE iViAYOR AND COUNCIL MEMBERS REPORTS. ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — City Attorney Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. PUBLIC COMMENT Keith Taylor presented 2 Reserve Firefighters, Dylan Kessner and Joe Rawson, with a $500 scholarship each for their continued fire studies. These scholarships are made available through the sale of bricks at the new Fire Department. The sales will continue through Labor Day. Karen Croley, a member of the Community Pool Foundation. spoke on the continued need for a local pool for our MBHS swimmers and water polo players, for recreational opportunities as well as lap swimmers. They are focusing on fundraising to build a pool and information can be found on their website located at MorroBayPool.org. ® Robert 'Red' Davis spoke on behalf of the Morro Bay Friends of the Library who are excited about their upcoming remodel of the Library. Construction is scheduled to begin next spring. It is their goal to.have a library that reflects the uniqueness of Morro Bay. They have raised over S266.000 to date and continue to take donations. Their next book sale is scheduled for Saturday_. November 3rd at 9am. Mark Shaffer advertised the Fun Ride Program which has now come to Morro Bay. Fun Ride is the green way to drive. They have a Honda Insight available at Bank of America. You can join as a member, then go on-line ( myfunride.com ) and utilize a vehicle for S7.50/hr which includes fuel. Now through the end of September. the S30 annual membership fee is waived. Robert Bacon, a resident of the Cloisters. spoke on Item DL Discussion on the Formation of a Cloisters Advisory Board, hoping that Council takes no action and instead allows the incoming Council taking office in December make this decision. If that doesn't occur, then he recommends that this Advisory Board meet 3 times a year — April (meet with contractor), May (make recommendations as to what should be placed in the bid) and June (make recommendation on the hiring of the contractor to perform the maintenance). Craig Schmidt requested that the Chamber of Commerce be housed at 695 Harbor as that location has office space for what they hope to be a Business Resource Center. It can house the Chamber. its staff. Economic Development Coordinator, Agency Partners to service clients in ® the Morro Bay area and would allow for the establishment of a Morro. Bay Business Incubator 2 D7LYUTES - MORRO BAY CITY COUNCIL -AUGUST 28. 2012 serving up to 4 start-up businesses at a time, all for a minimal cost. This could also be a temporary location for the Library's public area while they are doing their *renovations. ® Betty Winholtz spoke on Item D-4, Update from the California State Lands Commission Hearings reearding Seismic Testing, encouraging Council to take advantage of the opportunity to have our voices heard before the California Coastal Commission as well as the California Fish and Game Commission as this is a very critical issue to the fisherman and the people who live here. Richard Sadowsky agreed that the seismic testing is a" very important issue for the whole Estero Bay. He also feels there was liquefaction damages to the Cayucos Collection System as a result of the 2003 earthquake and the County Supervisors as well as City staff have ignored this situation. He also feels there are many falsehoods in the rebuttal to the Coastal Commission's staff report. Dawn Beattie spoke regarding the formation of the Cloisters Advisory Board. She is not in favor of creating such a board as she is more concerned with performance. She feels there are already a number of channels to communicate to and with the City. Marla Jo Bruton wanted to ensure that we provide updates when the JPA meetings will be help so that people are aware this very large project is ongoing. She also is fearful that seismic testing will have an adverse effect on marine mammals. Garry Johnson was offended by comments made at the prior meeting by a public speaker. He isfeels that all speakers should be afforded their first amendment rights. He wished that the opposition would please keep their remarks civil. Aaron Ochs, managing editor of The Rock and co -host of Rock Talk hopes that Council approves the radio contract. He also stressed that the seismic testing would have adverse impacts on local fish, the economy, as well as many ripple down effects to local business. Joan Solu and Karen Biaggini read a letter prepared by the Morro Bay Tourism Advisory Board and signed by many hoteliers requesting the City fund the TBID with an additional S58,500 as well as step forward and split construction costs not to exceed $10.000 for site improvements to the Visitor's Center relocation. Ken Vesterfelt congratulated the Fire Department and the recipients of the $500 scholarships. He also warned Council that there is land located at San Jacinto and Main that is being used as a walk-thru by many and is worried that land might be taken away as it has been done in the past. He also wants to bring the allev-wav behind the Police Department to Council's attention as it is in disrepair. Mayor Yates closed the public comment period. A. CONSENT CALENDAR ® Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. 3 MINUTES - MORRO BAY CITY COUNCIL -AUGUST 28, 2012 E E A-1 APPROVAL OF CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF AUGUST 14, 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 REQUEST TO APPROVE A RESPONSE TO THE GRAND JURY REGARDING MEDICAL MARIJUANA: (CITY ATTORNEY) RECOMMENDATION: Review the attached letter and authorize its submittal to the Grand Jury. A-3 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY. CALIFORNIA. DIRECTING A TIMELNE FOR CONIPLETION OF CAPITAL PROJECTS APPROVED BY COUNCIL; (CITY COUNCIL) RECOMMENDATION: Adopt Resolution 45-12. A-4 APPROVAL OF iVIANzAGEiVIENT AGREEMENT BETWEEN THE CITY OF YIORRO BAY AND ESTERO BAY COMMUNITY RADIO TO OPERATE A LOW POWER FM (LPFM) RADIO STATION:(CITY ATTORNEY) RECOMMENDATION: Review and approve the Management Agreement between the City of Morro Bay and Estero Bay Community Radio (EBCR) to operate a "Low Power FM" (LPFM) Radio Station. Councilmember Smukler pulled Items A-1 and A-4 from the Consent Calendar. MOTION: Councilmember Smukler moved the City Council approve Items A-2 and A-3 of the Consent Calendar. The motion was seconded by Councilmember Johnson and carried unanimously 5-0. A-1 APPROVAL OF CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF AUGUST 14, 2012; (ADMINISTRATION) Councilmember Smukler pulled Item A-1 .hoping to make the following addition to his comments on Item D-3 "Councilmember Smukler questioned the delivery truck restrictions and hoped to be able to explore conversation on that topic. He thinks that this would make for a good Business Forum topic. He also requested that potential pilot project opportunities, including traffic flow and pedestrian promenade expansions be included in the review when the item returns to Council." MOTION: Councilmember Smukler moved the City Council approve Item A -I with the proposed amendment. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. A-4 APPROVAL OF MANAGEMENT AGREEMENT BETWEEN THE CITY OF MORRO BAY AND ESTERO BAY COMMUNITY RADIO TO OPERATE A LOW POWER FM (LPFM) RADIO STATION:(CITY ATTORNEY) 4 MINUTES - MORRO BAY CITY COUNCIL- AUGUST 28, 2012 Councilmember Smukler pulled Item A-4 as he had questions about the insurance requirements of $1.000.000 vs S500.000 for liabilitv insurance. He was concerned about the additional costs to the non-profit if the S1.000,000 was required. He then questioned whether he should be recused from this item as he a non -voting member of the Board of Directors. Citv Attorney Rob Schultz felt that would be appropriate. Councilmember Smukler stepped down from the dais due to a conflict of interest. MOTION: Councilmember Borchard moved approval of Item A4 however if changes to the insurance requirements occur and/or if the insurance costs became unaffordable for the non-profit, then the item would come back. The motion was seconded by Councilmember Leage and carried 4-0-1 with Councilmember Smukler abstaining. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 APPEAL OF MINOR USE PERMIT 4UP0-240. COASTAL DEVELOPMENT PERMIT `CPO-294 AND PARKING EXCEPTION u`ADO-043 FOR THE CONVERSION OF 820 SQUARE FEET OF COMMERCIAL SPACE TO A RESIDENTIAL UNIT AND A PARKING EXCEPTION TO WAIVE THE REQUIREMENT OF TWO COVERED AND ENCLOSED PARKING SPACES AND PROVIDNG TWO OPEN AND U1NCOVERED PARKING SPACES. LOCATED AT 2176 MAN STREET (PNA NARAN, APPLICANT); (PUBLIC SERVICES) Public Services Director Rob Livick presented the staff report. IsJohn McDonald, representing the applicant, presented their arguments in favor of overturning the Planning Commission's decision. Mayor Yates opened the hearing for public comment. Betty Winholtz quoted 2 Municipal Code Ordinances that directly relate to this item, Ordinance 17.40.070 — Combining Mixed Use Overlay, and 17.44.020 — Parking Facilities. The word "shall" in 17.40.070 stipulates that two or more zoning districts may be applied to the same property in mixed use areas combining commercial and residential designations, then the commercial district shall be the primary district and at least fifty percent of the gross floor area of the project shall be devoted to commercial or office space. The word "may' applies to residential uses which may be permitted in conjunction with the primary use, and shall be located on upper stories or to the rear of the primary use. Regarding 17.44.020. there also is no diagram of parking in the packet so you aren't able to know where the parking is going to go — it's about the quantity of spaces. Mavor Yates closed the hearing for public comment. Mr. Livick provided clarification on staffs interpretation of the codes as they have been applied. MOTION: Councilmember Borchard moved approval of the appeal of Minor Use Permit 9UPO-240, Coastal Development Permit 9CPO-294 and Parking Exception ttADO- ® 043 for the Conversion of 820 Square Feet of Commercial Space to a Residential Unit and a Parking Exception to Waive the Requirement of Two Covered and Enclosed MINUTES- MORRO BAY CITY COUNCIL -AUGUST 28, 2012 Parking Spaces and Providing Two Open and Uncovered Parking Spaces. Located at 2176 Main Street including conditions in Attachment #2. The motion was seconded by ® Councilmember Johnson and carried 4-1 with Councilmember Smukler voting no. Councilmember Smukler feels that his interpretation of Ordinance 17.40.070 is more in align with the original Planning Commission's decision as at least 50% of the per site requirement of the gross floor area of the project is not being devoted to commercial uses. C. UNFINISHED BUSINESS - None D. NEW BUSINESS D-1 DISCUSSION ON THE FORMATION OF A CLOISTERS ADVISORY BOARD TO MAKE RECONIMENDATIONS REGARDING CLOISTERS MAINTENANCE WORK; (RECREATION & PARKS AND CITY ATTORNEY) Recreation and Parks Director. Joe Woods presented the staff report. Councilmember Smukler disagrees with some of the Cloisters speakers as he feels this is a formal opportunity for the Cloisters residents to make comments and if this concept works, it will ultimately save time. He also felt it important to appoint a representative from both Indigo Circle as well as Emerald Circle. Mayor Yates is leaning towards not giving this support. Mr. Woods has stepped up to the plate ® and the problems are getting fired. yHe also doesn't sense support for this from the Cloisters residents. Councilmember Borchard agrees with the quarterly meetings and could support continued quarterly meetings with staff without forming the official advisory board. Councilmember Johnson feels that Ms. Beattie has done a good job on keeping staff moving forward. She could go either way. She also wants to ensure that Council is provided status reports and the budget to date at the end of the year so that Council knows beforehand. when talks are begun nest year, what has happened. She would also like to see a performance report on the contractor at this same time. Councilmember Leage doesn't believe we need an Advisory Board. No one is adamant about its formation and Mr. Woods and staff have done a good job in fixing things. Councilmember Smukler feels it important that in going forward, we set up a structure that's understood and that would give the residents the ability to review the budget and engineer's report in a timely manner as well as having a strong performance evaluation of the contractor. If that can be satisfied informally without forming the board he could support this. He also feels a survey of the residents can prove helpful. MOTION: Councilmember Smukler moved to direct staff to continue their ® communication with Cloisters residents to ensure a well-timed opportunity for review of the budget and Engineer's Report as well as a performance evaluation of the contractor 6 MINUTES - MORRO BAY CITY COUNCIL - AUGUST 28, 2012 and report back to Council as necessary. The motion was seconded by Mayor Yates and carried unanimously 5-0. D-2 DISCUSSION ON THE PROCESSING AND LICENSING OF TEMPORARY USE PERMITS AND PUBLIC AREA USE PERMITS AND HOW IT RELATES TO NEW BUSINESS: (CITY ATTORNEY) Councilmember Smukler presented the staff report stressing that it is clear to him that this is an area that needs cleaning up. He is not looking at stopping events but when we look at how well our current codes and ordinances are working there isn't a plan for how well a local business can protect their rights. He is looking for a formal process. Councilmember Johnson feels that there is a current process in place and that if a business is concerned with the current process; there is an avenue to complain. Councilmember Borchard doesn't think there is a resolve for this. We invite vendors to enhance our events and hopes that the event organizers will be more cognizant of local businesses. Councilmember Johnson tends to agree that. "it is what it is'. MOTION: Councilmember Smukler moved to direct the Citv Attomev to evaluate ways to improve our Public Area Use Permit and Temporary Use Permit process as time allows. The motion was seconded by Councilmember Borchard and carried 4-1 with Mayor Yates voting no. D-3 DISCUSSION AND RECOMMENDATION OF THE MORRO BAY CHAMBER OF COMMERCE BEING HOUSED N A CITY -OWNED FACILITY: (ADMINISTRATION) City Manager Andrea Lueker presented the staff report. Both Mavor Yates and Councilmember Leage are in full support of this happening. Councilmember Borchard is on the fence as she has concerns because they originally talked about surplussing that property. She was under the understanding that they would be housed at the Transportation building. Also, she is still unsure what their Economic Development Plan is. Councilmember Johnson agrees with Councilmember Borchard and is waiting for their Economic Development Plan. She would like the Chamber to entertain a I year lease at the Transportation building feeling all activities can be done there as well. Councilmember Smukler is fully in favor of this as it is clear that the Chamber has some really exciting ideas about what to do with the additional space in the building. He does feel that approval would be contingent upon approval of their Economic Development Plan. MOTION: Councilmember Smukler moved approval in concept of the City leasing to the Chamber of Commerce the Fire Station Modular located at 695 Harbor with final ® approval contingent upon the approval of the lease as well as the Economic Development 7 MINUTES- MORRO BAY CITY COUNCIL -AUGUST 28, 2012 Program. The motion was seconded by Mavor Yates and carried 3-2 with Councilmembers Borchard and Johnson voting no. ® D-4 UPDATE FROM THE CALIFORNIA STATE LANDS COMMISSION HEARINGS HELD ON AUGUST 14 & 20. 2012 AND DIRECTION TO STAFF FOR FURTHER MONITORING OF THE SEISMIC TESTING FOR DIABLO CANYON: (ADMNISTRATION) City Manager Andrea Lueker presented the staff report. Mayor Yates's goal is to generate a Resolution strongly opposing the Seismic testing with enough time to get it to the California Coastal Commission as well as Fish and Game and State Lands. There was unanimous consensus of all Councilmembers for this action. Councilmember Smukler also asked staff to evaluate options that the City could look at as well as possibly help those going through the claims process in an effort to help people through that confusing procedure. He feel that there will very likely be a rippling economic effect on local businesses. He also wanted to ensure that staff tailored their comments to the jurisdiction/focus group that the communications were being sent to. We need to try and build more public awareness about this situation. Councilmembers Borchard and Smukler hope that we can place the link back to our website as well as a lint- to the claims process through PG&E. MOTION: Mavor Yates moved to direct staff to institute items 1, 2 and 3 under discussion in the staff report adding environmental and cultural stakeholders to Item 2 and adding fish processing; fish landing docks and fuel docks to the beginning of Item 3b and to produce a Resolution strongly opposing the Seismic testing that is proposed by PG&E off our coast. The motion was seconded by Councilmember Smukler and carried unanimously 5-0. E. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Borchard requested an agenda item discussing TBID's request for additional funding: all Councilmember concurred. Councilmember Borchard requested the first Delayed Project Status report come to Council at the second meeting in September: Mayor Yates and Councilmember Johnson concurred. ADJOURNMENT The meeting adjourned at 8:41 p.m. Recorded by: 'n / — �v� ® ie Boucher Citv Clerk 0 MINUTES - MORRO BAY CITY COUNCIL -AUGUST 28, 2012 ® 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 14, 2012 PUBLIC SESSION VETERANS MEMORIAL BALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER. MOMENT OF SILENCE PLEDGE OF ALLEGIANCE 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. • The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official, commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause, comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. 11 ® In compliance with the Americans with Disabilities Act. if you need special assistance to participate in this meeting; please contact the City Clerk, (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. 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 CITY COUNCIL MNIJTES FOR THE REGULAR MEETING OF JULY 24, 2012: (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 LETTER N RESPONSE TO GRAND JURY REPORT TITLED "A VITAL FUNCTION OF THE JUDICIAL SYSTEM: LAW ENFORCEMENT PROPERTY AND EVIDENCE ROOMS": (POLICE) RECOMMENDATION: Direct staff to send the attached letter to the Presiding Judge of San Luis Obispo County Superior Court in response to the Grand Jun' report. ® A-3 RESOLUTION NO. 43-12 AUTHORIZING THE CITY OF MORRO BAY TO ENTER INTO 2012/2011 VESSEL TURN-N PROGRAM FUND CONTRACT WITH THE DEPARTMENT OF BOATING AND WATERWAYS: (HARBOR) RECOMMENDATION: Adopt Resolution 43-12. A-4 RESOLUTION NO. 44-12 AUTHORIZNG THE CITY OF MORRO BAY TO ENTER INTO 2012/2013 ABANDONED WATERCRAFT ABATEMENT FUND CONTRACT WITH THE DEPARTMENT OF BOATING AND WATERWAYS_: (HARBOR) RECOMMENDATION: Adopt Resolution 44-12. A-5 ADOPTION OF ORDNANCE NO. 579 REPEALING. AMENDING AND REENACTING CHAPTER 14.72 OF THE CITY OF MORRO BAY MUNICIPAL CODE, ENTITLED FLOOD DAMAGE PREVENTION: (PUBLIC SERVICES) RECOMMENDATION: Adopt Ordinance No. 579. A-6 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA, DIRECTING A TIMELINE FOR COMPLETION OF CAPITAL PROJECTS APPROVED BY COUNCIL: (COUNCIL) ® RECOMMENDATION: Adopt Resolution 45-12. 2 A-7 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY. ® CALIFORNIA, DECLARING HOW MEASURE Q FUNDS ARE ALLOCATED AND SPENT; (COUNCIL) RECOMMENDATION: Adopt Resolution No. 46-12. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-I APPEAL OF MINOR USE PERMIT 4UPO-240. COASTAL DEVELOPMENT PERMIT 9CPO-294 AND PARKING EXCEPTION #ADO-043 FOR THE CONVERSION OF 820 SQUARE FEET OF COMMERCIAL SPACE TO A RESIDENTIAL UNIT AND A PARKING EXCEPTION TO WAIVE THE REQUIREMENT OF TWO COVERED AND ENCLOSED PARKING SPACES AND PROVIDING TWO OPEN AND UNCOVERED PARKING SPACES: (PUBLIC SERVICES) RECOMMENDATION: Overturn the Planning Commission's denial and approve the requested Minor Use Permit 9UPO-240, Coastal Development Permit #CPO- 294 and Parking Exception 4ADO-043 subject to the Findings included as Attachment "1" and the Conditions of Approval as included as Attachment "2" and the site development plans dated May 3, 2012. C. UNFNISHED BUSINESS - NONE ® D. NEW BUSINESS D-I REQUEST FOR A PLAN CHECK AND AFFORDABLE HOUSING N-LIEU FEE REDUCTION FOR 1885 IRONWOOD; (ADMINISTRATION) RECOMMENDATION: Review the request and determine whether to grant the requested reduction. D-2 RECOMMENDATION TO MOVE FORWARD N MASTER PLANNING THE NORTHERN - EMBARCADERO AREAS INCLUDING COLEMAN PARK, TARGET ROCK AND THE MORRO ROCK PARKING LOT; (RECREATION & PARKS) RECOMMENDATION: Direct staff to enter into a contractual agreement to master plan the Northern'Embarcadero areas to include Coleman Park, Target Rock and the Parking Lot at the base of Morro Rock. D-3 DISCUSSION ON PARKING OPTIONS ON THE EMBARCADERO BETWEEN BEACH AND PACIFIC STREETS; (PUBLIC SERVICES) RECOMMENDATION: Review past action regarding parking, including the ® adopted Parking Management Plan, and provide direction to staff. 3 D-4 DISCUSSION ON THE NEED FOR A VOLUNTEER "COMMUNITY SERVICES COORDINATOR': (ADMINISTRATION) RECOMMENDATION: Review the staff report and provide direction with the hopes of forwarding the concept to the Recreation & Parks Commission for their input. D-5 DESIGNATION OF VOTING DELEGATE AND ALTERNATE VOTING DELEGATE AT LEAGUE OF CALIFORNIA CITIES 2012 ANNUAL CONFERENCE BUSINESS MEETING; (ADMENISTRATION) RECOMi IENDATION: Appoint a voting delegate and alternate to attend the Annual Business Meeting during the League of California Cities Annual Conference. E. DECLARATION OF FUTURE AGENDA ITEMS F. 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 772-6205 FOR FURTHER INFORMATION. E MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND MILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. IN COMPLIANCE WITH THE AbIERICANS 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 El AGENDA NO: A -I MEETING DATE: 08/28/2012 MINUTES - MORRO BAY CITY COUNCIL . REGULAR MEETING —AUGUST 14, 2012 VETERAN'S MEMORIAL HALL — 6:OOP.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Lease Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz Citv Attorney Jamie Boucher City Clerk Susan Slayton Administrative Services Director Steve Knuckles Fire Captain Mike Lewis Interim Police Chief Rob Livick Public Services Director Eric Endersby Harbor Operations Manager Joe Woods Recreation & Parks Director ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS. ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — There was no Closed Session. PUBLIC COMMENT Lara Rapcinski, owner of Harbor Floral gave the Morro Bay business report. Harbor Floral is a local business located at 868 Napa, they are open Tuesday — Friday from 10am-5pm and their phone number is 772-0770. They specialize in weddings and special events. They will be holding their ribbon cutting ceremony on Thursday, August 23`d. Craig Schmidt spoke just wanting to thank the City Council and staff for all their service and commitment. He also announced the upcoming Chamber Mixer at Rabobank on August 16d' from 530-7pm. He also commented on the Bay News article stating that the events "slated to be discontinued" will in fact be kept up as many citizens` groups and community organizations are stepping up to the plate to sponsor them. ® Adrian Harris with the Morro Bay National Estuary Program spoke on "Clean Water, Great Life" and encouraged Morro Bay residents do their part and take up the Clean Water Pledge by making everyday choices for clean water. Keith Taylor, Director of Friends of the Fire Department let the public know that the sales of the bricks and stones being placed at the new Fire Department will be ending on Labor Day. ® Cathy Novak spoke on behalf of the applicant for Item D1, 'Request for a Plan Check and Affordable Housing In -lieu Fee Reduction for 1885 Ironwood". She is requesting a 50% reduction of fees for the duplicate plan check fees only, as well as not be charged twice for affordable housing in -lieu fees. Janice Peters spoke about the opinion piece she wrote for the local newspaper. She explained how she came up with the estimated dollar figures it may cost if the W WTP were to be moved. She also specified those additional items that there will be a cost for; should the plant be moved. Betty Winholtz spoke on 3 agenda items. Regarding Item D1, she feels that the applicant is requesting something that the -fee schedule doesn't provide for. As far as the in -lieu fees, she feels that they are two separate and distinct fees and that the applicant is confusing that issue. Regarding Item D2, "Recommendation to move forward in Master Planning the Northern Embarcadero Areas including Coleman Park. Target Rock and the Morro Rock Parking Lot". while there was a lot of information, there were no pictures in order to be able to visualize the information. And regarding Item D5_, "Designation of Voting Delegate and Alternate Voting Delegate at the LOCC 2012 Annual Conference and Business Meeting' she hopes that Council will review the Resolutions that will be voted on at the Conference and make recommendations for the voting delegate to follow. She also responded to Nis. Peters comments by saying that her costs of moving the plant didn't take into consideration offsetting costs that we will reap based on the piece of property we will be getting as well as the piece of property on the beach. ® Annie Kav spoke in praise of the surf camp that she attended. She very much enjoyed herself and was able to learn how to surf. Garry Johnson spoke, emphasizing that it was his opinion that the Coastal Commission was given misleading information which led to the inaccuracies in their staff report. He feels that a new plant one mile up Highway 41 is a terrible mistake. Dawn Beattie requested staff provide the Cloister residents a more. accurate budget for the expenditure of the allocated maintenance monies. Linda Merrill was disappointed to learn that the Coastal Commission hearing had been postponed and requests that we attempt to get the meeting held in San Luis Obispo County as many don't have the energy to travel such long distances. She also responded to Ms. Peters comments by saving that nobody knows the true costs of moving the plant, that the plant will cost no matter the location, and to please stop the scare tactics by coming up with figures that suit their own needs. Roger Ewing stated that since the election. we have been subjected to lies and scare tactics and he is tired of it. We should be about the spirit of community. He stated that they wanted it moved because it's in the wrong location and if you base policy decisions solely on money, you will lose. ® Mayor Yates closed the public comment period. 2 MINUTES - MORRO BAY CITY COUNCIL - AUGUST 14, 2012 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF JULY 24, 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 LETTER N RESPONSE TO GRAND JURY REPORT TITLED "A VITAL FUNCTION OF THE JUDICIAL SYSTEM: LAW ENFORCEMENT PROPERTY AND EVIDENCE ROOMS"; (POLICE) RECOMMENDATION: Direct staff to send the attached letter to the Presiding Judge of San Luis Obispo County Superior Court in response to the Grand Jury report. A-3 RESOLUTION NO. 43-12 AUTHORIZING THE CITY OF MORRO BAY TO ENTER INTO 2012/2013 VESSEL TURN -IN PROGRAM FUND CONTRACT WITH THE DEPARTMENT OF BOATING AND WATERWAYS: (HARBOR) RECOMMENDATION: Adopt Resolution 43-12. ® A-4 RESOLUTION NO. 44-12 AUTHORIZING THE CITY OF MORRO BAY TO ENTER INTO 2012/2013 ABANDONED WATERCRAFT ABATEMENT FUND CONTRACT WITH THE DEPARTMENT OF BOATING AND WATERWAYS: (HARBOR) RECOMMNDATION: Adopt Resolution 44-12. A-5 ADOPTION OF ORDNANCE NO. 579 REPEALING, AMENDING AND REENACTING CHAPTER 14.72 OF THE CITY OF MORRO BAY MUNICIPAL CODE, ENTITLED FLOOD DAMAGE PREVENTION: (PUBLIC SERVICES) RECOMMENDATION: Adopt Ordinance No. 579. A-6 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA. DIRECTING A TIMELINE FOR COMPLETION OF CAPITAL PROJECTS APPROVED BY COUNCIL; (COUNCIL) RECOMMENDATION: Adopt Resolution 45-12. . A-7 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY. CALIFORNIA, DECLARING HOW MEASURE Q FUNDS ARE ALLOCATED AND SPENT: (COUNCIL) THIS ITEM HAS BEEN PULLED FROM THE AGENDA ® RECOMMENDATION: Adopt Resolution No. 46-12. Councilmember Borchard pulled Item A-6 from the Consent Calendar. 3 MINUTES -MORRO BAY CITY COUNCIL- AUGUST 14. 2012 MOTION: Councilmember Johnson moved the City Council approve Items A - I, A-2, A-3, A-4 and A-5 of the Consent Calendar. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. A-6 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA, DIRECTING A TLMELINE FOR COMPLETION OF CAPITAL PROJECTS APPROVED BY COUNCIL; (COUNCIL) Councilmember Borchard pulled Item A-6 as she would like additional information added to the Resolution and requests it be continued to the next Council meeting. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-I APPEAL OF MINOR USE PERMIT #UPO-240. COASTAL DEVELOPMENT PERMIT 4CPO-294 AND PARKING EXCEPTION #ADO-043 FOR THE CONVERSION OF 820. SQUARE FEET OF COMMERCIAL SPACE TO A RESIDENTIAL UNIT AND A PARKING EXCEPTION TO WAIVE THE REQUIREMENT OF TWO COVERED AND ENCLOSED PARKING SPACES AND PROVIDING. TWO OPEN AND UNCOVERED PARKING SPACES; (PUBLIC SERVICES) ACTION: This item was opened but due to the omission of the property address in the title of the agenda item. it has been continued to the August 28. 2012 meeting. ® C. UNFNISHED BUSINESS.- None D. NEW BUSINESS D-1 REQUEST FOR A PLAN CHECK AND AFFORDABLE HOUSING EN -LIEU FEE REDUCTION FOR 1885 IRONWOOD; (ADMINISTRATION) Public Services Director, Rob Livick presented the staff report. Councilmember Smukler stated that the City doesn't have these kinds of fee structures in place; if we feel that we want to review a fee structure like this we should. but doesn't think that tonight is the right place to implement them. Mayor Yates disagrees as we make exceptions all of the time and we are capable of doing this. This is a unique situation as we don't normally have projects with this many units that come in at once and he doesn't feel that there is that much extra work to review the plans. He feels the reasonable thing to do is to charge the 50% of plan check fees and the full amount of in -lieu fees. Public Services Director Rob Livick described the differences between the 2 In -lieu fee charges. One is an in -lieu fee with is a charge of .30.cents/sq foot of construction. The other is for projects of 8 units or more and provides monies, in addition to the .30 cents/sq foot, to the in -lieu ® account. You can either build an affordable housing unit(s) or pay this in -lieu fee. They are 2 separate fees. 4 MINUTES - MORRO BAY CITY COUNCIL- AUGUST 14, 2012 Councilmember Leage feels the In -lieu fees are black and white — either build or pay. Councilmember Johnson still feels like the applicant ends up paving the in -lieu fees twice. She thinks she can support 60% of the plan check fee cost as opposed to the requested 50% cost. Councilmember Borchard agrees with Johnson, she too feels they are paying twice for the in -lieu fees. She also has concerns that since the Building Inspector has yet to make a final review of the plans, it's impossible to determine how `like" the plans actually are. She can support a 60% of the plan check fees. Councilmember Smukler hoped that Council would let staff allow for the plan review as there would be no harm in waiting and letting staff come back with numbers as to the actual cost of the process. He also went on to sav that the 2"d In -lieu fee is because you have the ability to provide affordable housing and you have chosen not to. It recognizes the scale of a project. It also incentivizes and prioritizes affordable housing as we are far behind in affordable housing units. MOTION: Mayor Yates moved that the applicant at 1885 Ironwood pay 100% of the plan check fees for the first unit and for the remaining identical units they pay 50% plan check fees: and. leave the affordable Housing In -lieu fees we have charged alone. The motion was seconded by Councilmember Leage and passed 4-1 with Councilmember Smukler voting no. After a called break. Councilmember Leage made the following motion. ® MOTION: Councilmember Leage moved for a reconsideration of the motion on the last item. The motion was seconded by Mayor Yates and passed 4-1 with Councilmember Smukler voting no. Councilmember Leage feels that we are "double-dipping` and should be grateful that such a good project is coming to our town. Councilmember Johnson agrees. MOTION: Councilmember Leage moved that for the project at 1885 Ironwood, plan check fees for the I" unit remain at 100% with the remaining identical units being charged at 50% of the plan check fees: and, waive the .30 cent/square foot affordable housing in -lieu fee: and, rescind the previous motion. The motion was seconded by Councilmember Johnson and passed 4-1 with Councilmember Smukler voting no. D-2 RECOMMENDATION TO MOVE FORWARD N MASTER PLANNING THE NORTHERN EivfBARCADERO AREAS NCLUDNG COLEMAN PARK, TARGET ROCK AND THE MORRO ROCK PARKING LOT: (RECREATION & PARKS) Recreation & Parks Director Joe Woods presented the staff report. Councilmember George Leage hopes that staff should move forward right now. Councilmember Johnson agrees but realizes we are short on funds She would like to see ® approval tonight with the caveat that we wouldn't implement the plan until the funds are available. 5 MINUTES - MORRO BAY CITY COUNCIL — AUGUST IJ, 2012 Councilmember Borchard also agrees it's a great plan but we don't have any funding and we need to wait until we have the money. Mayor Yates thinks we should get the actual cost nailed down to specifics. MOTION: Councilmember Johnson moved that we move forward with master planning the Northern Embarcadero areas to include Coleman Park; Target Rock and the Morro Rock Parking Lot and wait until implementation until funds are available for the project. The motion was seconded by Councilmember Smukler and passed unanimously 5-0. D-3 DISCUSSION ON PARKING OPTIONS ON THE EMBARCADERO BETWEEN BEACH AND PACIFIC STREETS: (PUBLIC SERVICES) Public Services Director Rob Livick presented the staff report. Mayor Yates hoped we would hold off on any decision in parking to see if we get the Dvnegv parking which should give us a couple hundred more spaces. Councilmember Leage still hoped to be able to take away one of the lanes on the Embarcadero and widen the sidewalks. He feels that if we could get the cars off the street and get them to park elsewhere, it would open up the shops and create a better attitude. He thinks it's a good idea to look at this again after the Dynegy parking is opened up. ® Councilmember Johnson's all-time favorite idea would be to close down the Embarcadero to cars and feels that realistically, we need to wait to see what happens with Dynegy parking. Councilmember Borchard hopes that Embarcadero business owners are continuing to encourage their employees to park elsewhere. She feels we should put time limit (2 — 4 hours) signage back up which she thinks would help. Mayor Yates responded that he would ask that putting the signs back up be brought before Council before initiating. Councilmember Smukler questioned the delivery truck restrictions and hoped to be able to explore conversation on that topic. He thinks that this would make for a good Business Forum topic. ACTION: Bring back this item to the 2Id meeting in October with an update, after the Dynegy parking lot opens up, with a late summer study of traffic flow patterns. D-4 DISCUSSION ON THE NEED FOR A VOLUNTEER "COMMUNITY SERVICES COORDINATOR": (ADMINISTRATION) Councilmember Johnson presented this staff report. Councilmembers were very interested in this concept and proposed that this item be brought ® back with more specific information on the possible appointment process as well as possible 6 MINUTES- MORRO BAY CITY COUNCIL -AUGUST 14, 2012 resources that would be made available to this person. It will be brought back to a future meeting. V . D-5 DESIGNATION OF VOTING DELEGATE AND ALTERNATE VOTING DELEGATE AT LEAGUE OF CALIFORNIA CITIES 2012 ANNUAL CONFERENCE BUSINESS MEETING; (ADMINISTRATION) City Attorney Rob Schultz presented the staff report stating that historically we have never opened up the Resolutions for discussion at the Council level. MOTION: Mayor Yates moved that Councilmember Nancy Johnson be the official City Council League Voting Delegate with City Attomey Rob Schultz being named as the Alternate Voting Delegate. The motion was seconded by Councilmember Borchard and passed unanimously 5-0. E. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Borchard requested an agenda item to look at the Master Fee Schedule to include Identical Projects and the fees they are charged including Planning and Building Fees: Mayor Yates and Councilmember Johnson concurred. Councilmember _Smukler requested an agenda item providing an update on Seismic Testing for Diablo Canyon to receive information from the meeting held on August 14th and the meeting scheduled for August 20th as well as discussion of possible follow-up action plans; all Councilmembers concurred. Councilmember Leage requested an agenda item providing an update on parking options on the Embarcadero between Beach and Pacific Streets to be brought back the second meeting of October: all Councilmembers concurred. ADJOURNMENT The meeting adjourned at 8:54 p.m. Recorded by: amie Boucher City Clerk 7 MINUTES - MORRO BAY CITY COUNCIL - AUGUST 14, 2012 ® City of Morro Bay - City Council Agenda E 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 10, 2012 CLOSED SESSION CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54957.6; CONFERENCE WITH LABOR CS-2 NEGOTIATOR. Conference with Citv Manager, the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. 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: Rose's Landing —Lease Site 82-85/82W-85W Negotiating Parties: Doug Redican and City of Morro Bay Negotiations: Lease Terms and Conditions Property: Sea One Solution LLC- Lease Site 124-128/124W-128W & 113R' Negotiating Parties: Sea One Solutions. LLC and IvLMBS. LLC and City of Morro Bay y Negotiations: Lease Terms and Conditions CS-3 CONFERENCE WITH LEGAL COUNSEL REGARDING ANTICIPATED LITIGATION - GOVERNMENT CODE SECTION 54956.9(c): • Parties: Martony and City of Morro Bay IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ® ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. PUBLIC SESSION — JULY 10, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE 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. • The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official, commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause. ® comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk, (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF JUNE 26, 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. ® A-2 AUTHORIZATION TO FILL ONE RECREATION AND PARKS DEPARTMENT MAINTENANCE LEAD WORKER POSITION BUILDNGS/INFRASTRUCTURE; (RECREATION & PARKS) 2 RECOMIMENDATION: Authorize staff to hire a replacement for the upcoming vacancy of a Maintenance Lead Worker. ® A-3 AUTHORIZATION TO FILL THE RECENTLY VACATED ASSISTANT PLANNER POSITION; (PUBLIC SERVICES) RECOMMENDATION: Authorize filling the recently vacated Assistant Planner position. A-4 AWARD OF CONTRACT FOR MANTENANCE OF THE CLOISTER ASSESSMENT DISTRICT; (RECREATION & PARKS) RECOMMENDATION: Award the project contract to K.D. Janni Landscaping Inc. in the amount of S80,928.00. A-5 AUTHORIZATION TO FILE NOTICE OF COMPLETION FOR THE DEL MAR TENNIS COURTS; (RECREATION & PARKS) RECOMMENDATION: Authorize staff to File Notice of Completion for the Del Mar Tennis Courts Project. A-6 UPDATE ON CONTRACT FOR AUDITING 2009 - 2011 TRANSIENT OCCUPANCY TAX AND LEASE SITES REVENUES; (ADMINISTRATIVE SERVICES) ® RECOMMENDATION: No action is recommended as this is an informational item only. A-7 RESOLUTION NO. 36-12 ESTABLISHNG THE ANNUAL PROPOSITION 4 APPROPRIATIONS LIMIT FOR THE FISCAL YEAR 2012/13: (ADMINISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution No. 36-12. A-8 AWARD OF CONTRACT TO SPECIALTY CONSTRUCTION, INC. OF SAN LUIS OBISPO. CA FOR THE PROJECT NO. MB-2012-WCO1: LIFT STATION 3 UPGRADE SANITARY SEWER FORCE MAN; (PUBLIC SERVICES) RECOMMENDATION: Award the project contract to Specialty Construction, Inc. in the amount of 51,191,052. A-9 NORTH T-PIER REPAIR PROJECT UPDATE: (HARBOR) RECOMMENDATION: No action is recommended as this is an informational item only. ® A-10 AUTHORIZATION TO FILE NOTICE OF COMPLETION FOR PROJECT NO. MB2011-WCOI: SEWER SECTION 6 REHABILITATION; (PUBLIC SERVICES) 3 RECOMMENDATION: Authorization to file Notice of Completion for Sewer Section 6 Lining Rehabilitation Project. ® A-I1 APPROVAL OF LICENSE AGREEMENT BETWEEN THE CITY OF MORRO BAY AND DYNEGY REGARDING THE USE OF THREE PARKNG LOTS OWNED BY DYNEGY: (CITY ATTORNEY) RECOMMENDATION: Approve the lease agreement with Dynegy for the use of three parking lots for public purposes. A-12 REQUEST FOR APPROVAL OF ASSIGNMENT OF LEASE AGREEMENT FOR LEASE SITES 124-128/124W-128W & 1I3W FROM SEA ONE SOLUTIONS, LLC TO MMBS. LLC AND APPROVAL OF AMENDMENT #3 TO THE LEASE AGREEMENT FOR LEASE SITE 124-128/124W-128W & 113W (1215 EMBARCADERO); (RECREATION & PARKS) RECOMMENDATION: Approve the Assignment of the Lease Agreement for Lease Sites 124-128/124W-128W & 113W from Sea One Solutions, LLC to M11BS, LLC and approve Amendment # 3 to the lease to allow for the phasing of water improvements. B. PUBLIC HEARINGS. REPORTS & APPEARANCES ® B-1 NTRODUCTION AND FIRST READING OF ORDNANCE NO. 579 REPEALING, AMENDING AND REENACTING CHAPTER 14.72 OF THE CITY OF MORRO BAY MUNICIPAL CODE, ENTITLED FLOOD DAMAGE PREVENTION; (PUBLIC SERVICES) RECOMMENDATION: Accept public comment and then move for introduction and first reading of Ordinance No. 579, by number and title only. B-2 APPEAL OF CONDITIONAL USE PERMIT #UP0-348 AND COASTAL DEVELOPMENT PERMIT 9CPO-372 FOR NEW CONSTRUCTION OF A SINGLE FAMILY RESIDENCE AT 281 MAN STREET: (PUBLIC SERVICES) RECOMMENDATION: Deny the appeal and uphold the Planning Commission's approval of Conditional Use Permit 9UPO-348 and Coastal Development Permit #CPO-372. C. UNFNISHED BUSINESS C-1 RESOLUTION NO. 38-12 ADOPTING THE FISCAL YEAR 2012/1) OPERATING BUDGETS OF THE HARBOR DEPARTMENT: (ADMINISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution No. 38-12, approving the fiscal year ® 2012/13 budgets for the Harbor Department, with amendments made at this meeting, if any. 4 C-2 CONSIDERATION OF PURCHASING BIG BELLY SOLAR POWER TRASH COMPACTOR GARBAGE RECEPTACLES FOR THE ROCK PARKING LOT; (RECREATION & PARKS) RECOMMENDATION: Authorize purchasing Big Belly solar powered trash compactor garbage receptacles with recycling units for the Rock parking lot and restroom as well as identify a potential funding source for implementation. C-3 RECOMMENDATION ON THE PAPERLESS AGENDA CONCEPT_: (ADMINISTRATION) RECOMMENDATION: Purchase IPads utilizing monies from both the General Fund ('/_) and the Enterprise Funds ('/2) with the monies coming from either Account Reserves or preferably through a mid -year budget amendment. D. NEW BUSINESS D-I RESOLUTION NO. 37-12 ADOPTING 2012/13 REVISIONS TO THE MASTER FEE SCHEDULE: (ADMNISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution No. 37-12. E. DECLARATION OF FUTURE AGENDA ITEMS is F. ADJOUIU MENT E THIS AGENDA IS SUBJECT TO AMENDNIENT 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 772-6205 FOR FURTHER INFORMATION. MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND HILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. IN COMPLIANCE WITH THE AINMRICANS 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 AGENDA NO: A-1 MEETING DATE: 08/14/2012 ® MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION — JULY 10. 2012 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: CLOSED SESSION Andrea Lueker Robert Schultz Eric Endersby City Manager Citv Attomev Harbor Director Mayor Yates adjourned the meeting to Closed Session. Mayor Yates read the Closed Session Statement. ® CS-1 GOVERNMENT CODE SECTION 54957.6; CONFERENCE WITH LABOR \TGOTIATOR: Conference with City Manager. the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. CS-2 GOVERNMENT CODE SECTION 54956.8; PROPERTY TRANSACTIONS: Instructing CiWs 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: Rose's Landing— Lease Site 82-85/82W-85W Negotiating Parties: Doug Redican and City of Morro Bay Negotiations: Lease Terms and Conditions • Property: Sea One Solution LLC- Lease Site 124-128/124W-128W & 113W Negotiating Parties: Sea One Solutions, LLC and MMBS, LLC and City of Morro Bay Negotiations: Lease Terms and Conditions CS-3 CONFERENCE WITH LEGAL COUNSEL REGARDING ANTICIPATED LITIGATION - GOVERNMENT CODE SECTION 54956.9(c): ® • Parties: Martony and City of Morro Bav The meeting adjourned at 5:50pm. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JULY 10. 2012 is VETERAN'S MEMORIAL HALL — 6:OOP.M. Mayor Yates called the meeting to order at 6:00 p.m. PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Locker Robert Schultz Jamie Boucher Susan Slayton Rob L:ivick Mike Pond Mike Lewis Eric Endersby Joe Woods Kathleen Wold City Manager City Attorney City Clerk Administrative Services Director Public Services Director Fire Chief Interim Police Chief Harbor Operations Manager Recreation & Parks Director Planning Manager ESTABLISH QUORUM AND CALL TO ORDER ® MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS. AININOU-NICEMENTS & PRESENTATIONS CLOSED SESSION REPORT — City Attomev Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. E PUBLIC COMMENT Brian French, owner of Estero Bay Sustainable Solutions, presented the Morro Bay Business Report. This is a local solar energy installer to the Estero Bay communities — residential and businesses both. Their goal is to provide the best possible customer service possible. They are often at the Saturday Farmer's Market; can be reached at (805) 235-5521 or at eb-ss.com . Barn Brannon spoke on the WWTP Project hoping that given the fact that the June 12. 2012 JPA meeting was canceled, there will still be an opportunity to get an update on the progress of the project. Trina Dougherty spoke on behalf of the 4'h of July Committee thanking all who attended the celebration. She also thanked the sponsors and volunteers who really made the event work. Nancy Barta presented an update on the Bus Stop remodel project. MINUTES - MORRO BAY CITY COUNCIL -JULY 10. 2012 Paul Carrol has been a Morro Bay visitor for the last 40 years. He spoke on behalf of Priscilla Cole, the new owner of the Morro Bay Sandpiper Hotel stating it is his favorite place to stay ® when he visits Morro Bay. Nicole Dorfman felt compelled to speak in defense of Betty Winholtz in her role with the Save the Park organization. In her role as President of Save the Park. Betty represents people who believe the Cerrito Peak needs to be preserved and protected. Cvnthia Hawley, Attorney for Save the Park, responded to the previous week's comments by property owner, Dan Reddell. She stated that it wasn't their intent for the lawsuit to stop development in the City, just stop the violations. David Nelson stated that Dynegy has terminated their permit as they can't conform to the new water standards. He also has concerns regarding the lease between Dyneev and the City regarding the 3 parking lots, specifically with regards to page 3, section 5 of the agreement with regards to possible hidden pollution. Finally. he stated that the outfall destroys our Estuary and he hopes the City will not renew the outfall lease. John Barta spoke. on the proposed Master Fee Schedule with regards to single family residential costs to build. He feels it would be really nice to know how much it really costs to build a home as the schedule doesn't seem clear. Betty Winholtz spoke on the Master Fee Schedule stating that she feels the Impact Fees are very important as those fees pay for City services. She also spoke on the Paperless Agenda concept, ® she has concerns about training as well as use and possible abuse and hopes there will be a policy document on their use as a form of protection. She also questioned whether the City had an unmarked police car and if so, why. r�1 LJ Gam- Johnson spoke on the years of business experience the current City Council has as well as their detailed their accomplishments over the last 2 years. He also hoped that if we decide to move the sewer. the Council will let the residents know what the true costs will be. Priscilla Cole, new owner of the Sandpiper Inn, spoke endorsing her business.' Mayor Yates closed the public comment period. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF JUNE 26. 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. 3 MINUTES - MORRO BAY CITY COUNCIL -JULY 10. 2012 A-2 AUTHORIZATION TO FILL ONE RECREATION AND PARKS DEPARTVIENT MANTENANCE LEAD WORKER POSITION — ® BUILDNGS/NFRASTRUCTURE; (RECREATION & PARKS) RECOMMENDATION: Authorize staff to hire a replacement for the upcoming vacancy of a ON: Lead Worker. A-3 AUTHORIZATION TO FILL THE RECENTLY VACATED ASSISTANT PLANNER POSITION: (PUBLIC SERVICES) RECOMMENDATION: Authorize filling the recently vacated Assistant Planner position. A-4 AWARD OF CONTRACT FOR VLANTENANCE OF THE CLOISTER ASSESSMENT DISTRICT: (RECREATION & PARKS) RECOMMENDATION: Award the project contract to K.D. Janni Landscaping Inc. in the amount of S80,928.00. A-5 AUTHORIZATION TO FILE NOTICE OF COMPLETION FOR THE DEL MAR TENNIS COURTS: (RECREATION & PARKS) RECOMMENDATION: Authorize staff to File Notice of Completion for the Del Mar is Tennis Courts Project. A-6 UPDATE ON. CONTRACT FOR AUDITING 2009 — 2011 TRANSIENT OCCUPANCY TAX AND LEASE SITES REVENUES: (ADMINISTRATIVE SERVICES) C RECOMM4ENDATION: No action is recommended as this is an informational item only. A-7 RESOLUTION NO. 36-12 ESTABLISHNG THE ANNUAL PROPOSITION 4 APPROPRIATIONS LIMIT FOR THE FISCAL YEAR 2012/13: (ADMINISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution No. 36-12. A-8 AWARD OF CONTRACT TO SPECIALTY CONSTRUCTION_. INC. OF SAN LUIS OBISPO, CA FOR THE PROJECT NO. MB-2012-WCO1: LIFT STATION 3 UPGRADE SANITARY SEWER FORCE MAN: (PUBLIC SERVICES) RECOMMENDATION: Award the project contract to Specialty Construction, Inc. in the amount of 51,191,052. A-9. NORTH T-PIER REPAIR PROJECT UPDATE: (HARBOR) 4 MINUTES - MORRO BAY CITY COUNCIL-JULY 10. 2012 RECOMMENDATION: No action is recommended as this is an informational item only. ® A-10 AUTHORIZATION TO FILE NOTICE OF COMPLETION FOR PROJECT NO. MB2011-WCO1: SEWER SECTION 6 REHABILITATION; (PUBLIC SERVICES) RECOMMENDATION: Authorization to file Notice of Completion for Sewer Section 6 Lining Rehabilitation Project. A-11 APPROVAL OF LICENSE AGREEMENT BETWEEN THE CITY OF MORRO BAY AND DYNEGY REGARDING THE USE OF THREE PARKING LOTS OWNED BY DYNEGY; (CITY ATTORNEY) RECOMMENDATION: Approve the lease agreement with Dynegy for the use of three parking lots for public purposes. A-12 REQUEST FOR APPROVAL OF ASSIGNMENT OF LEASE AGREEMENT FOR LEASE SITES 124-128/124W-128W & 113W FROM SEA ONE SOLUTIONS. LLC TO MMBS. LLC AND APPROVAL OF AMENDMENT 73 TO THE LEASE AGREEMENT FOR LEASE SITE 124-128/124W-128W & 113)W (1215 ENIBARCADERO); (RECREATION & PARKS) RECOMMENDATION: Approve the Assignment of the Lease Agreement for Lease ® Sites 124-128/124W-128W & 113W from Sea One Solutions, LLC to NI[ BS, LLC . and approve Amendment 9 3 to the lease to allow for the phasing of water improvements. Councilmember Johnson pulled Item A-3. Councilmember Borchard pulled Item A-9, Councilmember Smukler pulled Item A -I I and Mayor Yates pulled Item A-12 from the Consent Calendar. MOTION: Councilmember Borchard moved the City Council approve Items A-1. A-2. A-4. A-5. A-6, A-7. A-8, A-10 of the Consent Calendar. The motion was seconded by Councilmember Johnson and carried unanimously 5-0. A-3 AUTHORIZATION TO FILL THE RECENTLY VACATED ASSISTANT PLANNER POSITION; (PUBLIC SERVICES) Councilmember Johnson pulled Item A-3 questioning what the difference in salary and qualifications would be between an Assistant Planner and an Associate Planner as she would like to see us hiring somebody with more experience. MOTION: Councilmember Johnson moved to advertise at both the Assistant and Associate Planner levels and then hire the best applicant. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. ® A-9 NORTH T-PIER REPAIR PROJECT UPDATE; (HARBOR) 5 MINUTES - MORRO BAY CITY COUNCIL -JULY 10, 2012 Councilmember Borchard pulled Item A-9 so that Harbor Director Eric Endersby could present ® the update on the North T-Pier repairs. MOTION: - Councilmember Borchard moved approval of Item A-9 of the Consent Calendar. The motion was seconded by Councilmember Smukler and carried unanimously 5-0. A-11 APPROVAL OF LICENSE AGREEMENT BETWEEN THE CITY OF MORRO BAY AND DYNEGY REGARDING THE USE OF THREE PARKNG LOTS OWNNED BY DYNEGY; (CITY ATTORNEY) Councilmember Smukler pulled Item A-11 to ask City Attorney Rob Schultz a question - with the agreement, can we utilize the properties as noted? And, when can we anticipate being able to use them? MOTION: Councilmember Smukler moved for approval Item A -I I of the Consent Calendar The motion was seconded by Councilmember Johnson and carried unanimously 5-0. A-12 REQUEST FOR APPROVAL OF ASSIGNMENT OF LEASE AGREEMENT FOR LEASE SITES 124-128/124W-128W & 113W FROM SEA.ONE SOLUTIONS. LLC TO MMBS, LLC AND APPROVAL OF AMENDMENT #3 TO THE LEASE AGREEMENT FOR LEASE SITE 124-128/124W-128W & 113)W (1215 EMBARCADERO)-. (RECREATION & PARKS) leMayor Yates pulled Item A-12 so that Councilmember Leage can step down from the dais as his business is located within 500 feet of the lease site in question. MOTION: Councilmember Johnson moved for approval of Item A-12 of the Consent Calendar. The motion was seconded by Councilmember Borchard and carried 4-0-1 with Councilmember Leage abstaining. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 INTRODUCTION AND FIRST READING OF ORDNANCE NO. 579 REPEALING, AViENDNG AND REENACTING CHAPTER 14.72 OF THE CITY OF MORRO BAY MUNICIPAL CODE; ENTITLED FLOOD DAMAGE PREVENTION; (PUBLIC SERVICES) Public Services Director Rob Livick presented his staff report stressing that this will allow current and new residents to participate in the National Flood Insurance Program. Mayor Yates opened the hearing for public comment. Betty Winholtz has questions on whether or not this would have any impact on the current Embarcadero lease sites: the affects it may have on the Wastewater Treatment Plant on its current site; whether this includes private people's property or just public projects; and how can ® people see a map of where the flood planes are if they are renters. 6 MINUTES - MORRO BAY CITY COUNCIL-JULY 10, 2012 Mayor Yates closed the hearing for public comment. ® MOTION: Councilmember Borchard moved the City Council accept the Introduction and First Reading of Ordinance No. 579 repealing, amending and reenacting Chapter 14.72 of the MBMC. entitled Flood Damage Prevention. The motion was seconded by Councilmember Smukler and carried unanimously 5-0. B-2 APPEAL OF CONDITIONAL USE PERMIT #UP0-348 AND COASTAL DEVELOPMENT PERMIT #CPO-372 FOR NEW CONSTRUCTION OF A SINGLE FAMILY RESIDENCE AT 281 MAN STREET; (PUBLIC SERVICES) Planning Manager Kathleen Wold presented her staff report. Appellant, Betty Winholtz presented her arguments in favor of upholding the appeal. Cathy Novak, representing the applicant, presented her arguments in favor of denying the appeal. Mayor Yates opened the hearing for public comment. Dorothy Cutter has a problem with the fact that the developer/owner of the land also owns all the adjoining properties and feels he should have presented a total plan for the properties. Also, there is a proposed addition of a solid wall with a back to Main Street and the City has a precedent not allowing this. Finally, she also sees problems with the lighting plan as well as with the potential for archeologically significant artifacts. ® Mayor Yates closed the hearing for public comment. Councilmember Smukler had visual concerns as he isn't able to see what the project will look like in context to the surrounding area. All other Councilmembers were comfortable with the project as submitted MOTION: Mavor Yates moved the City Council deny the appeal of Conditional Use Permit #UPO-348 and Coastal Development Permit "CPO-372 for new construction of a single family residence at 281 Main Street. The motion was seconded by Councilmember Leage and carved 4-1 with Councilmember Smukler voting no. C. UNFNISHED BUSINESS C-1 RESOLUTION NO. 38-12 ADOPTING THE FISCAL YEAR 2012/13 OPERATING BUDGETS OF THE HARBOR DEPARTMENT: (ADMINISTRATIVE SERVICES) City Manager Andrea Lueker presented the staff report. Councilmember Borchard understood the need for a Business Coordinator was a more appropriate use than utilizing an employee working out of class but isn't in support of having a ® Harbor Business Coordinator in addition to both the full time and 3/< time Office Assistant IV. She would support this with the elimination of the'/< time position. 7 MINUTES - MORRO BAY CITY COUNCIL -JULY 10, 2012 Mayor Yates and Councilmembers Lease and Johnson agreed with Councilmember Borchard. ® Councilmember Smukler feels the need to make this shift but feels we may be setting ourselves up as we will need to cut back eventually. He could support the concept that Councilmember Borchard suggested. MOTION: Councilmember Borchard moved for approval of Resolution 38-12, adopting the Fiscal Year 2012/L3 Operating Budgets of the Harbor Department with the change to staffing to include funding the Harbor Business Coordinator and one full-time Office Assistant IV and eliminate the funding for the 1/4 time Office Assistant IV. The motion was seconded by Councilmember Smukler and passed unanimously 5-0. C-2. CONSIDERATION OF PURCHASING BIG BELLY SOLAR POWER TRASH COMPACTOR GARBAGE RECEPTACLES FOR THE ROCK PARKING LOT_: (RECREATION & PARKS) Recreation & Parks Director Joe Woods presented his staff report recommending that the City purchase 4 Big Belly solar powered trash compactor garbage receptacles to replace all the garbage cans at the Rock parking lot. Mayor Yates is very supportive of this concept: he proposes to borrow the funds from the reserves acknowledging that.it will get paid back. He would like to look at purchasing all 7 Big Bellys as opposed.to just purchasing 4. ® Councilmember Smukler also would like to look into purchasing more than the 4 that were proposed. Councilmember Lease also stated that 4 were not enough to cover the entire Rock parking lot needs during the busy times of the year. He too likes the idea of purchasing all 7. " Both Councilmember Johnson and Borchard thought that purchasing 4 to start out with is a good idea as they will be able to see if the monies are really able to be paid back. Councilmember Smukler noted that by the time we would be able to place the Big Bellys; the summer would already be over so possibly purchasing the 4 would give Council and staff the time to see what happens, see if the return on investment occurred and see if there would actually be a need for more than 4 at the parking lot. MOTION: Councilmember Smukler moved the City purchase 5 Big Belly Solar Powered Trash Compactor Garbage Receptacles for the Rock parking lot to be funded through and returned to the General Reserve Fund and for a report to come back at the I" meeting in March, 2013 to see if the purchase of additional cans is warranted. The motion was seconded by Councilmember Johnson and carried unanimously 5-0. C-3 RECOMMENDATION ON THE PAPERLESS AGENDA CONCEPT: (ADMINISTRATION) ® City Manager Andrea Lueker presented her staff report. H MLNUTES - MORRO BAY CITY COUNCIL-JULY 10, 2012 Councilmember Borchard stated that this seems to be the trend; she was curious if the bandwidth upgrade necessary at the Veteran's Hall could be paid out of the PEG Access Funds. Councilmember Johnson has an iPad and finds it very easy to use; she sees it as the wave of the future. Both Mayor Yates and Councilmember Leage can support the purchase. Councilmember Smukler, while nervous and wants the ability_ to be able to measure the effectiveness, can also support the purchase. MOTION: Councilmember Borchard moved the Council approve Item C-3, the purchase of iPads for Councilmembers as well as Department Heads. The motion was seconded by Councilmember Johnson and carried unanimously 5-0. D. NEW BUSINESS D-1 RESOLUTION NO. 37-12 ADOPTING 2012/13 REVISIONS TO THE MASTER FEE SCHEDULE: (ADMNISTRATIVE SERVICES) Administrative Services Director Susan Slayton presented her staff report. There was Council consensus from Mayor Yates and Councilmembers Borchard_. Johnson and Leage not to charge the CPI on Planning Fees and Building Impact Fees. ® Councilmember Smukler stated that it was only a 2% increase and by postponing the increase will only create a bigger hit down the road. E] MOTION: Mayor Yates moved for adoption of the 2012/L3 Revisions to the Master Fee Schedule with the exception of all Building Impact Fees and Planning Fees. The motion was seconded by Councilmember Johnson and carved 4-1 with Councilmember Smukler voting no. E. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Borchard requested a report on the findings of the Building Study Group: there was Council consensus for this. Mayor Yates requested a Resolution regarding Council direction on how Measure Q Funds are allocated and spent; Councilmember Johnson and Borchard concurred. Councilmember Leage requested a report on parking options on the Embarcadero between Beach and Pacific: Mayor Yates and Councilmember Johnson concurred. Councilmember Smukler requested a discussion of a possible Citizen's Oversight Committee option with the Police Department: Mayor Yates and Councilmember Leage concurred. E MINUTES- MORRO BAY CITY COUNCIL-JULY 10, 2012 0 Councilmember Smukler requested a discussion on the processing and licensing of Temporary Use Permits and how it relates to new businesses: Mayor Yates and Councilmember Borchard concurred. ADJOURNMENT The meeting adjourned at 9:20 p.m. Recorded by: Jamie Boucher Citv Clerk 10 MINUTES - MORRO BAY CITY COUNCIL -JULY 10, 2012 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 — J NE 26, 2012 CLOSED SESSION 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 Aith City Manager, the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the ® Designated Representative. CS-2 GOVERNAffNT 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: Sea One Solutions LLC - Lease Site 124-128/124A'-128W & 113W Negotiating Parties: Neil and City of Morro Bay Negotiations: Terms and Conditions of Lease IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. PUBLIC SESSION — JUNE 26, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COU`INCILMEMBERS 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. • The Council respectfully requests that you refrain from making slanderous; profane or personal remarks against any elected official, commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause, ® comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk, (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF JUVE 12, 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. 11 A-2 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA RECITING THE FACT OF THE GENERAL MUNICIPAL ® ELECTION HELD IN THE CITY OF MORRO BAY ON THE 5" DAY OF JUKE, 2012; DECLARING THE RESULTS THEREOF, AND SUCH OTHER MATTERS AS ARE PROVIDED BY LAW; (ADMINISTRATION) RECO!Mi ENDATION: Adopt Resolution 34-12. A-3 RESOLUTION PROHIBITING STREET WORK IN COMMERICAL AREAS BETWEEN MEMORIAL DAY AND LABOR DAY; (CITY COUNCIL) REC011LN1ENDATION: Adopt Resolution 27-12. A-4 RESOLUTION NO. 30-12 ADOPTING THE MEMORANDUM OF UNDERSTANDING WITH THE SERVICE EMPLOYEES INTERNATIONAL UNION (SEIU), LOCAL 620, MISCELLANEOUS AND HARBOR SAFETY EMPLOYEES, AND RELATED COMPENSATION: (ADMINISTRATIVE SERVICES) RECOIVLMINDATION: Adopt Resolution No. 30-12, approving the Memorandum of Understanding with SEIU, Local 620. A-5 RESOLUTION NO. 31-12 AUTHORIZING PAYING AND REPORTING THE VALUE OF EMPLOYER PAID MEMBER CONTRIBUTIONS (EPMC) FOR THE ® MORRO BAY SEIU MISCELLANEOUS AND HARBOR SAFETY EMPLOYEES; (ADMINISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution No. 31-12, authorizing paying and reporting the value of EPMC at 0%. A-6 INFORMATIONAL REPORT ON THE ENFORCEMENT OF LAWS/ORDINANCES GOVERNING SKATEBOARDING; (POLICE) RECO! - NDATION: Receive and file. A-7 STATUS REPORT ON THE JODY GIANNINI FAMILY DOG PARK; (RECREATION & PARKS) RECOMMENDATION: Review the status of the Jody Giannini Family Dog Park and allow staff to continue working with the Morro Bay Pups in providing the operation and maintenance of the off leash dog area within Del Mar Park. A-8 RESOLUTION NO. 35-12 AUTHORIZING SAN LUIS OBISPO COUNTY ASSESSOR TO ASSESS AMOUNTS DUE ON DELINQUENT SOLID WASTE COLLECTION ACCOUNTS AS TAX LIENS AGAINST THE PROPERTIES; (ADMINISTRATIVE SERVICES) 3 RECOMMENDATION: Adopt Resolution No. 35-12. ® B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-I RESOLUTION NO. 32-12 DIRECTING THE LEVY OF THE ANNUAL ASSESSMENT FOR THE CLOISTERS LANDSCAPING AND LIGHTING MAINTENANCE ASSESSMENT DISTRICT; (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution No. 32-12 confirming the levy of Assessment for Fiscal Year 2012-13. B-2 RESOLUTION NO. 33-12 DIRECTING THE LEVY OF THE ANNUAL ASSESSMENT FOR THE NORTH POINT NATURAL AREA LANDSCAPING AND LIGHTING MAINTENANCE ASSESSMENT DISTRICT: (RECREATION & PARKS) RECOMMENDATION: Adopt Resolution No. 33-12 confirming the levy of Assessment for Fiscal Year 2012-13. C. UNFINISHED BUSINESS C-I RESOLUTION NO. 29-12 ADOPTING THE FISCAL YEAR 2012/13 OPERATING BUDGETS: (ADMINISTRATIVE SERVICES) ® RECONLN, MNDATION: Adopt Resolution No. 29-12, approving the Fiscal Year 2012/13 Budget with amendments made at this meeting, if any. C-2 PROGRESS REPORT ON THE UTILIZATION OF BIG BELLY GARBAGE RECEPTACLES AT THE MORRO ROCK PARKING LOT: (RECREATION & PARKS) RECOMMENDATION: Review the Big Belly Solar Powered Trash Compactor option to improve the solid waste service at the Morro Rock parking lot and direct staff to implement based on the available resources. D. NEW BUSINESS D-1 DISCUSSION OF FY 2012/2013 TROLLEY SEASON: (PUBLIC SERVICES) RECOMMENDATION: Review trolley- ridership data and provide direction to staff as necessary. D-2 REVIEW OF REGULATIONS AND POLICY REGARDING VEGETATION MANAGEMENT BY PACIFIC GAS AND ELECTRIC (PG&E) IN PROXIMITY TO THEIR POWER LINE FACILITIES; (PUBLIC SERVICES) RECOMMENDATION: Review the regulations and policy and provide direction to ® staff. 4 D-3 PILOT NEIGHBORHOOD TRAFFIC MANAGEMENT PLAN ON ISLANDS ® STREETS; (CITY COUNCIL) n U RECOMMENDATION: Authorize the Public Services Director to initiate a pilot "Neighborhood Traffic Management Plan" (NTMP) for the "Island" Streets area. E. DECLARATION OF FUTURE AGENDA ITEMS F. 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 772-6205 FOR FURTHER INFORMATION. MATERLALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND MILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURINTG NORMAL BUSINESS HOURS. 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 E E U AGENDA NO: A-1 MEETLNG DATE: 07/10/2012 MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION — JUNE 26. 2012 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember Georee Lease Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz City Attorney Susan Slayton Administrative Services Director Eric Endersby Harbor Director CLOSED SESSION Mayor Yates adjourned the meeting to Closed Session. Mayor Yates read the Closed Session Statement. CS-1 GOVERNMENT CODE SECTION 54957.6; CONFERENCE WITH LABOR NEGOTIATOR. Conference with City Manager, the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. CS-2 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS: Instructing Cit}'s real propem, negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property, as to one (1) parcel. Property: Sea One Solutions LLC - Lease Site 124-128/124W-128W & 113W Negotiating Parties: Neil and Citv of Morro Bay Negotiations: Terms and Conditions of Lease The meeting adjourned at 5:50pm. MNUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 26. 2012 ® VETERAN`S MEMORIAL HALL — 6:00P.M. Mayor Yates called the meeting to order at 6:00 p.m. PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz City Attorney Jamie Boucher City Clerk Susan Slayton Administrative Services Director Rob Livick Public Services Director Mike Pond Fire Chief Mike Lewis Interim Police Chief Eric Endersby Harbor Operations Manager Joe Woods Recreation & Parks Director Janeen Burlingame Management Analyst ® ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS; ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — City Attorney Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. PUBLIC COMMENT Christian Jacob, speaking on behalf of his son. Dane Jacob, owner of the Red Anchor Charters. a new business in town located in front of Estero Inn. They offer sail boat tours of the bay — "an experience you won`t want to miss' as it gives people a new feeling of the bay as well as the City. They are excited to bring this service to our waterfront. Lam Newland with the Maritime Museum Association announced that the submarine was here and is parked in the Front Street parking lot. He thanked evervbodv for coming together to make this happen. Diana Hotak. an Island Street resident spoke in support of Item D-3, the traffic calming pilot ® program being proposed. She feels the streets are unsafe and feels this program will help the neighborhood. MINUTES - MORRO BAY CITY COUNCIL-JUNE 26. 2012 Dan Reddell spoke contesting the public comment presented at the June 121h Council meeting by Cvnthia Hawlev. Attomev for "Save the Park". Mr. Reddell. owner of the single family ® residential lot in question, refuted each argument made by Ms. Hawley, point by point, claiming them all false. He encouraged those wanting to read the lawsuit to confirm his allegations, come by his office as he has copies. u Kyle Buller, spoke on the Fuel Dock incident stating that he felt that the actions of the officers were wrong and could have been handled much differently. He asked for an apology from the officers. Eric Donnelly also spoke on the Fuel Dock incident stating that he feels we need to recognize that we have a problem with some of our officers and urged the City to organize a Police Oversight Commission that would provide for community participation and overall better relations. Diana Salgado asked people to drive slower. especially up in the Island Streets' neighborhoods where she and her friends play. She also said that the potholes up in that area create safety hazards. Betty Winholtz spoke on 3 items the first being the Adoption of the SEIU contract hoping that Council is ensuring that Management and Confidential groups are following in the footsteps of employees paving their own PERS. She also has grave concerns regarding the Harbor Department deficit and feels we are jeopardizing safety by not allowing the Harbor to purchase the needed truck and rescue sled: she opposes the idea of allowing RV's to park on the Embarcadero and concessionaires at the Rock. She feels instead that we should be looking for revenues with lease holders and dock rentals. And finally she spoke on the Vegetation Management Plan that utility companies are to abide by feeling that the staff report as presented is incomplete. Nancy Castle spoke advertising the 4t° of July event being held at Tidelands Park. You can watch the entire event on slospan.org . Garry Johnson was afraid that building would actually stop if the "Save the Park' lawsuit prevailed. He is also fearful of the costs of the sewer bills if the wastewater treatment plant was moved. Jim Hayes thanked his wife and supporters in his bid for a City Council seat in the June 5`s election. He also has grave concerns for the City and the ratepayers if the wastewater treatment plant was to be moved. He stated that there are no good logical, economical or environmental reasons to move the plant. Dana Blair, an employee of the Fuel Dock and working the night of the incident feels that our officers need to conduct themselves more professionally. Myles Dunn feels like he is a target of the police department and is tired of it. He also feels that poor procedure was used in the Fuel Dock incident. 3 MINUTES - MORRO BAY CITY COUNCIL -JUKE 26, 2012 Chris Christenson is concerned with the "Save the Park" lawsuit in that it may be taking somebody's private property; he is also disheartened if the threat of stopping building permits is ® real. He feels that this lawsuit is frivolous and hopes it can be resolved without going to the extreme. Mayor Yates closed the public comment period. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF DUNE 12. 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA RECITING THE FACT OF THE GENERAL MUNICIPAL ELECTION HELD N THE CITY OF MORRO BAY ON THE 5`s DAY OF .TUNE. 2012: DECLARING THE RESULTS THEREOF. AND SUCH OTHER MATTERS AS ARE PROVIDED BY LAW; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution 34-12. ® A-3 RESOLUTION PROHIBITING STREET WORK N COMMERICAL AREAS BETWEEN MEMORIAL DAY AND LABOR DAY; (CITY COUNCIL) RECOMMENDATION: Adopt Resolution 27-12. A-4 RESOLUTION NO. 30-12 ADOPTING THE MEMORANDUM OF UNDERSTANDING WITH THE SERVICE EMPLOYEES INTERNATIONAL UNION (SEIU), LOCAL 620. MISCELLANEOUS AND HARBOR SAFETY EMPLOYEES. AND RELATED COMPENSATION; (ADMINISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution No. 30-12, approving the Memorandum of Understanding with SEIU, Local 620. A-5 RESOLUTION NO. 31-12 AUTHORIZING PAYING AND REPORTING THE VALUE OF EMPLOYER PAID MEMBER CONTRIBUTIONS (EPMC) FOR THE MORRO BAY SEIU MISCELLANEOUS AND HARBOR SAFETY EMPLOYEES_: (ADMINISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution No. 31-12, authorizing paying and reporting the value of EPMC at 0%. 4 MINUTES - MORRO BAY CITY COUNCIL -JUNE 26, 2012 A-6 INFORMATIONAL REPORT ON THE ENFORCEMENT OF LAWS/ORDNANCES GOVERNNG SKATEBOARDCNG; (POLICE) ® RECOMMENDATION: Receive and file. A-7 STATUS REPORT ON THE JODY GIANNNI FAMILY DOG PARK: (RECREATION & PARKS) RECOMMENDATION: Review the status of the Jody Giannini Family Dog Park and allow staff to continue working with the Morro Bay Pups in providing the operation and maintenance of the off leash dog area within Del Mar Park. A-8 RESOLUTION NO. 35-12 AUTHORIZNG SAN LUIS OBISPO COUNTY ASSESSOR TO ASSESS AMOUNTS DUE ON DELNQUENT SOLID WASTE COLLECTION ACCOUNTS AS TAX LIENS AGAINST THE PROPERTIES_: (ADMINISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution No. 35-12. Councilmember Johnson pulled Item A-6 and Mayor Yates pulled Item A-8 from the Consent Calendar. MOTION: Councilmember Borchard moved the City Council approve Items A-1. A-2. A-3, A-4, A-5 and A-7 of the Consent Calendar. The motion was seconded byCouncilmember Leage ® and carried unanimously 5-0. A-6 INFORMATIONAL REPORT ON T14E ENFORCEMENT OF LAWS/ORDINANCES GOVERNING SKATEBOARDING; (POLICE) Councilmember Johnson pulled Item A-6 stating she thinks we need to look at updating the Ordinance as she feels that skateboarding rules should be more like rules pertaining to bicycles. There was no action taken on this item as it will be brought forth as an item in "Future Agenda Items" and dealt with at a future meeting. A-8 RESOLUTION NO. 35-12 AUTHORIZING SAN LUIS OBISPO COUNTY ASSESSOR TO ASSESS AMOUNTS DUE ON DELNQUENT SOLID WASTE COLLECTION ACCOUNTS AS TAX LIENS AGAINST THE PROPERTIES: (ADMINISTRATIVE SERVICES) Mayor Yates pulled Item A-8 stating that he would be voting no as he is ethically opposed to placing liens on people's properties as a result of delinquent garbage bills. MOTION: Councilmember Borchard moved the City Council approve Item A-8 of the Consent Calendar. The motion was seconded by Councilmember Johnson and carried 3-2 with Mayor Yates and Councilmember Leage voting no. ® B. PUBLIC HEARINGS. REPORTS & APPEARANCES 5 MINUTES - MORRO BAY CITY COUNCIL -JUKE 26, 2012 B-I RESOLUTION NO. 32-12 DIRECTNG THE LEVY OF THE ANNUAL ASSESSMENT FOR THE CLOISTERS LANDSCAPING AND LIGHTING ® MAINTENANCE ASSESSMENT DISTRICT: (RECREATION & PARKS) Recreation & Parks Director Joe Woods presented his staff report. Mayor Yates opened the hearing for public comment. Dawn Beattie questioned how lone the Cloisters residents were supposed to fund a public park. She is asking the City for two things - invest some general fund monies into Cloister's maintenance and that significant supervision be required by staff with regards to Cloister's maintenance. Carol Denolfo has owned property at the Cloisters since 2002 and asked staff to consider the following observations — she feels the City spends too much time and money on the public park and not enough on the Cloister properties: safety must come before aesthetics: and, stressed the importance of establishing a reserve fund. Robert Bacon has lived at the Cloisters for 4 years and has been speaking for the last J. He is concerned that in May or June there are improvements made to the Cloisters area but after that time. it's back to the same neglect. He would like the citizens who are paying into the assessment have a say in how the money is spent. Gar Salzky concurs with the previous speakers and feels the biggest problem is lack of ® communication. He would like to see some changes. Mayor Yates closed the hearing for public comment. Councilmember Borchard asked if the residents of the Cloisters had input into the current contracURFP. Mr. Woods responded that since the Engineer's Report_ which was previously approved, dictated the duties outlined in the RFP but that next year input will be taken. Councilmember Johnson wondered if this year's expenditures allowed for a reserve fund. Mr. Woods responded that this year's monies have been spent but that the bids for the next maintenance year have come in lower than anticipated and as such. should allow for the beginning of a reserve fund. Mayor Yates stated that he is philosophically against assessments and so will be voting no. MOTION: Councilmember Borchard moved the City Council adopt Resolution No. J2-12 confirming the levy of assessment for Fiscal Year 2012/13 for the Cloisters Landscaping and Lighting Maintenance Assessment District. The motion was seconded by Councilmember Johnson and carried 4-1 with Mayor Yates voting no. B-2 RESOLUTION NO. 33-12 DIRECTNG THE LEVY OF THE ANNUAL ASSESSMENT FOR THE NORTH PONT NATURAL AREA LANDSCAPING AND ® LIGHTNG MANTENANCE ASSESSMENT DISTRICT: (RECREATION & PARKS) :1 M NUTES - D10RRO BAY CITY COUNCIL-JUNE 26. 2012 Recreation & Parks Director Joe Woods presented his staff report. ® Mayor Yates opened the hearing for public comment; seeing none, Mayor Yates closed the hearing for public Comment. MOTION: Councilmember Johnson moved the City Council adopt Resolution No. 33-12 confirming the levy of assessment for Fiscal Year 2012/13 for the North Point Natural Area Landscaping and Lighting Maintenance Assessment District. The motion was seconded by Councilmember Smukler and carried 4-1 with Mayor Yates voting no. C. UNFNISHED BUSINESS C-1 RESOLUTION NO. 29-12 ADOPTING THE FISCAL YEAR 2012/13 OPERATING BUDGETS; (ADMINISTRATIVE SERVICES) Administrative Services Director Susan Slayton presented her staff report. Councilmember Smukler had safety concerns with not purchasing the previously requested truck and sleds for the Harbor Department. Harbor Director Eric Endersby assured Council that they would be fine for the year and in fact had been allocated some monies in a grant and were able to purchase one of the requested sleds. Council then went through staff s revenue generating ideas for the Harbor Department, item by item. ® There was Council majority support for the installation of coin -operated water meters on all domestic water supplies on the T-Piers and Tidelands Side -Tie Dock. There was not Council majority support to pursue dry storage of boats at the end of the Embarcadero extended near the Fisherman's/Harbor Department Gear Storage at least for now; possibly wait until it is determined what is to happen with the power plant property. There was Council majority support for the recommendation not to purchase a new truck and replacement rescue sled and instead place those monies into the operating budget. There was no final decision from Council regarding placing the $10,000 savings from the updated repair estimate for the storage shed roof into the operating budget. There was a lack of Council consensus about moving the requested S89,600 from Harbor reserves to the Harbor operating budget; however. it is understood that some Harbor Reserves will have to be used to balance the overall Harbor budget. There was Council majority support to approach the Coast Guard for reviewing their lease for the use of City property. Initially the Council majority was not in favor of the pilot project which would allow overnight RV parking along the Embarcadero extended. Councilmember Johnson was a proponent of it as ® in her research. she has discovered manv cities that do this and are making money at it. She also checked with local private RV Park owners and their parks have all recently been full; she also 7 MINUTES - MORRO BAY CITY COUNCIL-JUNE 26, 2012 noted that Morro Strand has been full. After discussion. Council agreed to a study of the pilot project concept, along the Embarcadero extended. ® There was not Council majority support for a study to be done to look at the possibility of concessions at the Rock Parking lot area. There was Council majority support for an RFP for the four existing unused lease sites for development. Council then discussed staffs request to reclassify a current employee from an Office Assistant IV to a Harbor Business Coordinator. Councilmember Smukler has concerns, with reclassifications this year as there is too much uncertainty with the budget which both Mayor Yates and Councilmember Leage concurred with. Councilmember Borchard had concerns with spending the extra monies on the reclassification, if the department needs a Harbor Business Coordinator then maybe it can be accomplished through the Finance Department or by filling the position on a half or three quarter time basis. Mayor Yates doesn't feel the need for the extra position. It was unanimously decided to postpone any decisions on the Harbor Budget and requested it be continued to the July 10, 2012 meeting. Staff is to bring back staffing recommendations at that meeting. Discussions then moved to the General Fund where staff is requesting the purchase of a new Command Vehicle for the Fire Chief out of the General Government Vehicle Replacement Fund. There was unanimous Council consensus for this purchase. Councilmember Smukler voiced his continued concerns for spending the S73.000 in excess reserves on street rehabilitation. MOTION: Councilmember Johnson moved for approval of Resolution 29-12 adopting all Fiscal Year 2012/13 Operating Budgets with the exception of those pertaining to the Harbor Department and authorized the continuation of the Harbor Departments 2011-12 budgets. The motion was seconded by Councilmember Leage and passed unanimously 5-0. C-2 PROGRESS REPORT ON THE UTILIZATION OF BIG BELLY GARBAGE RECEPTACLES AT THE MORRO ROCK PARKING LOT: (RECREATION & PARKS) Recreation & Parks Director Joe Woods presented his staff report. He had a correction to his staff report and instead recommends the implementation of a pilot program whereby the City would purchase 1 big belly garbage receptacle (which would replace 4 garbage cans). Councilmember Smukler wondered why a pilot program as he is in favor of full replacement at the Rock. Mayor Yates also would support the full replacement, utilizing reserves, as long as there is a guaranteed plan for the monies to be paid back. Additional cost information was needed from Morro Bay Garbage Company and as such. no ® action taken other than to request staff come back to the July 10, 2012 Council Meeting with a 8 MINUTES - MORRO BAY CITY COUNCIL -JUNE 26, 2012 report on the costs and potential savings of purchasing the big belly garbage receptacles. The report should not include panel advertisement potential. ® D. NEW BUSNESS D-1 DISCUSSION OF FY 2012/2013 TROLLEY SEASON: (PUBLIC SERVICES) Management Analyst Janeen Burlingame presented her staff report. Councilmember Borchard noted that ridership has been down the last 3 years and as such, why haven't we made any adjustments to the hours of operation. Money saved from these adjustments could have been reallocated to other transit services. Councilmembers Borchard and Johnson both voiced their frustrations at not having any input to this program, requesting staff brine back a program recommendation early in the calendar year for discussions on the next season's schedule. Mayor Yates and Councilmember Leage both love the trolley and feel they give Morro Bay a sense of personality. Councilmember Smukler spoke of the package available to hotels whereby those enrolling/participating allow their customers the ability to ride the trolley for free. Councilmember Leage hoped that this program could also be offered to the local restaurants. There was no action taken as this item was provided for information only; this item has been added to the City's Agenda Planning Guide on an annual basis to occur at the beginning of each calendar year. D-2 REVIEW OF REGULATIONS AND POLICY REGARDING VEGETATION MANAGEMENT BY PACIFIC GAS AND ELECTRIC (PG&E) N PROXIMITY TO THEIR POWER LINE FACILITIES; (PUBLIC SERVICES) Public Services Director Rob Livick presented his staff report. Councilmember Smukler was very concerned that the S50 PG&E provided the City to replant trees that they removed was not close to enough money for the actual replacement and management of the tree's growth. He would like to see this fee increased. Councilmember Johnson thinks that part of the problem is in the City's planting choices of the past. ACTION: There was no motion. however City Attorney Rob Schultz volunteered to do research on what other cities are receivine from PG&E for tree removals and then write a memo to Council with the results. D-3 PILOT NEIGHBORHOOD TRAFFIC MANAGEMENT PLAN ON ISLANDS ® STREETS; (CITY COUNCIL) 9 MINUTES - MORRO BAY CITY COUNCIL -JUNE 26. 2012 Councilmember Noah Smukler presented the staff report. Councilmember Johnson had concerns with the amount of staff time that this pilot project might take. Public Services Director Rob Livick hoped that a majority of the staff time needed would be from a free Cal Poly intern with limited time from paid staff. She also questioned why the entire City wasn't included in this study as we have traffic problems in many parts of the City. Councilmember Borchard sees the value in the concept but thinks that it should be put on the planning track with Public Services where they could evaluate the need. MOTION: Councilmember Lease motioned that this item be tabled. The motion was seconded by Councilmember Johnson and passed 3-2 with Councilmember Smukler and Councilmember Borchard voting no. E. DECLARATION OF FUTURE AGENDA ITEMS Mayor Yates requested a status report on the North T-Pier Project: Councilmembers Johnson and Borchard concurred. Councilmember Johnson requested a new Municipal Code Section updating and modernizing our Skateboard regulations; including electric scooters and Segways. to allow for their use in all parts of town: Mavor Yates and Councilmember Borchard concurred. ADJOURNMENT �R The meeting adjourned at 10:38 p.m. Recorded by: JarVie Boucher City Clerk 10 MINUTES - MORRO BAY CITY COUNCIL - JUNE 2612012 ® 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 — JUNE 12, 2012 BUDGET HEARING VETERANS MEMORIAL HALL - 4:00 P.M. 209 SURF ST., MORRO BAY, CA PRESENTATION OF FISCAL YEAR 2012/13 OPERATING BUDGETS RECOMMENDATION: Review and Discuss the FY 2012/13 operating budgets. n U PUBLIC SESSION — TUNE 12, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® 209 SURF ST., MORRO BAY; CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE 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 vour 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. • The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official. commission and/or staff. • Please .refrain from public displays or outbursts such as unsolicited applause. ® comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk; (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arranuements to ensure accessibility to this meeting. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF MAY 22, 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 AMENDMENT NO. 2 TO THE LEASE AGREEMENT FOR LEASE SITE 82- 85/82W-85W, ROSE'S LANDING, LOCATED AT 725 EMBARCADERO. 2 BETWEEN THE CITY OF MORRO BAY AND 725 EMBARCADERO LLC: (CITY ATTORNEY) ® RECOMMENDATION: Adopt Resolution No. 28-12. A-3 ZONNG TEXT AMENDMENT 4A00-014 MODIFYING SECTION 17.44.020.1 PROVIDING SPECIFIC REGULATIONS AS TO WHEN ADDITIONAL ONSITE PARKNG WILL BE REQUIRED FOR EXISTING COMMERCIAL BUILDING(S) CONVERTING FROM ONE USE -TO ANOTHER WITHOUT NEW CONSTRUCTION OR NEW ADDITIONS. FOR THE MAPPED SPECIFIC NORTH MAN STREET COMMERCIAL AREA: (PUBLIC SERVICES) RECOMMENDATION: Adopt Ordinance No. 578. A-4 UPDATE ON TRANSIT ISSUES REGARDING REGIONAL TRANSIT AUTHORITY NORTH COAST ROUTE CHANGES, ESTERO BAY TRANSIT PROPOSAL AND FY 2010/2011 TRANSPORTATION DEVELOPMENT ACT AUDIT: (PUBLIC SERVICES) RECOMMENDATION: Receive and file the update. A-5 ADOPT RESOLUTION NO. 26-12 APPROVING SUBMISSION OF PROPOSITION 1B PUBLIC TRANSPORTATION MODERNIZATION, IMPROVEMENT AND SERVICE ENHANCEMENT ACCOUNT GRANT APPLICATION: (PUBLIC SERVICES) ® RECOMMENDATION: Adopt Resolution 26-12. A-6 EXECUTION OF A GRANT AGREEMENT WITH THE NATIONAL FISH AND WILDLIFE FOUNDATION FOR FISHING COMMUNITY SUSTANABILITY PLANNING AND DEVELOPMENT; (ADMNISTRATION/HARBOR) RECOMMENDATION: Execute the attached grant agreement with the National Fish and Wildlife Foundation (NFWF). A-7 SOUTHERN CALIFORNIA GAS COMPANY — ADVANCED METER PROJECT: (PUBLIC SERVICES) RECOMMENDATION: Receive and file this information. A-8 RESOLUTION PROHIBITING STREET WORK BETWEEN MEMORIAL DAY AND LABOR DAY: (CITY COUNCIL) RECOMMENDATION: Adopt Resolution 27-12. B. PUBLIC HEARINGS. REPORTS & APPEARANCES - NONE ® C. UNFINISHED BUSINESS C-1 STATUS OF PROJECT NO. MB-2012-S2: 2012, STREET REHABILITATION PROGRAM: (PUBLIC SERVICES) RECOMMENDATION: Review this update and defer work on commercial streets ® until after Labor Dav and direct staff to negotiate extra work from the contractor, in -lieu of imposing liquidated damages. C-2 CONTNUED DISCUSSION OF INFORMATIONAL SIGNS/KIOSKS TO ENHANCE VISABILITY OF SPORTFISHNG OPERATIONS AND OTHER WATER -RELATED BUSINESSES ON THE MORRO BAY WATERFRONT_: (HARBOR) RECOMMENDATION: Review the Harbor Advisory Board's input /recommendations and provide staff direction. D. NEW BUSINESS D-1 AUTHORIZATION FOR THE CITY TO FILE AN APPLICATION WITH THE FEDERAL COMMUNICATIONS COMMISSION FOR A LOW POWER FM (LPFM) RADIO STATION LICENSE; (CITY ATTORNEY) RECOMMENDATION: Authorize the City to file an Application with the Federal Communications Commission (FCC) for a local "Low Power FM" (LPFM) radio station. E. DECLARATION OF FUTURE AGENDA ITEMS ® F. ADJOURNMENT r 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 772-6205 FOR FURTHER LNFORMIATION. MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND MILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MIEET0iG, 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 AGENDA NO: A -I MEETING DATE: 06/26/2012 ® MINUTES - ViORRO BAY CITY COUNCIL BUDGET HEARING — JUNE 12. 2012 VETERAN'S MEMORIAL HALL — 4:00P.M. Mayor Yates called the meeting to order at 4:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker Robert Schultz Jamie Boucher Susan Slayton Rob Livick Mike Pond Mike Lewis Eric Endersby Joe Woods City Manager City Attorney City Clerk Administrative Services Director Public Services Director Fire Chief Interim Police Chief Harbor Operations Manager Recreation & Parks Director Administrative Services Director Susan Slayton presented the FY 2012/13 Budget. She stipulated that the budget was balanced and published prior to the announcement from Dvnegy and as such, realizes that there will be necessary changes to the document. PUBLIC COMMENT Michele Jacquez spoke on behalf of the MBTBID requesting that no monies be taken from their marketing and promotional efforts. Susan Stewart spoke on behalf of the Morro Bay Chamber of Commerce and their Economic Development Proposal as she feels we must address the economic development of Morro Bay. She requested that the original request of S116.500 be revised to $80.000. Christine Rogers also supports a diversified economy in Morro Bay and hoped that Council would fund the Economic Development Plan. Israel Dominguez spoke on behalf of Economic Development and as the Director of Cuesta College's Business and Entrepreneurship Center, hopes to partner with Morro Bay as he feels they can help. ® Chris Christensen stated that business is important to a community and the Chamber has always been an advocate of business. He also supports the Economic Development Plan concept. John Weiss stated that there are too many storefront vacancies in Morro Bay and that we all need to be part of the solution. The Chamber is guided by local business people and the CEO has ® economic development expertise: both of which should be a huge help if afforded the opportunity to implement the Economic Development Plan. Joan Solu spoke on behalf of the Morro Bay TBID who met earlier that day. She and they hope that Council will continue their financial support of the MBTBID's proven product. Bob Swain sees the need for a good Economic Development Plan as we need to make sure that new businesses have something good to come here for. He feels that funds should be allocated in a way that everybody can prosper from. Mayor Yates closed the public comment period. Councilmember Smukler continues in his support of Economic Development and is inclined to fund the Economic Development Plan at S75.000 with the remainder of the monies to marketing and promotions. Councilmember Leage disagreed as he feels that more tourists will create more business opportunities and is in support of a majority of the monies going to the MBTBID - S80.000 to TBID and the remainder to Economic Development. Councilmember Johnson doesn't believe that the Economic Development Plan as proposed presented a real business model to follow and feels we need to go out with an RFP for Economic Development. Councilmember Borchard also feels that the Economic Development Plan is lacking concrete information on how they are going to cam out the program. She is inclined to give $50,000 to each group and give the remainder back to the general fund. iViavor Yates feels that the funds should be split down the middle. half to the advertising and promotions and half to economic development. MOTION: Councilmember Borchard moved the City Council take S100.000 of the CPC monies and divide them equally between the Chamber's Economic Development Plan and the MBTBID as presented. The motion was seconded by Councilmember Johnson and failed 2-3 with Mayor Yates and Councilmembers Leage and Smukler voting no. MOTION: Councilmember Borchard moved the City Council divide the S116,500 equally between the Chamber's Economic Development Plan and the MBTBID. The motion was seconded by Councilmember Johnson and carried 4-1 with Councilmember Leage voting no. The Council then proceeded to review the budget document department by department. Councilmember Borchard requested to review the cost of outsourcing the City's IT Services. Councilmember Johnson requested a revenue stream projection of the Fire Department's current modular building. Councilmember Borchard suggested taking the $22,000 and $2,400 requests ® in the Harbor Equipment Replacement Fund in an initial effort to help find the S250.000 that is MINUTES- MORRO BAY CITY COUNCIL- JUNE 12. 2012 necessary to replace the Dynegy monies. In that same vein. Councilmember Borchard suggested not filling the Harbor Business Manager position which could save approximately 5100,000. It ® was also discussed that the revenues for the Harbor Lease Site seemed "light" whereby they determined that they could increase those revenue projections by $40.000. It was decided that the remaining $83.000 necessary to balance the Harbor Fund would be taken from reserves. In addition, the concept of possible cost recovery measures on water usage by installing coin operated devices on some parts of the waterfront would be looked into. 11 There was a recess called of 10 minutes which will be followed by the Regular Citv Council Meeting. The budget discussions will be continued at the conclusion of the regular meeting. 3 MINUTES- MORRO BAY CITY COUNCIL -JUKE 1212012 MhNUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JUNE 12, 2012 ® VETERAN'S MEMORIAL HALL — 6:OOP.M. ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS_. ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — There was no closed session meeting. PUBLIC COMMENT Cynthia Hawley, Attorney for "Save the Park" spoke in rebuttal to the statements made at the previous meeting by Dan Reddell. She stated that Betty Winholtz is not a party in the lawsuit: and that if the lawsuit was won. the claims about building or adding square footage to citizen's properties is inaccurate. She also requested that the minutes be amended from the last meeting to reflect that what is recorded are statements made by Dan Reddell and not recorded as actual circumstances and events. Sharon Moore requested Council support the kiosk advertising concept on the Embarcadero. ® Taylor Ne-,ton spoke advertising an upcoming event. the First Annual Oyster Festival being held at the Morro Bay Golf Course on Saturday. June 16`h. 1 Susan iviacdonell, Manager at MV Transportation stated that the Trolleys are running. She also has trollev tokens available for local businesses to purchase. Kids (thru 12'h grade) ride free from June 1'` thm September J`d. Hal Abrams stated that Estero Bav Community Radio is now streaming on-line. He is asking the City to file for the FCC License. Betty R'inholtz spoke on the lease site amendment to Rose's Landing stating that she felt that it might make for hard feelings to the other lease site holders who had to pay the higher percentage. She also spoke on the Gas Company's Advanced Meter Project which she stated was another wav of saving Smart Meters. One of the stations is right nest to the elementary school which is not good for voung developing minds. Finally she spoke out against CalTrans and its cuttings on North Highway 1 which she felt was major vegetation work. Keith Taylor continued his fundraising efforts on behalf of the Morro Bay Reserve Firefighter program. He also thanked those candidates who ran in the election. Doug Hamp spoke out against the disastrous job done by CalTrans in their trimming of the vegetation on North Highway 1. 4 MINUTES - MORRO BAY CITY COUNCIL —JUKE 1212012 n U 2 Lvnda Merrill requested the City write a letter to CalTrans to ask they put up a temporary fence until the plants grow on North Highway 1. Mayor Yates closed the public comment period. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF MAY 22, 2012: (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 AMENDMENT NO. 2 TO THE LEASE AGREEMENT FOR LEASE SITE 82-85/82W- 85W. ROSE'S LANDING. LOCATED AT 725 EMBARCADERO. BETWEEN THE CITY OF MORRO BAY AND 725 EMBARCADERO LLC; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution No. 28-12. A-3 ZONING TEXT AMENDMENT A00-014 MODIFYING SECTION 17.44.020.1 PROVIDING SPECIFIC REGULATIONS AS TO WHEN ADDITIONAL ONSITE PARKING WILL BE REQUIRED FOR EXISTING COMMERCIAL BUILDNG(S) CONVERTING FROM ONE USE TO ANOTHER WITHOUT NEW CONSTRUCTION OR NEW ADDITIONS, FOR THE MAPPED SPECIFIC NORTH MAIN STREET COMMERCIAL AREA; (PUBLIC SERVICES) RECOMMENDATION: Adopt Ordinance No. 578. A-4 UPDATE ON TRANSIT ISSUES REGARDING REGIONAL TRANSIT AUTHORITY NORTH COAST ROUTE CHANGES, ESTERO BAY TRANSIT PROPOSAL AND FY 2010/2011 TRANSPORTATION DEVELOPMENT ACT AUDIT; (PUBLIC SERVICES) RECOMMENDATION: Receive and file the update. A-> ADOPT RESOLUTION NO. 26-12 APPROVING SUBMISSION OF PROPOSITION 1B PUBLIC TRANSPORTATION MODERNIZATION. IMPROVEMENT AND SERVICE ENHANCEMENT ACCOUNT GRANT APPLICATION: (PUBLIC SERVICES) RECONINTENDATION: Adopt Resolution 26-12. A-6 EXECUTION OF A GRANT AGREEMENT WITH THE NATIONAL FISH AND WILDLIFE FOUNDATION FOR FISHING COMMUNITY SUSTAINABILITY PLANNING AND DEVELOPMENT; (ADMNISTRATION/HARBOR) F MINUTES- MORRO BAY CITY COUNCIL-JUNE 12, 2012 RECOINIMENDATION: Execute the attached grant agreement with the National Fish and Wildlife Foundation (NFWF). A-7 SOUTHERN CALIFORNIA GAS COMPANY — ADVANCED METER PROJECT_: (PUBLIC SERVICES) RECONENIENDATION: Receive and rile this information. A-8 RESOLUTION PROHIBITNG STREET WORK BETWEEN MEMORIAL DAY AND LABOR DAY; (CITY COUNCIL) Councilmember Smukler pulled Items A-7 and A-8 from the Consent Calendar. MOTION: Councilmember Borchard moved the City Council approve Items A-1. A-2. A-3. A-4. A-5 and A-6 of the Consent Calendar. The motion was seconded by Councilmember Smukler and carried unanimously 5-0. A-7 SOUTHERN CALIFORNIA GAS COMPANY — ADVANCED METER PROJECT_: (PUBLIC SERVICES) Councilmember Smukler pulled Item A-7 stating that he sees this as a presumptuous move on the part of the Gas Company. Public Services Director Rob Livick responded that the Gas Company does have to go through the Coastal Development Permit process which means it will go to the Planning Commission. then Council and ultimatelv the Coastal Commission. ® MOTION: Councilmember Johnson moved the City Council approve Item A-7 of the Consent Calendar. The motion was seconded by Mavor Yates and carried 4-1 with Councilmember Smukler voting no. A-8 RESOLUTION PROHIBITNG STREET WORK BETWEEN MEMORIAL DAY AND LABOR DAY; (CITY COUNCIL) Councilmember Smukler pulled Item A-8 stating that he wished that "commercial" areas would be specified: he also wanted an emergency component looked at. There was no action taken as Mayor Yates will speak with Public Services Director Livick and bring it back to the nest meeting. B. PUBLIC HEARINGS. REPORTS & APPEARANCES - NONE C. UNFINISHED BUSINESS C-1 STATUS OF PROJECT NO. MB-2012-S2: 2012. STREET REHABILITATION PROGRAM; (PUBLIC SERVICES) Public Services Director Rob Livick presented his staff report. 0 MINUTES- MORRO BAY CITY COUNCIL -JUNE 12, 2012 Councilmembers discussed the residential work that will be done, especially the potential of the pilot project that will be done on Tide Street (or best street to be determined by staff and the contractor). MOTION: Mayor Yates moved that staff negotiate with the contractor for additional work to be done instead of charging out liquidated damages. The motion was seconded by Councilmember Smukler and passed unanimously 5-0. C-2 CONTINUED DISCUSSION OF NFORMATIONAL SIGNS/KIOSKS TO ENHANCE VISABILITY OF SPORTFISHNG OPERATIONS AND OTHER WATER -RELATED BUSINESSES ON THE MORRO BAY WATERFRONT; (HARBOR) Harbor Director Eric Endersby presented his staff report. The Harbor Advisory Board. who met after the staff report was written. unanimously supported the kiosk concept and also recommended fees associated with the project be waived. They also felt that the concept should include other water related businesses. Councilmembers all like the concept of additional advertising capabilities for sportfishing businesses as well as other water -related businesses. They discussed the various options available to them (Wheelhouse. Kiosk. State Park Sign) as well as preferable placement locations of each. MOTION: Councilmember Borchard moved approval for a temporary advertising sign specific to sportfishing be placed on the power box on the South T-Pier. The motion was is seconded by Councilmember Leage and passed unanimously 5-0. 1 D. NEW BUSINESS D-I AUTHORIZATION FOR THE CITY TO FILE AN APPLICATION ll'ITH THE FEDERAL COMMUNICATIONS COMtMISSION FOR A LOW POWER FM (LPFM) RADIO STATION LICENSE: (CITY ATTORNEY) City Attorney Rob Schultz presented the staff report. All Councilmembers were in support of the City making the application to the FCC on behalf of Estero Bav Community Radio as long as there is a clause in the agreement between the City and Estero Bav Community Radio that protects the City. MOTION: Councilmember Johnson moved approval of the City filing an application with the Federal Communications Commission (FCC) for a local `Low Power FM" radio station. The motion was seconded by Councilmember Leage and passed unanimously 5-0. E. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Borchard requested an agenda item about the Trolley hours of operation: Councilmembers Smukler and Johnson concurred. 7 MINUTES - MORRO BAY CITY COUNCIL-JUNE 12, 2012 Councilmember Smukler requested an agenda item to discuss a Pilot Neighborhood Traffic Management Plan on Island Streets addressing traffic calming; no other Councilmember concurred. Councilmember Smukler to write and present this report. BUDGET HEARING DISCUSSIONS CONTINUED It is Council's intention to look for the $200,000 that Dynegy will no longer be paying. MOTION: Councilmember Johnson moved that Council take S100.000 from the Risk Management Fund and $100,000 from the General Fund Emergency Reserve Fund to account for the S200,000 Dynegy shortfall. The motion was seconded by Councilmember Lease and passed unanimously 5-0. The statement was made by Councilmember Borchard that there are still excess reserves that can be allocated towards other places. Public Services Director Rob Livick stated that there is a $200,000 in carry over from Measure Q funds for street repairs plus the $250.000 in this year's budget gives a total budget of S450,000 for street repairs. Administrative Services Director Slayton brought up the use of the COPS Grant for a 1 year Police Car leasing program as well as the need for $15,000 for the Public Services scanning project. There was Council consensus. without motion, to fund the scanning project through PEG funds. As far as the cars went. the City needs a 3 vear commitment from Council for the use of Measure Q monies at S8,000/vear for the leasing program or a S70,000 commitment for the purchase of 2 marked cars out of the Vehicle Replacement Fund. MOTION: Councilmember Johnson moved the purchase of 2 marked vehicles from the Vehicle Replacement Fund. The motion was seconded by Councilmember Borchard and passed unanimously 5-0. A point of clarification was made; no more than $70,000 would be spent on this purchase. The remaining question from Council was the utilization of the $73.000 in excess reserves. The majority consensus. without motion. was to use a majority of those funds for street repair. Councilmember Smukler did urge caution and felt it best to leave the funds in the reserve. ADJOURNMENT The meeting adjourned at 8:36 p.m. Recorded by: f,(,IirwN� ie Boucher City Clerk 9 MINUTES - MORRO BAY CITY COUNCIL -JUNE 12. 2012 ® 0 City of Morro Bay MoRRo BAY, CA 93442 (805) 772-6205 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 Wednesdav, June 6, 2012 at 9:00 a.m. to be held in the City Hall Conference Room located at 595 Harbor Street, Morro Bay, California. The City Council will be considering the following: ® CS-1 GOVERNMENT CODE SECTION 54957; PERSONNEL ISSUES Discussions regarding Personnel Issues including two (2) public employees regarding evaluation, specifically the City Manager and the City Attorney. CS-2 GOVERNMENT CODE SECTION 54957.6; CONFERENCE WITH LABOR NEGOTIATOR. Conference with City Manager. the City's Designated Representative, for the purpose of reviewing the Cites position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. CS-3 GOVERNMENT CODE SECTION 54956.8; 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 parcels. • Property: Dyneg • Outfall Lease Negotiating Parties: Dvnegy and City of Morro Bay Negotiations: Lease Terms and Conditions • Property: DeGarimore Central Coast Marine Fuel & Ice Lease Site 101.5w/105.2 Negotiating Parties: DeGarimore and City of Morro Bav ® Negotiations: Lease Terms and Conditions ® CS-4 CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION --GOVERNMENT CODE SECTION 54956.9(C). Initiation of litigation exists based upon existing facts and the advice of legal counsel as to one matter. • Parties: City of Morro Bay and Sharon Moore DATED: May 30.2012 ie Boucher. City Clerk IN COMPLIANCE WITH THE AMERICANS SPECIAL ASSISTANCE TO PARTICIPATE IN CITY CLERK'S OFFICE AT LEAST 24 HOURS REASONABLE ARRANGEMENTS CAN BE M MEETING. is WITH DISABILITIES ACT, IF YOU NEED A CITY MEETING, PLEASE CONTACT THE PRIOR TO THE MEETING TO INSURE THAT WE TO PROVIDE ACCESSIBILITY TO THE -� -- -- City ®f Morr® Bay City Council Agenda Mission Statement The Cih' 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 NIEETItN'G — NI -AY 22, 2012 CLOSED SESSION 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 City Manager, the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the ® Designated Representative. CS-2 GOVERNMENT CODE SECTION 54957: PERSONNEL ISSUES Discussions regarding Personnel Issues including two (2) public employees regarding evaluation, specifically the City Manager and the City Attorney. CS-3 GOVERNMENT CODE SECTION 54956.8; 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 parcel. • Properly: DeGarimore Central Coast Marine Fuel & Iee Lease Site 101.5R'/105.2 Negotiating Parties: DeGarimore and City of Morro Bay Negotiations: Lease Terms and Conditions IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETII'GS ® ARE CONFIDENTIAL AND EXENIPT FROM DISCLOSURE. ® PUBLIC SESSION — MAY 22, 2012 V'ETERANS IIEIIORIAL HALL - 6:00 P.M. 209 SURF ST., INIORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE 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. • The Council respectfully requests that you refrain from making slanderous. ® profane or personal remarks against any elected official, commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause, comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk, (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF MAY S. 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 AWARD OF CONTRACT TO ASSOCIATED PACIFIC CONSTRUCTORS OF MORRO BAY FOR THE PROJECT NO. MB-2012-HI: STATE PARK MARINA ® MAINTENANCE DREDGING PROJECT: (HARBOR) RECOMMENDATION: Adopt Resolution. A-3 REQUEST TO APPROVE A RESPONSE TO THE GRAND JURY REGARDING CITY EMPLOYEE VACATION AND SICK LEAVE ACCUMULATION PAY: (ADMINISTRATION) RECOMMENDATION: Approve and send attached response letter to the Presiding Judge of SLO County Superior Court and the Grand Jury. A-4 REQUEST FOR APPROVAL OF AMENDMENT r2 TO THE LEASE AGREEMENT FOR LEASE SITE 122-123/122W-123W (HARBOR HUT, 1205 EMBARCADERO): (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 21-12 for Lease Site 122-123/122W-123NI' approving Amendment # 2 to the lease to extend the term 10 years. A-5 REQUEST TO APPROVE A RESPONSE TO THE GRAND JURY REGARDING CITIZEN COMPLAINTS AND INTERNAL AFFAIRS INVESTIGATIONS: (CITY ATTORNEY) ® RECONINIENDATION: Approve and send attached response letter to the Presiding Judge of SLO County Superior Court and the Grand Jury. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 RESOLUTION NO. 25-12 DECLARING THE INTTENTION TO CONTINUE THE PROGRAM AND ASSESSMENTS FOR THE 2012/11 FISCAL YEAR FOR THE MORRO BAY TOURISM BUSINESS IMPROVEMENT DISTRICT (MBTBID): (ADMINISTRATIVE SERVICES) RECOIINIENDATION: Hold a public hearing, record testimony for/against the continuation of the AIBTBID, and adopt/reject/amend Resolution No. 25-12. B-2 INTRODUCTION AND 1 ST READING OF THE ORDINANCE 578 AMENDING MODIFYING SECTION 17.44.020.1 PROVIDING SPECIFIC REGULATIONS AS TO WHEN ADDITIONAL ONSITE PARKING WILL BE REQUIRED FOR EXISTING COMMERCIAL BUILDING(S) CONVERTING FROM ONE USE TO ANOTHER WITHOUT NEW CONSTRUCTION OR NEW ADDITIONS, FOR THE MAPPED SPECIFIC NORTH MAIN STREET COMMERCIAL AREA: (PUBLIC SERVICES) RECOMMENDATION: Open the public hearing and receive testimony; accept the ® Planning Commission recommendation to adopt the proposed Ordinance d amenment that would allow for modification to Section 17.44.020.1; make a motion to approve Ordinance No. 578 by number and title only 3 C. UTFIN'ISHED BUSINESS ® C-I DISCUSSION ON' LOCAL SPORTFISHIN'G BUSINESSES; (HARBOR) RECOIU MENDATION: Council review the issue and give direction to staff based on the requests/recommendations provided by the sportfishing operators. D. NEW BUSINESS D-1 PRESENTATIONS ON ALLOCATION OF 2012/11 AVAILABLE COMMUNITY PROMOTIONS COMMITTEE MONIES; (ADMINISTRATION) RECO.W MENDATION: Receive presentations from the Morro Bay Chamber of Commerce and the Tourism Business Improvement District; discuss and request any additional information needed for a budgetary decision to be made at the June 12, 2012 Budget Hearing. D-2 UPDATE ON PAVING PROJECT NO. MB2012-S2, 2012 STREET REHABILITATION PROGRAM AND DISCUSSION OF PAVING SCHEDULE: (PUBLIC SERVICES) RECONZMENDATION: Review the project calendar and any potential paving schedule issues or adjustments 0 E. DECLARATION OF FUTURE AGENDA ITEMS E F. 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 772-6205 FOR FURTHER INFORMATION. MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND HILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. IN CO\IPLIANCE 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 DMEETING. 4 AGENDA NO: A-1 MINUTES - MORRO BAY CITY COUNCIL ® CLOSED SESSION — MAY 22, 2012 MEETING DATE: 06/12/2012 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz Citv Attorney Jamie Boucher City Clerk Eric Endersby Harbor Director CLOSED SESSION Mayor Yates adjourned the meeting to Closed Session. Mayor Yates read the Closed Session Statement. ® CS-1 GOVERNMENT CODE SECTION 54957.6; CONFERENCE WITH LABOR NEGOTIATOR. Conference with City Manager. the Citv's Designated Representative. for the purpose of reviewing the Citv's position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. CS-2 GOVERNMENT CODE SECTION 54957; PERSONNEL ISSUES Discussions regarding Personnel Issues including two (2) public employees regarding evaluation, specifically the City Manager and'the City Attorney. CS-3 GOVERNMENT CODE SECTION 54956.8; PROPERTY TRANSACTIONS Instructing Citv's real property negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease of real property as to one parcel. Property: DeGarimore Central Coast Marine Fuel & Ice Lease Site 101.5 W/105.2 Negotiating Parties: DeGarimore and City of Morro Bay Negotiations: Lease Terms and Conditions The meeting adjourned at 5:55pm. 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 22.2012 ® VETERAN'S MEMORIAL HALL — 6:OOP.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Counciliember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz City Attorney Jamie Boucher City Clerk Rob Livick Public Services Director Mike Pond Fire Chief Mike Lewis Interim Police Chief Eric Endersby Harbor Operations Manager Joe Woods Recreation & Parks Director ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE ® PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS, ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — City Attorney Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. PUBLIC COMMENT Paul Gilliland owns Associated Pacific Contractors, a home grown business for the last 30+ years. Associated Pacific has a unique niche in the marketplace as they perform waterfront and marine construction activities between Santa Cruz and San Diego. Associated Pacific offers expertise in a broad range of technical areas. They are excited about the upcoming dredging contract they have with the City. Joey Ricano, Director of the California Ocean Outfall Group, stated he had serious reservations about awarding a contract for the dredging project as dredging can be done on a maintenance basis only. Since the area hasn't been dredged in over 63 years, he doesn't feel this is a maintenance project. He also feels this will violate the Marine Protected Area. Amit Patel; owner/operator of the Day's Inn and former Community Promotions Member spoke in support of the Morro Bay TBID in their attempts to market Morro Bay. Since the inception of the TBID there have been positive changes. He hopes that Council will continue to support and ® fully fund the request of Morro Bay Tourism Bureau. Please don't cut the efforts off just as business is starting to rebound. 2 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 22. 2012 ® Susan Heinaman feels that it wouldn't be prudent for the City to "put all our eggs in one basket' by fully investing in the MBTBID program and instead feels it would be much smarter to fund the Economic Development Program managed by the Chamber as well as work on updating the General Plan. The current CEO of the Chamber has all the qualifications and education to undertake the Economic Development Program. Tourism. Economic Development and becoming competitive in the grant market will take Morro Bay beyond just being a "one trick pony'. Susan Macdonell, Manager at MV Transportation, advertised that the Trolley Season is here. They will operate Friday thru Monday during the summer months. Morro Bay Transit is also offering Free Bus Rider Training classes for seniors. The next one is being held on Wednesday. May 2.) at 1pm at the Senior Center. She also cautioned Morro Bay drivers to please be more careful when driving. Keith Taylor continued his fundraising efforts on behalf of the Morro Bay Reserve Firefighter program. The Friends of the Firefighters are selling bricks and stones that will be placed in front of the new residential quarters of the Fire Department. All monies raised go to the Stuart Reed Foundation to help with Paramedic and State Firefighter training. Michelle Arete spoke representing 200 residents and petition signers keeping an eye on 3390 Main Street; the Medina project. It seems that there are many discrepancies to include the issuance of a coastal development permit for a larger sized house than was authorized by the ® Planning Commission and the City Council. She requests staff closely monitor the project through the entire planning process. Sharon Moore spoke on Item C-1, Discussion on Local Sportfishing Businesses, hoping Council would approve the concept of the advertising kiosks that she and the Harbor Department are working towards. She feels they would be beneficial for tourists looking for things to do and is looking forward to continuing to work on this concept with the Harbor Department. Bob Swain read a letter from John Weiss who spoke on behalf of the Chamber taking control of the Economic Development Program as a strong economy is vital to our City's growth. Jonathan Robbins spoke out against the article written by the New Times about the condemnation of an individual proprietorship as well as a condemnation of Morro Bay. He suggested that those that were as bothered by the article on the Morro Bay Aquarium to expect a written apology and if not, have the boxes of New Times removed from our streets. Janice Peters spoke on item D-1, the Allocation of the Community Promotions Committee Monies. She stated that we are still in the midst of financial difficulties and we need to look at economic development as part of a solution. The current CEO of the Chamber of Commerce has expertise in economic development. She urged the Community Promotions Committee monies be used to organize an Economic Development Program as we can't depend solely on tourism. ® David Nelson let Council know that based on a news report he heard that evening. Dynegy would be closing in 2013 and wondered what the Council was going to do. He supports cleaning 3 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 22. 2012 ® the area up and tearing the plant down in short time in order to ensure a safer and healthier Estuary. Regarding redevelopment, he urged Council restart the New Futures Committee as that was a very cooperative group. Susan Stewart stressed that the Economic Development Program concept isn't about saving the Chamber of Commerce: it's about enhancing Morro Bay and ramping up our business community for the benefit of locals and tourists. A strong community has many legs to stand on. We need a concurrent focus on the town and need the sanction and support of the City Council to bring this concept to fruition. Christine Johnson provided an update on the Morro Bay 4" stating that there would be an Amp Surf Clinic; a Skateboard Race. a Bike Parade, Opening Ceremonies; and Live Music. There would also be a food court throughout the day. She thanked Stay for their fundraising raffle and thanked the Dutchman for sponsoring the bike parade. Regarding the Economic Development Plan, she stressed the word "and" — you can have both tourism and strong economic development. Betty Winholtz spoke on Item A-4, Approval of Amendment to the Lease Agreement to the Harbor Hut Lease Site. stating she has physical concerns that the $150.000 in improvements shouldn't equate to an extension of 10 years. She also has planning issue concerns as Municipal Code 1736.020. doesn't address the PD overlay zone and doesn't justiA, an addition to a non- conforming business north of Beach Street. She also feels that Measure D doesn't allow this. ® Regarding Item B-2, the Introduction and First Reading of Ordinance 578, in the "Whereas's" it states that it's important to have "...clear. consistent and easy..." if these sentences are added and she suggests that it, is not clear. and it is not consistent. She also objects to the Environmental and Negative Dec document as it relates to air quality and green -house gasses. And finally; regarding her post card mailing, it was personally mailed by her and personally paid for by her: she could not and did not talk to any candidate(s) about it. Dan Reddell, for the last 11 years, has been trying to build his home on the back slope of Cerrito Peak in Morro Bay. He has been opposed by Betty Winholtz and feels she is also trying to steal his land by suing him for a `quiet title action' which asks the judge to give her non-profit organization their land without any compensation back. She is also asking the judge to stop the City from granting any more Coastal Development Permits which could have the effect of citizens no longer being able to add any square footage to their homes or businesses. He feels it could result in a virtual shutdown of the Planning Department. He also went on to say that he is asking to build "on' the slope of Cerrito Peak, not "atop" Cerrito Peak and that the Salinian Indian Tribe have publicly supported him building his home at this site. He is fearful that Betty Winholtz is determined to stop things from happening in Morro Bay. He went on to say he supported a balanced approach to City government and encouraged residents to elect either Bill Yates or Carla Borchard for Mayor and Joan Solu and Jim Haves for Council. Garry Johnson spoke on the mailer sent out by Betty Winholtz as well as what he feels is the one-sidedness of the local newpapers' coverage of Morro Bay's candidates. He wanted to clear ® up some misconceptions that has been seen in print. He spoke on The Tribune's candidate 4 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 22. 2012 ® endorsements and the fallacies he feels were omitted. He also gave his endorsement for Ms. Borchard for Mayor and Ms. Solu for Council for the upcoming election. John Barta spoke out against The Tribune as he feels they used to be part of our community and now he feels they have no connection to our community. He asked that people don't listen to their voting recommendations as they are not in tune with the needs of our City. Mayor Yates closed the public comment period. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF MAY 8, 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 AWARD OF CONTRACT TO ASSOCIATED PACIFIC CONSTRUCTORS OF MORRO BAY FOR THE PROJECT NO. MB-2012-HI: STATE PARK MARNA MAINTENANCE DREDGING PROJECT: (HARBOR) ® RECOMMENDATION: Adopt Resolution. A-3 REQUEST TO APPROVE A RESPONSE TO THE GRAND JURY REGARDING CITY EMPLOYEE VACATION AND SICK LEAVE ACCUMULATION PAY: (ADMINISTRATION) RECOMMENDATION: Approve and send attached response letter to the Presiding Judge of SLO County Superior Court and the Grand Jury. A-4 REQUEST FOR APPROVAL OF AMENDMENT 42 TO THE LEASE AGREEMENT FOR LEASE SITE 122-123/122W-123W (HARBOR HUT. 1205 EMBARCADERO); (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 21-12 for Lease Site 122-123/122W-123W approving Amendment 4 2 to the lease to extend the term 10 years. A-5 REQUEST TO APPROVE A RESPONSE TO THE GRAND JURY REGARDING CITIZEN COMPLAINTS AND NTEIUNAL AFFAIRS INVESTIGATIONS; (CITY ATTORNEY) RECOMMENDATION: Approve and send attached response letter to the Presiding ® Judge of SLO County Superior Court and the Grand Jury. MINUTES - MORRO BAY CITY COUNCIL REGULAR 'VIEETNG — MAY 22. 2012 ® Councilmember Smukler pulled Items A-2, A-3 and A-5 and Mayor Yates pulled Item A-4 from the Consent Calendar. MOTION: Councilmember Johnson moved the City Council approve Item A -I of the Consent Calendar. The motion was seconded by Councilmember Smukler and carried unanimously 5-0. A-2 AWARD OF CONTRACT TO ASSOCIATED PACIFIC CONSTRUCTORS OF MORRO BAY FOR THE PROJECT NO. MB-2012-HI: STATE PARK MARINA MAINTENANCE DREDGNG PROJECT: (HARBOR) Councilmember Smukler pulled Item A-2 requesting the City Attorney respond to public comment. City Attorney Rob Schultz responded that the Coastal Commission has determined that it is in compliance and all agencies who have reviewed the project have also approved it. MOTION: Councilmember Smukler moved the City Council approve Item A-2. of the Consent Calendar. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. A-3 REQUEST TO APPROVE A RESPONSE TO THE GRAND JURY REGARDING CITY EMPLOYEE VACATION AND SICK LEAVE ACCUMULATION PAY: (ADMINISTRATION) Councilmember Smukler pulled Item A-3 stating that he wished they had been provided a red - lined version of the letter. He also wanted staff to ensure Council that they would be provided an annual report on employee vacation and sick leave accruals. MOTION: Councilmember Smukler moved the City Council approve Item A-3 of the Consent Calendar. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. A-5 REQUEST TO APPROVE A RESPONSE TO THE GRAND JURY REGARDING CITIZEN COMPLAINTS AND INTERNAL AFFAIRS INVESTIGATIONS; (CITY ATTORNEY) Councilmember Smukler pulled Item A-5 stating that he went on-line to try and find the form and couldn't find it. Interim Police Chief Mike Lewis stated that it is there. In addition, the department will also take complaints over the phone as well as in person. Councilmember Smukler hoped that the form be placed on the front page of the department's webpage. MOTION: Councilmember Smukler moved the City Council approve Item A-5 of the. Consent Calendar. The motion was seconded by Councilmember Leage and carried unanimously 5-0. 3 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 22. 2012 ® A-4 REQUEST FOR APPROVAL OF AMENDMENT 92 TO THE LEASE AGREEMENT FOR LEASE SITE 122-123/122W-123W (HARBOR HUT. 1205 EMBARCADERO); (CITY ATTORNEY) Mayor Yates pulled Item A-4 so that Councilmember Leage can step down due to a conflict of interest. MOTION: Councilmember Johnson moved the City Council approve Item A-4 of the Consent Calendar. The motion was seconded by Mayor Yates and carried 4-0-1 with Councilmember Leage abstaining. Councilmember Smukler followed up with a discussion point regarding the fact that the Harbor Hut is located in the Measure D area and because he doesn't feel that this project is endangering fishing interests, he is willing to move forward with it. He also asked the City Attorney if the 5150.000 investment in exchange for a 10 year extension is consistent with our current practices to which the City Attorney replied that it was. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 RESOLUTION NO. 25-12 DECLARING THE INTENTION TO CONTINUE THE PROGRAM AND ASSESSMENTS FOR THE 2012/13 FISCAL YEAR FOR THE MORRO BAY TOURISM BUSINESS IMPROVEMENT DISTRICT (MBTBID); ® (ADMNISTRATIVE SERVICES) City Manager, Andrea Lueker presented the staff report requesting Council hold a public hearing, record testimony for/against the continuation of the MBTBID and adopt/reject/amend Resolution 25-12 declaring the City's intention to continue the program and assessments for the 2012/13 fiscal year. Mayor Yates opened the hearing for public comment. Janice Peters applauded TBID's work but also stressed that there are still holes to be fixed/filled. She requested that TBID ask hoteliers not to increase rates on holiday and special event weekends: she requested that the quality and cleanliness of rooms be looked at (a self -review); and she requested that rooms with handicapped access be taken a look at to ensure that they were indeed accessible. John Meyers, a MBTBID Board Member stated that they have been working on self -assessments based on trip advisor studies and are working towards the points that Ms. Peters brought up. He also asked Council to consider a TOT Re -Investment Program that would assist hoteliers in upgrading their hotels. Susan Stewart urged the Council approve Resolution 25-12 declaring the intention to continue the program and assessments for the 2012/13 MBTBID as we are clearly seeing results. She also thinks it's important to get the 501(c)6 formed as well as hire a Tourism Director by the ® beginning of summer season. Is concerned that we have seen cost overruns and thinks that having a paid manager able to monitor expenses more closely should help. 7 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MAY 22. 20 12 ® Mayor Yates closed the hearing for public comment. Councilmember Smukler requested a timeline for getting the non-profit status. City Attorney Schultz stated that the Articles of Incorporation have been filed: the Bylaws are being worked on and will be given to the Council and the MBTBID in June for their review. The TBID will continue to function as an advisory board until then. Councilmember Smukler then spoke to the correspondence received from a hotelier in the north end which stated that some areas are not receiving the same benefits of the assessment as others in the City. City Attorney Schultz responded that those hoteliers need to become more a part of the process and felt it best to wait for the new Tourism Bureau to be put together before addressing the issue. It would take an amendment to the current Ordinance if a change were to be made. Councilmember Johnson concurred with Councilmember Smukler's comments. Councilmember Borchard spoke on the letter Council received from Mr. Gromley regarding the benefits he feels he isn't receiving. She would like to earmark the North end motels for conversation when we start adding vacation rentals into the MBTBID. MOTION: Councilmember Borchard moved for adoption of Resolution 25-12 declaring the intention to continue the program and assessments for the 2012/L3 fiscal year for the Morro Bay Tourism Business Improvement District. The motion was seconded by Councilmember Smukler and passed unanimously 5-0. ® B-2 INTRODUCTION AND 1ST READNG OF THE ORDINANCE 578 AMENDING MODIFYNG SECTION 17.44.020.1 PROVIDNG SPECIFIC REGULATIONS AS TO WHEN ADDITIONAL ONSITE PARKING WILL BE REQUIRED FOR EXISTNG COMMERCIAL BUILDNG(S) CONVERTING FROM ONE USE TO ANOTHER WITHOUT NEW CONSTRUCTION OR NEW ADDITIONS. FOR THE MAPPED SPECIFIC NORTH MAN STREET COMMERCIAL AREA: (PUBLIC SERVICES) Public Services Director Rob Livick presented the staff report. At the December 13, 2010 Council meeting, it was requested that staff provide a report on the status of parking in the North Main Street area to include options for modifications or amendments to City requirements. Based on the request, staff provided various options to Council for their consideration. The proposed amendment went to Planning Commission on April 18, 2012 who gave a favorable recommendation by Resolution 19-12. The change to the existing Ordinance would provide that "Except in the North Main Street Commercial parking Area (as defined) as codified at the end of this chapter where all changes in uses including more intense uses not including new construction or new additions will not be required to provide additional onsite parking." A Negative Declaration was prepared, it was properly noticed, and is now before Council for their consideration. Mayor Yates opened the hearing for public comment: seeing none, the public hearing was closed. 71 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETNG — MAY 22. 2012 Councilmember Borchard thanked staff, it was her goal to offer relief to some of the North Main Street businesses with parking issues. This also works into the ongoing efforts to review the Zoning Ordinance and Local Coastal and General Plan update which takes a long time. She hopes this will help in the interim. Councilmember Johnson is happy to see that we are making progress on this issue as it has been a very long and difficult process. She sees this as a help to those businesses in North Morro Bay. Councilmember Smukler is in support of this as it encourages renovations of existing structures. He would still like to see stronger language. He would like to see the word "commercial' added as follows: "...chapter where all changes in commercial uses including..." MOTION: Councilmember Borchard moved for approval of Ordinance No. 578 by number and title only with the inclusion of the word "commercial' in the last sentence. The motion was seconded by Councilmember Smukler and passed unanimously 5-0. C. UNFNISHED BUSINESS C-1 DISCUSSION ON LOCAL SPORTFISHNG BUSINESSES; (HARBOR) Harbor Director Eric Endersby presented the staff report stating that he was given direction to meet with the local sportfishing businesses to come to some general consensus regarding potential areas where a common "co-op" or other joint advertising and/or informational area Is could be established to promote the sportfishing industry. After discussions; the idea to install two kiosks, one near the South T-Pier and one near the giant chessboard were proposed. Staff is looking for Council support to carry this forward. Staff also requested that this concept be vetted through the Harbor Advisory Board before coming back to Council. Councilmember Smukler wondered if the Harbor Department would be willing to include the Chamber in their further discussions to which Harbor Director Endersby said yes. Councilmember Johnson felt it was important to send this to the Harbor Advisory Board in an effort to come up with a plan. Thinks it's a good idea to include the Chamber in the discussions. Councilmember Borchard also feels it's appropriate to send this concept to the Harbor Advisory Board as well as work with the Chamber. It would also be good to include other coastal dependent businesses that might benefit from the kiosk concept Mayor Yates stated that this is all great but feels there is some urgency and this all seems too slow of a process. He hopes it would it be possible to do something temporarily that would help the sportfishing industry now, while other discussions are ongoing. Councilmember Smukler questioned whether or not Sharon Moore (Virg's) was comfortable with adding additional water dependent activities to this concept to which she said, yes — down ® the road. He then asked if Council attempted to encompass all of this now, would that take too much time to which she responded, yes. E MNUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 22.2012 ® Councilmember Johnson requested a guesstimate as to the permit requirements for something like this. Public Services Director Livick said that we could possibly issue a temporary use permit with a defined timeline which could happen in less than a month. There was no action taken as Harbor Director Endersby has clear direction to meet with the stakeholders, take this item to the Harbor Advisory Board and then, based on their direction, look to requesting a temporary use permit for the site(s)- D. NEW BUSNESS D-1 PRESENTATIONS ON ALLOCATION OF 2012/13 AVAILABLE COMMUNITY PROMOTIONS COMMITTEE MONIES: (ADMINISTRATION) City Manager Andrea Lueker presented her staff report. asking Council to listen to the presentations from John Meyers, Morro Bay TBID and Craig Schmidt. the Morro Bay Chamber of Commerce whose organizations are both looking to receive funding from the unallocated Community Promotions Committee monies. The MBTBID is requesting the funds for ongoing advertising and promotional efforts and the Chamber of Commerce is hoping to develop an Economic Development Program. John Meyers presented a proposed budget and 5-year plan incorporating the available Community Promotions monies in an effort to show Council how they would be utilized. The Board feels that this funding will be critical to their ongoing advertising and promotional efforts into the future. and in fact is especially critical in starting the new Tourism Bureau. Any reduction in funding would reduce advertising, media and event support which would have a corresponding negative impact to business in Morro Bay. Craig Schmidt. CEO of the Morro Bay Chamber of Commerce presented their proposal for a comprehensive Economic Development Program. The proposal focused on five key areas: Business Retention and Expansion; Business Recruitment, Entrepreneurial Development, Community Development, and Consensus Building. Establishing a healthy business climate not only assists businesses currently in the community but sets an appealing stage to recruit new businesses. This program is based on the utilization of the unallocated Community Promotions Committee monies. Councilmember Smukler feels it's important to make the statement that we support the Economic Development Program with 100% of the available funds and is hopeful that other Councilmembers will do the same. He feels we need to diversify our support and is excited about this opportunity. Councilmember Leage stated that both sides are looking for one thing — tourists: if we build up the economy. tourists will come and if we advertise. tourists will come. He believes the first thing Nye need to do is promote our town and is against weakening our promotion efforts at this time. While he wants to see the Chamber succeed, right now we need to make sure the ® promotion monies are used properly 10 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETNG — MAY 22, 2012 Mawr Yates agrees with Councilmember Leage conceptually but agrees with Councilmember Smukler in practicality. It has to do with bringing in jobs. He is sorry that both groups haven't gotten together and/or can't get together to come to a mutual compromise. Councilmember Johnson agrees with Councilmember Leage. She is also in full support of Economic Development. She doesn't feel Council can give away money until she sees the budget and we hold the budget hearings. She also wishes that the two groups could start talking more and begin working better together. Councilmember Borchard has a problem with the inclusion of the Community Development request of 536,000 found in the Economic Development Plan as she thinks those should be City functions. She is in support of financially supporting staffing efforts and the other requests but doesn't see justification for the Community Development monies. She did state that if the Community Development portion of the Economic Development Plan monies became available, that could be allocated to the MBTBID and there will also be additional monies that the TOT is bringing in that can be discussed at the upcoming Budget Hearing. Councilmember Johnson agreed that the Community Development section monies should be removed and they should just concentrate on business development. She liked the 5-year plan that the TBID proposed showing that the amount of money requested from the City decreasing each year. She thinks the Chamber should go back and look for other ways to bring in money. She would like to see the $36,000 in requested for Community Development monies allocated to the MBTBID. She would also like to see both groups look at their budgets and come back with trimmed down requests as well as generate ideas to bring in additional monies. Councilmember Smukler submits that the Chamber is the right forum for the Community Development project funds as we currently have no one working towards these efforts and feels the Chamber would be the perfect vehicle for it. And as far as General Fund monies go, economic development is a much better use of those funds than promotions and marketing. Councilmember Borchard stands by her statements and hopes that there will be an opportunity to be able to monitor the progress of the Economic Development Plan via goals and benchmarks. There was no action taken on this item; a request was made to both groups to come back with revised and trimmed down proposals to the Budget Hearing at 4pm on June 12a'. D-2 UPDATE ON PAVING PROJECT NO. MB2012-52, 2012 STREET REHABILITATION PROGRAM AND DISCUSSION OF PAVING SCHEDULE; (PUBLIC SERVICES) Public Services Director Rob Livick presented the status report on the street rehabilitation project that was to include work on Main Street from Highway 1 to Quintana Place and the Embarcadero; from Beach Street to Coleman Drive/Power Plant Driveway with all work to be completed by Memorial Day. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 22, 2012 40 Mayor Yates is dismayed with the project manager at the lack of communication. He doesn't understand how they aren't in breach of contract if it states all work on Main Street and Quintana will be done by May 25 th . Councilmember Johnson is frustrated as Council is being accused of not following through with promises and isn't sure how much faith she can place in this contractor. But also wants to see the streets paved and this is the City's only option. She would like to see us move ahead with Main Street and the residential areas so we can hopefully get this thing going. Mayor Yates feels we should pull the contract and put it back out to bid, to begin after Labor Day. He feels that this company is totally untrustworthy as the contract specifically states that all work on Main Street and the Embarcadero must be completed by May 25`". He is also angry that any road construction might be done between Memorial Day and Labor Day which goes against the Resolution he had passed back in 2003. Councilmember Borchard stated that while cancelling the contract would feel great, it wouldn't get us any closer to getting the streets paved. She would like to see Main Street section done by June 0' and then take the residential streets and the Embarcadero after summer. Councilmember Leage is upset at himself for not keeping better track of what was going on. He also agrees with Mayor Yates that no road construction on Main Street should take place from Memorial Day to Labor Day. He feels thatif they aren't able to begin construction by June 4`" then we should pull the plug. Councilmember Smukler wants Council to ensure that we cover ourselves as well as put ourselves in a place to receive the most in liquidated damages. Let's work on getting it done but make sure we aren't missing an opportunity to take advantage of this situation. Don't want to get caught having any of this work done during the highest tourist season time. City Attorney Rob Schultz stated that it is his position that the contractor will be in default if the work on Main Street and the Embarcadero is not completed by May 231' and that the liquidated damages provision would begin to accrue from that point. Question is, do you want to complete the work now or do you want to wait until after Labor Day? And in what sequence would you like it to get done? Councilmember Leage suggested that the City has a drop dead start date as well. For the purposes of discussion, Mayor Yates threw out June 20 as the last possible date for any commercial street work. Councilmember Smukler wants to strengthen that, based on upcoming special events. There is the Ovster Festival on June 16`s which will bring in many tourists. June I ) h sounds like a better date to stand by as June 14`s is Morro Bay High School's Graduation. MOTION: Mayor Yates moved to direct staff to give the contractor until June 13`h to finish the work on Main Street and the Embarcadero and if not able to, then they will be told not to do work in those 2 commercial areas until given further direction by Council. The motion was ® seconded by Councilmember Johnson and passed unanimously 5-0. 12 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 22.2012 ® Staff will bring back a status report to the next City Council meeting. E. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Johnson requested an agenda item requiring major projects presented to Council have a time -line for completion when they are first presented; all Councilmembers concurred. Councilmember Johnson requested an agenda item to discuss the need for an official volunteer position as a Volunteer Community Services Coordinator; Mavor Yates and Councilmember Borchard concurred. Councilmember Borchard requested an agenda item to look at consideration of forming a separate Cloister Advisory Board so they could manage their own maintenance work; Mayor Yates and Councilmember Johnson concurred. Councilmember Smukler requested a discussion on the City taking the lead role in filing the Morro Bay Radio application to the FCC; Mayor Yates and Councilmember Borchard concurred. Mayor Yates requested and item strengthening the City's current Resolution regarding roadwork maintenance between Memorial Day and Labor Day: Councilmember Johnson concurred and Mayor Yates stated he would bring the item forward. 0 ADJOURNMENT The meeting adjourned at 10:42 p.m. Recorded by: UNt'— amie Boucher City Clerk 11 13 ® 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 connnitted to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REVISED REGULAR DIEETING — MAY 8, 2012 CLOSED SESSION CITY HALL CONFERENCE ROOD? - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54957.6: CONFERENCE R'ITH LABOR NEGOTIATOR. Conference with City Manager, the City's Designated ® Representative, for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. CS-2 GOVERNMENT CODE SECTION 54957. PERSONNEL ISSUES Discussions regarding Personnel Issues including two (2) public employees regarding evaluation, specifically the City Manager and the City Attorney. CS-3 GOVERNMENT CODE SECTION 54956.8: 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 parcel. • Properh•: Rose's Landing —Lease Site 82-85/82W-85R' NTeeotiatine Parties: Doue Redican and City of Morro Bav Negotiations: Lease Terms and Conditions IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. PUBLIC SESSION — MAY 8, 2012 VETERANS NIEA7ORIAL HALL - 6:00 P.M. ® 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE 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 • The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official, commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause, ® comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk, (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF APRIL 24, 2012; (ADMINISTRATION) RECONENIENDATION: Approve as submitted. ® A-2 RESOLUTION APPROVING MATCHING FUNDS FOR THE 2012 BTA GRANT APPLICATION; (PUBLIC SERVICES) RECOMMENI)ATION: Adopt Resolution. isCITY REQUEST TO APPROVE A RESPONSE TO THE GRAND JURY REGARDING CITY EMPLOYEE VACATION AND SICK LEAVE .ACCUMULATION PAY: (ADMINISTRATION) RECOAIAIENDATION: Approve and send attached response letter to the Presiding Judge of SLO County Superior Court and the Grand Jury. A-4 ANNUAL REPORTING ON THE MORRO BAY TOURISM BUSINESS I.MPROVEMENT DISTRICT AND SCHEDULING OF A PUBLIC HEARING; (ADMINISTRATIVE SERVICES) RECOMMENDATION: Set the date for the public hearing to be held on Alay 22, 2012 in order to continue the AIBTBID activities and assessments. A-5 AUTHORIZATION TO AMEND THE GRANT AGREEMENT FROM THE NATURE CONSERVANCY FOR SUPPORT OF FORMATION OF A COMMUNITY FISHING ASSOCIATION TO ADD S50.000 TO THE GRANT: (ADMINISTRAT I ON/HARBOR) RECOMAIENMATION: Authorize an amendment to add S50,000 to the existing grant from The Nature Conservancy (TNC). ® A-6 AMENDMENT NO. 2 TO THE LEASE AGREEMENT FOR LEASE SITE 78- 81/78W-81 W. LOCATED AT 701 EMBARCADERO, BETWEEN THE CITY OF MORRO BAY AND VAN BEURDEN INVESTMENTS; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution No. 20-12 approving Amendment No. 2 to the Lease Agreement for Lease site 78-81/781V-811V between the City of Morro Bay and Van Beurden Investments. A-7 REQUEST FOR APPROVAL OF AMENDMENT #2 . TO THE LEASE AGREEMENT FOR LEASE SITE 122-123/122W-123W (HARBOR HUT. 1205 EMBARCADERO); (CITY ATTORNEY) RECOAIAIENDATION: Adopt Resolution 21-12 for Lease Site 122-123/122R'-123N' approving Amendment # 2 to the lease to extend the term 10 years. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 RESOLUTION APPROVING THE ENGINEERS REPORT AND DECLARING THE INTENT TO LEVY THE ANNUAL ASSESSMENT FOR THE CLOISTERS LANDSCAPING AND LIGHTING MAINTENANCE ASSESSMENT DISTRICT: (RECREATION & PARKS) is RECOMMENDATION: Adopt Resolution No. 22-12 declaring the intent to levy the annual assessment for the maintenance of the Cloisters Park and Open Space and approving the Engineers Report. 3 B-2 RESOLUTION APPROVING THE ENGINEERS REPORT AND DECLARING THE INTENT TO LEVY THE ANNUAL ASSESSMENT FOR THE NORTH ® POINT NATURAL AREA LANDSCAPING AND LIGHTING NLAINTEN.A\'CE ASSESSMENT DISTRICT; (RECREATION R PARKS) R-ECO-LN1ENDATION: Adopt Resolution No. 23-12 declaring the intent to levy the annual assessment for the maintenance of the North Point Natural Area and approving the Engineers Report. C. UNFINISHED BUSINESS - NONE D. NEW BUSINESS D-I DISCUSSION ON LOCAL SPORTFISHING BUSINESSES; (ADMINISTRATION) RECOMMENDATION: This is a discussion item pending Council direction. . D-2 CONFIRMATION OF GOALS FROM THE 2012 GOAL -SETTING WORKSHOP: (ADMIN'ISTRATION) RECOMMENDATION: Adopt the attached Goal Setting Workshop Outcomes and Success Factors for 2012. D-3 PUBLIC SERVICES DEPARTMENT - COLLECTIONSAWWTP DIVISION ® REORGANIZATION AND POSITION UPGRADE; (PUBLIC SERVICES) RECOMMENDATION: Consider and approve the Public Services Department wastewater operation reorganization and authorize the associated reclassification of the Wastewater Division Manager. E. DECLARATION OF FUTURE AGENDA ITEMS F. 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 772-6205 FOR FURTHER INFORMATION. MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND MILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. IN CO1iPLIANCE 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. 91 AGENDA NO: A-1 MINUTES - MORRO BAY CITY COUNCIL MEETING DATE: 05/24/2012 ® REGULAR MEETING — MAY 8, 2012 VETERAN'S MEMORIAL HALL — 6:OOP.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker Robert Schultz Jamie Boucher Rob Livick Mike Pond Eric Endersby Joe Woods City Manager City Attorney City Clerk Public Services Director Fire Chief Harbor Operations Manager Recreation & Parks Director ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE ® PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS, ANTIOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — City Attorney. Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. PUBLIC COMMENT Haylie Bright, Marketing Director for Perry's Parcel & Gift located at 785 Harbor; presented the Morro Bay Business report. Perry's is a locally owned and operated business that used to be the Morro Bay Mail Center. They are your "One -Stop -Shop" location where you can find a full service business solution center - faxing, copying, packing and shipping, notary, secure shredding, secure mailboxes and much more. They are also Morro Bay's best kept secret for gifts for all ages. Please visit their website at Nvww.perrysparcel.com to learn more. Susan Brown, Manager at MV Transportation, advertised the upcoming trolley season. They are also looking for one more summer trolley driver. Morro Bay Transit is also offering Free Bus Rider Training classes for seniors. The next one is being held on Wednesday, May 23'a at Ipro at the Senior Center. Hank Roth thanked all those responsible for helping sponsor the wonderfully attended. Morro Bay Kite Festival. He also stated that the Writers Conference is in town. 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 8, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® Garry Johnson reminded everybody that the absentee ballots went out on Monday, May 7ih. He thanked those involved with the car show, especially those that helped the Bay Cruisers feed the early arriving participants. Betty Winholtz addressed 3 issues in the staff reports — safety, fiscal responsibility and planning management. Regarding Item A2. Resolution Approving Matching Funds for the 2012 BTA Grant Application, she spoke on bike planning stating that she feels the report is incomplete as there is a map that shows the suggested crossing in front of the high school but doesn't' have a map of the beach tract which is also being asked to be considered and approved. She is opposed to where the bike lane is being proposed in front of the high school due to safety concerns. She also spoke on Item A3, Request to Approve a Response to the Grand Jury Regarding City Employee Vacation and Sick Leave Accumulation Pay, stating that we have unfunded liability of sick leave hours at a half million dollars and there is nothing in the report that states that this will be corrected, She also spoke on Item A4, Annual Reporting on the Morro Bay Tourism Business Improvement District and Scheduling of a Public Hearing, which shows that the TBID overspent their budget and she questioned how that can happen without it coming back to the Council. And finally spoke on Item D2, Confirmation of Goals from the 2012 Goal -Setting Workshop, where it states we will be starting our streets rehabilitation project right away. She wants to know how we will be dealing with the Resolution passed that states that there will be no construction after Memorial Weekend. ® Cathy Novak spoke on Item D1, Discussion on Local Sportfishing Businesses. She feels it's important to pool our resources and offer assistance so that these businesses can make it into the future. She proposed some short and long term goals that she shared. Her short term goals were as follows: 1) reduction in mooring and/or dockage fees: 2) allow for quarterly or semi-annual payment of fees; 3) additional signage on the waterfront and allow for the potential of a small temporary building that can be used as a satellite location. For the long term she proposed Council discuss the possibility of locating a sport fishing and tackle shop on an existing lease site just south of the South T-Pier that could be "co-op'ed" and be comprised of the local owner operator boats joining forces together under one roof. This would relocate sport fishing operations to one area: provide an opportunity for multiple businesses to consolidate overhead costs; and, provide a public -private partnership with the fishing industry. Jeremiah O'Brien thanked everybody involved for their support of the fishermen — "we couldn't have done it without you" and "you have made all the fisherman in town happy". Joan Solu commended Council on taking a look at the PERS 2-Tiered benefit structure with the employee groups. She then spoke on Item A3 stating that Council should address the employee's ability to accumulate unlimited sick leave hours. She feels sick leave hours should be capped at a certain number of days which would stem the flow of cash going out. She encouraged Council work with staff to come up with ideas and solutions. She also asked for Council's support on Item A4, approving the planned Public Hearing date for the May 22nd Council meeting. She also stated that the TBID was not over budget and that the TBID"s efforts ® have brought in 7% more revenue in TOT Tax and asks for Council's continuous support. 2 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 8. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® Brian Stacy thanks the Mayor and Council and Rob Schultz for the letter written on the Seismic Study. He also spoke on Item A5 and asked that if we add to the grant, that the association formed would give local fisherman the opportunity to participate and have a vote. John Barta also let the public know that the absentee ballots are out — the election has begun. He states that 53% of Morro Bay voters vote absentee. He feels the most important issue is the WVVTP and that there are some candidates who have avoided taking a stand on that issue. He encouraged voters not to cast their ballots for somebody who won't stand up and take a stand. Susan Stewart is pleased to see we have included developing an Economic Development Program on the City's Goal Setting workshop. She thinks it would be a great use of Community Promotions Committee dollars. While tourism is an important part of the community, we were founded with ranching, farming, fishing and it was actually incorporated because of the power plant. We need to hopefully develop a program that would bring in light industry that could help facilitate head of household wage earner jobs. Mayor Yates closed the public comment period. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are ® approved without discussion. A-] APPROVAL OF CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF APRIL 24, 2012; (ADMINISTRATION) El RECOMMENDATION: Approve as submitted. A-2 RESOLUTION APPROVING MATCHING FUNDS FOR THE 2012 BTA GRANT APPLICATION; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution. A-3 REQUEST TO APPROVE A RESPONSE TO THE GRAND JURY REGARDING CITY EMPLOYEE VACATION AND SICK LEAVE ACCUMULATIONi PAY: (ADMINISTRATION) RECOMMENDATION: Approve and send attached response letter to the Presiding Judge of SLO County Superior Court and the Grand Jury. A-4 ANNUAL REPORTING ON THE MORRO BAY TOURISM BUSINESS IMPROVEMENT DISTRICT AND SCHEDULING OF A PUBLIC HEARING; (ADMINISTRATIVE SERVICES) 3 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 8, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® RECOMMENDATION: Set the date for the public hearing to be held on May 22, 2012 in order to continue the MBTBID activities and assessments. A-5 AUTHORIZATION TO AMEND THE GRANT AGREEMENT FROM THE NATURE CONSERVANCY FOR SUPPORT OF FORMATION OF A COMMUNITY FISHING ASSOCIATION TO ADD S50,000 TO THE GRANT; (ADMINISTRATION/HARBOR) RECOMMENDATION: Authorize an amendment to add $50,000 to the existing grant from The Nature Conservancy (TNC), A-6 AMENDMENT NO. 2 TO THE LEASE AGREEMENT FOR LEASE SITE 78-81/78W- 81W, LOCATED AT 701 EMBARCADERO, BETWEEN THE CITY OF MORRO BAY AND VAN BEURDEN INVESTMENTS; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution No. 20-12 approving Amendment No. 2 to the Lease Agreement for Lease site 78-81/781W-81W between the City of Morro Bay and Van Bearden Investments. A-7 REQUEST FOR APPROVAL OF AMENDMENT #2 TO THE LEASE AGREEMENT FOR LEASE SITE 122-123/122W-123W (HARBOR HUT, 1205 EMBARCADERO); ® (CITY ATTORNEY) Item A-7 was pulled from the agenda prior to the meeting and will be heard at a future meeting. Councilmember Smukler pulled Items A-2, A-4 and A-5 and Councilmember Borchard pulled Item A-3 from the Consent Calendar. MOTION: Councilmember Johnson moved the City Council approve Items A-1 and A-6 of the Consent Calendar. The motion was seconded by Councilmember Smukler and carved unanimously 5-0. Councilmember Smukler pulled Item A-2 questioning the location and safety of the proposed bike path and crossing. Public Services Director Rob Livick answered that this location will offer the best direct connection to the 2 bike paths. MOTION: Councilmember Smukler moved the City Council approve Items A-2 of the Consent Calendar. The motion was seconded by Councilmember Johnson and carried unanimously 5-0. Councilmember Borchard pulled Item A-3 as she was concerned about the City's response to the Grand Jury, especially in items 9 and 10. She wants to feel comfortable that we are seeing the issues and moving towards resolving the situation. She knows that we need to address this through the negotiation process. 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 8, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® Councilmember Johnson said that during her attendance at the last month's Mayor's meeting, this report was a major item of discussion that needs to be addressed. The part that bothers her the most was that staff said that there is no fiscal impact. Councilmember Smukler feels we should be taking a look at the unfunded liability and that staffs response letter was weak. He feels it is important to provide the citizens with an annual yearly reporting of these accumulations as well as strive to address a cap. No motion was made on this item and instead, Mayor Yates instructed staff to return to the May 22, 2012 meeting with a stronger letter as well as come back with a public report, or a time frame that a public report will be made available, that addresses #10 of the Grand Jury request. All council concurred with this request. Councilmember Smukler pulled Item A-4 questioning the over -expenditure of funds in the TBID Budget without Council's involvement. His concern is that it happened and it could happen again. City Manager Andrea Lueker stated that these funds were specifically an accounting difference between an invoice with our prior marketing company and the City, which involved more with when items were received as opposed to being over budget. City Attorney Rob Schultz responded that this isn't abnormal as the City loans money to the TBID throughout the entire ® fiscal year because they haven't received funds from their TOT prior to that month. He also stated that this shouldn't be a problem starting in July, 2012 as with the 501 (c) 6 we won't be involved to the degree we currently are with their finances. El MOTION: Councilmember Smukler moved the City Council approve Item A-4 of the Consent Calendar. The motion was seconded by Mayor Yates and carried unanimously 5-0. Councilmember Smukler pulled Item A-5 asking how to ensure that participation/involvement of the local fisherman would be equitable. Harbor Director Eric Endersby stated that is has always been the intent to involve all interested parties as this process moves forward. MOTION: Councilmember Smukler moved the City Council approve Item A-5 of the Consent Calendar. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 RESOLUTION APPROVING THE ENGINEERS REPORT AND DECLARING THE INTENT TO. LEVY THE ANNUAL ASSESSMENT FOR THE CLOISTERS LANDSCAPING AND LIGHTING MAINTENANCE ASSESSMENT DISTRICT; (RECREATION & PARKS) E MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 8, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® Recreation R Parks Director Joe Woods presented his staff report stating that on April 10, 2012 the City Council adopted Resolution 16-12 which initiated the proceedings to levy the annual assessment to fund the maintenance of the Cloisters Park and Open Space. Staff was then directed to have an Engineer's Report prepared, detailing the estimated annual assessment for the parcel owners for fiscal year 2012/13. Staff is recommending that Council adopt Resolution 22- 12 declaring the intent to levy the annual assessment for the maintenance of the Cloisters Park and Open Space as well as approve the Engineer's Report. Councilmember Smukler is anxious to see monies being able to be put into a deferred maintenance and capital improvement account. Mr. Woods feels that outsourcing the maintenance should redistribute the monies spent which hopefully will realize savings which can then be put into a deferred maintenance account. Councilmember Smukler says that the neighborhood wants to be able to see a financial accounting of the monies spent each year. Mr. Woods will be implementing informal community meetings once or twice a year. Councilmember Borchard wondered if a list could be put together prioritizing the capital improvements projects needed to be done with the monies that were able to be accumulated. She would also like to see the feedback from the informal meetings that will be held to assess how the maintenance plan is working and how the contractor is performing. ® Councilmember Johnson wondered when the RFP would be going out — she requested that it go out by May 22, 2012. Mr. Woods stated it was 85% complete. She also wondered when these community meetings would take place. It was decided that there would be a Community Meeting held in Mid -September. Mayor Yates opened the hearing for public comment. Dawn Beattie, resident of the Cloisters, thanked Mr. Woods, Council and staff for their work to date. She feels the issue is fairness; it is not fair for the Cloisters' residents to continue to pay for something everybody gets to use. She remembers hearing that once the area was built out, the developers assumed that the maintenance of the park would have reverted back to the City. She would like to see the Assessment overturned. If not and an RFP goes out, she realizes that the price may not be different but at least the job will get done. She stated that she would like to be involved in the RFP process. Mayor Yates closed the hearing for public comment. Councilmember Sinukler is willing to uphold the assessment. He likes the concept of a neighborhood meeting and wants to see a budget report made available to the Cloister residents. He is happy to see that we are looking towards deferred maintenance. He also feels that the ® Cloisters community should have input on the RFP process prior to it going out. m MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 8, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® Councilmember Johnson feels that we should be gathering information from the Cloisters community as the RFP is put together and thinks it's only fair to meet with them prior to putting it out to see what their expectations are. Councilmember Borchard agrees with a lot of what both councilmembers said. She is hopeful that this is going to be a turning point for us and is confident there will be a different measure of accountability from Council. She is looking forward to making this a better process for everyone. She suggested doing an email notification to the Cloister's residents which could afford them the opportunity for input prior to the RFP goes out. Mayor Yates stated that he will be voting against this Assessment as he always has (with one exception). MOTION: Councilmember Borchard moved for adoption of Resolution 22-12 declaring the intent to levy the annual assessment for the maintenance of the Cloisters Park and Open Space and approving the Engineer's Report. The motion was seconded by Councilmember Smukler and passed 3-2 with Mayor Yates and Councilmember Leage voting no. B-2 RESOLUTION APPROVING THE ENGINEERS REPORT AND DECLARING THE INTENT TO LEVY THE ANNUAL ASSESSMENT FOR THE NORTH POINT NATURAL AREA LANDSCAPING AND LIGHTING MAINTENANCE ® ASSESSMENT DISTRICT; (RECREATION & PARKS) Recreation & Parks Director Joe Woods presented his staff report stating that on April 10, 2012, the City Council adopted Resolution 17-12 which initiated the proceeding to levy the annual assessment to fund the maintenance of the North Point Natural Area. Staff was also directed to have an Engineer's Report prepared, detailing the estimated annual assessment for the parcel owners for fiscal year 2012/13. Based on the Engineer's Report, the fiscal impact is estimated at S5,645. It is staffs recommendation to adopt Resolution 23-12 declaring the intent to levy the annual assessment for the maintenance of the North Point Area and approve the Engineer's Report. Councilmember Borchard wanted to be assured that this maintenance will be included in the RFP with the Cloisters property. Councilmember Smukler wanted to be assured that we will be attempting to begin a deferred maintenance account for North Point Area as well. Mayor Yates opened the hearing for public comment; seeing none, the public hearing was closed. MOTION: Councilmember Borchard moved for adoption of Resolution 23-12 declaring the intent to levy the annual assessment for the maintenance of the North Point Natural Area and ® approving the Engineer's Report. The motion was seconded by Councilmember Johnson and passed 4-1 with Mayor Yates voting no. 7 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 8, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® C. UNFINISHEDBUSNESS —None 11] D. NEW BUSINESS D-I DISCUSSION ON LOCAL SPORTFISHING BUSINESSES; (ADMINISTRATION) City Manager Andrea Locker presented her staff report stating that she left the report vague so that the Council could brainstorm. Councilmember Leage stated that the City has a problem on its hands. Sportfishing has been a business that has been in town since the 1940's and has been a big tourist draw for us. We are now down to 2 sportfishing boats. He feels that this is still a business that can be profitable. We are currently turning people away as there are not enough facilities to take people out. He feels we need to help these people stay in business. He feels that the Co-op idea is a terrific idea for the future but that we need to do something now. Mayor Yates agrees and feels that the best idea, in the short term, is to put a temporary shack down on a parking lot at the Embarcadero as it would give visibility. He also expressed interest in making something happen fast. Councilmember Smukler is hearing that a Co-op kind of operation would be equal opportunity as to who could use it. It would be fairly managed and hard for somebody to launch a campaign to try and scuttle that as it benefits all. It's also an opportunity for loading and unloading as well as offers some office space. He supported getting the current sportfishing businesses together along with the Harbor Department to begin working on getting this concept started. Councilmember Johnson wondered how much we would lose in revenue if we were to reduce dock fees for sportfishing and commercial fishing vessels. She also asked .if the Harbor Department }vas willing to meet with the sportfishing people in an effort to get this project started. Harbor Director Eric Endersby stated that they definitely were available. Councilmember Borchard is 100% supportive of the Co-op space but is worried that we are getting ahead of ourselves. She feels we are a year away from being able to have a Co-op. Mayor Yates requested that Virg's, the Rita G and Mr. Endersby come back with a proposal to the May 22, 2012 Council meeting. All Council members concurred with this request. There was no motion made on this item. D-2 CONFIRMATION OF GOALS FROM THE 2012 GOAL -SETTING WORKSHOP; (ADMINISTRATION) City Manager Andrea Locker presented the Goal Setting Workshop Outcomes and Success Factors for 2012 for Council's approval as presented by the goal setting workshop facilitator. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MAY 8. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® Councilmember Borchard is ready to start implementing and working towards implementing the goals — both short and long term. Councilmember Johnson is also ready-, in fact we have already started with some of them. Mayor Yates is very pleased as well as this report articulates exactly where we were at the goal setting meeting. Councilmember Smukler requested that Council and staff look at Goal #2 — Sustainability; third bullet — Review of Disaster Preparedness Plan. He would like to seethe following change made on the Success Factor: "Last review occurred in January, 2008 with plan adoption by Resolution No. 05-08. Next review schedule Winter 2013, ifreguested." He would like to see "if requested" stricken from the success factor language. He also wanted to ensure that staff is confident with our movement towards an Economic Development Plan. He is glad to see that we continue to stress fixing our streets and potholes. MOTION: Councilmember Johnson moved for adoption of the Goal Setting Workshop Outcomes and Success Factors for 2012 with the one change on page 2, Objective 1, 3 a Bullet — strike the words "if requested". The motion was seconded by Councilmember Leage and carried unanimously 5-0. D-3 PUBLIC SERVICES DEPARTMENT - COLLECTIONSAVWTP DIVISION REORGANIZATION AND POSITION UPGRADE; (PUBLIC SERVICES) Public Services Director Rob Livick presented the staff report requesting a reorganization of the CollectionsMVTP Division with the current WWTP Division Manager taking over responsibility of the Collections Division. This action would also require a reclassification of the WWTP Manager into a higher range. This reorganization and associated personnel action allows the department to respond to State mandated and local programs in Wastewater Collections as well as eases the heavy workload in capital project management. Councilmember Smukler asked if there would be any other implications to this move such as a future reclassification of other positions. And while this current request may cost 56,300, will there be other associated costs involved with the upgrade such as merit increases. Mr. Livick stated that they are attempting to create a more efficient department. MOTION: Mayor Yates -moved to approve the Public Services Department wastewater operation reorganization and authorize the associated reclassification of the Wastewater Division Manager. The motion was seconded by Councilmember Leage and failed 2-3 with Councilmembers Borchard, Johnson and Smukler voting no. Councilmember Borchard can't support this .due to the unknown costs of positions to be ® realigned; she wants to know the total costs of everything. .61 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MAY 8. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® Councilmember Smukler and Councilmember Johnson concur — they can't support this without all associated costs. MOTION: Councilmember Borchard moved staff to come back with more information regarding the reclassification and potential changes to pay structures. The motion was seconded by Mayor Yates and carried unanimously 5-0. E. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Johnson requested an informational report, to be placed on the consent calendar, from the Police Department on skateboarding and its rules. Mayor Yates and Councilmember Borchard concurred. ADJOURNMENT The meeting adjourned at 9:08 p.m. Recorded by: J ie Boucher City Clerk E 10 ® City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quali4. 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 24, 2012 CLOSED SESSION _ CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., i1IORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54957.6: CONFERENCE WITH LABOR NEGOTIATOR. Conference with City Manager; the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the ® Designated Representative. IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETLNGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. r� L PUBLIC SESSION — APRIL 24, 2012 VETERANS MEMORIAL BALL - 6:00 P.M. ® 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCILMEMBERS ANNOUNCEMENTS R 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. • The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official; commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause; ® comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act; if you need special assistance to participate in this meeting; please contact the City Clerk; (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF APRIL 10, 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. ® A-2 A PROCLAMATION DECLARING MAY 2012 AS BIKE MONTH; AND MAY 14 TO MAY 18. 2012 AS BIKE TO WORK AND SCHOOL WEEK; (ADMINISTRATION) RECOMMENDATION: Adopt Proclamation. ® A-3 AWARD OF CONTRACT TO INTERNATIONAL SURFACING SYSTEMS OF WEST SACRAMENTO, CA FOR THE PROJECT NO. MB-2012-S2: 2012 STREET REHABILITATION PROGRAM"; (PUBLIC SERVICES) RECOIIDIENDATION: Award Project Contract to International Surfacing Systems. A-4 APPROVAL OF COMMENT LETTER TO THE STATE LANDS COMMISSION REGARDING THE DRAFT ENVIRONMENTAL IMPACT REPORT FOR THE CENTRAL COASTAL CALIFORNIA SEISMIC IMAGING PROJECT; (CITY ATTORNEY) RECOi1L1IENDATION: Review and authorize staff to forward letter on. A-5 QUARTERLY FINANCIAL STATUS REPORT FOR THE FISCAL YEAR ENDED MARCH 31, 2012; (ADMINISTRATIVE SERVICES) RECOINUMENDATION: Accept the report as presented. A-6 UPDATE ON CURRENT LEGISLATIVE BILLS PENDING IN SACRAMEN'TO AND REPORT ON CALIFORNIA LEGISLATIVE ACTION DAYS: (CITY ® ATTORNEY) RECOAINIENDATION: Review the report and if there are any pending Legislative Bills that are of interest or concern, discuss them with the City Attorney. B. PUBLIC HEARINGS. REPORTS & APPEARANCES - NONE C. UNFINISHED BUSINESS C-1 ADOPTION OF ORDINANCE NO. 577 AMENDING AND RENAMING MORRO BAY MUNICIPAL CODE CHAPTER 9.24 TO SECONDHAND SMOKING REGULATIONS RECOi\IMENDATION D. NEW BUSINESS Adopt Ordinance 577. D-1 RECONSIDERATION OF MOTION #5 MADE AT FEBRUARY 28, 2012 CITY COUNCIL MEETING REQUESTING AN RFP FOR THE VISITOR'S CENTER; (ADMINISTRATION) RECOMMENDATION: Review the February 28, 2012 motion regarding the ® operation of the Visitor's Center and determine if Council wants to reconsider it. D-2 REPORT REGARDING THE UNFRIENDLINESS OF SIDEWALKS IN MORRO BAY'S COMMERCIAL AREAS; (PUBLIC SERVICES) 3 RECOMMENDATION: Review and discuss the unfriendliness of sidewalks in Morro Bay's Commercial areas and provide direction to staff. D-3 STATUS REPORT ON MORRO ROCK PARKING LOT SOLID WASTE SERVICE: (PUBLIC SERVICES) RECOMMENDATION: Staff recommends the Citv Council receive the information and provide direction as necessan,. D-4 PROPOSAL FOR THE RESTRIPING OF MARKET AVENUE BETWEEN MORRO BAY BLVD AND PACIFIC FOR DIAGONAL PARKING (APPLICANT: GEORGE SALWASSER, 781 MARKET AVENUE); (PUBLIC SERVICES) RECOAIENIENDATION: ReAew and discuss the proposal for restriping a portion of Market Avenue and provide direction to staff. D-5 DISCUSSION ON THE CONCEPT OF A COMMUNITY BULLETIN BOARD: (ADMIN'ISTRATION) RECONIAIENDATION: Provide direction to staff on the concept of a Community Bulletin Board. D-6 DISCUSSION ON THE HOMELESS SITUATION IN MORRO BAY: ® (ADMINISTRATION) RECOMAIENDATION: Re -view the report and provide further direction. E. DECLARATION OF FUTURE AGENDA ITEMS F. ADJOURNMENT THIS AGENDA IS SUBJECT TO AAIENDAIENT 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 772-6205 FOR FURTHER I\'FORAIATION. MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; AIORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND AIILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORAIAL BUSINESS HOURS. 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 AGENDA NO: -A-1 MINUTES - MORRO BAY CITY COUNCIL DIEETLVG DATE: 05/08/2012 ® REGULAR MEETING — APRIL 24, 2012 VETERAN'S MEMORIAL HALL—.6:OOP.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker Robert Schultz Jamie Boucher Rob Livick Mike Lewis Eric Endersby Joe Woods City Manager City Attorney City Clerk Public Services Director Interim Police Chief Harbor Operations Manager Recreation & Parks Director ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE ® PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS. ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — City Attorney Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. PUBLIC COMMENT Ethan Pettinger, owner of the Flooring Discount Center located at 787 Harbor, presented the Morro Bay Business report. Mr. Pettinger, a 50' generation Morro Bay resident; has been in the flooring business for over 19 years. He promises the best deals and even gives additional discounts to all military, law enforcement and fire personnel. Their hours are Mon thru Fri 9am- 5pm: Sat 10-3pm: and Sun by appointment. He encouraged everybody to shop local. Ken Vesterfelt praised the efforts of those involved with the 2nd Annual Emergency Car Show. There was great cooperation and great exposure for the City. He announced the upcoming Cruisin' Morro Bay Car Show being held on Friday, May 4 — Sunday, May 6d'. The event boasts of over 500 cars and the event supports the community and local business. He also announced the upcoming Annual Tip -a -Cop dinner on Friday, May 18d' at the MB Community Center supporting Special Olympics. Tickets can be purchased at the Police Department. Lastly, he requested that dog owners be more responsible — clean up after your pet. Garry Johnson presented pictures of former Chief of Police, Tim Olivas's swearing in as Under- Sherriff as well as the swearing in of Morro Bay's Interim Police Chief. Mike Lewis. He also reiterated the need for civility in this year's campaigns. _ L MLN'UTES - MORRO BAY CITY COUNICIL REGULAR MEETING — APRIL 24, 2012 VETERAN'S MEMORIAL HALL - 6:00 P.M. Elaine Giannini spoke on the homeless situation in Morro Bay. She also recognized many local residents and businesses who serve meals to the 20= Morro Bay homeless. They currently serve 9 meals a month but have a goal of 1 meal a day; every day. She feels the homeless deserve to be treated with dignity and that we should be providing them the services that we can. Geiska Baker Velasquez, Regional Transportation Planner with SLOCOG presented May 2012 as Bike Month. There are a variety of programs available throughout the month in order to participate individually or as a group. You can view those offerings at i,i,-zr.rideshare.org/ and go to "calendar'. Annika Velasquez; invited everybody to a fun event being held on May Sh — Cycle de Mayo which is a Youth Bicycle Derby and Rodeo being held at the Montessori Youth Center from 11 am-2pm. Craig Schmidt urged the Council to put the Visitors Center contract back out to bid through an RFP process. On behalf of the Chamber; he also advertised Morro Bay's upcoming event — Annual Morro Bay Kite Festival and Celebrate Morro Bay Parade being held on Saturday, April 28`s and 29`t'. He also thanked all the event sponsors for their generosity. John Shoals, as a representative of PG&E, spoke regarding item A-4 - Approval of Comment ® Letter to The State Lands Commission Regarding the Draft Environmental Impact Report for the Central Coastal California Seismic Imaging Project stating that while there will be impacts to the commercial fishermen, they have been made a part of this process; that a communication plan is being developed; that Morro Bay will remain open during the survey and this project shouldn't impact vessels in and out of the harbor; and that the 82 days should be looked at as a window and that the actual time will be 41 days. Jeremiah O'Brien also spoke on Item A-4, stating that PG&E has not been in touch with the Morro Bay Fisherman's Organization, the Board or their Counsel with regards to this project. He also wanted to reiterate that the Commercial Fishermen's industry is not in decline as PG&E reported and instead is making significant growth both in numbers and dollars. He also expressed his thanks to Council. for writing the response letter. Brian Schrier spoke on item C-1 regarding the Secondhand Smoking Ordinance. He hoped that Council would reconsider the proposed Ordinance and say instead that smoking would not be allowed within 20 feet of any open doorway. Jamie Irons commended the Council on the letter to the Land Commission. He also spoke on the homeless situation and reaffirmed that it is a situation that needs to be addressed. Janice Peters thanked all those who came and participated in the Fundraiser Follies. She also encouraged Council to put out an RFP for the Visitors Center which would allow anyone ® interested in the contract have the opportunity to apply. 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING— APRIL 24, 2012 VETERAN'S MEMORIAL HALL - 6:00 P.M. Joel Anderson spoke on the Secondhand Smoking Ordinance; he was upset at the potential financial impacts a licensing component would have on local businesses. He also felt that this — type of regulation invades a person's personal freedom. Chris Christiansen spoke on item D-4, the Restriping of Market Street for Diagonal Parking. He hopes Council will give serious consideration to the restriping proposal as he feels that intersection is an accident waiting to happen and this will alleviate that potential. Betty Winholtz spoke on several items. Item A-4, Letter to the State Land Commission, regarding the Seismic Study; the only comment she didn't see in the letter is in regard to the breadth of the study that PG&E is doing. Regarding D-6, the Homeless Situation in Morro Bay, she is concerned there is no reference to CAPSLO or any of the homeless agencies in the County that could be helpful in this situation. Her main concern was with regards to Item D-2, the Unfriendly Sidewalks in Morro Bay. She is unsure of the intent of the staff report and was concerned with the lack of detail with both location and policy. She suggested some items to be addressed be prioritization of sidewalks for repair; when and where is it appropriate to increase a 5 foot sidewalk to 10 feet: and the materials used in their construction. John Barta thanked staff for awarding and moving forward with the street rehabilitation contract. He also thanked staff for writing and sending the letter to the State Lands Commission regarding ® the Draft Environmental Impact Report for the Central Coastal California Seismic Imaging Project. He also spoke on the Secondhand Smoking Ordinance and hoped that we do not go down the road of selective enforcement and instead be fair. Susan Stewart also spoke on the Secondhand Smoking Ordinance as she too would hate to see anybody's business impacted by higher fees. She suggested that for those business owners who are sensitive to the possibility of smoke entering their business, that they take some proactive measures and place friendly "please don't smoke" signs in front of their business. Mayor fates closed the public comment period. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF APRIL 10, 2012; (ADMINISTRATION) RECO'NIMENDATION: Approve as submitted. A-2 A PROCLAMATION DECLARING MAY 2012 AS BIKE MONTH: AND MAY 14 TO ® MAY 18. 2012 AS BIKE TO WORK AND SCHOOL WEEK; (ADMINISTRATION) RECO'NMIENDATION: Adopt Proclamation. 3 E MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 24, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. A-3 AWARD OF CONTRACT TO INTERNATIONAL SURFACING SYSTEMS OF WEST SACRAMENTO, CA FOR THE PROJECT NO. MB-2012-S2: 2012 STREET REHABILITATION PROGRAM"; (PUBLIC SERVICES) RECOMMENDATION: Award Project Contract to International Surfacing Systems. A-4 APPROVAL OF COMMENT LETTER TO THE STATE LANDS COMMISSION REGARDING THE DRAFT ENVIRONMENTAL IMPACT REPORT FOR THE CENTRAL COASTAL CALIFORNIA SEISMIC IMAGING PROJECT; (CITY ATTORNEY) RECOMMENDATION: Review and authorize staff to forward letter on. A-5 QUARTERLY FINANCIAL STATUS REPORT FOR THE FISCAL YEAR ENDED MARCH 31, 2012; (ADMINISTRATIVE SERVICES) REC011MENDATION: Accept the report as presented. A-6 UPDATE ON CURRENT LEGISLATIVE BILLS PENDING IN SACRAMENTO AND REPORT ON CALIFORNIA LEGISLATIVE ACTION DAYS; (CITY ATTORNEY) ® RECONIDIENDATION: Review the report and if there are any pending Legislative Bills that are of interest or concern, discuss them with the City Attorney. Councilmember Smukler pulled Item A-4 from the Consent Calendar. MOTION: Councilmember Smukler moved the City Council approve Items A-1, A-2: A-3. A-5 and A-6 of the Consent Calendar. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. Councilmember Smukler pulled Item A-4 as he hoped that we could strengthen portions of it: especially as it relates to the lack of communication PG&E has had with our local fishing community and the trickle -down effects of the project on our economy. All Councilmembers were in favor of strengthening the letter so long as it doesn't delay it being sent. Staff ensured Council that the changes can be made and the letter mailed out by the next business day. MOTION: Councilmember Smukler moved the City Council approve Item A-4 of the Consent Calendar with the inclusion of the information on the lack of communication as well as the trickle down effects to the economy. The motion was seconded by Councilmember Johnson and carried unanimously 5-0. ® B. PUBLIC HEARINGS. REPORTS & APPEARANCES - NONE 4 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 24, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. C. UNFINISHED BUSINESS C-I ADOPTION OF ORDNANCE NO. 577 AMENDING AND RENAMING MORRO BAY MUNICIPAL CODE CHAPTER 9.24 TO SECONDHAND SMOKING REGULATIONS; (CITY ATTOR\'EY) City Attomey Rob Schultz gave a brief presentation; stating that he spoke with the 2 members of the public who spoke out against its adoption; providing them with updated and accurate information. Councilmember Smukler is still a proponent of passive enforcement and reiterated that this Ordinance should empower people to make a request of a smoker and be legally supported. Mayor Yates wanted to make note that while this Ordinance doesn't have any reference to a licensing requirement, that that issue is coming to Council at a future meeting. MOTION: Councilmember Johnson moved the City Council adopt Ordinance 577 amending and renaming Morro Bay Municipal Code Chapter 9.24 to Secondhand Smoking Regulations. The motion was seconded by Councilmember Borchard and carried 3-2 with Mayor Yates and Councilmember Leage voting no. D. NEW BUSINESS V D-1 RECONSIDERATION OF MOTION n5 MADE AT FEBRUARY 28. 2012 CITY COUNCIL MEETING REQUESTNG AN RFP FOR THE VISITOR'S CENTER; (ADMNISTRATION) City Manager Andrea Lueker presented her staff report stating that at the February 28, 2012 City Council meeting; Council approved 6 separate motions which included Motion 45 which, at the request of Councilmember Borchard, is being reconsidered tonight. Being reconsidered is the potential of putting out a Request for Proposal for the operation of the Visitor's Center. Councilmember Borchard brought this back for reconsideration as it felt like with all the motions made that evening, they had sole sourced the Visitors Center contract to an unknown yet to be determined entity thru the Tourism Bureau and they also put no dollar amount on it with no parameters for funding. The current contract for the Visitors Center is S150,000; including S50,000 from the TBID so she would be looking at putting a limit on the contract at S 100,000. Councilmember Johnson agrees, especially with the monetary amount. She would like to see a time limit added to the contract whether or not we go with the RFP — something like "for 1 year to be re-evaluated". ® Councilmember Smukler; who voted no on this motion initially, did so because he felt we didn't have any information about a proposal; didn't have dollar amounts; and didn't have a structure 5 r L MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 24, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. yet in place. He. is very interested in an RFP component but also felt that timing is a concern as we don't want to be transitioning during the peak of the tourist season. This needs to be a fair process, timely and that we get parameters out there so it can be looked at and supported. Based on the calendar of upcoming events, it is his thought that maybe there needs to be concentration on an RFP process and leave the other "moving part" alone for now. Mayor Yates supports Councilmember Borchard and Councilmember Smukler getting together and to work out something that could be brought back to the next meeting and discussed. Councilmember Johnson would agree to have Councilmember Borchard and Councilmember Smukler getting together to work on a concise motion. She said that the purpose of the original motion was to get everything under one umbrella. MOTION: Councilmember Borchard moved the City Council negate Motion #5 as was presented on this item D-1. The motion was seconded by Councilmember Smukler and failed 2- 3 with Mayor Yates, Councilmember Johnson and Councilmember Leage voting no. D-2 REPORT REGARDING THE UNFRIENDLINESS OF SIDEWALKS rN MORRO BAY'S COMMERCIAL AREAS; (PUBLIC SERVICES) Public Services Director Rob Livick presented his staff report on the status of sidewalks in Morro Bay. The City has a variety of differing sidewalks. The City also has a replacement plan in place. Staff is looking for direction from Council. Councilmember Smukler requested information on the rubber sidewalks found in some places in Morro Bay. Rob Livick stated that type of sidewalk has a high cost to purchase; install and maintain. Councilmember Leage brought this item forward due to the problems down on the Embarcadero between Harbor and Pacific.Streets. There is no room for people to walk in front of the shops and it has become dangerous. He would like to see parking on the west side of the Embarcadero taken out and the sidewalk widened. Councilmember Johnson feels the City has a lot of different sidewalk problems; the Embarcadero is just one of them. She would like to see staff come back with a priority list of what we can do with the money we have allocated to fix them. Mayor Yates thinks we have at least J things going on — the Embarcadero, the Beach Street area between Market and Morro and the ones that are in major disrepair that need to be addressed. Councilmember Borchard also wants to see the list of priorities prior to the budget process so that Council can have input and evaluate, if there are funds available; to begin repairs. C l MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 24, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Council was unanimously in favor of sending this back to Public Services with the understanding that they bring back a report with lists focusing on gap closures; bottleneck areas and tree lifting and repairs hopefully prior to the budget process. Councilmember Smukler hoped that this report would also incorporate the Pedestrian & Bike Plan elements. . Mayor Yates also encouraged Councilmember Leage meet with Public Services regarding the Embarcadero area as there are funds available that can be sought out. D-3 STATUS REPORT ON MORRO ROCK PARKING LOT SOLID WASTE SERVICE: (PUBLIC SERVICES) Recreation & Parks Department Director Joe Woods presented his staff report summarizing the various options of solid waste collection opportunities at the Morro Rock parking lot which would be "bird proof' and minimize littering. They are: 1) status quo with closer monitoring during the weekends; 2) Big Belly containers; and; 3) dumpsters developed with slots rather than lids. It is the recommendation of the department to increase awareness with staff working extra weekend hours until we can replace the existing containers with solar powered "Big Bellys. ® Councilmember Johnson promoted shifting part-time employee's hours so that the area would be covered on Sundays and then attempt to find grant monies to purchase the `Big Bellys. Councilmember Leage wondered at what point the "Big Bellys" would pay for themselves; Joe Woods said it would be approximately a year. Councilmember Smukler stated that the situation that we experienced last summer wasn't acceptable. He is fully in favor of moving forward with the `Big Bellys". He would also like to see Sunday garbage removal service starting now. Council was unanimously in favor of moving forward with expanded service on Sunday's as well as coming back with a report on the utilization of "Big Bellys" by the second meeting in June. D-4 PROPOSAL FOR THE RESTRIPING OF MARKET AVENUE BETWEEN MORRO BAY BLVD AND PACIFIC FOR DIAGONAL PARKING (APPLICANT: GEORGE SALWASSER, 781 MARKET AVENUE); (PUBLIC SERVICES) Public Services Director Rob Livick presented his staff report. Chris Parker; on behalf of George Salwasser; proposes to restripe Market Avenue to include restriping the West side of Market with 11 diagonal parking spaces along with a Trolley/Transit stop. The proposal is being made due to pedestrian safety concerns. The cost for this proposal is to be bome by the Mr. ® Salwasser. Staff however is not in favor of this request and instead suggest refreshing the pavement markings. 7 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 24. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® Mayor Yates doesn't feel we have a safety problem there and in fact feels that backing out of a diagonal parking space at that location is less safe. Councilmember Leage questioned why the concept hadn't been brought to the Planning Commission first. He too feels it is more dangerous to back out of a diagonal space. Councilmember Smukler spoke with Mr. Sahvasser and he shares the concern for the safety of pedestrians as they cross the street at Morro Bay Blvd. He questioned the ability to create a crosswalk that was more prominent and easier to see. Councilmember Borchard feels there is a legitimate concern for the safety of pedestrians. Councilmember Johnson doesn't support diagonal parking and instead wants to look at the big picture to see what we can do to alleviate the safety concern. MOTION: Mayor Yates moved the City Council deny D-4 for diagonal parking on Market Street and requests staff take whatever action is necessary to improve safety at that intersection. The motion was seconded by Councilmember Johnson and carried unanimously; 5-0. D-5 DISCUSSION ON THE CONCEPT OF A COMMUNITY BULLETIN BOARD: (ADMINISTRATION) ® At the request of a Councilmember City Manager; Andrea Lueker presented her staff report on the concept of a Community Bulletin Board. Council felt it important to have some kind of signage to advertise upcoming community sponsored events. Currently the City has 4 ways that we currently advertise events - "Welcome to Morro Bay" signs where individual signs can be slid in; City Park banner hanging poles; posting smaller signs on billboards: and, banner hanging at the Community Center. Options for additional advertising include electronic reader boards and/or metal or other suitable material frames that would be permanently fixed to a special event venue for hanging banners on. Councilmember Smukler would like to say in concept that we are interested in these options but feels it necessary to discuss the issue with the Chamber of Commerce. He feels that the banners need to be affordable; valuable and aesthetically pleasing. He also spoke highly of banners that span the streets like the ones found in San Luis Obispo on Higuera Street. All Councilmembers were supportive of this concept and gave direction to the City Manager to meet with the Chamber of Commerce to discuss these advertising opportunities to include "over the street' banners. Council requested this to return within 3 months. D-6 DISCUSSION ON THE HOMELESS SITUATION IN MORRO BAY: (ADMINISTRATION) At the request of a Councilmember; City Manager Andrea Lueker presented the staff report on the homeless situation in Morro Bay. The Morro Bay Police Department has a "Homeless E MIN-UTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 24, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® Persons" policy that ensures that the department provides law enforcement services to all members of the community, while protecting the rights, dignity and private property of the homeless. To assist with the implementation of this policy, the Chief of Police designates a member of the department to act as the Homeless Liaison Officer. In addition to the homeless liaison; there are various groups/individuals that provide meals on a regular basis to the homeless living in the creek bed area of Lila Keiser. On February 28, 2012, the Council approved S8,630 of the 2012 CDBG funds to go to CAPSLO's Homeless Shelter. Councilmember Smukler appreciated the efforts of the City's last Homeless Liaison, retired officer Richard Hannibal. He also knows that we need regional and volunteer resources as well as community input as the City doesn't have the funding resources to deal with this ourselves. Councilmember Johnson has had one-on-one dealings with some of Morro Bay's homeless population. Until recently, those living at the Lila Keiser creek bed haven't created anv enforcement problems. Unfortunately, there has been a recent influx of problematic individuals who have chosen to stay there that has changed the climate. Due to this, there is a very good chance that those living there will need to be displaced and will have no place to go. In her conversations with many of them; they don't want to go to San Luis Obispo. Dee Torres; the City's Case Manager for the County is willing to come out and do an outreach to make them aware of what resources are available. Councilmember Borchard echoes most of Councilmember Johnson's sentiments. The homeless want a safe refuge. Part of what the Council and the City can do is to lobby the County for expanded services. Mayor Yates' focus is on the County services as CAPSLO and HSOC all deal with the homeless. He too has found thru his discussions that most of the homeless actually want to be there as it has become comfortable for them. He is supportive of both Councilmember Johnson via CAPSLO and Councilmember Leage via HSOC working together to try and come up with some viable solutions. While no action was taken on this item, it was requested by Council to keep this item active on the Agenda Planning Guide. E. DECLARATION OF FUTURE AGENDA ITEMS - NONE ADJOURNMENT The meeting adjourned at 9:56 p.m. Recorded bv: `�� ® Jamie Boucher City Clerk we City ®f 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 Cih' 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 10, 2012 CLOSED SESSION CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNTgNT CODE SECTION 54957.6: CONFERENCE WITH LABOR NEGOTIATOR. Conference with City Manager; the City's Designated Representative; for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. ® 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: Flying Dutchman - Lease Site 78-81/78A'-81NY Negotiating Parties: L. Van Beurden and City of Morro Bay Negotiations: Lease Terms and Conditions Property: Sea One Solutions LLC - Lease Site 124-128/124A'-128N3' & 113W Negotiating Parties: Neil and City of Morro Bay Negotiations: Terms and Conditions of Lease CS-3 CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION -- GOVERNMENT CODE SECTION 54956.9(C): Initiation of litigation exists based upon existing facts and the advice of legal counsel as to one matter. • Parties: City of Morro Bay and Sharon Moore ® IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETLIGS ARE CONFIDENTIAL AND EXENIPT FROM DISCLOSURE. PUBLIC SESSION — APRIL 10, 2012 YETERAINS MEMORIAL HALL - 6:00 P.M. ® 209 SURF ST., MORRO BAY, CA ESTABLISH QUORU-_NI ANT CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE ?`MAYOR AND COUT'CILNIEMBERS .ANNOU-NCEMENTS R 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. • The Council respectfully requests that you refrain from making slanderous; profane or personal remarks against any elected official, commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause, ® comments or cheering. • Any disruptive activities that substantially interfere with the ability, of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk, (805) 772-6205. Notification 72 hours prior to the meeting will enable the. City to make reasonable arrangements to ensure accessibility to this meeting. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF MARCH 13, 2012 AND MARCH 27, 2012; (ADMINISTRATION) RECONIAIENDATION: Approve as submitted. is A-2 A PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY DECLARING APRIL 17, 2012 AS EQUAL PAY FOR WOMEN DAY; (CITY COUNCIL) ® RECONLTIENDATION: Adopt Proclamation. A-3 A PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY DECLARING THE MONTH OF APRIL "FAIR HOUSING MONTH"; (PUBLIC SERVICES) RECOWAIENDATION: Adopt Proclamation. A-4 RESOLUTION STATEMENT OF CONTINUED OPPOSITION TO CREATION OF A NATIONAL MARINE SANCTUARY IN THE SAN' LUIS OBISPO COUNTY COASTAL AREA; AND CONTINUED OPPOSITION TO EXPANSION OF THE MONTEREY BAY NATIONAL MARINE SANCTUARY INTO THE SAN' LUIS OBISPO COUNTY COASTAL AREA; (ADMINISTRATION) RECON", IEN'DATION: Adopt Resolution 18-12. A-> APPROVAL OF THE SERVICE RETIREMENT INCENTIVE PROGRAM FOR FISCAL YEAR 2012/13 BUDGET; (ADMINISTRATION) RECOWAIENDATION: Approve the Service Retirement Incentive Program. B. PUBLIC HEARINGS. REPORTS & .APPE_ARANCES ® B-1 INTRODUCTION AND FIRST READING OF ORDINANCE NO. 577 AMENDING AND RENAMING MORRO BAY MUNICIPAL CODE CHAPTER 9.24 TO SECONDHAND SMOKING REGULATIONS; (CITY ATTORNEY) RECOINIAlENDATION: Accept public comment and then move for Introduction and First Reading of Ordinance No. 577. by number and title only, amending and renaming Morro Bay Municipal Code Section 9.24 to Secondhand Smoking Regulations. B-2 RESOLUTION NO. 16-12 INITLATING PROCEEDINGS TO LEST THE ANNUAL ASSESSMENT FOR THE CLOISTERS PARK AND OPEN SPACE LANDSCAPING AND LIGHTING MAINTENANCE ASSESSMENT DISTRICT, - (RECREATION & PARKS) RECOIIAIENDATION: Adopt Resolution 16-12. B-3 RESOLUTION NO. 17-12 INITIATING PROCEEDINGS TO LEVY THE ANNUAL ASSESSMENT FOR THE NORTH POINT NATURAL AREA LANDSCAPING AND LIGHTING MAINTENANCE ASSESSMENT DISTRICT; (RECREATION & PARKS) ® RECOMMENDATION: Adopt Resolution 17-12. C. UNFINISHED BUSINESS - NONE 3 D. NEW BUSINESS ® D-I DISCUSSION ON THE PRESENTATION OF THE 2012/L; FISCAL YEAR BUDGET; (.ADMLNISTRATIVE SERVICES DEPARTMENT) n LJ RECOMMENDATION: Direct staff on preferred method of presenting the 2012/13 Budget to Council and the public. D-2 DISCUSSION ON THE PAPERLESS AGENDA CONCEPT; (ADMINISTRATION) RECOABI[E\`DATION: ProAde direction to staff on the paperless agenda concept including whether or not a wireless network is required at Cite Hall. D-3 CITY SUPPORT OF MORRO BAY COMMUNITY RADIO; (CITY COUNCIL) RECOMMENDATION: Authorize Cite support of the Morro Bay Community Radio application to the FCC and future installation of the station's antenna at the City's Corporation yard. E. DECLARATION OF FUTURE AGENDA ITEMS F. ADJOURNMENT THIS AGENDA IS SUBJECT TO A-MENDMENT 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 REVISION'S OR CALL THE CLERK'S OFFICE AT 772-6205 FOR FURTHER INFORMATION. MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND HILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. IN CONIPLLANCE WITH THE A_MERIC INS 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 1IEET NG TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 4 AGENDA NO: A-1 DIEETLI'G DATE: 04/24/2012 ® MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL I O. 2012 VETERAN'S MEMORIAL HALL — 6:OOP.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz City Attorney Jamie Boucher City Clerk Mike Pond Fire Chief Susan Slayton Administrative Services Director Eric Endersby Harbor Operations Manager Joe Woods Recreation K Parks Director Manny Silva Police Sergeant ® ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS, ANNOUNCEMENTS R PRESENTATIONS CLOSED SESSION REPORT — City Attorney Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. PUBLIC COMMENT Sharon Myer; President of the AAUW announced the 261h Annual Garden Tour being held on Sunday April 29'h from noon-5pm. This is their big fundraiser and tickets are still available for SIO/each. Carol Vogt, also of AAUW, announced April 17`n as "Equal Pay for Women Day". She stated that "we aren't there yet but we are getting closer'. Hank Roth. with the Morro Bay Chamber of Commerce; advertised the City's upcoming events. April 22°d is the Blessing of the Fleet; April 28`h R 29'h is the MB Kite Festival; and; April 281h is the MB Parade. You can contact the Chamber of Commerce if interested in learning more. Joe Yukich spoke on the "Moment of Silence'. He would like to see the City go back to saying ® a prayer at the beginning of each meeting. Hal Abrams; Chairman of the Board for the MB Community Radio; spoke in support of item D- 3, Support of Morro Bay Community Radio. He is looking for support from Council for placing MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 10. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. -the antenna at the Corporation Yard as well as gamer support prior to submitting an application to the FCC. Channelle Charming spoke in support of the local Veteran's Support Group who will be hosting a potluck at the Morro Bay Eagles on April 17`a. They will also be sponsoring a panel discussion of local Veteran's to discuss their history of and in Morro Bay. Jeremiah O'Brien spoke in support of Item A-4 focusing on the City's continued opposition to the creation of a National Marine Sanctuary in the San Luis Obispo County Coastal Area as well as continued opposition to the expansion of the Monterey Bay National Marine Sanctuary into the San Luis Obispo County Coastal Area. Brad Snook, Chair of the local Surfrider Foundation who has a coalition with the Sierra Club called the Marine Sanctuary Alliance. They have involvement because of the clean water aspects that a sanctuary can bring. They think they share a lot of the concerns with local fishermen and fishing heritage having to do with sustainable fishing and also clean water. He feels that tourism can benefit from the educational opportunities that a sanctuary can provide. Lori French stressed that expansion of the sanctuary is a bad idea; it is bad for economics and bad for fishermen. ® Brian Stacy also expressed his support for Council's opposition to the creation of a National Marine Sanctuary in the San Luis Obispo Coastal Area. He doesn't feel that any fishermen want a sanctuary. He also expressed concern about the upcoming Coastal Commission approval of the laying of a cable in our area. He went on to say that the PG&E Seismic study is already affecting the fisherman. And finally; he asked about the monies that he felt should have come to the City — they were a cut of the warm water settlement from PG&E. Brent Cunningham. a Harbor Advisory Board member, local commercial fisherman and business owner; spoke about the stakeholder aspect brought up by a prior speaker. He feels that we have been down that road as fisherman so many different times and have never been given a fair shake on a stakeholder board. Tom Roff resident for 25 years and commercial fisherman for over 40 years feels that over time, sanctuary staff has usurped the original sanctuary document and lobbied for their own goals. He feels if we fall into the situation of being a part of the sanctuary and are usurped by Monterey; then we will lose our identity. We need to maintain our own local control. Nancy Castle announced the upcoming Fundraiser Follies being held on Saturday; April 14`h at the Veterans Hall with one show beginning at 2pm and another at 7pm. Mayor Yates closed the public comment period. 11 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 10, 2012 VETERANS MEMORIAL HALL - 6:00 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF MARCH 13, 2012 AND MARCH 27, 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 A PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY DECLARING APRIL 17, 2012 AS EQUAL PAY FOR WOMEN DAY; (CITY COUNCIL) RECOMMENDATION: Adopt Proclamation. A-3 A PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY DECLARING THE MONTH OF APRIL "FAIR HOUSING MONTH'; (PUBLIC SERVICES) 0 RECObIA1ENDATION: Adopt Proclamation. A-4 RESOLUTION STATEMENT OF CONTINUED OPPOSITION TO CREATION OF A NATIONAL MARINE SANCTUARY IN THE SAN LUIS OBISPO COUNTY COASTAL AREA, AND CONTINUED OPPOSITION TO EXPANSION OF THE MONTEREY BAY NATIONAL MARINE SANCTUARY INTO THE SAN LUIS OBISPO COUNTY COASTAL AREA; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution 18-12. A-5 APPROVAL OF THE SERVICE RETIREMENT INCENTIVE PROGRAM FOR FISCAL YEAR 2012/1 3 BUDGET; (ADMINISTRATION RECOINIMENDATION: Approve the Service Retirement Incentive Program. Councilmember Smukler pulled Item A-4 from the Consent Calendar. MOTION: Councilmember Johnson moved the City Council approve Items A-1, A-2, A-3 and A-5 of the Consent Calendar. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. Councilmember Smukler pulled Item A-4 as he had a concern with the 2"d "Whereas" from the ® bottom of the 2"d page that included reference to offshore oil but felt that if that paragraph were removed; he could support the Resolution. 3 11 N4INUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 10, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. MOTION: Mayor Yates moved the City Council approve Item A-4 of the Consent Calendar with the removal of the second to last "Whereas" in the body of the Resolution. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. Mayor Yates called for a break at 7:04 p.m. B. PUBLIC HEARINGS. REPORTS R APPEARANCES B-1 INTRODUCTION AND FIRST READING OF ORDINANCE NO. 577 AMENDING AND RENAMING MORRO BAY MUNICIPAL CODE CHAPTER 9.24 TO SECONDHAND SMOKING REGULATIONS; (CITY ATTORNEY) City Attorney Rob Schultz presented his staff report. At the February 28, 2012 meeting; Council gave direction to staff to prepare a draft ordinance that would ban smoking in dining areas; entryways (reasonable distance), public events; recreation areas; service areas, sidewalks and streets; workplaces; city owned vehicles and licensed child care facilities. At the March 27, 2012 meeting, this draft ordinance was presented, comments were made and direction was given to return for first reading and introduction of the Ordinance. Ordinance 577 would enact a tobacco control Ordinance that is stronger than the protections provided by State and Federal Law and would focus further protections for indoor or enclosed places and outdoor public places. The ® Ordinance completely bans smoking in all public places: however, the Ordinance doesn't regulate smoking in private residential and multi -family properties and provides 3 major exceptions: designated unenclosed areas (smokers outposts), an unenclosed area in which no nonsmoker is present and due to the time of day or other factors, it is not reasonable to expect another person to arrive, and when a person is actively passing on the way to another destination and so long as smoke doesn't enter any enclosed area in which smoking is prohibited. 11 Mayor Yates opened the hearing for public comment. Kathleen Carly, County of SLO, Health Promotion spoke in support of passing the Ordinance as well as provided statistics supporting the fact that smoking and second hand smoke is dangerous to a person's health. John Barta, a lifetime non-smoker, felt that sometimes we go too far. We are a tourist town and he feels that limiting "no smoking' to indoor places and relying on'common courtesy outdoors, should be enough. Taylor Newton, who comes from a family of people who choose to smoke, applauds what the Ordinance is tryring to do however in his personal opinion; he too feels that we are going too far. Common courtesy is an essential part of who we are and should be enough of a requirement. One of the things he loves about America is our freedom and "every time we talk about taking away freedom. it scares me". 4 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 10, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Nancy Barta, who has asthma and can take up to 7 days to recover if overly exposed to certain smells, is very uncomfortable with the ban as she feels it is an invasion of privacy. She also feels it is not a very welcoming sentiment to our tourists. Channelle Channing spoke hoping that we don't do something that alienates our tourists. She also sees the difficulty in those who are trying to quit smoking. She stated that our rights to life, liberty and property have to do with our own bodies — she feels smoking is a victimless crime. Mayor Yates closed the hearing for public comment. Councilmember Borchard agrees that this is a very divided issue and that we don't need more regulations however she feels that she sees this Ordinance as very visitor friendly. She also sees this Ordinance as having a secondary benefit — the protection of our estuary. Councilmember Johnson doesn't like seeing extra regulations either but sometimes they are necessary. Mayor Yates agrees with most of the speakers. We are taking too many liberties away. While he acknowledges smoking is bad, he doesn't feel that smokers want to offend non-smokers. He also feels we can potentially lose tourists. He doesn't feel the Ordinance is about smoking. it's ® about regulating secondhand smoking on sidewalks. Councilmember Leage spoke last meeting and will just be repeating himself. He has received a tremendous number of phone calls that say we don't need more regulations. He also is concerned about losing tourists: he feels we don't have a problem but instead are creating one. Councilmember Smukler wanted to reinforce that fact that it needs to be remembered that this is a passive enforced regulation. It gives someone who is sensitive to the smoke the legal opportunity for enforcement. He is hoping that common courtesy will work for the most part. He does have some concerns about the signage and hopes the size of the required signs is modest. MOTION: Councilmember Johnson moved the City Council pass the Introduction and First reading of Ordinance 577 amending and renaming MBMC Chapter 9.24 to Secondhand Smoking Regulations by title and number only. The motion was seconded by Councilmember Borchard and carried 3-2 with Mayor Yates and Councilmember Leage voting no. B-2 RESOLUTION NO. 16-12 fNITIATING PROCEEDINGS TO LEVY THE ANNUAL ASSESSMENT FOR THE CLOISTERS PARK AND OPEN SPACE LANDSCAPING AND LIGHTING MAINTENANCE ASSESSMENT DISTRICT: (RECREATION & PARKS) ® Recreation & Parks Director Joe Woods presented his staff report. On January 26, 1998 Council adopted Resolution 10-98 which accepted the public improvements for Cloisters Tract 1996. 5 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 10. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. 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. Resolution 16-12 has been prepared for Council review, and adoption. The Resolution serves as the initiation of the annual assessment proceedings and orders an Engineer's Report detailing the proposed costs of the maintenance of the Cloisters Park and Open Space for the purpose of assessing private property owners. The Resolution also gives notice that a public hearing on the intent to levy the assessment, as well as review and accept the Engineer's Report, will be held on May 8, 2012. Mayor Yates opened the hearing for public comment; seeing none, Mayor Yates closed the hearing. Councilmember Smukler was glad to have the opportunity for the update on the maintenance contract and progress from the last meeting as it shows we are striving to fulfill our commitments and obligations. He is committed to holding up our end of the bargain for the maintenance side. Councilmember Borchard met with Cloisters residents and heard that they had concems about accountability as well as how their money has been used and is being used. She hopes that we will be outsourcing the Cloisters on -going maintenance in a more efficient and affordable way. She wants to include that each year the City provides a copy of accountability — a detailed listing of what they spent the money on. She would also like to see money be put aside for the prospect of being able to do some capital improvements that desperately need to be done out there. Mayor Yates is conflicted as he appreciates the efforts that have been made but he has an issue with the fact that it is a public park that's being paid for by the Cloister's residents. He feels that all parks are for everybody and that Cloisters should be folded in with all the other City parks and be paid for out of the general fund. As such, philosophically, he cannot support this. Councilmember Johnson discovered after her discussion with Joe Woods that there is a lot more that goes into maintaining the park than she realized. She agrees with Councilmember Borchard that we need transparency and need to come back with real information for citizens so we know by the dollar(s) spent, where the money is going — what percent goes to the public park and what percent goes to other areas out there that needs to be maintained. She will support this tonight with the contingency that that information comes back by the 3'a meeting as best as staff can. MOTION: Councilmember Smukler moved the City Council adopt Resolution 16-12 ordering the preparation of an Engineer's Report detailing the expenses projected for fiscal year 2012/13 for the maintenance of the Cloisters Park and Open Space. The motion was seconded by Councilmember Borchard and carried 4-1 with Mayor Yates voting no. 0 0 .MINUTES - N4ORRO BAY CITY COUNCIL REGULAR MEETING — APRIL I O. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. B-3 RESOLUTION NO. 17-12 INITIATING PROCEEDINGS TO LEVY THE ANNUAL ASSESSMENT FOR THE NORTH POINT NATURAL AREA LANDSCAPING AND LIGHTING MAFNTTENANCE ASSESSMENT DISTRICT; (RECREATION & PARKS) Recreation & Parks Director Joe Woods presented his staff report. On December 9, 1996 the City Council adopted Resolution 89-96 which ordered the formation of the North Point Landscaping and Lighting Maintenance Assessment District and confirmed the yearly assessment of 55,645. On January 1'), 1997 the City Council adopted Resolution 01-97 which approved and accepted the on and off -site improvements for Tract 2110. By adoption of this Resolution; the City officially started the maintenance of the North Point Natural Area. Resolution 17-12 has been prepared for review and adoption. This Resolution serves as the initiation to the annual assessment proceedings and orders an Engineer's Report as well as gives notice that a public hearing on the intent to levy the assessment, review and accept the Engineer's Report will be held on May 8, 2012. Mayor Yates opened the hearing for public comment,- seeing none, Mayor Yates closed the hearing. Councilmember Smukler questioned whether or not the maintenance of this site could also fall under the out -sourcing being discussed with the Cloisters property to which Joe Woods responded that he is considering folding this into the RFP for Cloisters. Councilmember Smukler also hoped to be able to put money aside to be put into a capital improvement account for the area. Councilmember Borchard and Councilmember Johnson both agree that it would be good to fold this area into that maintenance RFP. MOTION: Councilmember Borchard moved the City Council adopt Resolution 17-12 ordering the preparation of an Engineer's Report detailing the expenses projected for fiscal year 2012/13 for the maintenance of the North Point Natural Area. The motion was seconded by Councilmember Johnson and carried 4-1 with Mayor Yates voting no. C. UNFINISHED BUSINESS -NONE D. NEW BUSINESS D-1 DISCUSSION ON THE PRESENTATION OF THE 2012/13 FISCAL YEAR BUDGET: (ADMINISTRATIVE SERVICES DEPARTMENT) City Manager Andrea Lueker gave a brief report requesting Council's direction on how they would like to see the 2012-2013 Budget presented. ® Mayor Yates felt that last year's presentation, made during a regular City Council meeting as a public hearing, worked well. 7 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 10, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Councilmember Johnson sees the value of a public hearing / workshop concept. Presenting the budget in a workshop setting; taking a couple of hours; and allowing public input as well as hearing from staff would be preferable. Councilmember Leage also felt that the process we used last year was perfect. Councilmember Borchard felt that while last year's presentation worked. although she didn't feel there was enough transparency and public input. Councilmember Smukler .appreciates being able to hear from department heads as to their proposed expenditures. He feels that the budget is probably the most important thing we do and deserves some additional time. Based on the comments from Council, Mayor Yates directed staff schedule a 2 hour budget workshop on June 12, 2012 from 4-6pm to include a public hearing component and short presentation from department heads (not to exceed 30 minutes in total); then bring back the budget, with all proposed revisions; for a public hearing and approval on June 26, 2012. D-2 DISCUSSION ON THE PAPERLESS AGENDA CONCEPT; (ADMINISTRATION) ® City Manager Andrea Lueker presented the staff report stating that over 75 California cities have gone to some form of paperless agenda reading devices for their City Councilmembers. The reading device of choice is the Apple iPad. Purchasing iPads with 16GB of memory has been found to be sufficient for the type of use the City is interested in. Should Council wish to move forward, there are several decisions that need to be made which include 1) how agenda materials would be distributed; 2) does the user want to make notes on the iPad; 3) who owns the device and what restrictions need to be placed on its use; 4) who should the iPads be purchased for; and. 5) if a mobile data capable Wad is purchased, then who purchases the data plan. Costs vary based on the Wad and range from S400 -S630/each plus any data plan charges, if required. Staff is also willing to look into purchasing laptops instead. Mayor Yates is definitely in favor of this concept. He feels being able to take notes on the Wad is important and thinks that Council would operate using the same policies as the employees do. He also feels that it would be important to be able to bring the device home. Councilmember Johnson is definitely in favor of this, she feels it's something whose time has come. She hoped that training would be provided. Councilmember Borchard felt that the devices could/should be stored at the City. She wondered if the Planning Commission would be included in these purchases and/or could be shared if stored on -site. She would like to move forward with this as she feels there can be cost savings. ® Councilmember Smukler had some concerns. He wondered how you would retain information from prior meetings as he would like to be able to follow and track agenda items as easily as he E D ME\TUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — APRIL 10, 2012 VETERAN'S MEMORIAL HALL - 6:00 P.M. does now. He would also like to see some estimates of cost savings as it seems to him like this could cost the City money. He wants to be able to balance the ease and effectiveness of an iPad with the ease and effectiveness of the agenda and the cost would be weighed in on both of those. Based on comments from Council; it was directed that staff provide additional information; as it was researched; in memo form and/or as an item to be discussed during the budget process. D-3 CITY SUPPORT OF MORRO BAY COMMUNITY RADIO; (CITY COUNCIL) Councilmember Smukler brought this item forward in order to get preliminary authorization dependent on final approval from the Public Services Director for locating the broadcast antenna at the City Corporation Yard. He also asked Council support for the drafting of a letter that would provide formal comment to the FCC for our application. He spoke of the need for approximately S2000 to pay attorney and engineering fees for the application process. They have received some funds and are almost there but asked that if anybody is interested in supporting this venture in any way; to contact Hal Abrams at 772-1314. Council was unanimously in favor of moving forward with this project and are ready to host the antenna. MOTION: Mayor Yates moved for City Council support of the radio station. of hosting the antenna at the Corporation Yard, and for drafting of a letter of support to the FCC for the application. The motion was seconded by Councilmember Johnson and carried unanimously 5-0. E. DECLARATION OF FUTURE AGENDA ITEMS - NONE ADJOURNMENT The meeting adjourned at 8:33 p.m. Recorded by: PJamiepBoucher City Clerk 0' i MW City y CouncilCity Agenda Alission Statement The City of 3lorro Bay is dedicated to the preservation and enhancement of the quality of life. The Cit)? shall be committed to this purpose and will provide a level of municipal service and safeh' consistent with and responsive to the needs of the public. REGULAR MEETLNG — MARCH 27, 2012 PUBLIC SESSION VETERANS �1EMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE 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: y • 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. • The Council respectfully requests that you refrain from making slanderous; profane or personal remarks against any elected official. commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause; comments or cheering. • Any disruptive activities that substantially_ interfere with the ability of the City Council to cam' out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. 11 ® In compliance with the .Americans with Disabilities Act. if you need special assistance to participate in this meeting, please contact the City Clerk. (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. A. CONSENT CALENDAR Unless an item is pulled for separate action by the Cite Council, the following actions are approved without discussion. A-1 APPROVAL OF CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF MARCH 13, 2012; (ADMINISTRATION) RECONI IENDATION: Approve as submitted. A-2 A PROCLAMATION OF THE CITY" COUNCIL OF THE CITY OF MORRO BAY DECLARING THE WEEK OF APRIL 8-14. 2012 AS "NATIONAL PUBLIC SAFETY TELECOMMUNICATIONS WEEK'; (POLICE) RECONI IENDATION: Adopt Proclamation. A-3 A PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY DECLARING APRIL 2012 AS "AUTISM AWARENESS MONTH": ® (ADMINISTRATION) RECONI IENDATION: Adopt Proclamation. A-4 RESOLUTION 15-12 STATING THE IMPORTANCE OF KEEPING MORRO STRAND STATE PARKS CAMPGROUND OPEN; (ADMINISTRATION) RECOMMENDATION: Review and approve Resolution. A-5 ADOPTION OF ORDINANCE 576 AMENDING MORRO BAY MUNICIPAL CODE CHAPTER 17.4832. SECONDARY UNITS, SPECIFICALLY MINIMUM AND MAXIMUM FLOOR AREA, ARCHITECTURAL COMPATIBILITY. PARKING AND CONDITIONAL USE PERMIT; (PUBLIC SERVICES) RECOMMENDATION: Adopt Ordinance 576. B. PUBLIC HEARINGS, REPORTS R APPEARANCES B-1 REVIEW OF DRAFT AMENDMENTS TO CHAPTER 9.24 OF THE MORRO BAY MUNICIPAL CODE ENTITLED SECONDHAND SMOKING REGULATIONS; (CITY ATTORNEY) ® RECO:kIMENDATION: Review staff report and draft ordinance, and direct staff to return this item with any changes for Introduction and First Reading at a public hearing. C. UNFIN'ISHED BUSINESS C-1 REVIEW OF CLOISTERS ASSESSMENT DISTRICT PARKWAY REN'OVATIONi PROGRAM: (RECREATION & PARKS) RECOiN"MENDATION: Direct staff with concerns related to the Cloisters Assessment District and specifically the park -ways D. NEW BUSINESS - None E. DECLARATION OF FUTURE AGENDA ITEMS F. ADJOUR-LAMENT 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 CITI' HALL FOR ANY REVISION'S OR CALL THE CLERK'S OFFICE AT 772-6205 FOR FURTHER INFORMATION. ® DIATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET: AND HILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. 2 IN CODIPLLANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY i\IEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE 1IADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 3 AGE\MA NO:. A-1a MEETING DATE: 04/10/2012 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MARCH 27: 2012 VETERAN'S MEMORIAL HALL — 6:00P.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz City Attorney Jamie Boucher City Clerk Rob Livick Public Services Director Tim Olivas Police Chief Mike Pond Fire Chief Susan Slayton Administrative Services Director Eric Endersby Harbor Operations Manager Joe Woods Recreation & Parks Director ® ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS; ANTNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — There was no Closed Session Meeting held this evening. PUBLIC COMMENT John Solu. as a member of the Harbor Festival Board; introduced Steve Buffalo; the new Executive Director of the Harbor Festival / Music Festival. Steve Buffalo announced the entertainment lineup for the Morro Bay Music Fest which is being held on Saturday. June 2, 2012 from IIam-7pm. He also is excited for the Harbor Festival; being held the first weekend in October: he has already received tremendous community support. He feels this is one of the premier events on the Central Coast. These events have incredible value to a community's self-esteem as well as to the non-profit groups who benefit from working them. Penny Herrington; owner of Ruby Dragon: along with her granddaughter Anya O'Toole: provided the City local business report. Located at 600 Morro Bay Blvd, Ste. C, Ruby Dragon carries a variety of gift items to include spheres: rocks; magic wands, crystals, fossils; note cards; sun catchers: dragon bracelets: antique vases: candles: etc... They are also going to be starting a Rock Hound Group. MINUTES - MORRO BAY CITY" COUNCIL REGULAR MEETING — MARCH 27, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® Hank Roth spoke on behalf of the Chamber of Commerce advertising the following upcoming events: Emergency Vehicle Car Show on April 21the Blessing of the Fleet on April 22°d. the Morro Bay Kite Festival on April 28`s R 29 and the Celebrate Morro Bay Parade on April 28 s. You can contact the Chamber of Commerce for additional information at 772-4467. Mandy Davis congratulated Jeremiah and Trudy O'Brien for their well -deserved plaque of appreciation. She also spoke out against her removal from the Harbor Advisory Board due to too many absences. Based on her personal circumstances, she had expected the City to respond in a more human way. Betty Winholtz asked that Item A-1, the March 13, 2012 Minutes, be pulled as her comments weren't reflected accurately. In her public comment she requested the second sentence "She encouraged people sending letters..." replaced with "the City Council to send a letter..." to President Obama regarding the Kony2012 issue. She also acknowledged Tom Laurie's recent passing. She also echoed Mandy Davis's comments on her Harbor Advisory Board appointment. John Lewan, President of the Morro Bay Police Department Volunteer Program advertised the upcoming Citizen's Academy which begins on Thursday, April 26`h. He invited the public to attend. It is a 9 week program; they meet every Thursday from 6-9pm and review "all there is to know" about our local Police Department. Applications can be found at the Police Department. ® Garry Johnson also praised Jeremiah and Trudy O'Brien for all their hard work — "you couldn't ask for nicer people". He also stated he supported Joan Solu for Council as she has been an active advocate for Morro Bay in a variety of organizations. Michele Arete commented on 3390 Main Street. She thanked the City Council for upholding the 2010 permit for the project. She also stated that they will continue to monitor the project to ensure compliance. Gary Christianson thanked Chief Tim Olivas personally for the service he has given and is sad to see him leave. He encouraged staff to look for similar characteristics and traits that Tim possesses when filling the position. Dawn Bea. Cloisters resident, commented on the Cloisters Assessment District and while she appreciates the current work being done on the parkways, she feels that more needs to be done. She wished that earlier outsourcing of the work on the parkways had taken place. Susan Stewart presented a brief report of the Community Promotions Committee's final meeting. She gave a brief history of the accomplishments of the committee over the last year. At this meeting they elected to use unencumbered capital and granted money to the Outdoors Writer's Conference, the 4d' of July Committee and the movie `Botso", all she hoped would have long term and far reaching benefits to the community. She also asked that Council consider the following make-up of the 9 member Tourism Board: 2 hoteliers (one private and one franchise ® business), 1 restaurateur, 2 retailers from different parts of town, 1 recreation or outdoor activities, 1 non -hotelier lodging, 1 events, and 1 arts. This will provide for a diverse board. She MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MARCH 27, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® also supports a strong economic development or enhancement program supported by the City. Finally, she expressed the committee's appreciation for the time they had to serve Morro Bay and they have great hopes for our future. Janice Peters concurred with Susan Stewarts thoughts on the diverse make-up of the Tourism Board as well as support for economic development. In addition; she advertised the Morro Bay Fundraiser Follies which is being held at the Veteran's Hall on Saturday, April 14`s with 2 shows — one at 2pm and one at 7pm. Cost is S15/adults and S5/ seniors and children. She also commended Tim Olivas for his positive influence on the community. Barry Brannon gave his status on the wastewater treatment plant. He is concerned that the JPA has hired a lobbyist. He also feels we can save money by moving the plant. He feels we can develop the current site into a money making venture. Brian Stacy thanked Jeremiah and Trudy O'Brien for all their hard work. He also thanked Tim Olivas and hates to see him go. He spoke on the PG&E Seismic Study which he feels was done very poorly. He also encouraged local residents to look at the EIR report and make sure everybody gets their comments in before the deadline to respond. Joan Solu thanked Tim Olivas for all his community service work. ® Ed Sylvester hoped that when DirectTV's contract with the City was up for renewal that we could ensure that they provide a local government channel. Bryan Millard spoke in support for the Proclamation for Telecommunications and wanted to publicly thank our dispatchers for all their hard work. He also thanked Tim Olivas for his mentorship — "can't have asked for a greater boss". Jim Hayes has represented the City for the last 31 years and hopes to be able to continue to do so in the role of Councilmember. Mayor Yates closed the public comment period. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF MARCH 13, 2012; (ADMINISTRATION) RECOMi•IENDATION: Approve as submitted. isDECLARING A PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY DECLARING THE WEEK OF APRIL 5-14, 2012 AS "NATIONAL PUBLIC SAFETY TELECOMMUNICATIONS WEEK"; (POLICE) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MARCH 27, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® RECO-M MENDATION: Adopt Proclamation. A-3 A PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY DECLARING APRIL 2012 AS "AUTISM AWARENESS MONTH"; (ADMINISTRATION) RECOMMENDATION: Adopt Proclamation. A-4 RESOLUTION 15-12 STATING THE IMPORTANCE OF KEEPING MORRO STRAND STATE PARKS CAMPGROUND OPEN; (ADMINISTRATION) RECOMNI[ENDATION: Review and approve Resolution. A-5 ADOPTION OF ORDINANCE 576-AMENDING MORRO BAY MUNICIPAL CODE CHAPTER 17.48.32, SECONDARY UNITS. SPECIFICALLY MINIMUM AND MAXIMUM FLOOR AREA, ARCHITECTURAL COMPATIBILITY._ PARKING AND CONDITIONAL USE PERMIT; (PUBLIC SERVICES) RECO'MiNIENDATION:.Adopt Ordinance 576. Councilmember Smukler pulled Item A-5 from the Consent Calendar; Mayor Yates pulled Item ® A-1 from the Consent Calendar. MOTION: Councilmember Borchard moved the City Council approve Item A-2, A-3 and A- 4 of the Consent Calendar. The motion was seconded by Councilmember Johnson and carried unanimously 5-0. Mayor Yates pulled Item A-] and requested staff to listen to Ms. Winholtz's public comments and brine the minutes back to the next meeting for adoption. MOTION: Councilmember Borchard moved .the City Council approve Item A-5 of the Consent Calendar. The motion was seconded by Councilmember Johnson and carried 4-1 with Councilmember Smukler voting no. Mayor Yates called for a break at 7:01 p.m. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 REVIEW OF DRAFT AMENDMENTS TO CHAPTER 9.24 OF THE MORRO BAY MUNICIPAL CODE ENTITLED SECONDHAND SMOKJN'G REGULATIONS_: (CITY ATTORNEY) City Attorney Rob Schultz presented his staff report. He has some modifications that he already ® would like to make to the Ordinance. He needs to correct " W — Tobacco product' of the definitions list which he wants to take out and present when we propose the tobacco licensing/sales section. He doesn't believe the entire "laundry list' found in Section 9.24.040 is 4 MENUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MARCH 27. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® necessary and instead feels that that list should be less specific. He stressed that there are 2 exemptions to public area smoking: when a person is passing from one destination to another; and, if you are in an area and due to the time of day it isn't reasonable to expect another person to arrive. He also stressed that this is a draft only and that it will still come back for an Introduction and First Reading. Councilmember Smukler asked for information on the enforcement component of this to which Chief Olivas stated that there would be passive enforcement — in essence people enforcing each other. This will also fall under the admin cite process which requires a first warning before citing. Mayor Yates opened the hearing for public comment. Rayne Hansen. Co -Chair of the County Tobacco Control Coalition spoke in favor of the City moving forward with this ordinance. He also said that they would like to offer their assistance in the process in whatever way they can. Gary Christianson spoke out against the smoking ordinance. He feels we are being over- regulated. He also finds second hand smoke studies suspicious — from personal experience; he isn't sure that second hand smoke is as dangerous as people would have us believe. He also sees this as a possible nightmare to both implement and enforce. Kathleen Carly; County of SLO, Health Promotion stated that studies show that there isn't a negative financial impact on businesses with the passage of a smoking ordinance. She also states that research is clear on tobacco; tobacco kills and second hand smoke kills. Her department can offer us education, free stop smoking classes; free patches for those who qualify, notification of merchants should the tobacco licensing begin, and possibly some money for signage. 90% of the residents in our County don't smoke — she asked Council to consider that majority when you are deliberating tonight. Marissa Lutz would love to see a Second Hand Smoking Ordinance enacted as it would decrease smoke exposure as well as improve the beauty of the town. Melissa Peters with the County Tobacco Control Program read a letter to all the Councilmembers from the Health Commission — The First 5 Commission - showing support of the proposed Ordinance. Dr. Patrick Vaughan has been a doctor serving Morro Bay for over 30 years and wants to offer his professional opinion — there are 3 ways to decrease the use of tobacco - stop using tobacco products; raise the cost of tobacco products and/or affect where people can utilize the product. He enthusiastically supports the Ordinance. Susan Stewart, a Morro Bay business owner, has had issues with smoke going into her storefront. ® She also has first-hand knowledge of what smoke can to do those with asthma. She feels that overall, as a community; we can be proud of moving this forward. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MARCH 27, 2012 VETERAN'S MEMORIAL HALL - 6:00 P.M. ® Mayor Yates closed the hearing for public comment. Councilmember Borchard thanked Councilmember Johnson for bringing this forward and wants to support this, utilizing passive enforcement. She is in support of moving forward. She does however want to remove construction sites on private property from the list of "no smoking allowed" areas. Councilmember Johnson restated that many tourist towns have already adopted smoking ordinances — Newport Beach. Carlsbad and Carpenteria to name a few. She doesn't feel that you can ever have too much regulation when it comes to health concerns. Mayor Yates gets a different perspective when talking to business owners. Prohibiting smoking on sidewalks and outside of bars are the only places he has a problem with this. He is not sure why we are outlawing smoking in places where it's already not allowed. He has concerns about this being unfriendly to tourists. He requests that the draft ordinance come back one more time for review prior to it coming back in introduction and first reading form. Councilmember Leage agrees with Mayor Yates. He has witnessed the effect of "no smoking" on businesses: it has affected his restaurant/bar in a negative monetary way. He also feels that today's smokers are more and more conscientious of their smoking. He feels we really.don't have a problem and instead are creating one. is Councilmember Smukler had questions about the licensing component as well as the community service component. MOTION: Councilmember Johnson moved the City Council direct staff to return this item with the discussed changes for Introduction and First Reading at the next available meeting. The motion was seconded by Councilmember Smukler and carried 3-2 with Mayor Yates and Councilmember Leage voting no. C. UNFINISHED BUSINESS C-1 REVIEW OF CLOISTERS ASSESSMENT DISTRICT PARKWAY RENOVATION PROGRAM: (RECREATION & PARKS) Recreation & Parks Director Joe Woods presented his staff report on the Cloisters Assessment District Parkway Renovation Program. This program was initiated based on feedback from residents of the Cloisters District regarding the condition of many parkways. As an outcome of those discussions; staff proceeded to investigate, compile data and then as a result, began the renovation work which is scheduled to be completed by the end of March. Parkway maintenance will be outsourced through June. Mr. Woods hopes to be able to outsource the bulk of the Cloister Maintenance next fiscal year. ® Councilmember Smukler is happy to see the City's commitments to the homeowners of the Cloisters are being met. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MARCH 27, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Councilmember Johnson had some questions on grasses. She also wondered why we didn't go through an UP process to which Mr. Woods responded that we were in a time sensitive situation. Councilmember Borchard was glad to see that the residents appreciated the new and improved lines of communication. She hopes we go out for an RFP for the maintenance in the coming fiscal year. Mayor Yates had a concern about the maintenance calendar to which he was assured that maintenance would be ongoing. This was an informational item only and as such, no action was taken. D. NEW BUSINESS - NONE E. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Borchard requested a letter in regard to the Draft EIR for the PG&E Seismic Study; all Councilmembers concurred. Councilmember Borchard requested a discussion on the presentation of the 2012-2013 Fiscal Year Budget; Mayor Yates and Councilmember Johnson concurred. Councilmember Johnson requested an informational item on the new SoCal Gas meters; Mayor Yates and Councilmember Smukler concurred. Councilmember Johnson requested a Resolution opposing expansion into the Marine Sanctuary, - all Councilmembers concurred. Councilmember Leage requested a discussion on local Sport -fishing businesses; all Councilmembers concurred. ADJOURNMENT The meeting adjourned at 8:46 p.m. Recorded by: AA V� amie Boucher City Clerk E 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 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 — MARCH 13, 2012 CLOSED SESSION — MARCH 13, 2012 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 City Manager, the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. 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: Lease Site 122-123/122N-123NV, 1205 Embarcadero Negotiating Parties: Troy & Heather Leage (Harbor Hut) and City of Morro Bay Negotiations: Lease Terms and Conditions IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. 11 ® PUBLIC SESSION —MARCH 13, 2012 VETERANS MENIORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE 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. • The Council respectfully requests that you refrain from making slanderous, ® profane or personal remarks against any elected official, commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause, comments or cheering. • Any disruptive. activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk, (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-] APPROVAL OF CITY COUNCIL MINUTES FOR THE JOINT PLANNING COMMISSION/CITY COUNCIL MEETING AND REGULAR MEETING OF FEBRUARY 28, 2012; (ADMINISTRATION) ® RECOM'MENDATION: Approve as submitted. 2 A-2 RESOLUTION 14-12 AUTHORIZING THE FEDERAL FUNDING UNDER FTA ® SECTION 5317 (49 U.S.C. SECTION 5317) WITH CALIFORNIA DEPARTMENT OF TRANSPORTATION (CALTRANS) FOR THE COMMUNITY BUS PROGRAM: (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution 14-12. A-3 RESOLUTION 13-12 AUTHORIZING THE EXECUTION OF A MASTER AGREEMENT AND PROGRAM SUPPLEMENTS WITH THE CALIFORNIA DEPARTMENT OF TRANSPORTATION (CALTRANS) FOR STATE FUNDED TRANSIT PROJECTS; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution 13-12. A-4 APPROVAL OF THE AMENDED JOB DESCRIPTIONS FOR THE HARBOR DIRECTORMARBORMASTER AND HARBOR BUSINESS MANAGER AND AUTHORIZATION TO FILL THE HARBOR DIRECTOR/HARBORMASTER AND HARBOR BUSINESS MANAGER VACANCIES; (ADMINISTRATION) RECOMMENDATION: Approve the amended job descriptions for the Harbor Director/Harbormaster and Harbor Business Manager and authorize to fill the Harbor Director/Harbormaster and Harbor Business Manager vacancies. ® A-5 FINDINGS FOR APPROVAL OF THE SIGN EXCEPTION PERMIT (#SPO-141) FOR VIRG'S SPORT FISHING; (PUBLIC SERVICES) RECOMMENDATION: Staff recommends that Council adopt the findings listed in Exhibit A and Conditions detailed in Exhibit B. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 INTRODUCTION AND 1ST READING OF THE ORDINANCE AMENDING CHAPTER 17.48.32, SECONDARY UNITS, SPECIFICALLY MINIMUM AND MAXIMUM FLOOR AREA, ARCHITECTURAL COMPATIBILITY, PARKING AND CONDITIONAL USE PERMIT; (PUBLIC SERVICES) RECOMMENDATION: Open the public hearing and receive testimony; adopt the Negative Declaration; accept the Planning Commission recommendation to adopt the proposed Ordinance amendments that would allow for ministerial secondary dwelling units in residential zones; and make a motion to approve the First Reading and Introduction of Ordinance No. 576 by number and title only. C. UNFINISHED BUSINESS ® C-1 CONSIDERATION OF ESTERO BAY TRANSIT SERVICE PROPOSAL; (PUBLIC SERVICES) 3 ® RECOMMENDATION: Review the Estero Bay Transit service proposal from the San Luis Obispo Council of Governments (SLOCOG) and the information from the Public Works Advisory Board meeting and chose either not pursue implementation of it or continue working with SLOCOG and return to PWAB and Council. D. NEW BUSINESS D-1 REVIEW OF THE MORRO BAY SPRINKLER ORDINANCE; (FIRE) RECOMMENDATION: This item is informational only. D-2 RECOMMENDATION ON BEACH . ACCESS RAMP AT MORRO ROCK: (PUBLIC SERVICES/RECREATION R PARKS) RECOMMENDATION: Provide direction to staff to pursue the project as funding is available through grants or other sources. E. DECLARATION OF FUTURE AGENDA ITEMS F. 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 772-6205 FOR FURTHER INFORMATION. MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND MILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. 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 �j E MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION —MARCH I J. 2012 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m AGENDA NO::. A-1 ; MEETING DATE: 04/10/2012 r , PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz City Attorney Eric Endersby Harbor Operations Manager CLOSED SESSION Mayor Yates adjourned the meeting to Closed Session. Mayor Yates read the Closed Session Statement. CS-1 GOVERNMENT CODE SECTION 54957. NEGOTIATOR. Conference with City Manager, the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. 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: Lease Site 122-123/122W-123W. 1205 Embarcadero Negotiating Parties: Troy & Heather Leage (Harbor Hut) and City of Morro Bay Negotiations: Lease Terms and Conditions • Property: Lease Site 87-88/87W-88R', 833 Embarcadero Negotiating Parties: Violet Leage (Outrigger) and City of Morro Bay Negotiations: Lease Terms and Conditions The meeting adjourned at 5:45pm. MINUTES - N4ORRO BAY CITY COUNCIL REGULAR MEETING —MARCH I J: 2012 VETERANS MEMORIAL HALL - 6:00 P.M. ® Mayor Yates called the meeting to order at 6:00 p.m. PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz City Attorney Jamie Boucher Citv Clerk - Rob Livick Public Services Director Tim Olivas Police Chief Mike Pond Fire Chief Susan Slayton Administrative Services Director Eric Endersby Harbor Operations Manager Joe Woods Recreation & Parks Director Kathleen Wold Planning Manager ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE ® PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS. ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — City Attorney Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. PUBLIC COMMENT Robert Latham spoke in favor of Item D-2 (Beach Access Ramp at Morro Rock) stressing the need for stairs from the parking lot down to the beach. He also thanked all concerned for their continued work towards those efforts. Susan Brown spoke on the City's Transit System's enhancements and thanked staff for their involvement as permanent transit stop signage and information kiosks are now in place. She also presented information on how to ride the bus. Kelly Lewis spoke in favor of Item A-5 (Approval of the Sign Exception Permit) and hoped that Council would uphold the off -site sign exception permit for Virg's Sport Fishing. Jamie Irons requested Council pull Item A-4 (Approval of Amended Job Descriptions for the Harbor Director and Harbor Business Manager and Authorization to Fill Both Vacancies). He hoped that Council would propose a long range plan that would restore the Harbor's ® infrastructure as well as the Harbor Department itself and then design an organization to fulfill that. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MARCH 13. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Keith Taylor; a member of Friends of the Fire Department; spoke soliciting the sale of bricks being placed at the new fire department. The money collected goes towards the Morro Bay Fire Reserves for their attendance at the Fire Academy and/or Paramedic School. You can get bricks from him by calling 772-2852. Ron De Carli, Executive Director of SLOCOG spoke on Item C-1 (Consideration of Estero Bay Transit Service Proposal). He expressed concerns that the system continues to perform poorly with low ridership and high overhead rate. He did express his thanks for the enhancements that have taken place including the bus stop improvements as well as changing hours to better connect with the regional system. Mandy Davis also spoke on Item A-4 saying there should be more thought and consideration given to how the Harbor Department should be reorganized. She felt this item should have been brought to the Harbor Advisory Board first. Mark Hamerding was in agreement with Ms. Davis and felt that the position of Harbor Director should be advertised for, as opposed to appointed. Craig Schmidt announced the upcoming Chamber Mixers — one at Coast National Bank and the other at Casa de Flores. ® Betty Winholtz was surprised that we weren't going to advertise for a Harbor Director. She also spoke about KONY2012. She e aJ wa people sending letters to the President nr afn man. She asked you as parents and grandparents and guardians of the children to send a letter to the President of the United States to agendize it for the next meeting to ask him to not withdraw his advisors in Africa but to keep them there so that we might capture this man. Garry Johnson echoed Mayor Yates's comments about all candidates running a clean campaign. He promoted the upcoming Morro Photo Expo being held March 30 — April 1". He also thanked Chief Tim Olivas for his years of service. Mayor Yates closed the public comment period. 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 CITY COUNCIL MINUTES FOR THE JOINT PLANNING COMMISSION/CITY COUNCIL MEETING AND REGULAR MEETING OF FEBRUARY 28, 2012; (ADMINISTRATION) is RECOMMENDATION: Approve as submitted. 3 II LJ MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING —MARCH 13. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. A-2 RESOLUTION 14-12 AUTHORIZING THE FEDERAL FUNDING UNDER FTA SECTION 5317 (49 U.S.C. SECTION 5317) WITH CALIFORNIA DEPARTMENT OF TRANSPORTATION (CALTRANS) FOR THE COMMUNITY BUS PROGRAM; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution 14-12. A-3 RESOLUTION 13-12 AUTHORIZING THE EXECUTION OF A MASTER AGREEMENT AND PROGRAM SUPPLEMENTS WITH THE CALIFORNIA DEPARTMENT OF TRANSPORTATION (CALTRANS) FOR STATE FUNDED TRANSIT PROJECTS; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution 13-12. A-4 APPROVAL OF THE AMENDED JOB DESCRIPTIONS FOR THE HARBOR DIRECTOR/HARBORMASTER AND HARBOR BUSINESS MANAGER AND AUTHORIZATION TO FILL THE HARBOR DIRECTOR/HARBORMASTER AND HARBOR BUSINESS MANAGER VACANCIES; (ADMINISTRATION) RECOMMENDATION: Approve the amended job descriptions for the Harbor ® Director/Harbormaster and Harbor Business Manager and authorize to fill the Harbor Director/Harbormaster and Harbor Business Manager vacancies. A-5 FINDINGS FOR APPROVAL OF THE SIGN EXCEPTION PERMIT (PSPO-141) FOR VIRG'S SPORT FISHLN'G; (PUBLIC SERVICES) RECOMMENDATION: Staff recommends that Council adopt the findings listed in Exhibit A and Conditions detailed in Exhibit B. Councilmember Smukler pulled Items A-2 and A-4 from the Consent Calendar; Councilmember Borchard pulled Item A-5 from the Consent Calendar. MOTION: Councilmember Johnson moved the City Council approve Item A-] and A-3 of the Consent Calendar. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. Councilmember Smukler pulled Item A-2 in order to thank staff for their work on the Community Bus Program. MOTION: Councilmember Smukler moved the City Council approve Item A-2 of the Consent Calendar. The motion was seconded by Councilmember Johnson and carried unanimously 5-0. ® Councilmember Smukler spoke on Item A-4, he feels we are moving too quickly and wants to see us do an outside recruitment for the Harbor Director position. 2 u MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MARCH 13, 2012 VETERANS MEMORIAL HALL - 6:OO P.M. Councilmember Leage agreed with Councilmember Smukler; we should put out for applications. Councilmember Johnson has spoken with many people from the public that want to move forward and appoint Eric Endersby as our Harbor Director. She supports staffs recommendation. Mayor Yates spoke in favor of supporting the City Manager's recommendation. Councilmember Borchard echoed those sentiments as Mr. Endersby has already been fulfilling the job duties. She respects the outreach that has come to Council. MOTION: Councilmember Borchard moved the City Council approve Item A-4 of the Consent Calendar. The motion was seconded by Councilmember Johnson and carried 3-2 with Councilmember Smukler and Councilmember Leage voting no. Councilmember Borchard and Councilmember Leage stepped down from the dais due to a conflict of interest. MOTION: Councilmember Johnson moved the City Council approve Item A-5 of the ® Consent Calendar. The motion was seconded by Mayor Yates and carried 3-0-2 with Councilmember Borchard and Councilmember Leage needing to abstain. Mayor Yates called for a break at 7:15 p.m.; the meeting resumed at 7:28 p.m. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 INTRODUCTION AND 1ST READING OF THE ORDINANCE AMENDING CHAPTER 17.48.32, SECONDARY UNITS. SPECIFICALLY MINIMUM AND MAXIMUM FLOOR AREA, ARCHITECTURAL COMPATIBILITY, PARKING AND CONDITIONAL USE PERMIT; (PUBLIC SERVICES) Kathleen Wold; Planning Manager presented her staff report. This is an Introduction and First Reading of Ordinance 576 which was presented in draft form at the February 14, 2012 Council meeting. Ms. Wold wanted to add for clarification purposes that "nothing in GC Section 65852.2 or 65852.150 shall be construed to supersede or in any way alter or lessen the effect of application of the California coast Act except that the local government shall not be required to hold public hearings for coast development permit applications for second units." Mayor Yates opened the hearing for public comment. ® Betty Winholtz restated her previous opposition to this ordinance stating: it is inaccurate that increasing the size of secondary units is a benefit to low income housing: the ordinance C MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MARCH 13, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. relaxes the neighborhood character standards: this does away with deed restrictions that eliminates the need of having one of the homes on the property "be in charge of the other home and. adding 300 square feet adds another bedroom which adds another car which increases gas emissions. Dorothy Cutter felt that this Ordinance was an insult to the residents of Morro Bay. Work -shops were held and it was found that people don't want large houses and definitely don't want two (2) large houses on a lot. She feels this will create too many rental units; crowding on small lots and parking problems. Mayor Yates closed the hearing for public comment. Councilmember Smukler feels that this seems arbitrary and overrides a valid and thoughtful public input process. He doesn't agree that the increase of secondary units will increase the affordability of housing. Councilmember Borchard requested information on the previously held public process. City Attorney Rob Schultz responded that there have been no specific workshops on this topic. The topic may have been discussed when there were public workshops on mansionizaiton or neighborhood compatibility. ® Councilmember Johnson requested information on whether you could run a business through one of these secondary units to which the answer was yes, through the City's Home Occupation Permit process like everybody/everywhere else. She also asked if setbacks applied to building a second unit to which the answer was yes. MOTION: Councilmember Borchard moved the City Council Adopt the Negative Declaration; adopt the proposed ordinance amendments that would allow for ministerial secondary dwelling units in residential zones: and, approve the First Reading and Introduction of Ordinance 576 by number and title only. The motion was seconded by Councilmember Johnson and carried 4-1 with Councilmember Smukler voting no. C. UNFINISHED BUSINESS C-1 CONSIDERATION OF. ESTERO BAY TRANSIT SERVICE PROPOSAL: (PUBLIC SERVICES) Janeen Burlingame, Management Analyst, presented her staff report on the Estero Bay Transit Service Proposal. She highlighted the changes from the September proposal — it is still lacking North Main late afternoon coverage; South Morro Bay would see a reduction in service frequency; the Beach Tract would lose service frequency; the regular and discount base fare would increase; and, we would lose the City's current Demand Response service as ® the Call -A -Ride service would stop operating. It is staffs feeling that this proposal is not in the best interest of the community and is not being recommended for implementation. G 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MARCH 13, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Councilmember Smukler wants what's best for the transit future of Morro Bay; he is excited about the involvement of PWAB and feels he wants to give PWAB the opportunity for review of what the final plan might be. He also thinks that since we are transitioning as a result of a major change; it would be good to give it a bit more time to see what the trends reflect. Mayor Yates requested information on our ridership — is it up or down. Ms. Burlingame stated that we are in the 2°d year of transition which was a major shift. We are currently seeing a 30-40% increase in ridership over the same time period last year and thinks that it will get better now that the enhancements are in place. Mayor Yates went on to say that he is in support of recommendation #2 and would like to see PWAB continue in their efforts. Councilmember Borchard was concerned that our ridership is still only at '/ of the average. She feels we will continue to be challenged with a change in service based on a decrease of subsidized funding and is supportive of having PWAB finish what they started. Councilmember Johnson asked for clarification of what "penalties for non-compliance meant". Ms. Burlingame assured her that currently we are not out of compliance. MOTION: Councilmember Borchard directed staff to follow recommendation #2 listed ® on Item C-1 — continue working with SLOCOG and return to PWAB and Council. The motion was seconded by Councilmember Smukler and carried unanimously 5-0. Councilmember Smukler wanted to ensure that the trolley component will be included in further discussions. D. NEW BUSINESS D-1 REVIEW OF THE MORRO BAY SPRINKLER ORDINTANCE; (FIRE) Chief Mike Pond presented his informational staff report on the City's current Sprinkler Ordinance. The City's Sprinkler Ordinance is more restrictive than the minimum code requirements found in the California Fire Code and California Building Code: however; the Ordinance is also in line with the majority of San Luis Obispo County. Chief Pond stressed his strong support for the use of fire sprinklers and is not recommending changes to the Ordinance. Councilmember Borchard doesn't want to see a requirement being cost prohibitive for a proposed change in a building for a less intense use. Mayor Yates concern is in construction costs as fire sprinkler installation is very expensive. Chief Pond responded that as of 2010, the State Fire Code mandates fire sprinklers are ® installed with any new residential building; no matter the size. 7 LJ MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MARCH 13. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Councilmember Borchard stated it is very challenging to try and weigh the economic factors of attempted use versus the limited resources of our fire suppression staff. At this time, she is not prepared to make a change without further evaluation. Councilmember Johnson said that safety has to be first; even given the understanding of the cost of installation. Mayor Yates stated we need to look long range and that this report has been quite educational. Councilmember Smukler appreciates the fact that the Chief has some discretion to apply some of the local rules and feels that their concerns have been heard. No action was taken on this item as it was informational only. D-2 RECOMMENDATION ON BEACH ACCESS RAMP AT MORRO ROCK: (PUBLIC SERVICES/RECREATION' & PARKS) Public Services Director Rob Livick presented his staff report on the status of the development of a beach access ramp from the Rock parking lot to the beach. This item was ® last heard at the Council level on October 11, 2011 where it was sent for review to the Recreation & Parks Commission. the Harbor Advisory Board and the Public Works Advisory Board. All of the boards were in agreement that improved access to the beach was needed. Staff wanted to re -enforce the fact that any access to the beach would need to comply with ADA and apply io all users. Councilmember Smukler thanked all the Advisory Boards and staff for how this has evolved. He would like to see the following included: a volunteer component for installation: a sponsorship component only alternative funding sought; and; the need to avoid impacts to the view corridor. Councilmember Leage agreed with the need for a walkway but went on to say that first and foremost, the revetment needs to be stabilized before moving forward. Councilmember Johnson isn't in favor of this at this time as there is already a beach access ramp there. Also; the area in question is often times covered up with water. In addition; it will be incredibly difficult to build something over rocks. Her final concern was wondering what the Coastal Commission would say to an improvement like this. Councilmember Borchard wants to ensure access to all so is in favor of moving forward with this concept. Keeping the pathway in as natural of a state as possible would be preferred. Mayor Yates would also like to see this kept as natural as possible and would like to go after funding as opposed to waiting for the funding to become available. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — MARCH 13. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. L�J N4OTION: Councilmember Smukler moved the City Council support the beach access concept and direct staff to return within six (6) months with an update. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. E. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Borchard requested a reconsideration of a motion made at the last meeting with regards to the possibility of putting out an RFP for the Visitor's Center. Mayor Yates and Councilmember Smukler concurred. Councilmember Johnson requested staff look at preparing an explanation guide for businesses regarding the Emergency Interim Sign Ordinance; Mayor Yates and Councilmember Smukler concurred. Councilmember Leage requested a discussion of "unfriendly" sidewalks in commercial zones throughout the City: Councilmember Johnson and Mayor Yates concurred. Councilmember Smukler requested a discussion item on the Community FM Radio station being proposed in Morro Bay; Mayor Yates and Councilmember Borchard concurred. Councilmember Smukler requested a discussion on a TOT Reinvestment Ordinance which would create opportunities for improvements to businesses without using general fund monies: Councilmember Johnson and Councilmember Borchard concurred. Mayor Yates requested a Resolution requesting Morro Strand State Campground remain open; Councilmember Johnson and Councilmember Borchard concurred. ADJOURNMENT The meeting adjourned at 8:31 p.m. Recorded by: ire Boucher City Clerk u 6 City of Morro Bay ® Morro Bay, CA 93442 (805) 772-6205 NOTICE OF SPECIAL MEETING NOTICE IS HEREBY. GIVEN that the Morro Bay City Council will be holding a Special Meeting on Thursday, March 8, 2012 at 5:00 p.m. to be held in the Morro Bay City Hall Conference Room, 595 Harbor, Morro Bay, California. The City Council will be discussing the following: ® • Authorization to hire a consultant to conduct the recruitment process to fill the Chief of Police Position. DATED: March 5, 2012 Ja 'e Boucher, City Clerk ® FINANCE 595 Harbor Street ADMINISTRATION 595 Harbor Street FIRE DEPT. 715 Harbor Street PUBLIC SERVICES 955 Shasta Avenue HARBOR DEPT. CITY ATTORNEY POLICE DEPT. 1275 Embarcadero Road 595 Harbor Street 850 Morro Bar Boulevard RECREATION & PARKS 1001 Kennedy war ® 0 City of Morro Bay Morro Bay, CA 93442 (805) 772-6205 MORRO BAY CITY COUNCIL GOAL SETTING WORKSHOP NOTICE IS HEREBY GIVEN that the Morro Bay Cite Council will be holding a Goal Setting Workshop on Tuesdav, March 6, 2012 from 1:00 — 4:30p.m. to be held in the Communitv Center Multi -Purpose Room located at 1001 Kennedy Way, California; this workshop will begin with a public comment period followed by the City Council then discussing priorities and identifiving success factors. NOTICE 1S FURTHER GIVEN that the Morro Bay City Council will be holding a Goal Setting Workshop on Wednesday, March 7, 2012 from 8:30 a.m. - noon to be held in the Community Center Lounge located at 1001 Kennedy Way, California; this workshop will begin with a public comment period followed by the City Council then re«ewing and prioritizing goals, and defining success for priorities. DATED: March 2, 2012 r wu Jamie Boucher, City Clerk 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 MEETINGS. ® 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. CITY COUNCIL/PLANNING COMMISSION JOINT MEETING TUESDAY, FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 5:00 P.M. 209 SURF ST., MORRO BAY, CA I. ESTABLISH QUORUM AND CALL MEETING TO ORDER 11. PLEDGE OF ALLEGIANCE III. DUTIES AND RESPONSIBILITIES Pursuant to the Morro Bay Planning Commission By -Laws, the Planning Commission, upon the request of the City Council, shall hold a joint meeting to discuss proposed policies, programs, goals and objectives, budgeting, future planning, or any other planning matter requiring joint deliberation. IV. PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council and Planning Commission on matters on this special meeting agenda may do so at this time. V. JOINT MEETING DISCUSSION ITEMS Planning Commissioner Requested Discussion Items: • Subdivision Ordinance Review Sub -Committee; and • Commercial Fagade Improvement Program. VI. ADJOURNMENT — This meeting will adjourn to the regularly scheduled City Council meeting. E MINUTES - MORRO BAY CITY COUNCIL/PLANNING COMMISSION JOINT MEETING — FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m AGENDA NO: A-1 MEETING DATE: 3/13/2012 PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember Rick Grantham Chairman John Solu Vice Chair John Fennacy Planning Commissioner Paul Nagy Planning Commissioner Jessica Napier Planning Commissioner STAFF: Andrea Lueker City Manager Robert Schultz City Attorney Rob Livick Public Services Director Kathleen Wold Planning Manager Sierra Davis Assistant Planner Jamie Boucher City Clerk ESTABLISH QUORUM AND CALL MEETING TO ORDER II. PLEDGE OF ALLEGIANCE III. DUTIES AND RESPONSIBILITIES Pursuant to the Morro Bay Planning Commission By -Laws, the Planning Commission, upon the request of the City Council, shall hold a joint meeting to discuss proposed policies, programs, goals and objectives, budgeting, future planning, or any other planning matter requiring joint deliberation. IV. PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council and Planning Commission on matters on this special meeting agenda may do so at this time — there was no public comment. V. JOINT MEETING DISCUSSION ITEMS Planning Commission Requested Discussion Items: A) Subdivision Ordinance Review Sub -Committee Commissioners Nagy and Napier have been studying the Subdivision Ordinance and ® the Zoning Ordinance identifying inconsistencies between the two. After compiling a list, they intend sharing the information with the Planning Commission and staff before handing it to the City Council for their review. The goal of the project is to ® find ways to streamline the process. Chair Grantham suggested Council appoint a member to sit on this subcommittee as well. Councilmember Johnson volunteered to be a member of this sub -committee. B) Commercial Facade Improvement Program The Planning Commission asked staff what the status of the Facade Improvement Program was. Public Services Director, Rob Livick stated that staff was stillin discussions with a local bank. Their manager is still working with their Board of Directors to get approval for the process. Unfortunately we can't market the proposal to local businesses until we get the partner bank on board. Members of the Council and Planning Commission expressed their desire to move forward with this project, even if it means contacting an alternative local bank. Commissioner Nagy hoped that this process could be streamlined a little bit more with the possibility of reduction of permit fees and maybe even a blanket encroachment permit which would encourage business owners to participate. Public Services Director Rob Livick spoke to the fact that there would be letters mailed out as part of the Facade Improvement Program marketing plan. He added that the City already has a blanket encroachment permit for those purposes discussed. Within the context of the letter, he will include those provisions. Commissioner Solu also encouraged the terms of these potential loans be included in the letter as additional incentive. ® VI. ADJOURNMENT— 5:35 p.m. This meeting adjourned to the regularly scheduled City Council meeting. Recorded by: Jamie Boucher City Clerk DI 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 — FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA .ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE 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. • The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official, commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause, comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. LIJ In compliance with the Americans with Disabilities Act, if you need special assistance to ® participate in this meeting, please contact the City Clerk, (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF JANUARY 24, 2012 AND FEBRUARY 14, 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 AUTHORIZATION FOR ATTENDANCE AT THE C-MANC ANNUAL WASHINGTON D.C. MEETING; (HARBOR) RECOMMENDATION: Approve authorization for a two -person delegation, the City Manager and Harbor Operations Manager, to attend the C-MANC meetings. ®, A-3 RESOLUTION 11-12 AUTHORIZING THE CITY MANAGER TO BID AT THE U.S. GENERAL SERVICES ADMINISTRATION AUCTION ON CERTAIN REAL PROPERTY LOCATED AT 3300 PANORAMA AUTHORIZING PAYMENT OF REQUIRED FEES AND DEPOSITS AND EXECUTION OF ALL NECESSARY DOCUMENTS; (CITY ATTORNEY) DI RECOMMENDATION: Adopt Resolution 11-12 B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 APPEAL OF THE PLANNING COMMISSION'S DECISION TO DENY SIGN EXCEPTION #SPO-141 (VIRG'S LANDING SIGNS); (PUBLIC SERVICES) RECOMMENDATION: Deny the appeal and uphold the Planning Commission's denial of Sign Exception #SPO-141. B-2 APPEAL OF COMMERCIAL FISHING SLIP WAIVER DECISION BY HARBOR ADVISORY BOARD; (HARBOR) RECOMMENDATION: Overturn the Harbor Advisory Board's appeal and grant the fishing slip waiver. 2 B-3 APPROVAL OF THE MORRO BAY BICYCLE AND PEDESTRIAN MASTER ® PLAN; (PUBLIC SERVICES) RECOMMENDATION: Approve Resolution 12-12 adopting the Morro Bay Bicycle and Pedestrian Master Plan. B-4 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM FUNDING RECOMMENDATIONS FOR 2012/2013; (PUBLIC SERVICES) RECOMMENDATION: Review, and approve funding recommendations for the 2012 Community Development Block Grant (CDBG) program and approve adjustment of awards on a proportional basis upon final receipt of the 2012/2013 funding allocation from the Department of Housing and Urban Development (HUD). C. UNFINISHED BUSINESS — NONE. D. NEW BUSINESS D-1 DISCUSSION OF DIRECTOR OF TOURISM AND FORMATION OF A TOURISM BUREAU; (ADMINISTRATION/CITY ATTORNEY) ® RECOMMENDATION: Staff recommends City Council authorize moving forward with forming a separate 501(c)(6) non-profit entity; begin the process of combining the TBID and Community Promotions Committee Boards; and, continue with the Visitor Center contract with the Chamber of Commerce for fiscal year 2012-2013. D-2 REVIEW OF THE MORRO BAY SPRINKLER ORDINANCE, (FIRE) RECOMMENDATION: This item is informational only. E. DECLARATION OF FUTURE AGENDA ITEMS F. 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 772-6205 FOR FURTHER INFORMATION. MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE ® CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR 3 u STREET; AND MILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. 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. n LJ MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m T Y- _ _. .. lea •:y. AGENDA NO A=1 MEETING DATE: 03/13/2012 , PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz City Attorney Jamie Boucher City Clerk Rob Livick Public Services Director Tim Olivas Police Chief Mike Pond Fire Chief Susan Slayton Administrative Services Director Eric Endersby Harbor Operations Manager Joe Woods Recreation & Parks Director Kathleen Wold Planning Manager Barry Rands Associate Engineer Cindy Jacinth Administrative Technician ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS, ANNOUNCEMENTS PRESENTATIONS CLOSED SESSION REPORT — There was no closed session held this evening. PUBLIC COMMENT Charlie Kleeman, owner of the Forever Stoked provided the City local business report. Located at 1164 Quintana, Forever Stoked sells artwork and jewelry; they host art shows every couple of months; and, are excited that the demand for their products is growing rapidly. They have a goal of being able to sell all locally -made items. He and his partner, Chris Peterson, are excited to be apart of the Moro Bay Community. Jean Lamaroe and Rene Bishop spoke on behalf of the SurvivOars. They are a diverse group of women, most of whom are cancer survivors, others cancer survivor supporters, whose goal is to rebuild strength of body and mind. They do this in part by participating in their rowing club as team members working together and for each other. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. John Solu spoke representing the City's lodging industry. John requested Council approve and move forward the Eckles/Alexander Plan A and uphold the TBID's unanimous decision. To achieve the best results for businesses and the City Treasury, all of the marketing resources should be consolidated, both financially and human, into one organization and Plan A does that. Craig Schmidt, CEO of the Chamber of Commerce spoke in support of Plan A+ which he feels addresses the desires the TBID and also retains the Visitor's Center contract with the Chamber of Commerce. This will be of mutual benefit to the City, the Chamber and ultimately the community. There are good reasons why the City contracts its Visitor's Center and fulfillment .services with the Chamber: first is fiscal responsibility; second, it promotes ethicacy; third, would allow for total representation of all business segments; and finally, confidence in the services provided. The removal of the Visitor's Center from the Chamber will have long lasting effects and the whole program of their work would have to shrink. John Weiss spoke advocating fiscal responsibility and the use of existing infrastructure. He encouraged Council maintain the Chamber's contract for the Visitor's Center as it currently works. His research shows, especially in small towns, people assume that the Visitor Center and Chamber resources will be shared. He stressed that if the Council and citizens believe a director of tourism is needed, he feels the Chamber can continue to support and fulfill that plan by assisting the effort with office, staff, and years of visitor serving experience. He advocates for Plan A+. Dan Reddeli has the highest respect and admiration for all members representing their interests tonight and feels that the goals of both proposals are the same. He feels the difference is in the "how" — the goal of the TBID/CPC is through "advanced technology' and the goal of the Chamber is through "human contact". He feels we can reach these.goals by blending these philosophies, and placing the members of this new board on the Chamber of Commerce Board which would create one of the most dynamic and most technologically advanced Chambers of Commerce on the Coast. Mary Lucinda, who works with CAPSLO, read a letter written by Dee Torres, Director of Homeless Services requesting the City's financial support from the 2012 CDBG Program funds to support on -going operations of the Prado Day Center as well as the Maxine Lewis Memorial Overnight Shelter in the amount of S 10,000. Bill Coy spoke advocating his support of the Chamber of Commerce and what they are trying to do. First wanted to invite everyone on September 15u' and 16`s to the Avocado/Margarita Festival which should be one of the largest events in Morro Bay history. He would hate to see resources taken away from the Chamber because at this particular time they need more not less resources. 2 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Betty Winholtz spoke on Item A-3 with concerns that it is on the Consent Calendar, that there was no staff.report, that there was no bid ceiling mentioned and no information about what the City intends to do with the property. Brian Stacy spoke in support of Item B-2. With the years of recognized fishing disasters as well as those that have not been recognized and still not financially viable to the local fishermen — 2006 and 2010 — he feels that the applicant should be granted his slip waiver. Barry Brannon spoke on the wastewater treatment plant site. He feels that if the value of the site is factored into the relocation costs, you will find out that these questions have actually saved citizens money. Joe Yukich wondered why Morro Bay doesn't participate in the SLO Film Festival; he hopes that next year we will. He also questioned what the real costs of the Director of Tourism proposals were and that Council should be making their decisions based on which is most cost effective and has the highest cost benefit. Lori French, who wears many Morro Bay hats, encouraged Council to seek unity; dividing the City up is not what we need right now. She feels that the combined Chamber and Visitors Center provides a very valuable service. She also spoke in favor of granting the ® fishing slip waiver. Nick Mendoza serves as a member of the TBID and is also a Chamber supporter. There was consensus at the 2 workshops that were held that a Director of Tourism was needed. After that was decided, there needed to be a structure to put that Director of Tourism in place. He also noted that while our sales tax numbers are going up, they aren't going up as much as they are in other places. He doesn't feel it is working the way it should be right now and feels that the formation of the 501(c)(6) is the right move; this should result in a positive partnership with that organization and the Chamber. Susan Stewart, who serves as the Chairperson for the Community Promotions Committee is concerned that we have gotten away from the original question of "do we need a Director of Tourism?" and instead have been forced to choose between 2 formats for a complete or partial restructuring of the Tourism Advisory Boards, Visitor's Center and Chamber of Commerce. She feels that if the TBID would like to move forward with the formation of the 501(c)(6), a new board, a new office and a new tourism director they should be allowed to, just not with City funding. One clarification she made was that the CPC does not feel that it is in the best interest of the community to combine the TBID and CPC Boards. And finally, she believes that the CPC has a valuable role in the promotion of the community. Janice Peters wanted to offer a different option to the tourism proposal — Option "C" — Consider Creating a Compromise. The key points to this proposal are: the TBfD forms a ® 501(c)(6) with its own board and funding who would then decide whether or not to hire a Q MLNUTES - MORRO BAY CITY COUT'CIL REGULAR MEETING — FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. marketing director; CPC remains a City Advisory Board with an appropriate budget charged with in -county promotion of City events; the website and agreed upon co-op advertising costs would be shared by TBID and CPC; the Chamber continues to operate the Visitors Center for the 2012/13 fiscal year with an RFP going out before the 2013/14 fiscal year. She feels this option responds to all concerned parties without making drastic changes. Dan Podesto feels that neither Plan A nor Plan A+ addresses the issue of need — does Morro Bay need a tourism director? He expressed concerns with Plan A as he feels it misrepresents the effectiveness of the current organizational structure, that he thinks the cost of creating a 501(c)(6) will be greater than anticipated and in leave fewer dollars for marketing Morro Bay, but his greatest concern is that a majority of the newly created advisory board's make- up will be hoteliers who he feels may not have the best interests of all Morro Bay businesses in mind. Mr. Podesto supports Ms. Peter's Plan C. Jamie Irons announced the 3'a Annual Black Mountain Trail Work Day being held on Sunday, March 1 lu' at 8am. This project is being done in conjunction with State Parks and the CCCMB (Central Coast Concerned Mountain Bikers). He encouraged trail runners and riders to come out and support the trail. He also voiced concern that the goal setting workshops scheduled for next week were both being held during the day which doesn't allow full citizen participation, he hoped that staff would consider adding an evening session. ® Bill Shewchuk feels that combining the TBID and CPC is a logical decision to make but how the board members of the TBID and CPC are to be allocated is important — it should be weighted equally. He also feels the Chamber should stay intact, as their job is to drive customers/visitors into our town. He feels that we should take advertising money funds and actually advertise, which would be better than adding a body. E Joan Solu spoke in favor of Plan A and presented a power -point presentation. There was direction to conduct workshops to develop a job description for a Director of Tourism but based on the information received, it became clear that the existing structure would not support the position. The TBID unanimously recommends that Council adopt Plan A which would consolidate all tourism activities including the Visitor's Center under the direction of one board consisting of 9 members — 5 hoteliers and 4 other tourism related businesses; allow the new advisory board to form a 501(c)(6) who would then hire a director of tourism, award contracts, pay bills and perform other tourism business related activities. She feels that marketing and branding the destination by unifying the tourism efforts for every business and the city is the priority. Mayor Yates closed the public comment period. Item D-2. REVIEW OF THE MORRO BAY SPRINKLER ORDINANCE was moved to the March 13, 2012 Council Meeting. 4 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called for a break at 7:11 p.m.; the meeting resumed at 7:39 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF FEBRUARY 28, 2012; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. A-2 AUTHORIZATION FOR ATTENDANCE AT THE C-MANC ANNUAL WASHINGTON D.C. MEETING; (HARBOR) RECOMMENDATION: Approve authorization for a two -person delegation, the City Manager and Harbor Operations Manager, to attend. the C-IMANC meetings. A-3 RESOLUTION 11-12 AUTHORIZING THE CITY MANAGER TO BID AT THE ® U.S. GENERAL SERVICES ADMINISTRATION AUCTION ON CERTAIN REAL PROPERTY LOCATED AT 3300 PANORAMA AUTHORIZING PAYMENT OF REQUIRED FEES AND DEPOSITS AND EXECUTION OF ALL NECESSARY DOCUMENTS; (CITY ATTORNEY) RECONIMENDATION: Adopt Resolution 11-12 Councilmember Smukler pulled Item A-3 from the Consent Calendar. MOTION: Councilmember Johnson moved the City Council approve Item A-1 and A-2 of the Consent Calendar. The motion was seconded by Mayor Yates and carried unanimously 5-0. Councilmember Smukler asked staff where we are in the bidding process for 3300 Panorama. City Attorney stated the next step in the process would be to request an appraisal. MOTION: Councilmember Smukler moved the City Council approve Item A-3 of the Consent Calendar. The motion was seconded by Councilmember Johnson and carried unanimously 5-0. B. PUBLIC HEARINGS. REPORTS & APPEARANCES 5 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. B-1 APPEAL OF THE PLANNING COMMISSION'S DECISION TO DENY SIGN EXCEPTION #SPO-141 (VIRG'S LANDING SIGNS); (PUBLIC SERVICES) Councilmembers George Leage and Carla Borchard had to step down from the dais due to a conflict of interest. Planning Manager, Kathleen Wold presented her staff report recommending Council deny the appeal and uphold Planning Commission's denial of Sign Exception #SPO-141 as it is an off -premise sign (billboard) which are specifically prohibited in the City's Zoning Ordinance. While there are provisions which provide for exceptions, those must be approved subject to findings. Staff reviewed the proposal in relationship to the required findings and was unable to make all the required findings for approval. Cathy Novak; representing the appellant Virg's Landing, gave her presentation. She covered the history of the original sign request, the Planning Commission decision and then spoke on specific points regarding the appeal. Ms. Novak feels that the sign exception should be allowed as they feel this particular sign encourages communications which aid in orientation and identifies activities; preserves the aesthetic character of the surroundings; relates to basic principles of good design and pleasing appearance-, and, doesn't overload the public's capacity to receive information — all points that relate to the billboard section of the Zoning ® Ordinance. In addition, this directional and display sign is in public; not private property; which is dealt with in the Zoning Ordinance in a separate section. This section states that directional and community promotion sign programs advertising, directing or informing pedestrians of business service or community events and services not related to or located on the site shall be permitted in commercial use areas of the City on public lands or rights -of - way upon granting of an exception permit. After 57 years in the same location, Virg's had to relocate; this has caused confusion, frustration and loss of charter and private "fisher folk" to Morro Bay. They feel this information signage is vital to assisting the visiting "fisher folk" to the new shop as opposed to losing them to competing communities. Finally, the applicant is amenable to a project condition that would specify the length of time the sign is allowed — Vim's would ask for a 2 year period and an option for the Public Services Director or Planning Commission to revisit the issue before that expiration date to see if it needs to remain longer. Mayor Yates opened the hearing for public comment; seeing no one wishing to speak, Mayor Yates closed the hearing for public comment. Mayor Yates noted that the sign has been there for several months and hasn't bothered anybody and to his knowledge, we haven't received any complaints. There are special circumstances surrounding this business and he would like to be able to direct Rob Schultz to find special circumstances that would allow this. 0 CJ MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Councilmember Johnson is favor of also upholding the appeal as it is a waterfront business that has had to move away from the water; is one of our oldest businesses but most importantly, is the only business in Morro Bay that sells fishing licenses. Councilmember Smukler is inclined to agree with Mayor Yates and Councilmember Johnson but is wrestling with the sensitivity in the community of being fair and that this might be opening the door for other exceptions. He would prefer a sunset written in this in the exemption. MOTION: Mayor Yates moved the City Council uphold Virg's appeal for sign exception SPO-141 and direct the City Attorney to draft findings to uphold this decision, to allow the exception for 2 years, and to have the Public Services Director, at his discretion, extend or deny the extension after the 2 years. The motion .was seconded by Councilmember Johnson and carried 3-0-2 with Councilmembers Borchard and Leage needing to abstain. B-2 APPEAL OF COMMERCIAL FISHING SLIP WAIVER DECISION BY HARBOR ADVISORY BOARD;.(HARBOR) Harbor Operations Manager Eric Endersby gave the staff presentation. As required, three ® fishermen appealed in writing to the Harbor Advisory Board for fishing slip waivers. The two fishermen in attendance at the Harbor Advisory Board meeting were granted their waivers and the one who was unable to attend was not. Per Resolution #23-91, that fisherman is. now appealing that decision to Council this evening. Should the appeal be denied; the fisherman would be required to vacate his slip. Should the appeal be upheld, the fisherman would be granted a waiver Fisherman and Appellant Joe Nungaray stated that he is here complying with Resolution 23- 91 in submitting fuel tickets and receipts for fish caught but didn't' catch the required limit due to personal reasons. At that point, as advised, he submitted a waiver request to the Harbor Advisory Board. Mr. Nungaray was never told that he needed to attend the Harbor Advisory Board meeting. The Harbor Advisory Board denied that waiver due to his lack of attendance at the meeting. He is asking that Council reconsider his waiver tonight. Mayor Yates opened the hearing for public comment. Brian Stacy spoke on behalf of Mr. Nungaray. He stated that Mr. Nungaray has been out trying to fish, it was just a terrible season. He supports staffs request to grant the waiver. Mayor Yates closed the hearing for public comment. a 7 E MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Councilmember Borchard is personally sorry that Mr. Nungaray was here tonight and feels that he was singled out because he wasn't able to attend the Harbor Advisory Board meeting. She absolutely supports Mr. Nungaray's appeal. Councilmember Johnson echoes Councilmember Borchard's sentiments as does Councilmember Smukler and wishes the Harbor Advisory Board discuss the Salmon Fishing disaster. Mayor Yates says this shouldn't have happened and is sorry as Mr. Nungaray was absolutely not required to have attended the Harbor Advisory Board meeting. He hopes that staff will take this decision and the flavor of what he is hearing back to the Harbor Advisory Board so that this will not happen in the future. MOTION: Councilmember Borchard moved that Council uphold Mr. Nungaray's appeal and grant him an exemption for this past year. The motion was seconded by Councilmember Johnson and carried unanimously 5-0. B-3 APPROVAL OF THE MORRO BAY BICYCLE AND PEDESTRIAN MASTER PLAN; (PUBLIC SERVICES) ® Associate Engineer Barry Rands presented the Morro Bay Bicycle and Pedestrian Master Plan staff report to Council. He thanked the various groups who all took part in putting this document together with special thanks to the public for their enthusiastic support. Of special note, the City will benefit in numerous ways from the implementation of this plan including increasing the safety and convenience of travel for cyclists and pedestrians, enhancing the City's eligibility for grant funding, creating more reasons for tourists to visit Morro Bay and stay longer, and helping our residents stay fit and reduce reliance on imported energy. Mr. Rands recommends adoption of the plan. Mayor Yates opened the hearing for public comment. Dan Rivoire, Executive Director of the SLO Bicycle Coalition, thanked staff for bringing this forward and Council for hearing their public comments. He stressed that an approved bike plan will help the City with some of the fiduciary concerns as we will now be able to apply for bicycle account funds. Robert Davis spoke on behalf of the Morro Bay Citizen's Bike Committee who like the plan and appreciated all of the public input. 'He is happy that this will increase the safety of both pedestrians and cyclists as well as promote Morro Bay as a tourist destination. Dave Albrecht encouraged Council adopt this plan as it will make Morro Bay a more cyclist and pedestrian friendly City. He also said that the annual Lighthouse Ride which occurs each r�1 U 40 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. September and boasts over 1300 riders will be starting and ending at Morro Bay High School and they are very excited for this partnership. Amy Burton was here to show her support for the Plan. She feels this plan provides the avenue to address the area's bicycling needs and encourages its adoption. Christine Johnson, an avid biker and walker sees the benefit that the adoption of this plan can have, as with an approved plan, we will be eligible for grants that can improve our infrastructure. She also spoke of the Annual 4`h of July Bike Parade, which is the largest "All Ages Bike Parade", in the County. She also sees the value of being able to market Morro Bay as a bike and pedestrian friendly town. Jamie Irons supports the plan as well. This is a great opportunity for us as a City to implement.a plan that will provide funding for needed projects that were all done through the public process with input from the public. Geiska Velasques, who represents for SLOCOG, states that the plan has been reviewed by SLOCOG and deemed certified and is ready to be submitted for BTA eligibility. Anika Velasques who attends a charter school in Morro Bay would like it if the bike plan is would work as she is a big fan of biking. Mayor Yates closed the hearing for public comment. Councilmember Johnson gave her support to the plan. Councilmember Smukler is absolutely in support of it and complemented staff for facilitating and moving this forward. Councilmember Borchard is also in support of the plan. MOTION: Councilmember Smukler moved the City Council approve the 2011 Morro Bay Bicycle & Pedestrian Master Plan as presented. The motion was seconded by Councilmember Leage and carried unanimously 5-0. B-4 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM FUNDING RECOMMENDATIONS FOR 2012/2013; (PUBLIC SERVICES) Public Services Director Rob Livick presented the staff report requesting Council approve and provide awards on a proportional basis after final receipt of the 2012/2013 funding allocation from the Department of Housing and Urban Development. This year the City received 11 applications for CDBG funds. 7 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates opened the hearing for public comment; seeing no one wishing to speak; Mayor Yates closed the hearing for public comment. Councilmember Smukler has seen the list of requests for funding. As a result of hearing about the concerns of the homeless population; he thinks that its worthwhile to shift $8630 of these funds to CAPSLO as he feels this is a higher need at this point. Councilmember Leage will support this. Councilmember Johnson she is in favor of the apportionment of the monies as recommended. Councilmember Borchard knows that CAPSLO is very challenged right now with the homeless services in general and would also support shifting $8630 over and using the remainder of the funds with the handicapped project. Mayor Yates stated he can get behind the support of CAPSLO receiving the shifting of the monies; he feels we have enough volume of homeless who utilize those shelters to justify the expenditure. MOTION: Councilmember Smukler moved the City Council approve the CDBG Block ® Grant funding request with the following adjustment - S8630 going to the CAPSLO's Homeless Shelter request and the remainder going to projects as recommended. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. E Mayor Yates called for a break at 8:43 p.m.; the meeting resumed at 9:00 p.m. C. UNFINISHED BUSINESS — None. D. NEW BUSINESS D-1 DISCUSSION OF DIRECTOR OF TOURISM AND FORMATION OF A TOURISM BUREAU; (ADMINISTRATION/CITY ATTORNEY) City Manager Andrea Lueker presented the staff report recommendinga blending of aspects of both the Eckles/Alexander proposal and the Chamber proposal to include combining the TBID and CPC Advisory Boards; to incorporate a 501(c)(6) to implement and administer an Annual Work Program that Council would approve and retain ultimate authority over; that the Visitor's Center remain under contract with the Chamber of Commerce for fiscal year 2012/2013: and that the funding amount for the Visitor Center contract and new nonprofit contract be determined during the budget process. 10 �J MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Councilmember Leage's goal is for us to bring in more revenue to Morro Bay and to do this we need more tourists. He sees Morro Bay as the jewel of the Central Coast. He would also like to see Director of Tourism position's name changed to the Director of Marketing. He is in support of a Tourist Bureau, of disbanding the CPC and forming a new corporation. He. definitely feels like decisions need to be made tonight as we don't have time to fool around. Councilmember Smukler thanked the members of the public, who spent time and put thought into this process over the last year. He continues to go back to the fact that this is tax payer money and how can we form this to bring the most funds into the community and respect the rate payers' money. He feels there is value to both proposals. To date we have been focused on the tourism and promotions side. He is excited to partner with the TBID as they take the lead on the marketing and promotions side and to partner with the Chamber on the Economic Development side. He is supportive of the formation of a new non-profit as soon as possible: wants to make sure we don't allocate all funds that go through the CPC so that they can be used for investment in an economic development program that he would like to see the Chamber provide; possibly use City facilities as offices for the Chamber and/or Tourism office. He would also like to see the Chamber's contract extended through the end of 2012. Councilmember Johnson agrees with Councilmember Smukler. She too appreciates the time everybody took in coming out tonight to share their opinions even though they differ. She ® would like to look at a 501(c)(6) and get it going right away. She feels we need a Chamber that can reach out and bring a strong economic base to our community. Of probably the most importance - the use of taxpayer monies — where is it going and how is it being spent? Councilmember Borchard stressed that the money that the TBID controls is their assessed money and is different money than the money from the general fund. She feels that they've known since the creation of the TBID that we would be interested in merging the two boards. And while the Chamber, through the Visitor's Center, does a wonderful job in getting the word out about local events and local businesses to the people in town, she realizes that over time, that will change with the onset of social media. She would also like to look at optional City owned locations for the Visitor's Center. She would also like to extend the Visitor's Center contract to the end of 2012 as it will give us time to transition into the tourist season. Mayor Yates agrees while these monies are technically tax payer dollars, they are in the form of TOT Tax that is collected and spent by TBID. He says we need to focus on the item and is concerned we are going to get too much into the ramifications of things. He also agrees that there is the potential for different City -owned physical locations available for re -locations. He supports the staff recommendation as it seems like a reasonable compromise. His vision is that the new corporation will drive the decision as to the location of and under the purview of who, of the Visitor's Center. He is also concerned with the fact that we are trying to tackle too much tonight. CI1 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. MOTION: Councilmember Johnson moved to authorize the City Attorney begin the process of forming the 501(c)(6) non-profit corporation to be named the Marketing Visitor's Bureau and to be in place no later than July 1, 2102. The motion was seconded by Councilmember Borchard and carried unanimously 5-0. MOTION: Councilmember Leage moved the Community Promotions Committee be dissolved effective June 30, 2012; that the TBID be renamed the Marketing and Visitor's Advisory Board to consist of 5 hoteliers from the existing TBID Board and 4 others from tourism related local businesses. The motion was seconded by Councilmember Johnson and carried unanimously 5-0. Councilmember Smukler asked whether or not this motion assumed that the CPC funds were automatically folded in? City Attorney Schultz responded that staffs recommendation would be no, until you see the full budget and are aware of the implications. He also questioned the hard date that was mentioned — will everybody be ready by that date? MOTION: Councilmember Smukler moved to invite the Chamber of Commerce to develop an economic development plan and submit that to the City Council for our review. The motion was seconded by Councilmember Borchard and carried 4-1 with Mayor Yates voting no. MOTION: Councilmember Johnson moved that the new Marketing and Visitor's Bureau be funded by the City's General Fund in an amount to be determined and from the hoteliers' self -assessment. The motion was seconded by Councilmember Leage and carved 3-2 with Mayor Yates and Councilmember Smukler voting no. MOTION: Councilmember Leage moved that the City extend the existing contract with the Chamber of Commerce through December 31, 2012. Effective January 1, 2013 the Marketing and Visitor's Bureau will expand its existing service agreement contract with the City to include the operations of the Visitor's Center. The motion was seconded by Councilmember Johnson and carried 3- 2 with Mayor Yates and Councilmember Smukler voting no. Mayor Yates wondered what the term `operations" meant — was it that they are in charge of giving the Visitor's Center contract or are they in charge of the Visitor's Center? City Attorney responded that as of January 1, 2013 we would be charged with developing a contract and an Annual Work Plan with the new corporation, based on this motion, this contract would include the operations of the Visitor's Center. MOTION: Councilmember Smukler moved we direct staff to initiate dialogue with the ® Chamber of Commerce and the Tourism Bureau separately about potential 12 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 28, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. locations of their office and operations within City facilities. The motion was seconded by Councilmember Johnson and carried 4-1 with Mayor Yates voting no. D-2 REVIEW OF THE MORRO BAY SPRINKLER ORDINANCE; (FIRE) This item was moved to the March 13, 2012 Council Meeting. E. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Borchard requests an informational item on Charter Communication Franchise Fees; Mayor Yates and Councilmember Johnson concurred. Councilmember Johnson requests a report on traffic patterns and issues at the San Jacinto/Main Street/@ Highway 1 area all the way up to San Jacinto: Mayor Yates and Councilmember Smukler concurred. ADJOURNMENT The meeting adjourned at 10:28 p.m. Recorded by: VI�Vr J e Boucher City Clerk li ® 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 — FEBURARY 14, 2012 CLOSED SESSION — FEBRUARY 14, 2012 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 City Manager, the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. 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 propem, as to two (2) parcels. Property: 3300 Panorama Drive Negotiating Parties: US General Services Administration and City of Morro Bay Negotiations: Purchase and Sale • Property: 895 Monterey Street Negotiating Parties: Woollev and 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 — FEBRUARY 14, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE 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. • The Council respectfully requests that you refrain from making slanderous. ® profane or personal remarks against any elected official, commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause, comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk, (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. 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 CITY COUNCIL MNUTES FOR THE REGULAR MEETING OF JANUARY 24, 2012; (ADMINISTRATION) ® RECOMMENDATION: Approve as submitted. ® A-2 AUTHORIZATION TO FILL ONE RECREATION AND PARKS DEPARTMENT MAINTENANCE WORKER II POSITION: (RECREATION & PARKS) RECOMMENDATION: Authorize staff to fill position. A-3 APPROVAL OF AMENDMENT #2 TO THE LEASE AGREEMENT FOR LEASE SITE 110-112/110W-112W. AND 20' OF THE EASTERLY PORTION OF 111.5W. BETWEEN THE CITY OF MORRO BAY AND GAFCO INC, LOCATED AT 1185 EMBARCADERO: (CITY ATTORNEY) RECOMMMENDATION: Adopt Resolution 10-12 approving Amendment 92 to the lease agreement for Lease Site 110-112/IIOW-112W and 20' of the easterly portion of 111.5W, between the City of D4orro Bay and GAFCO, located at 1185 Embarcadero. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-1 M. ARETE AND J. ROSS APPEALS OF MEDNA PRJECT: AMENDMENT TO SOO-089 AND CPO-276: (PUBLIC SERVICES) ® RECOMMENDATION: Deny the appeal and uphold the Planning Commission's conditional approval of the amendment to Subdivision #S00-089 and Coastal Development Permit #CPO-276. B-2 REVIEW OF DRAFT ZONING TEXT AMENDMENT A00-013 AMENDING SECTION 17.4832 (SECONDARY UNITS): (PUBLIC SERVICES) RECOi\UIIENDATION: Provide direction to staff to incorporate any changes and bring the Ordinance back to City Council for Introduction and First Reading. C. UNFNISHEDBUSINESS —NONE. D. NEW BUSINESS D-1 DISCUSSION ON THE CLOSURE OF ATASCADERO STATE BEACH (MORRO STRAND): (ADMINISTRATION) RECOMMENDATION: Review staff report and information provided by Mr. Franco regarding the potential closure of Atascadero State Beach .(Morro ® Strand) and provide staff with any further direction. 3 D-2 DISCUSSION AND CONSIDERATION OF REGULATING PUBLIC SMOKING; (CITY ATTORNEY) RECOMbIENDATION: Take direction from Council regarding whether to prepare an Ordinance regulating secondhand smoke in the City of Morro Bay. D-3 DISCUSSION AND CONSIDERATION OF AMENDMENTS TO MORRO BAY MUNICIPAL CODE CHAPTER 5.24 REGARDING TAXICABS; (CITY ATTORNEY) RECOMMENDATION: Review the staff report and MBMC 5.24 and direct staff to return with this item for Introduction and First Reading with any changes suggested by Council. E. DECLARATION OF FUTURE AGENDA ITEMS F. 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 772-6205 FOR FURTHER INFORiMATION. ® MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND MILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY i\IEETING, 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 AGENDA NO: A-1 MINUTES - MORRO BAY CITY COUNCIL MEETING DATE: 02/28/2012 ® CLOSED SESSION — FEBRUARY 14, 2012 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz City Attorney Susan Slayton Administrative Services Director Bill Avery Chief Negotiator CLOSED SESSION Mayor Yates adjourned the meeting to Closed Session. Mayor Yates read the Closed Session Statement ® CS-1 GOVERNMENT CODE SECTION 54957.6, CONFERENCE WITH LABOR NEGOTIATOR. Conference with City Manager, the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. 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: 3300 Panorama Drive Negotiating Parties: US General Services Administration and City of Morro Bay .Negotiations: Purchase and Sale • Property: 895 Monterey Street Negotiating Parties: Woolley and City of Morro Bay Negotiations: Voluntary Purchase and Sale ® The meeting adjourned at 5:50pm. 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 14, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz City Attorney Jamie Boucher City Clerk Rob Livick Public Services Director Tim Olivas Police Chief Mike Pond Fire Chief Susan Slayton Administrative Services Director Joe Woods Recreation & Parks Director Sierra Davis Assistant Planner ESTABLISH QUORUM AND CALL TO ORDER �1 MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS, ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — City Attorney Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. LJ PUBLIC COMMENT Chad and Amy Olivera, owners of the Waterfront Grill provided the City local business report. Located at 571 Embarcadero, in the Salt Building, the Waterfront Grill is open 5 days a week from 8am-8pm; they have been open since October. The Olivera's are excited to have developed a local following. On a personal note, they wanted to say that opening this restaurant has given them the opportunity to meet some very special people who have been very supportive, friendly and welcoming and they wanted to say THANKS for that. Al Abrams is petitioning the FCC to get a license for a Morro Bay Community Radio station. This will be a non-profit commercial and partisan free station. They want to provide emergency capabilities, tourist information and the residents a voice as it will be a forum to provide information on local issues, events, sports. etc... He is looking to put together a board of people that want to be part of this exciting opportunity. 2 �J MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 14, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Keith Taylor, acting as President of the Friends of the Fire Department, spoke about a fundraising opportunity via the sale of bricks that will be placed at the new Fire Department. The money raised by the sale of the bricks go towards scholarships benefitting the City's Reserve Firefighters in their on -going education. Tonight Keith presented David Gacad with a 5500 check to help with his costs as he attends Paramedic School. Dan Reddell has order forms for people interested in donating to the Friends of the Fire Department's Brick Project. The cost is 5125/brick and includes an engraved personalized saying. If interested, people can contact Keith Taylor at 772-2852. Dan also introduced 2 new members to the Friends of the Fire Department Board — John and Meredith Fennacy. Garry Johnson spoke on item D-2 (Discussion and Consideration of Regulating Public Smoking) stating that he has lost numerous friends to the hazards of smoking. He went on to give facts of the detriments of smoking including the effects of second hand smoke. He feels that this is a problem and we need to protect non-smokers. He feels having a workshop to discuss the problem and possible solutions would be a good idea. Rachel Borovay is San Luis Obispo County's Friday Night Live Coordinator for MBHS and LOMS, she went on to introduce local elementary, middle and high school students who all spoke on the effects of smoking. Students speaking on the issue were Isaac Stanton, Ariel, ® Paula. Haley Revalee, Hailey Ramos; Gabrina Narajas, Holly Requa, Angela Garelick, Rachel Ericson, Maddy Fugle, and Tiffany Revalee. They brought up the following topics as it relates to cigarette/tobacco use: ---causes cancer; —bad for the environment; —second hand smoke concerns; —causes asthma; —causes heart disease; and, stronger smoking regulations would decrease underage smoking. C Steve Hanson, the Medical Association member for the County Tobacco Control Coalition and Medical Director at Sierra Vista reiterated the concerns of the youth. He stressed that a third of the patients at the hospital are as a result of tobacco related illnesses; that stronger smoking regulations make parks and streets cleaner; that stopping smoking can add 15-17 years to a person's life; that he endorses Proposition 29 and thinks we should as well; and; that he feels going "tobacco free" is the way to go. Melissa works with the Tobacco Control Program in San Luis Obispo's County Health Department and wants to thank Morro Bay for contemplating drafting an Ordinance as well as commended staff for their thorough staff report. One important area that hasn't been mentioned is tobacco retail licensing, which is a way to ensure compliance checks used to monitor the sales of tobacco to minors, are funded and run on a consistent basis. Kathleen Carly, Manager of the Public Health Department that manages the tobacco health program echoed all the previous speakers' opinions on the issue of smoking. She brought up multi -unit housing and felt that apartment owners and/or managers would be on "your side" 3 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 14. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. with the proposed regulations. She stressed that their program was in place to support us and can help in drafting a comprehensive ordinance. Susan Maharry and Marlice Batestella with the Central Coast Women for Fisheries gave an update on their fundraising efforts for their public art project. To date they need $54,000 more to complete the project. If interested in donating, you can visit their website located at www.womenforfish.org. Jamie Irons announced the Black Mountain Trail Work Day being held on Sunday, March 11`s at 8am. This project is being done in conjunction with State Parks and the CCCMB (Central Coast Concerned Mountain Bikers). He encouraged trail runners and riders to come out and support the trail. Betty Winholtz spoke on agenda item A-1 (Approval of Minutes of Regular Meeting of January 24, 2012) as she wanted the phrase "...as a whole, our elected officials are..." be removed from her statement and instead add "...Councilmember Borchard is..." She also spoke on Item A-3 (Amendment 42 to Lease Site Agreement between the City of Morro Bay and GAFCO); she doesn't feel that splitting this development should be an issue but does feel that the Council should consider that the public benefit should come before personal benefit. In addition, there is a Eucalyptus tree on Morro Bay Blvd at the Reid Building that ® she is fearful is slowly dying, she hopes it isn't happening intentionally. And finally, she wanted to recognize the passing of Beverly Harvey, an active member of the community. C Joe Yukich spoke on Item A-2 (Authorization to Fill One Recreation & Parks Department Maintenance Worker II Position) requesting staff, in an effort to be more transparent, place more information in staff reports such as salary range and benefits. He also felt that some of our non -essential services can be contracted out. Jim Ross, with Morro Bay Beautiful, stated that in only one hour, he picked up a baggie full of cigarette butts at the southbound off -ramp at the roundabout. Laura Kelleher spoke in support of the beautification of Morro Bay; possibly with palm trees and bbq areas at the Rock, palm trees at the Chevron property, a public restroom at Toro Lane, and a public walkover at Highway 41 and Little Morro Creek Road. Mayor Yates closed the hearing for public comment. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. 2 u 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 14, 2612 VETERAN'S MEMORIAL HALL - 6:00 P.M. A-1 APPROVAL OF CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF JANUARY 24, 2012; (ADMIN'ISTRATION) RECOMA'IENTDATION: Approve as submitted. A-2 AUTHORIZATION TO FILL ONE RECREATION AND PARKS DEPARTMENT MAINTENANCE WORKER II POSITION; (RECREATION & PARKS) RECOMMENDATION: Authorize staff to fill position. . A-3 APPROVAL OF AMENDMENT #2 TO THE LEASE AGREEMENT FOR LEASE SITE 110-112/11OW-112W. AND 20' OF THE EASTERLY PORTION OF 111.5W, BETWEEN TFIE CITY OF MORRO BAY AND GAFCO INC., LOCATED AT 1185 EMBARCADERO; (CITY ATTORNEY) RECOMMENDATION: Adopt Resolution 10-12 approving Amendment #2 to the lease agreement for Lease Site 110-112/1IOW-112W and 20' of the easterly portion of 111.5W, between the City of Morro Bay and GAFCO, located at 1185 Embareadero. is Councilmember Smukler pulled Item A-] and A-2 from the Consent Calendar; Mayor Yates pulled Item A-3. A-1 APPROVAL OF CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF JANUARY 24, 2012; (ADMINISTRATION) Councilmember Smukler requested staff review Ms. Winholtz's public comments and bring the minutes back at the next meeting for approval. No action was taken on Item A-1. A-2 AUTHORIZATION TO FILL ONE RECREATION AND PARKS DEPARTMENT MAINTENANCE WORKER II POSITION, - (RECREATION & PARKS) Councilmember Smukler requested staff put more detail into these requests to fill positions to include salary range and benefit package. MOTION: Councilmember Smukler moved the City Council approve Item A-2 of the Consent Calendar. The motion was seconded by Mayor Yates and carried unanimously. (5-0) A-3 APPROVAL OF AMENDMENT #2 TO THE LEASE AGREEMENT FOR LEASE ® SITE 110-112/110W-112W, AND 20' OF THE EASTERLY PORTION OF 111.5W, 5 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 14, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. BETWEEN THE CITY OF MORRO BAY AND GAFCO INC., LOCATED AT 1185 EMBARCADERO; (CITY ATTORNEY) Mayor Yates pulled this item in order for Councilmember Leage to step down due to a conflict of interest. Councilmember Leage stepped down from the dais. MOTION: Councilmember Borchard moved the City Council approve Item A-3 of the Consent Calendar. The motion was seconded by Councilmember Johnson and carried 4-0-1. Mayor Yates called for a break at 7:01 p.m.-, the meeting resumed at 7:17 p.m. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-I M. ARETE AND J. ROSS APPEALS OF MEDINA PRJECT; AMENDMENT TO S00-089 AND CPO-276; (PUBLIC SERVICES) Assistant Planner, Sierra Davis presented her staff report on this item stating that there were 2 appeals on this project, one from Michele Arete and one from James Ross. ® Michele Arete, an appellant, presented her appeal and began by saying she was here representing 200 petition and letter signers. In addition, she wanted it known that she is in support of development appropriate to the area; Ms. Arete then gave specific policy/regulation interpretations establishing the basis of her appeal. Ms. Arete isn't saying "don't build", just build according to the laws and policies as well as the July 19, 2010 permit. She also requested the City ask US Fish and Wildlife to perform a 2 day and night assessment of red legged frogs in the area. She feels the applicant must also go back to the 5 agencies that are involved in these decisions for additional information as the applicant is amending his permit, their information is outdated and current reports are necessary to proceed. The 5 agencies are: Army Corps of Engineers, US Fish and Wildlife (red legged frogs), Water Quality Control Board, Fish and Game (willows), and California Coastal Commission. CEQA must be in compliance as now there is encroachment on the creek. These agencies must be contacted and made aware of the new modifications and be given the opportunity to review current encroachment and determine if there are noncompliance violations of state and federal laws. E James Ross, an appellant, thanked the Planning Department for providing him all the paperwork and answers to his questions. Mr. Ross stated that he is not against the project but is definitely against going so close to the ESH. He doesn't feel it is necessary to go further into the 25 foot zone. He feels that a 10 foot access to the rear property is sufficient. He also expressed concern about the drainage of the new parcel. He asked the City make sure they 2. 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 14, 2012 VETERAN'S MEMORIAL HALL - 6:00 P.M. don't approve so many exceptions to our codes and ordinances as they take away from the quality of life the people who live here enjoy. Johnny Medina, the applicant, stated they are just trying to make adjustments necessary based on the July 19`" approval to gain access to the lot in the back. The first approval wouldn't allow access for a second driveway, everything else proposed with this new amendment is within the boundaries. Mayor Yates opened the hearing for public comment. William Gallick has lived on Whidbey Way for 33 years and has seen many changes over the years. He has seen the creek area adversely impacted which is very upsetting. In July 2010, it was his understanding that there was access and the buffer wouldn't be impacted. He was also under the impression that there would be restoration in the area and to date, he hasn't seen any. While he understands the need for Medina's access, he doesn't want to see the buffer reduced and requests that the appeals be upheld. Jamie Irons; former Planning Commissioner who heard this project while on the board stated that the decision made in 2010 by the Planning Commission wasn't appealed at that time. The layout of the first house resulted in the current constraints being seen right now. He feels that ® the Council should uphold the appeal and go back to the original approved project of 2010. Laura Mounce gave a historical perspective of the destruction of the willows in the area. She also questioned why the applicant hasn't restored the ESHA area as was a condition for approval of the original house. She too asks the 5 agencies come out and make current reports to include the issue of the red legged frog sightings. Betty Winholtz contends that there is the perception that this hearing is only about buffer setback when it isn't. The appeals include previous unfulfilled conditions and maintenance of the conservation easement. She also contends that Local Coastal Plan Policy 11.14 is the crux of the major issue and that the ESHA must be considered as ESHA. She also is questioning what setback or buffer is legally permissible; as LCP Policy 11.14 uses the phrase "but in no case shall the buffer..." and she feels that "shall' is not a negotiable word. Finally, Ms. Winholtz states that there is no take of private property for public use as the applicant originally purchased this property knowing it contained an ESHA. Joe Yukich is aware that 151 people have signed a petition and feels that Council should listen to their constituents. John Barta maintains that America is a "can do" nation and that the Medina's just want a little piece of the "American Dream." He feels others have questioned whether this is even an ESHA - the creek is nothing but a drain that's underneath the whole condo project that goes for 2 ® blocks and then pops out into this area - it's hardly an ESFIA but even if it is, the biologists 7 CJ MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 14. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. have spoken and there is no damage here. The applicant isn't asking for anything beyond the existing wall and feels there is a simple solution which would be to ask for a simple easement. Mayor Yates closed the hearing for public comment. Councilmember Borchard asked staff if an easement was an option which Public Services Director Livick responded that even with an easement, the driveway would still encroach into a portion of the 25 foot ESH buffer. Councilmember Johnson asked clarification of staff regarding the following issues: the projects conditions of approval; drainage issues; the cutting down of willows; location of the proposed driveway; what part does the existing wall play in the ESH; if the driveway is permitted; can we require it be constructed of a permeable surface; and, possible granting of an easement. She is willing to stand by the 2010 Planning Commission decision to use a common driveway. Councilmember Leage feels that they could be able to use the common driveway and still get around the corner to which Public Services Director said was a possibility though it isn't the proposal submitted by the applicant. Councilmember Smukler also feels there is sufficient room with the existing driveway to utilize ® a common driveway. The 2010 Planning Commission also thought so; and it's his intent to stand by the 2010 Planning Commission decision. Mayor Yates feels it is wrong to force someone to use an existing driveway when they want 2 separate stand-alone properties without an easement; they are staying on the same side of the existing retaining wall; he. doesn't have a problem with granting this. MOTION: Councilmember Borchard moved the City Council uphold the appeal and direct the project to follow the 2010 Planning Commission approval. The motion was seconded by Councilmember Smukler and carried 4-1 with Mayor Yates voting no. B-2 REVIEW OF DRAFT ZONING TEXT AMENDMENT A00-013 AMENDING SECTION 17.48.32 (SECONDARY UNITS); (PUBLIC SERVICES) Public Services Director provided his staff report regarding the status of secondary units. City Council last heard this item back on March 22, 2011 where there was direction to return with the discussed amendments to MBMC Section 17.48.320, at a future meeting. The proposed secondary unit revision was then discussed at the December 7, 2011 and January 4, 2012 Planning Commission meetings where they also made recommendations which are a part of this report. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 14, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Councilmember Smukler asked for a review of history as to how we came to the existing regulations of the 900 square feet to both Public Services Director Livick and City Attorney. Schultz. He followed up with a question of whether we did a review of other coastal communities in our county of what their regulations are for secondary units. Mayor Yates opened the hearing for public comment. Jamie Irons brought up the fact that there is no data from Planning staff or the public that the current Ordinance even had a problem. He also questioned why it wasn't certified back in 2005. There was a 3 day public workshop when this Ordinance was originally crafted and now Council majority is asking to revise that process; he asked that Council reconsider these actions and send it back to a public workshop to do it the right way. Betty Winholtz concurred with Mr. Irons. She is concerned with the potential of being able to build 2 homes on a lot, each 1200 square feet and then subdivide them and sell both off. She feels there are 3 things being repeated in the staff report that she wants to correct. She feels it is in error that: we are fixing our Ordinance in regards to compliance with State law; that we are increasing small affordable housing units; and, that we are ensuring compatibility with existing neighborhoods. We should listen to public input and shouldn't undermine the public process. ® John Barta commented that the granny unit issue is not about land being subdivided and sold separately, never was and never will be. Granny units are there because they allow us to have a healthy community. No one is going to be required to build a 1200 sq foot granny unit. From 2005 to the present we have had a more restrictive process and as a result, very few granny units have been built. In order to have a viable community where people can afford to live, we will need a robust granny unit program. Mayor Yates closed the hearing for public comment. Councilmember Smukler felt that there wasn't enough data to move forward with this tonight. He also feels we would be abandoning the public process by moving forward. If we plan on changing, we should have another public workshop. He feels that 900 square feet is a fair and more affordable number and wants to stick with the existing Ordinance that was developed through the public process and move forward with the certification of that. Councilmember Leage thinks the owner of the property should have the choice of up to 1200 square feet and agrees that just because you can, doesn't mean you will. He doesn't feel 1200 square feet is too big as long as the property owner feels they can rent it out. Mayor Yates doesn't see a problem with this and feels it's irrelevant to compare us with what other communities are doing. He also doesn't feel that 1200 square feet is too big nor does he feel that everybody building a secondary unit to 1200 square feet will occur. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 14, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Councilmember Johnson is good with this as well. She feels that 1200 square feet is still a reasonably sized smaller home and that this subject has been "workshopped" enough as we've had 2 public hearings already. Councilmember Borchard agreed, public process has been on -going on this issue and in fact we are having a public process on it right now. A 1200 square foot limit would help the applicants expedite a project as well as save costs without having to go to a CUP. This should also help with our housing inventory. MOTION: Councilmember Borchard moved the City Council approve Item B2 as presented in the staff report. The motion was seconded by Councilmember Leage and carried 4-1 with Councilmember Smukler voting no. C. UNFINISHED BUSINESS —None. D. NEW BUSINESS D-I DISCUSSION ON THE CLOSURE OF ATASCADERO STATE BEACH (MORRO STRAND); (ADMINISTRATION) ® City Manager Andrea Lueker presented the staff report requesting the budget amendments as presented. San Luis Obispo Coast District Superintendent, Nick Franco also spoke. He stated that the park closures were as a result of state-wide budget cuts. Morro Strand State Park was one of 70 parks slated to be closed. There are 3 options to keeping a park open: donor agreements, concession agreements and operating agreements. In an effort to keep our park open, there have been on -going discussions with Cal Poly. If there is nothing in place by March or April, the State will have to move forward with plans to close the park but they will still keep the talks open. All Councilmembers were in total support of keeping the park open. Mayor Yates stated that July was probably the worst possible time for this to occur. He also knows of someone who has expressed interest in running the park. Councilmember Smukler thinks the discussions with Cal Poly are promising as that fits within our mission. Councilmember Leage wants to do all we can to keep the park open. Councilmember Johnson wanted to know how people can get ahold of Mr. Franco. (805) ® 927-2065; nfrancoOhearstcastle.com 10 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 14, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. 11 Councilmember Borchard was concerned with the snowy plover monitoring and how that might impact somebody's ability to run the park as the monitoring process is very expensive. No action was taken as this item was informational only. D-2 DISCUSSION AND CONSIDERATION OF REGULATING PUBLIC SMOKING; (CITY ATTORNEY) City Attorney presented his staff report requesting Council's direction regarding whether to prepare an Ordinance extending regulations of secondhand smoke in the City. Councilmember Johnson brought this forward as a result of public request. She feels that it is important to incorporate all seven (7) of the stated protections for outdoor public places (I - dining areas; 2- entryways, 3- public events. 4 recreation areas; 5- service areas, 6- sidewalks, 7- worksites) and wanted to add "drive -up windows' to 45, add "and streets' to 96, as well as add a #8 City owned vehicles and a 49 licensed child care homes. She is unsure about her feelings on 97. She would also like to see us address regulations on housing and licensing but realizes that we may want to start slower. She encourages this move forward to a public hearing. Councilmember Borchard is supportive of moving forward with some of these actions. She agrees with #'s 1-5, is on the fence with 46 and isn't supportive of 97; she feels designated smoking areas could work; but doesn't want to pursue housing regulations or permit fees at this time. Councilmember Smukler is also in agreement with what has been laid out. He is interested in talking about the tobacco sales concept but hopes that if we move forward with that component, it could be self -funded. He would like to see a licensing component included now as opposed to waiting as he feels it will save staff time, we will be able to utilize the Tobacco Control for their help, as well as address the sales to minors' part. Chief Olivas presented some information on the possible regulations of tobacco sales. Councilmember Leage is fearful that we would be dealing with a slippery slope as it will be very difficult to pass an Ordinance that you can't enforce. He also feels this could be a deterrent to tourists as he feels that probably 20% of our tourists smoke. He also feels that we need to consider that smokers have a right to smoke. Mayor Yates agrees that there are inappropriate places to smoke but doesn't feel we need to go to this length. He also agrees that enforcement will be a problem. He can go along with some of this but that regulating smoking on sidewalks is going too far. rli U C11 ML\TUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 14, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. MOTION: Councilmember Johnson moved the City Council bring forward for Public Hearing addressing items 1-7 in the Protections for Outdoor Public Places - - section found in the staff report, adding "and drive up windows" to 95, adding "and streets" to # 6, adding item 8 (city owned vehicles) and adding item 9 (licensed child care homes). The motion was seconded by Councilmember Borchard and carried 3-2 with Mayor Yates and Councilmember Leage voting no. MOTION: Councilmember Smukler moved the City Council move forward with a regulation concept for tobacco sales as discussed. The motion was seconded by Councilmember Johnson and carried 3-2 with Mayor Yates and Councilmember Leage voting no. D-3 DISCUSSION AND CONSIDERATION OF AMENDMENTS TO MORRO BAY MUNICIPAL CODE CHAPTER 5.24 REGARDING TAXICABS; (CITY ATTORNEY) City Attorney Rob Schultz presented his staff report and is looking for direction from Council as to whether you would like us to streamline this process. He stated that the current Taxi Cab Ordinance was written in 1964. Mayor Yates. in the spirit of streamlining the municipal code, wants to make this licensing process simple. Councilmember Smukler agrees that taxi operations are helpful in the community-, he is intrigued by the Danville Code; he also feels it is imperative that vehicles have clear licensing and markings as he doesn't want to lose the public safety component; he also wants to ensure there is "revocability' in the language. Councilmember Johnson wants to see this simplified as well but also wants to ensure public safety. Councilmember Borchard echo's the sentiments that we offer a safe ride for any passenger in our community. She questioned whether our current Ordinance is similar in kind to other Ordinances in the County. She can be supportive of a change to a more streamlined version. MOTION: Mayor Yates moved the City Council direct the City Attorney bring back amendments to Morro Bay Municipal Code Chapter 5.24 regarding taxicabs with the goal of streamlining and simplifying the regulations. The motion was seconded by Councilmember Johnson and carried unanimously. (5-0) 12 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — FEBRUARY 14. 2012 VETERAN'S MEMORIAL HALL - 6:00 P.M. E. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Borchard requests staff look at residential development impact fee reductions; Mayor Yates and Councilmember Johnson concurred. ADJOURNMENT The meeting adjourned at 10:32 p.m. Recorded by: Jamie Boucher City Clerk \C 13 • 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 24, 2012 CLOSED SESSION — JANUARY 24, 2012 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA CS-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY is and 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: Lease Site I10/110W-112/112W; 1185 Embarcadero Negotiating Parties: GAFCO and City of Morro Bay Negotiations: Lease Terms and Conditions Property: 3300 Panorama Drive Negotiating Parties: US General Services Administration and City of Morro Bay Negotiations: Purchase and Sale IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. 11 ® PUBLIC SESSION — JANUARY 24, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE 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. • The Council respectfully requests that you refrain from making slanderous, ® profane or personal remarks against any elected official, commission and/or staff. • Please refrain from public displays or outbursts such as unsolicited applause, comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk, (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-] APPROVAL OF CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF JANUARY 10, 2012; (ADMINISTRATION) ® RECOMMENDATION: Approve as submitted. 2 ® A-2 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA CALLING A PRIMARY MUNICIPAL ELECTION TO BE HELD ON TUESDAY, JUNE_ 5. 2012 FOR THE PURPOSE OF ELECTING CERTAIN OFFICERS OF SAID CITY; AND REQUESTING THE BOARD OF SUPERVISORS OF SAN LUIS OBISPO COUNTY TO CONSOLIDATE SAID ELECTION WITH THE CONSOLIDATED DISTRICTS ELECTION TO BE HELD IN THE COUNTY ON TUESDAY, JUNE 5. 2012: AND OTHER ELECTION MATTERS AS REQUIRED BY (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 07-12. A-3 2011 ANNUAL WATER REPORT; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 08-12. AA RESOLUTION OF THE CITY COUNCIL BY THE CITY OF MORRO BAY, CALIFORNIA APPROVING THE APPLICATION FOR GRANT FUNDS FOR THE SUSTAINABLE COMMUNITIES PLANNING GRANT AND INCENTIVES PROGRAM FOR UPDATES TO THE GENERAL PLAN AND LOCAL COAST PLAN UNDER THE SAFE DRINKING WATER, WATER QUALITY AND SUPPLY, FLOOD CONTROL, RIVER AND COASTAL PROTECTION BOND ® ACT OF 2006 (PROPOSITION 84) RECOMMENDATION: Adopt Resolution No. 09-12. B. PUBLIC HEARINGS, REPORTS & APPEARANCES 11 B-1 RESOLUTION NO. 05-12 AUTHORIZING SUBMISSION OF RURAL TRANSIT FUND GRANT APPLICATIONS; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution 05-12 authorizing submission of Rural Transit Fund grant applications for the . following projects: Triennial Performance Audit and purchase of a vehicle for a volunteer Community Bus program for initiation of service in 2012. C. UNFINISHEDBUSINTESS - NONE. D. NEW BUSINESS D-1 RESOLUTION NO 06-12 ADOPTING THE MID -YEAR BUDGET AMENDMENTS; (ADMINISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution 06-12 authorizing the budget amendments as revised in this meeting. 3 ® D-2 DISSCUSSION OF INTERSECTION IMPROVEMENTS AT HIGHWAY 41 AND MAIN' STREET —ROUNDABOUT CONCEPT; (PUBLIC SERVICES) RECOMMENDATION: Discuss the potential of intersection improvements at the intersection of Highway 41 and Main Street and provide staff with direction. D-3 INFORMATION ON SEXUAL REGISTRANTS WITHIN THE COMMUNITY AND HOW JESSICA'S LAW RESTRICTS WHERE NEWLY RELEASED OFFENDERS CAN RESIDE, (POLICE) RECOMMENDATION: This item is informational only. D-4 DISCUSSION OF REACTIVATING THE DOWNTOWN FACADE IMPROVEMENT PROGRAM CONCEPT; (COUNCILMEMBER/PUBLIC SERVICES) RECOMMENDATION: Provide direction to staff to reactivate the program and provide funds to guarantee loans. D-5 DISCUSSION OF A PROPOSED MORATORIUM ON THE PAYMENT OF DEVELOPMENT IMPACT FEES FOR RESIDENTIAL DEVELOPMENT; ® (PUBLIC SERVICES) RECOMMENDATION: Review and provide direction to staff. E. DECLARATION OF FUTURE AGENDA ITEMS F. 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 772-6205 FOR FURTHER INFORMATION. MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND MILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. 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 AGENDA NO: A-1 MINTUTES - MORRO BAY CITY COUNCIL MEETING DATE: 02/28/2012 ® CLOSED SESSION — JANUARY 24, 2012 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: CLOSED SESSION Andrea Lueker Robert Schultz City Manager City Attorney Mayor Yates adjourned the meeting to Closed Session. Mayor Yates 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: Lease Site I10/110W-112/112W; 1185 Embarcadero Negotiating Parties: GAFCO and City of Morro Bay Negotiations: Lease Terms and Conditions Property: 3300 Panorama Drive Negotiating Parties: US General Services Administration and City of Morro Bay Negotiations: Purchase and Sale The meeting adjourned at 5:50pm. 11 E n MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 24, 2012 VETERAN'S MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker Robert Schultz Jamie Boucher Eric Endersby Rob Livick Tim Olivas Mike Pond Susan Slayton Joe Woods Kathleen Wold Janeen Burlingame City Manager City Attorney City Clerk Harbor Operations Manager Public Services Director Police Chief Fire Chief Administrative Services Director Recreation & Parks Director Planning Manager Management Analyst ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS, ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — City Attorney Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. PUBLIC COMMENT Elena Ramos-Peffly, owner of Toes -in -the -Sand Weddings, provided the City local business report. Home of the first ever Morro Bay/Central Coast destination beach wedding business, they provide the location, the officiant, the professional photographer, and the floral decorations paired up with themed packages you can select and design. In addition, they will perform traditional denominational ceremonies, non -denominational ceremonies as well as commitment ceremonies. They encourage people to visit their website — v`uw.toesinthesandweddines.com to learn more. Robert Davis let us know that SLOCOG put out its annual call for unmet bicycle and pedestrian needs. The Morro Bay Citizens Bike Committee responded by compiling their own list of local unmet needs and he wants to highlight some here tonight. They include the need for the completion of the new Bicycle and Pedestrian Plan so that grant funds can be 2 • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANTUARY 24, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. made available through the application process, if they can be of any assistance to help move the plan along, they'd be happy to do that; Safe Routes to School Class 2 bike routes at and around San Jacinto and Del Mar School; a Class I multi -use trail at the Dynegy Power Plant connecting the Embarcadero through the Power Plant up to Main Street; and, replacing the 6 metal bollards at Main Street and Cloisters with something more flexible. Craig Schmidt announced that the Chamber has put together a tool kit to aid businesses which convey the City of Morro Bay as being business friendly, as well as promotes the green building incentive program. He also spoke on Item D4 (Facade Improvement Program Concept) in hopes that Council will consider reactivating the Facade Improvement Program. The Chamber of Commerce Installation Banquet was held the previous week and he wanted to recognize the following: City's Living Treasure was Mike Dominguez; City's Business of the Year was Pacific Dance Center: and, Citizen of the Year was Janice Peters. All winners exemplify what it means to live in and support a community like Morro Bay. Jamie Irons is excited to see Item A4 (Approving the Application for Grant Funds for Sustainable Communities Planning Grant and Incentives Program) being brought forward as it shows the importance of moving forward with our General Plan. He had questions regarding Item D-5 (Proposed Moratorium on the Payment of Development Impact Fees on Residential Development) and the fee reductions: has the 50% reduction in fees in 2006 been ® successful? And the 5 year period for waiving this — where did we come up with the 5 years? Is that based on the $500,000 figure in the staff report? If so, maybe consider a price versus saying 5 years. Roger Ewing spoke on Item D-2 (Roundabout Concept at Highway 41 and Main Street). He stands in opposition to its placement and in fact had thought this had been put to bed years ago. He feels the area is too small to safely put a roundabout in. He also feels that this time and money could be put to use at San Jacinto and Main Street. He also spoke on Item D-5 regarding the Proposed Moratorium on the Payment of Development Impact Fees for Residential Development. He stressed that there needs to be fairness and a sense of community and that to consider waiving these fees goes against that philosophy. He was concerned that this reduction wouldn't be fair to those applicants who have previously been in and paid the impact fees as compared to those who may come in after the fees are reduced and as such, don't have to pay. John Barta spoke on Item A-3 (2011 Annual Water Report). The report highlighted the fact that the City has a variety of sources for water and complimented both the City and residents alike on their very low rate of consumption which compares favorably with anywhere in the State. He also noticed that the rate of water loss is down to the 5% range which is also far below the State average: He also felt that the City would be doing the right thing by reducing the impact fees for residential development. And finally, please take a look at the exact words with the sign issue and make sure you agree with it. 3 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 24. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Betty Winholtz spoke on agenda item D-5 (Proposed Moratorium on the Payment of Development Impact Fees for Residential Development) feeling that these proposed reductions would not help the City with their revenues. Regarding Item D-2 (Roundabout Concept at Highway 41• and Main Street); she remembers that the high school and their administration was against the idea and hopes that if the decision is made to move forward in concept, that the high school is consulted from the beginning. She also feels that, Councilmember Borchard is not being consistent in her decision making processes and votes on important issues. Nikita Van Nordstram stated that she is here to back Councilmember Johnson up with her Facade Improvement Program and thinks it could also use an additional City incentive program because she feels the people have money to improve their business, they just choose not to. She encouraged Council and staff to contact the Dana Point Director of Tourism as they are going through some of the same problems we are going through. Mayor Yates closed the hearing for public comment. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF JANUARY 10, 2012; (ADMINTISTRATION) RECOMMENDATION: Approve as submitted. A-2 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA CALLING A PRIMARY MUNICIPAL ELECTION TO BE HELD ON TUESDAY, JUNE 5. 2012 FOR THE PURPOSE OF ELECTING CERTAIN OFFICERS OF SAID CITY; AND REQUESTING THE BOARD OF SUPERVISORS OF SAN LUIS OBISPO COUNTY TO CONSOLIDATE SAID ELECTION WITH THE CONSOLIDATED DISTRICTS ELECTION TO BE HELD IN THE COUNTY ON TUESDAY, NNE 5, 2612; AND OTHER ELECTION MATTERS AS REQUIRED BY LAW; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 07-12. A-3 2011 ANNUAL WATER REPORT; (PUBLIC SERVICES) RECOMMENDATION: Adopt Resolution No. 08-12. S u MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 24. 2012 VETERANS MEMORIAL 14ALL - 6:00 P.M. A-4 RESOLUTION OF THE CITY COUNCIL BY T14E CITY OF MORRO BAY, CALIFORNIA APPROVING THE APPLICATION FOR GRANT FUNDS FOR THE SUSTAINABLE COMMUNITIES PLANNING GRANT AND INCENTIVES PROGRAM FOR UPDATES TO THE GENERAL PLAN' AND LOCAL COAST PLAN UNDER THE SAFE DRINKING WATER; WATER QUALITY AND SUPPLY, FLOOD CONTROL, RIVER AND COASTAL PROTECTION BOND ACT OF 2006 (PROPOSITION 84) RECOMMENDATION: Adopt Resolution No. 09-12. Councilmember Johnson pulled Item A-1 from the Consent Calendar. MOTION: Councilmember Borchard moved the City Council approve the Consent Calendar with the exception of Item A-1. The motion was seconded by Mayor Yates and carried unanimously. (5-0) A-1 APPROVAL OF CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF JANUARY 10, 2012; (ADMINISTRATION) Councilmember Johnson asked that the motion made be corrected so that it read "...and ® Public Services Department for rewrite." MOTION: Councilmember Johnson moved the City Council approve Item A-] of the Consent Calendar with the stated correction. The motion was seconded by Councilmember Borchard and carried unanimously. (5-0) Mayor Yates called for a break at 7:04 p.m.; the meeting resumed at 7:19 p.m. B. PUBLIC HEARINGS. REPORTS & APPEARANCES B-I RESOLUTION NO. 05-12 AUTHORIZING SUBMISSION OF RURAL TRANSIT FUND GRANT APPLICATIONS; (PUBLIC SERVICES) Management Analyst, Janeen Burlingame presented her staff report on this item. Mayor Yates opened the hearing for public comment; seeing no one wishing to speak, Mayor Yates closed hearing for public comment. MOTION: Councilmember Borchard moved the City Council adopt Resolution 05-12 authorizing submission of Rural Transit Fund grant applications for the following projects: Triennial Performance Audit and purchase of a vehicle for a volunteer Community Bus program for initiation of service in 2012. The 5 E MII\TUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANTUARY 24, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. motion was seconded by Councilmember Smukler and carried unanimously. (5-0) C. UNFINISHED BUSINESS —None. D. NEW BUSINESS D-1 RESOLUTION NO 06-12 ADOPTING THE MID -YEAR BUDGET AMENDMENTS; (ADMI TISTRATIVE SERVICES) City Manager Andrea Lueker presented the staff report requesting the budget amendments as presented._ Barbara Spagnola, spokesperson for the Measure Q Committee, presented their report of 2010/2011 fiscal year activities. Mayor Yates has a tremendous amount of respect for Chief Olivas as well as Sheriff Parkinson but has no respect for the Drug Task Force of last year. He believes that if we want to be a part of this task force, it should be brought back to Council as a separate item. He is fine with the request made by the Recreation & Parks Department. He also ® complemented staff for staying within their budgets. Councilmember Smukler thanked the Measure Q Committee for all their hard word. He too has concerns with the drug task force expenditure and feels that if we want to have a discussion, it should be as a full discussion at the full budget review. Councilmember Leage agrees with Mayor Yates's comments. Councilmember Johnson noted that the TOT is up 5.1 % over this time last year and that plan check and building inspection fees were down $22,000; she too appreciated the work of the Measure Q Committee. Councilmember Borchard is in full support of spending the $10,000 for the task force as it had always been in the budget until we had to make cuts a few years ago. Chief Tim Olivas gave a synopsis of his request of the $10,000 as a 6 month commitment to the newly formed County Narcotics and Gang Task Force. He stressed that this is a new task force that is in no way associated with the State's Narcotics Task Force, which as of January 2012, no longer exists. The County run task force will be locally managed and if we choose not to join, then it could hurt us as an agency in the short and long term as we wouldn't be able to ask them for assistance with narcotics or gang enforcement. n MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 24, 2012 VETERAN'S MEMORIAL HALL - 6:00 P.M. Councilmember Borchard asked if there would be an opt -out clause and if not, could one be placed into the contract. Councilmember Smukler, acknowledging that there could be an opt -out clause; is willing to go along with the current mid=year funding request with the stipulation that it would be looked at in depth when the new fiscal year budget is presented. MOTION: Councilmember Borchard moved the City Council adopt Resolution 06-12 authorizing the budget amendments as submitted by staff. The motion was seconded by Councilmember Johnson and carried 3-2 with Mayor Yates and Councilmember Leave voting no. D-2 DISSCUSSION OF INTERSECTION IMPROVEMENTS AT HIGHWAY 41 AND MAIN STREET —ROUNDABOUT CONCEPT; (PUBLIC SERVICES) Public Services Director Rob Livick presented his staff report to Council. Back in 2003, staff was near the completion of a draft design report in the environmental process for a Roundabout at Highway 41 and Main Street. Due to funding concerns at the local and state level, that application was pulled from consideration and money was shifted to the isRoundabout at Quintana and Morro Bay Blvd. To date, the intersection still has similar if not greater problems. We have applied and received recommendation from the SLOCOG Board for $113,000 in Regional Service Transportation Funds which would move this project along to take another look at the alternatives and finalize the environmental document as well as make us ready for when additional monies might become available. The two (2) options being looked at are signalization and a Roundabout. 11 Councilmember Smukler was concerned about the high school and the pedestrian traffic versus the heavy vehicle traffic. He is in favor of pursuing the monies to review the concept as long as signalization was looked at as well, especially given the amount of time that has. elapsed since the concept was brought forward years ago. He also stressed his desire to engage the high school earlier than later as part of this step forward. Councilmember Leage is surprised that to date, there hasn't been a terrible accident at that intersection. Both the vehicle and pedestrian traffic at that location is so dangerous. He feels that something has to be done. Mayor Yates definitely. thinks the Roundabout is something to look into; and he agrees that reaching out to the high school needs to happen and in fact would be more than happy to reach out to them. 7 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 24, 2012 VETERAN'S MEMORIAL HALL - 6:00 P.M. Councilmember Johnson agrees that we need to do something with that comer and hopes to start discussions to look into the matter. Not sure if a signal is the answer either as that could lead to a waste of gasoline with cars idling for extended periods of time. Councilmember Borchard is not in support of a RoundaBout concept there. With additional RV's, as well as the tractor trailers and school busses she doesn't feel it is safe. She would be more supportive of signalization of some kind. She loves the current Roundabout but that one doesn't feed into as many streets as one would at Highway 41 and Main Street. MOTION: Councilmember Johnson moved the City Council look at a range of alternatives for intersection improvements at Highway 41 and Main Street and bring forward the one that's best. The motion was seconded by Councilmember Smukler and carried unanimously. (5-0) D-3 INFORMATION ON SEXUAL REGISTRANTS WITHIN THE COMMUNITY AND HOW JESSICA'S LAW RESTRICTS WHERE NEWLY RELEASED OFFENDERS CAN RESIDE; (POLICE) Police Chief Olivas gave a short presentation on the status of the living restrictions of registered sex offenders who may reside or attempt to reside in our community. Chief Olivas is stressed that as of November 7, 2006, with the passing of Jessica's Law (Proposition 83), registered sex offenders are banned from residing within 2000 feet of a school or park where children congregate. This restriction was further modified when, in a court decision, the law now applies to all prisoners or registrants paroled after Proposition 83 was enacted which was February 10, 2010, irregardless of when the crime(s) were committed. Chief Olivas further went on to say that based on the City's linear orientation, there is only a very small section of the City totaling approximately 9 blocks located on the south/east edge of the City, that is not impacted by Jessica's Law. This item was informational only; no action was taken. D4 DISCUSSION OF REACTIVATING THE DOWNTOWN FACADE IMPROVEMENT PROGRAM CONCEPT; (COUNCILMEMBER/PUBLIC SERVICES) Public Services Director Rob Livick gave a short presentation on the status and history of the Downtown Facade Improvement Program. Councilmember Johnson has spoken to the Chamber of Commerce and several local merchants and found that many of them are interested in resurrecting the program. She feels we should be using all the tools available to us in order to allow them to grow and prosper. To date. we have established a moratorium on impact fees which has not as of vet been taken ® advantage of. She feels we need to act immediately on the following ideas: we need to get a letter written and signed by the Mayor to both property and business owners to let them know 11 n LJ MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 24. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. we've initiated 3 programs to encourage them to invest in their buildings; their businesses and our City — we have already eliminated parking requirements in North Morro Bay for merchants who want to expand or change their use; there is a moratorium on impact fees which she feels should be extended by another year as part of their action tonight; and, the Facade program, which should include a City guaranteed low interest rate loan, waive permit fees and should last 3 years. New and 'unproved business in our City will improve our sales tax revenues and allow us to be able to shop locally. Councilmember Borchard is appreciative of staff continuing to provide Council with redevelopment strategies to bring forward to help the community. Councilmember Leage thinks it's a great idea. Was curious if there was a geographical boundary to this proposal? Councilmember Smukler thanked Councilmember Johnson for bringing this forward and questioned whether or not bike racks can fit into the definition of facade improvement? Also whether or not historical marking and signage might fit into the definition? And finally, would the extension of the moratorium of the commercial impact fees be folded into this request or would it be kept separate? MOTION: Councilmembei Johnson moved the City Council approve a Facade Improvement Program of up to a total of $100,000 to assist business owners in upgrading the appearance of their store fronts by providing low interest loans of up to $25,000 each through the bank, hopefully Rabobank, against City guaranteed funds. In addition, within 30 days, staff is to write and send a letter to both business and property owners advising them of the program. The motion was seconded by Councilmember Leage and carried unanimously. (5- 0) D-5 DISCUSSION OF A PROPOSED MORATORIUM ON' THE PAYMENT OF DEVELOPMENT IMPACT FEES FOR RESIDENTIAL DEVELOPMENT; (PUBLIC SERVICES) Planning Manager Kathleen Wold presented her staff report on the proposed moratorium on the payment of development impact fees for residential development and in their deliberations, request that Council weigh the benefits to the development community against the loss of revenue to determine if the benefits outweigh the costs. Councilmember Leage is in support of the moratorium as he is interested in stimulating business, spurring on construction and getting people back to work. If we don't get building going.around here then many of our local businesses will go under. E MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 24, 2012 VETERAN'S MEMORIAL HALL - 6:00 P.M. William Yates is also in support of the moratorium as he feels this will put many, many more people back to work which in turn spurs the economy. Councilmember Johnson totally understands the prospect of building and getting people back to work however the difference she sees is that with commercial impact fees, the commercial businesses bring in more sales tax and more business. Councilmember Smukler feels this is too arbitrary as we don't have enough good information/data to make an informed decision. To say we will pick a number — 5 years — and do away with the funds that pay for some of our most important services and infrastructure is of great concern to him. He feels it is a very risky and even an extreme move which he cannot support. Mayor Yates agrees that it is a gamble, there is the chance of a cost of $100,000/year, but if it is successful, we will be able to make it up. Councilmember Borchard agrees it's a very challenging time for the construction industry in our City. Part is the cost of the impact fees, but that isn't all of it; the entire cost to build; all factor into it. Her concern isn't about this as much as it is that someone can walk into the department, get fees but find out later that there are going to be additional fees that they weren't aware of up front. She doesn't feel she can support the item as it is presented at this juncture. As there was no majority support for the item, no action was taken. E. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Borchard requests staff look into paperless agendas and computerized programs; Councilmember Johnson and Councilmember Smukler concurred. Councilmember Johnson requested extending the moratorium of commercial property impact fees for one more year; Councilmember Borchard, Councilmember Leage and Mayor Yates concurred. ADJOURNMENT The meeting adjourned at 8:43p.m. Recorded by: amie Boucher ® City Clerk 10 0 E 9� City of Morro Bay Morro Bay, CA 93442 NOPPM54 (805) 772-6205 NOTICE OF SPECIAL MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Special Meeting on Monday, January 23, 2012 at 5:00 p.m. to be held at the Veterans' Memorial Building, 209 Surf Street, Morro Bay, California. The City Council will be conducting interviews to fill vacancies on the Planning Commission, Recreation & Parks Commission, Public Works Advisory Board, and Tourism Business Improvement District Advisory 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. DATED: January 18, 2012 Jarm f Boucher, City Clerk FINANCE ADMINISTRATION FIRE DEPT. PUBLIC SERVICES 595 Harbor Street 595 Harbor Street 715 Harbor Street 955 Shasta Avenue HARBOR DEPT. CITY ATTORNEY POLICE DEPT. RECREATION & PARKS 1275 Embareadero Road 595 Harbor Street 850 Morro Bay Boulevard 1001 Kennedy Way ® 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 10, 2012 CLOSED SESSION — JANUARY 10, 2012 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 City Manager, the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. 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: Chorro Valley Property Negotiating Parties: Chorro Valley Property Owners and City of Morro Bay Negotiations: Water Rights Property: Cerritos Peak Negotiating Parties: Dan Reddell and the City of Morro Bay Negotiations: Voluntary Purchase and Sale • Property: Lease Site 110/110W-112/112W; 1185 Embareadero Negotiating Parties: GAFCO and City of Morro Bay Negotiations: Lease Terms and Conditions is IT IS NOTED THAT THE CONTENTS OF CLOSED SESSION MEETINGS ARE CONFIDENTIAL AND EXEMPT FROM DISCLOSURE. ® PUBLIC SESSION — JANUARY 10, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE 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 yourname 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. • The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official, commission and/or staff. • Please refrain from .public. displays or outbursts such as unsolicited applause, comments or cheering. • Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting. • Your participation in City Council meetings is welcome and your courtesy will be appreciated. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk, (805) 772-6205. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF DECEMBER 13, 201 l; (ADMINISTRATION) RECOMMENDATION: Approve as submitted. 2 A-2 RESOLUTION NO. 01-12 ADOPTING THE CITY OF MORRO BAY INVESTMENT POLICY AND DELEGATING AUTHORITY TO THE CITY TREASURER TO INVEST IDLE FUNDS; (ADMINISTRATIVE SERVICES) . RECOMMENDATION: Adopt Resolution No. 01-12. A-3 RESOLUTION NO. 02-12 ADOPTING THE 14ARTFORD DEFERRED COMPENSATION PLAN; (ADMINISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution No. 02-12. A-4 RESOLUTION NO. 03-12 APPOINTING JAMIE BOUCHER AS CITY CLERK FOR THE CITY OF MORRO BAY; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 03-12. A-5 FINANCIAL RECONCILIATION OF THE HARBORWALK PROJECT AND REALLOCATION OF EXCESS REVENUES; (PUBLIC SERVICES) RECOMMENDATION: Direct staff to reallocate excess revenues from the Harborwalk project as outlined below. A-6 CITY COUNCIL ANNUAL MEETING SCHEDULE — 2012; (ADMINISTRATION) RECOMMENDATION: Adopt the proposed meeting schedule for calendar year 2012. A-7 APPROVAL OF A SUBLEASE AGREEMENT FOR A PORTION OF LEASE SITE 87-88/87W-88W, LOCATED AT 833 EMARCADERO BETWEEN VIOLET LEAGE AND BARRY LAMBERT, DOING BUSINESS AS THE CANNERY RESTAURANT; (HARBOR) RECOMMENDATION: Adopt Resolution No. 04-12, approving the sublease agreement for a portion of Lease Site 87-88/87W-88W between Violet Leage and Barry Lambert, doing business as The Cannery Restaurant. B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-1 REVIEW AND PROVIDE RECOMMENDATIONS FOR THE CITY OF MORRO BAY SIGN CODE BASED ON WORKSHOP AND SURVEY RESULTS; CONTINUED FROM DECEMBER 13, 2011; (PUBLIC SERVICES) RECOMMENDATION: . Review workshop and survey results and provide direction to staff regarding any modifications to the "Sign Ordinance" to be incorporated into a revised ordinance that will be forwarded to the Planning Commission for ® review and recommendations back to City Council. 3 El C. UNFINISHED BUSINESS —NONE. D. NEW BUSINESS D-1 APPROVAL OF THE MARKETING PLAN FROM BARNETT COX AND ASSOCIATES; (ADMINISTRATION) RECOMMENDATION: Review and approve the Marketing Plan as attached. D-2 REQUEST FROM THE MORRO BAY HARBOR FESTIVAL TO WAIVE THE CITY SERVICES COSTS FOR THE 2011 MORRO BAY HARBOR FESTIVAL EVENT; (ADMINISTRATION) RECOMMENDATION: Deny the waiver of City Services Cost for the 2011 Morro Bay Harbor Festival Event. D-3 REVIEW OF THE PUBLIC ART PROPOSAL FROM THE MORRO BAY ART FOUNDATION FOR THE BUS SHELTER AT CITY PARK; (ADMINISTRATION) RECOMMENDATION: Review the proposal from the Morro Bay Public Art Foundation to paint a mural on the City Park bus shelter, approve the project and accept the art donation. D-4 REVIEW OF THE PUBLIC ART PROPOSAL FROM THE CENTRAL COAST WOMEN FOR FISHERIES FOR A SCULPTURE PROJECT TO BE LOCATED AT THE MORRO ROCK TARGET ROCK AREA; (ADMINISTRATION) RECOMMENDATION: Review the proposal from the Central Coast Women for Fisheries (CCWF) for a sculpture project to be located in the Target Rock area, approve the project and accept the art donation. D-5 APPOINTMENT OF VICE -MAYOR AND APPOINTMENT OF REPRESENTATIVES ON DISCRETIONARY BOARDS, COUNCIL LIAISON ASSIGNMENTS AND COUNCIL SUB -COMMITTEES; (MAYOR) RECOMMENDATION: Approve City Council member appointments for calendar year 2012. E. DECLARATION OF FUTURE AGENDA ITEMS F. 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 772-6205 FOR FURTHER INFORMATION. 0 El MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION AT CITY HALL LOCATED AT 595 HARBOR STREET; MORRO BAY LIBRARY LOCATED AT 625 HARBOR STREET; AND MILL'S COPY CENTER LOCATED AT 495 MORRO BAY BOULEVARD DURING NORMAL BUSINESS HOURS. 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 AGENDA NO: A-1 MINUTES - MORRO BAY CITY COUNCIL MEETING DATE: 01/24/2012 ® CLOSED SESSION—JANUARY 10, 2012 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker Robert Schultz Susan Slayton Laurie Goforth Bill Avery CLOSED SESSION City Manager City Attorney Administrative Services Director Human Resources Analyst Chief Negotiator Mayor Yates adjourned the meeting to Closed Session. Mayor Yates read the Closed Session Statement ® CS-1 GOVERNMENT CODE SECTION 54957.6, CONFERENCE WITH LABOR NEGOTIATOR. Conference with City Manager, the City's Designated Representative, for the purpose of reviewing the City's position regarding the terms and compensation paid to the City Employees and giving instructions to the Designated Representative. 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: Chorro Valley Property Negotiating Parties: Chorro Valley Property Owners and City of Morro Bay Negotiations: Water Rights Property: Cerritos Peak Negotiating Parties: Dan Reddell and the City of Morro Bay Negotiations: Voluntary Purchase and Sale Property: Lease Site 110/110W-112/112W; 1185 Embareadero Negotiating Parties: GAFCO and City of Morro Bay Negotiations: Lease Terms and Conditions 0 The meeting adjourned at 5:50pm. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 10, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m PRESENT: William Yates Mayor Carla Borchard Councilmember Nancy Johnson Councilmember George Leage Councilmember Noah Smukler Councilmember STAFF: Andrea Lueker City Manager Robert Schultz City Attorney Jamie Boucher City Clerk Eric Endersby Harbor Operations Manager Rob Livick Public Services Director Tim Olivas Police Chief Mike Pond Fire Chief Susan Slayton Administrative Services Director Dylan Wade Utilities/Capital Projects Manager Kathleen Wold Planning Manager Joe Woods Recreation & Parks Director ® ESTABLISH QUORUM AND CALL TO ORDER MOMENT OF SILENCE PLEDGE OF ALLEGIANCE MAYOR AND COUNCIL MEMBERS REPORTS, ANNOUNCEMENTS & PRESENTATIONS CLOSED SESSION REPORT — City Attorney Robert Shultz reported that City Council met in Closed Session and no reportable action under the Brown Act was taken. PUBLIC COMMENT Bruce Gammel owner of Bella Vinos, provided the City local business report. He, along with his partner Kathy Cohen, has opened the newest wine and cheese bar in Morro Bay. It is a 21 and over establishment boasting over 100+ wines, has flexible hours, provides rides home if necessary, and offers a very friendly atmosphere. He thanked Morro Bay for allowing them to be a part of our City. Christine Johnson, President of Morro Bay Friends of the Library, wanted to invite the entire community to the library on January 15`" for a Celebration of Life for Jane Bailey who was instrumental in the building of the library. She also announced that the Friends of the Library is celebrating their 30's anniversary this year. As a board member of the 4 h of July committee, she also announced the tentative line-up for their event; there will be an Amp ® Surf Event, Bike Parade, Skateboard Event, and a family friendly day with food, music and 2 C MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 10, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. fireworks. In an attempt to keep the tourists in town, they have also scheduled a Beerfest for Saturday, July 7 th . Barry Brannon stressed the need for water conservation. He is hopeful that when the wastewater treatment plant is built, that it will include a water recycling component which he feels can help with our water supply problem. If we were to be able to recycle the water into the valley we would be able to access more of our available water. Anya O'Toole, a local 9 year old, announced that she and her grandmother will be opening up a new shop in Morro Bay at 600 Morro Bay Blvd on January 14`h called Ruby Dragon. They will sell rocks, crystals, jewelry and gifts as well as feature local artists and crafts. Krista Kendall is concerned that Council is not listening to the public regarding the Cerrito Peak project. While she respects the fact that Mr. Reddell owns the property, she is baffled that, especially with the Coastal Commission's most recent letter, 4 members of the Council didn't vote to proceed with an EIR of the project. She is pleased that the City is discussing a possible purchase. She also feels that the audience should be able to clap for those issues/statements that they believe in. Betty Winholtz spoke on agenda item A-5 (Financial Reconciliation of the Harborwalk ® Project and Reallocation of Excess Revenues), she feels that if there is an excess of monies, they can be put towards restoration/rehabilitation of the dunes habitat. She also announced the passing last Sunday of Candace Vivatoe, a 35 year resident, who strove to maintain the heritage of Morro Bay. In closing, she spoke of the IWMA meeting being held on Wednesday, January 11's. They will be conducting a vote on whether or not to move forward with an Ordinance that would ban single use bags in the County. Ms. Winholtz hopes that Councilmember Borchard will change her vote that she announced last week and honor our environment. Christine Rogers, Program Manager for the Economic Vitality Corporation, presented an Update on Economic Strategy Programs. Mayor Yates closed the hearing for public comment. 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 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF DECEMBER 13, 2011; (ADMINISTRATION) is RECOMMENDATION: Approve as submitted. 3 n LJ MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 10, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. A-2 RESOLUTION NO. 01-12 ADOPTING THE CITY OF MORRO BAY INVESTMENT POLICY AND DELEGATING AUTHORITY TO THE CITY TREASURER TO INVEST IDLE FUNDS; (ADMINISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution No. 01-12. A-3 RESOLUTION NO. 02-12 ADOPTING THE HARTFORD DEFERRED COMPENSATION PLAN; (ADMINISTRATIVE SERVICES) RECOMMENDATION: Adopt Resolution No. 02-12. A-4 RESOLUTION NO. 03-12 APPOINTING JAMIE BOUCHER AS CITY CLERK FOR THE.CITY OF MORRO BAY; (ADMINISTRATION) RECOMMENDATION: Adopt Resolution No. 03-12. A-5 FINANCIAL RECONCILIATION OF THE HARBORWALK PROJECT AND REALLOCATION OF EXCESS REVENUES; (PUBLIC SERVICES) RECOMMENDATION: Direct staff to reallocate excess revenues from the ® Harborwalk project as outlined below. A-6 CITY COUNCIL ANNUAL MEETING SCHEDULE — 2012; (ADMINISTRATION) RECOMMENDATION: Adopt the proposed meeting schedule for calendar year 2012. A-7 APPROVAL OF A SUBLEASE AGREEMENT FOR A PORTION OF LEASE SITE 87-88/87W-88W, LOCATED AT 833 EMARCADERO BETWEEN VIOLET LEAGE AND BARRY LAMBERT, DOING BUSINESS AS THE CANNERY RESTAURANT; (HARBOR) RECOMMENDATION: Adopt Resolution No. 04-12, approving the sublease agreement for a portion of Lease Site 87-88/87W-88W between Violet Leage and Barry Lambert, doing business as The Cannery Restaurant. Councilmember Smukler pulled Item A-5 from the Consent Calendar; Mayor Yates pulled Item A-7. MOTION: Councilmember Borchard moved the City Council approve the Consent Calendar with the exception of Items A-5 and A-7. The motion was seconded ® by Councilmember Johnson and carried unanimously. (5-0) 2 LI MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 10, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. A-5 FINANCIAL RECONCILIATION OF THE HARBORWALK PROJECT AND REALLOCATION OF EXCESS REVENUES; (PUBLIC SERVICES) Councilmember Smukler asked staff to explain the reallocation of funds — are there steps of restoration? Utilities/Capital Projects Manager Dylan Wade responded by going over the excess revenues/reallocations of revenues as well as restoration efforts the City has made on this project. MOTION: Councilmember Smukler moved the City Council approve Item A-5 of the Consent Calendar. The motion was seconded by Councilmember Borchard and carried unanimously. (5-0) A-7 APPROVAL OF A SUBLEASE AGREEMENT FOR A PORTION OF LEASE SITE 87-88/87W-88W, LOCATED AT 833 EMARCADERO BETWEEN VIOLET LEAGE AND BARRY LAMBERT, DOING BUSINESS AS THE CANNERY RESTAURANT; (HARBOR) Mayor Yates pulled this item in order for Councilmember Leage to step down due to a conflict ® of interest. Councilmember Leage stepped down from the dais. MOTION: Councilmember Johnson moved the City Council approve Item A-5 of the Consent Calendar. The motion was seconded by Councilmember Borchard and carried with Councilmember Leage abstaining. (4-0-1) Mayor Yates called for a break at 6:56 p.m.; the meeting resumed at 7:17 p.m. B. PUBLIC HEARINGS, REPORTS & APPEARANCES B-1 B-1 REVIEW AND PROVIDE RECOMMENDATIONS FOR THE CITY OF MORRO BAY SIGN CODE BASED ON WORKSHOP AND SURVEY RESULTS; CONTINUED FROM DECEMBER 13, 2011; (PUBLIC SERVICES) This item was continued from the December 13, 2011 City Council meeting. Public Services Director Rob Livick stated that it was staffs goal to get direction from the City Council before taking this item back to the Planning Commission for Ordinance development. Results from the Sign Ordinance workshops held last Fall suggested the following: most people feel the current Ordinance isn't working; there should be different rules for different geographical areas in the City; minimize signs in residential areas; A -frame signs and ® banners might be appropriate in certain areas of the City; there should be an allowance for 5 ,1 J MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 10, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. multiple types of signs; and, signs should promote the Morro Bay experience and as well as promote Morro Bay businesses. Mayor Yates opened the hearing for public comment. John Barter a former City Planning Commissioner, wanted to make 2 points: we do have an Ordinance that is capable of being enforced; and, signage is critical to Morro Bay, it is how we are going to be perceived for decades. He thinks there are 2 models we can choose from: take the existing Ordinance and try to fix it up OR start something brand new and make a better product in the end. He also suggested not getting into all the small details tonight, instead direct staff to take the 2004 Planning Commission report and work on it piece by piece, on a schedule, and then bring back for review on a periodic basis. Kim VanNordstom wondered if we would be enforcing the Sign Ordinance with City signage as well. Mayor Yates closed the hearing for public comment. Mayor Yates feels that the cleaner the town, the more inviting it will be and as such is a proponent of enforcing the Sign Ordinance that we have. He feels we need to remove all ® banners, especially from view sheds. He would like to focus the evening discussion on banners; he feels the banners are out of control downtown. He would also like to discuss zones. As far as the rest of it, send it to the Planning Commission to work out the details. Councilmember Smukler attended the site workshops and received input from the public. He is concerned that if we attempt to enforce the existing Ordinance, we will be throwing fuel on the fire — "one size doesn't fit all". One major conclusion he has is that each district has different needs; if we enforce the existing ordinance, we will have problems. He also suggests finding a place that we can have a community bulletin board to give local organizations the opportunity to advertise their events. Councilmember Leage disagrees. He was happy to see the removal of the A -frame signs and feels that we will get the same thanks if we also remove the banners. He feels that they cheapen the town. Councilmember Johnson wants to ensure we have an Ordinance that is clear and simple enough to understand and enforce; feels it would help the process to have it become a part of the building permit process; would like public banner spaces for Morro Bay Non -profits only; wants to address informational signs; agrees that A -frame signs were clutter and is happy to see them gone; and, has divided the City into 3 areas/districts — Highway Commercial, North Morro Bay/Quintana Road and the Embarcadero. In the Highway Commercial District she would like to see business directory signs, awning signs, wall signs, ® and/or feather signs which could be tied to the Business License process to ensure they are R E MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 10, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. being kept in good condition. In the North Morro Bay/Quintana District she would like to see the opportunity for signage such as pub signs, awning signs, wall signs and/or business directory signs based on business type and or location in the City. On the Embarcadero she would like to see pub signs, wall signs awning signs and business directional signs. Monument signs — sometimes called Statuary signs — that aren't obstructive should be allowed because they bring people into their businesses. Comer signs should be permitted but don't want to have on every comer; window signs need to be limited as to allow people to see inside; and she doesn't feel you should be able to park a vehicle advertising a business on the street for advertising purposes only. Councilmember Borchard doesn't want selective enforcement. While she has a problem with banners, we need guidelines for enforcement. Doesn't feel it is right to only enforce the banner section when there are many other sign enforcement issues to look into. Does feel it was very good to have the A -frame signs removed. She thinks that anything from the workshops that received minimal or less than 50% support, don't get Council consideration. She feels it would be beneficial for business owners if the City had a sign manual to hand out, maybe during the business license process, that would give an applicant information so that they don't spend money unnecessarily. With Council support, she would like to include a discussion on boat signs. Loves the concept of business directory signage. ® Mayor Yates agreed that selective enforcement isn't the answer. He would be a proponent of enforcing a "no" banner rule with the exception of a twice a year for 30 days to advertise something special as is currently allowed. He is not supportive of any "moving' signs. He is in agreement that any advertising of events should be for Morro Bay events only. He also feels that we have the enforcement resources to enforce the banner/flag/moving sign portion of the Ordinance. He also has always had the feeling that Morro Bay should be divided into 4 zones, not 3 zones: Quintana, North Morro Bay, Downtown and the Embarcadero. E Councilmember Smukler isn't comfortable with enforcing an Ordinance that we haven't even created yet. Would also rather leave the zone issue on the table and allow the Planning Commission to make those recommendations. He would be willing to talk about non-profit advertising in public spaces. There is majority support from Council to have staff send out a letter to business owners regarding the enforcement of the entire Sign Ordinance. MOTION: Councilmember Johnson moved the City Council, based on the recommendations of the workshop, the survey results, the recommendations that were made tonight, as well as the information from the 2004 Planning Commission Report, forward the Sign Ordinance to the Planning Commission and Public Services Department for a rewrite. The motion was seconded by Mayor Yates unanimously. (5-0) 7 E MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY I O. 2012 VETERANS MEMORIAL HALL - 6:00 P.M. C. UNFINISHED BUSINESS —None. D. NEW BUSINESS D-1 APPROVAL OF THE MARKETING PLAN FROM BARNETT COX AND ASSOCIATES; (ADMINISTRATION) Shari Clark from Barnett Cox and Associates gave a short presentation on the Draft Marketing Plan. She stressed that it was the first marketing plan in quite some time. The plan reflects work started over 6 months ago and much of the information that is in place was gleaned from the stakeholders' workshop. Barnett Cox and Associates is in the process of creating a new website which has a March 12'h proposed launch date. It is their plan to update the Marketing Plan every year. Council unanimously voiced their pleasure with the product and look forward to moving forward. MOTION: Councilmember Borchard moved the City Council approve the Marketing Plan as attached and presented. The motion was seconded by Councilmember Smukler and carried unanimously. (5-0) ® D-2 REQUEST FROM THE MORRO BAY HARBOR FESTIVAL TO WAIVE THE CITY SERVICES COSTS FOR THE 2011 MORRO BAY HARBOR FESTIVAL EVENT; (ADMINISTRATION) C There was no action taken on this item as it was pulled prior to the meeting. D-3 REVIEW OF THE PUBLIC ART PROPOSAL.FROM THE MORRO BAY ART FOUNDATION FOR THE BUS SHELTER AT CITY PARK: (ADMINISTRATION) City Manager Lueker gave a short presentation on the artwork being proposed for the City Park Bus Shelter as requested by the Morro Bay Public Art Foundation. Council unanimously gave their support to this project and look forward to seeing it at its completion. MOTION: Councilmember Smukler moved the City Council approve the Art Project as submitted by the Morro Bay Public Art Foundation to paint a mural on the City Park Bus Shelter and accept the art donation. The motion was seconded by Councilmember Leage and carried unanimously. (5-0) U E MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 10, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. D-4 REVIEW OF THE PUBLIC ART PROPOSAL FROM THE CENTRAL COAST WOMEN FOR FISHERIES FOR A SCULPTURE PROJECT TO BE LOCATED AT THE MORRO ROCK TARGET ROCK AREA; (ADMINISTRATION) City Manager Lueker gave a short presentation on the artwork being proposed for the Target Rock area as requested by the Central Coast Women for Fisheries (CCWF). Councilmember Smukler stated that this is a fine addition to Community Public Art and glad to see volunteers will be involved in the maintenance and upkeep. Councilmember Borchard thanked all the volunteers for all their work on this project; it is nice to see families of the Commercial Fisherman so involved. Council unanimously gave their support to this project and look forward to seeing it at its completion. MOTION: Councilmember Borchard moved the City Council approve the Art Project as submitted by the Central Coast Women for Fisheries (CCWF) for a sculpture project to be located in the Target Rock area and accept the art donation. The motion was seconded by Councilmember Johnson and carried unanimously. ® (5-0) D-5 APPOINTMENT OF VICE -MAYOR AND APPOINTMENT OF REPRESENTATIVES ON DISCRETIONARY BOARDS; COUNCIL LIAISON ASSIGNMENTS AND COUNCIL SUB -COMMITTEES; (MAYOR) Mayor Yates provided the Council with his proposed 2012 appointments of representative on the area's Discretionary Boards, Council Liaison Assignments and Council Sub -Committees. MOTION: Councilmember Leage moved the City Council approve the 2012 Council member appointments as proposed. The motion was seconded by Councilmember Johnson and carried unanimously. (5-0) E. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Smukler requested to agendize phonebook distribution as he'd like to limit excessive distribution; Councilmember Borchard and Councilmember Johnson concurred. Councilmember Smukler requested a follow-up on the possibility of a Community Bulletin Board and would like to see a concept come back from staff with input from the Chamber: Councilmember Leage and Mayor Yates concurred. Is Councilmember Yates requested to agendize a discussion on the Homeless situation in Morro Bay; Councilmember Borchard and Councilmember Johnson concurred. W MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING — JANUARY 10, 2012 VETERANS MEMORIAL HALL - 6:00 P.M. 16 Councilmember Borchard requested to agendize an informational item from the Fire Department regarding the Sprinkler Ordinance as it relates to residential vs commercial as well as Morro Bay vs State regulations; Mayor Yates and Councilmember Smukler concurred. ADJOURNMENT The meeting adjourned at 9:11p.m. Recorded by: OIL-- amie Boucher City Clerk u l ]0